Quote Originally Posted by djbrow:
As I recall, you were ini agreement with Palin a few months ago when the price of milk, etc were linked to QE, no?
But you did point out that my comment should have said often caused because you are right, inflation has existed many times when the cause had little or nothing to do with the devaluation of the dollar. 
MANY MANY MANY moving parts here. I don't think that Quantum Easing is the only way to inflate the money supply, i just happen to feel that it is an energy wasting, proven failed response to the so called problem at hand
YES, i did and still do believe that when the world market is drowning in dollar saturation, and the market wants debt to be purged, and credit to be destroyed, that counterfieting currency to inflate the money supply and keep the most levered risk takers whole at the expense of John Q. Taxpayer, will cause price increases on the most basic of goods (oil speculators and the rest of the commodity spec'ers closest to the troughs seem to favor this action.) By that we mean banks, and by banks, we mean those with a monied interest in those banks, which are mostly large instituions like pension funds for all the gov and union employees.
It's pushing on levers, and water doesn't always flow in the direction you intend it to. It finds it's level.
In reality, dollars have been evaporating from the system by the minute since housing peaked in late '06. That's what the market wants. Bankrupt entities to realize their bankrupt-ness.
So i stand behind both statements
In reality, i believe that the main driver for inflation is land values, and more generally speaking, inflating them via debt. When a generation or two all agrees that land is in fixed supply and "can only go up in price!, Buy now or be priced out forever", then they will bury themselves with debt to prove their greed and self-fullfilling prophecy. INflate land values and you inflate the amount of debt that all of humanity is effected by, via the USDollar
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