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…
Deflation
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
Turk vs. Prechter: Hyperinflation vs. Depression
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,…
Theft Via Counterfeiting
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…
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…
Inflation vs. Deflation
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…