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To: Crimson Ghost who wrote (109404)6/19/2001 8:43:13 PM
From: patron_anejo_por_favor  Read Replies (3) | Respond to of 436258
 
<<But I suspect the disinflationary impact of lower energy prices will not be nearly enough to offset the inflationary impact of the coming dollar smash and the ongoing explosive growth of the money supply.>>

I gotta admit, George, the tug of war between deflation and inflation is driving me nuts here! I remember having the same discussion with Heinz over a year ago...what's remarkable is even though we're a year deeper into the mess, it's still not clear whether we'll get a deflationary bubble collapse, or a hyperinflationary one. Maybe we get both at the same time, along with increased instability of the financial system as witnessed by declining corporate earnings and increased bankruptcies and defaults. I guess it's just like Chuckie Schwab says on his commercial (you know, the one where he tells us all to just "take a deep breath and relax"):

"A few Schwab poots, a few bonds, a little gold, a little cash...and you can ride out almost any market downturn"<G>