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so which one is it? Gov. wants hyperinflation to solve our problems like you say it did in WWII or hyperinflation is myth?"Hyper-inflation would kill most existing debt, one way or another."
worked for USA after WWII
you realize 20% unemployment puts a serious strain on production. This set-ups the too much money chasing too few goods scenario.
raising interest rates will not help China. It's a currency problem. As far as capacity, you're right we need to lower unemployment dramatically. However, we disagree in how to accomplish that. I happen to be a fan of profits.capacity restriction price-push? The UCA, for what it still manufactures, has plenty of capacity, and so does China, although China has raised interest rates to attack its inflation.
yes, we will find out. hyper-inflation scare-mongering is right up with with deficit scare-mongering as VRWC bull .
so which one is it? Gov. wants hyperinflation to solve our problems like you say it did in WWII or hyperinflation is myth?"Hyper-inflation would kill most existing debt, one way or another."
worked for USA after WWII
All those suckers have made a fortune buying precious metals.
hyperinflation isn't a myth
govt wants hyperinflation? who said that?
The VRWC bogus "deficit hawks" have nothing to say about reducing the deficit by stimulating economic activity and therefore increasing property/sales/income taxes.
Their only solution, in bad faith as always, is to cut govt spending to weaken govt as the only defense against capitalist/corporate predations and destruction.
That's not China's real problem...
drought in China might require the world's largest wheat producer to import vast amounts of the grain, forcing the market price to levels never seen before.
...
Not until June will we know the extent of the damage to China's winter wheat crop, virtually all its production. Extremely low rainfall this winter parched more than 5 million hectares of 14 million hectares planted, and the next few weeks' weather will determine if the world faces a real shortage of the staff of life
here you're very positive about hyperinflation, no?"Hyper-inflation would kill most existing debt, one way or another."
worked for USA after WWII
so capitalist and corporations are the bad guys that need to be weakened?
Where will the jobs come from?
I seriously doubt we're actually going to ever see "hyper-inflation." To me, if the dollar loses even a 20% of its current value in the space of 3 years, that is bad enough.
Ppl don't want to increase taxes to reduce the deficit because in truth the size of the govt deficit doesn't matter to the economy as a whole, except as it relates to the proportion of the govt sector to the rest of the economy. This is because the govt doesn't make that it can sell to anyone except guns. Real wealth is measured by the amount of you own or can own. A big govt. sector doesn't create more , it creates a lot of service labor that nobody can eat or wear and nobody in another country gives a about to pay for. When you just increase the amount of your own paper that is going after the same limited number of , the economy doesn't improve, you just take the slow road towards poverty.
Fixed.
Some have indeed.
Feel free to sink your retirement funds into gold, and let me know how that works out in 20 years.
I prefer part ownership in a series of positive cash flows, rather than a fixed immutable asset of questionable worth.
Demand inflation is amenable to policy as Volcker showed in St Ronnie's high inflation of the early 80s. High interest rates are the policy.
Restricted supply inflation is more difficult, esp when the commodities are purchased from overseas.
But even there, tax policy (eg, on all petroleum-based fuel) can cause a switch away from petroleum by designing petroleum out of products and usage. aka, The Era of Cheap Oil Is Over.
There are some Wikileaks cables by an ex Saudi Oil Minister, otherwise taken as Reliable Source, predicting Saudi peak oil arriving 2010-2020.
it's been phenomenal over the past 10 years. Us suckers tend to buy low and sell high, so we'll look elsewhere. But I'm a sucker, so what do I know? When does your newsletter come outFixed.
Feel free to sink your retirement funds into gold, and let me know how that works out in 20 years.?
A really different situation."Hyper-inflation would kill most existing debt, one way or another."
worked for USA after WWII
Hyperinflation won't fix the US's debt problem. Average age of debt is around 60 months and when that debt has to re-roll at high interest rates along with the new hyper-inflated budget deficits the interest will eat our GDP.
Indeed. If you bought gold at the beginning of the decade, your timing was lucky and you can make money on it, just like any other investment.it's been phenomenal over the past 10 years. Us suckers tend to buy low and sell high, so we'll look elsewhere. But I'm a sucker, so what do I know? When does your newsletter come out
Long term gold is a sure loser when compared to any decent stock/bond portfolio.
I've done OK on metals...I've got about 1/2 pound of gold in coins bought in the $380's and also bought several of these (proofs in the boxes with certificates) when they came out for a little under $200.
http://cgi.ebay.com/1991-1-oz-PALLAD...#ht_3258wt_905
Obviously there are some stocks I would have done better with in the same time frame...
you're talking about diversifying, yes? If so, you should have 5 to 10 percent in metals.
btw, you know past performance is not indicative of future results.
Yes, actually it is very indicative of future results, especially long term trends.
What past performance is not, is an ironclad guarantee.
I haven't seen any paradigm shift in the way the world works to indicate gold being worth sinking any retirement funds into.
Long-Term trends showed there never being a 10 year period period of time in which the stock market was negative. Over 70 periods to data. What happend the 10 year periods ending '08 and '09? Negative.Yes, actually it is very indicative of future results, especially long term trends.
What past performance is not, is an ironclad guarantee.
Yeah, the world hasn't changed much the past 10 years.I haven't seen any paradigm shift in the way the world works to indicate gold being worth sinking any retirement funds into.
Wholesale Prices Rise For 7th Straight Month
Wholesale prices outside of the volatile food and energy categories rose at the fastest pace in more than two years last month, a sign inflation could be rising as the economy strengthens.
The increase comes after months of rising prices for oil, cotton, corn, wheat and other commodities
About 40 percent of the rise in the core index stemmed from higher pharmaceutical prices, which jumped 1.4 percent. That's the largest increase for that category in nearly three years.
http://www.huffingtonpost.com/2011/0...tml?view=print
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BigPharma screwing America again, trying to suck in a few $Bs in the face of many $Bs to be lost in the next two years as their top selling proprietary drugs come off patent.
Nowhere in Barry's or Boner's budget is there any talk of curbing runaway increases in health, only in excluding people who can't pay from getting care.
And nowhere was there any proposal to nullify the dubya/Repug regulation that forbids govt from negotiating as single buyer to BigPharma, as is done in foreign countries that thereby pay $10Bs less for BigPharma's .
I have zero doubt that we will see some pretty substantive inflationary pressures as energy prices percolate through the system, and food demand goes up along with it.
What I do doubt is the "hyperinflation of the OP".
Both of these are strawmen.Long-Term trends showed there never being a 10 year period period of time in which the stock market was negative. Over 70 periods to data. What happend the 10 year periods ending '08 and '09? Negative.
Yeah, the world hasn't changed much the past 10 years.
You have refuted things I have never said.
One month to go.
Most recent inflation data for Feb:
Wholesale prices e on steep rise in food, oil
The OP's prediction is running out of time. His "pretty confident" prediction of runaway inflation by the end of the year seems not to be panning out.WASHINGTON – Higher energy costs and the steepest rise in food prices in nearly four decades drove wholesale prices up last month by the most in nearly two years. Excluding those categories, inflation was tame.
The Producer Price Index rose a seasonally adjusted 1.6 percent in February, the Labor Department said Wednesday. That's double the 0.8 percent rise from the previous month. Outside of food and energy costs, the core index ticked up 0.2 percent, less than January's 0.5 percent rise.
...
David Resler, an economist at Nomura Securities, said the jump in prices is likely temporary, echoing remarks made by the Federal Reserve on Tuesday. Much of the increase in food prices was due to winter freezes in Florida, Texas and other agricultural areas, Resler said. Turmoil in the Middle East is a major reason that motorists are facing higher gas prices.
"Both food and gasoline prices are going to stop rising so rapidly," Resler said.
But John Ryding, an economist at RDQ Economics, disagreed, noting that consumers will feel the impact for some time.
"We do not buy the Fed's reassurance that these pressures will be temporary and we believe the public, seeing these strong increases in food and energy ... will not be marking back down their inflation expectations," Ryding said.
It is June.
No Hyperinflation yet.
More Paul fail.
What about inflation?
It's there to be sure. The run up in oil, that looks to me to be sustained, is finding its way into the CPI as energy costs tick up.
The run up in food due to a bad year for some grains in many parts of the world is also having an effect.
But the hyperinflation long predicted by gold bugs and other fringe nutters rooting for a dollar collapse has, unsurprisingly not materialized, any more than the rapture happened on the 21st of May...
Sustained, huh.
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