Quote:
Originally Posted by amorak
Hence why there's no way in blue hell this happens. You'll see the BoC raise rates to a manageable level (4-6%) at a very reasonable pace, so that those that mortgaged themselves to the ragged edge will have time to sell and move on down.
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I wouldn't say there's no way in hell that will happen again. If you would have told me in July 08 that oil prices would be 35 bucks by Dec of 08 and that the world wide banking industry was about to collapse I probably would have thought you were insane.
Now to suggest that inflation could hit 10 percent in the next 5 years really isn't that insane when one considers that the global money supply has ballooned in the last 16 months. Combine that with the possibility of 150 dollar oil again and ya, 15% interest rates are not ridiculous to consider. I'm not saying it's going to happen, just it's not as insanse as oil hitting 33 dollars from a high of 150
