Quebec subsidizes its electricity. Which irritates other provinces that pay it equalization payments, since that the subsidization is not included.
We can only subsidize failing EV companies in Canada, cheap electricity we draw the line.
I think its the housing bubble they actually care about, government workers are the only employment still growing in Canada, if they can work from anywhere who will bid up asset values?
It does seem a bit absurd we ever called ourselves Keynesians. Its like we are constantly reliving Irving Fishers debt-deflation theory, and we keep allowing new asset bubbles to form. Though I think governments are equally complicit, because obviously rapid debasement allows a lot of unfunded spending, which are what voters are always pining for.
I’ve contemplated this myself, about competing currencies, and how that would leave the world if we had cheap and ubiquitous FX with little to no drag. Would it not cause a race to the bottom for inflation targeting, and lead to something similar to everyone using a fixed currency?
Why would I hold Canadian dollar or Pesos if their inflation target is 2% versus say the Swiss 1%? Is there enough new money supply for everyone to even attain the lowest inflation currency, or do they bid down the denomination as that countries FX value rises?
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CSIS largely, in their reports that go ignored.
Inflation isn’t our fault, it’s just a normal part of a working economy
https://d1-invdn-com.akamaized.net/content/pic25ddb17638651a9c61a1f9f564472f46.png
I wouldnt call this terribly normal. Though in the end the corporations raising prices are the definition of inflation, I’m sure the government would love to raise the money supply and not affect prices, but this isnt the USSR.
Thats well put, I’m under no naive assumption that LLMs are AI. Though I do think youre discounting the usefulness, as it did give the right answer, which is a fine use for average people doing basic math or whatever project theyre working on. I’m under no delusion that its replacing workers, unless someones job is writing fancy emails or building spreadsheets, and I do still think its a massive bubble.
Well the crux of the argument is gold went from 2500$ to 7000$ in 2 years, and youre trying to convince people of the irrationality of a finite asset. I’m not saying its a sure thing, but I do think Blackrock suggesting a 2% allocation to Bitcoin is rational, and I’ve done very well myself with a small allocation like that; despite the idea the “world rejected it”.
Perhaps your right, though the AI also allows natural language or voice, and further explanations.
When you visualize a cylinder, think of stacking many thin circular disks (each with a height Δh) to build up the height h. The volume of each individual disk is its area πr2 multiplied by its infinitesimally small height Δh. When you aggregate these over the full height h, you arrive at the volume of the cylinder.
Its also eroding all the bullshit we used to do, like cover letters and things that had no reason to exist besides wasting someones time. So truth be told I’m a fan, even if it is a massively unprofitable bubble, I also recognize its limitations given its hallucinations so I understand it shouldnt be relied upon for useful work.
Just like everyone is quitting facebook, ChatGPT, and all the other things people are boycotting that seem to never have anything happen to them.
I do think QE and artificially low interest rates do lead to riskier stocks and commodity like Bitcoin doing better, where growth greatly outpaces value stocks.
Which I think this is a continuation of the Covid stimulus, and its up to economic gravity as to whether there is a debt bubble that will pop leading to a dramatic fall in money supply. I’m pretty sure we’re roughly saying the same thing.
Gold is also just digging something up and then re-burying it. If it hasnt replaced fiat then why are people buying it, why has it been going up 100% a year recently when theres no new industrial demand for it?
Its fine to not hold it, but all finite assets have some intrinsic value, because fiat keeps pumping via new debt issuance, which is inevitably debased. Like it was during Covid, or 2008, or 2001, etc…
Crypto has a higher volatility, but can have a higher return, and is more closer correlated to the Nasdaq; like all assets its generally efficiently priced. I’d say its closer to TQQQ than it is to VT or gold, which may be suitable for 1-10% of a portfolio depending on goals and risk tolerance. If they drop interest rates quickly to pump the stockmarket TQQQ and Bitcoin would likely both rise dramatically.
Our whole economy is geared to consume resources, we have inflation targeting to prevent aggregate demand and prices from ever falling. If you want to lower consumption need hard currency, the cheap cash that the AI’s are riding on now is most likely still Covid stimulus and QE.
It was a simpler time… 2006.
Lets see a standard problem I’m randomly making up using a free AI, you tell me if this kind of thing can be useful to someone:
If I have a bucket that is 1 meter tall and 1 meter wide how much volume can it hold?
The volume V of a cylinder can be calculated using the formula:
V=πr2h
Where:
r is the radius, h is the height.
In this case, the bucket is 1 meter tall and 1 meter wide, which means the diameter is 1 meter. Therefore, the radius r is:
r=21 meter=0.5 meters
Now substituting the values into the volume formula:
V=π(0.5m)2(1m) V=π(0.25m2)(1m) V≈0.7854m3
Thus, the volume the bucket can hold is approximately 0.785 cubic meters.
Well another argument they have is the amount of waste that comes with the churn of fiat currency, where we inflate asset values in order to deliberately grow aggregate demand.
The housing bubble for instance was obviously cheap debt, which was used to grow aggregate consumption, by rewarding asset holders thus encouraging them to offload their asset to increase the velocity of money.
On the gold standard the average mortgage was 7 years, which was because there was less need to grow the money supply, because we werent trying to force an inflation target. Massive windfalls werent common, and thus housing wasnt being bid up via the cantillon effect, so was better for society in many ways when consumption wasnt being forced onto people.
You’re really breaking the shitting on AI vibe when you make it sound like the height of human capacity and ingenuity. Can I just call it slop and go back to eating glue?
Blockchains in an age of Trump choosing a new Fed chair after trying to have Powell arrested.
Trust your government over software and cryptography, which has no basis in reality outside of the laws of physics and mathematics.
Is it the illegal immigrants or the tariffs that make you so emotional about it?