Quote:
Originally Posted by Jim Bremner
IF the $$ tanks hard and inflation skyrockets and wages follow the people in debt with OLD debt will be sitting pretty....
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yep. and if the economy continues at ~2% inflation then people with 3% loans will still pay. . .about 50% more than inflation, to rent that money.
and of course if one is in a 30% tax bracket, that pretty much washes.
From what I've read, and seen, the Fed is focused on producing ~2% inflation (new dollars) for the foreseeable future. ..regardless of output. Looking to push an outcome of (relatively) cheaper US goods and services, I suspect.