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Strategies & Market Trends : Heinz Blasnik- Views You Can Use

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To: Crimson Ghost who wrote (1873)5/26/2003 12:29:42 PM
From: Wyätt Gwyön  Read Replies (1) of 4905
 
The whole "deflation" thing is a big lie at worst and a gross exaggeration at best. What the Fed is really worried about is keeping the credit bubble alive as long as possible.

i would actually be comforted if the Fed were that cynical, since it would imply that they understood what is going on at least. but i think the simpler answer is that they actually believe their own bullsh:t and think people flipping houses signifies real growth in our economy. i think it is fair to say that the Fed really and sincerely believes deflation is a serious problem, and they really and sincerely believe they need to debase the currency to avoid it.
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