Thursday, May 28, 2009

Great News: We're On the Road to Becoming Zimbabwe

Such a comforting thought.
The U.S. economy will enter “hyperinflation” approaching the levels in Zimbabwe because the Federal Reserve will be reluctant to raise interest rates, investor Marc Faber said.

Prices may increase at rates “close to” Zimbabwe’s gains, Faber said in an interview with Bloomberg Television in Hong Kong. Zimbabwe’s inflation rate reached 231 million percent in July, the last annual rate published by the statistics office.

“I am 100 percent sure that the U.S. will go into hyperinflation,” Faber said. “The problem with government debt growing so much is that when the time will come and the Fed should increase interest rates, they will be very reluctant to do so and so inflation will start to accelerate.”

Federal Reserve Bank of Philadelphia President Charles Plosser said on May 21 inflation may rise to 2.5 percent in 2011. That exceeds the central bank officials’ long-run preferred range of 1.7 percent to 2 percent and contrasts with the concerns of some officials and economists that the economic slump may provoke a broad decline in prices.
Next thing you know, thugs will be taking over people's property. Oh wait, that's already happening.

The thug-in-chief last night told the beautiful people "you ain't seen nothing yet."

"It won't be easy. There will be setbacks. It will take time."

The president conceded that his administration "had our fits and starts."

"I've made some mistakes, and I guarantee you I'll make some more," he said.

But Obama said in promising to continue to work hard, "Los Angeles, you ain't seen nothing yet."
Destroying our economy seems to be his primary goal. Of course, hoping he fails at this draws the ire of the weak-kneed among us.

Well, some of us are still willing to oppose this.

Update: Pat Dollard sends this via Twitter. It's all too real.

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