Forum Archive Index - December 2001

["Peter" <pmaiden@xtra.co.nz>]

Gerry - that was a very good piece. I enjoyed it. Might be based on what is happening in the USA but that has a real bearing on what happens in NZ. If things do get worse in the USA we will not avoid suffering a little bit as well.

 

Another view, much along the same lines, is in this good article by Sean Corrigan entitled 'Worse than Recession' on mises.org

 

It starts off  by asking  - "How do you to turn a recession into something worse? Easy. The same way you turn a drunk into an alcoholic: keep dragging him back to the bar, filling his drink, and telling him to forget all his cares."

 

And ends with the conclusion - ".....having to endure a major relapse in terms of the real economy and a further plunge in the value of our paper collateral, only this time with another several hundred billion dollars in unserviceable liabilities around our necks. In other words, we would be another step nearer a practical demonstration of how easy money works to turn restorative recession into something worse.

 

The bits in between on http://www.mises.org/fullstory.asp?control=845

 

Cheers

 

Peter