deflation

Deflation is upon us. Put another way, the U.S. economy is now experiencing a sustained reduction in the general level of prices. Last month, the Producer Price Index posted its biggest decline on record, 1.6%, and the Consumer Price Index fell by 0.3%. All of the major commodity price indices are down by 11% to 20% for the year. Many Read More ›

“The Republicans don’t have a clue how bad the economy is,” a Democratic congressional aide told us one late October night, savoring the vision of a gavel in Dick Gephardt’s hand. Then, slowly, he broke into a wide smile, like a happy hijacker dreaming of seventy succulent virgin interns awaiting him in paradise. Chiefly in the business of appraising enterprise Read More ›