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Just Print Money and Worry Later 19 March, 2009

Posted by David Anderson in Uncategorized.
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The federal reserve is printing money and monetarizing the debt. It is a smart way to get money circulating into the economy and keep the recent huge government deficits from eating up all of the private capital or forcing up interest rates. The problem is that it devalues the dollar and if not pulled back at the right time, will doom us to a serious spat of inflation.

The U. S. suffered the worst of both worlds in the 1970’s. Frequent recessions, stangnat growth, and annoying inflation eating away any wealth people did save or earn. Out of control inflation is the ruin of nations. Let’s hope that they know what they are doing.

Some are doing more than hope. Gold was up 26 dollars an ounce yesterday.

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