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Politics : Stockman Scott's Political Debate Porch -- Ignore unavailable to you. Want to Upgrade?


To: stockman_scott who wrote (893)6/28/2002 11:53:18 PM
From: Jim Willie CB  Read Replies (1) | Respond to of 89467
 
FT trust bubble article almost grasps full dollar consequences
it is not about greater trust in Europe or elsewhere to take economic leadership
it is about distrust of US and lost confidence in both its leaders and integrity

"European and Asian exporters enjoyed the competitive boost while lower import prices kept the lid on inflationary pressures in the booming US economy."

he doesnt take the next step
the declining dollar will open the back door to US inflation

why do the experts not address this critical issue?
why must they wait for this issue to SURPRISE us?

during the 1990's we heard incessant editorials about how the rising dollar, the strong dollar kept inflation at bay by reducing import costs, for both finished products and for components
the rising dollar resulted in the biggest and most massive dislocation of manufacturing capacity in history
we dont produce much in the USA

now we pay for that dislocation with higher prices
no way out
they dont want to talk about it because it is too horrible
maybe the pundits are gonna hide on the subject until the 800-lb beast beats on the door
and sits on the CPI index

I believe it will show itself by mid to late autumn
how can it not?
either in CPI or lost profit margins altogether?
how can both be avoided?

damn, I love this stuff
while 90% of the western world intelligensia is put to sleep by it
this is chess with multi-dimensional data
/ jim