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  • Is it me or does he kind of not make sense around 28:30

  • @jmjargon Another lecture that goes into this topic is 'Money And Prices (by Joseph T. Salerno)'. Maybe it's explained understandably for you in that one.

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  • @Nielsio I just mean that in his scenario the price falls by 20%, yet apparently one would be willing to work 50% longer? And then he says that 2 oz of silver can buy 1.5 hours whereas it used to buy 2, when on the board it says it used to buy 1. I understand the concept but feel like his math doesn't work there.

  • @jmjargon Yes, he meant "it used to buy only 1".

    The reason the price changes of labor versus tomatoes don't have to be of the same proportion is because tomatoes are just one good of many. Also, he is just one worker of many. Just because some are willing to work 50% longer for the same doesn't mean all goods will fall by 50%.

    That would be my answer. If that's not satisfying you could ask in the Austrian economics Reddit (linked from my channel).

  • @Nielsio thanks I get it better now

  • 31 minutes is the gusto.

  • wow depressing ending!

  • I just wonder how the stock market would work if deflation is the case. So if the MS is fixed, stock index should be flat in the long run and dividend should be flat in the long run as well. Only the companies that make up the index would change as more efficient ones replace less efficient ones. Am I correct?

  • @yjfoo81 Do you mean the stock index in nominal or real terms?

  • @Myndir In nominal terms. And in real terms, each shares of successful companies should gain purchasing power even though the stock price does not rise. I think.

  • @yjfoo23 can you explain to me what the difference between the ideas of "real terms" and "nominal terms"

  • Hulsmann is so hardcore, he's got a money clip

    Fucking smooth

  • Everyone believes that deflation is bad, an example: at my workplace I said that we shouldn't expect high raises this year, or any. They looked at me like I was mad, and pointed out the income the company has got this year. I pointed out that the owners are expected to pay more taxes, we could use some savings and prices in general would go down as well, and they lost me. But when I śaid that cheap houses could be on they way, they were listening again.

  • @broeman

    Sigh. Lost in translation, the poor saps.

  • These lectures are great, cheers nielsio!

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