The author does a goood job of describing the probllem, but for those of us (like myself) who were not astute enough to buy gold three years ago, what are the specific recommendations? I know little about investments, but it seems to me if I stay in the market, I'll get hit when it tanks again. If I move to bonds or cash I will get hit with the inevitable hyperinflation.
(Sorry, I just got a shiver seeing that picture of Jack Nicholson... whew! Talk about a Bear Market!)
The situation in Washington is seriously FUBAR. I can't shake this picture of a house on fire at night and two children in bed. One breaks glass, crawls on his belly, anything, to get out of that house. Meanwhile, the other just pulls the covers up over his head. I've heard firefighters swear the population is divided by whatever difference there is between these two children that may not ever be apparent before the crisis.
“..if I stay in the market..”
Stay in the market, but diversify as quickly as possible. Bonds and perhaps the index of the small caps or the index of the large caps. That spreads your risk. You won’t get rich in one year but you’ll do ok.
Forget the bonds, but do go to cash and learn to trade equities. There isn't going to be any hyperinflation for a long, long time. Credit is more than half of the inflation equation, and it is being destroyed far faster than Obama can print money. The Great Deflation is here.