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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: Don Lloyd who wrote (5856)7/15/2001 3:55:27 PM
From: yard_man  Read Replies (1) of 74559
 
My only point was that falling prices (i.e. a currency that appreciates in value) do not necessarily imply anything about future economic activity.

Of course, as you point out -- if wages (or some other prices for that matter) are artificially constrained -- then contraction may result -- but falling prices wasn't the cause.

There is a common misconception that the volume of money must grow with economic activity for growth to continue.

Complete nonsense.
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