Stupid World

[husaberg]

http://www.stuff.co.nz/business/indu...for-nz-economy

The Goldilocks economy- not too hot, not too cold- has seen business confidence steady in the December quarter, with retailers saying things are looking good.

Goldilocks was after all a fairy tale, So yes I will go along with that, I also recall she was a thief.

A mathematician, an accountant and an economist apply for the same job.

The interviewer calls in the mathematician and asks "What do two plus two equal?" The mathematician replies "Four." The interviewer asks "Four, exactly?" The mathematician looks at the interviewer incredulously and says "Yes, four, exactly."

Then the interviewer calls in the accountant and asks the same question "What do two plus two equal?" The accountant says "On average, four - give or take ten percent, but on average, four."

Then the interviewer calls in the economist and poses the same question "What do two plus two equal?" The economist gets up, locks the door, closes the shade, sits down next to the interviewer and says, "What do you want it to equal"?

[Ocean1]

"What do you want it to equal"?

The reason they invented economists was to make weather forecasters look better.

[blue rider]

http://www.stuff.co.nz/business/indu...for-nz-economy

The retail sector rebounded strongly in the December quarter, even though most of the survey responses came in before the typical Christmas spending surge. That lift was likely to reflect the impact of falling petrol prices, which have eased pressure on household budgets at a time when wage rises have been modest.

Retailers reported strong sales and expected that to carry on. A net 36 per cent of merchants saw sales rise in the December quarter, up from a net 11 per cent in the September quarter

and then the holiday is over, and the credit card bill arrives and the feasting is over and everyone goes back to fasting and paying off their bills with the little extra money they got from lower gasoline prices considering that for most wages have been stagnant for a few years.


disclaimer. I have a manufacturing and retail business with a few part timers. christmas was good, january is very slow, but i was lucky christmas was good. lol

[husaberg]

The reason they invented economists was to make weather forecasters look better.

If all the economists were laid end to end, they'd never reach a conclusion.

[Ocean1]

and then the holiday is over, and the credit card bill arrives and the feasting is over and everyone goes back to fasting and paying off their bills with the little extra money they got from lower gasoline prices considering that for most wages have been stagnant for a few years.


disclaimer. I have a manufacturing and retail business with a few part timers. christmas was good, january is very slow, but i was lucky christmas was good. lol

Xmas is good for chocolate, yes? Summer generally not though.

I don't really care what retail is doing, it's mostly discretionary spending, which makes it a good indicator of how earnings are trending but let's face it none of us would die if we never set foot in an actual retail shop again.

And then, deflation threatens to improve the spending power of what you earn.

Now spending on capital plant...

[Brian d marge]

thing about these gasoline prices

121 yen a litre here in japan atm

now

if prices are supply and demand and the earth was round and went on its merry way around the sun

falling prices suggest over supply . . isis flogging it off to new ford explorers

so . . . why wasnt it cheap before . .

after all some say its running out . .

its reached its peak . . .

or have have we been propping up the arab economy

[Ocean1]

If all the economists were laid end to end, they'd never reach a conclusion.

Funny. There's some very serious mathematics involved in predicting market movements, but in the final analyses you're dealing with human behaviour, and that's rarely amenable to logic systems. You can tell: there's no more millionaire economists than any other profession.

[Brian d marge]

print money

buy back shares

rinse and repeat

[blue rider]

Xmas is good for chocolate, yes? Summer generally not though.

I don't really care what retail is doing, it's mostly discretionary spending, which makes it a good indicator of how earnings are trending but let's face it none of us would die if we never set foot in an actual retail shop again.

And then, deflation threatens to improve the spending power of what you earn.

Now spending on capital plant...

retail / wholesale / trade / brokerage etc etc etc are all just words for the same thing exchanging goods for an agreed value in an agreed currency. the currency can be rocks/ gold/ shells or cabbage for that matter.

but you will have to go to some retail space be it in meatspace or virtual space to get your knickers and socks. unless of course you think that a helmet is enough gear. And even that one you should go to a retail space to try it on...lest it be to small for a big head.

as for the economy....it is fuelled by discretionary spending. No matter if one buys a box of sweets, a bike / car / boat or half a dozen of state houses. if one has the aggreed currency available one can discreetly spend.

[Ocean1]

retail / wholesale / trade / brokerage etc etc etc are all just words for the same thing exchanging goods for an agreed value in an agreed currency. the currency can be rocks/ gold/ shells or cabbage for that matter.

but you will have to go to some retail space be it in meatspace or virtual space to get your knickers and socks. unless of course you think that a helmet is enough gear. And even that one you should go to a retail space to try it on...lest it be to small for a big head.

as for the economy....it is fuelled by discretionary spending. No matter if one buys a box of sweets, a bike / car / boat or half a dozen of state houses. if one has the aggreed currency available one can discreetly spend.

No, discretionary means not absolutely necessary. And for most people other than groceries "retail" means consumer items. Again, not the end of the world if you don't have the currently fashionable phone.

So when they report retail spending is up I figure people are spending money over and above what's required for their basic needs. In the real world that's called luxury.

And when inflation is heading into the negatives you don't really have much reason to expect a wage rise, do you? Nor do you really need it if prices are going down.

[blue rider]

No, discretionary means not absolutely necessary. And for most people other than groceries "retail" means consumer items. Again, not the end of the world if you don't have the currently fashionable phone.

So when they report retail spending is up I figure people are spending money over and above what's required for their basic needs. In the real world that's called luxury.

And when inflation is heading into the negatives you don't really have much reason to expect a wage rise, do you? Nor do you really need it if prices are going down.

Consumer Items that we need in order to exist

Clothes - parading around naked falls under lewd behaviour - so while a consumer item it is a need first then a want
Housing - sleeping rough, or building dwellings without permit can get one in a big heap of trouble - so while a consumer item it is a need first then a want to own
Food - pretty much the same without it we die and stealing gets us in trouble - so a consumer item that is a need first than a want
Drink - see food
Transport - see above - needed in todays times and I doubt anyone could walk from Papatoetoe to the CBD for work...well they could but would not get there in time
Education - see above - needed in todays times as no one is actually training the young ones anymore...again it is a need first and then a want

that would pretty much make all your discretionary spending on which most of the economy is based. And if you would like to say that all peeps could do without, i would agree...see certain parts of the world where peeps do without these nice things, but honestly would you want this to happen to nZ?

Retail spending is up for a few reasons. A. Peeps spend because it is the season....Xmas, Easter, a birthday, a wedding, or just a needed suit for an employment.
B. Peeps spend because they must, the car is dead, the roof needs to be fixed, the dentist is needed for some fillings.
C. Peeps spend because they feel miserable and want to feel better....so a new pair of shoes or a new bike.
d. peeps spend on rent, food, clothes to be sensible, education to get a better job and health care to keep those teeth.

And as for many the wages are not covering what must be spend on, after rent/mortgage, food and the basics often there is little left over they use the credit card.

Now we could go all Spartan on the peeps that spend and only promote virtuous spending and a whole lot of businesses would go down and under, unemployment would go up and so on and so on and so on.

but you know all that, because you are a smart and studied fellow.


As for prices going down? Nope my friend they are going up. Milk, up three times this year...chocolate..oh well up, nuts? up. Cream n butter? up. Rent? up. Electricity? up. phone? up.

but then you are a smart n studied fellow and you will have an answer to that too.

[bogan]

As for prices going down? Nope my friend they are going up. Milk, up three times this year...chocolate..oh well up, nuts? up. Cream n butter? up. Rent? up. Electricity? up. phone? up..

Wages, up. Miniumum wage, up. Beneifts, up.

So in short; inflation, continues. There endeth the lesson.

[Brian d marge]

inflayion good

makes govnmt debt worth less

strange how they say deflation is bad , i cant see why
me beer gets cheaper and thats a good thing . . i reckons

[bogan]

inflayion good

makes govnmt debt worth less

strange how they say deflation is bad , i cant see why
me beer gets cheaper and thats a good thing . . i reckons

Discourages spending, slows the economy; oh, and the rich would just get richer.

[blue rider]

Wages, up. Miniumum wage, up. Beneifts, up.

So in short; inflation, continues. There endeth the lesson.

currently it is prices up, minimum wage not going anywhere benefits being cut across the bord.

but somewhere in this country someone is experiencing the rockstar economy while screwing over goldilocks.