Peter said this is a little ironic because he sees another Carter-era phenomenon on the horizon - stagflation.
As a result, he thinks Trump is going to do for the Democrats what Carter did for the Republicans.
"The conservatives rode to power because of the problems that were blamed on Carter. Well, the socialists are going to rise to power in America based on the problems that are going to be blamed on Trump."
Of course, it's not really going to be Trump's fault. But that's the way the political class plays the game. Whoever happens to be in office when things go south gets the blame. But the real culprits are the central bankers.
Stagflation is a combination of high inflation and negative economic growth. We saw it under Carter, and Peter thinks we'll see it again as the Trump administration progresses.
Peter has been talking a lot about inflation in both the eurozone and the US, but the mainstream isn't paying a bit of attention.
"Inflation, of course, is not just going to be a problem in the eurozone. It is going to be a bigger problem in the United States. I think the difference is while the Europeans are going to ultimately raise interest rates to fight their inflation, especially since there's going to be a lot of pressure from the Bundesbank on the ECB to do that, the United States is just going to surrender.
We're not even going to bother to battle inflation because there's no way we can win. And so inflation is going to be a bigger problem here in that it's going to get even more out of control in the eurozone. But it is going to do damage worldwide, and it's amazing that you have such a massive inflationary threat looming on the horizon and as far as the central banks are concerned, the possibility of that isn't even something they can imagine."
- Source, Seeking Alpha
