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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: TH who wrote (3858)	2/4/2008 12:44:46 PM
From: Real Man	Read Replies (1) \| Respond to of 71463

I guess I would like to see policies in place that encourage stable currency, low inflation, and manufacturing rather than trying to blow the credit bubble back to where it was or higher. The former means recovery. The latter means hyperinflation. So far I am seeing more of the latter than the former. Cuts timed to save the stock market? Give me a break! You can't save the country by using the same policies as those that created the mess in the first place.

To: TH who wrote (3858)	2/4/2008 2:31:35 PM
From: the navigator	Read Replies (1) \| Respond to of 71463

I think the CB monkeys have their line, and they will all do what is needed to provide support. It is difficult to play against those with no rules and unlimited resources. There are two examples of financial collapse in recent history (probably more, but they are the ones that I look to), the German and the Argentinian. The German inflation was successful until the people lost confidence in the money. That took awhile. The people kept trying to swim upstream until they realized that they were losing ground, no matter how hard they tried. In Argentina, the people woke up one day and the banks were closed. The devaluation of the money began immediately. I'm no economist, but this is the information I've gathered from reading about both events. I think we'll follow the German model. If we do, then the banks can keep printing worthless money as long as the world accepts it. There is no limit until the confidence is lost. This means they can bail out everyone all the time, i.e., the banks, the bond insurers, wall street. No limits. Until it's over.