If we do collapse,I would guess the last thing I or many other people would be concerned with is the value of our equities PM's or any,I would imagine I will be spending my time loading my 357 and guarding my cans of Spam.
You guys talk as if the US govt and military will allow the US to collapse -- get this straight
- it wont happen, let me repeat, it wont happen. China may rival the US, but will not be the new empire or world reserve, THe USA will go to war on that alone
- if we do collapse then your PM's will be worthless!! becasue there will be no world. If we go, we'll take everyonelse with us. dont you understand?
enjoy your trades, hug your kids and be grateful you can see the sun each morning
long 5000 shares
It's a shame that we once had a supreme currency and let it slip away with profligate spending by our government.
The Fed prints, the government spends, and everyone is happy as a clam until the bill is presented in the form of inflation.
There are very few proponents in Congress of the Austrian School of money. I find Ron Paul to be the outstanding representative against fiat money. His latest message from yesterday is titled: "The Declining Dollar Erodes Personal Savings" is another homerun for the good guy.
Unfortunately, Paul is like a voice in the desert along side is Congressional spenders, but Bernanke must face is grilling, as did Greenspan.
Good to have a watchdog over the people spending our money, but there are too few leaders in this country to do the right thing.
Our Founding Fathers are rolling over in their graves!!!!
I know it and it freaks me out. But just load up on your metals and hope for the best I guess. It's early in the AM here in Sydney and I'm crashing. Enjoed the conversation today folks. Good debate makes the world go around. Take care.
The Fed may try to print their way out of this dollar mess, but it makes monetary policy impossible to achieve. In fact, they are printing more dollars in excess of what the Fed Funds rate can contain.
Without reporting M3, the dollar growth showing repos to commercial banks is kept secret, yet inflation will reflect these excess dollars, as too much money is chasing too few goods.
Even the M3 increase will contribute to higher crude oil prices. The countries exporting oil to the United States know the true value of the petro-dollar, and that is one of the reasons that these countries are commanding a higher crude oil price. (Plus we are probably in the Peak Oil zone, but that is another issue.)
There will someday be a dollar crisis. It is inevitable as blowing too much air into a baloon before it explodes. And that's when our precious metal investments will be most valuable.
Dire times are ahead, imo.
Paul please take no offense as none is meant. It sounds like you are basing your assumptions on published data provided by the US Govt. M3 may be being hidden due to a lack of money being printed as Ben worries he will over inflate too much and rather than raise rates he can slow down money supply. We do not know. As to the US debt we have over 40 Trillion in unfunded liabilities coming home to roost in the next 20 years or so. That does not even take into account the rising debt caused by budget shortfalls being added onto the 40T. The US now has to borrow money just to service the debt. All that said it will take much longer than 5 -7 years for the USD to go kaput. Will it lose another half of its international value and 3/4's of its domestic purchasing power? Probably yes. But not an end to the fiat system that fast. These things take time. More likely 20 years or more and by then the US will have inflated away most of its debt and when they do issue a new "dollar" hopefully one detached from the unconstitutional and illegal actions of the FED it will be backed by huge gold surpluses the US has. I may be wrong and I may be right or the truth lies somewhere between our opinions.
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