And the next time around, hyperinflation WOULD NOT hurt India and China, as much it does the developed nations!...

Dear Novice,

Thankfully, RBI is better off than fed.. and its good india owes money to the US than the other way around :-)

The govts around the world are not going to ANNOUNCE a move away from USD.. I guess it must have started about 6-12 months back... And thats why the current efforts to screw the entire world up and salvage whatever worth they can for the USD... It is the case of a murderer not trusting anyone :-) Will this make emerging powers more responsible? only time will tell... Looking at China`s treatment of Tibet, and what goes on in India, doesn`t seem to be the case..

I think the topmost factor for hyper-inflation will be the depreciation in USD :-)
...

RN

You have an excpetion here :-) I have seen hell and experienced it...lol... It is here and now! Thats the only way to not accumulate karma :-)...

Novice,

I expect the hyper-inflation to start very soon.. There are two reasons for this: one - china has already made its intentions clear - it will focus on growth, and i believe this time it will be led by domestic consumption. two - more and more economies will find USD too risky to hold their reserves in...

Even India is likely to choose growth post-elections, and these two economies are more than enough to lead the world into a hyper-inflation - as early as second half of 2009/2010.

regards...

Hi Novice,

I think the same way... I said India will be best prepared to deal with hyperinflation if it does not cut rates in a hurry... What US is doing is a recipe for hyperinflation - stalled for now due to credit crunch and deleveraging... but the world will have to pay for what Ben and Paulson are up to now at a later date...

regards...

Goes to prove how much more intelligent Indians are :-) We havent conducted surveys like this, and we already know the truth :-) ...

There certainly has been growth.. but i has gone into buying TV sets, washing machines and the likes... So not much REAL WEALTH CREATION in India... And the move to nuclear families has meant more expenditure, so the increase in savings, i guess, wud not have kept pace with the growth..

There could be a few currency printing presses coming up in US every second week now... There cud very well be refugee camps - and most likely the immigrants to US will suffer a lot... It wont stop till the capital gains tax is reduced/abolished :-) And if India doesnt cut rates in a hurry, india will probably be best prepared to deal with the hyper-inflation that is almost certain to follow the deflation cycle. Remember, India has very little creditworthiness as compared to the US... so refugee camps will always come up in india before they do in US......

And the next time around, hyperinflation WOULD NOT hurt India and China, as much it does the developed nations!...

Inappropriate behaviour with one`s daughter-in-law or daughter sends one to the terrible hell of MahAjwAlA, while those who insult Acharyas and the Shruti, one who sells VedAs ( who takes money for imparting scriptural knowledge) and one who consorts with undesirable women-these are destined for a special Purgatory known as LavaNam. Here, though the Acharya is not supposed to demand recompense in cash or kind for imparting knowledge, the sishya, on his own, should offer the best and the most he can to the Acharya, so that the vidyA he has imbibed would be fruitful. Thieves and those who cross the lines of decency and good behaviour fall into the VilOha narakam, while those who harbour ill will towards deities, ancestors and DvijAs, and those who tarnish diamonds, are pushed into Krimibhaksha narakam, where worms eat one alive. Those who perform undesirable sacrifices fall into the KrimIsa narakam. There is a terribly tormenting hell known as lAlAbhaksham, reserved for those who eat before propitiating deities, pitru devatas, and guests. This is in tune with the Gitacharya`s dictum that one who eats without offering it first to the Lord, imbibes sin with every morsel of intake. This is to emphasize the indispensability of ThiruvArAdhanam and pitru tarpaNam, as well as atiti satkAram. Manufacturers of deadly weapons, those merchants of death, are sentenced to the deadly BhEdaka narakam or to Visasanam, depending upon how lethal are the arms they produce. Those acquiring wealth by unlawful means (one pities the politicians) and those making a livelihood through false prophecies (woe betide our astrologers) go to adhOmukham, (where perhaps they hang by their feet). Those who reserve delicious items of food for themselves, denying one`s children or friends, and BrAhmanAs who sell meat, sesame, salt and resin, fall into the Pooyavaha narakam. And now a word of cheer for those who own poultry farms, cattle-breeding centers, etc.- those who rear or keep cats, cocks, pigs, horses and birds may also look forward to a spell in Pooyavaha. RudhirAndha is a spacious hell, which accommodates the perpetrators if the following types of misdeeds- Professional actors (and we used to envy these matinee idols!) Wrestlers and Boxers Fishermen Those who poison others Arsonists Back-biters and complainants Brahmins who perform karmas for others at times other than those stipulated for their performance Murderers of friends and well-wishers Soothsayers specializing in reading omens etc. Liquor merchants Village Purohit, etc. Those who destroy YagyAs and villages fall into the VaitariNI, while those who alter the bunds in fields, those who are fickle-minded and impure-all these may find places reserved for them in the Krishna naraka. Here is something to cheer environmentalists-those who destroy forests without justification would find themselves consigned to the asipatra naraka, while rearers of rams and brickmakers fall into the VahnijvAlA narakam. Those who don`t observe the penances (Vratam) they ought to and those who fail to stick to the standards set for their Ashrama (whether they be BrahmachAris, GrihastthAs, VAnaprastthAs or SanyAsis) would find themselves in Sandamsa naraka. Those who are taught by their own children are also destined to rot in hell, this one being named Shvabhojanam. Contd...

dear raj, Hyperinflation may not last very long.That will lead to demand destruction. Hyperinflation can be the result of lesser supply or higher growth.Anyways we are going to witness clear slowdown in the next 18 months. By mid 2009, inflation will be well under control and we will see clear demand destruction and severe liquidity crunch. How Indian govt will handle the liquidity crunch in the next fiscal is to be seen? regards...

dear raj, yeah i got it now.We are actually on the verge of entering in to hyperinflation cycle.As you rightly said, the entire world will have to pay for Ben`s and Paulson`s actions. regards...

Novice, I expect the hyper-inflation to start very soon.. There are two reasons for this: one - china has already made its intentions clear - it will focus on growth, and i believe this time it will be led by domestic consumption. two - more and more economies will find USD too risky to hold their reserves in... Even India is likely to choose growth post-elections, and these two economies are more than enough to lead the world into a hyper-inflation - as early as second half of 2009/2010. regards...

dear raj, I was under the (mis!)conception that rate cuts will result in hyper inflation.But you are saying the other way round! regards...

So rajtibs, Recession in US PARLANCE does not mean refugee camps? i still see paulson and the average american looking so rich. I still see the average indian starved and India i understand showed stupendous growth in the last few years? Should we junk these numbers and these terms or it takes time for refugee camps to show up in US?...