reply on: We're Approaching the "Blame the Consumer" Stage of the Boom-Bust Cycle \ stacker news ~econ

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195 sats \ 6 replies \ @SimpleStacker 26 Nov \ on: We're Approaching the "Blame the Consumer" Stage of the Boom-Bust Cycle econ

If you are holding onto your aging printer or cracked smartphone longer than you had planned, you are not alone. ...

The average American now holds onto their [sic] smartphone for 29 months ... and that cycle is getting longer. The average was around 22 months in 2016.

While squeezing as much life out of your device as possible may save money in the short run, especially amid widespread fears about the strength of the consumer and job market, it might cost the economy in the long run...¹

Honestly, when the mainstream business media puts out statements like this, it's no wonder young people are calling this "late stage capitalism" and turning towards socialism.

I think it stems from a fundamental misunderstanding of what economic growth is and isn't. (Hint: It's not GDP go up--or at least, it shouldn't be thought of that way)

Note: This is a re-quote of a CNBC article, reflecting the views of CNBC, not the mises.org author) ↩

116 sats \ 1 reply \ @Undisciplined 26 Nov

Keynesian nonsense is so deeply ingrained. It shouldn't be hard for people to grasp that economic growth comes from producing more than is consumed. Increasing consumption doesn't help that.

129 sats \ 0 replies \ @SimpleStacker 26 Nov

not to mention that GDP just misses a lot of value creation, like home-making, enjoying the outdoors for free, re-using your old printer, etc.

110 sats \ 0 replies \ @optimism 26 Nov

Whenever corporates that never gave a fuck about anything but their profits start talking about what other people should do, we have a pretty good indicator of something not going as planned.

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