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To: Hugin

Once a desirable rate of inflation that includes wages and everything is established, the congress will be able to act.

The action will be stabilize the rate. The inflation/devaluation must continue at that painful but acceptable rate until the $$ amount of the debt is reduced to an acceptable level in the new inflated currency.

There can be some growth and revenue enhancing tax measures but the primary function in the debt reduction equation will be inflation.

The current fed action allows the bankers to get upfront earnings to makeup for the coming losses to inflation of outstanding loans and mortgages.

A well regulated inflation including COLA raises and wage adjustments will be tolerated. Retirement accounts in cash will suffer. Investments should be in a diversified portfolio. Betting on American industry will be a long term winning strategy. A little gold and real estate will ride the waves.

The unknown is, can there actually be a well regulated inflation?


16 posted on 10/03/2012 7:15:01 AM PDT by bert ((K.E. N.P. N.C. +12 ..... Present failure and impending death yield irrational action))
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To: bert

Do you happen to know what the total supply of USDs in circulation (not just printed, but digital) is? I’m wondering what percentage a trillion new dollars is going to add to the total.


18 posted on 10/03/2012 7:24:16 AM PDT by Hugin ("Most times a man'll tell you his bad intentions, if you listen and let yourself hear."---Open Range)
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To: bert
The unknown is, can there actually be a well regulated inflation?

Not when the furious money-printing to catch up with numeric promises causes new promises to accelerate exponentially faster.

Sure the 47% is happy to get their promised money, but now wants bigger checks to cover the increased cost of living directly attributed to inflation caused by conjuring that money out of thin air. Cycle repeats until bubble pops.

26 posted on 10/04/2012 1:23:04 PM PDT by ctdonath2 ($1 meals: http://abuckaplate.blogspot.com)
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