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To: Travis McGee
Deflation: Making Sure "It" Doesn't Happen Here

It sounds like he thinks deflation is a serious problem. Perhaps you agree?

37 posted on 12/01/2005 11:20:35 AM PST by Toddsterpatriot (The Federal Reserve did not kill JFK. Greenspan was not on the grassy knoll.)
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To: Toddsterpatriot
Thank God we have an Ivy League trained academic coming on board to run the fed. He'll be able to solve any coming problems, I'm positive!

"If recession should threaten serious consequences for business (as is not indicated at present) there is little doubt that the Federal Reserve System would take steps to ease the money supply and so check the movement."

--Harvard Economic Society, Oct. 19, 1929

Today, we all understand how simple this is. That's why Japan solved their problem in a matter of months after 1990, simply by dropping interest rates to the zero limit, and giving away bushels of money to all comers. Presto! Problem solved!

(You mean...it didn't work like that?)

42 posted on 12/01/2005 11:29:27 AM PST by Travis McGee (--- www.EnemiesForeignAndDomestic.com ---)
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