With inflation, tax rises and unemployment rising, is this the news of a developed country?
The countries receiving the dollars were largely powerless to do anything about it, despite their fears that credit would expand and inflation rise.
He added: "We're likely to see inflation rise significantly over the next couple of months as the large energy price hikes begin to kick in."
If inflation rises, the investor's interest payments and bond principal will both rise by the same rate.
When fears of inflation rise, investors shorten their exposure in the fixed-income market.
Mr. Greenspan and other senior officials have hinted that they would actually like to see the rate of inflation rise slightly.
If inflation rises, a government's currency will suddenly be out of line with domestic prices.
"The seeds have been sown for a gradual inflation rise and global economic growth."
As inflation rises, workers find that their incomes buy less.
However, the situation may change if inflation rises; under those circumstances fixed yields become unattractive.