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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: Crimson Ghost who wrote (34644)5/11/2008 12:26:13 AM
From: pogohere  Read Replies (3) | Respond to of 219196
 
"the Fed's money printing has led to global money printing"
"Only when money printing leads to a collapse in the dollar or in the U.S. Treasury market will there be any possibility of the asset-market declines we face actually turning into the deflation that so many people still seem to expect. "

The Fed has not expanded the US monetary base for about 18 months. It didn't need to largely because our trading partners have been printing money like crazy to keep their currencies from rising and used the US$ purchased from their exporters to buy US paper.



To: Crimson Ghost who wrote (34644)5/11/2008 4:06:54 AM
From: elmatador  Respond to of 219196
 
pogohere is right. We are proping up the US. "trading partners have been printing money like crazy to keep their currencies from rising and used the US$ purchased from their exporters to buy US paper."



To: Crimson Ghost who wrote (34644)5/11/2008 4:07:28 AM
From: elmatador  Respond to of 219196
 
Forget macro-economics. It is an inexact science that only serves as a benchmark against which you can test reality.

People with the ideas put forward in the article are thinking that macro-economics is an exact science and are try to gauge reality using it.

What is really happening is that wealth is moving from OECD countries to the emerging markets. The center has not collapsed because the emerging markets are propping it up.

Any of those little countries can be propped up by the big pull of the emerging markets.

People need to think in linear terms not in cyclical ones. Look to the arrow of time. from left pointing and moving-inexorably- to the right on a straight line

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