Thursday, May 17, 2012

june bug strikes again..germany has lots to lose thru inflation policy

"The reason we will not see rapid expansion in Germany is because
the economy is doing all right as it is."



 "While inflation of 5% in Germany would certainly be very useful
for Spain et al
 it would not be in the national German interest. "

get that ?

take a deficit injection that heats up the german job market
reduces the trade surplus and kicks off  a wage driven acceleration
 of inflation
  that would be bad for germany ?


"The only possible exception might be if the Eurozone
 as a whole looked like coming apart,
 in which case it might be in Germany’s interests to incur these costs."

might be..see germany hasn't really benefitted from the zone

such loose goose evanescent chitter is worthy of m pompador