Julian Robertson predicting 15-20% inflation

Discussion in 'Economics' started by WallStWhizKid, Sep 24, 2009.

  1. .............................................

    Never changed the original ideas....

    Consumption tax only...
    10% State....5% Fed....
    State mandate only....
    Gets rid of the advertising/lobbyist
    system by default....

    Eliminate legal largesse....has ruined
    entrepreneurship in US....
    Too high as a % of prices.....

    Education....internet based...for the willing....not for monied, connected parents....

    Medicine....a govt. option....must use generics...assist in training....make lots of Drs...

    New Universal stock exchange...no taxes on any instruments....all price discovery must occur on this BATS model venue....information wiki based...language, currency of choice....

    Banks...must be localized...know their customers...invoke Glass Steagal....


    That's it....

    The US...or any other country would enter its own golden age....

    The US has to position itself to compete
    head on with BRIC....

    The above ...gets it done....


    ..............................................

    By the way Julian R. nails it....

    The wild card is the ability of the Chinese/Japanese to
    buy US debt....

    The real issue is....their economies may not allow for a choice....

    Seemingly it is logical to wait for extreme excessiveness for LT opportunities....game never changes...

    As far as day to day...the more volatility...the better....

    ............................................

    Would be nice if the US would elect to venture in the right direction....
     
    #11     Sep 25, 2009
  2. kxvid

    kxvid

    If foreign governments were to stop buying US government debt...

    Yields on US treasuries would skyrocket.

    Fixed rates mortgages linked to LIBOR would become unpayable for most.

    Economic growth would be negative or non existent. High inflation is very bad for growth in general.

    Bubbles could develop in the commodity futures markets. Families would have a hard time keeping up with bills as pay will not rise fast enough to cover inflation.

    Seniors on fixed CPI-linked SS payments would be screwed. If inflation was 20% the CPI would only register a fraction of that.

    etc etc blah blah blah :)
     
    #12     Sep 25, 2009
  3. lrm21

    lrm21

    I believe countries can continue to roll over debt longer than citizens have memories.
     
    #13     Sep 26, 2009
  4. so, who is buying that proposed land and other assets? The Chinese and Japanese? LOL!!! How is that better than them investing in US Govt Bonds?


     
    #14     Sep 26, 2009