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Strategies & Market Trends : John Pitera's Market Laboratory

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To: John Pitera who wrote (3120)1/10/2001 1:58:13 PM
From: Yorikke  Read Replies (1) of 33421
 
Minehan appears to be in in love with Goldilocks. Note his references to 2% growth rate. Also he is harping on the relative stability of private sector debt, not the direction of the change in debt load, which I would expect will be become the key issue.

If we see the current unease move businesses and consumers toward a more cautious attitude toward debt, and the percentage of debt to GDP levels off or begins to decline it means the FED is failing in their attempt to rewarm the pot. (Without very quick fiscal intervention in the form of tax cuts and reduced surpluses to help, the fed is in a bind)

At least, I believe that is what Minsky, Wray, and Levy would be likely to say.
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