this post was submitted on 19 Sep 2023
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Work Reform
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A place to discuss positive changes that can make work more equitable, and to vent about current practices. We are NOT against work; we just want the fruits of our labor to be recognized better.
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- All workers must be paid a living wage for their labor.
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- Higher wages for underpaid workers.
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A small amount is good. Deflation makes it so not spending money is more beneficial. The longer you wait to spend the more the money is worth. This causes fewer products and services to be purchased, which pays for wages. Inflation makes the opposite true. The longer you wait to spend your money the less it's worth. It encourages spending, not saving. Inflation that outstrips increases to pay is obviously very bad though.
Note that a critical part of that equation is that wages are included in the inflationary trend.
But other than that explicit detail, that's spot on. Ultimately money is a "trick" we use to influence our productive behavior. So a slightly creeping number works best to make the "money" move instead of sit still, and the whole point of the mathematical model is that the things need to move around.
With all of the credit balances being carried, I question the whole "people will just wait instead of spending because it will be more financially advantageous". I'm also not so sure we really need an economic system that encourages and depends on increased consumption. It would be nice if we had a system that could handle inflation, stagnation, and deflation without imploding on itself.
To me, the biggest factor is that it means debt burdens get lighter over time, assuming you are at least covering interest (if not then interest will outpace inflation, though even the growing debt will be cheaper over time vs what it would be without inflation). Oh, also assuming wages match inflation, which is the other big factor. Your employer can save money over time just by being stingy with raises.
Does deflation decrease all spending or just luxury and investments?
Just luxury spending and underperforming investments. Essential spending can't be deferred, and worthwhile investments will outpace any natural rate of deflation. Forced inflation drives conspicuous consumption and malinvestment, but in doing so it increases monetary velocity, which helps bankers and tax collectors extract higher rent from the economy.
This is something you can think about from a micro economic level! think of your next big dollar purchase. Maybe its a car, or a TV or a computer or a kayak. Whatever it is, you probably have to save up to buy it, you probably spend a lot of time researching and thinking about which one to buy, and you wait for a good time to buy. If you know that simply waiting another few months means you can get it for cheaper, would you? If the answer is yes, then that's how deflation would effect every luxury and other non-necessity purchase
What's the payoff in sending billions to the state known as Ukraine aka the former world's largest illicit arms trafficker since the fall of the ussr?
What's the payoff of you inserting obvious Russian propaganda spam into a story about American labor?
There is none. Go away.
Learn your history dumb fuck. You don't have to believe me. You still haven't answered what's to gain by pissing tax payers money away to a failed eastern bloc state that formerly peddled weapons to our enemies.
The price of food is increasing at around double the rate that everything else is. This indicates food prices are the driver of inflation.
What could be the cause of this? Is there any disruptions in the food supply somewhere in the world? Like for example a staple food like grain? What's causing this disruption?
California is the breadbasket of the world and certainly the US and produces far more grain, nuts & corn. Learn your shit.
Your comment is the dumbest thing I've seen on the internet today. Congratulations?
Who are you and why would I give a shit what you've seen today or about you?
I can't explain why you're making stupid replies to my comments. That's something only you would know.