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Inflation in the UK

Headlines today indicate that inflation in the UK has jumped, both on a year / year, and month / month basis.  This is good news.  It means that the inflationary forces being exerted by the BofE and UK government are finally overcoming the deflationary forces unleashed by the credit crisis and property bubble popping.

This makes it more likely that the US will also succeed in its reflation efforts.

I saw somewhere (wish I could cite the source, but can't find it again), someone asked "Will Bernanke and Geithners policies cause inflation?", and the author responded: "We'd better pray they do!".  I couldn't agree more.  Japan has spent 20 years fighting deflation, which in our (US) state of overleverage would be unimaginably devestating.  Only by inflating (i.e. currency devaluation), will we be able to deleverage and return to growth.