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obezana (November 30, 1999 at 12:00 am)
omg............. duck tales. i had forgotten all about it. good warm nostalgia :) btw, excellent lesson. maybe if bushs staff had presented all the countrys problems in duck tales format we wouldnt have any issues today.lol
GemHudson (November 30, 1999 at 12:00 am)
Yes inflating to bail out banks is only a lack of depositing any real money. Play money is flipping more than houses but selling flipped house need the fundamental up trend of an prospering economics. What they bought into. They sold a deal all on a low, low down next to nothing sub prime payment. No credit check and we'll see what you could afford. They swapped credit and guess who defaulted. Ceased up credit is shut off.
Furienna (November 30, 1999 at 12:00 am)
It had to be oversimplified, so children could understand it. But even if the situation in this cartoon is exaggerated, the lesson is still there for everyone, who wants to learn it.
madcatzy (November 30, 1999 at 12:00 am)
It's like watching the Fed in action! print print print!!! LOL XD
WarVideo (November 30, 1999 at 12:00 am)
Somebody at disney read a history of weimer germany.
danoking69 (November 30, 1999 at 12:00 am)
Sharing and Exposing Truth, Corruption and Dreams. Take Action!!
commodore256 (November 30, 1999 at 12:00 am)
I remember that episode. Sometimes when I think of inflation, I think of this episode.
areitu (November 30, 1999 at 12:00 am)
If all prices are down, a dollar goes further but they still make less money, and the farmer wont have the credit to buy another farm if they default. Farms borrow on the assumption their goods are worth X-amount in the future. If deflation happens even just slightly, the farmer can be put in a tough spot, like people with ARMs: They can afford it, but just barely. HOWEVER, I didn't say we a central bank or the Fed is needed. In/Deflation can happen under any econ policy, free market or not.
Wittmann73 (November 30, 1999 at 12:00 am)
that should teach you, Bernake!
sandman4224 (November 30, 1999 at 12:00 am)
Poor example. With deflation all prices go down so your money goes farther. The 100K was an inflated price to begin with and may be only worth 50K. Does the bank want to lose that much leverage? No. It will restructure the loan or take the loss. The farmer can just buy another farm for the new price. Let the free market determine that and not central banks. End the FED!!! |