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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: Maurice Winn who wrote (10948)11/2/2001 11:27:18 AM
From: LLCF  Read Replies (1) of 74559
 
<When I look at CDMA phones and the 1990 analogue phones, I think we are doing better than single digit productivity improvement. >

When I look at the new 911, and the one ten years ago, I agree.... BUT productivity is already measured in the economy by wages vs output. If the new 911 doesn't increase output or reduce wages then it doesn't matter... yet in the world according to Govt statistics [hedonic pricing] they simply change the price [downward] of the car because THEY perceive it as better, and hence reducing the official rate of inflation. Same with computers and your phone. My favorite example is my own business, all my faster computing power and gadgets are great, AND make my life easier... but all that is ALREADY accounted for in my earnings, we don't need AL to tweak my expenses downward increasing my productivity for me! I should be laying people off and replacing them with the computors OR watching my bottom line rise like a souflee due to my new stuff.

<What real estate bubble? That can be fixed with low interest rates and lots of printing to avoid a collapse. Which will also help reduce the value of the US$ [if that's what you want]. >

Yes, I see you're basically saying that there is no such thing as a monetary policy that is too loose.

GOT WHEELBARROWS?

DAK
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