SI
SI
discoversearch

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 ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: SouthFloridaGuy who wrote (93335)1/25/2009 3:57:12 PM
From: Claude Cormier  Read Replies (2) of 116555
 
I know what he thinks. But he has not answered the real question. He has not negate the argument below.

Mish says that that the collapse in credit is highly deflationary and that is the bulk of it. But he is not 100% true, in fact he may be well below 50% right.

All depends on how the credit is collapsing. Is the credit reimbursed or is it defaulted on. The former is deflationary, the second is not.

WHat we know now is that bank capital has collapse because of loan defaults. But this capital is being replenish by the bailouts. This is highly inflationary in the long term, but you greatly increase the money supply.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News