I did not view the video since I don’t like to follow naked or near naked links.
You hit all the main points. I don't always agree w/Zeihan, but most of us knew we'd eventually be paying for the fed's recklessness during the pandemic. I got 3 bank deposits I didn't ask for, each well over a thousand bucks..."covid relief" deposits. And I didn't get covid, didn't lose a job over covid, wasn't effected by covid. And you can't return that money. But I knew I'd be paying it back one way or another.
Do you recall who proudly signed those checks with his big huge signature, reminding you of his "generosity?" Don't you dare forget, and make sure EVERYONE knows who it was.
Yep, it was $1,400 in March of 2021, with the passage of the American Rescue Plan Act of 2021, while proclaiming the covid outbreak was nearing an end. Thus a period of transitory inflation began, until the rest of the world caught up, which then became global inflation.
Don't forget the $1,200 rebate in early 2020, around June.The first payments, through direct deposit and paper checks with some later payments made by EIP 2 Cards, were issued between 29 December 2020 and 15 January 2021.
And OOPS, can't say another word, sorry, getting too "hot!"
Corporate Greed or the Revolution of the 1%
It might be popular to blame corporate greed, and certainly would be a factor, however the data indicates a massive surge in consumer spending in March, 2021.
How much credit card debt do Americans have?
I think in terms on current dollar v inflation adjusted. That $1.129T in current dollars is equivalent to $912B in 4th quarter 2019 dollars. Not really a good thing, but not end of the world.
True that. Even into the mid 80's, my mortgage fixed rate was 13% and my neighbors all had adjustable rates and wondered how come mine was so low.
Low??? this country/city boy didn't think so.
Yep, those were hard lean times. Younger people look at me in disbelief when I tell them about how tough it was.
That's a valid point, but the topic of interest rates Zeihan talked about above was not consumer credit but business credit.
Indeed. We bought our first home in those years. Assuming an 11 1/2% VA mortgage from the seller was all that made it possible.
The issue in the video is that the large bulge of population has or is retiring now. That means rebalancing their investment funds more conservatively and drawing those down into cash to invest very conservatively into CDs or Savings Accounts and living off it.
Maybe another thread would be a good idea. You could begin by posting verifiable factual info on how high interest rates are impacting homeless.
That's an important topic well deserving of its own thread. Exploring the impacts of consumer credit interest rates on homelessness should be interesting and we could probably learn something. But even commercial credit can figure in. Business closures and vacancies probably impact the homeless in terms of food options or even street "housing" in big cities when steam usage drops radically.
