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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory
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To: mishedlo who wrote (53439)2/11/2006 3:20:36 PM
From: GST  Read Replies (5) of 110194
 
These are 18 more or less random questions that are not worth asking much less answering. Fact is, money supply means nothing outside an economic context in which that money is supplied. Knowing only money supply and knowing nothing else, you know nothing. Likewise, when you focus soley on money supply, you know nothing. The money supply CAN grow in a zero inflation environment. Inflation is a persistent increase in prices in a given currency. Deflation is a persistent decline in prices in a given currency. In an open global economy with multiple currencies, inflation rates will vary from one currency to another. Money supply is one of many contributing factors -- nothing more and nothing less.
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