SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Classic TA Workplace

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: orkrious who wrote (60317)11/24/2002 1:09:28 AM
From: Perspective  Read Replies (3) of 209892
 
It's all in *where* the inflation takes place. The past decade witnessed asset inflation. If the Fed resorts to a dollar devaluation to stop deflation, the primary effect is inflation in *imports*. It takes more dollars to buy that BMW or Toyota, or those cheapo imported clothes and plastic goods we all consume so much of. Since most RE trades hands without any international influence, there is little direct effect on RE pricing. If anything, a dollar devaluation could pressure RE prices downward in two ways: 1. capital flight could pressure interest rates higher, reducing affordability 2. inflation in imported goods leaves fewer clownbux to chase RE

BC
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext