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by thephyber
2199 days ago
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I'm not sure I agree with the terms you are using. I get the difference between what is usually called a "bubble" and what is usually called "inflation", but I don't think you can accurately identify a bubble until it has already burst and you do it in retrospect. "Fairly priced" is strange because every transaction is "fairly priced" in the moment (given the knowledge at the time), but may turn out to be "unfairly priced" if in retrospect it appears to be fraudulent. |
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It's price inflation if investors are rationally speculating on the future value of the dollar, relative to the assets.
It is hard to conceive that the dollar is not going to depreciate as a result of monetary policy, or that the monetary policy is going to change. I consider the latter scenario to be more plausible.
> "Fairly priced" is strange because every transaction is "fairly priced" in the moment
To be clear, I'm saying that the price represents fair value.