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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory

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To: Robin Plunder who wrote (101744)2/28/2009 2:42:36 PM
From: zamboz  Read Replies (2) of 110194
 
Robin, I have been viewing the derivatives as the 800 lb gorilla in the room. Perhaps the fiat money elephant trumps it. Tomasso posted a great chart this morning that supports your point rather eloquently. I cannot believe I am the only one to rec it. Message 25452461
I have assumed a return to the gold standard is impossible. My guess is that mainstream economists from Volcker to Geithner do not support it. Whatever is right, they are trying the stimulus first. It has always worked in the past. Things might be very different this time. Doing the stimulus probably has to happen. My very humble guess is it would take a bunch of pain to get us back to the gold standard. Probably a default on debt. IMHO.
Rick
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