enthalpy

enthalpy

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The truth shall set you free, but first it's going to piss you off

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Monday, May 21, 2007

Posted 5/21/2007 05:28:00 PM by Douglas

Inflation? What inflation?!?

It's like a summer movie: the incredible shrinking dollar.

Since the beginning of the year, the buck has shrunk 5 percent – the equivalent of a 20 percent annual decline – compared with the pound and the euro.

Hmmm, but why would the Fed, with its stranglehold on our fiat dollar, let this happen?

But the shriveling value of the dollar may eventually help solve one of the most intractable US economic problems: the enormous trade deficit, which hit $63.9 billion in March, the highest level since September of last year.

What?!? The FED devalues the dollar so it can afford to pay off our war debt? When has that ever happened? Oh yeah, 1920, 1946, and 1968. Get ready for it, suckers.

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