The Ruler of the World, by Robert Gore
“We’ve been hearing about debt from Cassandras, Nervous Nellies, and Chicken Littles for years; nothing’s happened!” cries the Chorus, and the Emperor smiles. The Chorus is dead wrong; plenty has happened, none of it good. The more you borrow from the future, the less future you’ll have. Debt has grown faster than production; the future has arrived and growth rates are falling. Unable to borrow its way to prosperity, Japan has been in a recession punctuated by interludes of anemic growth for 27 years. Growth in Europe has been virtually non-existent since the turn of the century, and debt crises loom in Greece and Italy. In the US, Barack Obama left office as the first president who did not have even one year of 3 percent real growth. His government needed to borrow over $9 trillion just to buy a feeble recovery. The Chinese “miracle” has sputtered as China struggles to carry its increasingly heavy debt load.
This is an excerpt. For the complete article, please click the above link.
This is an excerpt. For the complete article, please click the above link.
Precious metals will be made illegal, with stiff penalties for hoarding it and even spending them.
I suspect the only way to really survive is to stay under the radar when it comes to how one has prepared for collapse of the money, become as self sufficient as possible in terms of food production (probably relatively secret hydroponic production), and prepare to live a more minimalistic life while preserving as much quality of life as possible.
Good article, the debt bubble it will burst. Please, next article provide your ideas how the average
Person can prepare for the inevitable.
How much can we cut spending if we increase our pain to near the threshold? What are the terms, interest rates, principle remaining, payoff dates, etc. Can any of this be restructured? Who do we owe? What is the consequences of default? Who can foreclose? What is the impact? How long will it take to see the light? How could all the debtors be convinced to take their medicine? What happens to those that don't?
I do not think there is a feasible plan for surviving the collapse for individuals. Perhaps a small civilian society protected by the entire US armed forces as they are composed today could stand a chance of survival but mostly the world will revert to something like the dark ages or worse.
Like a gambler betting everything on the next big hit!
The Emperor will not let us manage our own Social Security. If knowledgeably invested by the individual there would be more money for retirement. Taxing Social Security is another theft.
Most people fail to respond to the main truth missing -- NOBODY signed for this or any other part of this huge "national debt". The Rulers manage to print and borrow and spend money, and con we "citizens" into believing that their bills are are ours to pay. Not So! The real answer lays within this statement.
I will be re-pubbing your good article on my own website. I have been saying about the same for several years but have yet to trouble to write a book.
Who could doubt that the USA "is too big to fail."
Meow!
There used to be a libtard who wore suspenders on The Five on the Fox News channel. Asked about the national debt, he just shrugged and said it did not bother him.
Meow!
I have a scheming play the ends to benefit the middle tomcat that I recently found out I kinda share with a neighbor. I call it it Moocher. Watched it bat around an injured bird it caught. Nature can be evil.
Moocher finally got around to ripping out breast meat for a meal. That part reminded me of what I do after a dove hunt. No, I cook the meat. Ahem!
Waiting for the day we all get cooked by Emperor Whiskers.
Meow!
As far as "Nature" being evil...no that's just nature/survival, a nature mankind was supposed to be better than seeing both mankind and moocher were born of earth and nature. Mankind was given the choice to view and change his behavior but sadly...not everyone got that message...must have been out of cell range without a "gotenna".
In response to your Meow...I have to retort: wimper, wimper...where'd the boob go...allllll night long!
Little Buggers are already getting under one's skin.
This seems different from the basic theory of our banking system. Take a simplistic example with one Bank. Investors write a check from the Bank to a company who desposits in the Bank. They write the check to vendors like me. I pay employees and vendors who deposit it in the Bank. All these people are doing work for one another with that money that's moving around in the Bank, while the Bank can invest 80% of it in other ventures. All these market participants people use the Bank to trade their services, all creating value that did not exist before. This seems like a reasonable way to manage medium of exchange in a world where value isn't a fixed pie, like the amt of arable land but rather something we create by finding new ways to serve one another in mutually-agreed trades.
In your article, you talk about buying growth with gov't borrowing, as if they were highly correlated in the long-run. Borrowing can stimulate the economy, as loose monetary policy can, but the banking system isn't the main driver of growth. Growth comes from people inventing technologies and scalable business models, i.e. creating new ways to get people want they want, creating value. Banks just give them one tool to do that.
A simple way to show you can't associate all growth with borrowing is that the federal gov't was borrowing a lot (12 digits, holy man!) during the financial crisis, when the economy was not growing. That's be cut to something like $400M (still staggering, but much less), and the economy is growing. It's just the economic cycle. Loose fiscal and monetary policy did their jobs priming the pump. Our structural deficit is a separate problem. You could have a structurally balanced budget, and still use fiscal policy as a tool to prime the pump or shut off the open bar when the party gets too crazy. In practice, though, when the time comes it's hard to shut off the open bar, esp with fiscal policy since Congress responds to political pressure more than central banks.