CanadianLoonie Posted October 6, 2015 Share Posted October 6, 2015 I don't understand why all the free market hawks are against fiat currency. Let the market decide what the currency is worth. (If the government can significantly control the value of the currency, every modern economy wouldn't have currency issues) Cleary you haven't been to Argentina or Venezuela over the last decade... Link to comment Share on other sites More sharing options...
Hugor Hill Posted October 6, 2015 Share Posted October 6, 2015 Cleary you haven't been to Argentina or Venezuela over the last decade... Why are you always talking about South America? It's like you need volatile developing economies to defend your points. Link to comment Share on other sites More sharing options...
ronthecivil Posted October 6, 2015 Share Posted October 6, 2015 And they don't talk about the fact that there are a lot more zeros at the end of our pay cheque than before. It's just inflation where wage catches up over time. All and all not too much has changed in terms of what your pay chq can buy you. Although Gen Y is worse off than their parents. That seems to be a fact, a historical first where the next generation is worse off. Yup. Which is why one should look at Japan as we start having an economy and demographic profile that mimics theirs. In good news for the Millenials, there's probably going to deflation in things like housing, and it's looking that saving (no need to hoarde shiny metals or buy into the S&P 500) will be a good bet over the next decade. Of course, there's still going to be some productive parts of the economy that will be nice to have some ownership in as well. 1 Link to comment Share on other sites More sharing options...
mdehaan Posted October 7, 2015 Share Posted October 7, 2015 Good ol' Canucks.com Why talk about investing when you can argue with metal licking conspiracy theorists? Some one brought up a very good question above, about investing in silver certificates, etf's etc. versus the real thing. It would be important for people to know, wouldn't you say? The very best part of this post is the fact you have never been able to debunk anything I've said. Why don't you just tell us what your conflict of interest is. 1 Link to comment Share on other sites More sharing options...
mdehaan Posted October 7, 2015 Share Posted October 7, 2015 On the other hand, it's a great example showing that the rate of return, over 2500 years, for gold is zero. Still just sits there looking shiny..... Sure, someone that stuffed dollar bills into their mattress would be SOL.... Of course, the truly rich people would advocate neither. They tend to invest in things that actually do something and make money, the form of which is of course relatively irrelevant so long as you can exchange it at will. But hey, why worry about math and logic? The rate of return denominated in dollars, which in its current form have only been around for 44 years out of 2500 and will not be around in its current form in another 40 years? That rate of return? Do you have children? Prove the 'truly rich' don't own gold. Your first sentence was very logical by the way. What you described is stability over basically, forever. Link to comment Share on other sites More sharing options...
mdehaan Posted October 7, 2015 Share Posted October 7, 2015 And they don't talk about the fact that there are a lot more zeros at the end of our pay cheque than before. It's just inflation where wage catches up over time. All and all not too much has changed in terms of what your pay chq can buy you. Although Gen Y is worse off than their parents. That seems to be a fact, a historical first where the next generation is worse off. Are you ok with saving $100/month today, knowing that in 20 years it will buy you $50 worth of goods? Are you ok with saving $10,000/month today know that in 20 years it will buy you $500 worth of goods? Link to comment Share on other sites More sharing options...
Hugor Hill Posted October 7, 2015 Share Posted October 7, 2015 Are you ok with saving $100/month today, knowing that in 20 years it will buy you $50 worth of goods? Are you ok with saving $10,000/month today know that in 20 years it will buy you $500 worth of goods? Your numbers are wrong. Link to comment Share on other sites More sharing options...
RRypien37 Posted October 7, 2015 Share Posted October 7, 2015 Good money to be made with these daily SPY swings this week. Link to comment Share on other sites More sharing options...
mdehaan Posted October 7, 2015 Share Posted October 7, 2015 Your numbers are wrong. Really, based on what? The price of a house in Vancouver? A lb. of beef? Insurance? The TSX? Link to comment Share on other sites More sharing options...
Hugor Hill Posted October 7, 2015 Share Posted October 7, 2015 Really, based on what? The price of a house in Vancouver? A lb. of beef? Insurance? The TSX? You are not taking interests and / or investment returns into consideration. Over 20 years most investments would do better than inflation. Only mattress savers would suffer from your scenario. Link to comment Share on other sites More sharing options...
Hugor Hill Posted October 7, 2015 Share Posted October 7, 2015 The rate of return denominated in dollars, which in its current form have only been around for 44 years out of 2500 and will not be around in its current form in another 40 years? That rate of return? Do you have children? Prove the 'truly rich' don't own gold. Your first sentence was very logical by the way. What you described is stability over basically, forever. Prove that they do. I have never seen a successful investor advocating actual gold as a significant part of their portfolio. Maybe god derivatives, or gold mining companies stocks, but not actual gold. Though I don't doubt some buys it as a jewelry type of investment. Link to comment Share on other sites More sharing options...
Offensive Threat Posted October 7, 2015 Share Posted October 7, 2015 Although Gen Y is worse off than their parents. That seems to be a fact, a historical first where the next generation is worse off. Thats what they told us Gen Xers. We would be worse off than our parents. In the 1990s they were telling us we would all be replaced by robots in 20 years. They were telling kids going into University to not bother studying accounting as they would be replaced by a computer program within 10 years. Ignore what they tell you about the future because they are talking out of their asses. If you dont go to school or get a trade a Gen Y will probably be worse off. If you go to school but study philosophy or Egyptian poetry you may well be worse off. If you chart a career path and take the schooling to get you there you will be just fine. Thats the reality. People seem to think the baby boomers just fell ass backwards into giant pools of money. My parents are boomers. They are retired and they are well off but when I was a kid we lived in rentals. We had hand me downs and did without things while my Dad worked during the day and went to college at night. Both my parents worked once us 3 kids were old enough to go to daycare. They worked hard and saved and invested. Nothing was handed to them. We have so much more than they ever did and we call ourselves worse off. ignorance is bliss. Link to comment Share on other sites More sharing options...
Putgolzin Posted October 7, 2015 Share Posted October 7, 2015 Cleary you haven't been to Argentina or Venezuela over the last decade... I've been to Argentina a number of times in the past 10 years; while the currency itself is a disaster the economics of the country are WAY better than before. The friends I had when I lived there in the 90's have all improved their lives dramatically with regard to their personal wealth. One friend who was poor-ish in that era is now a multi-multi-millionaire (perhaps a billionaire). My best friend from there would be just around a millionaire. Link to comment Share on other sites More sharing options...
CanadianLoonie Posted October 7, 2015 Share Posted October 7, 2015 I've been to Argentina a number of times in the past 10 years; while the currency itself is a disaster the economics of the country are WAY better than before. The friends I had when I lived there in the 90's have all improved their lives dramatically with regard to their personal wealth. One friend who was poor-ish in that era is now a multi-multi-millionaire (perhaps a billionaire). My best friend from there would be just around a millionaire. And do they hold the majority of their wealth at home in Argentina denominated in ARS? Link to comment Share on other sites More sharing options...
Putgolzin Posted October 8, 2015 Share Posted October 8, 2015 They would hold almost all of their wealth in real estate in Argentina (a little in Uruguay) and operate almost exclusively in Argentine pesos. That said, when they sell a home sometimes they get paid in American dollars because people often save their money in American....which I've just figured out is the point you were making I think. 1 Link to comment Share on other sites More sharing options...
CanadianLoonie Posted October 8, 2015 Share Posted October 8, 2015 They would hold almost all of their wealth in real estate in Argentina (a little in Uruguay) and operate almost exclusively in Argentine pesos. That said, when they sell a home sometimes they get paid in American dollars because people often save their money in American....which I've just figured out is the point you were making I think. Yes, just why are they saving in US dollars instead of being proud Argentines by holding it in ARS? And about that real estate, are transactions generally paid for in cash or with a mortgage? And when they do exchange between ARS and foreign currencies, do they use the government-mandated rate or the dolar blue rate? Link to comment Share on other sites More sharing options...
Hugor Hill Posted October 8, 2015 Share Posted October 8, 2015 (edited) Thats what they told us Gen Xers. We would be worse off than our parents. In the 1990s they were telling us we would all be replaced by robots in 20 years. They were telling kids going into University to not bother studying accounting as they would be replaced by a computer program within 10 years. Ignore what they tell you about the future because they are talking out of their asses. If you dont go to school or get a trade a Gen Y will probably be worse off. If you go to school but study philosophy or Egyptian poetry you may well be worse off. If you chart a career path and take the schooling to get you there you will be just fine. Thats the reality. People seem to think the baby boomers just fell ass backwards into giant pools of money. My parents are boomers. They are retired and they are well off but when I was a kid we lived in rentals. We had hand me downs and did without things while my Dad worked during the day and went to college at night. Both my parents worked once us 3 kids were old enough to go to daycare. They worked hard and saved and invested. Nothing was handed to them. We have so much more than they ever did and we call ourselves worse off. ignorance is bliss. Gen Y's don't have as many well paying jobs as boomers did. Boomer get can a degree and be set for life. Not so much for Gen Y's. Don't think you have the stats to back you up. Anecdotes such as my friends people I know etc don't count as stats. Edited October 8, 2015 by Hugor Hill Link to comment Share on other sites More sharing options...
Offensive Threat Posted October 8, 2015 Share Posted October 8, 2015 Gen Y's don't have as many well paying jobs as Gen X's did. Well the boomers are retiring. We can all move up the ladder shortly. Link to comment Share on other sites More sharing options...
Hugor Hill Posted October 8, 2015 Share Posted October 8, 2015 Well the boomers are retiring. We can all move up the ladder shortly. Hope so. LOL! Link to comment Share on other sites More sharing options...
Putgolzin Posted October 8, 2015 Share Posted October 8, 2015 Gen Y's don't have as many well paying jobs as boomers did. Boomer get can a degree and be set for life. Not so much for Gen Y's. Don't think you have the stats to back you up. Anecdotes such as my friends people I know etc don't count as stats. Among the people I hang out with it seems there is WAY more opportunity today than there was a generation ago. I'm not talking just going out and getting a J.O.B. though...if someone wants to do things the way the Boomers did and just be a cog in the wheel for 45 years I would agree absolutely that the world is a harder place to get ahead. On the other hand, from the point of view of entrepreneurship it seems like its the wild west again...if someone is willing to work their arse off for themselves (and they're a little-bit-not-stupid) there is an ample amount of self-made success ready to be had. Link to comment Share on other sites More sharing options...
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