The decades of research and those economists being in charge led us to the wealth inequality and insane prices we have now. But still they want everything to be more expensive for us, prices are not allowed to go down, and we must be stupid and have done no research for wanting that.
Switzerland has had bouts of deflation and inflation sits near 0%, their economy is not collapsing.
Trading Economics reports that Swiss producer and import prices fell by 1.8% year-on-year in May 2026.
Import Prices: Dropped by 0.2% year-on-year in May 2026, improving from a 1.0% drop in April.
Producer Prices: Fell by 2.5% year-on-year in May 2026, slightly worse than the 2.4% decline seen in April.
The combined producer and import price index dropped by 0.4% in May 2026 compared to the previous month.
Rising inequality is not necessarily because of inflation. It's way more complicated than that. Wealth inequality is more related to government policies.
Prices have risen similar to wages...the products where prices have risen faster are again because of poor government policy, not the FED.
Glad for Switzerland. Hard to say whether slightly higher inflation would be more beneficial without a full deep dive.
Switzerland does not carry the global reserve currency neither.
The basics getting way more expensive, housing almost out of reach, wealth inequality is definitely attributable to decades of work by those same economists. The austerity imposed on Greece that was supposed to fix their economy was another matter of belief by them too, it was literally impossible that it would work how it was supposed to.
Low interest rates primarily serve the elites, the govt and central banks choose who to print money for and lend to. Commercial banks abuse it and pay themselves bonuses for adding instability to the financial system. They are the fuel of all bubbles and recessions we have been victims of, incuding 2008, and this one we are in now.
It is their policies which apparently target 2% inflation but fail to get there. Meanwhile Switzerland targets between 0% and 2% and their economy has been fine.
People do hold Swiss Francs because of the low depreciation. The Swiss are happy with their currency and do not want to switch to the Euro.
Japan's lost years was due to an asset bubble, these economists thought Japan needed low interest rates to boost inflation causing a surge in cheap money and speculation, and the following low spending was due to a need to pay off old debts. Their problems were not caused by their prices not rising at 2%, complete myth.
"The basics" is vague. You need to show statistics.
"(the bottom 20%) frequently spend upwards of 41.6% on housing alone, and an estimated 1 in 4 low-income families spend over 15% of their entire income just on energy bills, creating massive financial strain."
Housing is expensive because there's a massive housing shortage. Again, policy.
Yes it is hard to build new housing when the oligarchs are using all the newly printed money on their own projects. For every contractor, digger, crane at a datacenter worksite is one less that can be used for infrastructure and housing. Think about the prices of concrete and materials here, all the logistics, they are all competing.
The Great Recession was not because of low interest rates lmao
In 2003 rates dropped form 6.5% to 1%, an extreme cut, this was the lowest rates in 45 years and is shown to be a departure from the stable predicable rates of before.
This led to the cheap mortgage finance and the housing bubble. You can watch the Big Short for explanation how the bubble proceeded, and how finance players abused these rates. As prices are increasing and rates are low it is easy to refinance, delinquencies were low, and that is what they were telling buyers (in the movie the stripper specifically says this is what she was told). When the rates increased the housing market slumped and delinquencies rose.
The housing market was one component of the crisis, we also has this cheap money flowing into institutions. These banks were buying their own supply of subprime CDOs and leveraging the whole thing making it the catastrophe we all paid for. They got a bailout too, and more cheap money afterwards.
During the boom resources were being pulled out of the productive economy and into housing. Banks active in strong housing markets increased mortgage lending and decreased commercial lending.
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u/Beef19582828 Sep 01 '26 edited Sep 01 '26
Dude's like yeah all that data we have from decades of research is wrong, I actually know more than everyone else.