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To: Mark Bartlett who wrote (26335)1/16/1999 7:01:00 PM
From: Hawkmoon  Read Replies (2) | Respond to of 116764
 
gold has done well in periods of deflation as well.

Mark,

Not as well as bonds.

Ron



To: Mark Bartlett who wrote (26335)1/16/1999 7:57:00 PM
From: long-gone  Respond to of 116764
 
<< And there is no inflation right now, but rather global deflation of prices and contraction of economic growth and pricing power. >>
My wife runs a cafeteria in the industrial setting. First time in 6 years, she is increasing prices - now. Coke & Pepsi have gone up greatly.
Oh, I'm sorry, these are not part of the "inflation index". The bread is also. Oh, I'm sorry, the government has now included a "Rule of Substitution" Where by, if wheat goes up, we can all eat corn bread as long as it remains cheap.
I have long said this substitution rule reminds me of that French lady who said "Let them eat Cake" when bread was not affordable. I guess our government would call her problem "A little pain in the neck".
rh