This is Bernanke's concern

Inflation is sagging (click on the chart to enlarge it). Now Bernanke says he wants inflation.

And so we go from one cycle to the next saying inflation is too high. Now inflation is too low.

Can these macro numbers be controlled? Let's assume that the unemployed (9.6% of the labor force) do not have have money to pay for the goods being sold. They can survive only if prices decline. This is the main reason inflation is sinking. Can the Fed print "jobs"?

George Dagnino, PhD
Editor, The Peter Dag Portfolio. Since 1977
Ranked best market timer in the 12 and 6 months ending 8/20/10 by Timer Digest

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