More on 16 Trillion Reasons Why
These gems contrast and highlight our basic notions that inflation is anything but tame, people are being robbed blind as the value of our currency is constantly and insideously being debauched, and that loose money policies by the central bank have put us in an untenable situation, which will in all likelyhood end very badly.
From Big Picture Barry Ritholtz:
Actually, what the bubble watchers are seeing is the effect of the global, almost coordinated massive liquidity injection. Cheap money, half century low rates, printing presses humming overtime. So of course hard goods -- materials and commodities -- become more valuable as the dollar loses more purchasing power. That loss of purchasing power is also know as -- say it with me -- INFLATION.
From Mike Shedlock, a wake up call is needed:
One way or another, unsound economic practices and serial bubble blowing will be halted or the market will force it at the worst possible time. The wake-up call may be loudly ringing but the big fear is that both the Fed and Congress are deaf.
Of course I am talking about "real inflation" as measured by increases in money supply as opposed to hedonically adjusted price inflation as seen through the eyes of central bankers.
Money supply exploded out of control under the Greeenspan Fed. It was only because of global wage arbitrage, outsourcing, and a productivity boom caused by the internet that inflation SEEMED low. Inflation was not low if one understands what inflation really is: growth in money supply and credit.
From Big Picture Barry Ritholtz:
Actually, what the bubble watchers are seeing is the effect of the global, almost coordinated massive liquidity injection. Cheap money, half century low rates, printing presses humming overtime. So of course hard goods -- materials and commodities -- become more valuable as the dollar loses more purchasing power. That loss of purchasing power is also know as -- say it with me -- INFLATION.
From Mike Shedlock, a wake up call is needed:
One way or another, unsound economic practices and serial bubble blowing will be halted or the market will force it at the worst possible time. The wake-up call may be loudly ringing but the big fear is that both the Fed and Congress are deaf.
Of course I am talking about "real inflation" as measured by increases in money supply as opposed to hedonically adjusted price inflation as seen through the eyes of central bankers.
Money supply exploded out of control under the Greeenspan Fed. It was only because of global wage arbitrage, outsourcing, and a productivity boom caused by the internet that inflation SEEMED low. Inflation was not low if one understands what inflation really is: growth in money supply and credit.
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