Wednesday, May 28, 2008
Inflation v Deflation: both at the same time but in different regions
"We could see a reply of the early 1920s, when the world system split in half as they faced the policy ructions following the Great War. Could this divergence occur in a modern global economy with (mostly) floating currencies? The emerging world inflates into the stratosphere; the Atlantic economies and Japan go into a deflationary slide? "