Fiscal cliff and grain prices

[errolanderson]

Personally, don't see much inflation in
North America at all right now. That is
why precious metals have performed poorly.

Feel we are now in the midst of a broad-
based commodity market meltdown.

Good news is; loonie may continue its
decline as a result.

[TOM4CWB]

Errol;

Broadbased Commodity Meltdown?

A 15 percent change is easily normal volitility. 50 percent would be unexpected... is that your projection?

There would be large shortages if even 25 percent drop in grain prices were sustained. WHY so negative? Will they run out of ink/screen space to print money?

[Burbert]

Are we talking core inflation er inflation
inflation, like all the sh_t we buy that
is going up, up, way up in price? Butt
things like computin machines and tvs is
dropping soooos don't worry be happy......

[bucket]

errol

You said "And it was our generation of greed that is going to create grief for our kids and their families. "

I hope you are not blaming this on the generation that is 48 right now.

I blame my parent's generation who elected trudeau and chretien that put this country deep in debt. They started the socialist state in Canada. And effectively shut down the west for 20 years.

[wilagro]

bucket: We have a FEW social programs but we do not have a SOCIALIST state.

Thank GAWD for the pensions and the medicare. Go to Mexico and see the old women eighty years old begging on the streets...you see mothers with snotty nosed kids living on the street every day with the kids selling Chiclets trying to survive.

Go on their tours to the fancy resorts where rooms are rented to the rich for 4 or 5 thousand a night and contrast that with the poor sections of ANY Mexican city.

Our social programs are necessary and if you begrudge the few we have then you are callous and not humane.

[cottonpicken]

Wilagro,that wealth gap is there because the value of
labour is stolen through inflation and paper
money,those 80 year old women couldn't
preserve/save the labour they did 60 years ago.

In a nutshell.

It would take a very long boring essay to explain it.

[errolanderson]

bucket . . . realize the carnage that
Trudeau created for Western Canada. But
the starting point (in my mind) was in
the Clinton era.

Clinton stated every American deserves a
house . . .(whether you have a job or
not). This false sense of entitlement
was a beginning for problems in Wall
Street and the ridiculous greed-based
boom 'n bust of the American housing and
mortgage industry.

At its peak, Phoenix houses were being
financed for interest only payments, no
principal. Why? because housing prices
were only going to go higher and never
break. Any prudent investor would know
that . . . right?

Absolutely ridiculous thinking and greed
all the way. And then Dick Cheney
stated; that debt doesn't matter in
2005.

This is the vice-president saying 'debt
doesn't matter'

Bucket . . . in my head it was our
generation that got these markets in the
biggest mess. But you right about the
eastern attempt to control western
resources in the 1970s did little to
boost our economy.

[checking]

You had your chance to spend the value of your labour the week you received it. Oh geez you did that and you're still in a position of having little. The 80 year old Mexican lady had a day to day excuse for never getting ahead. What's your excuse, and it's not inflation.

[VK58]

The thing that keeps me awake at night is the fear that our truly productive members of our society will either say screw it and quit or move to a less costly enviroment.Either way that 80 yr old loses. I know cotton you are going to say it already has in some areas.
Enjoy both errol and cottons posts, different paths but same ultimate destination.

[cottonpicken]

That mexican lady went through a couple bad
currency devaluations,lost 50% overnight in 94,when
her president told her everything was fine a few days
before,paradoxically it was government spending who
kicked her in the teeth,that spending wasn't going to
social programs,but that doesnt matter because even
if it was the haircut was still coming.