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Strategies & Market Trends : ahhaha's ahs -- Ignore unavailable to you. Want to Upgrade?

To: ahhaha who wrote (5610)	11/19/2002 12:44:14 PM
From: Ahda	Read Replies (1) \| Respond to of 24758

I can't respond to you as i agree with you. In all the years i have spoken with you, you have proved time and time again you are brilliant. It is tragic you are not a part of the process of steering the economy. Having the Free market determine its own value is about the only way it can be steered. Currency transactions are making that damn near impossible when you think of business as being competitive in multi currency global world. Deflation is not a problem I realize that. It is wage scale inflation in a cost decreasing environment that is. Ask Japan what inflation can do.

To: ahhaha who wrote (5610)	11/19/2002 1:00:54 PM
From: ahhaha	Respond to of 24758

Harvey Rosenblum of the Dallas Fed on CNBC just said the FED is trying to put a floor under the declining rate of inflation in order to prevent inflation from developing into deflation. This is pure pretense to knowledge and it's the source of all the monetary policy failures over the last 50 years. It's based on the assumption that the natural proclivity of economic activity is towards stagnation and depression. This is the core tenet of the demand management school of economics. Earlier Rosenblum had said the only thing restraining inflation was the economic reality of corporation's inability to raise prices. Griffith asked when he thought this would change and Rosenblum implied it would never change. Then why must FED provide artificial stimulus and according to Rosenblum, thereby preventing the economy from evolving into deflation? I think we have an implicit contradiction going on here. Can you see it?