Deflation? Oil is marching towards $100 per barrel. The cost of commodities is soaring. How could deflation possibly take hold?It's the debt. Americans owe over $20 trillion. The interest payments on all of that debt act like a giant sponge that eventually soaks up most of the new money the Fed tries to create. We are on the verge of a deflationary collapse, and any sudden shock to the economy could push us over the edge.Your retirement portfolio would be decimated. It's not inflation that keeps Ben Bernanke up at night. He was hired to combat deflation.In this story Islamic terrorists attack America, but not with spectacular explosions. Instead Muslim-American serial killers target individual Americans at random. The police are almost powerless to stop them because each murder is an attack of opportunity, and there is no central planning.Hundreds of innocent people are murdered until most Americans are afraid to leave their homes. When a few banks get nervous and stop lending, the U.S. money supply
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