Inflation or Deflation? 1923 or 1932? What will it be?

I have been a proponent of inflation being the greater risk to society than deflation for quite some time, so all said, I am in the ‘inflation is the true risk’ camp. Interestingly, it is starting to become the topic of the day now and apart from my feelings that a fixed rate now is a good idea, there are two debates from the major money channels below, one is from Bloomberg the other CNBC. They are well worth watching.

The first clip from Bloomberg has Tom Keene, Economics editor and Alan Blinder (formerly of the Fed)  of Princeton University.

The next clip is from CNBC on the same topic, featuring Larry Kudlow, Michael Darda, MKM Partners; Joe Lavorgna, Deutsche Bank and CNBC’s Sharon Epperson.

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Learn a little about gardening to avoid inflation.

I know in advance I’ll draw some laughs (the ‘at’ kind, not the ‘with’ kind) due to this post but I do think it’s relevant. Today I am telling people to learn a bit about gardening, specifically, market gardening, in order to avoid getting hit by ag-flation. Agflation/Ag-flation (because it’s not an official word yet I don’t know if requires a hyphen or not) describes the current phase of world food commodity prices, the inflation is being driven on agricultural products, rice, corn, wheat, meat etc. So expect to be paying more at the till for every kind of food, in fact there have been riots in Mexico and Indonesia already because of food prices, in Haiti they stormed the presidential palace in Port au Prince and dethroned a leader.

Egypt has suspended rice exports and is trying to organise a rice for wheat swap with Syria, Ukraine is in talks with Libya, and the Philippines are in talks with Vietnam, this …

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