Paulie
Diamond Member
- May 19, 2007
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Companies are deleveraging right now with their decreased revenue. This is better than hiring more people and continuing to borrow to stay in business just so they can give someone a pay check. Those who complain that companies are going out of business seem to be some of the same ones complaining that companies aren't hiring anyone. How much sense does that make?
Someone has to take a hit for this, and those who are unemployed are taking a hit.
At some point, all of this liquidity will enter the economy and businesses will have plenty of money and lesser debt, and will hire again.
Wages will most certainly NOT keep up with the inflation that will ensue though, unless Bernanke somehow manages to pull off this miracle exit strategy he seems to have.
What are your thoughts Toro?
Someone has to take a hit for this, and those who are unemployed are taking a hit.
At some point, all of this liquidity will enter the economy and businesses will have plenty of money and lesser debt, and will hire again.
Wages will most certainly NOT keep up with the inflation that will ensue though, unless Bernanke somehow manages to pull off this miracle exit strategy he seems to have.
What are your thoughts Toro?
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