John Williams Of Shadow Stats Interview January 23,2009 PART ONE OF FIVE

John Williams of Shadow Stats contends that we are headed for INFLATION. He says that many are mistaken calling for DEFLATION when we are really seeing the lowering of the money multiplier---which will only be a short term phenomenon. CAN WE HAVE A HYPERINFLATIONARY DEPRESSION?? FIND OUT WHAT JOHN SAYS

Category:

News & Politics

Tags:

• John
• Williams
• Hyperinflation
• Bank
• Crash
• Depression
• Collapse
• Economic

[therealcaptobvious]

Exactly!!! The "deflation" was the drop in gas prices. Quit listening to MSM and Bernanke's bs and look at the bls webiste and see for yourself.

[stockgunslinger]

I have been arguing that the drop in oil/gas prices could have been impacted if the government was buying dollars. I asked John to elaborate on that possiblity later in the interview. Many are being fooled thinking that the dollar is strong because other countries are weak. I am short the dollar.

[anyusmoon1]

In my very humble opinion, we are not only headed toward inflation but depressionary or recessionary (practically interchangeable at this point) inflation.

[stockgunslinger]

John elaborates on the potential hyperinflationary depression later in the interview.

[AssilemakaMelissa]

People are putting too much faith in Obama.He is also just a puppet just like anyother President in the 2 party system. If he were not he would end up dead like JFK. People need to fight to end the fed and get things back to the way the were meant to be.Where we all are just allowed to take care of our family and eachother withour Government interference. If not we will see a depression and even good people will get desperate & do bad things to feed their family. Grow food, stock up on dry goods

[Gandalfina8]

If all of the positive growth is funded with debt (in fact, not only debt but BAD debt), then it isn't real. In other words, if many of the products were purchased on credit cards or second mortgages or first mortgages and now people are defaulting on those debts - nothing ever REALLY paid for those things. Yes, money changed hands from a bank, say, to the merchant . . . but when the debtor doesn't return the money to the bank, it's dust in the wind.

[Rico8458]

we have inflation right now. print more money = higher prices. stop printing money = lower prices = deflation.

[eerfmi]

... that's why medicare and social programs are so underfunded, the governement calculate the payments to those services based on the CPI... (the underevaluated CPI...)

[eerfmi]

The calculation for CPI was changed by Greenspan and some other guy in 1996. Before 1996, the way to calculate CPI was to compare a standard basket of good for common consumption. Now, they can subtitut something for somthing else less expensive, like Greenspan said "If they can't afford steak, let them eat burgers..." Their is also an edonism principle that as been added, if a car is the same price but as new features, they calculate that the cost as gone down...

[08MVPyouKnowWho]

Where'd you go to buy your coins? I'm curious cause I wouldn't mind doing that myself.

[dleddy1414]

I helped increase money velocity today. I took $9,000 in cash and dumped it into the market in exchange nine gold coins that are now in my sock drawer. Tomorrow, as soon as my check clears, I will again add to the velocity of money my dumping $9,000 more dollars into the system in exchange for gold. I would advise any readers to do the same if presented with the chance. After all, Zimbabwe Ben is going out of his way to keep the bubble inflated. This will help!

[xxonebludxx]

Does anybody know what the required reserve has increased to?

[jimmyrtle]

"Try to think by analogy. What does it mean to create something when there is never any payment for it?"

If there is no payment, your creation won't get sold. But it was sold. You got the money for it.

" If you can't understand the problem with this"

I understand the problem with widespread defaults on mortgages.

[Gandalfina8]

Try to think by analogy. What does it mean to create something when there is never any payment for it? If you can't understand the problem with this, I am starting to understand why we are in such trouble.

[jimmyrtle]

Paying your mortgage with a credit card doesn't add to GDP.

[Gandalfina8]

Says ME. Paying your mortgage with your credit card when you have no hope of a serious increase in revenue in the near term is idiotic. That is basically what has happened on a broad scale. It's time to pay the piper . . . but there is nothing to pay him with. OOPS!