Referring to the Fed’s second round of bond buys in 2010, he said then “the goal was to avoid deflation. Deflation is not a zero sum thing. Even low inflation can create problems.” He said, “inflation then, like today, was very soft but even more so. WSJ
Inflation is when the capital owners take their share. We haven't any inflation now because the capital owners, due to malfeasance, are no longer supported much by the taxpayer. The shadow market does a good job of containing the capital owners when they dip into the seigniorage account too much. We know government in DC, Albany and Sacramento are causing the decline. This is our third time thru the mill, fourth if you count 87.
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