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Joined 1 year ago
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Cake day: July 4th, 2023

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  • Plus, as soon as the cars can drive themselves people will stop needing Uber in many cases.

    No parking? Just tell your car to go park on a street 10 blocks away.

    Drunk? Car drives itself while you sleep.

    Going to the airport? Car drops you off and returns home. Car also picks you up when you are back.

    This is combined with the fact that people will do more disgusting things in an Uber without the driver there. If you have ever driven for Uber, you know that 10% of people are trying to eat or drink in the car. They are going to spill and it’s going to end up like the back of a bus.



  • Yes, it’s the “expected rate” at the time you get the loan. Guess what banks expect when inflation is low? They expect it to stay low. These are fallible people, not emotionless machines.

    Banks are run by people who are not going to be around in 30 years when your loan matures. The people who approved all those 3.5% loans in the 2010s do not care that they essentially lose the bank money when inflation is higher. Plus the original bank probably sold the loan to some dumb investors long ago. That’s who takes a bath when interest rates rise (due to inflation).



  • It’s not a common misconception. If you have a fixed rate loan, say a home loan locked in at 3% or 4% (like many current homeowners), then inflation above normal helps you. When your loan was created, a sub 2% inflation rate was priced in. Anything higher than that means you are winning and your lender is losing.

    Your advantage is that you can choose to refinance when rates are low, or keep a good interest rate when rates are high. Also, I don’t know what inflation hedges you are talking about that “rich people” have access to. Anyone can buy stocks, real estate, or inflation protected bonds.



  • True about loans. Inflation benefits all debtors, not just the government. So poorer people who borrow benefit from inflation more than rich people who lend. As others have said, stagnant wages are the real problem.

    Regarding deflation, people living in deflation actually do delay purchases. That’s why the deflation persists. There is a cycle that happens where delayed purchases reduce business sales, which causes layoffs. That causes people to delay more purchases.

    In your truck example, someone would definitely delay that purchase if they lost their job.