Economists are idiots.

Economists are idiots.

What are they all waiting for ? There is only ONE VERY SIMPLE solution to all the problems in the world economy: MAKE AVAILABLE HOMES THAT HAVE A RELATIVELY CHEAP RENT!!!

Now if people would only accept the simple fact that renting a home is OK, it isn’t a sin, it can be done, and you could have alot of extra money left over, the economy would fix itself very quickly. In Japan and the EU, rents have always been sky high, that is why they have been in a recession - depression for decades. The USA has much more choice available, but then everybody thought that they had to buy a house. What an idiotic idea! Just rent, and with all the money that has been given to banks, they could have paid the rent for 10 years for 100 million families in the EU, USA and JAPAN. And then with all those houses coming on the market for rent, the price for renting would decrease, a win - win situation.

But the economists keep on blattering all the idiotic talk about research, flexibility, innovation, etc. The only real innovation is having everyone rent so they have more money left over to consume and buy furniture, cars, vacations, etc. etc.

Market capitalization seems to have lost 10 trillion dollars (no one will ever know the truth, these numbers fly around, nobody knows or will ever know, it could be a million trillion or a trillion …) , so 100 million times 10 years times 10,000 dollars a year, there goes the money to pay for renting.

Who puts up the capital for the housing to be rented? Either capitalists or us via the government. Capitalists could do it, say for $500 a month, and that’s by far the most efficient method, charging rent according to supply and demand, but they won’t do it without a profit. If the government does it, setting rent at an arbitrary figure, say $300 a month (and how much politics goes into deciding that), but the capital needed for construction, upkeep, depreciation and the inevitable bureaucratic government waste for the rental comes out to be $600 a month per unit, who makes up the difference? We do. So how do we benefit?

This whole thing started with Carter (and later on, Clinton) pushing financial institutions to provide “affordable housing” to people who couldn’t afford them. They just kept piling it up, mostly in the quasi-government financial institutions, Fannie Mae and Freddie Mac, until it crashed. (To top it off, one of their CEOs cashed out not long before the crash and became an economic adviser to Obama.) We need as little interference from the government as possible. The capitalist could probably rent the same unit for $450 without all the government red tape.

Housing problems are so easy to solve that it is not even funny: any company can just manage a stock of homes available in any area on behalf of the owners and rent them out accordingly. If the owner needs the house right away, the company can put the family renting into another nearby home for rent available and empty. Everyone gains, both owners and renters. There are millions of empty homes available but closed because banks and owners who think a property must be worth much more than it really is keeps them closed instead of putting them on the market.

Perhaps not quite that simple, but yes, what you’re saying is let the free market handle it.

If economists are idiots then so are you for believing them when they say there is an economic crisis.

Economists are the only people saying that there is an economic problem, and if they’re idiots, then why do you believe them?

I like this thread…
mainly because no one in this thread seems
to know anything about economics.

Kropotkin

Yeah, thank God you’re here.

It may very well be true: a conspiracy theory on the economic crisis, there really is no economic crisis, it is just an excuse for banks and companies to rob more money from the government and get rid of alot of people that are dead wood in companies. Then again if you think about it, how on earth can you ever really know the truth ? all the information is just invented and created on the fly by the “economists”, the media, companies, banks etc. What is really true ? how on earth can you possibly verify it ? can you look into the books of banks and companies ? can you be sure that it is not all invented, a huge scam ? anyone can write numbers on a piece of paper and say, I lost this amount of money, or vice versa, may company is worth this amount. Market capitalization ? is it even real ? is anything real and verifiable ? very strange… beware, they are hosing entire countries and trillions of dollars…

There is no crisis otherwise houses and cars would cost one tenth of what they cost.

So, you’re saying the economists are right and there is an economic problem?

Yeah, we should all listen to the anarchist-communist’s views on economics–there are so many successful examples of it in the world. Or wait, are there any examples at all?

The Paineful Truth: Yeah, we should all listen to the anarchist-communist’s views on economics–there are so many successful examples of it in the world. Or wait, are there any examples at all?"

K: There was a anarchist society within the last 100 years. But I don’t want to spoil your
fun, so see if you can find it.

By the way, anarchism are different than communism. They have different viewpoints
about economics and government. You cannot equate the two for they are substantially different.

Kropotkin

K: There was a anarchist society within the last 100 years. But I don’t want to spoil your
fun, so see if you can find it."

K: OK, I give you a hint, 1936-39. Later, I tell you the continent.

Kropotkin

Another reason economists (and scientists, engineers etc.) ARE ALL IDIOTS is because they expect the “electric car” or some “alternative energy” to solve the global warming and the Peak Oil - Energy Crisis problem, and to “create Jobs” and to solve the Economic Crisis etc.

What would really have a HUGE EFFECT and really make a difference is simply MORE SIMPLE GASOLINE BUSES AND BUS LINES THROUGHOUT THE USA AND THROUGHOUT THE WORLD.

If you look at how much it would cost to introduce 100,000 bus lines in the USA and what huge return on investment it would be in terms of gasoline saved, global warming improved, etc. it is mind boggling! Those amount of buses would cost 100 billion dollars. The USA spends 500 billion dollars a year on “Defense”, chasing ghosts in Afghanistan etc. They have bailed out, saved, TARPED and whatever else trillions of dollars, with NO RESULT AT ALL.

How can people be so stupid ? They want a technological solution, the solution is to change BEHAVIOR and use PUBLIC BUSES. You really can’t teach an old dog new tricks…

Actually if you look at the way the USA is structured, you could probably pull it off with even much fewer buses. Most urban areas and extending suburbs and exurbs are essentially made up of mostly residential areas, and a few Main Streets, and a few areas with Malls and shopping centers. Some areas also have office parks. It wouldn’t be so hard to devise an optimized network also using internet calling etc.

The rest of the world is very high density living, so in theory it is even easier. You just need a well thought out network and with the help of the internet it could be done. You got places like India and China that want to have millions of cars, they are getting it all wrong they should invest in thousands of buses and bus lines.

Yeah but go ahead with the fairy tale of the “electric car”, that will really work…

in a sense, the world makes believe it is poor. It creates false “scarcities”, like housing and transport. With the know how, technology and amount of labor available, you could very easily produce enough homes, and public transport, and all the basic goods at a very low price and very quickly. But the system needs to create bottlenecks, needs to create false scarcities that are perceived as real. The USA has millions of homes that are closed, but if they went on the market the price of buying and renting would be very low ultimately. Think and average single family in the USA should cost not more than 80,000 dollars and an avergage rent not more than 300 dollars a month.

But you got to create instabilities, choke points, change where the jobs are, concentrate them in an area and make all the prices skyrocket, etc. In the rest of the world this is often even much worse. We live in a global economy that is actually hugely rich, but must create, on purpose, and for the benefit of those already rich, huge simulated and false scarcity. No homes, no public transport, no jobs, etc. What an idiotic system, that is why progress has ended long ago, we have been going backwards for years.

Some say that if there were all the basics for everyone, the population would increase even more, but that is not the case, when societies are rich the population stabilizes.

It is always a fight between will powers, between people, some who want more, some who want to break the rules.

The fact that so much importance is given to such a basic and fundamental item as housing, that so many people must make money off either rents or banks and financial entities must make money off people buying houses shows just how little real productive work is available anymore. The oldest thing in the world, that is shelter and territory is still the center of economic activity, is still the fighting ground. All those people collecting rents and banks collecting mortgages aren’t doing any work at all, they are all parasites, but all is well in the so called “new economy”, in our “so advanced economy”, in our technologically advanced and scientific economy. So much so, that no one recognizes that there is very little real work available anymore, only speculation on housing is available, only squeezing poor people out of housing is available.

Man is and will always be a primitive beast.