tag:blogger.com,1999:blog-27697009.post1027713343433285545..comments2024-02-29T03:21:35.007-08:00Comments on The Great Depression of 2006 : Our New Dollar is a Dime (reprint)Jim in San Marcoshttp://www.blogger.com/profile/09435296419912935381noreply@blogger.comBlogger6125tag:blogger.com,1999:blog-27697009.post-31183708893647968072008-05-13T10:14:00.000-07:002008-05-13T10:14:00.000-07:00Hi SackI see it the same way deflation first, then...Hi Sack<BR/><BR/>I see it the same way deflation first, then later inflation and when health care gets out of control, hyperinflation. I don't see a political solution to the mess.<BR/><BR/>When you suggest we take our lumps, most people think you are refering to cubes of sugar put in tea. We are talking a baseball bat here, one lump, is one more than you want!Jim in San Marcoshttps://www.blogger.com/profile/09435296419912935381noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-38714599333194046552008-05-13T05:48:00.000-07:002008-05-13T05:48:00.000-07:00According to Michael Panzner, and I think Karl Den...According to Michael Panzner, and I think Karl Denninger, it'll be deflation, then hyperinflation. The difference is, Denninger thinks that if we get together, we have a chance of stopping the second phase, and meanwhile should take our lumps.Sackersonhttps://www.blogger.com/profile/09410040031410954403noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-13182017832618090042008-05-12T20:55:00.000-07:002008-05-12T20:55:00.000-07:00Hi PotusYou can figure for sure that people who ne...Hi Potus<BR/><BR/>You can figure for sure that people who need to raise cash will sell the good stuff and keep the dogs, hoping they come back. If the markets go the 1929 route, you lose 90% of your toys. Being 10% rich is not rich.<BR/><BR/>World currencies are a mess, so it does look like the Precious Metals (gold and silver) could become a medium of exchange between countries.<BR/><BR/>I see commodities falling just like everything else. As long as it has high value, people will sell it to raise cash. This brings more to market and that should start it on a downward slide.<BR/><BR/>Its like a case of playing musical chairs with bank accounts. 10 people 10 accounts. Take away 9 accounts and stop the music.<BR/><BR/>The only trouble I see is Congress "printing" 9 chairs, which could fall into line with what you suggest.<BR/><BR/>Thank you for your commentsJim in San Marcoshttps://www.blogger.com/profile/09435296419912935381noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-72337162401583214112008-05-12T14:39:00.000-07:002008-05-12T14:39:00.000-07:00Hi Jim,If I take your train of thought further, th...Hi Jim,<BR/><BR/>If I take your train of thought further, then only the most liquid of assets will satisfy the need for cashing out?<BR/>That means PM's and commodities will be sold. Big players who make up the other 3/4 of the market will want to buy up the fire sale bottom prices. They will sell liquid assets like crazy to jump in.<BR/>What does that do to PM's?<BR/>A vicious cycle of margin callers/speculators selling PM's/commodities and massive numbers of investors burned by equities will be jumping in. So the more pressure to dump stocks the more expensive PM's and commodities go up. Lots of stock sales chasing fewer commodities.<BR/>What happens to FOREX?I'm Not POTUShttps://www.blogger.com/profile/06885542838234710249noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-90723725983207744262008-05-12T14:27:00.000-07:002008-05-12T14:27:00.000-07:00Hi SackHe seems to know what he's talking about. H...Hi Sack<BR/><BR/>He seems to know what he's talking about. Here's a <A HREF="http://archive.newsmax.com/archives/articles/2006/10/28/191542.shtml?s=lh" REL="nofollow">Link</A><BR/><BR/>Scary stuff<BR/><BR/>We think alike, but he has a better chance of people listening to him. The only trouble is almost everyone seems to be deaf.Jim in San Marcoshttps://www.blogger.com/profile/09435296419912935381noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-61459212314163361562008-05-12T12:46:00.000-07:002008-05-12T12:46:00.000-07:00So you think David Walker is right.So you think David Walker is right.Sackersonhttps://www.blogger.com/profile/09410040031410954403noreply@blogger.com