Why do asset prices keep going up?

Gary, good to see you finally talking seriously about asset inflation, the real enemy of the voters. This is what is creating the deep wealth divide and this is what is hollowing out the country. Truth is, we both benefit from it. We both sit on the winning side of a system of asset inflation as we both hold assets (I’m assuming you do because you’re rich init). But your argument collapses here: 1. Blame the billionaires 2. Tax wealth harder bro You can’t just conclude that every crisis since 2008 is blame the billionaires, unless: 1. You have no idea what you are talking about 2. Or you do, but you’re playing politics for someone else’s agenda 3. Or you’re just a commie and the shoe fits All those people paying for your Patreon and watching your YouTube can’t be expected to know these things work, so let’s honest, yeah? The 2008 crisis was a debt-fuelled financial system on crack, backstopped by governments and central banks. I’m deeply suspicious of the role asset managers play, but you have to acknowledge the role that politicians play. If we keep electing half wits we will keep having problems. Central banks pushed interest rates to zero, because their goal is to maintain power, juicing the system helps this. Any economist knows that the economy has cycles and rather than allowing them to play out, they have paid off credit cards with new credit cards. Great for you and I, shit for most people. Inflation is always and everywhere a monetary phenomenon (thanks Milton), and the rich will always take advantage of this. But this is also the choice of the state. What do you expect people to do with this cheap money, they’ll of course buy cheap assets. Everyone should. That isn’t simply rich people being greedy, it’s the entirely predictable mathematical outcome of a monetary system designed around perpetual expansion of debt and currency. You know this though. You do right? Please tell me you know this. If the Green’s were ever to win power, they will face the same fiscal challenges - especially with all their spend promises, these will get more challenging if they think they can solve this through higher taxes and crushing business. So guess what, they’ll have to inflate the money supply too. Argentina, Venezuela, how many examples do we need for how this plays out? You correctly identify the symptom: asset prices detached from ordinary living standards. Cool. High five. Your weakness is moralising the cause. Emotion is good for clicks but we should strip away emotion and deal with facts. Can we please agree that the problem is deeper than inequality. The problem is a system where governments create the problem because their common goal is power, power means promising things they can’t afford - the resulting debasement extracts wealth upwards and the poor and middle class absorb the losses through purchasing power and wage stagnation. Tax wealth harder sounds good when you have created the enemy, and even if you do (they’ll leave), even if they don’t leave (they will), if the underlying monetary architecture remains broken, all you’re doing is redistributing claims inside a structurally inflationary system. Hello socialism. Hello universal misery. You cannot tax your way out of monetary dysfunction. No credible economist thinks this. And MMT is garbage. We have so many problems that need fixing which can create long-term prosperity: - Fix the energy crisis - Fix the productivity crisis - Fix the housing supply crisis - Fix the regulation crisis - Fix the demographic crisis - Fix the thick politician crisis You could confiscate half the wealth in Britain tomorrow and we would still not build enough homes, produce enough energy or generate enough productivity growth. I know these aren’t simple slogans, facts are hard. We have a debt-saturated fiat system fused with an overgrown state that increasingly protects asset holders while hollowing out productive society. Blaming the rich is cheap politics.

You lost what little credibility you had when you backed the economically illiterate Green Party...

Is it because we increase our money supply by on average 6.7% for the last 50 years? Meaning you can no longer save in cash, you have to save in assets to preserve purchasing power?

House prices in London are at 2015 levels Asset prices are not in fact going up

You are a far left shrill, trained and paid to propagate far left ideology.

the poorest don’t need another lecture about taxing assets. they need the basics to stop getting more expensive. build more homes so housing is cheaper. make energy cheaper, which is hard to square with backing green policies that push costs up. control inflation and raise tax-free thresholds. that would do more for ordinary people than a wealth tax.

How can we take you seriously? You clearly haven’t got a clue what you’re talking about..

holy moly this might be the mother of all retarded takes

Narrator: house prices have fallen 50% in real terms in the past decade.

Bank of England printed £895 billion through QE after 2008 and cut rates to zero. That money flowed into houses and shares, not wages. Assets soared away from ordinary pay. Build more homes, fix energy and stop inflating the currency, it works better than taxing wealth.

You have no idea - your credibility is shot, so just scuttle off and wallow in your ignorance.

House prices have increased massively because we have allowed uncontrolled mass immigration and illegals are given affordable homes / council houses for one. If we didnt import millions of people there wouldnt be the demand and prices would be lower.

Sanctimonious 20mins not required Supply + demand Increase money supply. Money is worth less. Assets cost more in the money it is measured in. Add in a smattering of regulation which constricts supply of asset (housing) housing goes up in value (demand)

Because fiat currency is fake money whose supply is being inflated into worthlessness by central banks for the benefit of even unwitting socialists in government and their cronies.

Is it because public money finds its way into the pockets of frauds, like yourself and the rest of the media trained, political propagandists, all in the name of progress?

It's a riddle wrapped in a mystery inside an enigma.

State of you beany boy lol 🙈🤦‍♀️ Textbook monetary inflation And yes i have a (real) econ doctorate from somewhere far better than LSE which these days is buy-a-degree scheme for wealthy migrants Hope that helps!

Have you researched the Cantillon Effect Gary?

Absolute bore , a demonstrable economic idiot masquerading as an expert

2 things: 1. You talk about all time highs as if it’s rare for markets to hit. They hit it all the time. That’s just the nature of a world where the s&p has seen 7.5% growth annualized over 100 years. 2. You said we’re in a huge economic crisis. We’re actually not…

How does this man post "Gary Economics", when he so painfully doesn't understand economics? Surely it should be called "Gary Labournomics" a Marxist guide on how to collapse an economy.

How about we listen to an actual economist like Andrei Shleifer instead of someone with a degree he didn't pay attention in then became a mid trader at Citi.

Just going to invest in assets and become rich, thanks Gary 👍🏻

gary:TaX dA RiCH! everyone: how gary? gary: dUNo bRUv Its how economies work and depends if the government lets this self correct or they keep kicking the can down the road printing more.

Gary to tell you if you are working class you are basically screwed with no hope. He did it but you can’t. Then he asking to fund his channel

The amount of people/bots attacking Gary is the proof that he is right. Everything is getting privatized and that's how big capital controls your government

Is anyone still listening to this grifter?

This is just an example of the Cantillon effect. So if govts created this huge wealth gap by printing money for the rich then they could restore the balance by doing something similar for the less well off? Nobody would dare to call for this though 😂

Massive grifter.

Mate its summer and like 20 degree doon south is the hat a sign or rebel socialist as fidel and Che wore weird hats too lol

wtf is this post about the locals in the UK!

When you bet your reputation on Bitcoins failure:

Nothing to do with the extra 15 million people at a minimum in the country since 1980 then?

Does anyone else remember the white dog turds and why did I think of that seeing this gormless prick.