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Why Choose Keynes Over Friedman?
Let’s give quantitative monetary policy another chance.

by Bill Fox, Senior Bonds Analyst
12/22/2008 3:00:00 PM

With trillions of dollars committed to financial rescues, it seems that we now have decided that elected officials in Congress are superior arbiters of economic rehabilitation. Are we really to think that a polarized group of lawyers, doctors and who-knows-what-they-did-before will be prudent in their spending? Given the choice of the lesser of two evils, I will take Bernanke’s resume against anyone's in Congress.

Filed Under: Keynes, Milton friedman, monetary policy, Bernanke, new deal, irrational exuberance
Category: Economy


The Japanese Model: Our Future?
Can there be any doubt that we are in a DE-flationary cycle?

by Bill Fox, Senior Bonds Analyst
12/8/2008 4:45:00 PM

Initially, I wanted to compare and contrast deflation and disinflation. But at this point, it is rather obvious that the horse is out of the barn. Can there be any doubt that we are in a deflationary cycle? It's time to end academic debates. We are standing on an unprecedented mountain of treasury debt that is growing daily. How will it end? Actually, the Japanese government went through this recently...

Filed Under: Austrian School, deflation, Keynesian, Keynes, laissez-faire, fiscal stimulus
Category: Economy


Watch Bob Prechter's interview on CNBC Wednesday, Nov. 4. Bob discusses the current juncture, Conquer the Crash II and more.
Robert Prechter on CNBC
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Announcing EWI's New eBook ...

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> Do you know of any mutual funds that use Elliott wave analysis? 
> Inflationists: Is there a flaw in their reasoning? What is it? 
> If stocks lead economy, why won't rising stocks SAVE economy? 
> Obama: Can the President's approval ratings LEAD the stock market? 
> Social mood: If news and events don't change it, what does? 
> Silicon Valley and internet startups: How might they fare in this depression? 
> Prechter's new Theorist: What event can start the next crash in the Dow? 
> Come on, admit it: The Fed runs the show... doesn't it? 
> Can Elliott wave patterns be completed in overnight trading? 
> Tax rates: Higher or lower in the coming depression? 

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IN THE MEDIA
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As the markets enter what Bob Prechter calls "the point of recognition," we notice that mainstream media pundits who get it start to notice us, our analysts and our forecasts. You can browse dozens of recent media articles about EWI in the EWI Press Room.
 
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The Elliott Wave Principle is a detailed description of how financial markets behave. The description reveals that mass psychology swings from pessimism to optimism and back in a natural sequence, creating specific Elliott wave patterns in price movements. Each pattern has implications regarding the position of the market within its overall progression, past, present and future. The purpose of Elliott Wave International’s market-oriented publications is to outline the progress of markets in terms of the Wave Principle and to educate interested parties in the successful application of the Wave Principle. While a course of conduct regarding investments can be formulated from such application of the Wave Principle, at no time will Elliott Wave International make specific recommendations for any specific person, and at no time may a reader, caller or viewer be justified in inferring that any such advice is intended. Investing carries risk of losses, and trading futures or options is especially risky because these instruments are highly leveraged, and traders can lose more than their initial margin funds. Information provided by Elliott Wave International is expressed in good faith, but it is not guaranteed. The market service that never makes mistakes does not exist. Long-term success trading or investing in the markets demands recognition of the fact that error and uncertainty are part of any effort to assess future probabilities. Please ask your broker or your advisor to explain all risks to you before making any trading and investing decisions.