Hat, I keep hearing the same thing about Europe’s predicament, and I must confess that my knowledge is sparse here. But isn’t it the case that the ECB has chosen NOT to inflate it’s way out of this mess?
“EU presidency: US economic plans ‘a road to hell'”
Granted, the whole world is in a world of s*** now, but am I missing something, or would people not gravitate to a currency that is not being debased as quickly as the dollar? I am not challenging you; I simply want to understand the thought process. I personally have come to suspect most of the information coming out of the U.S. mainstream media, and their goal in recent months seems to be aimed at trashing Europe with the “we suck, but they suck more” argument for supporting the dollar.[/quote]
Bear in mind that the President of the EU is a rotating assignment, not an elected one, and what that person says may not reflect “official opinion”. In this case, the Presidency just rotated to the Czechs – who’s government has just collapsed on a “no confidence” vote. I’d take with a very large grain of salt any economic advice he feels like dispensing (especially since it appears much of the rest of the EU is backpedaling from his assertions).
Europe is, in fact, trying to inflate their way out – just as we are. They simply have been trying to inflate less than we have.
