block30

What???? If that was the case we'd have parked all the 4th generations fighters in trade for a couple thousand 5th generation , 500 seawolf subs, 100 Columbia SSBNs, 20 Ford Class CVNs...that's not how things work.

NE_Pilot

In the magical world of MMT it is.

Gspeed

Sure it is. I never said you could spend without limit, but it’s also wrong to think that your yearly taxes paid for that $5,000 F-18 tire that gets changed every 5 flights. We’ve been deficit spending for years and yet inflation has stayed at 2-3%.

Seneca Pilot

Yes the government has continually massaged the factors that play into inflation reporting through the years to keep up appearances yet that Ford pick up that cost 9,000 in 1985 now costs 39,000, but no inflation to see here. Before we had a Federal Reserve we had no inflation for our first 120 years but once we opened the door to unchecked borrowing by our government our dollar has steadily declined ever since. Fiat currencies never last, ever.

Our federal government never spent more than about 3% of GDP until 1913 unless for war. Now it's approaching 40% and we are in perpetual war. Do you think that is a good or sustainable trend?

2StgTurbine

You either don't understand inflation or are purposefully "massaging" the data to prove your point of view.

The current F150 is not the same as a 1985 version. Does the 1985 Ford have heated seats, navigation, backup cameras? The current F150 has 100 more horsepower and better fuel economy.

$9,000 1985 is about the same as $21,800 today. That's about the price of a Chevy Colorado which still offers the consumer more than a 1985 F150. Sorry, but inflation is pretty stable.

Seneca Pilot

Real income is down due to stable inflation. Unchecked borrowing and growth of the money supply will result in a currency crash. There has never been a fiat currency that survived.

Heated seats 300.00, backup camera 250.00, navigation 250.00, 100 HP 500.00, fuel economy not better my 1985 Ford got 18 MPG, same as my 2017 Ram. Where did the other 11,500 go?

tripled

Don’t we have a poster in these forums named TANSTAAFL? I’d think he’d be all over this thread.

edit. Heh. He is without even knowing it!

3EngineTaxi

The 1985 half ton with an 8 foot bed can haul a bundle plywood. The modern compact pickup offers less then the old full size.

theUpsideDown

The 1985 half ton probably had a throttle body if you were lucky and you still had a distributor cap. No airbags, no four disc, probably no clearcoat, 100,000 miles meant a full overhaul, how many fuel filters had you run through? At least 2 water pumps and a new alternator to get it that many miles.

Never mind the compact will take it, get a few straps and tag the end of the plywood.

Seneca Pilot

Interesting, I did have the paint issue with my 1985 but Ford repainted it. I sold that truck and bought a new GMC in 1999. It had 212,000 miles on it and the engine had never been touched, not even a fuel pump or alternator. I changed the oil every three thousand miles and air filter every thirty thousand and that was it. I wish I could say the same for the 99 GMC or my 2017 Ram. Both have had problems.

The value hasn't increased at the same pace as the price. That is inflation. Inflation did not exist prior to 1913 in our country. The creation of the Federal Reserve and the resulting unchecked borrowing doomed our currency. It was worsened when we abandoned the gold standard in 1933 and severed all ties to gold in 1971. It is a slow process but there is a mountain of history pointing out the failures of fiat currencies. Inflation does not have to happen. Governments can live within their means and currencies can be backed by value. We unfortunately have the benefit of neither.