Bobby, I'm in the deflation, recession, D, camp. Believe we are deflating rotationally like stock market sectors, not yet recessionary, though thought we would already be there last quarter. Timing eh? Can't entertain all your questions, just don't know enough answers. Japan doesn't need more infrastructure, theirs is more than adequate and modern as a country can get. Throwing more money at construction and utilities is a complete waste. China will use peasant labor or military (no impact on economy). The strikes that I have seen in the last couple years (auto excluded maybe)
have been people like me with no more than a three % raise the last eight or so years who are really being squeezed just to maintain the life style they had 8 years ago even with inflation (in general low to moderate) and then, union officials don't get paid to do nothing. Down sizing over the last 8 years has turned many white collar salaries to blue collar wages which is another source for wage growth pressure. Many others took wage cuts just to keep their companies in business back in the down sizing days and are just playing catch-up. PS, in some circles I qualify as a gun nut. Attended a gun show this morning and have never seen as many private weapons for sale as today. Looks like a segment of the economy may be trying to raise cash. Regards, Ron |
