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To: stockfiend who wrote (833)5/22/2007 10:38:49 PM
From: John VosillaRead Replies (1) | Respond to of 1718
 
'For inflation to kill the debt bubble either inflation must surge or the perception of existing inflation must change.'

Do you think J6P these days believes inflation is raging and thus must do what is necessary to protect himself?

Obviously most on Wall Street and a decent percentage in DC don't admit publicly it is a problem...



To: stockfiend who wrote (833)5/23/2007 10:29:09 AM
From: SouthFloridaGuyRead Replies (1) | Respond to of 1718
 
The inflation cycle has been prolonged due to overcapacity stemming from the 90's and global labor arbitrage. This is quickly waning as currency manipulators are now feeling the effects of inflation and the unrest that can manifest. Inflation in the U.S. is minimal as we buy subsidized goods from abroad in return for confetti. Where can I get more of that deal - everything the US consumer has done is rational and smart if you ask me.

The fact of the matter is - and it's funny but I am not sure the Asians will ever learn this - is that government control never works. It only retards long-term growth and creates bubbles. I suppose when a country can only gain competitive advantage by making widgets, they feel the need to manipulate. They will feel the effects when they are forced to let their currencies massively appreciate. I expect their markets to suffer at that point.

Buy America!