[lbo-talk] Is Obama Running Interference to Protect Bankers' Pay?

Doug Henwood dhenwood at panix.com
Sun Mar 22 15:49:05 PDT 2009


On Mar 22, 2009, at 5:34 PM, Politicus E. wrote:


> Without
> getting into a theoretical discussion, my humble view is that the
> risk is
> still deflationary.

Yup. There's been a collapse in credit demand except for the U.S. government (details forthcoming in LBO #119). And the history of other major financial crises is that inflation declines for several years after the outbreak of a crisis.

Doug



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