• Imperor@lemmy.world
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    4 days ago

    If Trump takes over the FED, the US economy will go into an absolute tailspin and depression. The only reason inflation has been sort of brought back under control is the FED. Trump has no fucking clue what he’s doing on a monetary level and neither does any of his ghouls and cronies.

    • relativestranger@feddit.nl
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      4 days ago

      they know what they’re doing. they’re lining all the right pockets. it’s just that they don’t give a fuck about anything else when it comes to ‘money’

      • Imperor@lemmy.world
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        4 days ago

        They know what they’re doing when it comes to funneling money into their own pockets, I agree here. But they’ll do it in such a hamfisted way, that it will bring down the entire house of cards, because they don’t understand or bother to understand the systems they’re pilfering. Though, this might very well be part of what they want to accomplish anyway.

      • JeremyHuntQW12@lemmy.world
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        4 days ago

        No they don’t know what they are doing.

        There is an economic theory called the J-curve. The idea is that if you cut public spending whilst cutting limits to bank lending, the private sector will make up for the reduction in public spending. J curve theory was popular in the 1970s, that period known for low inflation (/s).

    • N0t_5ure@lemmy.world
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      4 days ago

      There is a reason that gold is at an all-time high (~$3735). Even adjusting for inflation, it is higher than the 1980 peak following stagflation from the 1970s. Moreover, central bank purchases have been the backbone of the current gold market, with central banks now holding more gold than U.S. treasuries, something that hasn’t been the case since 1996. We’re witnessing the demise of the dollar as the world’s reserve currency in real time.

      • UnderpantsWeevil@lemmy.world
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        4 days ago

        There is a reason that gold is at an all-time high

        Yeah, loose monetary plus goldbug speculation. The spread between gold and silver, for instance, has been widening while gold and platinum contract.

        We’re witnessing the demise of the dollar

        We’re witnessing the reemergence of a multi-polar world. The dollar will take a hit. It’s not the end of dollarization.

    • mrmacduggan@lemmy.ml
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      4 days ago

      I think he knows what he’s doing, since all he’s really doing is stuffing his pockets. Doesn’t take a genius to cartoonishly sell out the entire planet’s economy for personal gain. I’m sure if he manages to crash the dollar he’ll be thrilled to roll out Trumpcoin as the alternative and then rugpull the world a second time.

    • aesthelete@lemmy.world
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      4 days ago

      Interest free money for the rich while the supply side of the house is incredibly fucked up, especially in key areas such as fucking food and shelter. What could go wrong?!

      I, for one, look forward to the arrested development $15 banana costs after the hyperinflation kicks in!

      /s if that ain’t obvious

    • UnderpantsWeevil@lemmy.world
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      4 days ago

      If Trump takes over the FED, the US economy will go into an absolute tailspin and depression

      We’re already 900k jobs off the beginning of the year estimate. Add in the tech sector investment in AI failing to pay out 2-3 years later, and Trump’s been kicking the shit out of a wheezing horse since he took office.

      Trump has no fucking clue what he’s doing on a monetary level and neither does any of his ghouls and cronies.

      Lowing interest rates on the eve of a recession has traditionally been a smart move. Much better than the Bush/Greenspan '06 decision to raise interest rates as the housing crisis began to spiral.

      But he’s plowing all this free money into a jobless crypto/tech bubble. Inviting enormous inflation in tech hardware and electricity, while these companies hemorrhage a bunch of jobs they have decided they don’t need anymore.

      This isn’t just Trump. It’s an economy wide death spiral that Trump’s being bribed into fueling.