Tag Archives: inflation

What actually is inflation? Is it inherent in a free market economy? Who or what is the cause? Can inflation be stopped, and how? What to do? Most people are desperately confused and searching for answers. Society is facing nothing short of a crisis. Words: 850

This is NOT a business cycle: this is a one-time reversal of twenty years of inflation of the household balance sheet. An aging population needs a 10% savings rate (at least) to meet minimum funding requirements for the biggest retirement wave in US history but, instead, with 17% effective unemployment, many Americans are dis-saving. Words: 332

Gold has been the best-performing major commodity since the financial crisis began and we see no big reason why that outperformance should be over. After its breathless run to $1220, it’s entitled to correct back toward $1,000—or even a bit below that chiliastic level—without ending its bull market. Words: 707

In the contrarian spirit of playing devil’s advocate four reasons are put forth as to why you shouldn’t buy gold today. Words: 553

America's massive debt and unfunded liabilities make inflation the only viable option for today’s policymakers because when the value of future dollars is diminished, future obligations in those depreciated dollars are diminished. Words: 2808

Investors have a short memory, in 1995, the DJIA was around 4000. Today our economy, it could be argued, is actually weaker than it was back then. Words: 427

I am convinced that we are still relatively early in a secular commodity bull market. In fact, with the modernization of Chindia and numerous other less-developed nations, I expect this bull market will be one for the record books. Fundamental demand coupled with inflation will push resource prices to unimaginable heights. Words: 805

Those in the U.S. power structure know what the plan is if the U.S. dollar should fail. They are not admitting publically that there is even the remotest chance that it could happen but, rest assured, there is a plan. There is always a plan. To paraphrase Franklin Roosevelt, nothing happens by chance in government, so don’t be caught up in such a ‘surprise’ event - whatever it may be and whenever it occurs. Words: 1345

We are currently about one year into a two year grace period before people will begin to realize that their money isn’t 'real' but simply 'magic' money. In the meantime the 'smart' money is buying up hard assets like gold, knowing that it is the only form of money that isn’t simultaneously someone else’s liability and, unlike 'magic' money, can’t be created out of thin air. Words: 785

We are about to encounter major inflation and the absolute best hedge against such inflation is by investing in the companies that mine gold and silver. You often get leverage of 2 to 4 times the price appreciation of gold or silver. If gold goes up by 50%, your miners may very well double or triple in value. Words: 1426