Lets put this conversation on hold for while.  Lets see how things shake 
out over the next year or two.


On 2023-01-02 02:11, Steve Litt via PLUG-discuss wrote:
> Keith Smith via PLUG-discuss said on Sun, 01 Jan 2023 02:47:39 -0700
> 
>> I agree the fed is a big part of the problem.  The people who created
>> the fed are all probably dead.  The question that goes in concert with
>> that question is how has Washington DC used the Fed and spending bills
>> to cause these issues and past issues.
> 
> Fed-bashing is, and always has been, very popular. Me, I'm glad for the
> fed, because I know, in my bones, the horror of the Great Depression.
> My dad was shaped by the Great Depression, and in almost every
> conversation something would come up about its horrors. Plus other
> people in his generation.
> 
> Now it's true that the Fed was created in 1913, so I guess they could
> have eased the money supply in 1929/1930 and made the depression much
> less horrible. But they didn't, and Hoover refused to, so we had a
> deflationary spiral. Since then the Fed has eased the money supply
> whenever there was a severe recession, and we never had another
> depression, even during the worst of Covid.
> 
> People just love to diss the TARP during the last of Bush and beginning
> of Obama, and the various giveaways during the last of Trump and the
> beginning of Biden, but if either of these had not happened, we would
> have had a horrible depression, probably with 25% unemployment and the
> accompanying deflationary spiral that would have lasted for years.
> 
> Nobody likes inflation, but depression is much worse than any inflation
> the US has ever encountered. We had 18.1% in 1946, 8.8% in 1947, 8.7%
> in 1973, 12.3% in 1974, 9.0% in 1978, 13.3% in 1979, 12.5% in 1980, and
> 8.9% in 1981
> (
> https://www.thebalancemoney.com/u-s-inflation-rate-history-by-year-and-forecast-3306093
> )
> 
> We got by just fine in those years, although it was hard on those with
> fixed incomes. Compared to the Great Depression of the 1930's or the
> Great Recession 2009-2012, the inflation we've seen is a walk in the
> park. Inflation is a salary cut in terms of purchasing power, but a bad
> recession is a salary cut as masses of unemployed knocking on your
> employer's door, wanting your job, and willing to work for 30% less
> than you. And of course if you're one of the unemployed during a bad
> recession, you probably stay unemployed until the recession is over,
> especially if you're an older worker.
> 
> Yeah, the Fed overplayed their hand in 1982, causing a recession, and
> they're overplaying their hand now, which will cause a recession soon,
> but we never had another Great Depression, and I thank the Fed for
> that, as well as politicians who learned from history that when a bad
> recession hits, you pump money into the system instead of doing what
> Hoover did.
> 
> SteveT
> 
> Steve Litt
> Autumn 2022 featured book: Thriving in Tough Times
> http://www.troubleshooters.com/bookstore/thrive.htm
> ---------------------------------------------------
> PLUG-discuss mailing list: PLUG-discuss@lists.phxlinux.org
> To subscribe, unsubscribe, or to change your mail settings:
> https://lists.phxlinux.org/mailman/listinfo/plug-discuss
---------------------------------------------------
PLUG-discuss mailing list: PLUG-discuss@lists.phxlinux.org
To subscribe, unsubscribe, or to change your mail settings:
https://lists.phxlinux.org/mailman/listinfo/plug-discuss