Loading ...Many years ago, I had a landlord that was renting way below market, sold the places, and the new landlord doubled the rent. Even recently a renter friend had low rent, then Fairfield Properties bought the places and doubled his rent. He moved to Fla.
Gasoline was too cheap. Gov’t manipulation on futures markets? Airline tickets are STILL too cheap. Causing too much demand imbalance causing problems lately. The gov’t subsidized a lot of sectors to keep consumer and business prices lower than normal. In time the Gov’t itself “won’t get away with it” anymore. It meaning manipulating prices.
Its not an organic gold money capitalist economy anymore, its a man made hollow shell artificial economy, like the Twin Towers that were so cheaply built they just imploded. Before that day, firemen NEVER saw a high rise collapse because of a fire. Even the surrounding same construction buildings collapsed due to fire only.
The entire global economy and financial system aka globalization like the Trade Center buildings, was a very big cheap vulnerable thing the central planners “got away with” until open borders caused 9/11 and 2008, and then the Covid spread from all this global intermingling. The gov’t created frivolous and promiscuous vacation and business travel. Encouraged or subsidized by the central planners.
What ever was too expensive like stocks and real estate, same thing. Subsidized by the Feds low rates. When prices crash, we have to be happy that things were so good for so long. Meats must have been too cheap. Way up. Labor was too cheap also. No more cheap labor available. Businesses have to be happy they had good times.
My best friend had 8 stores making big money on 65 employees getting $7/hr. Its over for good. This labor shortage will probably get worse. So many people working for $15/hr, part time in super markets and with higher prices, they will have to figure out something else and another way to make money and quit. Like whats been going on.
I look at the economy like a mechanical thing that it totally out of balance needs to be redesigned. It was good a high quality “machine” after the Founding Fathers created it. After 1913 those highly educated people made a lot of changes especially after 1945 that were not good long term.