justin_o_guy2 wrote on 01/15/13 at 08:29:34:Such a comfort. Economic analysis by Srinath. No clue about what the fed is, how it works, what it does, no grasp of Austrian economics to hold up & compare to Keynesian ideology. Ohh how we "Need" inflation,,
We "Need" a weak dollar. & People BUY that crap. That makes as much sense as saying "I need to be able to earn less per hour than my neighbors"..
Dude I never said we need a weak dollar ... I said we (The USD) are under no threat, our nearest competetior the Euro is the new toilet paper. We are stronger than the next 13 currencies combined.
I am Indian ... In india a country where there is a continous history of democracy for 60 years and has produced leaders the world looks up to (None of the Mao, Stalin, Kruschev types that were hated and feared inside the country and reviled outside) - anyway we who believe in India - trust the US Dollar.
Its a long way before china or euro, or the yen becomes a challenge to the USD.
We dont quite need inflation all over ... we need it in some sectors. We have deflation in durable goods. Inflation in the consumables. we could use a little inflation all around ...
Cool.
Srinath.