Fiscal mess..........from Rico

The last four months of 2008 showed a 990% increase in the annual money supply expansion rate of the U.S.

Since Dec '08 the U.S. money supply has increased 271%, and the Beard [read: Fed] annnounced plans in mid-Mar'09 to increase that yet again by another 50-60%.

This is a global scenario, not just confined to the U.S. ...all the world's Central Banks are pretty much in the same situation. Printing paper money to get out of debt.

This week's "The Economist" asks an interesting question: Will world governments DEFAULT, INFLATE, or MANAGE their way out of this fiscal mess?

Given the way we've seen how well government "manages" anything (hell, the US Congress couldn't even manage their own private dining room and had to contract out for that simple task), a prudent mariner would be betting on one or BOTH of the other two options...DEFAULT, INFLATE.





The biggest bill in history