It looks to me like there will be no escaping the pain. Either we suffer through a bad recession, or we get roaring inflation. I would just as soon Gentle Ben stopping goosing the money supply and let interest rates settle at inflation adjusted real rates of return. Let Hank and company come up with something. I really liked what Hank had to say the other day. He made some points that impressed me. He seems to be a smart guy and not in a panic, like Gentle Ben. My fear is that this is the 70's all over again. The fed will goose it and then stomp on the brakes, and then goose it, and then stomp on the brakes, and .... Anybody got some ideas? Can we avoid both inflation and recession.
Why can't Americans take any kind of pain? This horrible fear of a recession like its the end of the world is laughable. Not saying this is you, but for the average American, Is your financial situation so precarious that if you depend on an economy or stock market being strong to keep food on the table, then you have some serious financial problems that no one can save you from. Live within your means. There is a simple way to avoid inflation, and that's to keep money supply growth contained. That hasn't happened, and is not going to happen. America is addicted to easy money and credit, and this Fed Chairman is not the one who's going to act tough. Ben is Wall Street's bus boy and is printing like mad to hose down everything with dollars. And that will not prevent a recession, it will just make prices for everything higher.
Fortune telling again? How do you know these thing will happen? Its because how you " feel" not because as how you reason. Rationality is thrown out the window. My best advice you get attached to this guy named NOURIEL ROUBINI- OUR MODERN DAY PROPHET OF DOOM AND GLOOM. He is making a fortune stoking weaker sides of American populace, producing horrific scenarios and doing an outstanding job while making himself a nice little fortune. He knows how to displace your emotions and you will find him very congenial.