Pyramid Comment

This journal takes an alternative view on current affairs and other subjects. The approach is likely to be contentious and is arguably speculative. The content of any article is also a reminder of the status of those affairs at that date. All comments have been disabled. Any and all unsolicited or unauthorised links are absolutely disavowed.

Monday, May 04, 2009

Deflation And Inflation

Deflation at the moment is the greatest concern for the world economy, but, of course, the consumer loses and the financial system wins. Almost like a roulette wheel and that the House always wins. That 'number' 0. The most important number of them all. Instead of the odds being relative to 36 numbers, in fact 37 are on the wheel. This is the function of that 0. Describing nothing, but in fact being highly significant. The 'unimportant' being essential to allow the system to function. Just the additional 'non-number' zero that suggests nothing.

The massive deflation that accompanied the Great Depression is still unique. At the moment. But the template has been shown to survive. Inevitably, repeat a 'success' and acquire another 'success'. And still nobody notices the effect. The circus goes around for another cycle, and everything is just much more expensive as a great deal of wealth is believed to be created and more control is exerted as a tightening stranglehold. The 'super-rich' parasite guides the simply 'rich' down that blind alley that sustains the parasite.

A wicked sting of gigantic proportion!
Ironically, the BIGGER parasite feeds off
the lesser
parasite that still truly believes

it is actually in control

Sustained deflation has been regarded as a fundamentally implausible prospect. In 'theory', deflation should be preventable: print more money. That simply devalues the money in circulation. A glut causes price depression. The example of oil illustrates the principle quite clearly. Flood the market with oil and its price drops. Cause a scarcity and the price rises. Monetary policy should be conducted by an independent central bank, insulated from political influence. Again, the theory. Central banks would be expected to seek price stability as their main, often only, goal. Theory. But a bank is not a repository for money. It is a business that must grow. And grow. Everything in the capitalist debt-based system must grow. It's the mantra. It's the cause of inflation. Conditioning has led people to expect inflation, but to also demand growth. The two conflict absolutely, but proceed together like a marriage made in Hell.