Posted by
The INFORMER (Cokie907@yahoo.com) on Tuesday, January 27, 2009 1:21:21 PM
We all know what promotes inflation right guys? Curves in the right places, a nice "waist to hip angle" as I like to call it. This is the good kind of inflation, though it CAN get a guy into trouble if he's not careful.
Then there's the bad kind of inflation. This inflation can get a NATION into trouble, so much trouble in fact, that the nation crumbles and disappears from existence! I'm talking about when a nation like the United States, begins to print money like it's going out of style to pay off crazy spending plans.
Let me keep it simple because you like it that way. A country can only have as much money in its financial system as dictated by Gross Domestic Product (GDP). Let's say you go into your basement and begin printing money you never earned. That would be called what? Counterfeiting. If you were caught passing such worthless money in exchange for goods, you would be arrested and sent up the river to meet and greet a cell mate named "Bubba".
What happens to the omnipotent Federal Government when they print up billions of dollars with no increase in our country's net worth? NOTHING! Now you tell me that's proper, fair or just?
Everytime government prints up more money, they DILUTE the money supply so that our currency stinks. Just like when you mix up a big ole batch of kool-aid and someone puts too much water in it. Tastes like crap right? Well our money supply isn't going to be worth crap if this Obama stimulus package passes the Congress and the printing presses go into high gear at the Federal Reserve. Think about it!
All the money you have worked so hard to earn and save (after taxes mind you) will in effect, BE TAXED AGAIN as inflation (the bad kind) kicks in and your money loses value at the rate of 15 to 20 percent per year. Don't drink the kool-aid folks, look up the Weimar Republic if you don't believe me. They printed money like crazy and it sent Germany into the crapper until the Nazi party could gain control. We know what happened after that....yikes!