American household wealth surges to new record

[Karmashock]

http://www.reuters.com/printerFriendlyPopup.jhtml?type=bondsNews&storyID=7868333

Well... the economy is doing well... realestate prices are going crazy... and the west coast is going to go vertical soon (we've been building one to two story buildings in massive sprawels for decades... we're going to start going skyward... just retarded growth)...

Anyway, glad my family's big into cali realestate... CASH! :banana:

[JADezimar]

Ya I need to buy a home or 2,:P soon before it gets to expensive to own, period.

[stats]

my mum just sold a 3 bed SMALL ex-council house. that means it was purpose built for cheap nasty accomidation...

It sold for £290,000 or over Half a million dollars...

Just for being in a village with access to both cambridge and london... I dont know what house prices are like in the states - but around london and around cambridge - two areas where there a more highly skilled jobs available than there are people to fill them. The house prices are MAD!

[Karmashock]

the 'states' is a big place... some areas are just blowing away... everyone leaving and the whole area drying up... You see this in some of the plain states... old farming towns dying... old mining towns dying... old cattle hubs bypassed and without a purpose... other places are crazy... Cali is crazy... For commerical property, the capital investment per revienue is something like 5 to 6 percent... a good rate is supposed to be nearer 10... around the bay area, I've heard it's about 2 percent or lower... that basically means property values are sky high but the amount of money you can actually get from renting them out hasn't gone up with them... Means its a good time to sell.

[JADezimar]

STats
two areas where there a more highly skilled jobs available than there are people to fill them. The house prices are MAD!

You have For the 1st time of my life made me wish I lived in your country! (talking about the jobs.)

[Dibujante]

Er...the net wealth is in no way correlated to actual wealth of actual people. If Bill Gates makes another billion dollars, net wealth goes up. Only Bill Gates gets richer.
If the economy is doing so well, how come jobs in high-tech are in the shitter? Or is "the economy" measured merely by the pocketbooks of the wealthy?
Regards,
Dibujante

[LardGibs]

Wealth is being able to buy 2 houses for the price of one. If you can sell a house and buy a house... that's inflation.

OMG I'm so wealthy I live in a million dollar house, pay 40K a year in college tuition, and drive a 50K SUV. Only if it's in 1970...

Energy: up. Food: up. Insurance premiums: up. Interest rates: up.
Wages: down. Taxes: down. Debt: way up.

[tom]

Large debt = not good.

I also question the true overall wealth of the country. Most of this "wealth" the article speaks of is probably tied up in the upper class and the higher tier of the middle class.

The poor get poorer, the rich get richer, etc.

[The Dark Messenger]

Ban loan companies. I wish they'd do that over here. Annoying fucking adverts...

[JADezimar]

Credit is what has cuased the huge influx of inflation. Yes inflation would always exists, but credit just accelerated it to an unbearable rate.

In the last 10 years we have way more jobs than we had 10 years ago. So something is going right.

[Karmashock]

Er...the net wealth is in no way correlated to actual wealth of actual people. If Bill Gates makes another billion dollars, net wealth goes up. Only Bill Gates gets richer.
If the economy is doing so well, how come jobs in high-tech are in the shitter? Or is "the economy" measured merely by the pocketbooks of the wealthy?
Wealth is messured over all. Rich people at the top put their money into investments. Those investments are typically to the benifit of the US economy.

This means more job creation, more company starts, fewer bankrupsies, and less debt.


Do you see a downside? No? Good.
=========================================
Wealth is being able to buy 2 houses for the price of one. If you can sell a house and buy a house... that's inflation.

OMG I'm so wealthy I live in a million dollar house, pay 40K a year in college tuition, and drive a 50K SUV. Only if it's in 1970...

Energy: up. Food: up. Insurance premiums: up. Interest rates: up.
Wages: down. Taxes: down. Debt: way up.
Actually, these are all in real terms so the growth in wealth is not artifical.

What do you do for a living LG? If I started making layman guesses about highly technical aspects of your work would you respect my opinion? No, you'd rightly call me a retard and then tell me to shut the fuck up until I got a clue.

*looks at LG*

That's right.
======================================
Credit is what has cuased the huge influx of inflation. Yes inflation would always exists, but credit just accelerated it to an unbearable rate.

In the last 10 years we have way more jobs than we had 10 years ago. So something is going right.
uhhh... debt is only a problem when you can't pay it back or the crediting agency dies as a result of you not paying it back.

Other than that, it increases the liquidity of the market and makes business run more fluidly. It's a good thing.

Economies without credit always have horrible economies.

Amor et pax, Karmashock.

[JADezimar]

Credit is still the reason for inflation regardless of how needed it is.

[LardGibs]

Actually, these are all in real terms so the growth in wealth is not artifical.

What do you do for a living LG? If I started making layman guesses about highly technical aspects of your work would you respect my opinion? No, you'd rightly call me a retard and then tell me to shut the fuck up until I got a clue.


Dude, you're inarticulate at best. Should I convert them all into 1972 dollars for you sweetness? If you think discounting cash flows is highly technical I can teach you how to use the rest of the buttons on your calculator.:lol:

If you made layman guesses about my work the janitor would be sweeping your grisly innards up and placing them in the trash.

We however all participate in this economy and make irrational decisions based on incomplete information, so please do make a more solid effort to enlighten us laymen on the mystical correctness of your statements.

Money supply = fake. Billionaire wealth=paper from the consensual illusion of the stock market, not liquid assets. CPI=fucked due to import garbage.

The original package of evidence you offered was that high housing prices=wealth, so please do broaden your position in a more appropriate manner.

I could put on my tinfoil hat and wonder why the latest data on this page (http://www.whitehouse.gov/fsbr/income.html)are all from 2004 except for one metric...


And JAD, replacing steel mill jobs with McJobs and Walmart jobs is not an improvement. I also love the way that unemployment goes down when people give up looking for a job, that's just supar.

[JADezimar]

And JAD, replacing steel mill jobs with McJobs and Walmart jobs is not an improvement.

You tell me why steel mill jobs are being replaced? And tell me how wallmart and mcdonalds can make up for the millions of new jobs that have been created in the last 10 years. We are living more luxuriously than we were 10 years ago. So again something must be going right.

I also love the way that unemployment goes down when people give up looking for a job, that's just supar.

Oh How is that in context to what I have said?

[Dibujante]

You tell me why steel mill jobs are being replaced? And tell me how wallmart and mcdonalds can make up for the millions of new jobs that have been created in the last 10 years. We are living more luxuriously than we were 10 years ago. So again something must be going right.
Er....ever since Fordism, living in a free market, you are not. Jobs and luxury are a result of demand-side, not supply-side. Simple history, simple math, simple philosophy.

Wealth is messured over all. Rich people at the top put their money into investments. Those investments are typically to the benifit of the US economy.

This means more job creation, more company starts, fewer bankrupsies, and less debt.

Do you see a downside? No? Good.
The downside is supply-side economics. It worked in the 1800s, but it will not work in the 2000s. Supply-side economics disrupts and destroys worker markets and reverts to a laissez-faire system typicalized by the mass consumption of net production exclusively by the bourgeoisie constituting the entirety of demand. That's incompatible with the current U.S. economy.
Regards,
Dibujante

[Karmashock]

If you made layman guesses about my work the janitor would be sweeping your grisly innards up and placing them in the trash.
You're in the exact same boat, chuck. you're just too fucking stupid to see it. :howdy:

[LardGibs]

mmm yess I'm so satisfied by your rebuttal karma. a pleasure as always.


:kelet:

[LardGibs]

Supply-side economics disrupts and destroys worker markets and reverts to a laissez-faire system typicalized by the mass consumption of net production exclusively by the bourgeoisie constituting the entirety of demand.
<3<3<3

[Karmashock]

mmm yess I'm so satisfied by your rebuttal karma. a pleasure as always
And thank you for your token bitter remark... always breath of fresh air and a ray sun shine. :oohoo:

[Lt_Omega]

An economy with no credit tends to be an economy that moves slow and underpaced. There's more likely to be underutilized wealth (unemployment) in economies with insufficent credit opportunites.

The danger of supplyside/credit is mainly that resources tend to be misallocated, but at the same time they do lead to an increase in production and employment. The more effectively utilized the credit, the longer the production run and employment (I'd favour Demand side economics for the allocatement of resources.)

BTW are steelmill jobs more automated now? If they are, Why would the owners need to employ many workers when the same amount of work could be done with just a few.

[Karmashock]

An economy with no credit tends to be an economy that moves slow and underpaced. There's more likely to be underutilized wealth (unemployment) in economies with insufficent credit opportunites.
Last time credit was banned was the middle ages... the only place that still bans credit are some middle eastern countries...


It's fucking stupid... don't do it. :lol: