Economic, Financial and Political Analysis

Tag: Deflation

Inflation-Deflation Redux

Inflation-Deflation Redux

By on August 3, 2012 in Deflation, Fed, Government, Inflation with 1 Comment

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 consideration for the possibility of a hyperinflation. In the short and intermediate term, which one of these occurs is critical for investors. Readers know that I expect the inflationary fires rather [...]

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The Deflation-Inflation Alternate Routes to Depression

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 [...]

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Turk vs. Prechter: Hyperinflation vs. Depression

Turk vs. Prechter: Hyperinflation vs. Depression

By on June 2, 2012 in Deflation, Inflation with 0 Comments

James Turk believes hyperinflation is ahead. Bob Prechter believes massive deflation is coming. An interesting discussion between the two takes place in this audio. Ultimately, both lead to Depression. Only the route taken differs, but that is important. https://www.youtube.com/watch?v=aVm-aVA-kU8

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Theft Via Counterfeiting

Theft Via Counterfeiting

By on April 23, 2012 in Deflation, dollar, Inflation with 0 Comments

A heads-up for shoppers is provided by the Fiscal Times list of things that will get cheaper: 12 Things That Will Get Cheaper in 2012. Note that most of these items are electronics and made overseas. Innovation is the primary driver in the expected price decreases. Perhaps a surprising candidate is the price of wine. As [...]

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Inflation or Deflation Before The Unavoidable Depression?

Inflation or Deflation Before The Unavoidable Depression?

The argument persists as to whether our current economic crisis will end with massive inflation or in a deflationary spiral. Ultimately, either one results in a Depression. For investors, this argument is more than an academic one. It is the single most important variable for near and intermediate term investing success. It is also important [...]

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Inflation vs. Deflation

Inflation vs. Deflation

By on February 26, 2011 in Deflation, Inflation, Rosenberg with 6 Comments

David Rosenberg summarizes the tug of war between inflation and deflation: Pricing power improving • Air fares: +2.2% and have now posted 2%+ gains in each of the past three months (during which prices have soared at a 33% annual rate). • Delivery services: +6.8% MoM in January in the third best pricing month ever, [...]

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Gold or Bonds?

Gold or Bonds?

By on October 13, 2010 in Deflation, Inflation with 0 Comments

Bill Bonner properly states: “Gold buyers expect the dollar to crash. Bond buyers expect it to hold up. It can’t do both.” Read his musings on what to do here.

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Investing in a Dangerous World

Investing in a Dangerous World

By on September 14, 2010 in Deflation, Inflation with 0 Comments

I am in the camp of those expecting high inflation or hyperinflation. The operative word is “expecting.” Nothing in the future is certain. Many others are in the opposite camp believing that deflation is the more likely outcome. The near-term evidence has been more supportive of their position. So much time is spent on this [...]

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More Inflation/Deflation Issues

More Inflation/Deflation Issues

By on September 13, 2010 in banks, Deflation, Fed, gold, Inflation, Insolvency with 3 Comments

This from BankImplode.com discussing the inflation-deflation debate. The conclusion, though not definitively stated, is that we are headed for inflation and likely hyperinflation. Readers know that this outcome is also my undesirable prediction. Can “Deflation” Catch a Falling Dollar? “Inflation is always and everywhere a monetary event,” so sayeth Milton Friedman. Following this intellectual tradition, [...]

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Bernanke’s Pickle

Bernanke’s Pickle

What a pickle Fed Chairman Ben Bernanke is in! Mr. Bernanke is on record for unequivocally stating that he knows how to avoid a deflationary outcome. He cavalierly dismissed any possibility of that happening a few years back. He cited printing presses and helicopters as weapons to combat the evil dragon of deflation. Yet, after [...]

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