101.   He acknowledged that a higher inflation rate might help Germany meet the EMU criteria by raising the gross domestic product.

102.   He also pondered whether higher inflation might be inevitable even if unemployment stays at its current level.

103.   Guynn, who is a nonvoting member of the policy-making Federal Open Market Committee, said higher inflation was not inevitable.

104.   Hannah at IBJ International points out that global monetary growth is rising at historically high levels, which could be a sign of higher inflation to come.

105.   He and others speculated the federal government will likely funnel more funds toward defense spending, which they say will erode confidence and lead to higher inflation.

106.   He said they are needed to curb consumer spending, which threatens to push inflation higher.

107.   He warned against interest rate cuts that could pump up the economy and generate still higher inflation.

108.   Higher inflation erodes the value of fixed-income securities.

109.   Higher inflation erodes the value of the currency and will force the Bank of Mexico to offer higher returns to fixed-income investors buying its treasury bills.

110.   Higher inflation and higher interest rates can erode lending profits.