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The economic data on Continuing Claims, GDP Price Index, Gross Domestic Product, and Initial Jobless Claims shows lackluster economy under disinflation
Marla Guthrie
Mar. 29, 2007
The economic data shows lackluster economy with disinflation. Not much change from the previous month in Continuing Claims, GDP Price Index, Gross Domestic Product, Initial Jobless Claims is a signature of disinflation and stagnation - an early stage of deflation that creates the foundation for depression.
The stagnation started in 1982. The way deficit spending was used that time to take the economy out of the deep recession has now started backfiring. The boom in nineties was based on false hope. The biggest fiasco is the Asian growth based on false sense of security and faith on Western economic prosperity. Economic prosperity, fiscal wisdom and investment excellence are based on ability to look forward and understand what can happen in future. The herd follows the current trend. The smart investors take advantage of situations and understand what will happen next.
The economic data on Continuing Claims, GDP Price Index, Gross Domestic Product, and Initial Jobless Claims shows lackluster economy under disinflation. It is just the start of massive deflationary cycle that will lead to massive depression worldwide and linger for decades.
Japan has seen it all in a mild way in the last twenty years. The world will see it now for the next thirty years in a very big way.
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