Stagflation: That 70s Show

Weak confidence, PPI jump stoke U.S. stagflation fear

“It looks like there is no confidence in an economy where inflation is getting out of control,” said Andrew Brenner, market analyst at MF Global in New York. “This is a classic stagflation scenario.”

In the face of fresh signs of economic weakness, a top Federal Reserve official played down the risks presented by current price growth, saying the danger the U.S. economy will weaken further is a bigger worry than higher inflation.

“I do not expect the recent elevated inflation rates to persist,” Fed Vice Chairman Donald Kohn said in a speech at the University of North Carolina at Wilmington.

“In my view, the adverse dynamics of the financial markets and the economy have presented the greater threat to economic welfare in the United States,” he said.

Emphasis added by me.

Is this some sort of bad transcription or just bad leadership:

“In my view, the adverse dynamics of the financial markets and the economy

The economy is the people. Weren’t we told to spend ourselves into victory post-9/11? Isn’t that what this faux “stimulus package” of “rebates” is all about?

reposession.jpg
Say hello to the repo man …

Explore posts in the same categories: C.O.A.T. - Money

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