15 May 2012

Dee Feat is in Dee Flation, Part 18

Well, the Flation Numbers came out this week and last. And, as usual, the Prosperity Through Austerity And Inflation's The Issue folks can't be happy. Here they are: Core PPI 0.2% Core CPI 0.2% PPI -0.2% CPI 0.0% I'll leave it to the reader to see the forest and the trees. All that free money from the Fed sure ain't getting into the hands of people who spend. That's why there's no inflation. As the planet runs out of arable soil and hydrocarbons, with an exponential population growth, prices will rise due to shortage. The Idiots of the Central Banks will be too stupid to see this, and immediately raise interest rates, hoping beyond hope to play the role of Volker the Saviour. But they will only make matters so much worse. A Confederacy of Dunces, I'll say.

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