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Money Velocity- Inflation opening the door- Robin Tehan

BY Robin Trehan | 09-19-2009 | 7:46 PM
This blog is written by a member of our blogging community and expresses that member's views alone.

Financial Collapse with printing money – with inflation on the dollar.

Bailing out Wall Street friends will not help Americans people as inflation will creep in with the money hitting with the bailout. The bailout can even turn out to be an example where more risky investment will become the norm as there is always a bailout for the big companies.

We are sitting on extreme high inflation cycle. Either we do not understand money velocity and the dangerous cycle of inflation. When the trillions of dollars are pump in the system and when the money hits the main street it can lead to serve inflation. Bringing down interest rate is not going help.

We are a debtor nation, we cannot just keep having debt as it will create problem for futures generations. How we are going to pay back the debt, what is the exit strategy here?
Pumping money seems more like an act of desperation.

The best way to make the system work by itself. It will weed out the weak players. Also, America need to start focusing on its manufacturing sector. We cannot just be a service based country when even service based jobs are being outsourced