Capitalism is going down the Grand Wazoo forever.
Reader comment on: Sizing the Gold and Silver Bet
Submitted by James Barclay (United States), Apr 8, 2011 06:35
Diversifying your portfolio with gold and silver is a great thing, but not as itself. English form Capitalism will be history in just a few years. The natural protection a country has when its commerce goes truly international is to float its currency. The problem with that is that a 'perfect storm' of representative currency sinks, not lifts, all boats. In today's power politik of finance, the defense is print, print, print, borrow, borrow, borrow, tax, tax, tax and spend, spend, spend. And the idea so common since the 1960s is that whoever moves the most money the fastest wins. and the best way that works is to move it so fast and in so many directions that no one can keep track so that you can get away with as much as you can (re: BCCI, Enron, Bear Sterns, et al) and they all fall down. Now the trick has been to get bailed out, take that money and reinvest it in bonds and certificates, the do the "Hedge Fund", insuring both sides against the middle thereby making money no mater which way the wind blows- and that's how it paid off the bailout money to the Treasury so fast; It just moved more money. China is up to its jaws in dollars and frankly wants to bail itself out. It knows the devalued dollar is worth less to them as well as anyone else- and many businesses and organizations will no longer take US$. They now want the Yen, the Yuan, the Australian Dollar and the Brazillian currency; Be it no wonder that even Madonna will not sign a contract for US$. Only Euros. Canada now hates the dollar and is beating its financial drum loudly to be a member of the European Union. since there is no law here that says a person or business must take $US, one state is seriously considering including a certain foreign currency in its treasury. In Western Massacbhusetts' Berkshire County, there is a new money they have devised themselves called "Berkshares". citizens and businesses there belong to a group that relies upon stable investment and membership. I do not know the price of a Berkshare today, but it is worth more than a dollar and every unit is backed up by some sort of solidity (I should think gold, silver, platinum, copper, nickel and antimony). The $US will soon nolonger be the "standard measure currency" of the world as it has been since WWII. That may be replaced with a new currency and a new name governed by a central bank, an international BOD of financial experts and have an accounting dept. the likes of which even our own GAO has not seen. Electronic trading will be highly confined and completely different. (See Linux server blogs for this and what the South African billionaire genius and inventor of Ubuntu Linux is involved with, Mark Shuttlesworth). Adam Smith was the farseeing wizard who wrote "Paper Money" and Milton Friedman, the Nobel economist warned us all. And I am hearing that even Warren Buffett himself is coming around. (The father of Value Plus Investing). things must change and change soon. Everyone will suffer and we know it. but who will be prepared to adjust and suffer the least because of it? And who will die? Have hope, and even an aetheist knows how to pray.
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|⇒ Capitalism is going down the Grand Wazoo forever. [562 words]||James Barclay||Apr 8, 2011 06:35|
|Precious metals [108 words]||Jeff||Mar 24, 2011 13:19|
|Hard assets [137 words]||Larry||Mar 18, 2011 07:51|
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