that people talk about?
it's plain that there's at least two sides
two sides that scream and shout
"deflation" screams Mish Shedlock
Puplava he says "no!
Inflation is the way of things
i'm rich so i should know"
We're common folk who walk the streets
and spend our hard earned cash
on things we need to live each day
so we should not be rash
Or take a risk on borrowing
when all could turn to shit
oh no we must be careful now
we're hording every bit
So when we hear "inflation" yelled
across the MSM
we're worried that our savings will
be worthless in the end
and when we hear "deflation"
we scratch our heads and think
the falling value of our house
is headed for the sink
don't tell me it's velocity
or credit we can spend
or talk of printing money
that is worthless in the end
the truth is that reality
has crept up from behind
while we were drunk on boundless oil
that anyone could find
as asset prices crash and burn
and milk and bread costs rise
the net effect is just the same
for us it's no surprise
if anything cost all our cash
it's value will decline
and anything we need to live
will climb and climb and climb
so take your stupid "flations"
and shove them where it's dark
the simple truth is that we're fucked
it's simple, true and stark
deflation as we have it now is where the value of everything most people possess goes down - which means the cost of everything you NEED can go up
a good read on why gold prices go up during deflation can be found on Paul Krugman's Blog
if you liked this you might also like "Fred and Bill"
