Thread: Contract 2022
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Old 06-20-2022 | 11:41 AM
  #1197  
JustNarced
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Originally Posted by Nantonaku
But would high inflation rates cause a depression either from normal economic forces or due to Fed over-reaction? That would effect Delta's earnings and push down the stock price. It seems like we are headed into unprecedented economic times. Never has inflation been this high with this much debt in the system. I don't see how this doesn't turn out bad for the whole economy. In my opinion the Fed starts easing again later this year, 8% inflation is something we are just going to have to live with. I read somewhere this week that government would be unable to pay 4% on its debt.
I agree with you. Inflation, to an extent, will bump stock prices. But when people quit using the dollar, then what exactly is the dollar stapled to? The cost of anything imported sky rockets. Next thing you know people will reminisce they days when a trip to the super market was only $200. Demand for non essentials craters. Again, I agree. No way they will contain inflation to 2% as the world disconnects from the dollar and our economy has proven to only function with an ever increasing supply of money.
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