A Rose By Any Other Name

A Rose by any other name would be just as sweet. Inflation by any other name would be just as bitter. But hang onto your hats, it is coming.
You all remember that African country called Rhodesia. It was the bread basket of Africa and was renowned world wide for its prize beef cattle breeding stock. The ranches there, mostly owned and operated by people of Dutch descent, employed many locals and had schools, medical clinics, and general stores on the property for the employees. But, the natives got restless and after murdering many of these ranchers, chased the rest of them out and took over their ancestral lands. Today, the land sits wasted and unused, the magnificent ranches and their buildings burned to the ground and the people have no medical facilities and no schools for their children. Disease and poverty is rampant. President Mugabe and his finance minister Gono have ruined the country today called Zimbabwe. They had to stimulate their failing economy so they started printing money which caused inflation, which this year so far is running at 2 million % annualized. They printed a new $1 billion bank note last week and it is worth about US$3.00
Interesting that this Mr. Gono, who lives very comfortably in his 20 room mansion, was interviewed by the western press a few days ago and said, " I find it interesting that the G20 are now doing exactly what they told me I should not do. Print money."
Of course, the reason for creating inflation so is that you and I will spend our money because inflation will devalue it in a savings account. And when we are spending our money, we are stimulating the economy. How nice that we can be a part of the solution!