Here what comes? Inflation, that’s what is coming. No, I don’t mean 2%, 3% or so, but a lot more. That’s why the stock market is up and so are gold and silver prices. The presses are running.
265 billion euros are being ’created’ by banks in the US, Japan, World Bank, etc. I say ’created,’ because that’s exactly what these banks are doing, frantically attempting to save the euro. Will it work? Temporarily maybe, but Portugal, Spain, Italy, and Greece have in no way balanced their budgets, and of course neither has the U.S., to to quote a current expression, it is merely, “Kicking the can down the road a little further.” Ron Paul says it is like giving drugs to an addict. Feels good for a while, but the end is the same.
As I said in Tuesday’s column, before this happened, “There isn’t enough paper money of any kind to pay the debts of America, Italy. Greece, Spain, Portugal, Japan, and a few others, other than with mass printing, which will cause world wide hyperinflation. Get the hell OUT OF DOLLARS, and save yourself in the coming months and years.” I stand by that
Those European nations as well as America, are ruled by politicians, and all politicians know how to do, is to continually vote more largess out of the public treasury to make voters happy with programs and handouts, and therefore keep them in office. It has been going on for literally centuries. In days of yore, when silver and gold were used as money, the king would ’clip’ the coins, melting the shavings to make more coins, thereby robbing the citizenry by making their money worth less, because it had less gold and silver in the coins, but they were supposed to buy the same things at the same prices. Sometimes he would use copper or brass instead of silver and gold, and the populace were helpless to stop it, as is happening now.
Japan is in debt up to its ears, so Japan’s ’helping out,’ is absurd. America’s ’helping out,’ is equally absurd, because our debt equals our GDP, meaning that we’re almost as bankrupt as Europe. A Fox poll yesterday, says that 84% of Americans are opposed to bailing out the euro. Keep kicking the can down the road, and eventually, the world will come to the end of the road, and those with the real money, (gold and silver), will be the kings and genuinely wealthy in real money, not Monopoly type, un-backed, scrip known as dollars, yen. or euros.
Economics is really not that complicated. Just as two and two equals four, endless spending more than is taken in, equals bankruptcy, and one bankrupt entity transferring Monopoly scrip to another bankrupt entity, equals big time inflation. The entire world has been operating on fake, fiat money for a couple of generations now, and it all will come to a very painful end eventually.
When the can stops getting kicked down the road, and the benefits are cut, like they are attempting to be done in Britain currently, with a huge strike, the violence in the big cities will be horrid. As I have been preaching for a long, long, time now, get out of the big cities, get out of dollars, and protect yourself.
A poem printed in the Gladstone Kibosh on January 26, 1900:
“Don’t send me the paper any more, for when I read it, it makes me sore, such reading I can find galore, you damned old bore. We would burn it but can’t stand the smell, you can’t print straight, you can’t spell. But on this fact you now can dwell, just go to hell.” Wonderful prose, huh? Like my columns!