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What’s the Difference Between Deflation and Hyperinflation? Why do you ask?
Academics, Farmers and Lenders let their minds, fields and money rest during Sabbatical every seven years.
The average mortgage contract was held for seven years.
Immigrants gained passage as indentured servants for seven years. Jacob worked 7 years for Rachel and got Leah by surprise, so he worked another seven years.
The Jubilee is the Biblical generation wave peaking the 50th year following seven Sabbaths.
The High Priest blew the shofar ram’s horn and announced the year of Jubilee, as the Pope declared 2000 the year of Jubilee.
The Jubilee was the time for all property to return to rightful owners, that is, people without debts. Debts, Slaves, serfs and citizens were to be set free or redeemed.
The Jubilee has decade-plus seasons of Spring planting, Summer growing, Fall harvest and Winter dormancy. We may be in Jubilee Winter right now.
Sir John Templeton noticed assets correct during Jubilee Winter the amount they were financed.
With 125% loan-to-value DiTech or no-money-down Countrywide lending, we might be on notice for further air pockets in real estate prices.
People may be surprised to see early 21st century assets at early 20th century prices. Perhaps this is why there are 49 and 99-year leases.
Of course there are those who plead a plateau of permanent prosperity, like Irving Fisher, the 1929 Yale economist who invented the rolodex.
http://www.economyprofessor.com/theorists/irvingfisher.php
There are those who believe we can stabilize the economy, markets and money by manipulating or tweaking them with fiscal and monetary policy.
Somehow, these manipulations erred on the side of more debt, more money and more spending, leading people to believe inflation and growth were defacto endless standard like death and taxes. They are not.
