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Politics : Formerly About Advanced Micro Devices

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To: combjelly who wrote (487906)	6/14/2009 4:28:26 PM
From: Tenchusatsu	Read Replies (2) of 1573447

CJ, > For the moment, the fear of inflation is mis-placed. Doing nothing almost certainly would result in a deflationary spiral since it looks like we have hit a liquidity trap or at least are close. A liquidity trap is the result of "doing something," not doing nothing. I've seen more cases of government rewarding mediocrity and unproductivity than cases where government has successfully stimulated economic growth. Politics will ensure that the massive spending we're undertaking to jump-start the economy will NEVER go away, a fact that even guys like Krugman seem to deny. That will ensure that inflation is all but a certainty, and probably sooner than Obama would like. Tenchusatsu

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