Quote:
Originally Posted by The Demon
Inflation is still the existing threat, how can it not be? Please explain the trend of deflation that you think is more prevalent than inflation.
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To reiterate:
The reason is that there exists staggeringly more dollar denominated debt than cash dollars (about a 50 Trillion dollar difference). This enormous amount of debt, as it implodes, is killing the ability to inflate -- despite the FED's efforts.
A reduction in the aggregate value of dollar-denominated debt is deflation, which is what we have going on now.