fiat money Archive

  • We have two camps arguing with each other and at the core of both is the assumption that government is in control one way or another. I disagree. The people are in control and those in power are there ONLY until they go too far. A revolution always takes place. There are no exceptions throughout history. In the end, the people must consent to be ruled and it must be a rule that is fair and equitable. Whenever politicians, dictators, or kings forget that they require the consent of the people to rule, that is when they fall.

    Mainstream vs. Austrian Economics

    We have two camps arguing with each other and at the core of both is the assumption that government is in control one way or another. I disagree. The people are in control and those in power are there ONLY until they go too far. A revolution always takes place. There are no exceptions throughout history. In the end, the people must consent to be ruled and it must be a rule that is fair and equitable. Whenever politicians, dictators, or kings forget that they require the consent of the people to rule, that is when they fall.

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  • The stock market or monetary issues do not create depressions. You have to destroy the bond market for that is where capital resides typically at least 10:1. Once you take out the bond market, that deleverages to the real estate market and now you have undermined not just the investors, but you wipe out the savings of the population as a whole. People just begin to walk away from property as taxes rise. This is how Rome collapsed; the city of Rome fell from its peak of about 1 million inhabitants to just 15,000, and in the process, real estate became worthless.

    The Risk of Real Estate – Forget Derivative & Fiat

    The stock market or monetary issues do not create depressions. You have to destroy the bond market for that is where capital resides typically at least 10:1. Once you take out the bond market, that deleverages to the real estate market and now you have undermined not just the investors, but you wipe out the savings of the population as a whole. People just begin to walk away from property as taxes rise. This is how Rome collapsed; the city of Rome fell from its peak of about 1 million inhabitants to just 15,000, and in the process, real estate became worthless.

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  • In this current environment where money are mostly digital, access to banking, especially electronic banking, is crucial. One of the main advantage is ease of use. But the other aspect of electronic banking is something that most people not aware of. Every transaction can be monitor, recorded and stored indefinitely (storage is not an issue since storage cost per GB has drastically reduced). Which means that people with agenda on their mind. It is not always the government that is interested in the information but other special interest group like bankers, corporation or any entity with deep pocket money (since the data can be package and sold to the highest bidder). But government are the most happy bunch of all groups since they can maximise their tax collection! Compared to now where government depends on 'honesty' of its citizen to report their income. A little bit of scare tactics also help in collecting the tax but its nothing compared to sitting in front of monitor and seeing every transaction done by each of its loyal subjects and clicking on each to mark as taxable!

    News – Better access to banking services

    In this current environment where money are mostly digital, access to banking, especially electronic banking, is crucial. One of the main advantage is ease of use. But the other aspect of electronic banking is something that most people not aware of. Every transaction can be monitor, recorded and stored indefinitely (storage is not an issue since storage cost per GB has drastically reduced). Which means that people with agenda on their mind. It is not always the government that is interested in the information but other special interest group like bankers, corporation or any entity with deep pocket money (since the data can be package and sold to the highest bidder). But government are the most happy bunch of all groups since they can maximise their tax collection! Compared to now where government depends on 'honesty' of its citizen to report their income. A little bit of scare tactics also help in collecting the tax but its nothing compared to sitting in front of monitor and seeing every transaction done by each of its loyal subjects and clicking on each to mark as taxable!

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  • 3 minutes to explain and 60 years to get to this point. There's a documentary on America's crumbling infrastructure that illustrates that when experts speak of 'collapse' the process takes many years before it becomes suddenly evident.

    World Collapse Explained in 3 Minutes

    3 minutes to explain and 60 years to get to this point. There's a documentary on America's crumbling infrastructure that illustrates that when experts speak of 'collapse' the process takes many years before it becomes suddenly evident.

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  • In order to make good investment decisions, it is necessary to be firm and resolute when you believe you have already made the right move. As tempting as it is to reverse your decision, based on minor daily fluctuations or distractions from the news media, it usually proves better to ride it out, and stick with your decision.

    The Economic Rodeo

    In order to make good investment decisions, it is necessary to be firm and resolute when you believe you have already made the right move. As tempting as it is to reverse your decision, based on minor daily fluctuations or distractions from the news media, it usually proves better to ride it out, and stick with your decision.

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  • With that description of smart money, the next logical question to ask is, what are they looking at now? To answer that question, understand the time horizon they have in mind. They’re not looking at next week or next month like a trader would, nor so far out that it will take the rest of their life to realize a profit. The smart money is looking at the likely trends over the next few years.

    Are You Smart Money?

    With that description of smart money, the next logical question to ask is, what are they looking at now? To answer that question, understand the time horizon they have in mind. They’re not looking at next week or next month like a trader would, nor so far out that it will take the rest of their life to realize a profit. The smart money is looking at the likely trends over the next few years.

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  • Stick with the guys that know whats going on. Look at it this way; those that know whats up will be praying for a selloff to buy more physical, NOT waiting for it to go up to buy more. This is clearly NOT a bubble or anything anywhere near it. The only bubble remaining to be pooped is the $US as, that, in my humble opinion is still overvalued by 100% of its current value.

    The Silver and Gold bubble

    Stick with the guys that know whats going on. Look at it this way; those that know whats up will be praying for a selloff to buy more physical, NOT waiting for it to go up to buy more. This is clearly NOT a bubble or anything anywhere near it. The only bubble remaining to be pooped is the $US as, that, in my humble opinion is still overvalued by 100% of its current value.

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  • From the bears who explained quantitative easing so that even CNBC anchors now know what POMO is, comes the follow up: Inflation explained. So easy that no Ivy League Ph.D. is guaranteed to understand it.

    Inflation Explained

    From the bears who explained quantitative easing so that even CNBC anchors now know what POMO is, comes the follow up: Inflation explained. So easy that no Ivy League Ph.D. is guaranteed to understand it.

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  • This is even more interesting when you consider that it’s the ETFs where most of the public – especially those that are new to the market – first invest in silver. So while the metal has doubled in the past seven months, total investment in the funds is still far beneath many popular blue-chip stocks.

    Silver Is Getting Too Popular… Right?

    This is even more interesting when you consider that it’s the ETFs where most of the public – especially those that are new to the market – first invest in silver. So while the metal has doubled in the past seven months, total investment in the funds is still far beneath many popular blue-chip stocks.

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  • We believe much of it stems from a widely held misconception that gold is forming a financial bubble. It’s a fairly straightforward view – that gold buyers are merely foolhardy speculators buying on a whim with no rationale other than to sell to the ‘greater fool’ at higher prices in the future. It’s a view that assumes that gold has no intrinsic value and is simply a speculative asset that has captured investors’ imaginations.

    Eric Sprott Debunks The Gold Bubble Myth

    We believe much of it stems from a widely held misconception that gold is forming a financial bubble. It’s a fairly straightforward view – that gold buyers are merely foolhardy speculators buying on a whim with no rationale other than to sell to the ‘greater fool’ at higher prices in the future. It’s a view that assumes that gold has no intrinsic value and is simply a speculative asset that has captured investors’ imaginations.

    Continue Reading...