tag:blogger.com,1999:blog-11719208.post113111541497559454..comments2023-11-05T04:36:14.223-08:00Comments on The Mess That Greenspan Made: Inflation Has Been Close to ZeroTimhttp://www.blogger.com/profile/16530974968126497397noreply@blogger.comBlogger10125tag:blogger.com,1999:blog-11719208.post-1131324791847622402005-11-06T16:53:00.000-08:002005-11-06T16:53:00.000-08:00Good post, check out my blog http://www.economicvi...Good post, check out my blog http://www.economicviewpoint.com<BR/><BR/>I'm also a little bearish on housing because I don't think this demand is sustainable.Wes Dhttps://www.blogger.com/profile/03801362902621931257noreply@blogger.comtag:blogger.com,1999:blog-11719208.post-1131306939048884652005-11-06T11:55:00.000-08:002005-11-06T11:55:00.000-08:00Inflation close to zero and there is no nationwide...Inflation close to zero and there is no nationwide (or worldwide) housing bubble<BR/><BR/>Is this guy going senile? Or does he feel he cannot tell the truth, as to cause a meltdown (as if he could avoid one now)<BR/><BR/>http://housingpanic.blogspot.com/bloggerhttps://www.blogger.com/profile/06585266242070350399noreply@blogger.comtag:blogger.com,1999:blog-11719208.post-1131193620281655672005-11-05T04:27:00.000-08:002005-11-05T04:27:00.000-08:00Greenspan isn't fudging the CPI figures, but he ma...Greenspan isn't fudging the CPI figures, but he may be disingenuous about the current situation. Comparing the end of 1986 to September 2005, the old dollar is worth 55.58 cents, close enough to Paul's comment. On the other hand, this works out to a modest 3.2% inflation rate for the 18.75 years in question, with the higher rates in the first 4 years, and a 2.7% average for the subsequent years. That said, the September to September year-over-year is now a 4.7% gain. Yes, mostly due to energy, but these "All Items" numbers are more real than just excluding the energy figures, if you keep in mind that we get energy prices updated more frequently than most others, and since September prices of gas etc. are down.<BR/><BR/>I think a lot of the criticisms of Greenspan are inapt (i.e., that he allows inflation to suit his corporate masters), because in fact capitalists would generally prefer a harder line on inflation (tighter money), and debtors prefer a looser monetary policy (going back before Bryan's "Cross of Gold" speech, and even Shays' rebellion).<BR/><BR/>CPI-U All Items<BR/>Year Dec. $ Dec/Dec<BR/>1986 $55.58 <BR/>1987 $58.05 4.4<BR/>1988 $60.61 4.4<BR/>1989 $63.43 4.6<BR/>1990 $67.30 6.1<BR/>1991 $69.37 3.1<BR/>1992 $71.38 2.9<BR/>1993 $73.34 2.7<BR/>1994 $75.30 2.7<BR/>1995 $77.21 2.5<BR/>1996 $79.78 3.3<BR/>1997 $81.14 1.7<BR/>1998 $82.44 1.6<BR/>1999 $84.66 2.7<BR/>2000 $87.53 3.4<BR/>2001 $88.88 1.6<BR/>2002 $91.00 2.4<BR/>2003 $92.71 1.9<BR/>2004 $95.72 3.3<BR/>2005 $100.00 NADWPittellihttps://www.blogger.com/profile/02809996471988559374noreply@blogger.comtag:blogger.com,1999:blog-11719208.post-1131163028542671662005-11-04T19:57:00.000-08:002005-11-04T19:57:00.000-08:00SirChive: Let me explain this to you. You are seei...SirChive: Let me explain this to you. You are seeing inflation because you are not buying enough computers and cars.<BR/><BR/>Seriously, the last two times I bought a 50-pack of CD-Rs (1+ year apart) of the same brand name, they cost me $20/$10+tax, respectively. I made the joke that depending on whether it is an arithmetic or geometric progression, they should cost me either $0 or $5 this year. Sure enough, I saw an ad for $5 this week. (Which means it is geometric.) A coworker remarked he saw an ad for "free after mail-in rebate". So the jury may still be out.<BR/><BR/>So if you are getting a bunch of these after each doctor visit, you may neutralize your personal inflation.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-1131162588738811242005-11-04T19:49:00.000-08:002005-11-04T19:49:00.000-08:00To paraphrase Clinton, "that depends on what 'very...To paraphrase Clinton, "that depends on what 'very close' (and 'period') means".Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-1131139007320840942005-11-04T13:16:00.000-08:002005-11-04T13:16:00.000-08:00Some interesting comments about Volker, Greenspan,...Some interesting comments about Volker, Greenspan, Bernanke, and inflation targeting here:<BR/><BR/>http://www.hussmanfunds.com/wmc/wmc051031.htmAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-1131135360268924732005-11-04T12:16:00.000-08:002005-11-04T12:16:00.000-08:00Oh, come on.You people need to get your facts stra...Oh, come on.<BR/><BR/>You people need to get your facts straight.<BR/><BR/>First of all, the Kohnheads only set monetary policy for Remulak. On Remulak, they don't use gas. On Remulak, they don't eat.<BR/><BR/>Yet, all I hear from you bellyachers is how inaccurate the inflation statistics are "ex food and energy." Of course the inflation statistics are accurate. The government doesn't lie.<BR/><BR/>And all those political comments about how a dollar is only worth 55 cents -- give me a break. Of course a dollar is worth a dollar. It says so right on the front. <BR/><BR/>Plus, I heard Bush is going to give Greenspan the medal of freedom. That settles it. Greenspan is a hero, and there is nothing any of you can do about it.<BR/><BR/>So, nyeah.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-1131130717570294742005-11-04T10:58:00.000-08:002005-11-04T10:58:00.000-08:00(Is he responisble for turning our country in a se...(Is he responisble for turning our country in a service economy or was outsourcing inevitable? )<BR/><BR/>with relentless inflation created by the Fed, the cost of establising a company and hiring workers in our nation has risen and risen and rise. decade after decade costs rise, to compete the business must move to the lowest costs countries.<BR/><BR/>who would wanna start a business in California right now?john_law_the_IIhttps://www.blogger.com/profile/14231101798981208231noreply@blogger.comtag:blogger.com,1999:blog-11719208.post-1131127776079631682005-11-04T10:09:00.000-08:002005-11-04T10:09:00.000-08:00Tim,I am curious on your thoughts of Greenspan's e...Tim,<BR/><BR/>I am curious on your thoughts of Greenspan's effect on manufacturing jobs in the country. Is he responisble for turning our country in a service economy or was outsourcing inevitable? <BR/><BR/>Also, what happened to the father working and the mother staying home to raise the kids? Is Greenspan responsible for 2 incomes to buy a house?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-1131124506277262382005-11-04T09:15:00.000-08:002005-11-04T09:15:00.000-08:00The only inflation Greenspan (and the capitalist t...The only inflation Greenspan (and the capitalist thugs who employ him) care about is the cost of labor. As long as wages are stagnant or falling they're happy. Otherwise, higher prices just mean higher profits.Anonymousnoreply@blogger.com