By
Monty Pelerin,
posted March 16th, 2010
http://www.economicnoise.com/2010/03/16/inflation-or-deflation-considered-again/
A reasoned view for high inflation is made on Zerohedge.
My opinion is that hyperdeflation (if it is defined as 5% or more) does not
occur. The level of inflation could be hyper, however. I agree that
“Monetisation is now the policy lever of first resort” and that
governments will default on a rather massive scale.
Albert Edwards Predicts Deflation Followed By Double-Digit Inflation As
“Governments Opt To Default, And Monetization Is Policy Lever of First
Resort”
Submitted by Tyler
Durden on 03/16/2010 10:44 -0500
As if we needed any more confirmation that deflationary pressures continue to
prevail and to swamp the broader economy, here is SocGen’s Albert Edwards with
his most recent (and humorous: we had no clue that the “UK?s ONS statistical
office has just decided to throw canned fizzy drinks out of the UK?s CPI basket
and replace them with small bottles of mineral water”) menu prescriptions for
the near- to mid-term future.
First an appetizer, here is a look at US consumer leverage trends. Yes, good
point: what leverage?
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