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

To: SouthFloridaGuy who wrote (6987)	5/6/2008 12:25:36 PM
From: John Vosilla	Read Replies (1) \| Respond to of 71456

Explain why we had no deflation whey NYC was broke in 1975? Why we had not deflation even when the stock market went sideways for 16 years ending in 1982? Why we had no deflation when commercial RE went down 60-70% nationwide between 1989-93? Why we haven't had deflation even as we are 2.5 years into the worst residential RE bust ever? If ever it was to happen it would have occurred by now yet oil breaks out to all time highs today.. 20-30% MZM growth and 4% long term treasuries cure a lot of problems given some time..One thing it won't help is the purchasing power of your dollar. Just wait until after the housing market actually stabilizes to see how bad it will get for deflationists..

To: SouthFloridaGuy who wrote (6987)	5/7/2008 1:13:56 AM
From: 8bits	Read Replies (1) \| Respond to of 71456

So even with our unlimited credit line, why is our growth slow? Misallocation of resources perhaps.. how many factory jobs have been added (lost) in the last 8 years...? Unoccupied McMansions and.... bombs, bribes, and babes in Iraq have the growth drivers: huffingtonpost.com And what happens when that credit line gets pulled? Very good question.. indeed with our huge levels of external debt (issued in our own fiat currency) I believe the US is in a unique position in history. Are there any parallels..? The pressure to monetize (slowly) the debt will grow as the baby boomers retire. I would like to see a more rational solution but the political will seems absent.