I would hate for inflation to eat away at it making it worthless. ..........Might this be about where we live?
Inflation would be a bigger threat to you, individually, at least that's my understanding. However, deflation, if it gets into the system, best I can read, is extremely difficult to address and limits if not destroys the ability of an economy to grow its way out of debt/deficits. That's why Krugman focuses, I assume, on it so hard.
There are indeed budget woes at every level of government but they were created by excesses.
We differ here, Steve. I'm certain there are excesses. Always are. But the genuinely serious fiscal problems we face at the state and federal level, in my view, are thanks to what Sam keeps calling the "starve the monster" strategy of the right wing. Keep cutting taxes and thus reduce public services until our schools, police, firefighters, libraries, roads, bridges, subways, you name it, are so starved that we reach third world status--large inequalities and nonexistent public sector. |
