Countries that try to stamp out the virus find it very hard to restart....

[hofmann]

KNN although my uncle is not the baotoh your neighbour type of voter but he very kiasi (the real mati kind) so he glad to hear that pap rikely will continue to raid the reserves since the money will not be his anyway KNN and he also sort of leelated to temasek gang oops but only at the most bottom protected layer KNN by the time reserves empty pap collapse my uncle already leetire liao KNN

after they finish raiding the reserves, don't you think they will want to top it up? it will come from all our pockets as they squeeze us even harder. $2000 PSF land. 15% GST. $50,000 COE. Minimum sum upped to a gazillion dollars. Etc etc

 

[sweetiepie]

your uncle is a lucky man. a lot of unlucky people out there not related to temasek gang. my heart goes out to them.

this lock down is hurting the bottom and top stratas of society (albeit in different ways.) the middle class is by and large enjoying the extended WFH break. a dream come true for many.

Despite news leeporting about how this gonna affect the economy and has already impacted some strangely my uncle still has not yet known anyone who has been greatly impacted KNN the middle class as you said still enjoying the wfh with celery and the lower class a taxi driver friend just took a break and same time he should be receiving help from pap KNN my uncle still see him living the same lifestyle as when he was still driving KNN perhaps the real impact will only appear at a much longer rate KNN my uncle guess the least impacted sinkie are those rike him kind near 55 yo with a essential job to last till 55 and need not care about govt topping up from whatever source including cpf KNN

 

[nightsafari]

US in particular, but also in other countries that have been printing money.

ah! good observation. allow me my theory please.

inflation is indexed to consumer goods. that has not been suffering a rise in prices because :

1. consumer goods are offshored to the cheapest place possible. that ensures a continually lowering cost base.
2. money is not in the hands of the poor(er) who have a higher marginal propensity to consume.
3. it is instead in the hands of the rich or the rich companies who either invest in capital goods which tend not to be in CPI
4. but far more likely they plough the money into capital markets which HAS had sustained inflation.

k?

 

[nightsafari]

don't get me in trouble leh... tolong tolong...

you can quote my sig. I really owe goldendragon and glockie that one...

 

[hofmann]

Despite news leeporting about how this gonna affect the economy and has already impacted some strangely my uncle still has not yet known anyone who has been greatly impacted KNN the middle class as you said still enjoying the wfh with celery and the lower class a taxi driver friend just took a break and same time he should be receiving help from pap KNN my uncle still see him living the same lifestyle as when he was still driving KNN perhaps the real impact will only appear at a much longer rate KNN my uncle guess the least impacted sinkie are those rike him kind near 55 yo with a essential job to last till 55 and need not care about govt topping up from whatever source including cpf KNN

perhaps your uncle has insufficient data. how many people can one uncle interact with right? 10? 100? but that's about it. the jobless and poor are likely to be staying at home rather than be out and about gallivanting for chance encounters with your uncle.

 

[hofmann]

ah! good observation. allow me my theory please.

inflation is indexed to consumer goods. that has not been suffering a rise in prices because :

1. consumer goods are offshored to the cheapest place possible. that ensures a continually lowering cost base.
2. money is not in the hands of the poor(er) who have a higher marginal propensity to consume.
3. it is instead in the hands of the rich or the rich companies who either invest in capital goods which tend not to be in CPI
4. but far more likely they plough the money into capital markets which HAS had sustained inflation.

k?

thank you very much. very enlightening food for thought. shall ponder this while i go search for some essential services to consume

to point 1, as Musk said, if we stop making stuff, there's no stuff to sell. at some point, there will be less/nothing to buy with the money being doled out. would that kick up inflation? like the banana notes of days gone by...

so i guess the question is: how long before we run out of stuff to sell. hmm...

 

[sweetiepie]

perhaps your uncle has insufficient data. how many people can one uncle interact with right? 10? 100? but that's about it. the jobless and poor are likely to be staying at home rather than be out and about gallivanting for chance encounters with your uncle.

In fact before the lockdown you could see the list of essentials is much longer list than the non essentials (that's why that time my uncle say KNN should list out the non essential instead of the essential KNN ) of course it still needs to breakdown into essentials essential and essential non essential eg taxi driver KNN after summing up my uncle see the actual non essential is not very big % probably that's the leeson he still haven't seen 1 KNN 2 of them he knows that run own business eg landscaping are non essential but he still happily postings in fb while taking breaks and having a lot of money in his bank KNN

 

[sweetiepie]

perhaps your uncle has insufficient data. how many people can one uncle interact with right? 10? 100? but that's about it. the jobless and poor are likely to be staying at home rather than be out and about gallivanting for chance encounters with your uncle.

Also my uncle believe some or many of these small business owners are actually leech one and they pretend to be impacted in order to kpkb and collect some money from pap KNN if my uncle is gov he will raid their bank account before giving KNN rike the landscaper he still happily drive his mpv to topup groceries and put them in fb KNN

 

[hofmann]

Also my uncle believe some or many of these small business owners are actually leech one and they pretend to be impacted in order to kpkb and collect some money from pap KNN if my uncle is gov he will raid their bank account before giving KNN rike the landscaper he still happily drive his mpv to topup groceries and put them in fb KNN

Yes I do agree that the middle upper classes are still doing alright for now. They have sufficient savings for at least 2-3 quarters of no business. But beyond that it's going to be very challenging for them.

SMEs that are efficient in their ops and overheads will be fine. Maybe half?

The other half are fucked.

We'll have a better indication come election when we see how much the vote share declines or increases.