RE: Economy fully recovered from coronavirus recession after 'very punchy' fightback27 Jun 2021 13:15
675am - Very good post
"demand will level out eventually, so I am not yet a believer that we will see sustained high inflation over the medium term."
Additionally, if central banks stop/reduce buying assets the inflation would turn into deflation. As you rightly said the current inflation/economic growth is due to chasing a restricted supply of goods so prices are higher.
In my opinion the inflation is transitory because it is created by Govt stimulus and QE.
Currently the inflation is on a high due to pent up demand, supply chain issues and excess money in the system.
We need high inflation to reduce the debt which can otherwise never be repaid.
All this chatter about house buying, traffic back to normal and high streets buzzing is true. However, all this is due to govt support such as furlongs, QE, low interest rate environment,etc
I do not think any of the above would be even possible without the Govt dishing out and supporting the economy.
My 2pence on this is that we are fighting against deflation and not inflation. Historically, it is proven that deflation is worse than even hyperinflation. The simple reason for this is it is human psychology - why would you buy something today for £2 when you may be able to buy the same for £1 in 6 months time.
A human body predominantly suffers from 3 major deformities - Uncontrolled cell mutation (commonly known as cancer) - Virus induced such as flu, Covid - Bacteria based such as TB which again infects the chest and respiratory
Antibiotics do not work on virus based diseases such as flu, covid,etc They can only be controlled by increased immunity.
A variant is nothing more than the latest MS Office version with some advanced features. In the case of variant the virus which is still a virus becomes resistant to the existing medication.
LTI, I am not an expert in anything but just sharing what I know.
COVID-19 is a disease caused by a virus called SARS-CoV-2.
The virus that causes COVID-19 appears to spread more efficiently than influenza but not as efficiently as measles, which is among the most contagious viruses known to affect people.
The typical symptoms of COVID-19 are more similar to the flu (fever, cough, sore throat, runny or stuffy nose, muscle or body aches, headaches, fatigue) than the common cold (runny or stuffy nose, sore throat, cough, congestion, slight body aches, mild headache, sneezing, low-grade fever.
He was stating there are lot of Covid vaccines and treatments at an advanced stage. To name a few - single jab Covid vaccine (being developed by J&J) - ENT spray targeting nasal and throat similar to asthma spray (UK Based company) - MRNA vaccines (even for cancer treatments) - being developed by Moderna, Gilead
I am just expressing my info and in no way am I suggesting somebody is right or wrong.
I have also lost 20 members within my close family and friends in the last 6 months. I understand the pain, grief and anger towards mismanagement by the Govt on a global scale.
I agree the development of vaccines has been phenomenal.
I was speaking to one of the pharmacy analyst who was of the view that next few years would see lot of sensational breakthroughs in medicine. He was stating there are lot of Covid vaccines and treatments at an advanced stage. To name a few - single jab vaccine - ENT spray targetting nasal and throat similar to asthma spray - MRNA vaccines (even for cancer treatments)
The only downside to all these developments is the effectiveness against the new variants. Hopefully the enhanced treatment procedures would make this less life threatening.
In my opinion the speed of development of vaccine has been very commendable. In not so distant past a vaccine development, approval and roll out would have taken a good 10 years.
We have also not been able to develop any antibiotics since late 1980's.