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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Sunny Jim who wrote (76553)	3/20/2008 11:12:47 AM
From: Jim McMannis	Respond to of 116555

RE:"and the politicians didn't get the least alarmed when we had huge inflation in assets." They got the warm and fuzzy feeling of having their home prices rise through the roof. Everyone looked the other way. Besides Asset inflation is not true inflation according to the Government. Nor will it be counted a deflation on the way down. It appears oil is only counted on the way down. Gainesburgers...now that's an indicator.

To: Sunny Jim who wrote (76553)	3/20/2008 12:12:30 PM
From: stockfiend	Respond to of 116555

Both Greenspan and Bernanke stated it's the Fed's strategy to not interfere with bubbles but help pick up the pieces when they burst. The strategy is working brilliantly, eh?

To: Sunny Jim who wrote (76553)	3/20/2008 1:34:46 PM
From: Dan3	Respond to of 116555

RE: Now, they would have you believe that those bubbles were where prices should be and we have to do whatever it takes to maintain those levels. This isn't going to end well, folks. That seems to be what they think. They only way around it is to inflate general wages to the point that these mortgages can be afforded. They have access to a printing press (more relevant these days, the accounts on the "money" servers). If we didn't have reckless and feckless fools in charge of our government, determined to keep the markets up until after the next election without regard to consequence, such a stupid strategy wouldn't stand a chance of being adopted, but...