Money Worse Than Debt

Everybody has to spend energy, has to work for his living. This is true for Government as well as for the Billionaires and for the ordinary employee. Nothing - except for Sunshine and Air - comes for free. Note that today, sometimes people even pay for sunshine (vacation) and Air (airports in Venezuela).

Not hard to understand that today's fairy tale of “Free Fiat Money” will have a bad ending...or is it? Few people seem to realize the dramatic situation we are in and that the denial is fed by the Propaganda sold by Politicians through the Mainstream media. The 4th generation (see Galbraith's Age of Uncertainty) doesn't seem to be mentally able to grasp the seriousness of the situation the world is in.

Governments and Central Banks (which are like economic Siamese twins) not only print Fiat Money but on top they make the cost to print more money, issue new debt and serve past debt ridiculously low....In reality, Real Interest rates (nominal interest rate less real inflation rate) or the cost to issue more fiat money has become negative. Propaganda must be extremely solid to keep such a mirage alive and absolute no accident may occur.

Bond yields LT 1920

Note 1 : up to today we still don't know what really made the Big Crash of 1929 happen. Some blame the bad state of the economy, others the overextended on margin 'debt' thriving Stock Markets. Fact is we had a Debt bubble like we have today.

Note 2: Bond markets show Huge Top formations and we already have indications that the price has fallen down out of the top.

UST candle2

Modern Money is worse than debt. Nowadays it has a negative value - whoever exchanges it for goods and services, gets automatically mugged! Whoever buys Treasuries and Bonds gets mugged, Whoever keeps money in saving accounts and as bank deposits gets mugged, whoever buys a life insurance gets mugged, whoever buys Real Estate gets mugged, whoever keeps banknotes under his mattress gets mugged...Apparently there is no way to escape the global holdup by Governments and Bankers.

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Chris Kisnik 7 years ago Member's comment
Maybe this could be the best buying point for gold&silver