Yep, we may have a lasting rally. I wish our "planners" and
the new economic team well
in fighting this horrible mess, and hope to see positive
results of the fight instead of this "End of the World", "New
Order", and other gold bug scenarios. The idea is to inflate or die.
Well, they will have to reign in the stuff eventually, or die
from inflation. Gulp!
If they are successful, the US standard of living will drop
some, the unemployment situation will improve (due to this drop), and the
manufacturing will come back with the lower labor costs, starting
a new real boom, which will pay for this spending eventually.
As they fight inflation, unemployment will soar again a few
years from now, probably 2010-12. If they are not successful,
well, we'll be in a horrible mess of some stagflationary sort for decades.
They should care about doing real work restructuring the
economy, cutting dependence on foreign oil and consumer
products, and encouraging exports.
Gold bugs will make some money, let's hope not monopoly
money <g> |
