tag:blogger.com,1999:blog-11719208.post1679167360453249752..comments2023-11-05T04:36:14.223-08:00Comments on The Mess That Greenspan Made: Deflation - it's starting to get silly nowTimhttp://www.blogger.com/profile/16530974968126497397noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-11719208.post-44669085571807248582009-01-05T06:30:00.000-08:002009-01-05T06:30:00.000-08:00Keynesianism explains why so many ancient civiliza...Keynesianism explains why so many ancient civilizations disappeared. Their money supplies started deflating, and the people stopped spending money. Eventually, they even stopped buying food because it would be cheaper in another day, and they all died of starvation. Every Keynesian child knows this bedtime story.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-78354253909661498892009-01-05T06:25:00.000-08:002009-01-05T06:25:00.000-08:00Somebody wake me up when they start printing expir...Somebody wake me up when they start printing expiration dates on our paper dollars.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-21983965565773257062009-01-05T06:24:00.000-08:002009-01-05T06:24:00.000-08:00Foolish common people. Our problem was never infla...Foolish common people. Our problem was never inflation, but not enough inflation! If we stop distorting the market, people will stop engaging in unproductive activities and there will be recession. America must abandon this path to productivity and continue unprofitable investments in bubble sectors. Thank God we have a new President, Fed, Treasury, and many State Governors who agree.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-61298579094822996942009-01-05T00:54:00.000-08:002009-01-05T00:54:00.000-08:00The trouble with chaos is that it is so dynamic:1....The trouble with chaos is that it is so dynamic:<BR/><BR/>1. If it were not constrained by zero, those models would want to push it below zero, but that's not possible," Evans told reporters after a panel at the American Economic Association's meeting in San Francisco.<BR/><BR/>2. “The U.S. economy is undergoing a sharp contraction,” with unemployment poised to rise this year, Yellen said. “The odds are high that, over the next few years, inflation will decline below desirable levels,” and the Fed must “emphasize its commitment to returning inflation over time to the higher levels.”<BR/><BR/>During a speech earlier today in San Francisco, Yellen said the U.S. economy faces a “serious risk” of stagnating for an extended period of time and “it’s worth pulling out all the stops” on fiscal stimulus.<BR/><BR/>3. I'm confused, because my model says that The Fed & Treasury totally screwed up The Yield Curve by accepting a bunch of Wall Street trash in exchange for marketable Treasury securities, and then not having a model that is able to fit trash into the yield curve, and thus we essentially have sub-zero garbage floating in the Treasury sewer which is being offered at a massive premium, versus being exchanged at a massive discount. I imagine the confusion here is if the current value of money is being destroyed by the future impact of deflation or if the future value of money that is currently discounted is going to be further eroded by inflation, so yes, I'm confused and seek clarity also... and will not proof this or re-write my on-the-fly rant.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-49720048961654889942009-01-04T23:08:00.000-08:002009-01-04T23:08:00.000-08:00First they punish savers by bringing interest rate...First they punish savers by bringing interest rates to 0. Now they want to inflate away whatever savings we have left.bill moneyhttps://www.blogger.com/profile/00354305205139778353noreply@blogger.com