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

To: DebtBomb who wrote (25762)	12/21/2009 12:18:04 PM
From: Skeeter Bug	Read Replies (1) \| Respond to of 71454

bank closers would be very deflationary. almost no money chasing a metric ton of goods that can't sell... is deflationary.

To: DebtBomb who wrote (25762)	12/21/2009 5:08:33 PM
From: GST	1 Recommendation Read Replies (3) \| Respond to of 71454

A devalued dollar in an economy so utterly dependent on imports is not deflationary. The US dollar serves as a medium of exchange and a store of wealth. To the extent that it fails to serve as a store of wealth, its role as a medium of exchange can only be served by higher prices. If it is not clear to you by now, the policy response of the US to global imbalances has been and will be to print, print and then print some more. Banks are proving to be a less than satisfactory way to flood the world with yet more dollars -- but that will not stop the printing. The next stop on this train will be the direct approach -- cash for retards, cash for people with bad teeth, cash for strippers, cash for shut-ins, cash for cry-babies, cash for fat-cats, cash for the homeless (scratch that one, poor people can not be relied upon to vote).