WELL, THIS IS ENCOURAGING: With The Dollar In Freefall, The System Is Breaking Down. “What Hazlitt knew, and Nixon didn’t, is that inflation has great momentum. The price level can withstand significant monetary abuse, but once inflationary expectations cement they are impossible to dislodge without extreme economic and political pain, as Ford, Carter, and Reagan soon discovered. The similarities between then and now are obvious.”

UPDATE: A hedge-fund reader writes:

The dollar has RALLIED eight percent since the November election. Seems Europe and Japan have bigger problems than we do.

I wonder if that’s a positive sign or not . . . .