It should be the subject of another note - but I think the deflationary era was in line with a "free market" era - where we kept commodity prices inline by allowing real wages to decline - either through rising unemployment or devaluation or both.
When I look at the US and the UK, its all about government spending to keep real wages st…
It should be the subject of another note - but I think the deflationary era was in line with a "free market" era - where we kept commodity prices inline by allowing real wages to decline - either through rising unemployment or devaluation or both.
When I look at the US and the UK, its all about government spending to keep real wages strong and offset commodity spikes. This seems to suggest you need to buy any dip in commodities, and sell in rip in bonds. Lets see.
Apologies for the late reply - Jubilee Bank Holiday here in the UK!
It should be the subject of another note - but I think the deflationary era was in line with a "free market" era - where we kept commodity prices inline by allowing real wages to decline - either through rising unemployment or devaluation or both.
When I look at the US and the UK, its all about government spending to keep real wages strong and offset commodity spikes. This seems to suggest you need to buy any dip in commodities, and sell in rip in bonds. Lets see.
Apologies for the late reply - Jubilee Bank Holiday here in the UK!