Mish's Global Economic Trend Analysis Message Board

STOCKTALK

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 : Mish's Global Economic Trend Analysis

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Earlie who wrote (35687)	8/22/2005 6:31:32 PM
From: valueminded	Read Replies (2) of 116555

Earlie: Agreed and good points, however..... The problem is that the things that have gone down in price form far less % of personal and small business budgets then those things that have gone up. For example, you mention manufactured items & electronics. Well they have gone down in price however on the business front, our liability insurance, taxes, medical insurance, shipping and legal expenses have gone up far more then those have gone down. My point is the items which are decreasing in price are small potatoes compared to those increasing in price. A final point is that the dollar will come to a resting place somewhere. The issue is do you believe that the dollar is currently fairly valued or undervalued ? If so, then deflation makes sense. But in my case, I think we have had too much easy money for too long which has created a scenario in which the world is flooded (imo) with dollars. I expect that in the end when we look at what a dollar is worth, it will be valued at less tomorrow then it is today. All that said, I wouldn't be surprised to see a bout of stagflation before the dollar gets realigned.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next