Flations

So what are all these "flations"
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"

Fred and Bill

first published: 07/13/2011 zerohedge.com

Fred said “Bill i think we’re fucked”
to which Bill asked “why so?”
“well”, Fred began (not in a rush)
“i can’t say that i know

but what i see when i look around
is freakin’ me fuckin’ out”
Bill, thought a bit and then replied
“so what’s this all about?”

“oh Bill this damned economy
just doesn’t make much sense
we all work and we pay our way
for little recompense

and every year it just gets worse
the news is always grim
there’s less and less employment
and the profits are so slim

and housing, what a fuckin’ mess
those thieving bankers wrought
has left most underwater
on any house they bought

and all those folks in Europe now
their leaders sold them out
the average workin’ family
there knows not what it’s about

and China, bloody China, look
it’s like a monster fire
a burnin’ all and everything
in a global funeral pyre

and all that carbon in the air
they say we’re gonna cook
and all the oil is runnin’ out
there’s nowhere left to look

and people, Bill the people -
there’s billions of us now
and millions more are born each day
who’ll feed them all and how?

i tell you Bill I’m in despair
i’m almost without hope
the future’s looking so so bad
i don’t know how i’ll cope”

Bill pondered for a while Fred’s words
with heavy heart and mind
he had to cheer his partner up
with gentle words and kind

“Fred, listen man it’s not so grim
there’s so much out there yet
the planets, well we’ll mine them too
and think of what we’ll get

remember Chris Columbus?
he found a brave new land
with oil and gold and silver to
so see and understand

the universe is infinite
it’s ours there just to take
there’s nothing that can stop us
there’s nothing we can’t make

some times are tough and some are good
we do the best we can
we bear the worst, enjoy the best
so lighten up ol’ man”

and Fred, he did, he swallowed it
and heaved a mighty sigh
a smile broke out upon his lips
he waved and said goodbye.

And as his best friend walked away
Bill, cried a bit inside
because you see our Bill he thought
to Fred he’d downright lied

“there’s no bright future for our race
we’re fucked and Fred was right
we’re so so fuckin’ stupid
that in the end we’ll fight

we’ll fight and kill in millions
we’ll drag our neighbors down
we’ll kill and steal and lie and cheat
and in our shit we’ll drown

the rich will party on and on
the poor will starve and die
the middle class will whither
and our mothers they will cry

we’re terminal our species
like beasts we are but worse
and all the beauty we create
adorns our funeral hearse.”

And as ol’ Bill did walk away
into the setting sun
the sound of drunken revelry
had only just begun


if you liked this you might also like "Peak People"