EC Nebraska | johnwayne360 - 9/2/2018 11:28
soo..if we have the highest pay..and the highest living expenses..in the world..But we are not going broke..is this bad? If the manufacturing comes back..more jobs and higher wages..but we have to pay more for our "stuff"...is that bad or good?
We can continue exporting dollars as long as the U.S. dollar is a major world reserve currency. Those dollars have a very low return velocity. The trouble is going to be when the rest of the world stops wanting our dollars for reserve, and starts sending them back home rapidly. Then we will understand the meaning of hyper-inflation.
Now, I don't know when that will happen. It might not be in my lifetime. And, maybe, somehow, it will happen slowly enough that we don't see hyper inflation, merely severe stag-flation. I don't know how it will shake out. But, as long as our dollar is the reserve, the apple cart can keep going and we can keep exporting dollars. |
Mfp
