"'The best way to destroy the capitalist system is to debauch the currency,' said Lord Keynes. Ben Bernanke disagrees. a student of the Detpression, the Fed chair appears far more fearful of deflation--a vicious cycle of falling prices, debt defaults, home foreclosures and rising unemployment. ... Is Bernanke fighting the war of 1929 in 2009? Surely, today, with the explosion in M1, the basic money supply, there is no shortage of dollars out there, even if they are not circulating fast enough. To end our recession, Bernanke may be running an even greater risk: hyper-inflation. This has destroyed more nations than deflation or even depression. ... 'The first panecea for a mismanaged nation,' said Ernest Hemingway, 'is inflation of the currency; the second is war. Both bring a temporary prosperity; both bring a permanent ruin. But both are the refuge of political and economic opportunists.' ... Bernanke is printing money to buy US bonds. ... For inflation is theft", Pat Buchanan (PB), 24 March 2009 at http://townhall.com/columnists/PatBuchanan/2009/03/24/the_weimar_solution
PB's Weimar solution looks like the dollar's final solution.
2 comments:
If you think that is the case, spend all you can now, borrow all you can now, don't wait run, buy, buy, buy cars, homes, buckets, it doesn't matter run Forest run spend now.
That's right... lever now... pay back later with cheaper, inlated dollars...
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