[mdorazio]

Think you nailed it. The thing is, in order for capital flight to be a risk there needs to be somewhere else of comparable size and upside opportunity to the US that doesn't rhyme with "China" and it sure as hell isn't Europe. So we're back to square one in which absolutely massive sums of money are chasing returns with nowhere else to put money than the same places it already is. It's madness on a global scale.

[burlesona]

This is the insanity of zero interest rate policy. It’s so hard for me to understand why the economists and fed officials don’t see this.

[QuesnayJr]

It's not that we don't see it, but we don't agree. I honestly don't have the energy to try to explain it here anymore -- the conversation always turns unpleasant, and I need a place on the Internet where I can avoid thinking about economics for a while.

[cryptica]

>> the conversation always turns unpleasant

Rationalizing the irrational tends to be unpleasant.

I think it's a complete fabrication that people are dependent on the financial system and that we need economic stability. People enjoy drama and they are able to recover from any economic failure. Even total failure.

Too big to fail is total BS. If a solar storm wiped out all records of bank accounts and all records of all financial holdings, the economy would quickly recover. The number of new opportunities that this would create would be unprecedented.

From the perspective of most people, the best feature of capitalism is not its ability to provide sustenance (even communism can do that), it's its ability to provide hope for something better... Unfortunately these days our modern version is not true capitalism, it's crony-capitalism and it doesn't yield much hope - You are given a place in society and the only way you can get something better is by doing something deeply unethical and then earning hush money from your corporate masters.

We are heading towards a dystopian surveillance capitalist future. Even if the economy crashes permanently and never recovers, that future doesn't look so bad compared to what would happen if we stay on course with current monetary policies.

[QuesnayJr]

Oh look, the conversation has turned unpleasant again. How unpredictable.

[cryptica]

Well I find it pleasant.

[clairity]

i mean, globalism was always about helping capital find returms while hedging risk, under the guise of international trade being better for all than isolationism (but much better for capital than labor).

the core problem of hoarding wealth, as exhibited by the flight of capital to the US, is the inability of small groups of people to efficiently allocate capital, to have enough imagination and ingenuity to centrally-plan their allocations. it's literally anti-capitalist.