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Politics : View from the Center and Left

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To: Paul Kern who wrote (103918)	2/11/2009 6:56:06 PM
From: Bread Upon The Water	Read Replies (2) of 541997

PK: More or less correct. You get an "A". V: Thank you PK: We have to trust Bernanke to sop up that excess money as the economy improves and I'm not sure that he the backbone to do the job before we are saddled with stagflation. V: So the process is a very delicate balancing act? You first create artificial demand which then creates real sustainable demand? PK: It took Volker to get the job done and, by then, it was so late in the cycle that it plunged us into a 10-year recession. V: In the 70's? PS: Now that the stimulus bill has apparently ruled out aid to the states do you think that will provide impetus for the California legislature to resolve their differences?

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