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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: russwinter who wrote (109493)	1/24/2011 11:21:32 AM
From: Eva	4 Recommendations Respond to of 110194

update -- trotsky, 11:15:18 01/24/11 Mon A Review of the Policy of Inflation The BoE's chief dove Adam Posen argues that easy money policies are neither likely to have an effect on prices in general, nor do they in his opinion drive asset bubbles. Don't you know, it's all the the fault of either the private sector or some exogenous events the central bank has no control over. Meanwhile, Alan Greenspan comes to a belated recognition of the fact that it may be a good idea to 'restrict money production'. While this insight obviously strikes him way too late, he mentions something that is curiously completely ignored by empiricists like Posen. Namely, in the decades before the gold standard was abandoned,real economic growth and wealth creation were far greater than after the Federal Reserve was founded and the gold standard was dismantled bit by bit. Instead of doing economic damage, falling prices were associated with a broad-based advance in living standards - something that Posen maintains is not possible. In view of the enormous damage their policies have wrought, the lack of introspection on the part of people like Posen and his ilk is truly baffling. They seem to think it is just fine for them to inflict further monetary experiments on the rest of us. To them, the economy is like a machine peopled by robots. If only they find the right lever to pull, everything will be fine again. Must we wait for a complete systemic collapse before these fools can be stopped? acting-man.com

To: russwinter who wrote (109493)	1/24/2011 2:29:04 PM
From: forceOfHabit	Read Replies (1) \| Respond to of 110194

So, translating theory into action, does this make it a good time to short GM shares? A little background, GM sold more cars in China than it did in the US last year: latimes.com Wouldn't turmoil in China be a huge bomb for the "new" GM? habit