09-20-2020, 05:11 AM
Maybe people in North Dakota have realized their money will soon have no value and are finding other ways to support themselves? I know this seems crazy, but we are on the path to hyperinflation if the Fed doesn’t stop printing money to buy assets nobody wants and continue artificially inflating the stock market.
At some point, people are just going to have to accept massive losses. They can come in the form of bankruptcies that result in creditors losing money they thought they were getting. They can come in the form of massive taxing events. They can come in the form of holding the bag after buying equities much higher than you find them currently worth.
We seem to have this mindset that we can get out of debt by printing money. It’s almost like central banks have realized it’s easier to devalue currency and slowly deliver pain to people over time, than it is to allow massive metaphorical financial earthquakes to re-set the landscape.
At some point, people are just going to have to accept massive losses. They can come in the form of bankruptcies that result in creditors losing money they thought they were getting. They can come in the form of massive taxing events. They can come in the form of holding the bag after buying equities much higher than you find them currently worth.
We seem to have this mindset that we can get out of debt by printing money. It’s almost like central banks have realized it’s easier to devalue currency and slowly deliver pain to people over time, than it is to allow massive metaphorical financial earthquakes to re-set the landscape.