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Pastimes : The Justa and Lars Honors Bob Brinker Investment Club Thread
VTI 338.72+0.3%Dec 23 4:00 PM EST
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To: Lone Ranger who wrote (2237)2/2/2003 5:17:17 PM
From: Alan Bell  Read Replies (1) of 10065
 
LR, Thanks for the thoughts about reflation. That make a lot of sense.

Isn't it also the case that fiscal policy is setting up the potential for major inflation. The previous tax cuts, the unrestrained spending for defense, and the proposed tax code cleanup are causing a large deficit. While these may be necessary, they will substantially increase the debt. Without increasing revenues (through taxes or economic expansion), isn't the only way to absorb the debt through inflation? What would the delay for that to occur?
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