Wednesday, February 16, 2011

History repeating itself

I remember the seventies, when oil prices were high.  The blame went to OPEC, but the reality is that it was the government, just as Ronald Reagan said.  Why is that so hard to learn?  Supply and demand.  When Obama closes down drilling, why should anybody be surprised that prices go up?  When the Fed floods the markets with easy money, why should anyone be surprised that inflation begins to heat up.  It has all happened before.

Predictable.

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