Slishing and Sloshing

Inflation, Deflation, Continued Low Rates - the Banter in the Media

But, one does wonder at what point all of the dollars sloshed against the economic growth rope eventually build up into such a dam that when they breakthrough, inflation follows or higher interest rates follow in the wake?

Perhaps it's a question of can the sloshing keep up with Federal borrowing?

And, one thinks of California's string of budgetary imbroglios, which came to a head this past summer when - finally and after almost unbearable angst (plus an additional 10% withholding of income taxes - the State finally had to cry uncle and start to cut expenses.

Since the Congress appears more intent on increasing expenses in a major way and has a printing press - the idea of the low rate, dollar flood, might surface first in the gold, oil and commodity prices; ah, but wait, higher oil might mean higher gasoline prices and that might be inflationary!