Writing in the New York Times, economist and former Federal Reserve governor Alan Blinder explains why recent Fed moves to stimulate the economy are not necessarily inflationary.  Adding to banks' reserves doesn't cause inflation unless banks are lending those reserves, something that isn't happening right now.  And as long as Fed Chair Ben Bernanke follows through on his plans to soak up those excess reserves once sustained growth is on the horizon, there's no reason to believe that an inflation surge is inevitable. Economic View:  Why Inflation Isn't the Danger

Former Fed Chief Alan Greenspan, meanwhile, believes that inflation may reappear in 2012, depending on money supply, housing prices, and investor psychology. Inflation - the real threat to sustained recovery.

Mark Hulbert, writing in MarketWatch, notes that companies are engaged in record share offerings, usually a sign of poor market performance to come. Interestingly, several analysts who subscribe to this inverse relationship remain "cautiously bullish."  Supply and Demand.

The Conference Board reported that the US Index of Leading Economic Indicators has risen for the second month in a row.  The Board is now predicting that the economy will be back on a (slow) growth path before the end of the year.  Leading indicators for every major economy except Japan rose last month. The Report.   The Conference Board.

Interviewed by Knowledge @ Wharton.com, Jeremy Siegel predicts another 15-20% rise in stock prices by year's end. The Market Will Stage Another Recovery.

Fareed Zakariah, writing in Newsweek, notes that every other crisis in the 20th Century led to massively expanded opportunities.  This time is not different.

The Capitalist Manifesto: Greed is Good.

When the current crisis is over, the reputation of American-style capitalism will have taken a beating—not least because of the gap between what Washington practices and what it preaches. Disillusioned developing nations may well turn their backs on the free market, warns Nobel laureate Joseph E. Stiglitz, posing new threats to global stability and U.S. security.  Wall Street's Toxic Message 

Human Nature Today
 

"Has there ever been a time when there were so many different views of human nature floating around all at once? The economists have their view, in which rational people coolly chase incentives. Traditional Christians have their view, emphasizing original sin, grace and the pilgrim’s progress in a fallen world. And then there are the evolutionary psychologists, who get the most media attention."

read David Brooks' entire column