By Gary Christenson -Re-Blogged From Gold Eagle
Peter Schiff explained “What Happens Next.” This article takes his “likely sequence of events” and expands the discussion.
His sequence:
By John Mauldin – Re-Blogged From Gold Eagle
Debt is future spending pulled forward in time. It lets you buy something now for which you otherwise don’t have cash yet.
Whether it’s wise or not depends on what you buy. Debt to educate yourself so you can get a better job may be a good idea. Borrowing money to finance your vacation? Probably not.
By Adam Taggart – Re-Blogged From Silver Phoenix
As we’ve been tracking here at PeakProsperity.com, the housing market is starting to look quite ill.
After the central bank-driven Grand Reflation following the Great Financial Crisis, home prices are now beginning to nose over from their new bubble-highs.
Has the Housing Bust 2.0 begun? If so, how bad could things get? And what steps should those looking to pick up values at much lower prices in the future be taking?
This week we talk with citizen journalist Ben Jones, property manager and publisher of TheHousingBubbleBlog — where he tracks the latest headlines and developments in the housing market.
By Alasdair Macleod – Re-Blogged From GoldMoney
There are growing expectations that the current cycle of rising interest rates will result in a deflationary recession. While a credit crisis is increasingly likely to evolve in the coming months, it is a highly inflationary situation. A combination of higher interest rates and catastrophic falls in the purchasing power of fiat currencies will continue to plague welfare-driven states in the wake of a credit crunch. The standard post-crisis solution of monetary and fiscal reflation will not be available. This article examines the ultimate consequences of the West’s abandonment of sound money, free markets and wealth creation in favour of increasing state intervention and wealth destruction.
By Steve Saville – Re-Blogged From Gold Eagle
Most warnings about large increases in government indebtedness revolve around future repayment obligations. For example, there is the concern that greatly increasing the government debt in the present will necessitate much higher taxes in the future. For another example, there is the concern that if the debt load is cumbersome at a time of very low interest rates, then as interest rates rise the interest expense will come to dominate the budget and lead to an upward debt spiral as more money is borrowed to pay the interest on earlier debt. Although these concerns are valid they miss two critical points, including the main problem with government borrowing.
By Alasdair Macleod – Re-Blogged From GoldMoney
We are getting ahead of ourselves here. Gold does not circulate as money – yet. It might never do so. Perhaps the end of government currency, fiat money imposed on us by government laws, may never be replaced by what for millennia has been the people’s money, gold. Do we even wish it? Given what we have to do to get there, probably not.
It is hard to think of a life without Nanny State giving us her money-tokens to buy our sweets, telling us what to eat and what medicine to take. But Nanny State is getting long in the tooth. When she was younger, she was less controlling. Her constant refusal to allow us, the ordinary people, to do what we want is an increasing source of friction.
By Mark O’Byrne – Re-Blogged From Gold Eagle
– Gold ETFs saw inflows in volatile October as investors again hedged risk
– Gold ETFs see demand of 16.5 tonnes(t) in October to total of 2,346t, the equivalent of US$1B in inflows
– Global gold demand was robust in Q3 – demand of 964.3 tonnes – plus 6.2t yoy
– Strong central bank and store of value coin and bar demand offset the gold ETF outflows in Q3
– Central bank gold reserves grew 148.4t in Q3, up 22% yoy
– Gold coin and bar investors took advantage of the price dip and demand for gold coins and bars rose 28% yoy
