The Impact of Keynesian Economics
Keynesian Economics has ruined the world economy. More properly, political abuse of Keynesian Economics has ruined the world economy. Had Keynes lived longer, would he…
Deflation
Civilization is on the Brink
The Chinese have an interesting saying: “May you live in interesting times.” And we do! Civilization is on the brink. It likely will not recover…
How Does It End?
The days of reasonable economic forecasting are over. Today, an economic forecast is more like the analysis of a criminal mind than the evaluation of…
Quote of The Day
Doug Casey commenting on the past and the future: What we experienced in the 1930s was a deflationary depression where billions of dollars were wiped…
Inflation-Deflation Redux
Gary North has an interesting article on the deflation vs. inflation issue. He believes that we will end up in a deflationary Depression, although provides…
The Deflation-Inflation Alternate Routes to Depression
The coming economic collapse (Depression) is inevitable but the route taken to this ending is uncertain. The road has parallel routes:
- Deflationary Collapse
- Hyperinflationary Collapse
Which route is taken depends upon government. In our highly regulated and manipulated economy, economics is important but generally takes a back seat to political considerations. As Axel Merk stated (with my emboldening):
Ultimately, we believe that markets are healthiest in the free-market environment but unfortunately, that’s not the world we live in so we have to look at interaction between the market forces and policymakers. If there is one thing positive to say about our policymakers, it is that they are quite predictable.
The Fed has backed off (temporarily) further monetary stimulus. Or, at least that is what they would have you believe. There