Unemployment Now Over 10%

[UNT90]

http://finance.yahoo.com/news/Jobless-rate...122944.html?x=0

With the dollar continuing to take a beating and congress wanting to put this country way further into debt with outragous spending, can a big increase in inflation be far behind? And, as any economist will tell you, with an increase in inflation comes an increase in interest rates.

It seems to me that we are at a similiar point to where we were in 1982-83. Will the economy recover? Will this congress stand back and let it?

Interesting times.

[Censored by Laurie]

http://finance.yahoo.com/news/Jobless-rate...122944.html?x=0

With the dollar continuing to take a beating and congress wanting to put this country way further into debt with outragous spending, can a big increase in inflation be far behind? And, as any economist will tell you, with an increase in inflation comes an increase in interest rates.

It seems to me that we are at a similiar point to where we were in 1982-83. Will the economy recover? Will this congress stand back and let it?

Interesting times.

Hope so...I'm sick of -2% on my CDs

[UNT90]

Hope so...I'm sick of -2% on my CDs

And less than 1% on my money market that was making close to 5%.

It's basic economics that when inflation increases, interest rates are increased to attempt to control that inflation. See 1978-1982

Edited November 6, 2009 by UNT90

[yyz28]

You can't print money at the rate that TARP and the Stimulus did and not have inflation and higher interest rates. While I'd certainly be happy to see interest rates go up for my own benefit, inflation will make the gains in interest sort of be a wash.

I think there is a second shoe to drop in this recession. Dropping the value of the dollar by political action has always been followed by inflation, and I can't imagine history won't repeat itself this time.

[eulesseagle]

http://townhall.com/columnists/WalterEWill...and_irrelevancy

[UNT90]

http://townhall.com/columnists/WalterEWill...and_irrelevancy

Good article which points out that government, no matter who is in power, is the problem. The private sector will sort it's way out of this, just leave it alone.