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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: basho who wrote (53973)	2/16/2006 9:48:14 AM
From: GST	Read Replies (1) \| Respond to of 110194

<Could you see your way to agreeing to that rather modest claim?> Would I agree that "if you consider nothing else but money supply, then money supply is important to an understanding of inflation" -- then of course if you eliminate everything else from consideration then the one factor you have left will be an important factor. You could say the same for being white in America -- if you are white you will be more successful. But few white men would say all successful white men are successful only because they are white. Even fewer would say that to be white in America IS to be successful. It is a factor in determining your prospects for success in America -- just as money supply is a factor in determining inflation. The serious problem I have is when people here say "money supply determines inflation because money supply IS inflation." An increase in money supply IS NOT inflation, and a change in money supply is not automatically inflationary or deflationary -- it is simply a factor to be considered -- one of many factors.