I thought I had it figured out- but all I had done was read...

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havana19

431 Posts.

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12/04/20

16:32

Post #: 44008456
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Originally posted by pete11: ↑

didnt you get the memo? We live in a world where debt still doesn't matter, especially now since the Fed created another $6 trillion out of thin air and is handing it out for free, this will make the ultimate collapse much bigger, this virus collapse isn't the it moment, as they have managed to reflate the bubble, wait a few more yrs when inflation ticks up, they will be forced to increase % rates and than the whole thing will collapse, and the Fed won't be able to reflate that bubble, that will be a debt bubble , if the us govt had $50 trillion debt and we get inflation and the Fed has to raise rates to kill inflation, what will the us govt be paying on interest alone to service that debt at say 3% or 5%??
most of the US budget will not go on defence or education but on the interest bill to service that debt, you all tell me if that can go on forever? Surely not

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I thought I had it figured out- but all I had done was read about what happens to interest rates in hyperinflation times and surmised that this is when the big declines/collapse in markets happens. Im still trying to map out my prediction and I had todays declines continuing for say 2 years before interest rates start increasing and things get really bad. But reading your post I can see that maybe this decline will not be so bad and all the printing money will work at putting a band aid fix on things and that the negative affects on that will not be felt WITHIN this economic decline?
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0 Great analysis

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