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REPORT ABUSIVE REPLY
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Message Subject
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The Federal Reserve has pulled the plug on the US and Global Debt Bubble - Global Planned Financial Tsunami Has Just Begun
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Poster Handle
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Anonymous Coward |
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Post Content
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Bottom line is this:
Those who are saying we wont have high inflation (or even hyperflation), but instead will have deflation...dont get it.
Deflation will not be allowed by banks if it rears its head; the counter being immediate injection (if not over-injection) of money into the system. The massive coordinated QE over the past decades at points of fiscal crises has been shown to have increasingly less 'grunt' each time (i.e. must print/inject exponentially more each successive time to get the same - or even less - results).
Thus, even if deflation comes, the immediate response will be massive QE, and, ultimately, massive inflation (and weaker purchasing power).
Quoting: Anonymous Coward 80429789 If only it were that easy then there would never have been a Great Depression. You reach a point of diminishing returns. They lowered interest rates again and again until 0%. Then they started buying assets and QE. But eventually the system doesn’t work if people and businesses aren’t borrowing. People don’t understand that inflation is a feature not a bug. Ever since Bretton Woods was conceived, the idea was constant inflation which translates into GDP growth and economic expansion. But the gig is up. They can’t inflate anymore. Look at the M1 and M2, we are contracting not inflating. All price increases are a result of the attack on petroleum and food. If it wasn’t for that, the deflation would be much more obvious. But it’s inevitable. The credit bubble has burst. It’s game over. The Great Reset cometh. You don’t have to believe me - within 6 months it will become self evident as the price of everything craters.Wonder what this will mean in terms of percentage price drops for the Residential Real Estate market and the Stock Market over the next 1-2 years? Where will interest rates end up? Will Unemployment go through the roof? Business bankruptcies off the charts? Hmmm... Everything looks quite dire. This is going to be an Economic Tsunami or a huge Financial Shitstorm. Feels like a total collapse of Modern Civilization is coming. Yikes!
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