tip o my hat

I have to tip my hat to Black Swan on the Mish Comment board. For the uninitiated Mish brings it hard as far as economic issues go, and is worth a read every day. Mish believes we are heading into economic deflation. Trust me on this one nobody ( except Ron Paul) left in the Presidential race can offer any kind of opinion or analysis on this argument. It really is beyond their ability to analyze the situation. In truth, this is a tough issue, even for those in the game --- are we headed for inflation ala Weimar? How about a revisit of the 70's stagflation ? Or are we looking at a debt driven deflation? Honestly -- I don't know. I continue to be long gold and gold related shares. Please ---get out of debt. As Jim Sinclair say--"protect yourself--this is it"

Here is Black Swan's post unedited:

The cold war was a game of chicken to see who would go over the cliff first, while carrying with them the weight of military spending. Thanks to Ronald Reagan and the Muhajadin, the US won, right? After all, the US spends almost as much on defense as the rest of the world combined. We're still playing, but we can't find any country stupid enough to play against us. Are we still winning? This Bushco economic strategy doesn't seem to be working all that well for America in this era of world trade. Our record account deficit illustrates how successful this country has been at producing what the rest of the world wants in trade. The only thing we've been adroit at exporting lately, has been our debt. I'm guessing foreign banks have probably had enough of our financially engineered instruments. After all, multibillion dollar write-downs can be embarrassing. We could sell more of our infrastructure to pay our debt, but it's too late to sell the White House, because the Saudi Arabians already own it.
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