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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory

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To: mishedlo who wrote (39703)8/25/2005 12:28:08 PM
From: Umunhum  Read Replies (2) of 110194
 
As for oil prices...Rising oil prices are very much deflationary as long as wages do not rise to cover the oil rise. It takes discretionary spending out of consumer hands and it is bad for businesses (most of which can not pass the costs on) and will cost jobs in a slowing economy.

This is one of the craziest statements you have ever made and you seem to keep repeating it.

Deflation (defined by Websters)

A persistent decrease in the level of consumer prices or a persistent increase in the purchasing power of money because of a reduction in available currency and credit.

Rising oil prices are very much inflationary!
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