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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Think4Yourself who wrote (198230)	4/25/2009 9:24:41 PM
From: ChanceIs	Respond to of 306849

Inflation ran rampant during the black plague of the 14th (?) century. I never quite understood that. From the monetarist viewpoint, inflation is too much money chasing too few goods. When the plague struck a city, it could lose 1/2 its population within a week or so. Unbelievable. Certainly that would drop the productive work force and therefore the supply of goods - after a while. But the demand sure would go down. I suppose that the lucky survivors inherited the medieval equivalent of lots of paper money with which to go shopping. Same money supply with fewer goods.... I hope, pray and expect that we are not facing those circumstances again. On a separate note, I attended a lecture of ethanol about five years ago. One of the great concerns of the presenter was that if everyone was planting corn - and they were - then if the right sort of bug developed, it would be curtains for the entire crop - and maybe the farmers. I am a believer in diversity in some areas. Interestingly enough, there was a quasi emergency in soy beans at about the same time. Some sort of leaf rust - just when the price of soy was high and a number of farmers had tilted their portfolios in that direction.