| I keep seeing everywhere expectations of a world wide depression and comments like gold at $2000 or a gallon of milk at $10. I'm confused as to how people can think that can happen with the lessons of the depression. People lose jobs, companies go bankrupt, people are foreclosed upon, cars are reposessed, demand for things decrease and prices for those things decrease. The Chinese will sell less things to poor Americans and themselves have less to spend. Demand for new tv's, cars, homes, etc disappear. Demand for steel, copper, cement, plastic, etc that make things like tv's etc decreases. Prices go lower. Inflation does not exist in such an environment. People will be selling gold, silver, cars, to buy their food, shelter, clothes, etc because they won't have jobs. |
