Hyperinflation could happen overnight is how Paul Craig Roberts, former Assistant Secretary of the Treasury in the Reagan administration, describes a future when the rest of the world no longer sees the dollar as a viable store of value. “All of a sudden, people walk into Walmart, as usual, and they think they’ve walked into
Uncharted Territory, LRC podcast #331 Bill Haynes and Lew Rockwell discuss why the US has avoided hyperinflation and why the dollar may long be the world’s reserve currency, despite the Fed’s promises of unlimited money creation. The Fed, as Lew notes, came into existence after major bankers met on Jekyll Island, Georgia, and formulated
This week, the Fed announced policies based on the U.S. unemployment rate, the first time a large central bank has ever tied its interest rates to an economy. The goal is a jobless rate of 6.5%. Of interest to precious metals investors is that the Fed has beefed up QE3 to $85 billion a month.
Quantitative Easing – to the unwashed – has a benign ring to it. Say aloud, “Quantitative Easing.” Not frightening at all, right? Nothing like “Default,” which conjures up some really scary potential outcomes. Actually, to many investors who comprehend the nature of the problems the world faces, quantitative easing provides emotional relief. After all, haven’t
Regardless of what you see as the biggest problems facing the US – endless deficits, corporate bailouts, the welfare/warfare state – they are all either enabled by, or exacerbated by, our system of fiat money. By giving a central bank the sole legal right to create new money at its own discretion, and for its
According to a Wall Street Journal article last week, the national debt is not $16 trillion but is closer to $87 trillion because of unaccounted for government liabilities. Bill Archer and Chris Cox, two former member of the House of Representatives and members of President Clinton’s 1994 Bipartisan Commission on Entitlement and Tax Reform, say
Would you buy a stock that you believed would be worth less in the future? To most, that is a silly question with an obvious answer. But what if I asked, would you agree to be paid in a currency that would be less in the future? To most, that is a question they
If you’re reading this, I suspect that you already have a good understanding of the fraudulent nature of our monetary and banking system (or are well on your way to figuring it out). But how do you communicate that knowledge to someone who has no idea? If you’ve ever tried, you know it’s not easy.
Despite having publicly declared his bullishness on gold when it was trading below $300, Frank Giustra is still bullish on gold at the present levels. In case you do not know who Frank Giustra is, he comes with extraordinary credentials. Precious metals investors need to listen when he speaks. Frank Giustra founded Lionsgate Films, but
Memoirs of Extraordinary Popular Delusions and the Madness of Crowds is the classic text from 1841 by Charles Mackay that addresses the mass psychology that enables financial bubbles and their inevitable collapses. The entire book is available here as a free pdf in the Essential Readings section of the site. Grant Williams follows this theme