Saturday, November 20, 2004

The "I" word

Many months ago I predicted inflation in the American economy because of the profligate spending by the Bushies on crazy domestic programs, tax cuts, trade imbalances that are staggering and, of course, the mad spending on the Iraq adventure. Finally, after Greenspan tried to hold onto the low interest rates as long as possible, inflation is finally imminent, and it's going to be vicious, because it will be triggered by foreign investors' finally becoming disenchanted with US federal debt instruments, causing the interest rates on notes to rise, and dragging everything in the economy, from consumer loans and mortgages to retail goods to rise, all in an harmonious surge of prices.

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