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Strategies & Market Trends : US Economic Trend Analysis
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From: gpowell6/9/2008 8:26:47 PM
of 97
 
Here's what I'm seeing for rising good prices. Very similar to the demand pull type inflation seen during the late 60's early 70's. What the FED will watch for is a rollover into wage demands - from their statements and previous actions they'll look for an acceleration in unit labor costs. Expect a sharp and deep recession until productivity gains restore supply/demand equilibrium. No guarantee the US does not end up relatively poorer though.

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