49.9% of what? The shocking percentage is that 49.9% of Americans pay no income taxes! The figure of 49.9% is just shy of 50%. 50% is the point at which half of Americans are supported by the people who do pay taxes. In my opinion, when the 50% point is reached, it’s all over but the funeral. When 49.9% pay no taxes, is it fair to assume that those who pay no taxes, are sucking the life blood out of the 50.1% who are paying taxes?
Is it also fair to assume that the 49.9% who pay no taxes are not working, working little, or getting checks from the government? When 49.9% pay no taxes, is it logical to assume that the welfare state has taken control, and that the days of America, as we knew it when we were growing up, is finished? When 49.1% pay no taxes, and the millions of checks roll off the presses each week, which are backed by nothing, and whose amounts are created out of thin air, is it an economic probability, that an economy is doomed to be killed by inflation?
If you are out in a lake in an old boat that has started to leak, and you are bailing it out as fast as you can, but the leak grows because of the age of the wood from which it was built many years ago, all the bailing won’t keep it afloat, because the water is rushing in faster than you can bail it out. If you are in that boat, you’d better have a life preserver on, or you will drown.
A hundred million Americans, more or less, are trying to bail themselves out of the leaking boat of the sinking dollar, by saving their dollars in interest bearing accounts. Most of them have no idea of why prices are going up. All the know it that it is ’inflation.’ What is ’inflation?’ By dictionary definition, it is, “An increase in the amount of money and credit in relation to the supply of goods and services.” Or, as Stott’s Law says, “The more of anything there is, the less they are worth,” and this includes dollars, and the goods they purchase.
Most savings accounts and CD’s, pay in the 1-2% interest range, but the inflation rate is larger than that, so the boat is gradually sinking. Saving dollars, in the hope of preserving your net worth, is futile, because the presses have to run more and more, to keep up with the Congressional spending, which can’t or won’t be stopped or even slowed. The committed debt for future spending on Medicare, Social Security and the like, is about $175 trillion, and the current debt is over $15 trillion. It is unpayable, other than with hyper-inflation, which means that all tangible goods will skyrocket, and your dollars will plunge in value so fast that all savings in dollars will be wiped out.
As I have written before, this has happened over and over all around the world, since paper money was invented, and three times in America alone. The Government Printing Office is trying to make hundred dollar bills counterfeit proof, but counterfeit ones constantly appear, and if you get one, kiss your hundred dollar bill goodbye, because it will be seized. Tough times are coming people. I won’t bore you with what prices of gas, food, houses, and tangibles were when I was a kid, but I bought a lot of gasoline for 20 cents a gallon.
We’re all in a leaking, rotten, boat o the United States’ economy, and there is nothing we can do about it but protect ourselves with a life preserver, and hope that if the election goes well, we may slow it. Stop it? Pay the national debt? No, because it has gone too far. There is a point in curing a disease such as cancer, when it has gone so far, that it can’t be cured, and all one can do is give comfort to the patient. The American economy is so far in debt, that the only way to pay it, is to print hundreds of trillions of dollars to pay the creditors both domestic and foreign. Foreign loaners are getting wise and not loaning to us much any longer, and soon I think, they will cut us off completely. Savers think that loaning the government money by buying treasury bills and bonds is ’safe,’ and it is, as far as dollars are concerned, but not their value. There is no safety in saving in dollars, not matter what the vehicle is used to save. The dollar amounts may be safe, but that means nothing in an inflationary situation. Absolutely nothing.
The life preserver is gold and silver, and it’s just that simple. Gold and silver have been real, honest, beautiful, historic money for thousands of years, and are totally self backed in all currencies. They require nothing to back them, other than a good hallmark. You wouldn’t put Joe Blow’s motor oil in your Mercedes, nor buy Aunt Hattie’s mayonnaise. You want Quaker State or Kraft. You must then, buy Gold Eagles, Credit Suisse, Maple Leafs, or Krugerrands in gold, because these hallmarks are trusted everywhere. In silver, you want something in one ounce measurements, and such hallmarks as A-Mark, Johnson-Matthey, Silver Eagles, Silver Maple Leafs, or Silver Philharmonics. Protect yourself before it’s too late. Gold and silver cannot get ’too high’ to buy, any more than can gasoline or tomatoes and lettuce, because all tangibles will continue to rise…in dollar prices.
You in Arizona and Michigan, be sure to vote, but not for Mitt!