Hectic days..

Unfortunately, I have not really had time to sit down and ponder on my blog for the last couple of days. It has simply been to much in school, where the average sleep per day reaches somewhere around 4-5 hours. I guess this has something to do with the fact that I did take some actual time off when I was in Sweden two weeks ago, but.. well, you have to be free from school/work sometimes. What else, in Sweden, a large debate about remuneration levels might cause on the main political figures in Sweden to leave her position and in the "real" world Obama released his budget.

I think that there is some kind of hidden agenda here from "Big Ben" (a nick name i dont really like) and that is to position the US where they will see increased inflation. This is of course a scenario that the main lenders do NOT want, what would happen if China suddenly realized that their (huge) US assets suddenly started shrinking by 10-15% per cen per annum due to inflation? Then you might say that the investments that they made, the boosting of the US currency to keep up Chinese exports, was a bad bad bet. To me, it seems as though the Chinese are going to pay for their "mistake" or tampering with the market... It seems as though this is something that everyone knows, but do not want to talk about. Inlfation in USD is - to me - the remedy here, whether we like it or not. The Euro-zone? Well, deflation here we come!

Paul Krugman has written a piece about the US banks which is an interesting read. He also talks about the Swedish rescue plan in the beginning of the 1990's which I experiences first hand - even though I was a child. I like that Krugman supposes that the level of analytical brain power is somewhat limited in the US banks. On one hand, can someone who is the root of the problem, fix it? I think it has more to about culture than actual possibility to see the problem.. and from my limited experience, I find that a much harder issue to deal with than competence. (Related article: Obama on economic recovery)