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

To: NOW who wrote (75761)	12/15/2006 1:40:47 PM
From: Tommaso	Read Replies (1) \| Respond to of 110194

"so it really is different this time..." It's different from any previous asset bubble where money was counted, ultimately, in fixed amounts of gold and silver. It's not different from other episodes when countries have foolishly mismanaged their paper currency. Maybe it is closer to John Law's issue of paper money during the Mississippi scheme; eventually gold backing was repudiated. We have repudiated our gold backing in well in advance. But no, it's not different from any other currency debasement. Our government has been issuing bonds to other central banks in amounts that can never be repaid without debasing the nominal value of the "money."