No Really... its Go Time
Now its just starting to get silly. These psycho liberals are literally going to try to ram everything through. In case you missed it... Obama will try to renew the assault weapons ban.
Showing posts with label Depression. Show all posts
Showing posts with label Depression. Show all posts
Thursday, February 26, 2009
Saturday, February 14, 2009
The Forcast for 2009
Its shitty... very very shitty indeed... and I shall explain why.
Right now as we speak the 2009 federal budget deficit is at 500 billion... and that does not include anything from TARP... or the soon to be past "stimulus". It doesn't include all manner of costs of the current war which are funded on the fly.
What I'm saying is... in 2009 the federal government is going to spend 2 trillion dollars more... at least... than it collects. That 2 trillion dollars will have to be borrowed... and since we already owe 5 trillion... and the rest of the world is in the same pathetic state we are... its quite clear that the "lending" will be done by the Federal Reserve Bank.
It will "lend" this money to the federal government by "monetizing" the debt. That's what they call it when they print money from thin air. The government wants to spend it... so they literally print up how ever much they need and call it a day.
This is new money. 2 trillion dollars of new money.
I want you to ask yourself... what would happen to the price of gold if 2 trillion ounces of the stuff suddenly found their way into the market? You're right. It would drop like a stone. Gold would be worth less than silver.
Now... what do you expect is going to happen to your dollar when they print up 2 trillion new ones?
This is compounded by the fact that GDP is actually shrinking. We're producing less. So the money supply should also be shrinking... in order to maintain the value of the dollar. But no.. we're doing the opposite. We're literally destroying the dollar.
This is how a big recession turns into a Great Depression.
This is how financial systems die.
How will it effect you specificly though? Prices on everything will go up. Way up. They'll double. They'll more than double... because each of your dollars will only buy what .50 cents will buy today.
There is no getting around this. There is no stopping it. This is not a prediction. This is fact.
If you have cash assets... get rid of them. Convert them to something tangible. Gold or silver will go up in price as the dollar's value goes down. You will be protected to a point. The time is now people. You should be planning for the bad times to come with your family. Very few of us are going to be able to make it on our own during these times... fewer still will thrive.
Most will be forced to pool resources... to improvise... to do without.
Buy a pressure cooker.. learn to can... start as large a garden as you can.
If you know nothing about any of this... there is a book called Country Wisdom and Know-how. Go buy it and start doing for yourself. For a few months it may be a fun hobby. A few months later than that... you'll be damned glad you learned from the experience and made all your mistakes when they didn't matter so much.
Time to get to work folks.
Its shitty... very very shitty indeed... and I shall explain why.
Right now as we speak the 2009 federal budget deficit is at 500 billion... and that does not include anything from TARP... or the soon to be past "stimulus". It doesn't include all manner of costs of the current war which are funded on the fly.
What I'm saying is... in 2009 the federal government is going to spend 2 trillion dollars more... at least... than it collects. That 2 trillion dollars will have to be borrowed... and since we already owe 5 trillion... and the rest of the world is in the same pathetic state we are... its quite clear that the "lending" will be done by the Federal Reserve Bank.
It will "lend" this money to the federal government by "monetizing" the debt. That's what they call it when they print money from thin air. The government wants to spend it... so they literally print up how ever much they need and call it a day.
This is new money. 2 trillion dollars of new money.
I want you to ask yourself... what would happen to the price of gold if 2 trillion ounces of the stuff suddenly found their way into the market? You're right. It would drop like a stone. Gold would be worth less than silver.
Now... what do you expect is going to happen to your dollar when they print up 2 trillion new ones?
This is compounded by the fact that GDP is actually shrinking. We're producing less. So the money supply should also be shrinking... in order to maintain the value of the dollar. But no.. we're doing the opposite. We're literally destroying the dollar.
This is how a big recession turns into a Great Depression.
This is how financial systems die.
How will it effect you specificly though? Prices on everything will go up. Way up. They'll double. They'll more than double... because each of your dollars will only buy what .50 cents will buy today.
There is no getting around this. There is no stopping it. This is not a prediction. This is fact.
If you have cash assets... get rid of them. Convert them to something tangible. Gold or silver will go up in price as the dollar's value goes down. You will be protected to a point. The time is now people. You should be planning for the bad times to come with your family. Very few of us are going to be able to make it on our own during these times... fewer still will thrive.
Most will be forced to pool resources... to improvise... to do without.
Buy a pressure cooker.. learn to can... start as large a garden as you can.
If you know nothing about any of this... there is a book called Country Wisdom and Know-how. Go buy it and start doing for yourself. For a few months it may be a fun hobby. A few months later than that... you'll be damned glad you learned from the experience and made all your mistakes when they didn't matter so much.
Time to get to work folks.
Monday, November 24, 2008
The Crash
What you are looking at is a graph of the Baltic Dry Index. Now most likely you have no idea what that is. Basicly its a tool that estimates the demand for shipping world wide. It estimates the price of a standard cargo shipment, and tracks the cost change over time. The higher the cost of the shipment, the higher the demand for shipping.Now this is important... because when economies are working... things are moving around. Stuff has to go from factories to stores... from country to country. Dig? These types of tools tell us a lot about the state of the economy world wide.
Now take a good look. From a high of 12,000 a few months ago... to 1000 today.
Ya know what that means? It means stuff ain't moving around. It means... factories aren't selling goods. It means factories aren't even making goods.
Consider as well... Its Christmas people. This is supposed to be the busiest time of year for shipping companies. Look at the graph. At the end of each year there is a spike. Not this year.
Not good.
Not good at all.
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