G'day all - dear Gersh, I doubt Uncle Al will do anything substantive just to bolster the stock market. However, I do believe there is a trade off, but it is between the inflation threat from the domestic perspective and the deflationary spiral from the global perspective. The world is smaller, in a manner of speaking, when it is compared to the 30s. For one thing, the USD has become a surrogate standard [not yet de facto <g>.] So, the monetary policy of this world's largest economy matters beyond the scope of the Dust Bowl debacle [I am using this as a synomyn to the Great Depression as an illustration to some of the other salient differences in case people keep hanging on to the past.] This is indeed a tale of two cities!
Speaking of a tale of two cities, while people may want to categorically say free market is good and intervention is bad, I'd like to bring the attention to the differences between HK and Malaysia.
best, Bosco |
