The View From 1776
Saturday, July 26, 2008
Our Inflation is China’s Foreign Relations Weapon
Inflation (debasing the dollar) cuts in many directions, much more than just the recurrent speculation bubbles (most recently the Clinton era dot.com bubble and the current subprime mortgage meltdown).
Read about inflation’s effect in leveraging the counter-American power of China and other nations accumulating vast amounts of dollars, as out citizens neglect saving and spend more than they earn to receive instant gratification of their desires.
Heedlessly, almost all administrations since the advent of socialism under Franklin Roosevelt’s New Deal in the 1930s buy votes and political power with relentlessly expanding deficits funded by the Federal Reserve’s flooding the market with dollars.