Buffett, I like the guy!

This may be perhaps the richest man in the world but he seems to understand the looming threat that faces the economy. This is a short but interesting read to see his take on the americans earning 21,000 per year. http://moneynews.newsmax.com/streettalk/buffett_stagflation_ahead/2008/06/27/108054.html

He is right on the money with every issue concerning the economy. Just do a search on Buffett and you will read many articles detailing his perception of the economy. This billionare is more in touch with the market and economy then our Fed Chief Bernanke. Check out this interesting article on inflation and you will see that the Fed and his cronies are totally out of touch: http://money.cnn.com/2008/06/25/news/newsmakers/buffett_bernanke.fortune/index.htm?section=money_latest

This is the logic the people running the show are using:
Sandra Pianalto, president of the Federal Reserve Bank of Cleveland and a voting member this year of the Federal Open Market Committee, explained in a speech last month, "As consumers spend more money for higher-priced petroleum and agricultural goods," she continued, "they eventually have less money to spend on other goods and services. Other relative prices must then fall."
That is all well and good, but the companies of 'other goods' are raising prices not due to demand but due to the ever rising cost of oil and energy. It isn't as simple as americans arent buying so companies will be forced to drop the prices. That forces companies out of business and workers out of jobs, further increasing the unemployment rate. Un-flippin-believable.