- 919
These interest rates are pathetic, as is our savings environment for the last few decades. No wonder our economy is a mere ghost of what it used to be...
Best Rate for a Fixed Period SPIA
- Thread starter OldStandard
- Start date
non-sensical; sorry. Low rates help business raise funds, etc. The economy is of course helped by low rates, even if savers hate it
- 924
Really? Interest rates are kept artificially low to help the economy? Stop and think about that for a minute. I know that is the official line, but haven't we recovered? Isn't the market at record highs? They can't have it both ways. This is what is really going on:
If interest rates were at the level they should be, let's say 6% for fun's sake, then the government would have to pay interest at around those rates on the national debt, on Social Security cost of living increases, and on federal pension cost of living increases. Federal pensions, by the way, are getting to be as serious an obligation-maybe more so, then SS obligations. Especially more serious since there is no money coming in with pension debt and at least something is coming in with the SS system.
Just for starters, try multiplying 6% times $18 trillion. Warning: your calculator probably cannot display that many digits. Once you guesstimate that figure, if your stomach is up to it, look up what COLAs would be for pensions and SS paid at 6% -and use the real inflation factors, not the B.S. the government claims is the current inflation rate.
If interest rates were at the level they should be, let's say 6% for fun's sake, then the government would have to pay interest at around those rates on the national debt, on Social Security cost of living increases, and on federal pension cost of living increases. Federal pensions, by the way, are getting to be as serious an obligation-maybe more so, then SS obligations. Especially more serious since there is no money coming in with pension debt and at least something is coming in with the SS system.
Just for starters, try multiplying 6% times $18 trillion. Warning: your calculator probably cannot display that many digits. Once you guesstimate that figure, if your stomach is up to it, look up what COLAs would be for pensions and SS paid at 6% -and use the real inflation factors, not the B.S. the government claims is the current inflation rate.
this is "the official line" because it's accepted economic fact. However of course you are welcome to disagree.
- 10,826
Historically it has been generally accepted... but many economist are disagreeing with that sentiment for the current recovery. The current low rates are helping wall street, not main street.
At this point low rates are for two reasons, keep the market bubble artificially sustained and keep debt payments artificially low.
- 924
Whether you agree that there is a degree of deception or not, the end result is not good. The longer a lid is put on where rates want to go, the worse the eventual outcome.
As for deception, why on earth would anyone suspect our government of lying to us?
As for deception, why on earth would anyone suspect our government of lying to us?
That's the whole problem. They are like crack addicts. The more they lie, the more they have to lie. And they've lied so much, they now believe their own lies as the truth. I honestly don't believe about 98% of what they say anymore. And even when they get caught in a lie, nothing happens. Its all a big load of horse... if you ask me. The house of cards will come crumbling down at some point (I'm sure after Obutthead is gone and he can't hold the lid on anymore).
- 924
And inflation is officially 1.3% -or it was for the first half of the year. Are you buying that too?
