Deflation vs Hyperinflation after QE2 the debate still rages.
"That's it, America is the next Weimar Republic and we will print ourselves to death" says one. "No, we are going to see another Great Depression deflationary event" says another. "We will turn into Japan and have a multi-year malaise" says a third. Among those that have escaped the clutches of Krugman and other hopelessly failed economists a debate rages. Yet how can so many people be in virtual agreement over everything, but so strongly diverge over the outcome? This is creating a lot of confusion for those starting to pay attention to things like the Federal Reserve, credit expansion, what *really* caused the housing market to collapse, true reasons behind the Great Depression and other hugely critical aspects of the economy and our history. Let us delve into this topic and lay out a course of where the economy might head in the next several years. Defining the terms Before we begin let us define the terms, because there is a good c...