Replies

The other thing they can do is dump tons of easy money into the system. We are in real trouble then.

I think they're already doing that. Arete might know how much money they've added over the past few months.

But, help me here. At some point do we get inflation and higher interest rates? But, right now the prices on some goods are so low they're silly. Didn't it take a catalyst in the '70s (ie: oil embargo) to cause things to spin out of control? And I read some things this weekend about the government increasing oil stockpiles, I would imagine to avoid just such an occurance.

That's what's so fascinating. Can the government do enough to prop things up? I would think immigration and globalism are a big part to the scheme. But people are getting pretty upset with those initiatives. One wonders what will happen after the elections, when those elected will get in office again without these things coming up and affecting who ends up in office.

Check Arete's #10. Until about 1993, the money supply was pretty level. Since then, it has just about doubled. The huge upward swing began in 1995, and continues today. (It's a nice graph; it doesn't show the bottom half, but it isn't distorted.)

How much money can be added to the supply, and how much of it can be thrown around the world, before it loses value? I'm not hearing any of the cheerleaders talking about that.