tag:blogger.com,1999:blog-4490468598422095060.post4475491215568553729..comments2024-03-17T07:55:12.096-07:00Comments on FOFOA: Big Gap in Understanding Weakens Deflationist ArgumentFOFOAhttp://www.blogger.com/profile/17152544684132776239noreply@blogger.comBlogger102125tag:blogger.com,1999:blog-4490468598422095060.post-82402621750065482272011-04-20T21:28:04.066-07:002011-04-20T21:28:04.066-07:00Thank you for that costata, I'm trying to catc...Thank you for that costata, I'm trying to catch up on my reading. Normally I only work about half time, which is fine.<br /><br />These days it's full on, full time. I've taken tomorrow off, so hopefully i'll catch up. <br /><br />Frankly, I'd rather the time off then the money.Wendyhttps://www.blogger.com/profile/17448815628676884529noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-22515810475047923752011-04-15T08:45:18.031-07:002011-04-15T08:45:18.031-07:00Charles Hugh Smith has another post out, 'Here...Charles Hugh Smith has another post out, 'Here's the Setup for the Con of the Decade':<br /><br />http://www.oftwominds.com/blogapril11/setup-con-of-decade4-11.html<br /><br />I would be interested in reading other's opinions of this piece.<br /><br />My view is that his scenario is simply not possible. The US cannot service debt at high-single digit real interest rates based on Michael Hhttps://www.blogger.com/profile/08900572113023618278noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-57910309759262130182011-04-11T16:42:21.394-07:002011-04-11T16:42:21.394-07:00Redhill,
My pleasure.
CheersRedhill,<br /><br />My pleasure.<br /><br />Cheerscostatahttps://www.blogger.com/profile/17932860172715556937noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-45844356822744120182011-04-11T00:07:30.876-07:002011-04-11T00:07:30.876-07:00@costata
Thank you for sharing and besides Wendy,...<b>@costata</b><br /><br />Thank you for sharing and besides <b>Wendy</b>, I have benefited too!<br /><br />This line caught my eye:<br /><br /><i>"And that slowdown, energy induced as it is, will, this time, force the fed to fight it with a <b>super inflationary buyout of anything and everything that defaults</b>."</i><br /><br />We are now living through this. FreeGold in due time.Redhillhttps://www.blogger.com/profile/00987072462080501677noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-36234998828262080022011-04-09T22:50:22.323-07:002011-04-09T22:50:22.323-07:00Wendy,
I found this while trawling for something ...Wendy,<br /><br />I found this while trawling for something else in the FOA archives. It appears that Saddam Hussein's demand for Euro settlement was used as we discussed.<br /><br /><i>Make no mistake, the world has seen the very last of cheap dollar oil. The next dynamic of that process in the transition of oil settlement support into Euro denominations. <b>Notwithstanding Iraq's move costatahttps://www.blogger.com/profile/17932860172715556937noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-25700041250812621882011-04-08T13:19:57.523-07:002011-04-08T13:19:57.523-07:00Michael H,
Of course, the next logical step is th...Michael H,<br /><br /><i>Of course, the next logical step is that if people stop accepting the currency, the government will print ever more of it to try to keep the military running, and the food stamps and SS payments going.</i><br /><br />A rose by any other name is still a rose.<br /><br /><i>Meanwhile, the government turned to the printing presses to fulfil its domestic obligations.</i>costatahttps://www.blogger.com/profile/17932860172715556937noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-46756035019883500702011-04-08T13:19:56.803-07:002011-04-08T13:19:56.803-07:00Regarding Edward Harrison's argument,
I made ...Regarding Edward Harrison's argument,<br /><br />I made the point that the very wealthy have moved into gold, and while that may not represent enormous sums, as yet, that is a removal of taxable wealth. The more pertinent point might be that loss of the ability to tax is, in effect, about the inability to raise revenue, and that is something that could happen very quickly. <br /><br />A case Edwardohttps://www.blogger.com/profile/03613197383283896190noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-72744447279579105652011-04-08T09:50:59.071-07:002011-04-08T09:50:59.071-07:00Here's another post on hyperinflation, by Edwa...Here's another post on hyperinflation, by Edward Harrison, posted at Naked Capitalism:<br /><br />"What are the preconditions for Hyperinflation?"<br /><br />punchline: "In short, there will be no hyperinflation in the U.S. any time soon."<br /><br />http://www.nakedcapitalism.com/2011/04/what-are-the-preconditions-for-hyperinflation.html<br /><br />Mr. Harrison begins by Michael Hhttps://www.blogger.com/profile/08900572113023618278noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-73910658534770299852011-04-08T09:25:52.084-07:002011-04-08T09:25:52.084-07:00I look forward to Rick's response.
In the mea...I look forward to Rick's response.<br /><br />In the meantime, Rick has updated his response to Lira with a 'foreword':<br /><br />http://www.rickackerman.com/2011/04/heres-why-hyperinflationist-lira-is-wrong/<br /><br />Rick says,<br />"At this point, I'll concede that it could be either that brings us to economic ruin. But I will nonetheless argue in a forthcoming essay Michael Hhttps://www.blogger.com/profile/08900572113023618278noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-11458620850383187032011-04-07T21:30:07.535-07:002011-04-07T21:30:07.535-07:00Scared me for a second. I started thinking about b...Scared me for a second. I started thinking about black helicopters.Petehttps://www.blogger.com/profile/13424744710145557605noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-45279781721529916542011-04-07T19:47:27.412-07:002011-04-07T19:47:27.412-07:00Yeah, editing. Sorry. Back up in a sec.Yeah, editing. Sorry. Back up in a sec.FOFOAhttps://www.blogger.com/profile/17152544684132776239noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-82342791184686877262011-04-07T19:46:23.893-07:002011-04-07T19:46:23.893-07:00A big W T F to FOFOA's last article now disapp...A big W T F to FOFOA's last article now disappearing. Conspiracy?<br /><br />Or are you just editing it FOFOA?<br /><br />:)Petehttps://www.blogger.com/profile/13424744710145557605noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-749991464480320782011-04-07T18:11:24.122-07:002011-04-07T18:11:24.122-07:00pipe,
I agree it will be very interesting to see ...pipe,<br /><br />I agree it will be very interesting to see how they deal with the 10 yr. IMO it is, as you hint, the "canary in the coal mine".<br /><br />You wrote:<br /><i>"In the case of China, the return on their bond purchases has been the receipt of unfettered (except for empty jawboning) access to our markets. And therefore, the ability to grow their economy by 10% / yr. costatahttps://www.blogger.com/profile/17932860172715556937noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-43551052054452583722011-04-07T17:38:07.234-07:002011-04-07T17:38:07.234-07:00I like this fro Harvey Organ today, "Either t...I like this fro Harvey Organ today, "Either the GLD folk have an army of people moving gold around or this has got to be the biggest fraud perpetrated on investors. Today the GLD added 11.74 tonnes of gold. Yesterday over 7 tonnes were removed. You can bet the farm that the removal was real gold (the problem of course, is that belongs to the Bank of England) and the addition of gold was not Indenturehttps://www.blogger.com/profile/01765884399143814933noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-38300758827138406152011-04-07T11:50:36.041-07:002011-04-07T11:50:36.041-07:00Costata-"The value of those bonds are eroding...Costata-"The value of those bonds are eroding."<br /><br />In the case of China, the return on their bond purchases has been the receipt of unfettered (except for empty jawboning) access to our markets. And therefore, the ability to grow their economy by 10% / yr. Pretty good return.<br /><br />The bottom line, regarding the question as to when greed turns to fear, as presented by thepipehttps://www.blogger.com/profile/05089975200066257716noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-84189465405044581282011-04-07T11:30:27.985-07:002011-04-07T11:30:27.985-07:00I call this one, "Biderman gets a clue."...I call this one, "Biderman gets a clue."<br /><br />http://www.zerohedge.com/article/surprising-observations-trimtabs-are-central-bankers-loading-gold?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29Edwardohttps://www.blogger.com/profile/03613197383283896190noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-76789923053609748032011-04-07T11:15:19.118-07:002011-04-07T11:15:19.118-07:00Bullion Bank Trading -- A Closely Guarded Secret B...<a href="https://marketforceanalysis.com/article/latest_article_040611.html" rel="nofollow">Bullion Bank Trading -- A Closely Guarded Secret</a> By Adrian Douglas<br /><br />"If investors think they own large amounts of bullion in “unallocated” accounts they should take a very close look at what has been presented here and try to work out where exactly the underlying assets that back their Indenturehttps://www.blogger.com/profile/01765884399143814933noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-74969759215291653022011-04-07T11:14:09.204-07:002011-04-07T11:14:09.204-07:00Two relevant tidbits (at least through my freegold...Two relevant tidbits (at least through my freegold-tinted glasses) from Bruce Krasting:<br /><br />http://brucekrasting.blogspot.com/2011/04/on-fx.html<br /><br />"The weak dollar conclusion is based on my perception that outside of the US there is increasing distrust of the dollar. Nearly every day there is another story in the papers that supports that view. America is financially out of Michael Hhttps://www.blogger.com/profile/08900572113023618278noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-13817392709947733212011-04-07T10:02:13.763-07:002011-04-07T10:02:13.763-07:00A great essay that deserves a thoughtful response....A great essay that deserves a thoughtful response. I apologize for having taken so long to do so, but I was occupied with Lira, and too caught up in the discussion at my own web site, to have time for yet another debate. I will get back to you shortly, but let me say that I appreciate your raising the level of discussion above the smug, self-absorbed posturing of Lira's uncivil attack.Unknownhttps://www.blogger.com/profile/13030312893416446503noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-7030383795036089472011-04-07T07:18:12.954-07:002011-04-07T07:18:12.954-07:00costata, thank you for posting Charles Hugh Smith&...costata, thank you for posting Charles Hugh Smith's essay "The Mechanics of Hyperinflation: Bankers vs. Politicos" (January 11, 2011).<br /><br />He makes an eloquent and reasoned argument for deflation, but I disagree with his premisis, in particular, the statement that "A hyper-inflationary wipeout certainly wouldn't benefit the Financial Power Elites who hold the vast Michael Hhttps://www.blogger.com/profile/08900572113023618278noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-18732619613153395022011-04-07T06:53:18.187-07:002011-04-07T06:53:18.187-07:00Jeff: From Dec. to April the GLD trust is down 75 ...Jeff: <i>From Dec. to April the GLD trust is down 75 tons of gold. That's a lot, and no one has said where it has gone. Someone is going to need a bigger vault.</i><br /><br />If it is being taken out and split up from the current bulk palletfuls of bars, then yes it'll take up more space. If it's just going to move from one unallocated pool to another, or if it were all allocated to DPhttps://www.blogger.com/profile/01965423353442076871noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-65398325656751081762011-04-07T06:46:39.564-07:002011-04-07T06:46:39.564-07:00@Indenture: Perha;s you meant to link to this?
Ve...@Indenture: Perha;s you meant to link to <a href="https://marketforceanalysis.com/article/latest_article_040611.html" rel="nofollow">this</a>?<br /><br />Very interesting -- thanks. ;-)DPhttps://www.blogger.com/profile/01965423353442076871noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-13044152014500217702011-04-07T06:42:21.694-07:002011-04-07T06:42:21.694-07:00From Dec. to April the GLD trust is down 75 tons o...From Dec. to April the GLD trust is down 75 tons of gold. That's a lot, and no one has said where it has gone. Someone is going to need a bigger vault.Jeffhttps://www.blogger.com/profile/08785185950964767294noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-75265275010691522032011-04-07T06:21:54.223-07:002011-04-07T06:21:54.223-07:00This comment has been removed by the author.Indenturehttps://www.blogger.com/profile/01765884399143814933noreply@blogger.comtag:blogger.com,1999:blog-4490468598422095060.post-71716198218853009362011-04-07T05:14:43.129-07:002011-04-07T05:14:43.129-07:00IMF Develops Framework to Manage Capital Inflows
...IMF Develops Framework to Manage Capital Inflows<br /><br />http://www.imf.org/external/pubs/ft/survey/so/2011/NEW040511B.htm<br /><br />"e IMF is developing a framework to help countries manage large capital inflows as part of its ongoing work to assess the risks facing economies as they recover from the global crisis..."@mortymer001https://www.blogger.com/profile/13047624328777522777noreply@blogger.com