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

To: elmatador who wrote (61218)	2/16/2010 9:33:39 PM
From: THE ANT	Read Replies (1) \| Respond to of 218775

What a bunch of crap.If you dont blow credit bubbles you dont have to worry about deflationary collapses.They are preparing the US to not freak with high inflation.They are proposing a 4-6% yearly tax on low to mid income Americans via inflation.OK with me as long as they pay something, although VAT or national sales tax is a better idea.This should put a tomb stone on housing as 6% inflation with 8-10% mortgages will put housing below their long term trend line of price/average family income.This path leads to asset real deflation even if you create asset nominal inflation.You cant fool Mother Nature or Mr Market.We are screwed!Bring it on!

To: elmatador who wrote (61218)	2/17/2010 5:10:56 AM
From: Golconda	Respond to of 218775

economic & monetary idiocy, politically expedient

To: elmatador who wrote (61218)	2/17/2010 6:59:03 AM
From: THE ANT	Respond to of 218775

4-6% inflation would make asset bubbles very difficult as it would limit the amount of real debt vs income a person could take on.It would also keep real asset value at or below long term trend.Every single scenario results in asset values relative to wages falling.Asset values doubled relative to wages(see Pimco or my prior posts)To keep assets up you need a combination of (1)high projected future cash flow (2)speculative frenzy (3) easy credit.Easy credit is gone for the next 20 years