Thursday, November 26, 2009

China Tips Toward Deflation

The world-wide plunge into deflation is accelerating, and will soon hit China.

Specifically, analysts polled by the Dow Jones Newswires forecast that China will head into negative 2.6% inflation.

In the short-term, the world will sink deeper into deflation. At some point, however, in a year, or 2 or 10, the number of dollars printed will almost certainly lead to hyperinflation.

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