Thoughts Concerning Deflation

I have written a variety of posts concerning deflation and “deflationary pressures” as I continue to believe that deflationary conditions are on the horizon, and that such deflationary conditions will cause, as well as accompany, inordinate economic hardship.  [note: to clarify, for purposes of this discussion, when I mention “deflation” I am referring to the … Read more Thoughts Concerning Deflation

P/E Ratios and Inflation / Deflation

I recently came across an interesting chart titled “Relationship Of Inflation and Price/Earnings Ratios (1900-2008).”  It is from Crestmont Research and can be found at this link: http://www.crestmontresearch.com/pdfs/Stock%20Inflation%20&%20PE.pdf It shows the effect of inflation and deflation (as defined by the CPI) on the P/E Ratio. I think that it is worth looking at for a variety … Read more P/E Ratios and Inflation / Deflation