The Financial Debacle Marches On

Slowly, but surely, economic conditions in the United States are deteriorating.  It is actually happening all around the world as a result of the global nature of the economic systems that have been constructed and interlinked. In addition, they are all using fiat currencies (i.e., currencies with no intrinsic value, created arbitrarily).  The falling value of these currencies is the result of unrestrained issuance of credit instruments, such as options(especially over-the-counter, custom-made instruments), futures contracts, interest rate swaps, etc.  I won't bore you with all of the technical details, but suffice it to say that things are getting 'interesting'.

I'll just point you to a couple of articles that break this phenomenon down into easy to grasp concepts, unlittered with all the technical jargon that alleged experts use to hide the facts.  This article here already acknowledges the fact that the US Dollar is being destroyed.  I remember hearing that Paul Volker, the Federal Reserve Chairman in the '70s, saying that they were conducting the 'controlled demolition' of the US economy.  From what I've seen over the years, I must readily admit that this is the case.  From my perspective, it would appear that they are preparing to mask the hyperinflation that they plan on instituting in the near future.  Let's be real, they've already been hyperinflating the US currency, but are so blatant with it now that they have stopped publishing the M3 measure of the money supply!  If that isn't a tacit admission of future hyperinflation, there isn't one in existence!  In summary, the article says that the only way that conscious people will save themselves from the destruction of most paper-backed (how's that for an oxymoron) financial instruments will be to invest in hard assets (i.e., precious metals, collectibles, fossil fuels, commodities, and the like).

The other article goes into depth in dealing with the ramifications of the market dynamics at work today.  We will probably experience rising costs for most products due to the erosion of the value of the Federal Reserve Note (aka., U.S. Dollars).  In America, the people have become complacent about the value of the Dollar and its value.  But the days of the power of the American Dollar are now a thing of the past.  Many experts forsee that the Dollar could easily lose 50% of its value in the next year or two.  Uninformed people may scoff at the impact of this, but they won't be scoffing when the prices of everything doubles, all whilst incomes remain the same.  But by the time that these events transpire, it will be too late to protect yourself from it.  That is why I'm referring you to these articles now.  Remember the story of the Ant and the Grasshopper.  You can't prepare for an event after it arrives.  They say that a word to the wise is superfluous.  PROTECT YOURSELF!!!