Um, that's not a cure for inflation.

[Mik]

Of course it did.

[jon-nyc]

Cuomo did this too if I recall correctly.

And of course Trump and Biden.

[taiwan_girl]

@Mik said in Um, that's not a cure for inflation.:

Of course it did.

I was trying to make a joke.

[LuFins Dad]

@Axtremus said in Um, that's not a cure for inflation.:

Um, that's not a cure for inflation.

Neither is tariffs or lowering interest rates or increasing Social Security payouts.

Actually, Tarrifs are… and increasing Social Security payments is required by law to match inflation.

[Axtremus]

@LuFins-Dad said in Um, that's not a cure for inflation.:

@Axtremus said in Um, that's not a cure for inflation.:

Um, that's not a cure for inflation.

Neither is tariffs or lowering interest rates or increasing Social Security payouts.

Actually, Tarrifs are…

Tariffs are ... what?

... and increasing Social Security payments is required by law to match inflation.

You have any problem with Social Security increasing benefit payments when inflation is high? You have any problem with New York increasing benefit payments when inflation is high?

[Doctor Phibes]

Our company gave us an extra pay-raise and one-time payment to help with inflation a couple of years back. I was tempted to write a strongly worded email protesting this economically reprehensible approach to fiscal responsibility to my CEO, but instead decided that selflessly taking the extra money was the right thing to do for the benefit of the rest of the work-force.

[LuFins Dad]

@Axtremus said in Um, that's not a cure for inflation.:

@LuFins-Dad said in Um, that's not a cure for inflation.:

@Axtremus said in Um, that's not a cure for inflation.:

Um, that's not a cure for inflation.

Neither is tariffs or lowering interest rates or increasing Social Security payouts.

Actually, Tarrifs are…

Tariffs are ... what?

A cure for inflation. The best cure for inflation is getting cash out of the M2. Tariff’s can do that. Another cure for inflation is to reduce consumption and demand. Tariffs can help with that. And one of the biggest ways combat the negative effects of inflation is by improving local business and manufacturing wages. Tariffs on imports does that.

As for the NY thing, they aren’t increasing benefits, they are proposing creating one whole cloth. That adds $3B into the M2 when you’re supposed to be cutting money in the M2.

It also punishes married couples, did anyone else notice that?

[taiwan_girl]

@LuFins-Dad I dont know enough about their proposal, but where is the money coming from?

With the national government, I can udnerstand how the money supply increased. I think that they just printed more money. But I dont think that the state can do the same thing, correct?

[LuFins Dad]

@taiwan_girl said in Um, that's not a cure for inflation.:

@LuFins-Dad I dont know enough about their proposal, but where is the money coming from?

With the national government, I can udnerstand how the money supply increased. I think that they just printed more money. But I dont think that the state can do the same thing, correct?

The money is coming from their collected sales tax, which has increased as prices increased. If they used the funds to pay down some of their debt, the money would still be in the M2 but not the M1. By putting it directly into the hands of people, it goes directly back into the M1. Short term gain for the individuals, but causes long term inflationary damage.

[taiwan_girl]

@LuFins-Dad Thanks!!! Makes sense.