Stagflation watch
By John Schroy, on March 20th, 2010 | 
The lack of fiscal restraint of President Obama on the healthcare issue, the ’stimulus bill’, and other ‘progressive’ legislation in the pipeline, combined with the jobs-firsts-inflation-last attitude of Fed Chairman Bernanke — leave little room to doubt that sooner or later the United States is likely to enter the realm of double-digit inflation.
Inflation is likely be the final and deadliest blow to the retirement dreams of many Baby Boomers. When the stock market crashes, one can hope for a recovery some day. With inflation, the losses are permanent and final.
Storm coming:
By John Schroy, on August 13th, 2009 | 
When the government spends much more than it takes in, inflation results. The Obama administration is spending a lot more that it should.
In fact, Congressional authorization for deficit spending is now at historic levels. Will Americans paper their walls with dollar bills when inflation hits?
So far, most Congressional authorizations have not been disbursed. But as spending budgets are executed, inflation should kick in.
Devaluation threatens investors
By John Schroy, on March 30th, 2009 | 
In the financial crisis, the US Treasury took steps to protect the dollar as the world reserve currency, allowing AIG funds to pass through to foreign banks and engaging in currency swaps with foreign central banks.
However, the Pelosi-Reid Congress, by unprecedented domestic spending, has raised a real possibility of future high-level inflation. It will be up to US voters whether government finances return to a reasonable basis. The Federal Reserve cannot neutralize the negative impact an out-of-control Congress.
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