Posted on 01/12/2009 10:52:06 AM PST by An Old Man
B-b-but that guy on TV says........
WHAT DID I SAY?
MSM were pumping for buyers yesterday & day before
Seems to me that economics is not a mature science quite yet. No one really knows what's going on. Scary.
4later
“Gov’t is the only entity that can take a valuable commodity like paper and render it worthless, merely by applying ink” Ludwig Von Mises
Don’t let small changes in gold prices delude you into thinking the USD can remain strong for the long term. When the gov’t starts issuing the TRILLIONS of $ in bonds they will need to finance the deficit for this year and the ‘stimulus’ package, then we will see how strong the US $ is. Fear has chased investors to the ‘safety’ of US currency, but that will not last much longer. Only by virtue of being less bad off the Euro countries and Britain is our currency strong.
It won’t last long.
We are experiencing deflation at the moment. The Obamunists are planning actions that will soon turn this into a hyperinflationary mess.
Just as in the Great Depression, the money supply has crashed.
During the Great Depression, the money supply contracted by some 30%.
Right now it has done at least the same. How is it possible?
Credit markets have evaporated. Doubt that credit is money? Look in your wallet. That plastic did not exist during the last Depression. A lot of it is gone forever.
You cannot fix systemically broken credit markets, you need to replace that component of the money supply with real cash in a situation like this. The result will be hyperinflationary.
That will be just to plug the holes. Obama will desperately continue to try to spend his way to prosperity a la FDR. Won’t work.
Hopefully the dope will not last as long as FDR. An adoring press and public gave that buffoon 12 years of fumbling with misguided attempts to ‘cure’ the Great Depression and not once threw the bum out of office. His efforts were disastrous and why he should rightfully be known as the architect of the Great Depression.
Never did trust the gold prices because some man behind the curtain makes the rules.
The study of economics is interesting, but useless.
no, economy is science, its just theres lots of propaganda out there. The economist who got things wrong have alot of their wealth in stockmarket/real estate. they want everyone to buy again so they could get out
You cannot fix systemically broken credit markets, you need to replace that component of the money supply with real cash in a situation like this. The result will be hyperinflationary.
Assuming your scenario is correct, and I'm not disputing that it is, just how is "replacing that component of the money supply" even inflationary, let alone hyperinflationary? By your own terms, it's replacing "money" removed from circulation, not in addition to current "money" in circulation.
BTW, at what price should we look to re-enter the gold market? Or, should we avoid any buying at the present time? How can I buy spot gold as the market moves interday?
Never buy Gold on the advice of a man willing to sell you his.
Hummmm... You should have posted that earlier. I think I'm in trouble now. :<(
yeah, all b*llocks aside, msm often pumps a commodity for buyers just before a big sell.
That is called advertising. People pay lots of money to get their message out.
Everyday there are people who sell and people who buy. That is what makes the world go round and round.
Would you say that the whole world is going to go into hyperinflation at once? Who ends up on the top of that heap?
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