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| User Info | Fekete - Inflation and deflation all at the same time?; entered at 2007-12-01 16:26:58 | |||
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Bw8472 Posts: 6446 Registered: 2007-06-28
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At some point in any major dislocation the government is absolutely going to try and do something. Now in a severe depression max pain is a year or two long, since it picks up momentum and eventually people will capitulate and work for pennies, but at some point the brush fire burns out and the price level simple crushes down a whole bunch of notches but it does stabilize and repair begins. The thing is that no government is just going to stand there during this fiasco as the pain is brutal and the people will howl. So they'll do something, and that isn't inconsequential in your decision making along the way, it's key in fact. Since you won't know exactly what they'll do, you'll have to pick up on rumors and be very nimble as they will do most things without much warning. 2007-12-01 16:26:58
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