Every morning i get to make this face as I read the "Associated Press" to see what drivel the upstream "news" source for the mayo empire has deemed fit to feed down to the masses, usually resulting in me making a face like this:

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a few days ago we got this real gem

Who wouldn’t like prices to start falling? Careful what you wish for, economists say

hmm well that sounds foreboding! what could possibly be bad about falling prices?

Wouldn’t it be great if prices actually fell — what economists call deflation? Who wouldn’t want to fire up a time machine and return to the days before the economy rocketed out of the pandemic recession and sent prices soaring?

yes! i think it would be good! i would like to be able to afford food that isn't spaghetti!

Many economists caution, though, that consumers should be careful what they wish for.

why?!?

Mainly because falling prices tend to discourage consumers from spending. Why buy now, after all, if you can purchase what you want — cars, furniture, appliances, vacations — at a lower price later?

um.... oki. so like, i can still spend less money? oki?!?

businesses would face intense pressure to cut prices even more

oh the humanity!!!

It’s certainly true that Americans can make their paychecks go further when prices are falling. If food or gasoline prices were to tumble, households would surely find it less painful to afford groceries or their commutes to work

oh my goodness imagine if those selfish people could afford groceries and commuting to work!

who will think of the businesses?!?! omg

anyways, i've spit all my coffee out. I love me some lib economic takes in the morning. so silly, so fun, we're so doomed. what a broken ass system

rant over y'all thank you :3

  • SpaceDogs@lemmygrad.ml
    ·
    3 months ago

    Call me an idiot or economically ignorant, but wouldn’t people spend more often when prices are low? Aren’t people more frugal when prices are high? I thought low prices encouraged people to buy more…

    • Adkml [he/him]
      ·
      3 months ago

      You're thinking like somebody with more than 5 minutes of real world experience.

      You'd think lower prices would mean higher consumption but you would he wrong because that would mean lower prices are good and they're bad actually because the people with all the money from the current system said so.