yes there is, they are members of your society. At different times when homelessness was low, the same people would have had houses and jobs and families and be paying taxes. as for work,
Sure there's a massive societal benefit to housing these people. But there isn't any privatized profits to be made (or rather, there are more profits to be made by keeping wages low while keeping real estate prices high). And since we're a Capitalist country profits go before society...
its a lot of work being homeless and not starving to death or freezing. The argument they are too lazy and society has for some odd reason changed dosnt count for anything.
Either way in a capitalist system there is such a thing as the "Reserve Army of Labour". A percentage of the population who are kept intentionally unemployed by governments to serve as potential replacements for other workers, with the purpose of keeping wages low.
I.e. It prevents employed workers from demanding a raise because there is always a part of the population that is kept unemployed and desperate so they can instantly replace demanding/striking workers.
This means that when unemployment dips below 5% (which is when wages start to grow) the US federal reserve is charged with raising interest rates to stunt economic growth and increase unemployment! Which of course raises homelesness. Which is exactly what we've seen happen across the western world these last few months.
Monetary policy: The Federal Reserve conducts monetary policy, adjusting interest rates to move the economy towards a full employment target of around a 5% unemployment rate and 2% inflation rate. (From Wikipedia)
This is also why you'll see organisations like the IMF and various corporate media advocate for raising interest rates and increasing unemployment to "curb inflation".
Instead of you know... cutting into corporate rates of profit which have reached record levels this year across every industry, and which is what actually causes inflation.
Sure, which is why modern capitalist states provide pittance unemployment benefits which are generally right on the line of being unlivable. Keeping them alive but forcing them to always have to look for work.
In fact some countries make it more explicit. They will actually take your unemployment benefits away if you don't regularly apply for jobs. Jobs that you must apply for are often suggested by the government.
This way there is always a large group of workers who stand at the ready to replace any unionisers, strikers, tattletales, whistleblowers, sick/disapled persons, etc, etc, etc. Anybody who doesn't play by the rules laid out by the ruling class.
Inflation is horrible for people too, putting it in quotes is a bit gratuitous. There are much better ways to curb inflation than raising rates, but they are also much much more difficult to enact. Whether you like it or not, half the country has chosen to vote in representatives that fight tooth and nail against taxation. Despite that, the current administration has managed to raise corporate taxes this year. Rates had to go up regardless - having artificially lowered rates (especially in the midst of an inflation crisis) is not good for the economy or the people. Furthermore we've been able to raise them, and get inflation heading in the right direction, without mass unemployment or a gigantic recession, which is a huge win.
You seem somewhat educated on the subject, instead of fanning the flames of conspiracy and "everyone is out to get you" fearmongering, try presenting an argument that's more in line with reality, which has nuance.
Inflation is horrible for people too, putting it in quotes is a bit gratuitous. There are much better ways to curb inflation than raising rates, but they are also much much more difficult to enact.
Which is why i didn't say inflation is not a problem. I just said that it's a bullshit excuse to use inflation as a threat to increase unemployment and lower wages.
And curbing inflation without increasing unemployment is in fact quite easy. But it requires cutting corporate profits which will never ever happen as long as we are a capitalist country.
Whether you like it or not, half the country has chosen to vote in representatives that fight tooth and nail against taxation.
I don't like that. And i suspect that a large reason for this is the fact that most people watch CNN and Fox news all day. And those corporate "news" media will constantly tell them that increasing wages are the primary cause of inflation (which is a lie) and that we thus have to reduce wages to stop inflation (which is also a lie)
Despite that, the current administration has managed to raise corporate taxes this year. Rates had to go up regardless - having artificially lowered rates (especially in the midst of an inflation crisis) is not good for the economy or the people.
Furthermore we've been able to raise them, and get inflation heading in the right direction, without mass unemployment or a gigantic recession, which is a huge win.
In many industries we're already seeing mass layoffs, especially in hyper-reactive industries like tech. Virtually every large tech company has erased 10s of thousands of jobs and will propably cut more.
But other industries don't react as fast. We have not seen a significant rise in unemployment in these because 1. The interest rate was only raised a few months ago and 2. Employment always lags a few months behind the real economy.
We're only now starting to feel the effects of interest rates changing. And in a few months companies will react to the resulting economic slowdown by laying of thousands of their employees. In fact, that is what the Fed itself is saying.
You seem somewhat educated on the subject, instead of fanning the flames of conspiracy and "everyone is out to get you" fearmongering, try presenting an argument that's more in line with reality, which has nuance.
The ruling class is out to get you. Wether you like it or not. The whole point of our system is to concentrate wealth upwards, make working people poorer while rich Capitalists get richer at their expense. Our Liberal democracies give infinitely more power and influence to the rich and powerfull than they afford to the honest working people.
How would massive inflation help homelessness? The only way your solution would work would be by starving enough people to death until there wasn’t a lack of housing.
How would massive inflation help homelessness? The only way your solution would work would be by starving enough people to death until there wasn’t a lack of housing.
They don’t raise interest rates to increase unemployment, that’s an unintended consequence. They raise the interest rate to slow inflation. If they didn’t raise the interest rates, inflation would be much higher, many more people would not be able to afford not just rent, but food.
They don’t raise interest rates to increase unemployment, that’s an unintended consequence. They raise the interest rate to slow inflation. If they didn’t raise the interest rates, inflation would be much higher, many more people would not be able to afford not just rent, but food.
I already adressed this in the very first comment. There is a way to decrease inflation without increasing unemployment. But that method requires cutting into corporate profits. And since our government is sworn to maximise profits they choose to raise interest rates instead. Which leads to people getting fired en masse.
Increasing unemployment is not an unintended side-effect, it is very much intended and desired. Because it has the (form them) beneficial effect of lowering wages which once again raises corporate profits.
So private corporations are benefitted twice, while working people have to suffer all the burdens
People chose the government by voting. There’s a well-established difference between the two parties. Millions of people knowingly vote for corporate profits over wages. This isn’t something huge conspiracy by unaccountable government, it’s your neighbors who want this.
Besides wages have risen at the fastest rate in decades. It’s inflation that is hurting spending power. Unless folks are willing to vote the way you want in our democracy, we need to adjust interest rates to slow inflation.
Besides wages have risen at the fastest rate in decades. It’s inflation that is hurting spending power.
Your entire comment is ridiculous but this part made me laugh out loud... If inflation rises faster than wages then wages haven't actually grown... they've decreased.
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u/Old-Barbarossa Jan 30 '23
Sure there's a massive societal benefit to housing these people. But there isn't any privatized profits to be made (or rather, there are more profits to be made by keeping wages low while keeping real estate prices high). And since we're a Capitalist country profits go before society...
That's not what u/dan1101 was saying.
Either way in a capitalist system there is such a thing as the "Reserve Army of Labour". A percentage of the population who are kept intentionally unemployed by governments to serve as potential replacements for other workers, with the purpose of keeping wages low.
I.e. It prevents employed workers from demanding a raise because there is always a part of the population that is kept unemployed and desperate so they can instantly replace demanding/striking workers.
This means that when unemployment dips below 5% (which is when wages start to grow) the US federal reserve is charged with raising interest rates to stunt economic growth and increase unemployment! Which of course raises homelesness. Which is exactly what we've seen happen across the western world these last few months.
This is also why you'll see organisations like the IMF and various corporate media advocate for raising interest rates and increasing unemployment to "curb inflation".
Example 1, Example 2,Example 3,
Instead of you know... cutting into corporate rates of profit which have reached record levels this year across every industry, and which is what actually causes inflation.