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Mish fires back at iTulip - full article
"....Some do the inflationista two-step to avoid admitting that we are indeed in deflation, choosing instead to call it "disinflation"
In short: "We are going to have a period of deflation that we will instead call disinflation."
'When I use a word,' Humpty Dumpty said, in a rather scornful tone,' it means just what I choose it to mean, neither more nor less.'
'The question is,' said Alice, 'whether you can make words mean so many different things.'
'The question is,' said Humpty Dumpty, 'which is to be master - that's all.'
"It appears that the deflationista camp is incapable of comprehending a model, and the events that it forecasts, that lays out a two step process. For some reason they cannot grasp the fact governments will respond to disinflation with inflation, that the impact of those interventions is not instantaneous, and that markets historically are not very good at foreseeing the change in inflationary conditions in either direction."-EJ
Not quite. Rather it appears that some who suggested there would never be deflation are gracefully attempting to back into it, and indeed going out of their way with a two-step to pretend it is something else.
Every deflationist on the planet understands inflation will be back at some point and the Fed will attempt to do everything it can to avoid it.
But now that we have agreement from the inflationista camp that there is deflation (even if they choose to call it something else). At least that is a two-step in the right direction...
...Disinflation makes no sense with stock prices down 40% and corporate bond yields soaring. Stocks do best in disinflation. Corporate bond yields drop in disinflation. This is not disinflation by any stretch of the imagination."
-continued here-
(For the record, I've read Mish for over five years since one of the most productive things I can do is read those that disagree with my viewpoint, and while I applaud his work ethic, I have usually disagreed with his outlook/definitions. - SteveAustin2006)
"....Some do the inflationista two-step to avoid admitting that we are indeed in deflation, choosing instead to call it "disinflation"
In short: "We are going to have a period of deflation that we will instead call disinflation."
'When I use a word,' Humpty Dumpty said, in a rather scornful tone,' it means just what I choose it to mean, neither more nor less.'
'The question is,' said Alice, 'whether you can make words mean so many different things.'
'The question is,' said Humpty Dumpty, 'which is to be master - that's all.'
"It appears that the deflationista camp is incapable of comprehending a model, and the events that it forecasts, that lays out a two step process. For some reason they cannot grasp the fact governments will respond to disinflation with inflation, that the impact of those interventions is not instantaneous, and that markets historically are not very good at foreseeing the change in inflationary conditions in either direction."-EJ
Not quite. Rather it appears that some who suggested there would never be deflation are gracefully attempting to back into it, and indeed going out of their way with a two-step to pretend it is something else.
Every deflationist on the planet understands inflation will be back at some point and the Fed will attempt to do everything it can to avoid it.
But now that we have agreement from the inflationista camp that there is deflation (even if they choose to call it something else). At least that is a two-step in the right direction...
...Disinflation makes no sense with stock prices down 40% and corporate bond yields soaring. Stocks do best in disinflation. Corporate bond yields drop in disinflation. This is not disinflation by any stretch of the imagination."
-continued here-
(For the record, I've read Mish for over five years since one of the most productive things I can do is read those that disagree with my viewpoint, and while I applaud his work ethic, I have usually disagreed with his outlook/definitions. - SteveAustin2006)
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