It is surely one of the primary reasons why many if not most people have so much trouble accepting the trouble the economy is in. With record high stock prices leading to record levels of household net worth, it seems utterly inconsistent to claim those facts against a US economic depression.
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Tag Archive: asset prices
Downwards and Upwards Drivers of Swiss Inflation
In the following we present the drivers of Swiss price inflation. We first present the components of the consumer price index. Then we explain which are upwards-drivers of inflation and which ones cause downwards adjustments.
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How Economists Got Income Inequality Wrong
In our manifesto we criticized that central banks created inequality. They pushed asset prices upwards from which only the rich informed investor could take profit. The middle class was left with an over-indebted home.
With the upcoming end of this Joseph cycle even the rich are not able to increase their income.
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Who Has Got the Problem? Europe or Japan?
A couple of months ago the euro traded close to EUR/USD 1.20 and the whole world was betting on its breakdown. Once the euro downtrend ended thanks to QE3, OMT and euro zone current account surpluses, the common currency did not stop to appreciate against the yen and reached levels of EUR/JPY 104 and above. … Continue reading...
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Marc Faber: Assets are overpriced, we short metals and Brent now
As we predicted on October 5 or one day later on DailyFX, metals have started their descent, silver lost one dollar, from levels around 35$ last week to 34$ now. Marc Faber joins our view and says that asset prices are quite vulnerable. “I’m not 100% in cash, for the simple reason that I could … Continue reading »
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How former central bankers stepped up against the central banks
There are already three former European central bankers who criticize more or less openly the European Central Bank (ECB).
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