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.
Politics : Liberalism: Do You Agree We've Had Enough of It?
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Kenneth E. Phillipps who wrote (59787)2/20/2009 1:14:20 PM
From: TimF2 Recommendations  Read Replies (1) of 224749
 
We've had maybe .1% deflation. I submit that is much less of a problem than 12% inflation, and a misery index of close to 20%.

Also attempting to stimulate the economy, was what got us to the stagflation of the 70s. Even if it modestly reduces the depth of the current recession (and it might do that), it sets us up for a return of inflationary pressure, so we either roll back the liquidity (and get a double dip recession), or we run the risk of another bout of severe inflation down the line (and probably another relatively severe recession to contain it).

The economy has to shift to recover from malinvestment based on distorted incentives, and to properly cover future demand. Bailouts and stimulus bills create new distortions and slow down the adjustments that need to be made.

This recession is much closer to the Depression of the 1930s.

In terms of severity the recession in the 80s was closer to the depression in the 30s, then the current recession is.
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