Professor Elam

In Intermed Acct Class this Wed I asked why gold was $800+. The answer is the falling dollar. In this article

Pat Buchanan provides some historical perspective on what has been going on with the US Buck.  Whle Buchanan is hard to pin down, he seems better when writing as an outsider. We have dsicussed the housing and banking disaster at length on this blog.   I would agree that the FED needs to tighten to get the US Buck on its feet and bring down the price of gold but Bernake may not be able to do anything.   Loosening drives the dollar further down and politicians will be terrified of slowing the economy further with rate hikes.