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To: blam

Historically I believe, no country has managed to contain the genie of inflation once it is out of its lamp.

Asset prices, i.e. homes will rise in value but so will the price of gas, food and all our imported clothing and electronic goodies.

Reinflating like this is like chopping up the dining table and chairs and burning them on the living room floor to heat your house in a cold winter snap.

“the roof, the roof, the roof is on fire,
We don’t need no water, let the m-——f-—— burn”

-Esteemed musicologist and Fed consultant, the honorable George Clinton.


28 posted on 11/11/2010 11:14:53 AM PST by swarthyguy (KIDS! Deficit, Debt,Taxes! Pfft Lookit the bright side of our legacy -America is almost SmokFrei!)
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To: swarthyguy

“....homes will rise in value....”

Because of inflation? Higher inflation will eventually mean higher interest rates. Higher interest rates are not good for sales or consumer demand for houses. Inflation will mean higher commodity prices and higher prices for imported products that are not traditionally financed by the consumer.


36 posted on 11/11/2010 11:37:15 AM PST by Bizhvywt
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To: swarthyguy
Historically I believe, no country has managed to contain the genie of inflation once it is out of its lamp.

Paul Volcker and Ronald Reagan did a pretty good job of getting rid of it...

It was PAINFUL as hell... 22% interest rates.. but, it worked.

50 posted on 11/11/2010 12:36:49 PM PST by SomeCallMeTim
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