>>>... So I'm wondering if the world's central bankers really *want* this
>>deflation to run its course.<
>>
>>they did in 1930.
>>
>
>Stan Fischer is a lot smarter than Montagu Norman... but Lauch Faircloth is
>not.
So if Stanley Fischer is so smart, why did the IMF respond to Asian deflation with austerity packages, and to Russian collapse with austerity packages? Why is Russia committed to running a budget surplus now? More broadly, why has the IMF been pushing deflationary policies - not just fiscal contraction, but the encouraging 120 poor countries to compete for the privilege of exporting to 20 rich ones - on the whole damn world at least since Mexico's 1982 default?
Doug