U.S. dollars have value only to the extent that they are strictly limited in supply. But the U.S. government has a technology, called the printing press (or, today, its electronic equivalent), that allows it to produce as many U.S. dollars as it wishes at essentially no cost.” –Ben Bernanke
The problem is that, as the 2007-2008 experience teaches, the lag between financial turbulence and economic damage may be fairly long, of the order of a year or more. In the meantime, the economic indicators may remain positive.” –Stephen Lewis.
The superior man, when resting in safety, does not forget that danger may come. When in a state of security he does not forget the possibility of ruin. When all is orderly, he does not forget that disorder may come. Thus his person is not endangered, and his States and all their clans are preserved. — Confucius (551 BC – 479 BC)
The Gold and Debt over the next decade chart shows the projection of U.S. debt, assuming gold will continue the same close relationship with debt as demonstrated in the historical gold and debt chart discussed earlier. |
|
|||
ConclusionGold’s price is directly proportionate to the massive amount of debt that is being created to keep the current fiat system alive. This will likely continue until a crisis, such as a severe global recession or hyperinflation, strikes one of the major developed economies. Either event will be bullish for the gold price, but for different reasons. The price is being driven by the physical market in the developing countries, especially India and China. China has to continue buying as much physical gold as possible if they expect to eventually compete for world reserve currency status. CSInvestor: Do you see any problems with the above analysis? |
-
Alternative Media
- 24H Gold
- 321 Energy
- 321 Gold
- Along the Watchtower
- Analysis of the real estate bubble/crash
- Bear Market Centra;
- Before It’s News
- BullionTweet – Marc Farmer
- Chris Martenson Blog
- Contrary Investor
- Daily Reckoning
- Daniel Amerman
- Depression 2
- Downstream Ventures – Petroleum & Energy Markets Forum
- Elliot Wave International
- Fall Street
- FAME
- Fiend’s Super Bear Page
- Financial Armageddon
- Financial Sense
- Financial Sense Energy
- Financial Sense Precious Metals
- Frank’s Blog
- Freebuck
- Freemarket Gold and Money Report
- GATA
- GATA Yahoo Group
- Global Financial Data
- Global Research
- Gold Eagle
- Gold Sheet Links
- Hubbard Peak of Oil Production
- Inflation US
- Info Wars
- Investment Europe
- Investor Links
- iTulip
- King World News
- Ludwig von Mises Institute
- Money News Now
- Pacific Exchange Rate Service
- Problem Bank List
- RKTP Capital Management
- Safehaven
- SGTReport
- Silver Doctors
- Silver Investor
- Solari
- The Bull & Bear
- The Burning Platform
- The Coming Global Oil Crisis
- The CPM Group
- The Daily Crux
- The Dollar Vigilante
- The Golden Sextant
- The Golden Truth
- The Grandich Letter
- The Market Oracle
- The Road to Roota
- The UK Telegraph, Finance Blog
- USA Watchdog
- World Gold Council
- Zeall Research
- Zero Hedge
-
Mainstream Media
-
eNewsletters
- Bob Livingston Letter
- Canadian Money Saver
- Chris Martenson Daily Digest
- Crawford Perspectives
- Deepcaster Fortress Assets Letter
- Dow Theory Letters
- Financial Sense Newshour
- Gary Dorsch’s Global Money Trends
- Gloom, Boom, and Doom Report
- Gold Sheet Links
- H.C. Wainwright & Co. Economics Inc.
- Harry Schultz Letter
- Kirby Analytics Newsletter
- Le Metropole
- Shadow Government Statistics
- Silver Investor Newsletter
- The Aden Forecast
- The Bull and Bear Report
- The Dines Letter
- The Trends Journal
- Wall Street Window
-
Regulatory
3 responses to “Creature from Jekyll Island (The Fed’s History)”