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To: Ilaine who wrote (94357)4/15/2001 8:26:44 PM
From: Mike M2  Read Replies (1) | Respond to of 436258
 
CB, so in your world you would let credit expansion be limited only by demand without regards to the ability to repay and everyone is happy. The Austrian school considers credit growth to be inflationary if it exceeds the supply of available savings and the needs of economic activity. Credit growth in 1929 peaked at $2.2 for every dollar of GDP growth. mike