America is locked in deflation. The Fed has ballooned the M2 money supply by 9.3% in the last year and M1 is up a whopping 16% (June to June) and we’ve gotten a lousy 2%-range GDP growth rate. Or, in other words, systemic deflation is probably somewhere between 7.3 and 14%.
~ George Ure, Urban Survival, July 13, 2012
Bob Prector got the part right about deflation….I had read his Crash book before Solari reports started. His Elliot Wave stuff, the free portions I used to see, never seemed to click with me. Franklin said it best. But I do give Mr. Prector his due about deflation.