Bernanke’s Secret Debt Solution

Please explain why by borrowing more and more money (and printing more money) weakens the dollar for us in the U.S. and reduces what is owed to foreigners that hold our notes?
Secondly, by virtue of this weakening, why does that automatically result in inflation? I personally do not see prices up 15% ytd.

Larry:

A few questions: 1) I received the Deceember issue a few days ago. When do the monthly issues go out?
2) Referring to the “real wealth portfolio,” I see Gammon Gold with an entry price of $6.58 and a stop at $7.18; PHO entry price at $12.48 with a stop at $15.08; UDN entry at $24.88 with stop at $27.31. I don’t understand the stops being higher than the entry price. Please explain.

Thanks,
Richard Schneider

I know that in the 30’s that the government called for all gold to be turned over to the Govt.

Do you think that it is likely to happen again?

Do you think that they would go after silver the same way?

Thanks,
Bob Reeves

Larry,
I would like to know what you think of investing in coal right now, specifically American Energy Company , symbol AENY.

My best guess is to get into international equities not only will you get a good return but when you sell you should earn a big currency translation profit on a declining dollar.

I agree with you assessment and want to proactively take steps to position myself to protect my family’s finances and prosper during these times. What actions do you suggest?

Bests Regards,

Bill

I have saved my money all of my life (now 57) and although not financially wealthy by any means, I’d like to keep and grow what I can instead of losing it. Please help!

We read your newsletter and take your advice….we are investing in gold and silver mines,
as well as Canadian Oil and Asian Markets (401K Vanguard)….does this protect us at all, without owning the bullion? We are in our very late 60’s and are doing our best to protect what we have.

Thank you for your help.
wyn harter

As for the ‘former American’ economy, my thirty plus years of business experience, for what it is worth, tells me we have reached point-of-no-return with such insurmountable levels of debt. China (Asia) is growing an economy that will no longer need us….our return on their investment in the U.S. is like buying an oil well on fire and hoping ot put it out before all of the oil is depleted. I am fromer military, served honorably in the Middle East and a realist!
I do think there will be a short-lived rebound, but a falling dollar and inflation will be close
on the tail of that short-lived rebound with another recession.

This stuff does indeed concern me greatly. However, as a six-months-unemployed 40-something guy who’s pondering liquidation of a small portion of his 401(k) to fund my expenses and debt service for the next few months, in part due to the rising cost of healthcare, insurance, and living costs, I’m concerned about where to put the rest of my retirement money. I sometimes feel like it should be nowhere but in Treasuries and State-issued bonds, but even those are scary.

The above “preamble” just about states my position exactly. I want to invest in gold and foreign currency denominated assets to protect my money. What can you do to help me?

So what is it that Weiss Research can do? Had the hell scared out of me ten years ago when the Glass-Steagall plug was pulled and replaced by Gramm-Leach-Biley Act.

your market insight is on terget, but patience and discipline are needed. So many “empty suits” preach the part line on TV and other medias.

I have followed your advice, and am patiently waiting for the explosion upward in gold and natural resources.

All our lives, my wifw and i operated on principles taught by our parents, that debt was a four letter word. no credit card debt, if we couldn’t maintain a zero balance at the end of each month, we didn’t buy it.

For so many years, our savings have been destroyed by, the government’s outrageous spending, and artificially low interest rates.

For the last 4 years, i have been buying GLD, SLV, AUY AEM, FCX, VALE, CDE, HL, IAG, POT, AGU,
FXI, PGJ, ERF, PWE, SU on what i considered “dips”. The pay day is just around the corner!! Thanks

Larry,
The only way to ameliorate the current untenable situation and eventually get back to a sound fiscal policy is for “WE THE PEOPLE” to get rid of the bums in Washington and the state level also. We must replace them with politicians that adhere to the Constitution and do the people’s work. They must be responsible to us because they work for us and it will be up to all of us to hold their feet to the fire whenever they stray from the fundamentals.

Republicans and Democrats have been equally bad, perhaps we need a third party.
Regards,

Julius Gagliardi

I agree with D J. We need you to give us answers! Gold and Silver bullion are the obvious answers along with inverse dollar funds such. ANY other recos?

I have already moved a sizable percentage of my investments into precious metals and am muling over “considerably overweighting”. What other strategies are not “in play” given the situation?

dear larry…..do you still believe the gold will be the foundation of a new currency, or will it be a basket of hard commodities like timber, copper etc

Larry,
The dollar is dropping off now and we have a brief respite due to artificial government stimulus. Yet, this recessionary/deflationary/depressionary force still has a lot further to go and it will overpower any attempts to inflate (3 more waves of residential foreclosures, commercial real estate collapse, construction loan defaults, more unemployment, more bankruptcies, more bank failures, banks continuing to hoard cash and not lend, government deficits, trade deficit, no growth, unfundable government obligations, toxic assets taking their toll on banks and pension funds, etc. etc. etc.). Thus, I see a big spike coming in the dollar because all of the above will send everyone running back to the USD for security. After THIS PERIOD is when inflation will begin to encroach upon us and the remaining value of the USD will be decimated. It is key that one is alert to when this final creeping or super hyper-inflation begins and is able to take the necessary measures to protect their wealth… as you wrote, this will be the most important action and decision making in one’s lifetime… you’ll either survive or be wiped out. I ask two things of you… 1) Are you or are you not in agreement with my forecast (I need to know because I’m using the above as my guideline); and 2) What does one do with their cash, assets, etc. to protect their wealth before the tsunami of inflation hits? Thanks, Alfred
Alfred@greencafe.com

Mr. Weiss himself needs to provide a plan to Obama, and leaders in Congress,
including Ron Paul!

Our debt is so monstrous, it’s too late to save our present system methinks.

We may need a new worldwide financial system based on some proportion of gold, silver, agriculture products, oil, etc., to back any fiat paper., with no more cartel private banks operating outside our Treasury Dept. But we must retain our U.S. Sovereignty and operate within our Constitution.

Hi, Larry!

I have reasoned that getting out of the USD is the safest strategy, and have pretty much implemented that move. The problem, though, is to find good income investments — as opposed to growth — in other countries and currencies.

Cheers,

Kent

Hi Larry,

Thanks for your interesting and straight forward articles.

My key question is can you suggest effective ways as individuals on how to minimize the impact of sliding dollar on our hard earned money and protect our family from this imminent “disaster”?

Would opening a bank account in a foreign currency (either in this country or in its native country) a viable solution? If yes, which currency country and what percentage of our asset and how liquid you want it to be?

Appreciate any suggestions you may provide.

God bless you and what you do,

Paul

As stated in my post yesterday, I was wounded in service at the World Trade Center and I am unable to work. This unfortunate fact simplifies my situation, which can be summarized as follows:

MY JOB is to continue a sensible, debt-free lifestyle, using the fixed income I receive, and acumumate excess capital for investments designed to mitigate the wealth-destroying policies of my government,

YOUR JOB is to find those opportunities, and offer specific advice concerning those investments. I happily compensate you for your services, with gratitude.

It is good to good, Larry. - John

NOTE SIMPLE RULES OF LENDING AND BORROWING :

When you owe the world a billion dollars ,its your problem .

when you owe the world a trillion dollars ,its the worlds problem .

America has no problems i think . Except only internal problems which it is incapable of solving and that is having Political class which is capableof acting within the constitution and accountable to the people .

Within next three years i think USA is going to split into four parts like the USSR .

STates like ,The north and South DAKOTAS and other states which have absolutely no crisis on their hands are going their separate ways with their own currency .

………………..

Best to pack the bags and move to such states along with your dollars buy some cheap spread and housing with a garden .

What more one needs .Grow your own fruits and eat .

Dear Larry: I so much appreciate your insightfull analysis that you post. I am seriously considering coming to Jupiter, Fl to meet with Weiss. Here is my delema, I have a very large cash fortune in a foreign back. It is all in US dollars. I don’t want to see it all evaporate. I need a plan to protect its value in light of the disater we are in now. Should I take steps to put it in another currency or will they be in jeprody as well as the dollar as the US market collapses? Natural resources retain there value. I need a plan and people who can carry it through with a protective eye. Would appreciate your help. JR

KEEP UP THE GOOD WORK, MAYBE WE CAN CORRECT THE PROBLEM

Of course, Washington could:
- Let the banks fail;
- Let business fail;
- Let millions of jobs go down the tubes
- Let us all live in tent cities
Then those who are really smart with their money will have thier pick among the serfs as they buy up businesses for pennies on the dollar. Real good thinking. Of course with nobody left to make the tents, all the serfs would be back in mud huts raising chickens and pigs to stay alive. Real good thinking.

Ordinary people must do the best they can to curtail the power of the -industrial cartels.

Some of the companies in the cartels seem immune to influence from ordinary people because they feed almost exclusively on subsidies and graft.

Others may still be influenced by the parts of their trade that consumers could affect.

Use any ground available to grow useful plants, animals, fungi, insects, etc.

If the dollar becomes irrelevant, we will need food, natural, low or no-side effect medicines, and skills for trade with our neighbors.

Dump the big banks and become affiliated with a local credit union where you get to know the people and the business practices.

When local credit unions lend with land as collateral, they naturally stay close to the collateral and have a direct vested interest in the health of the collateral.

Between 220,000 and 250,000 deaths per year are attributed to activities related to alleged medical treatment in the U.S. (search iatrogenic statistics). Barbara Starfield and Lucian Leape are researchers who have been published in peer-reviewed journals regarding this issue.

The development of low-side-effect treatments will add to quality and quantity of life, without the painful and sometimes lethal side effects we now deal with.

Incredibly productive researchers such as Paul Stamets, a noted mycologist whose presentation at TED (Technology, Entertainment, Design) is easily accessible on the internet, are receiving increasing international scrutiny and cooperation. Interest in mycelia has mushroomed (pardon the pun).

City Riparian, an event organized by City Repair, in Portland, Oregon, plans a tour of front yards converted from lawns to gardens. This event will occur on October 9, 10, and 11, at various locations in Portland.

An incredible diversity of local, grass-root remedial efforts are becoming available for those who are looking for projects to pour constructive activity into.

I feel incredibly blessed to live in this place where such interesting experiments are going on.

I find it increasingly annoying to hear people lay all the blame for our current troubles on Pres. Obama.

This crisi has a history! It goes back to the right wing “ownership society” campaign which was ballyhooed by the right wing talk radio heads as awell as Pres Bush right up to the collapse of the housing bubble and the uncovering of mortgages held by people who could not afford them. So, of course, we have to include the financial industry which was busy earning bonnuses on mortgages that htey knew would be in default shortly. A wonderful demonstration of the abuses by unregulated capitalism.

The money printing goes back to Pres. Bush’s concept that you could wage war on credit instead of paying for it. Now all those angry “patriots” who bullied their way to debt rather than fiscal responsibility and financial sacrifice to fight the war, are the same people who are attacking Pres. Obama for trying to get us out of the mess he inherited. We gave people tax cuts instead of meeting our obligations. And now, of course, we have discovered that the wonderful boom of the past administration was all a housing bubble. If financial institutions had been responsible, the whole eceonomy would not have collapsed when the housing bubble burst.

I know that this does not solve the problem, but let’s put the blame where it belongs.

Oh, yes. My retirement funds have been growing back since the beginning of Pres, Bush’s recession. Who gets the blame for that?

Aren’t I, as a 76 year old retiree, sorry that I couldn’t put my social security money in the stock market along with my 403(b) funds? I could be in really good shape, couldn’t I?

Richard

Dear Larry,

In addition to letting us know what’s always happening in Gold and Petroleum, how about “weekly” updates on specific “food items” most American consumers use. Also, give us weekly updates on where the single family housing market is at, for those of us who wish to move and purchase another home. The everyday expenses are a little leak in the lives of “everyone”. And, we all know that little leaks sink big ships! You know best what you are capable of doing and how you can do it. So, if it will fit, please figure these two factors into your work equation.

John in Texas.

You all did love this country once, not without cause, what cause witholds you know to fight for it - America, America, our judgement has fled to to unknown beasts and Americans have lost their reason, my heart lies in the cofin whith Old Glory there and I must pause till it comes back to me !

Larry,

You’ve stated the case very well. The political answer is the poorer we make the country the more they will have to reley on the government. In stead of dumbing down like they are doing in our schools, it pooring down the average investor. How in the world are Americans even thinking of spending money on the “Global Warming” or free health care for all. Have we all lost our minds?

JJ

the last war was the civil war among our own country, it seems like we are going to have to have a civil war against the congress and obama, they are calling our people names and treating them like
dirt, I can forsee the people uprising and fairly so. it’s the only way to take back our country, it is leading with no alternatives it this continues.

No offense meant Larry, but I am sick to death of hearing Washington has no choice but to inflate. They can choose to be honest. They can choose to realize that history has shown nothing for out-of-control fiat currencies except abandonment. They could cut the government down to constitutional size. Supposedly around 1900 government spent $3 for every $100 in this country, around 2000, $40 and now around $50. We are wildly overgoverned in this free country at government being 50% of the economy. What works for individuals will work for government - hard work, honest dealing, obeying the law (constitutional restraints) and living well within your revenue. Way out thought: we could do away with taxation if the government had not spent the money on Vietnam, Iraq, the welfare system, space program, etc, but instead saved it and lived on the interest!

Larry;
Read and learn from your emails. Love them
________________________________________________________________________________________.
The other reason to cheapen our dollar against foreign currencies is employment. The disparity between lower individual countries workers wages and our US workers will narrow as the dollar becomes worth less. We will add workers to make products in the USA as the production man hour costs close.to that of American workers.
National health care will be measurably less expensive with the Obama plan and will enable employers to provide health care without having a significant negative impact on market product prices.
I am a manufacturer and make products in Asia. By next year we will begin to make products made by American workers here in the USA.
The made in the USA label will begin to have an impact on product sales especially if the import products have similar prices to those made in the USA.
This is the beginning of the great worldwide equalization where ultimately people will spend their money on product uniqueness not price. Look over the horizon, positive change has begun. .
Again thanks for sharing your knowledge.
Steve C

Larry,
We have just subscribed to your service and don’t know WHERE TO START. We also subscribe to the Weiss Million Dollar Contrarian.
We are retired but have cash to invest and $90K in gold bulion.
Hope to hear back soon.
Thanks,
Donn

A couple of ideas to protect your wealth:
1. buy goldmines (HUI) or gold
2. buy UDN: an ETF that gains in value as the dollar slides down
3. put some money in a savings account in foreign currency (euro ?? / swiss franc)
4. make sure you do not own dollars by the time hyperinflation hits you

Invest in understanding how the markets work and put that knowledge to your advantage.

Larry……..I’m thinking what you have been doing, keep on doing. Telling us in the simplest way possible how to manage our money:
What to buy.
What to hold.
Where to put money ( for the long term) in its safest environment. ( an aside here: there are many people who simply don’t know how to use options, short trades, or know how to take short-term risks making big bucks, fast ). Simple, intelligent strategies…….. Thank you , thank you , thank you!

Being new to investing, I was wondering: with our economy hitting the toilet in the not too distant future, will it matter if we make it money in the market? That is, if the dollar is worth nothing, how will we profit when we cash out? We would certainly lose on a currency exchange rate.

Maybe I am missing something very obvious, but should this be a matter of concern?

Dear Mr. Edelson,
I just wish to congratulate you for the fantastic, balanced and truly informative articles you’ve made available to us, your readers. They are really indeed master pieces, and of course a great tool. All the best and keep up the good work. Tks .

Hi Larry,

I have rental property that for the most part is paid off. I believe that gold and silver are a good hedge for the up coming inflation rage. I have lived in Mexico when the office of president was changing during Echeveria sp was exiting. All the Mexican middle class were caught with their pants lowered.
Run away inflation was rampant. The peso declined and the middle class became lowermiddle to lower overnight.
They lost everything and The ex-president wound up with most of the ocean front property in Cancun in his coffers through his wife.

The people that made it out ok were smart to invest in the U. S. their pesos held their value and they possibly profited in the disaster.

I believe that foreign investment is wise, however one would have to do a great deal of research on his or her own to weather the storm.

I suggest moving hard assets across the border into Canada even if they are in a safety deposit box. Make sure your property is paid for if you don’t have a steady income. All property has a value even if you have to turn a single famly dwelling into a two or three family dwelling. Have sufficient cash reserves on hand to pay those debts that were incurred before run-away inflation. I am not a big stock advocate even though there is certainly merit in investing out of the country. We are being communized at an alarming rate of speed.

Large cities will not be the best place to be as crime will escalate not because of increased poverty but because a schisim has been planted to devide the productive from the unproductive. Class envy will fuel the tide and the young will trurn against the old blaming them for their lack of upward mobility in our brave new world.

We are headed towards interesting and challenging times.

You may want to access a foreign country as a resident until the current insidious tide changes.

C. Carter

Dr. Weiss got me into cash, and a huge thank you to the Weiss staff for all their help through the scarry market times. Now what do I do with the cash?

Hello!

I have been shorting the stock (esp. financial) waiting for the time to get out. I do not know when. Thanks!

As crazy as it seems we,the consumers,stop spending and tell Washington that foreign countries will no longer receive our money for items that are manufactured outside of this country.We should all work together to stop any kind of Washington control of industries and stop the special interests from forcing their agendas down our throats.Its a very general idea but that is a start for getting our balance sheet in the black.

Larry;
We know that Brazil was a financial basket case, like the US is now, not many years ago. How did they succeed in becoming a fiscally sound nation in so little time? This is something we could all learn from.

Larry-

Agree with your comments. You spend time in Asia, what do they think of our situation, and how soon before they avoid investing in dollars, and hedge using commodities or another global investment source?

Pope

Putting all blame aside, for there’s plenty to go around, what can anyone of us do? I am a retiree with adequate income now to meet my needs, but taking into account what you have posted, this is the most alarming thing I have seen in my lifetime. Again, I ask, what options are there to avoid complete disaster?

it isn’t what you can do but what we can do. as for me i believe that food home grown is the best protection. you can’t eat your gold, but we need to get out of debt, pay off banks on land, but you will never own the land, as long as gov. can impose taxes on your land they really own it, but we can grow food for iour families, so don’t buy that chinese junk put them in their place erase debt. a bag of gold will buy a loaf of bread.

The unfairness of the borrowing and other actions by our president and his followers, is extremely unfair to this Unuted States . Every thing the people of the United States have worked for has been torn down and chaos has emerged.
We would have done better to have another depression like that of 1929 .
We could manage through that as we did before. As it is now , I believe the depression will continue, and all that has been done, will only delay the present depression. Nothing has been done to stop it. The greatest problem is families out of work and with so many industries transported to foreign countries and with cheaper labour there, why would those companies return to the taxes charged and high wages paid in America. America has become a nation of spoiled rotten people. Designer clothes and shoes and bags do not create college minds, Disciplining ourselves does. Children are not disciplined or taught respect so why would they treasure or even use the word respect? Why not have a temper fit while mom is home. She is not there much and a temper fit brings craved attention. Children are growing up with role models shown in movies etc. Honesty of Abe Lincoln and George Washington are not even taught any more. Moms cary their work load and try to raise a family with very little time to think about the problems ther children have and often those problems are not addressed or solved due to lack of time. It might help to get back to basics and not crave some of the costly things we strive so hard for, and that includes our nations out of control spending. If we dont, little kids growing up now, will Never ,Ever, know America as we have had the great privilege of knowing America.

So where does one put his money. I do not trust the banking industry when it is controlled by government.I have all ready got some silver but it is getting heavier, and heavier.

Larry, I am a long time subscriber and fan of yours. I read on Gold World website that there is going to be an important meeting on Dec. 7 in Denmark. It is called the COP 15. Do you know what thisis all about? Thanks for replying if you do,
Alan Ginsberg

Larry,
Yes, our government is devaluing our currency as the solution to the deep, deep hole in which it, particularly Congress although with the ‘help’ of our presidents, has irresponsibly gotten us into. At this point, what other choice do you think they have, if ANY?

Mike
Reston VA

How about addressing the dilemma of senior citizens who need to generate monthly income for retirement living after retiring from private-sector (non-government) jobs where pensions are pretty paltry these days (especially as compared to the bloated pensions of our politicians and civil-service bureaucrats).

Are there any high-yield solutions you endorse (recommend) in the United States or elsewhere which might outpace conventional equity dividend income and keep up with inflation (e.g., energy Limited Partnerships, or shipping stocks like Frontline which pay high dividends in inflationary times)?

As a UK citizen when and how to hedge whilst holding US stocks and ETF’s

read Nostradamus.. There is plenty to read concerning the economy of this period.. What is needed is the genetic bomb and nuclear war to finish the job. The economy of sub sahara Africa will look good

I recommend putting at least 10-25% of one’s assets into Precious Metals (the more the better, as cash is well on its way to being trash):

(1) Buy physical gold and silver and store it in a safe place (preferably not a bank safety deposit box).
(2) Buy Shares in CEF (Central Fund of Canada) and/or GTU (Central Gold Trust); CEF holds gold and silver bullion in equal amounts and GTU holds gold only in independently audited vaults. These are more trustworthy than GLD or SLV, both controlled and/or manipulated by JP Morgan, Barclays Bank and who knows who else and in all likelihood do not hold the bullion they claim to have. CEF/GTU are sister funds and appear to be untainted by the usual Wall Street Mafia.
(3) For the more adventurous, Junior PM stocks may be a good bet, but those who are risk averse or unwilling to do the research are advised to stay away. Also, trusting Wall Street even with junior gold mining stocks requires a leap of faith.

If what you are saying about the Dollar is true (and I have no reason to doubt it), there are really no other safe places to store one’s assets at this point in time. That includes including US Treasuries, since they are redeemable only in soon to be worthless dollars. In addition, they pay virtually no interest. Bank CD’s/money markets are even worse risks and pay little interest, except in a few rare instances. I do have some faith in Everbank and have some cash invested there, but Caveat Emptor, as always.

Dear Larry,
I agree with your conclusions regarding the dollar and the economy. I think we are heading for a slow motion rerun of the Wiemar Republic. I hate to say this but I see no other outcome. Form this point on we will deviate from the US Great depression scenario and follow Germany’s instead. I hope I’m wrong, but I don’t think so.
I enjoyed your comments on the gold market about the nature of this market to lure people in. Keep up the good work. Steve

I have worked for 60 some years to build up money to live on. most of it in u,s. dollars. how do i save myself?

The solution is to reduce the deficit .

1- eliminate expenditures for overseas bases , the army, airforce and navy ; as well as CIA, NSA, and National Security Establishment in Homeland Defense department.
2- Increase education expenditures among everyone so that creativityof the population can be released into the real economy.
3- eliminate healthcare insurance.
4- Tax at 70 % all billionaires who received Fed Funds and Tarp funds that created the $13 Tfillion deficit..
5-Eliminate the Federal Reserve.
6-

The USA is way past due for a Constitutional Convention - We the People need a third major political party that would draw the best Democrats and the best Republicans - to hell with the big tent philosophy - these things can’t happen soon enough so we can thumb our noses at the LOONEY LIBERALS (liberal with other peoples money) & the RAPECIOUS CAPITALISTS (who run the CASINO WALL)

Dear Mr Edelson

Why is it that you forget that the positive balance that Mr Clinton left the country when Bush took over? Then after 8 years of pure mismanagement by Bush and Cheney, the US was left in tatters. Now Mr Obama is trying so hard to yank the US out of the deep hole of which not of his own making, people are fought tooth and nail against him.

Why do people heap all the ills of the past on his shoulder?

Weiss Research and crew are realistic and factual. Now I know why China wants to change the world currency from the almightlyless dollar?

I don’t get it. The total derivatives scam is imploding right now to the tune of over 600 trillion dollars. So why is it such a problem for the government to print only, say, a hundred trillion? I think that is exactly why we will see deflation for over a decade. These derivative counterfeit dollars are already factored into the G1, and we have already experienced the inflation. So the banksters have stolen trillions. What did they do with it? They bought real-estate, and put it into the stock market. Which now evaporated anyways. They counterfeited, and it evaporated. Kind of just. The only thing inflating now is the necessities of food and oil. The cost of everything else is plummeting. So if you don’t need to do much driving, or temp control, and you are good at controling food costs, you are better off. I am. Another way to pay off that federal debt leviathon is to account for the 60% of the federal budget that is called ‘black budget’, and we just have to ‘trust’ the untrustworthy. 60%! You have heard of expensive toilet seats, how about the toilet seats in the black budget? No accountablity to crooks?
I have an uneasy feeling something big is about to go down, a false flag operation to distract us from the elites’ robberies. This month, when the banksters are under new rules. It is said that the little banks don’t engage in the counterfeiting, like in the stock market, but they do counterfeit. It is called marginal banking.
Love reading your stuff.
David

Larry, you are totally wrong and out of paradigm in your analysis. Quite sadly you are not the only one. I’d say 90% of analysts do not understand modern government finance. Following, are the key
areas where you are incorrect. I will point you to some sites where there is a large body of work, -much greater than anything I have read from you, Martin, or any other affiliate presented to
back up your incorrect arguments. Here is is:

1) Taxes do not fund government in the modern non-convertible fiat money regimes that most of the world uses today. The government doesn’t need to tax in order to spend. It spends money at
will by crediting bank accounts of banks that are members of the federal reserve system. Modern money is nothing more than entries on a spreadsheet. It can be created infinite amounts and
is not in any way constrained by tax revenue. This is a fact.

2)Debt does not fund government. Federal debt is probably the most misunderstood instrument in the mainstream eco-politico debate. Its sole purpose is interest rate maintenance. It should be abolished because there are less confusing(and politically harmful) ways to implement interest rate policy.

3) As a consequence of 1) and 2) it is the government that funds us, the private sector, via deficit spending. Thus, deficit spending is a necessary thing if we, the private sector, are going to have any money at all.

Why do we need taxes for ? To create demand for money as a medium of exchange and thus keep the monetary system flowing. That’s it. Budget surpluses are the enemy of the stock market and
a healthy economy. Stop scaring people and please educate yourself.

http://www.moslereconomics.com. — Warren Moslers site. one of the best sites on the planet for education and warren himself will answer any questions really quick via blog or email. BTW, he’s
running for president.

http://www.mikenormaneconomics.org. Mike Norman from fox. He gets it.

http://neweconomicperspectives.blogspot.com/ University of Missouri at Kansas City. One
of few schools teaching the way modern money really works.

Nothing personal just trying to spread the word.

Probably wont get this, not sure of web site. 825 per month, disabled and using what savings I have. Followed you for quite some time and if I’d had lot’s of money would have done welll. What, should I do with twenty thousand? Don’t worry, I know-can’t answer.

Thank You J

The banking moguls in this country have done this to us all. They have a leash on our government that runs deep since the 1800’s. They’ve done it before, they are doing it again…stripping our nation of it’s wealth, as individuals and as a country. Obama(nation) is a puppet and hasn’t a clue of the ramifications of his so-called educated decisions. We should all #1 make a run on the bank, withdraw everything you have (left), #2 turn it into precious metal investments or land purchases. Those two things are tangible assets that will increase in value…always. Metals are easy to liquidate, so is land if you have a strategy on purchasing. I would LOVE to see the looks on these criminals faces when the American people stand up for their hard earned wealth and take all of it out of their greedy little paws!

I have a few suggestions:
1. Advise your readers to read carefully a little book titled “Richest Man in Babylon” and learn to live by its simple lesson and they will come to understand why the capitol bankers are successful
2. Google and read all you can on President Lincoln and the Jewish Bankers; then follow the links
3. Study Goldman Sachs stock prices from 9/11/01 through 11/30/07. They knew as early as 11/07 the sale off was scheduled, the banker were moving their money back to Europe; you should be able to fill in the blanks on the rest of the story; Lehman out, Morgan and Goldman $40 Billion in taxpayer bailout. Mr. Lincoln was right and the reasons for his assassination are still questionable.

I have much more to add but just this amount of truth is making my head ach

HELICOPTER BEN HAS LOWERED THE INTEREST RATE TO AID IN REPAYIN G THE DOLLAR AND ENCOURAGE OUR EXPORTS RESULTING IN A MUCH HIGHER COST OF LIVING. HE CAN’T INCREASE RATES BECAUSE IT WOULD RESULT IN A DEPRESSION. AMERICANS WORKING FOR A CHEAPER DOLLAR APPARENTLY IS BETTER THEN OUTRIGHT UNEMPLOYMENT IN A DEPRESSION. I GUESS THAT WE HAVE TO BITE THE BULLET WITHOUT ANY REAL SOLUTION IN SIGHT. IT’S TIME TO RETURN TO RECOGNIZING GOD AS OUR TRUE SAVIOUR.DO YOU REALIZE THAT 90% OF THE POPULATION WANTS TO CONTROL THEIR OWN DESTINY IGNORING THE LESSONS OF HISTORY. WATCH HOW MANY PEOPLE WILL FILL THE SYNAGOGUES AND CHURCHES WHEN TIMES GET TOUGHER. I AM NOT WORRIED BECAUSE I HAVE A LOT O;F TRUST IN GOD/S PLAN. HE HAS GIVEN ME THE WISDOM TO KNOW OUR PURPOSE IN LIFE.

Well, we know all the gloom and doom, but if currency is worthless, Gold is overinflated, the Government strives to control all investment arms in American. . . what is your brilliant solution?

Larry: In south Louisiana we are curently in an oilfield depression. Some service companies are moving equipment to Holland, etc. i am told the Obama administration is not issuing any petroleum related wetland permits. Do you have any insights into the future of inshore and shallow water drilling activity? Thank You.

A few points as preamble: 1) I’m 15 degrees to the right of Attila the Hun; 2) I’m VERY cynical - That said, here’s how I would resolve our debt crisies (pl): 1) Recognize that China could/should colonize an emerging, new, 3rd world country called Chinafornia (aka California); 2) to speed that along, fire about 545 certain crooks in Washington, DC; 3)Sell all Federal property in the USA to private interests (i.e., beat the bastards to the punch - confiscate and sell all their crap before they do it to us); 3) Use the proceeds to call in ALL US Government Bonds; 4)Conduct a National referendum to Publish an accurate National Balance Sheet and Renounce/Forbid the creation of any future Federal Debt; 5)Bring our people home; 6)Disband the Department of Homeland Defense - we already have a ‘Defense’ Department - RIght now it’s the Offence (sic) Department (pun intended) but that has to change; 7)Cut all Federal Funding by 2/3 - a little ‘tough love’ never hurt; 8) Put in place 2 term limits on Congress with a 10 year hiatus before any individual having served 2 successive terms can hold another public office; 9) Go back on HONEST, convertible money; 10) Make it a capital offence for any Government official to take a bribe or sell his/her influence; 11) Stop all black, covert operations run by the Administration/White House; 12)Repeal the Federal Reserve Act and the 16th Ammendment so the men and women in America that work can also SAVE; 13) Stop all double standards such as privately-funded pensions and benefits for Federal Employees - either that crap goes or we all enjoy the same programs; 14) Break all Government ties with the Wall Street syndicate/mob - prosecute all insiders of the Banking Cartel for High Crimes;15) Ban all lobbyists from Capital Hill; 16) Re-Install the Glass_Seagall Act and expand the exchanges to cover ALL derivatives; 17) Declare immediately all over-the-counter derivative contracts with un-registered counter parties null and void so as to stop the criminal double/triple indemnity going on that is destroying the taxed, middle class of our Country; 18) Repeal the Patriot Act - NOW! - before it’s too late. Let’s get that list done while I think up a few more to add to the list . . .

Cheers,

Ted

Why is it that no one seems to mention “FRACTIONAL RESERVE BANKING?”

The first thing to do is to STOP FRACTIONAL RESERVE BANKING ! This, alone, allows banks, legally to inflate. [By inflate, I mean to increase the amount of unbacked currency in the marketplace. By unbacked, I mean currency that is not redeemable in gold, silver, or other commodity assets.] The world is awash in unbacked credit-based currencies from all countries. The complete collapse is inevitable ! !

Larry Edelson has pointed the way and laid the groundwork to understanding what will happen when all the I.O.U.s are called in. The USDollar will be worthless (as it almost is at present) and people will resort to barter until a new monetary system starts from scratch.

My recommendation until the collapse : Get involved in trading. FOREX (Foreign Currency Exchange Trading) is a way to shift the losses caused by governmental inflation to those who try to save. Only a fool saves during an inflationary period. FOREX is the most “liquid” market in the world. You can get in and get out easily.

The only problem with FOREX (as with any other speculative trading activity) is the riskiness. It is risky and you must manage your risks carefully in order to come out ahead. In addition, it is all derivative, just paper representing “wealth.”

He who stays active “in the market” will be among those who have the least stolen from them by the “invisible tax” of governmental, inflationary currency policy.
********************************************************

Hello Larry,

What are Americans thinking? The media has moved everyone’s minds away from thinking about possible solutions to the financial problems.

To slow down America’s financial meltdown private companies would need to create HIGHER PAYING jobs in America and to hire Americans vs. bringing in foreign workers. The bad news is that creating HIGHER PAYING jobs is not in the program for private American companies.

When I was little, we would play a game called king of the hill. Whoever was the strongest could usually stay on top of the dirt hill the longest. America was the same way. We were once a very strong economic country as we produced many goods and sold them outside of our country. Today, we no longer have that edge over other countries like China, Japan or India. We all have the same technologies and an equally educated work force. That makes labor a commodity and whoever has the cheaper labor will get the contracts. This is how it will be for many years to come.

We do not want anymore government jobs to be created as the government is only an EXPENSE on a balance sheet.

The cost of living in America will continue to climb in the very near future. The number of homeless in America will grow at an alarming rate. People can expect to see riots in America in the next few years as more and more people lose their jobs and their lifestyles go from middleclass down to homeless.

There is no real fix for this mess. Only a lifestyle adjustment can be made by every American. Living in cars will be a norm in the near future. Obama did not start this problem but he sure is adding gasoline to the fire by continually to want to keep spending more money on useless ventures. Once the government actually stops spending money and begins to layoff government workers, then the economy will begin to recover, one day at a time. We need a smaller government and less interference from the government.

You have debased youself by exploiting the fears of the ignorant.
If you have a product of value to sell us, please show us the value and forgo the rhetoric. Show us how well your product has worked in the past by posting your personal wins and losses and let us decide. So far, all I know about Weiss Research is that you were all completely wrong when you used fear to sell your “market crash now” scenario several months ago. Show me your game stats.
Sadly, you choose to play on fear. You, a salesman, have put yourself in the same boat as those who, motivated only by profit, proclaim shrilly to the chronically uninformed, undereducated and unlikely to read or comprehend facts, that health care reform is really a means to kill grandmothers, and that the Muslums are poised to take over our country.
People have tried to sell this country short for years. They have all gone down to defeat. We, as a nation, are on the road back up. You, and those like you who would roll boulders into that road, will all benefit from the toil, creativity, and foreward thinking of those who have done, and will continue to do the heavy lifting. Why not get on board and earn some of the ride?

At this time it is pointless to place blame on Obama, Democrats, or Republicans. There is blame all around, but placing it is pointless. The only important question is how to fix it. Few if any politicians have the foggiest idea. The only suggestion that has any merit is “stop digging the hole”. The government should simply stop borrowing any more money at all. Period. No more borrowing! We borrow now to pay off interest on prior borrowing! — stop that. Pay interest currently owed and reduce principal. How? When bonds mature, pay them off but do not refinance them. Where will the money to pay come from? Well, it can only be done by stopping other spending or raising taxes. I am in favor of the former, but we can have a debate over the proportion of the two methods. What should be off the debate table is borrowing more. STOP BORROWING!

I believe if the Congress men and Senators would take a pension or social securitty like the normal working person out here it would be a fair and decent thing to do. Why do they feel they are out of the norm and deserve so much more? They even give themselves pay raises and act like they are something much better then the person out here working so hard.

Hello Larry, here an other view

2 years ago already I wrights a peace for investors in the Netherlands about
the bringing down from the dollar by US Government
My look was: by bringing down the dollar, the deficit was down.
By bringing down the dollar, the rate off government bonds was lower.
It was clear for me: a master move.
China has no change to sell Government bonds because: no buyers only US
China was in a big trap.
Now the situation is changed:
Still China can do nothing only get more power while the Government bonds are
Lower and lower, also the dollar.
The deficit from US is not a real deficit it uses not a lot off fantasy to now
That it will never paid off.
On the moment _if you have a car with a value about 100.000 but there is only 1 buyer
in the world and that man will only pay 1 dollar, than you now the real value.
That’s the direction where we go, together with incredible other rules worldwide.

Money on the moment is only a paper chance on the account by banks to another bank.

Best regards Dr. John Bes Curacao

Larry, This country needs a housing exchange! We have exchanges for stocks, bonds and commodities where we can sell these items over night, but houses we are stuck with. Many of us have not been able to move to other locations due to the lack of an exchange for housing. When people can not move, the country comes to a stop too. My home has lost 50% of it’s value, since I started the sale process three years ago, and the end is not in sight yet.

I want to be proactive during this difficult economic period. Please provide suggestions concerning how I can become financially secure (present & future). Thanks.

You should take The Foundation Alliance overseas and use Cycle research. Not only does the stock rise but the falling dollar is another boost.

Dear Larry, I was once content to stay completely out of the markets and just save a good portion of my income and live below my means. Now, from what your forcasting, even savers aren’t going to survive.

Do you see U.S. Real Estate as a benefactor of “Asset Re-inflation”, and if so, please provide a timeline.

I sincerely doubt that pensions, social security, and personal income will re-inflate at the same rate as asset re-inflation. I believe this will become Bernanke’s Financial Holocust!
What can people (baby boomers) do who live on fixed incomes?

Thanks, Tom

Why is our Dow Jones & S& P continuing to go up????

I bgt ETF’s that are down 24% right now…….when will our MKT go back down???

I’m in my mid-30’s and have a 401k with Vanguard. Are there funds I could move my investments to protect myself? Would it make sense to take money out, pay the tax penalty and invest in gold?

We are blessed to have home & car unencumbered, a modest amount in 3 active online trading accounts, including Foundation Alliance, but all amounting to less than $100,000, and we have less than $100,000 in Weiss Treas Only Account, which is essentially in “safe” dollars. But I hear you saying they are not safe at all and will be hollowed out by the deflation of the dollar. Does this mean we should plan to liquidate this account and invest the dollars in the commodities you have been commending as good investments, invest it in foreign currencies, or what? We believed we were putting it in the safest possible place when we opened this account, but now I’m wondering if we are simply burying it only to find it has deteriorated when we “dig it up” again.

I realize that this response is a day late, but I hope not a consideration too short.
In answer to the question of the national debit I can only agree with the assessment that we now realize the short comings of our decisions on the matter of fiduciary responsibility on the personal level, business model and national policy.

But is this current bedlam the tipping point which ends the American Dream with us, I think not.
We are now enslaved to debt, how we got here is academic and can be debated later by others, what I see is the need for the end of the short sighted investor motto of “Greed is good”; and starting with this humble letter we say in its place “Work will set us free”.

Because it will be those who pick up the burden of carrying on, those who build those who create and those brave souls who dream that will renew the possibility of prosperity, and generate the momentum for any kind of wealth.

I thank you for your time in reading this posting,

I believe it is time to load up on gold and silver and other precious metals.
What are your thoughts? I cannot believe we have let our country get in
such financial mess and worse yet unemployment. People want to work and
take care of their families. Where are the jobs? I thought the government
was going to put lots of people back to work with the stimulus package. Theymust have
meant all the zares, etc in Washington.

I have bought the GLD and have wondered it if should buy more. I believe you said not to do so right now. But, I am still wondering if I should. I also have the YCS and see it has been going down - but up the last couple of days. How long to you think this will last? I don’t have much left as many others. Lost quite a bit over the last 2 or 3 years. Social Security doesn’t go far.

Hi Larry,
I want to buy more gold stocks (EGO, GG, NG, etc.) as soon as you give the signal. It’s hard watching gold rise & not being able to be a part of the action. But I’m still waiting for your signal to buy. Please continue keeping us informed about when to buy more gold. I already have some, but I want to invest more!!!
Thanks,
Richard

Larry,
Washington and Ben both know the only way to solve the debt crisis is to inflate everything, even Wall Street. I predict gold will be $2300 by the end of January 2010. Inflation is already creeping up on some consumer goods, mainly food but you can see it happening in other sectors; fast food, parts and repairs, etc. I beleive we are going to look like Zimbabwa within a year.

Its a frightning world, I feel for our American cousins , bit also wonder, if the US Dollar does dramatically lose purchasing power what would happen in tandem for the Canadian dollar, my daughter is a US citizen and wonder if she should move as many liquid assets as sahe can

I too subscribe to your The Foundation Alliance and your Real Wealth Report which have recommended staying mostly in cash right now. What will be the next steps to protection from Bernanke’s Secret Debt Solution?

how do I short the dollar you using E T F”s or what ever do i use

Larry -
What strategies are you using to protect yourself and your family from the fallout ever-increasing printing of greenbacks, and the expectation of an eventual devaluation of our currency ? What would you suggest as prudent steps for a near-retirement boomer to take ?
Thanks for your concern, and your advice.

We can buy gold….. OR buy a business that is well positioned to outlast this perniciousness. So if I could get a list of strong american companies sure to survive and grow during this coming devaluation. Given the facts about the american financial situation, I believe it is possible, almost inevitable that devaluation happens. Gold seems to me a bigger problem than a help. I need something that continues to grow and thrive. So A LIST Would be well received , thank you.

Larry,
An excellent article summing up our perilous state and the need for protection against a “terminal” dollar. I realize you are prohibited by law from counseling “individual” investments, but it would be interesting to see what you recommend in a portfolio designed to take into account current and future trends as outlined in your article. As an older investor, I grow weary of investment pundits trying to outshine their competition with short term investment strategies that may or may not pay off. Give us something you would be comfortable sitting on…despite short term vacillations. Something that will see us through the debacles coming and hopefully provide a decent return over the next ten years or so. Are you game?
Les Jordan

I like your insights into the big picture of what is happening with the US Dollar and how the government is sneakily going about it.

I do want to thank you for your hard work into following this once in a lifetime epic events.

You may have covered this in your True Wealth newsletter, but as as concerned citizen/investor/trader, what investment/trading vehicles would you suggest to have in our portfolio (both short term and of course long term) to protect us/grow if possible for this event that is happening before our eyes.

Again, my sincere gratitude for your hard work.

Well for starts we need to determine the amount of this debt that is fraudulent and write it off as such. There are additional spending programs which need to be abolished along with the Fed Reserve. Private interests should never control public interest. Especially if they don’t have to answer to anyone. Investing in real estate is also helping to invest in our local economies, and should be considered in one’s wealth building and wealth protection strategy. But be careful of what you buy, it’s all cheap right now. Several properties can be bought for 10 cents on the dollar. I sell them every day. Long term appreciation and consequential tax advantages should be at the forefront of your exit strategy.

Along with debasing the dollar, don’t you expect an all out assault (raid if you will) on any cash some of us may have amassed? How, in your opinion, should we best (i) shelter such cash and (ii) invest such cash?

Larry,

So what do we do? The government will find any and every way possible to get as much as they can while squandering the entire financial system at our expense. How do we maintain/protect/increase our assets? What other avenues are available? Where do you suggest purchasing physical gold and silver? Would love to have information/suggestions on options. How should retired individuals (older with no other income but their savings) proceed? I am member of your RW report, find it very useful and hope you are truly as sincere as you appear to be and that you put your money where you suggest we do. Many have a great deal riding on what you and Weiss have to say/advise.

Best Regards,
Elle

Were the Federal Reserved ENDED and the power given BACK to Treasury, then Treasury and Congress could revalue gold to its proper value in excess of $5-$6k/oz, we could take the pressure of the amount of our deficit … but it would take many years thereafter as well. It’s so sad. Thanks for the opportunity to voice my opinion. Donna

what do I do with my dollars to counteract the sinking dollar. How do i turn it into a currency that will stay stable.

Putting dollars into metals, and other real assets seems to be the only way to avoid the disaster coming–in particular, Shares of GLD and gold mining stocks make sense, spread around, but what is the best way to buy and take possession of large quantities of gold coins or bullion.

I believe that each Congressperson and each Senator need to sign a contract that they will work toward balancing the budget and they will not frivously spend OUR money. FOX news has been reporting on ridiculous ways OUR money is being spent.

We need a balanced budget amendment.

And what was the law that JFK wanted to put into action just before his assasination? It was a law taking away much of the power of the Fed to print money whenever they wanted. I have heard that this law is still waiting in the wings……….let’s start a movement!

Also, I think our lawmakers should have to live by the exact same laws that the rest of us do - and that includes Healthcare!

Larry, I hate to say it, but I agree with you and see happening all over this country. Pat

Larry: As to your question about how do we get out of this mess? My answer is: “one American at a time”. Our lives have always been, are now, and will always be our own responsibility regardless of those that do their best to screw things up for their own benefit. We must take personal responsibility for our own situation. Get out of debt as soon as you possibly can!! If you have lost your job, work tirelessley to find another one or search out opportunities anywhere and everywhere.

One thing is for sure, if you don’t search and search you won’t find one. If you still can’t find one then create one. Find some product or service that you can put your passion into and make your own successful venture. If your situation appears to be dire, find one part of it that you can confront and handle and move on from there. Just keep taking action, action, action. Playing the victim will put you in the “soup” faster than anything I know. If your taxes keep going up, outproduce them until we can get someone in political office that knows better than to keep raising taxes. Vote every single election that you can and make your voice heard. Get active in causes that will keep the American way of life in tact. Who do you think stopped the National Health Care train from being rammed down our throats? You did!!! Now they have to backtrack and change things around which will give us more time to fight that.

Keep a hawk’s eye on your investments and don’t take for granted what the main stream pundits say about the markets. We each have our sphere of influence to take charge of and if we do it responsibly and ethically and encourage others we know to do the same then we can start to fix things from the inside out. Hey, what’s the alternative? Just give up???

Also, Follow the advice of Larry and those that have proven over a long period of time that they know what they are talking about BUT do your own research as well. You are the captain of your own ship (sorry to be so cheesey with platitudes) but it is a fact that you are, so start charting a course and steering it in the right direction.

Okay Larry, you’re the best, so let me ask this burning question: If the investments I make are priced in U.S. dollars (i.e. gold etf’s, etc) and I make good investments based on your reco’s that prove to be sound, how the heck am I going to know what they are worth if the dollar gets replaced by some Monopoly Money that is foisted upon our country by Obama, Geitner, Bernanke and the International powers that be? I know you have said repeatedly that this will in fact happen but it seems such a stretch with all that would have to be changed. I hope I asked that correctly.
So, please explain the ramifications of a change or replacement of the currency and how it will affect our wealth. I don’t much fancy wierd looking paper in my wallet that says one Chinese Prime Minister’s picture is worth 10 Ben Franklin’s, or pushing barrels of gold down to the local grocery market. Do you follow my thoughts here?

Simple solution. Get rid of Washington and all the Senators and Representatives and start anew. Go back to the principals the Nation was founded upon and reject all that has happened to create the new Obamaism form of Socialism. Abolish the Presidency and the two party system. Use the popular vote to determine who will run the country free of party affiliations.
Secondly, why must I agree to your terms to post my comments. You are no different than what we are complaining against.

As I’m not a financial, mathmatic, investment, or any other kind of expert, could you please demonstrate the effect of dollar devaluation on the following examples:
NetWorth Income Expenses
300,000 40,000 38,000
500,000 50,000 47,000
1,000,000 80,000 75.000
What would be the annual effect on each category over a 5 year period?
I’m sure you have a better way to estimate the effect. Any help will be appreciated.

Let me start out by saying that I am just as concerned as the next person about the financial health of this country. Having said that, why does everyone feel it is the fault of Bernanke and Obama? What about Greenspan and Bush? I guess that what upsets me is that no one, including you, ever suggest a solution. It would be nice to see the naysayers suggest solutions rather than just talk about how bad things are. It truly is amazing to me that many of the same people who contributed to the present situation, certainly contributed much more than the average reader of your blog, and would do everything in their power to keep government out of Wall Street, shout the loudest. Almost as if they hope no one looks into their closets.

I appreciate your comments and suggestions on how to survive in this scenario that is only bound to get worse and I suggest that those who follow your suggestions will do so.

Respectfully submitted

There ere two basic principals in economics 101 that we all need to remember. 1. The free enterprise system works as long as there is no outside force involved ie. the Federal govt. The bail outs, have thrown a cog in the wheels. 2. Don’t worry about the national debt as long as the people in the country have the ability to be taxed and can pay the debt. My worry now is that #1 is out because of the morons in Washington have a stake in too much of the auto, insurance, and banking industry. The bigger question is when do we pass the point of no return with the debt. Are we there now?

It’s not the country that is broke, it is the people that are broke. There is a difference and the difference is the abundance of natural resources that we are giving away for practically nothing to the commodity monopolists. See http://www.wealthandwant.com/docs/Gaffney_OaGL.html for how we gave away our most valuable land to oil companies that sit on it, doing next to nothing, while oil price spikes make them obscenely wealthy (and speculators too - who also produce nothing). We need to adopt the Single Tax (a Georgist solution going back 130 years to Henry George’s best-selling economics tome of all time, “Progress and Poverty” - 2 million copies in 1879 alone!). Tax the use and abuse of resources, untax wages and capital and all other results of production. This would free up ‘land’ (in the Classical definition) for productive use and away from resource-squatters, end urban sprawl, value the environment for its true worth, spur innovation by allowing entrepreneurs to keep what they earn, end speculation by taxing away the ‘fuel’ for it, and virtually eliminate poverty while growing the economy north of 5% without inflation (oh, and we could abolish the unconstitutional Federal Reserve and allow only congress to Coin Money, as mandated in Article 1, Sec. 8 of the Constitution - simply print enough to keep up with population growth and there will be no inflation, instead of the 16,000% inflation we’ve had since the 1913 Federal Reserve Act).

This is why we are investing in GOLD!

I retired June 30, 2008. Then worked as a volunteer hand surgeon in Africa for a year. Twenty minutes before leaving the country, on September 18, 2008, I said, “Sell every stock.” Now I am 20% better off than if I had stayed in the market and rode the curve down and now somewhat up again. I am afraid of a “second dip.” And I even more impressed, passing through Europe, with how LITTLE the dollar buys. What do you propose I do with what I have now stashed in cash and U S Treasuries?
Thanks!
Robert R

Larry - I anxiously wait your recommendations per TFA notifications, and personally hope that you will add a NEW auxilliary service, which follows the DOLLAR and makes recommendations, i.e., PUTS or CALLS, stock purchases, that hedges OUR currency.
It is beyond fearful and clearly a “pillow over the head” mentality NOT to offset the Dollar at this time with whatever logical means we can hedge.
Is Real Estate a means to hedge? Is that ONE of several suggestions that we could use to protect ourselves from this trainwreck?
I think your readership is looking to you for some strong suggestions for this monumental problem.

You’ve suggested investing in gold, oil, commodities among others to protect ourselves, but valued in U.S. Dollars we’re battling the dollar demise. Show us how to invest in those vehicles through a more stable currency, one whose value remains the same or increases, while our investments also increase.

Larry, This country has been devastated, by Government, controlling everything, when there logic should tell them, they could not keep a Lemonade stand afloat. This country before scam artists took over, had top technology, industry, and was very capable, of Freedom as it should be, but they choose to spend,,& run everbodys country but there own, Debasing, The Dollar, Industry, and everthing that made this Country Great. I say kick these guys out, and set up this Country, like you would run a good business, it has a lot of assets (natural) that it could be brought back to its Original greatness, but not with present day, Flim Flam artists

“The greatest theft on the planet.” started in 1913 and its now about to be completed.
This morning Bernanke Says U.S. Recession `Very Likely’ Has Ended.
The President is happy with the result of is stimulus package and the takeover of GM with other people’s money. He claims is administration is capable of very difficult decisions. How distorted have we gone? The real difficult and rational decision was made not by the governments but by most private citizens repaying there debt, cutting back on spending and increasing there savings. Despite its misleading and distorted rhetoric the government continues to prevent a normal recovery and is destroying the currency at the same time. It is now blowing -up the budget with $9 trillion deficits (over the next 10 years). Is this a rational way to fix a major credit problem? Contrary to what they say they are not making the difficult decision. They are using the same hold tricks to mislead Americans. That is just plan irresponsible and at the end of the day it’s going to be a very expensive mirage. We will soon realise that money can only be a claim on things.

Dear Larry
we are in la la land .It is over period.The world would have to declare BK. and start over.One world currency base on time credits ,units of time value.Ten dollars and hour ,one time unit of one hour is equil to ten credits .So many credits buys what ever products.A credit is worth time a person -business has work.25 min- 50 min 75 min 100 min.times houry rate.sell time.How else can we go ,the old system is over with.

Larry,
I agree with will.
Is gold the answer? If so, are gold stocks a good choice? And what percentage of one’s portfolio should be invested in gold…or gold stocks?

Here’s an idea, take some of that retirement money and purchase a seven year supply of food and other necessary items. No one is going to eat gold and silver. During Hurricane Katrina that was all useless. Suppose you do invest in gold and silver, sure it’ll go up, but so will everything else; you kind of cut even. During depression era times, you get FOOD LINES. Get food and procure yourself the proper storage area.

This will at least take care of some basic needs in time of crisis. A seven year supply is probably a dent in some peoples savings. Thus if you have it, I’d use it.

Small business are the engine that drives America period!
Everything would go back to normal if the goverment would
empower small businss with rational laws that dont impede prouctivity
of small companies which provide 90 percent of all the exports.

Hello !that means a stronger dollar. Cutting back, on over consumption is
never going to happen.A 10 per cent flat tax combined with laws
written aggressively to support small business will save America
very quickly.
Small business . adapt to market
forces changes more quickly than anything else will keep more people employed.

Big corporations are dinosaurs. American ingenuity will save the
day in a blink if federal, state and local governments would PLEASE
get out of the way of the little businesses which contribute the most
anyway. Who needs jobs? LET US HAVE OUR OWN BUSINSESSES.

The long-term socialist groundwork was laid in 1913. FDR kicked it into medium gear. With the exception of the Republic’s patron saint, Reagan, we have only had a choice between left-wing socialists and right-wing socialists in most levels of Federal government for most of the last 100 years. I don’t believe there is a solution to be found among the two parties that are offered to us. Until the natural consequences jerk this country into finding reality - much like a trainer with a choke collar on a police dog puppy - it will continue to run crazy and tear up the fabric [of our constitution and country].

As a money manager, I tell my clients that regardless of their political beliefs and goals, they must invest according to the way the world is, not the way that they wish it were. Farmers in 1860 Atlanta, in 1930 Japan, and in 1935 Bavaria all had one thing in common: Their investments which were denominated in the fiat currency of the realm were worthless ten years later. [ When Reichsmarks were introduced as the new currency, they were pegged at 1 Reichsmark to 1 Trillion Papiermarks.]

Our current US dollars will likely continue to be eroded [active verb, not passive] as well. So what to do? Since we all need to continue to buy groceries and gas with US dollars, how do we build a portfolio that is denominated in dollars out of necessity, but will have lasting purchasing power that can be converted back at some future date into “New Dollars,” “North American Dollars,” or “Ameros” if it comes to that?

The latest administration to sit behind the wheel has kicked the socialization of the country into “high gear.” It is a case of National Identity Theft. To get into office, the current government claimed a false identity (moderates) and once they got access to the credit facilities of the country, they immediately started running them up as fast as they can before they get caught and the credit lines get shut down. Is it any different from having your wallet stolen and finding out that your good credit was just used to buy big screen TVs, jewelry, or whatever else the thief could use to buy favor? The problem is, the country can’t call “Visa” and ask that the charges be removed from the card.

My clients ask if it is a big conspiracy. Maybe. Maybe not. Does it matter? I don’t think so. An investment portfolio needs to do three things: 1) provide sufficient liquidity for today and tomorrow; 2) ferret out opportunities to profit from the changes afoot; and 3) have a rock-solid system of spiriting your wealth from one fiat currency system to the next. No fiat currency has lasted indefinitely and investing as if it will is foolish.

Thanks for your forum. I had to get that off of my chest.
Wally

Unless there are viable western alternatives, the only thing you can do in the face of a defaulting country is buy gold or trade your dollars in for an “asset” that has no claim on it by the US government. Gold is extremely liquid in many instances-if you own physical gold. Since property can confiscated or taxed, take your physical delivery and get it out of the country. Transferring assets a service like goldmoney.com “could” be a good alternative to hiding gold in your backyard.
Other than this, any equity,property and asset that can be accessed by the USG is at risk of devaluation.

Try these traitors for high treason for warring against the USA and the citizens. They have violated their oath of office to protect the Constitution of The United States of America.

You know this nonsense has always ended in ruin and war. My daughter just started at Harvard. By the time she graduates (let us pray) the mess were in now will look like a church picnic. God help us, but it’s already too late.

Larry -

Some people see this as a political deal. I fell that both parties have committed the same mistakes. They talk tough then sell you out to whichever special interest is the flavor of the month. I think unions are special interests and I think industrial and financial companies with their hands out are special interests. The point is we have been utterly sold out - and the process started back in 1971!

What are we going to do? We are either going to default or monetize - no other choices and don’t pretend for a second that there are. My belief is the government will monetize gradually (I believe they call it quantitative easing…) until someone like China, Japan, Saudi Arabia - whomever…panic and try and dump US bonds they are holding. At the point the jig is up and we will default…kind of like mailing the bank your keys and walking away from your mortgage. Hope our friends around the world look at it that way….

What do you do? You diversify….have some money out of the country, some in bullion, some in cash (soon to be worthless) maybe some in a currency likely to survive (Swiss Franc, CAD, AUD, Yuan??). I will be curious to read what you think would be a good way to position one’s family to survive this fiasco….

Will

The only solution to the mess created by the politicians is to VOTE ALL DEMOCRATS OUT OF OFFICE IN 2010! And demand of whomever you do vote for to slash taxes, freeze any unspent stimulus money, cut government spending on all non-Constitutional activites such as the Department of Education and Department of Energy, bring home all US military forces throughout the world, and slash government regulation of private companies. The resulting economic boom will grow the economy, restore employment, and increase tax revenues to the point where the deficit can start to be reduced.

Make no mistake, the Democratic Party is now controlled by socialists whose objective is to destroy capitalism that created this country and the highest standard of living for the most people in the history of the world, and replace it with socialism and equal poverty for all.

Larry,

As Will said in an earlier post, the Foundation Alliance seems to be too conservative if what you say about the market going higher near term. Are recommendations coming? Also, it would be nice to have more specifics on what investments we need to be in to protect against this dollar devaluation. I know it can be shorted with UDN. I have a mix of investments in U.S. companies with a high % of sales from foreign countries and foreign companies and EFTs but at the end of the day they are all transacted in US dollars. Is the only way to really protect against dollar devaluation is to own foreign currency? More details on how to protect against a devaluation of the dollar would be appreciated.

suggestions .

cuit the fat fropm the government agencies. hire some private sector manager to do so.

review mission of the agencies. you will find that often , the mission goal has not been reached.
eliminate and shuit down such agencies.

example : i am told that the department of energy was created under Carte.
mission to make the USA energy indipendent in the next ( at the time) decade.
what did we get some 30 plus years later? I am told 16,000 employes with a budget of 24 Billion
while our energy imports ha\ve gone from some 35% in Carter time to 70% to date.Note numbers are
approximate, but you get the poiint ..

conclusion: shut down this agency that creates zero new oil .
some might say: but you need to agency for renewable sources. My answer is let the private market
work its magic and it will provide new energy as it is doing. do provide some tax rebates to encourage the development of alternatives.

Joe D

I would like information as to how I can put some of my saving out of the country legally
and held in other currencies.

I think that you ought to explain how the FED is actually owned and controlled by the private banks.

Larry, A month or so ago I followed a link to “themoneymasters” dotcom left by a fellow subscriber to the MDCP on that blog. After watching the current version of this documentary, I am stunned and wondering if you are aware of this work and have an opinion on it and the solution presented.
Chris.

Larry, thank you for those comforting Words ,Stats and Predictions. The Canadian economy was out in left field in the 80’s & 90’s because of borrowing binges by elected officials in all governments, and the reduction of spending (including healthcare, education, pensions), the devaluation of currency to 66 cents compared to the US dollar, and introduction of consumption tax (UK they call in VAT) Canada’s version is GST were some of the solutions. (I predict you will have a consumption tax before the mid terms)
This will allow the debt to be repaid over time and surplus in the Government Budgets will be a reality ! But first, you must also commit to sensible home lending practices, 25% down, recourse on delinquint mortgages and forclosed homes - eliminate the tax deductablility of the personal residence as families must be committed to home ownership and not see it as a fancy credit card
These are tough measures but necessary to right the good ship, USA
A dose of REALITY for all in real life - never mind whats on the Reaity TV !
Get your elected officialls to either have the backbone to implement this pain or get ones that will - or suffer & learn to be a third world country !
Best of luck and hard work to all - We’re cheering for you
Leigh H.
Ontario , Canada

It should be obvious by now that Obama’s intention is to bankrupt the middle and lower classes, and steal everything anyone with wealth still has. After all, once a Socialist always a Socialist. He does not give a damn about the united States.
Ray

Support Congressman Ron Paul’s bill H.R. 1207 to conduct a comprehensive show-and-tell audit to get a better peek under the Fed’s skirt. So far, this bill has 285 co-sponsors in House and 24 co-sposors in the Senate.

The Fed is the worst enmity of civil society. It’s there to support the international banking community and the world’s elites.

Please expose this criminal origanization to all your readers.

As a 71 year old Social Security recipient and micro business owner with an about to be foreclosed mortgage and facing bankruptcy, I figure that the only one way to to deal with this dollar devaluation situation. The solution, by necessity must be political. Let’s get some people in charge who are willing to put the brakes on the runaway Government train NOW regardless of the consequences. A train wreck now would be preferable to dragging out the inevitable by letting the train gain more pre crash speed and wasting everyone’s time; ( time being a thing of value). I have more faith in the ability of the individual or business, if left to there own devices, to solve our problems; than I believe that the Government wil solve anything to anyone’s satisfaction.. The thing that no one ever talks about is the fact that our Government, Federal, State or Local, as it is presently consituted is only interested in gaining POWER. The people now in charge are perfectly willing to destroy everyone’s fortunes and ways of life to achieve ultimate power. This is not what I signed on for.

I have moved my investments into fix annuities. The company has a AAA rating but after AIG I don’t think to much of any ratting. My worries are that the insurance company my be invested heavily into long term treasures bonds. I have asked the company if they would share that information with me but I keep getting the run around.

How would you view the safety factor? I thought annuities were about the safest place you could put your money?

Buy a diversified blend of the the currencies of the worlds fastest growing economies.

I believe your comments are an accurate analysis of the current economic situation but the end result may be even worse than you alluded to. Yor scenario seems to result in inflation, loss of the value of the dollar, etc. All of which can be lessened by investment in hard assets, precious metals, coins, collectables, foreign currency, etc. The potential for a much worse situation is whar concerns me.

I, as many did. lived through the Carter years with tremendous inflation, gas rationing, etc. My parents lived through the Depression and I heard a number of stories relating to this hardship.

Nothing in history has been the equivilant of the current situation!

I’m extremely concerned abuot the amount for foreign investors, countries, etc. to whom we owe money. I realize that if they all call in their debt we print more money and they lose because their debt is paid in nearly worthless money but the resulting reverberations would, I think, be extreme.

Interesting article on Bernanke…now what do i do to protect myself and my family?

Larry: I subscribed to Real Wealth as of 08/08/09.
The portfolio on your web site has been established, with a few deletions and additions over time.
Since I joined on August 8, I am not clear on an entry point for most of the stocks and funds.
I know that is not an easy question to answer - maybe in September’s report you can elaborate.
If you have not already written that report, or at least in your mind.

Further, I hope that you can give the cycle work, yours and the foundations’, in your reports more
coverage, with both charts and text description? For us to get a better perspective on what the future
market is expected to do.

Thanks for your Real Wealth Report - fine work. And yours and other presenters on UncommonWisdom
fine work also!

I HAVE A GOLD COIN COLLECTION THAT INCLUDES SOME THAT MIGHT BE CONFISCATED.
PLEASE INDICATE ENDANGERED TYPES.
THANKS

I was thinking for converting my small IRA to a Roth, but then I figured the gov’t will probably take away the tax-exempt status from it and I would end up paying the ten-percent tax on top of it. This is unbelievable. I don’t think I will ever be able to retire. My 401-k is virtually wiped out. Appreciate your wisdom in all this.

Larry, the solution is fairly simple in principle and comprises two parts. The debt scams have been perpetrated by the corporation US and not the constitutional usa.In accord with anti-monopoly statutes, We The People must hold elections for a constitutional federal government and install it in the Whitehouse. (Trafficante may be a suitable president) Let the zionist fraudulent Obama government hold separate elections and find alternate premises. They may have a problem gaining many votes and in satisfying a landlord that they are solvent. Let them deal with the debt - it is not a debt entered into by the constitutional usa! To prevent the problem occuring again we must heed history and follow the example of the King of England who, being cogniscent of the complaints outlined in the magna charta, did cause a particular group to be banished from the country. A great pity that Cromwell allowed them to return. Bill

so how can we still invest and not go broke as dollar collapses
gold/silver
swiss francs
mining stocks
yuan… canadian dollar
real estate
mortgages
what would you recommend???

thanks!!

I’m not going to argue with any of your numbers about how far in debt the USA is:
11.8 trillion debt now
2 trillion federal reserve debt
104 trillion due to about-to-retire baby boomers.

I’m just going to try to put $11.8 trillion in perspective. Not the whole amount, just the $11.8 trillion.

A dollar bill is 0.0043 inches thick.
So: $11.8 trillion dollar bills would be a pile of dollar bills:
50,740,000,000 inches high
which is… 4,228,333,333 feet
which is… 800,821 miles
which is… 3.33 times the distance from the Earth to the Moon.

Buy land overseas. It is cheap, cannot be taxed (unlike overseas bank accounts that contain more than $10,000), requires no upkeep, and is vauled in a currency other than the dollar. Phil

my suggestion is that you put your heads together and publish a “public service” letter for all us small investors, badly in need of guidance. it seems to me that you have all the guns you need - research facilities, personnel and distribution. can you imagine the splash that would make, not to mention the improvement in the image of letter writers. i suspect that you would have very little problem in partnering up with a few select peers in this endeavor of course, it would be essential that the charge for this must be absolutely rock-bottom. thanks for the opportunity to voice my thoughts at this time; especially considering that more people are predicting another down market. d l hutchins

Help….what do you suggest???

Dear Larry,

A number of years ago when Alexander The Great was going forward with his conquests and he was marching his armies for thousands of miles that he did going through the Cibra pass he reached a point in his conquests where he was essentially marching off the map, because up to that time they had no charts or maps that showed the lands that he was entering, Christopher Columbus when he went sailing out into the Atlantic, when he got to a certain point and it was blank they had sea monsters their, Sailing off the map.

When you look at what’s happening in history now this ECONOMIC generation has entered an era with what we see happening in the different fields of technology and war.

We have marched off the map! WITH THIS ECONOMIC ERA. OUT WITH THE OLD AND IN WITH THE NEW NOW…………

Lets look at the economic factual indicators at where our axis is truly pointing and lets be honest about what we should be doing.

Russia’s President, Dmitry Medvedev, pulled the world’s new currency from his pocket at the meeting of G8 leaders in the Italian city of Aquila. 09.08.24

9.07.08 –
Pope Urges Forming New World Economic Order to Work for the ‘Common Good’

The Ameros being mentioned.

All the above have been promoted and are being planned to change our economic course over the next twelve months.

I believe that we should be planning a course around the advent of collapsing currencies. Please remember we have no unsinkable ship we never had one.

Regards - George

Why do you not chart (for technical analysis) the value of gold in terms of the major international currencies? It is quite straightforward — simply multiply
(price of gold in US$$) x (tradeweighted value of US$$) = Real Gold Value (RGV)
What is then revealed is the ‘real’ price of gold independent of forex plays on the US$$. If gold is going to make a true longterm move in any direction, up or down, it will do so vs a broad basket of international currencies, not simply the US$$.
On my chart of RGV the past 6mos have seen a nothing more than a pullback from a major long-term top at 860 followed by a long & continuing consolidation rectangle between 740 and 780. My intuition suggests that whichever way the breakout occurs from that rectangle will be strongly indicative of the next intermediate-to-long term movement in the price of gold in US$$ independent of what shows up on short-term charts.
–
Peace ALL Ways Norton
PS Yesterday, not knowing how to reach you directly, I sent this message to support@uncommon.. — so you may be reading the above suggestion twice.

I have been keeping funds in American Century Capital Preservation and am wonderng if that still is the best place. Thanks for all you are doing to help us survive this catastrophe.

I believe we need to start with all of our congress paying there own healthcare, taking a paycut and cutting back on there pensions.
How much money could this save us.
I do not feel they are earning what they are getting paid. We are paying them we should be able to cut it back.
How did they get the right to give themselves these lavished living expenses?

We need to put the federal government on a diet. shut down depart of education and sell its assets. sell federal property to the states. bring troops home from iraq and afghanistan. value postal service and then have investment bankers turn it into a publicly held company. pass a constitutional amendment calling for a balanced budget. combine fannie mae and freddie mac and get the fed government out of their business.

The economy has tanked to far , and our government knows this, that is why the G8 and the G20 are making decisions behind our back to decide our future………the problems have become to big to solve for one country and in my mind the world leaders behind closed doors have decided what is going to happen…….

Larry, I have invested in the metals in gold and silver. I have physical silver and many stocks in gold companies and silver companies. I have seen my profits more than quadruple since buying in 2002. I believe we are just on the threshold of the third phase of the gold bull market where the buying public realizes the values of these companies. Let me know your thoughts on these comments, thanks, Jerry

seek out someelse to live eg australia,nz,canada,japan,china, sth america

It seems that all currencies right now are in the a fix similar to ours. The only “currency” that seems to behave better than the Dollar by a good margine is Gold and gold and silver mining stocks. I am just waiting for them to do a reasonable retreat to lower levels in order to put a large portion of my investments into it. Most of it will be in etf’s and mining stocks that show an increase in the 200 day moving averages. There is not much in US stocks that has a good profit future because too much is linked to the US Dollar. My investment strategies are still very short term though and may also be in the future. By the way, I am 78 years old and hope that my money does not run out for the next 22 years.

Has any studies been done by the foundation regarding the life expectancy of fiat currency that includes being taken off the gold standard & or being the worlds reserve currency?A chart showing the shortest,longest & average life expectancy of fiat currencies over the centuries would be interseting.
Also it would be interesting to know if gold can predict the downfall of a currency i.e., if it takes x amount of gold to buy a certain commodity valued in a certain currency. @ a currency peak I would not be surprised if it took a lot of ounces of gold to by a medium home. With 4% dollar bulls & the fed likely to lose its battle to stop deflation the dollar looks strong. There is so much debt out there & after gold peaks deflation should cause a shortage of dollars when no one wants gold & only wants the dollar Gershams (sp) law will indicate the point where no one wants gold & only the dollar will cause gold to rise & cause the death of the dollar. Looking @ the charts gold will test the Oct 08 lows with in the next year rally to a new all time high then decline between 200 & 100 dollars. Then the dollar would be on its death bed.

In all honesty, we the people have to take some of the blame for our circumstances. We’ve become complacent in allowing the dishonesty of our government to be acceptable. The founding fathers of our country in the Declaration of Independence that our government was created For The People and By The People. We gave up our power to the greedy and dishonest lawmakers as long as they supposedly benefited us.

It’s time for the people to take back their government and entrust it to people who have demonstrated
their love of our country. Statesmanship, not wealth should determine who we elect. There should be a limit that each candidate can spend to be elected to office an do away with all the lobbying.

Our press and media have become puppits of our supposed leaders instead of telling the truth. Wall Street and our Bernanke are in the same bed together without concern for the people’s welfare.

I suggest you may want to get a copy of The Dollar Destruction and Defense Manual from Independent Living

I fell completely frustrated as to what to do to salvage the remainder of our investments and cash. No
one seems to want to help without charging a hefty fee for any information. My husband and I are
both retirees and we try to live on our Social Security monthly allowance and it is becoming increasing
ly more difficult to see how we will be able to make ends meet to keep our bills paid and eat decent
food. The government is not here to help American citizens, but to make our lives as difficult as poss-
ible while our president and members of congress live well with a special health program and many
other perks. We do not feel that they are truly concerned with our general well being and their special
interests are their top priority. What can we do to protect what little that we have left and survive this
continuing outrageous incompetent decisions and behavior. God Bless America!!!!

Dear Larry,
If you take a look at the Chrysler bailout and apply the same metrics to the many bailouts of AIG, C, FNM, FRE, etc you can see that well over several trillion dollars of profit may be made by the Federal Government upon their return to profitability. Was it not because of this that Paul Volcker was added to the President’s financial advisory board?

Great insights Mr. Edelson to the Midgets mastery of manipulation. Federal Shell Game”. ” Keep em the dark then when it’s too late Holler ” Surprise ” and tell them they are now citizens of China whom we owe our debts too and God knows who else !! What burns me off is that no one in the previous administration was sent to jail for this Diabolical plan. And that they assumed the Joe citizen would carry out their schemes which they did. And it didn’t cost them a cent but embarassment ! You and I come a little short on the Tax program and they confiscate your holdings house and whatnot. What a horrible thing we are putting up with. Hopefully the dollar will remain somewhat still stable enough for us to come together and come up with a non Fed solution. But, it looks like they are really making an all out war to get the dollar out of the way and come up with another currency unknown to us and take it or sink” !! But non the less, that American resiliency will step up and say ” ENOUGH ” !!! Joe

Is it ridiculous to convert our U.S. dollars to Chinese yen, then sit on it for a few years while the dollar devalues before converting back?

ok i have cd’s, munie’s , cash and 25% of my holdings in gold [ gld] two properties no mortgage or debt. WHAT DO I DO TO PROTECT MYSELF.
JOEL

Dear Sir,

The major questions are …

(1) Do we wish to go down the tubes rapidly by embracing a depression? … or

(2) Do we wish to go down the tubes more slowely by massively increasing the federal debt and other public obligations? … or

(3) Do we wish to focus only on #’s 1 & 2 and continue arguing the relative virtues of big vs. little government and thereby ignore the really big issue … which is … climate change and the collapse of the only “Mother Nature” we have known for over 10,000 years?

Even your august writings pretend that #’s 1 & 2 are the only true realities and that the rapid melting of the ice caps and all associated realities are meaningless. As such, you also miss the essential point … as go the ice caps … so goes civilization and all our bank accounts.

Agree??

Thanks

SK

Actually Bob’s plan might not be a bad idea……it certainly couldn’t be any worse than an exGoldman-Sachs executive, taking $200 million on leaving Wachovia to become a Wells Fargo Director.
Under my plan the creators of the debt would be separated from the unasked payers of the debt.So this set my gears in motion. Would a citizen obtain a new currency to handle transactions, as below

“Hill City, Lakota - November 24, 2008 - In a stunning development, the Free & Independent People of Lakota announced today the introduction of the world’s first non-reserve, non-fractional bank that accepts only silver and gold currencies for deposit”. or something else.

OK……it only made sense to cut the Federal Reserve Bank loose from the USA, with the dept attached to it. After all, it is a private corporation isn’t it????

LOL.,
Dallas

What do you think the Chinese government intends to do with their silver and rare earths? Do you think perhaps they envision a basket of metals as backing for a new world wide currency?

I would like to know how much time you think we have till hyperinflation sets in. Should I take out what little I have in my retirement and pay off all unsecured debt which I have about half of what is in retirement plan. Thanks

Is there any possibility, however unlikely, that investing in or holding physical gold may be a bad move? Is now a good time to accumulate physical or is a dip in price in the near future? Seems like everytime spot price goes down, the premium goes up resulting in no change in net cost. I’d sure appreciate your comments.

Der Larry,

Your blog and this mail in particular, is what each Country will need for helping themselves. Your interest in helping your country and its people is memorable. Your effort trying to collect ideas from all sources around the world to help solving this International problem comes from a real gentleman. That’s why I decided writing to you. Hope you find it interesting. If not ……………….

For me this is not ONLY a problem of the US Dollar, even it could be the main cause. Supporting $US mainly with the Real Estate value, according Banks’ loans, can be one of the biggest Fed’s mistakes of past Century. All other financial games have done the rest. That’s clear enough.

What I am going to expose, it is not my idea but I considered it very clever and potentially succesfull.

As I am aware that you and all your team, have very good relationships and ackowledgement of Asian Countries and its Economics, the main idea I read till today form a famous economist is convincing China to invest in joint venture with USA, or the whole world, into its civil industrial development. The investment would be done with part of the important debt they have in USA bonuses.
According to me, China is blocked because their $ savings are every day going down. The rate have fall down too. But; what to do with almost $2Trillions that China has at this moment?. It is well known that they are thinking in gold, or looking to other currencies, or even building a new Asian currency that very probably we will see one day.
According to me, this can be a small step but will not solve the main world’ problem of recession in a fast way. It will take years and problems will go up and up.
I guess that China would not be interested in selling their $ reserves at a low $USA rate in relation other currencies. They purchasing capacity is very less today than in 2007, or even less than before they started to purchase $US not to talk about exportation problems arising nowadays. However, their US$ reserves, have a great value in it’s own country.

China needs civil Industrial development for a 40 million new workers yearly.
If both countries plus anyone interested in entering in the joint venture , arrive to an agreement with China for their own China’s Civil Industrial development they would be able investing half of their debt in US$ if the same amount, or whatever is agreed, will be invesed by their partners. This must not be a lender business but an investment one. The idea is not continuing selling technology to China to recover the cost of its exportations to balance the Global National Accountings.

Helping China to invest and develop their way of leaving, could be the solution for the $US dollar and in part for the whole world. If such kind of agreement arises in the News, people way of thinking can change from a pesimist position, into a new age for the XXI century.
Consumption and China’s exportations can be recovered from its low down and recession can be recovered in part. The rest will come alone. If you apply the same idea to other important Asian countries, that you may know better than me, the whole impact will be stonger.

In syntesis the idea is: “Helping others is Helping us”.

There are many profitable new business to be developed as: controlling smog (main problem in Shangai), sun energy, wind energy, steel, electric cars, mining, higroads, fast trains, new asfalt technologes with car’s tires, water desalinization, water cleaning, etc., etc., Only with half of China’s reserves in US$ out and in vested, China will make a high step in its history and the position of the US$ will change in relation the whole world for sure.

Probably the main problem will be the politics. Unfortunatelly I am not involved at all in this field but for sure there will be prestigious people that can solve those hypersensitive matters. Next G20 in USA could be the starting point if this idea is politiclly able to be developed and accepted.

Best regards - PEPE

Start thinking about new materials and new ways to develop products using these. Things will be forgotten and new jobs created using these materials creating many open doors and a new way to finance our way out of this. Tell the government to abolish patent rights and start paying for the Ideas that come to fold and let the real brains get to have a piece of the pie instead of corp executives and ceos taking the money and claim humanitarian benefits. The world is not working for the betterment of society just a value system that causes this calamity.

larry, are gma a place to put some money?

What to do? Prepare for inflation. Buy assets; invest in commodity stocks/etfs and gold with investment funds. Prepare to hunker down. Spend from your savings to fix everything around you that needs fixing. Weatherize your home (tax credits may be available) to save big money as price of energy soars. Have a good practical vehicle that will see you through the next 5 years. Have 5 years worth of high quality, long lasting clothing and shoes on hand for the family. Cultivate a relationship with someone in your network who has a farm. Learn to live simply, as most folks did as recently as the late 1950’s. Spend more time with friends, less time buying entertainment. Focus more on preparing and storing food; what folks have done since the dawn of time! Overall, we will need to shed the unnecessary excesses of the past 40 years we have come to see as “normal”.

I lived through the inflation/stagflation of the late ’70s and early ’80s, and at that time a good place to be was money market funds - they responded quickly to interest rate increases. I remember getting high rates, like 10, 12, even 15%. But at the time, I didn’t have much savings, and couldn’t buy 30 year treasuries at historically high rates.
QUESTION: does anyone have data on what the bond index did during that time? I have some short and intermediate term bond index funds, and would love to see what that index did back in the ’80s. Seems to me, short is good, since a short bond fund might take a hit, but then come back fast as it invests in higher interest bonds.

Someone who agrees with you on inflation/hyperinflation is a guy named Williams, who has a web site called shadowstats.com. He points out that the rate of unemployment and inflation is much greater than the government quotes, since the calculations were changed in the ’80s and again in the ’90s. Problem is, what to do?

Fight for this world,in the name of the best that is in you. You will win when you are ready to repeat this oath: “I swear–by my life and the love of it that I will never live for the sake of another man, nor ask another man to live for mine.” “John Galt’s speech ” Atlas Shrugged by Ayn Rand
“The only proper purpose of government is to protect rights; a government’s only proper functions are: the police; the armed forces; and the courts, to settle disputes by objective law. Government must not initiate force against people.”
Individuals rights are not gifts from God or society. They are conditions required my mans nature for his proper survival.
Give help to others when deserved, but not on the basis of need alone,or when demanded as a right.
America was founded on reason and individualism, on the inviolate supremacy of man’s right to exist and achieve. It cannot survive on an altruist moral basis.

Larry,

I read daily articles in both of your publications, Money and Markets and Uncommon Wisdom and have subscribed to Safe Money as well as Real Wealth newsletters. I (selectively) follow the investment or trading advices you and Martin give in these publications as I agree with your assesments of the situation our economy is in and your focus on investing in gold, natural resources and energy in general.
Please keep on advising us on good investment or trade opportunities and mainly, please give us a warning about when the second shoe (second stock market crash and/or dollar crash) is going to drop. BTW, I realize that Chinese economy growth prospects are much higher than ours, but do you think that money invested in China or Russia is safer than in US, Canada or EU? Could you address that concern sometimes? I feel that I am not alone in being a bit carefull before investing overseas.
Regards,

Anthony.

I appreciate getting all the financial info I receive daily via emails. However, my financial condition is such that I cannot afford to pay for investment advice and my IRA investment portfolio is so small I cannot further invest until substantial profit is earned. For that to happen the price of gold and silver has to jump sky high before January when my options expire. If that happens, I should begin to progress financially in spite of our stupid politicians.

Sincerely,
George

Hey I am a Canadian. Can you please offer some insight to how all this will effect me and what I should do?

I regularly read your coloumn and have turned my savings into gold insead of Canadian dollars.I want to buy a house but I am not sure if now is a good time? What do you suggest?

In real estate, the favorite maxim states “location, location, location”. With assets, the equivalent is probably “diversification, diversification, diversification”. Spread yours amongst a broad international base, with the CHF probably being the least debased currency.

Larry Do you think the government will call in gold and paper gld? it happened in the 1930s.

What would you suggest one do about CDs? Where is the best place to put the money from these two CDs, one from a retirement account and another that is strictly a cushion/savings?

Larry:
What about farmland? Is it the gold most people are overlooking? I have always wanted to hear your opinion or Martin’s on this topic. Didn’t farmland create great wealth for those after the 1930’s depression?

Thank you for your analysis. Which investments do you suggest to preserve the value of our savings?.
Thank you for your advise.

John

Hi Larry,

I have followed and subscribed to your Real Wealth publication. You have given me comfort and good direction in this difficult market place.

I followed Martins’ advice and put $533,000 in T-Bills last November. Is this the time to put that cash to work in the markets. The question is, how much should be in Gold and Silver and should the remainder be in natural resources. Can you please recommend your favorite resource companies.

Thank you,

Jim

Like many who have been watching this for years, I am very angry that our government has put us in this position. Many of us have been careful with our debts, live under our means, and save through the years, only to have our government run over us. I am mad as —-! But at this point, I realize that I must keep my wits and do my best to navigate through this mess. What I need is clear direction on where to move funds to gain during this volatile time — these are actually the times when you can really make money — if the right moves are made. Please help me develop the winning strategy.

There is nothing you can do. The Illuminati runs the show now and they are going to steal the wealth and hunker down for 2012 and let us rot. 2012 is going to change everything and they know it. Investing makes no sense anymore. You are doing all you can, thanks.

My wife is from the philipines.we have been married about 3 yrs .We have bought quite a few small plantations in Mindanao where she is from .The exchange rate very good now and a good oportunity to help her family and a “insurance policy” for ourselves.Not everyone I know has this oportunity .best regards

I have saved up a small amount of cash that right now is in a CD at like 2%.I have
land that is worth a small amount as well (150K). I havd done fairly well with my stocks but seems so risky. I sold all my equity stocks last year and just bought gold and silver stocks. Just the way you guys have been talking I figured I would be safe. So far it has more than doubled since January and I just don’t see any other place to put it so I feel it is still a pretty good investment leaving it right where it is. So do you think I should diversify more or just keep doing what Im doing?

Larry, you guys seem to be nailing the issues…but I do have some concerns about your enthrallment with the eastern economies, especially the Chinese. Today’s Growth’s Stock Wire from Jeff Clark, Stansberry Research asks:

“Is China cooking the books?

It’s a reasonable question. After all, we’ve exported many of our jobs and most of our manufacturing base to the People’s Republic… We might as well send them our accounting standards, too. ”

And goes on to say, “In a report released last Tuesday, the U.N. Conference estimated the Chinese economy would grow 7.8% this year, while the global economy is likely to decline. The obvious question here is… How does the world’s leading exporter of manufactured goods grow 8% while the rest of the world stops buying manufactured goods?

It certainly can’t be because the Chinese population is increasing its spending habits. Over 50 million Chinese adults are unemployed, and they’re moving from the manufacturing cities back to their rural family farms. So they’re unlikely to buy the $100 sneakers we here in the West like so much…”

And, “The Chinese stock market, as represented by the Shanghai Stock Exchange Composite Index (SSEC), bottomed last November, when the Chinese government announced its plan to throw a few trillion yuan at the economy. Between then and its peak in August, the SSEC was up over 100%…

But the price action since August has been weak, and it appears reality is entering the equation…
The fall was swift and severe and chopped more than 20% off the index in just one month. Since then, Chinese stocks have gotten the predictable bounce back up near resistance…
Make no mistake, the Chinese economy – much like the U.S. economy – relies on the U.S. consumer. If Americans aren’t buying big-screen TVs or $100 sneakers, Chinese stocks are ultimately headed for trouble.
The American consumer isn’t buying. ”

“The American consumer has no savings. His main source of spending, the home equity line of credit, is nonexistent. And total consumer credit dropped $21.6 billion last month alone. That’s a 10% annual decline.

So the question again is… How can the world’s leading exporter of manufactured goods grow 8% when its best customer can’t buy the manufactured goods?”

It does make me wonder if the Chinese economy will be as strong as we expect, especially given the central control their government exerts.

Your thoughts would be most appreciated.

You’re right about increasing prices. Every time I visit the grocery store and notice the increasing
escalation of prices. Prices everywhere and everything on the upswing. Here’s to a dismal future.
Over&Out.

Dear Larry, Thanks for tuning into your readers. Regarding owning gold, do you regard GLD as a safe investment? How about owning gold eagles in an account at Fidelity? Otherwise, what are your recommendations?
Thanks
Larry Martines
Hobe Sound, FL & Waynesville, NC

Hi Larry, why is the value of “the dollar” so dadblum important? Wouldn’t a strong dollar send even more American jobs to foreign shores? If we were just a nation of day trading, wealthy retirees then I don’t think it would be a problem, actually it would be a good thing. But we have lots of young people and if they aren’t gainfully employed someday there will be trouble. Why is it so important to create and/or send all the jobs in China?

Everyone seems to blame Obama; I guess it is because he is president now. If it happened during Bush (GW), tenure, he would be the blame, in fact he was being blamed a lot. But the bottom line is, this stuff has been in the making since Jekyll Island. From what I understand there are powerbrokers outside of this country who holds the strings to this country. And unfortunately, we as America’s children, have gotten spoiled. But cut to the chase; we need to learn to mentally & emotionally let go of things that do not profit. What has happened to self-denial? It is taboo to say that anymore.

Larry, I think a basket of curriencies that one can get through the Evergreen Bank in St. Louis, MO is one way to protect your dollar value, with a falling dollar. And, of course, gold, gold bullion, stocks. I tend to shy away from coins, the mark up is too high. Good dividend stocks of other companies and here in the USA can provide protection, also.
Henry J.

What must we do to get our money into another currency? If we buy stocks in foreign countries we would still have to sell back into greenbacks even though the stock prices would probably incease. Or since we bought in the US could we sell into a foreign market?? Seems likethe only way to preserve our currency value.

I AM JUST A VERY SMALL FISH IN A GREAT BIG POND. I WOULD LIKE TO BE ABLE TO JOIN IN YOUR EFFORT TO INVEST AND GROW MY OWN MONEY. HOWEVER, I DO NOT HAVE SUFFICIENT RESERVE CAPITAL TO MEET YOUR MINIMUM REQUIREMENTS.

PERHAPS, YOU COULD HELP THE LITTLE GUY BY CREATING A FINANCIAL VEHICLE THAT LITTLE FISHES CAN JOIN.

Keep encouraging us that we can actually make money and grow our assets despite the downward drift of our beloved country. For those of us of modest means, mutual funds and ETFs are our investments of choice, so I always appreciate your guidance to the best of the best, including mutual fund families and brokerages that hopefully won’t go bankrupt. Thanks for sharing your knowledge and experience.

Thank you Larry,
But I and my family are in good shape,besides being lucky enough to live in B.C. Canada with our relatively milds climate. I do however feel sorry for some USA citizens who have saved ,and behaved prudentially, who will be dragged down by this mess, whether they like it or not.

Sincerely,
Denis

Larry:
On behalf of those of us who read, care and think deeply about what you folks write, THANK YOU.

The Weiss group offer of guidance throughout the current crisis and future financial minefield is certainly appreciated. I’m sure your readership encompasses a wide spectrum, so it is nearly impossible to provide one solution that will fit all current levels of economic ability. Every dollar saved or invested judiciously now could be the difference between future sucess or financial ruin.

History and logic confirm your currency devaluation theory. Borrow it, waste it, devalue it, make it worth less, and your debt is less. Talk about a “Ponzie Scheme”. When Bernanke and Geithner are finished, the world will think Madoff is a freaking Saint.

The unfortunate truth is that it is too late to help the vast majority of our fellow US citizens, not to mention those around the world who have foolishly bought our rampant debt. Amongst these poor and unsuspecting are the future thinkers who have eliminated or efficiently managed their debt and saved to provide for their future needs. Almost all of these individuals hard earned wealth will become a swirling froth that gets flushed down the toilet with the all the toxic debt and government mismanagement.

It sure is a topsy-turvy time when the responsible citizens are sucked into the same vortex of financial ruin as the irresponsible. People who have worked for years to establish equity in their homes find themselves just as upside-down as those who spent and borrowed their way into bankruptcy. A big thank you to the Politicians who are sworn to, among many other things, regulate. They ought to be ashamed, both Republican and Democratic. Our President panders to every interest group he faces. Their arrogance make me wretch.

The survivors of this debacle will be those people who have NO debt, own their home and/or other hard assets. They will also have some Silver and/or Gold Bullion kept in a safe place. This group will lead the re-birth of the US economy (in about 10 years).

Other than Glenn Beck, your group is one of the few who tells it like it is. Keep it up!

Dear Larry I have been following your editorials for about two months and I’m interested in your views, you and your associates appear to be detailed and articulate. One graph showed oil going up to Sept 15th but it has went down lately and can’t get above 70.00. I’m curious why is this?

These elitests know they have to take America down, along with the US dollar to create a New World Order. As a world power, the US citizens would not submit to a New World Order or a one world governing entity unless Americans are in dire straits. Consequently, we are seeing our puppet politicans being controlled to destroy America in pursuit of this New World Order. Yes, many call this a conspiracy theory. However, it is no theory. It is fact! Do some research and you will be amazed. Our dollar will decline sharply, unemployment will continue to increase and we will have hyper-inflation within a year or two. Since social diversity has been promoted for many years in America, Americans are no longer united so we will see this country fall and fall hard. Sad to see. Physical precious metals is the only investment I know that is absolute. If you have any other solutions, please let me know! May God bless those following his Word!

Not to be flip in the face of disaster…we should “sell Texas.”
It seems to me, as an individual or as a country, that when one is debt-extended to the brink of financial ruin you must ultimately do four things:
1) create a sacred cache (as in protected, untouchable reserves),
2) find new money any way you can (as in second job / profit margin / new enterprises / revenues),
3) tighten the belt (as in changing spending habits and reducing costs / stop expensive wars), and
4) sell off assets to eliminate existing debt (as in sell the heirlooms / “sell Texas”*).
Doing all together makes the most cents.
*no offense intended to Texans, it is the concept, not the place.

Larry, we appreciate all your insights and analysis on the economy. We’re retired and on a fixed income. We
subscribe to your Real Wealth Report and Safe Money. We own some GLD, but is that really safe? Where would YOU purchase physical gold? And what are YOU doing to protect your family from the coming
financial disaster?
Dave & Peg

I think part of the solution must be to privatise some of your companies. australia privatised a number of companies, notably telstra which not only increased the companies efficiency but the australian gov was able to pay off most of its debts.

also a note why inflation of goods and services will never be a major problem(excpet in resources) is due to the fact that whenever demand for a particular good or service increases, asia and in particular china will be able to increase supply thereby keeping prices in equilibrium

You asked what you can do to “help make sure your family is NOT victimized “.
As a new reader, loving what I read from you every day because even though I’m no expert your articles strike true with my common sense and basic knowledge, I can tell you that I’d love to hear more about the services you provide. The biggest thing I think you can do to help people like me is to provide direction.
Thanks.

All at Weiss a Hearty Hello,

Be the first on your block to read Naomi Klein’s The Shock Doctrine.

Question: Have you perused The Shock Doctrine Larry?

In my case I read it at least a year ago.

One friend has read it.

Have others you know read it, Larry?

I have loaned or sold a copy to two others.

The most important book you will read

David

Larry, at what point do we want to have the majority of our money
invested in equities? You called the top of the DOW 14,000 you
almost nailed the bottom by calling the bottom of 7,000 with a 50%
increase off the lows MANY months ago (very impressive to say the least)!!
Several months back you also predicted World Banks would have to drop
their Prime to rock bottom lows and turn on the printing presses (again,
you were dead-on) which would EVENTUALLY cause world economies to go through a massive re-inflationary period which could easily send the DOW
to 20,000-25,000. When should we prepare for this as to not miss out on
huge gains??

Thanks for all the profits!!

SA

So what does it all mean for the stock market… are we going “bear” sooner than later???

I find it rather ironic that the first black president of the United States will enslave the entire country by taxing us into submission. By definition slavery is the inability to keep the fruits of one’s own labor.

Over thirty years ago Howard Ruff said the US government could print all the greenbacks needed to pay off Its debt, then declare the greenback void and issue new redbacks the next day as its new currentcy. Could that be the solution?

The CFTC seems to be after some commodity ETFs. Are GLD and SLV safe?

Larry,
I am a member fo the Foundation Alliance. How can we position ourselves to take advantage of the falling dollar. Richard said in the squawk that the cycles say that the dollar has more to fall before any kind of recovery. Are ther no plays to take advantage and preserve our buying power. Do we need to transfer wealth to other currencies and if yes than which ones?

Larry, I currently have money invested with my credit union in a checking account that is currently paying 2%. I also have money invested in a 401K and an IRA account. Should I begin moving money into foreign currencies such as the Euro, Swiss Francs, and Austrailan Dollar? Will this saveguard me from the eventual collapse of the Dollar?
Your advice is appreciated, Marc Baker

Hi,
Thank you for that.
You have an effective way with words.
Solution:
1. To help maintain sanity: Start counting your blessings. e.g.You havn’t got a civil war going on at the same time.
2. Get your politicians to ownup and “drive a stake in” …. no more money printing press ;-)
3 Saturate the country in every way with the finacial scenes and results of Zimbabwe’s strategy. Old film clips of Germans with wheelbarrow full of notes to buy bread.
4. Last but not least don’t YOU give up “ringing the bell”

That should do …. don’t lose your sence of humour.
Bloody humans, doing what humans do.
Whoops, got-to-go … check the powder, to see if it will still stay dry.
Rgds
Peter

This mess was created by greedy Republicans and now you’re blaming Obama? Give me a break…letting the Bush tax cuts expire will help, then we need to raise taxes on the wealthy again.

I told people about this for the last year, they all thought I was out to lunch. Oboma is just a figer head with no power , being controled by the share holders of the federal reserve. The people have to wake up & take over control.

Larry,

I’m (my IRAs) in Merc Hard Currency, Australian currency, Canadian currency, Vanguard’s Precious Metals & Mining fund, Vanguards’ Energy etf (oil and exploration, etc). And a lot of physical silver, and some gold. I’m 53 years old, single.

Are those good investments? Or should I sell the whole thing off to avoid confiscation and sky high taxes when I go to retire on it?

Thanks,
Tina

LARRY ,BEING AN AUSSIE AND READING ABOUT WHAT YOU GUYS ARE SAYING ABOUT THE GREENBACK ,MAKES ME THANK FULL THAT EVEN THOUGH OUR P.M. SPENT 40 BILLION TO SAVE AUSTRALIA,ITS THE FACT THAT YOUR TWO PREVIOUS PRESIDENTS ,BOTH BUSHES ,GOT YOU GUYS INTO DEBT BY FIGHTING A WAR THAT WILL NEVER BE WON,EVEN THE COOKIE JAR ON EVERY AMERICANS CUPBOARD MUST NOW BE EMPTY,SO WHAT DOES YOUR NOW GOVERNMENT DO ,PRINT MORE MONEY AND LET THE PEOPLE WHOM YOU ALL FOUGHT AGAINST TO KEEP AMERICA AMERICA ,ARE NOW THE ONES WHO HOLD THE FATE OF ALL AMERICANS IN THE HANDS,WE MIGHT BE UPSIDE DOWN OVER HERE IN AUSTRALIA ,BUT WE WONT BE OWNED BY OTHERS.DO YOU GUYS WANT A LEND? ,THE AUSSIE DOLLAR SEEMS T O BE GOING GREAT GUNS

Agree with you but would also like to receive A VIEW ON THE United Kingdom and Europe as you and your colleagues from the Weiss team have developed a great following on the other side of the Atlantic!
The UK and some European countries are also heavily indebted so does it mean that the euro and £ will also devalued against a basket of European currencies and less against the $ + could you also give more tips for NON AMERICAN INVESTORS.
I am a novice ‘not too young investor’.
Thanks

. it swhy are we freaking out about healthcare when our focus should be on helping americans get back to work and working our way out of this $ mess. when we had our kids 3 of them we had no health insurance we made monthly payments to our doctors and the hospital till we owned our kids free and clear, it took us many years they were all c section but we did it. lets focus like a laser beam on the economy. regards

First we must realize that it is to late in the game to do a lot of things that should have already been doing, such as tearing up credit cards, paying off the mortgage and living within our means,

Things to do now.
1) Buy a years supply of dehyrated food for every member of the family. Google dehydrated foods.
2) Sell all items to raise cash to buy these things mentioned above. Things you don’t use or need such as old cars, things in the garage–have a garage sale.
3) Make sure you have a good supply of clean drinking water
4) Buy small denominations of Canadian maple leafs 1/10, 1/4, 1/2 and 1 ounce buy the smaller first as they can be traded later at much higher prices. Stay away from the U.S.Eagles as the U.S. Government has taken gold bullion coins from the American people before. Foreign coins were left alone. A few Krugerrands are ok as well.
5) Keep enough cash on hand for 6 month expenses.
6) For those that do not have much and can’t buy gold buy 90% silver coins.
7) Vote every Democrat that voted for the stimulus plan, the 787 Trillion bank, AIG, Fannie Mae/Freddie Mac and Auto bailout out of office next November.
8) Glenn Beck has got it right. Turn down every piece of legislation that comes down the pike until next November.
9) Illegals aliens already have free health care provided by the American taxpayer. All they have to do is go to the emergency room at any hospital and they get free medical treatment. They don’t need private insurance. We dummy American have to buy our own and then pay for theirs.
10) Buy guns and ammo before it’s to late. I will die first before I give up my guns. Our forefathers knew well it wasn’t to shoot rabbits buy to protect against tyrannical government.
11)The multi national American companies, Wall Street, and the International bankers (Illuminati) have already destroyed this once great nation. Only God can help us now. It’s just a matter of time.

Hi,
This is more a question rather than a comment to what if the worst case scenario unfolds?
As someone heavily invested in the precious metals arena since 2006 my query is that if a hyperinflationary situation arises 2,3 or 5 years down the line wouldnt that be bad for the paper profit that we hold or have supposedly made in huge profits over the previous 5-8 years ??
I mean do you see a possibility where due to a tumbling value of the US Dollar the paper money we will be holding in years to come can become insignificant and our profits more or less worthless or is that a bit far stretched ??

The rip-off is that all of the super wealthy have probably given up their US citizenship already. They won’t have to pay off this deficit. If you have the means, then become a citizen of a different country.
This was all a setup in my opinion. Why is it in every country in the world, you can walk to the corner and exchange currency into any major world currency at a fair price. Only here do you get fleeced for exchanging dollars into another currency. Washington and the banks are trapping us in the dollar
like rats on a sinking ship.

Dear Larry,
I live in Europe and have mainly pounds and euros, but also a lot of dollars.
Should I change my dollars now into either euros or pounds? Or is it too late?
I really would like to know

Buy Gold and Silver. This is the only type of “wealth” or “money” that has a world value, accepted as wealth in all countries. Silver is of course in my opinion a better investment, because of the lower cost of purchase. Our dollar used to be backed by gold before the wolves started the “money trading”.

Larry,
As a subscriber to the Contrarian Portfolio, resident in the UK, I was anticipating the dollar to grow in strength relative to the Pound Sterling as one way of protecting my investment. Since most commodities are currently traded in dollars, investments in commodities, as you have consistently recommended, coupled with selected stocks in emerging markets, should achieve a good measure of protection. But I am concerned, having read your scenario for the dollar, that my expectations might not be fulflled. Would you advise a change of strategy for a UK resident?

If you wish to be informed as to what is going on at the present time then read ‘The Robots’ Rebellion’ by David Icke, which is available on Amazon. Anything that you can do to stop the peoples wealth from passing into the hands of the bankers will be imost important.

“You can be fooled twice, once by believing what is untrue and by not believing what is true”

IRA holders need advice for maintaining the buying power their US dollar based savings. Do we keep it in short term US treasury securities, convert it all into Gold, or what?

Larry,
I agree with Joe McPhadden and Will. I am in realestate that I can’t resonablly get out of and cash. I need to down side my annual budget or make more money. I am retired and and have a lot of cash but don’t know where to put it. In addition to cash, I am in commodites, hedge funds and energy( mostly preferred positions in oil . I need to put my cash to work but need some advise as I don’t have the time to study the market. As a entrpreneur I am comfortable with risk, but need to preserve some liquidity. I have subscribe to your service in the past and weiss for years and recentlu talked Weiss Managemnt fund, whose record on yeild I find unimpressive.
Tom

God and the assumption of predictability. I for one try to make money trading but the inherent logic to all these systems is to try and time ‘cycles’ such as your new investment systems. But this assumes you can predict things which inturn implies that you can be like god.

But all models only work if Ceteris Paribas everything remains equal. if not the model will break down. sometimes a little. sometimes a lot.

just food for thought

I have always believed in the conservative approach to money and its use. No credit cards, no unsecured loans and, save save save. It has become increasingly difficult to maintain the momentum
of this doctrine with the costs of things in the present economy. What you are saying appears to be true concerning the devaluation of our currency. I am not rich by any standard other than the one of faith in God, but i have not lost any money on any investment. My family is doing well by this philosophy.
My worry is now what the future may hold for the country and especially my family with the obvious direction our fed chief is taking our currency. Saving would be a concern if the money isn’t worth much.
Zimbabwe is a good example of a failed system. Are we headed for hyper inflation? any advice on where we can expect to be in the near future if we are really on the edge of what is expected to be
a severe devaluation of the US dollar? I’m listening…

The destruction of the dollar wouldn’t make any difference in our lives if there were any jobs in this country. Inflation would go up, but so what if you had a job that could keep pace with it. As you know, all of the jobs have been sent somewhere but here in the US, and this is the fault of big corporations having free reign to do what they want with the politicians- who beg for money. Buy gold, buy guns ,raise a garden and move out of the city. Oh yes, make friends with your neighbors, you’re going to need them.

Larry,

You can help folks by constantly explaining just where we are in the long, medium and short term scheme of things. Juggling 50 dinner plates at once might be easier than keeping up with the markets and government trends –which explains why safeguarding and managing a portfolio is like herding cats. I weighed subscribing to your services but joined the Foundation Alliance. However, I instinctively trust you. I hardly ever do that, but I pay attention when it happens.

Thanks Larry for all you do to help.
To protect our savings should we find an ETF of foriegn currencies, Gold & Silver, short the Dollar or all of the above.
Also, should we hold second homes to float with inflation or dump them?

Dear Larry,

I am a 33 year old married woman with two small children. I have been trapped in my own little bubble with virtually no knowledge on how the “real world” works. My eyes have been opened and now I am scared to death. I have no previous life lessons to pull from to even try and make educated guesses on what to do with this impending doom that is heading straight for us. This is why I turn to you.

I understand the need to hedge against the dollar but what about the real estate that I have? I hold mortgages on several pieces of property in Florida (Cape Coral specifically). What is the smartest thing to do with property at times like these? Will inflation drive them up? Will people be able to afford to buy them if that happens? Should I sell them now while my husband is still employed and we could hopefully break even for what we owe on them?

I really am begging for your insight. I have no one to turn to for advice as my peers think I am over-reacting.

Thank you for your continued insight, I will continue to be a devoted listener and reader.

Regards,

Sarah

It seems to me that owning dollars that are being devalued makes no sense. My inclination has been to buy commodities as the Chinese are doing and get as much value now for my existing dollars. Since most commodities are so volatile I have been buying gold and silver coins. That way I have something in my hand that will always have some value.

Can someone tell me what happened to our goverment when did the people lose control and why we still standby and watch are GOV. run are country into the ground. I feel at some point we half to say enough is enough.The GOV. works for us we don’t work for them, When are we going to have people of power that have one position witch is to protect us the people.( from GOV. abuse). People we need to get control of are works(GOV) and stop them from running are great country into the ground. Its time to stand up for what’s right and don’t turn back. Be strong let people hear your voice for the people and bring back are for fathers beliefs and inject morality back in to the world

I’ve only $150,000 saved in my 51 years of being alive. It is so confounding to sort through all the information to make a smart choice to investing in such a way that this sum will take care of me over time. Right now it’s getting 11% in a Real Estate Secured Deed of Trust for rental properties in vibrant Marin County CA (this is a solid and relatively low risk situation). But with the value of the dollar diving and the wobbling of all facets of the economy, I’ve been paying attention, listening, watching, investigating, but still do not see a clear, smart path to move into other than what I have. This is my so-called retirement nest egg. Your thoughts, Larry?

Larry
I read your article and it seems to make since>
This gov. and its spending etc has made me sick, and feeling helpless.

I am sure by stock and mutual fund broker with Mass Mutual would say “Well I don’t know” Look at the market running up and we would hate to miss the run up after he had me and my mother funds run it all the way down.

Should we get of US stock and mutual funds and switch it to another currency or other. I asked him about investing in goal 3 years ago and he told me it just a rock. Well goal is over a thousand today and then it was around $700 or so. What about my company 401 K or should I say $101 K. WE don’t have great investment choices through Scudder Investment.
I don’t have great deal but it is all we have and my mother is 85 and depends on me and her investments.
My broker has been wrong on many picks I have told him I thought we should get so I don’t have a lot of faith in what he tells me.

Thanks
Allen Johnson

Hello Larry …

Perhaps it’s time for the WEISS institute to start an ETF ???

Dear Larry,

The United States is not alone in pumping up its money supply. All other countries are doing he same thing. Consequently it only appears as though the US dollar is marginally higher or lower on the currency ladder on any particular day as everybody races to the bottom in a sort of reverse “Snakes and Ladders”. For example, the US$ today is stronger than it was in the first half of 2008 when it was flirting with $0.71. Well before the collapse of Lehman et al. http://stockcharts.com/h-sc/ui

What seems to go unnoticed is that the entire currency ladder is falling against the currency gold and has been since the year 2000. Alternatively, gold has been rising against all currencies. Furthermore, it seems destined to continue to do so for many moons to come. Please refer to http://www.kitco.com/ind/Hayes/aug062009.html

How high is up for gold? Just to catch up with the 100 fold inflation that has taken place since gold last traded freely in the Victorian era, gold should be already trading at US$2,000 per ounce. Now that gold is breaking out it may well reach that level in a hurry as the second major leg of the great bull market of the 21st century gets underway with a vengance.
Regards
Tony Hayes

Hey there Larry, Was it you who advised us to buy Gold or Precious metal mining stocks? Thanks for the heads up,I did. My opinion to the end of this mess is to help small business/entenauprenaurs get going on some of these new alternative energy projects. Then Collect up all the slush funds controlled by Dept. of Interior, Epa,Historical Properties, Forestry & the thousands of funds controlled by Congress, that Joe Public doesn’t know about. 1mil here and 500K there x5,000. adds up!! Get rid of all the people who created this situation,(Senate&H.of Rep’s) Basically Just take men Like Ross Perrot, & start over. But Who Am I/ Nobody

In the 70s, my father explained why the next major depression would need to be an inflationary depression. I’ve prepared by eliminating the need for cash as much as possible for critical items: house heat that doesn’t need oil, backyard garden using intensive methods, investing carefully, etc.

Larry, I value the information you provide in your Uncommon Wisdom articles, but I do not wish to delve into ETFs, etc., because I do not trust Wall Street or the government. I realize from reading your articles that you have little faith in currencies vs. metals, ETFs, etc., but what about helping your subscribers convert US dollars into foreign currencies by opening actual foreign bank accounts? Surely not all foreign currencies will plunge relative to gold and will help insulate against a plunge in US dollars. It occurs to me that with your tremendous savy in global financial systems that you might be aware of some safe foreign banks. Could you share that info with us?

I am Canadian, but as we well know here, as goes the American economy, so goes Canada’s USUALLY.
This time things are not as bad becasue of our more stable banking system. My concern is for my fiance who is American and whose 401K, bank account may be wiped out if he leaves his money invested in American banks. I would like him to move his money and 401K away from the American currency and banks as I know the decline in the good old greenback is only just beginning. He “knows” it too but is so set in his ways that it is hard for him to “act” on that gut feeling. Other than transferring all his cash to a Canadian bank (which he hesitates to do as he is rather archaic and likes his money “nearby”), what investments can he make other than just banking it that will be secure and/or incrase in value? Gold and silver I understand are moving up in value and will continue to do so, but where is the best vehicle to make such investments?

What can I do about my wife’s retirement?

We have fortunately made some good calls avoiding the market tank that occurred a year ago but I worry because it sits in a dollar-based 401k. She can’t get out of it because it is required by her work that she stay in it. If she quits contributing to her 401k or liquidates it, she is basically submitting her resignation because of cafeteria plan rules. We really want to take it and use it on better things than American and dollar-based equities. Please help.

I have no real expectations that this will happen, but we could grow ourselves out of this mess if the government would get out of the way, eliminate regulations to business growth, cut taxes by at least 50% (even eliminate them for 1 to 2 years), or maybe even implement the Fair Tax, and encourage our entrepreneurs to “do their thing!”

I believe the situation is hopeless and there is little one can do about the large federal deficits and spending. The country is going to have double digit inflation again just like what happened after Johnson spent his way through huge increases in spending for social welfare programs, his “Great Society,” and the Vietnam War, which created large deficit spending at the time. All of us that have saved for our retirements are on the verge of having the money stolen from us by the O administration, and you have to include the Bush Administration as well, by the coming high inflation. Our savings will buy much less in the future, and there is little we can do. All of our money is tied up in IRA accounts and the opportunity to invest in them is limited for inflation protection without limiting current earnings which we need to live on. What advice do you have for those of us that are retired for years and are now in our 70’s and how do we protect our investments in IRA accounts?

The comments I have read on this blog are valid concerns addressing the abysmal future this once greatest of greatest economies now faces on many fronts—financial, political, economic and moral. The advice Larry and Tony offer make much sense. The info Peter Schiff has shouted for years makes much sense and it is all unfolding before your eyes. In a nutshell, if you stay in US dollar denominated securities, real estate, or anything dollar denominated, you financial condition will soon result in the septic tank. Yes, the currencies are being destroyed methodically—especially the US dollar. I suggest you open an account with people Larry recommends or Peter Schiff’s Euro Pacific Capital (they have an 800 number) and let them help you invest your waning dollars in China, Indonesia, Singapore—the Far East where economies are GROWING at unprecedented rates. Check it out. I, myself, have done so and am up 25% in 5 months (and that includes pullbacks!). Look beyond the end of your nose and stop listening to the US government/media who lie to you all day long. Good luck, my friends.

I’m compelled to express my appreciation to your insightful articles. You have opened my eyes to our current financial predicament. Now I have to prepare my family for the rough time ahead.

I am an American citizen, born in the USA. All of our family resources have been moved abroad, to Holland, Belgium and Canada where we now live as domiciled residents. Canada is a wonderful country, with decent government, limited world ambitions and hard working people, who know how to save.

20% of our investments are in Gold and Silver mines, no investments in the USA. Other assets are in Canadian gas, Oil, mining and utilities shares. So far, so good; all are up except the industrials. Further, we hold silver coins and have removed our net asset values from USA life insurance cos through policy loans. This strategy has already paid handsome dividends, as the Euro and Canadian $ continue to appreciate against the US$. Canada and The Netherlands manage their affairs well but we can expect big damage to their economies as they are major USA trading partners. That is the big, big question. How to avoid being hit when the giant USA timbers start to fall?

Best advice we can give: move your money out, now! Put it into a solid Canadian Bank, Scotia Bank or RBC tax-free account ($5,000 per person). Invest the rest in Gold (Goldcorp) and Silver (Silver Wheaton) shares plus some solid high interest utilities, like Pembina or Enbridge, which pay up to 10% dividends. Get some of your money into silver coins, which you can buy from Scotia Bank, Toronto, at near spot rates (low premiums over spot). Hide your gold and silver abroad, outside the USA. This thing in the USA is bigger than any one of us can stop, any way. Look out below, for the $.

I will not live to see the recovery of USA this time but I do believe that the agenda of this administration is to ruin the economy. Osama Bin Laden said if he could not destroy us one way he would get us in the pocketbook. That is the exact road this administration is going down. Please pray for our country. Thanks, Mary

Personally I have been accumulating circulated silver coins since the 70’s. This is real money and will be excepted when the paper goes up in smoke. They are not stored in a Federal Reserve Bank where the can be confiscated.

Hello Larry,

Your article made me think and wonder…how do u think this affecting Canada?? and for how long u see this happening. I have an agricultural business and some of my saving are in american dollars. I have some Ideas of how all of this is affecting us here but it will be very interesting to hear what do u have to say about it.
My american savings are not much just around $15.000 but at one point they would have been 22 thousand Canadian. I would hate to see them been less than $15000 Cnd.

Thanks for any advise,

Marta Bueno.

why not put “stops” on gold stocks and other stocks to avoid large losses? [THE
CONTRARIAN BY WEISS} did not do this, Also, what percentage of my small portfolio .($300.000)
should I move out of dollars and how? I have 5% invested and the rest in treasury only money market. ( I could buy more gold stocks with 10% stops) thank you for your informative news letters and your very helpful service to the public. NOTE; my investment profile should include the fact that I am 78 years old.
Best Regards, Sarah

best Regards, Sarah

What can you do “to help make sure we are not victimized by Washington”? The answer is self evident in your own words: (1) Help us “protect ourselves” with specific, pragmatic recommendations — with detailed, actionable instructions to implement an easy-to-follow plan. (2) Help us “get through this with our wealth intact and still growing.”

You are the investing experts. Most of us are not. We don’t have your financial education, expertise, or global perspective that you have. By the way, Claus’ “Million Dollar Contrarian Portfolio” has proven NOT to be the answer. Please give us something else that will give us protection and grow our money in these trying times. Give us something that is smart, practical, and that really works!!!

gold is obviously a good way to protect one`s holdings against a falling dollar ,but how does an individual protect oneself from probable future confiscation by the U.S. government?

All the stocks we buy in the US are denomiated in US dollars. So if the dollar takes a header down and the stocks go up we just make more worthless dollars. How can we purchase stocks that are valued in foreign currencies which will do better than the US, and when we sell we have more value. The government will fight tooth and toenail to prevent having our currency saved until they survive or we finally declare bankruptcy. In which case, our dollars are worthless no matter how many we have.

Hi Larry,
thanks for telling us like it is, not like Washington D.C. people who try and cover everything up to make them sound good. I was just wondering, what I can do? I get your reports everyday and read it with with my eyeballs glued to the screen in amazement of what’s going on; but when you’ve only got a couple of thousand in the bank with all of the IRA money gone from lack of work, I cannot afford the offers you have on your websites. So I am feeling as though I can only go backrupt, because I cannot wait out this recession/depression past this year without barrowing money, I don’t have. So let me know your suggestions on my problem. Deep in doubt like America, Peter

Japan has a national debt equal to 130% of GDP, equivalent to 39 trillion in debt as an equal percentage of the US GDP. How have they avoided de-basing their currency, triggering massive inflation?

Ok, I see your point, and from reading and listening over the past year I am not entirely suprised. My question is what do I do Now? We are a single income family— a mom, dad, two children, and live within but nearly up to our means. We have enough to cover monthly expenses, we own 80% of our home. In terms of other debt we have a car loan that will be paid with 2 years. Our savings is sufficient to cover short term emergencies, and we have a 401K that was hit pretty hard. We are in the middle of raising our children. My husband has been very blessed to remained employed up to this point.Our game plan has been to gradually get out of all debt as soon as possible, but we are still working on this and I don’t know the best way to move toward protecting ourselves financially. A few years ago we would have probably just thought about savings and IRAs but now I need some real nuts and bolts knowledge of how to get what we have to some place of safety. How do we protect our family?

Is there any other way other than long term debt on real estate or owning gold ot hedge against inflation?

Problem: Over $10 trillion national debt.
To whom? A private corporation, The Federal Reserve Bank. When and how did this start? In 1913 crooked politicians sold our country down the river by passing the “Federal Reserve Act” taking control of the money out of the hands of Congress and the U.S. Treasury [where it was backed by gold and stable in value] and gave it to the bank. The Treasury prints bills and sells them to the bank for printing costs [a few cents]. The bank lends them back to us for face value plus interest! “Se The Glory Of The Royal Scam”.
Solution: Abolish the Fed and all debt to it, return to the gold standard, lend money to individuals and start-up businesses especially in manufacturing at no or low simple interest and jail and execute all ‘finance capitalists’ and anyone involved in this scam so this never happens again!

There is a big spread between what we pay for a gold coin and what a dealer will pay us to buy it back.
Pay about $1600 per oz. and they will offer $800 if you are lucky. Is’nt it smarter to buy a gold ETF?
Carl

Would you advise me to pay off my mortgage as soon as possible or hold to pay back in cheaper dollars?

WES

Larry, You hit the nail on the head. Bernanke has to devalue the dollar but a second problem is US products don’t offer the quality and value of foreign competitors.
You could call me un-American but I refuse to accept mediocrity. You have to earn my business with quality and value. If I could deduct the cost of American products as a charity, I might think of it.
People complain about Chinese quality which is often true but they sell at a price that makes them a good value. Also, don’t look now but Chinese quality is getting better every day. I see the transition in quality happening in China just the same as it happened in Japan during the 60’s. They are going to blow the US away they will be moving so fast.
At the same time the US education system is crashing, and unions destroy our production efficiency China is doing just the opposite.
Let’s face it, the unions are hungry parasites and any company or organization that has to carry them on their back will find it impossible to compete on the world market. Yet amazingly our president is supporting them which again is economic suicide.
My trading account is up nearly 50% since March, no thanks to Claus.
By the way, what’s the matter with Claus, with all the fantastic investments out there he recommends Pepsi! His brain must be in grid lock. I didn’t pay $1,500 to watch paint dry. The dollar has depreciated nearly 14% since March! At the same time Pepsi has gone up about 23% minus 14% equals 9%. Sorry but that isn’t good enough for my money.
By the way, I’m in China, Latin America, Gold and other natural resources. I hate to say it but I also have Boeing, Qualcom and Ford if you can believe it.

Sooooo…..what should I be buying? I have a pretty good position in the ETF GLD, is that a good start? What other positions should I consider to stop the erosion of my purchasing power? Does it really make sense to take physical possession of gold? After all, how am I going to convert this stuff to something I can use to buy a loaf of bread?

From what you are telling me I need to be in oil, agriculture, metals, gold and or silver. I’m 78 so I need to be conservative. So what do I buy?

So, is our only hope to stock up on as much gold (metal) as possible?

Do you think it is a good idea to exchange us dollars into Chinese Yuan, and buy the real estate in China?

Thanks!

David

If what you say is correct, it seems that my investment options are to buy gold, equities in foreign countries, and savings instruments of some type not denominated in US dollars. Most of my retirment savings are in a plan with my employer with limited investment options. It has an international stock fund, most of which are in developed countries in Europe, and Japan, a fixed income option that is mostly US gov’t and US corporate bonds, the typical large and small equity funds, and a savings account of short-term US treasuries. The only one of these that might be consitent with your analysis is the international fund, but Europe and Japan are not growth engines like China, and they have economic problems much like ours. What should I do? Can I take the funds out of the plan and put them in a self-directed plan that has more flexibility. I’ve been 100% invested in the short-term option since August 2007 (yes, I anticipated the drop, but not the recent recovery) and frankly don’t care for any of the other options, except perhaps the internation fund. With that I’m at least in a non-dollar denominated investment.

A simple question: should we keep our cash in a Canadian Bank, invest in gold and silver, and petroleum…..I agree with everything you are saying. Watching the President, Congress and the Federal Reserve act is like watching a kid blowing up a balloon, never thinking it has too much air and continues to blow and blow….then bang….the dollar collapses, and the nation is in a serious pig sty. We appreciate your wisdom and direction.

wyn harter

Larry: I totally agree with your assessment of the current situation. As a retired person I am very concerned about maintaining my buying power. I am worried about the debt we are leaving our children and grandchildren.
I have a lot of faith in your ability to follow trends and hope you continue to give your subscribers timely advice.
I also think through your organization we as a group we could come up with several spending cut proposals that we could all agree on to push congress. Something like Martin’s strong dollar effort.

I trust your advice and I just want to know when the bull market is coming to an end so I can get out of the market. I am retired and have lost to much money taking other money advisers advice. Keep on doing a good job.

we can mot repay this debt-you and all experters agree on that Investors daily -money managers etc the wall st journal -smart money -forbes

Larry,

The dollar is obviously in trouble. Can you provide us with several scenarios of what might happen in the future. For instance.. a treasury auction in which nobody shows up but the Federal Reserve.
For instance… the Chinese spend some of their 2 trillion buying our stock market, our real estate, etc. and what that would do to our economy. What has happened to other major countries which have been debtor nations.

Thanks

Jim

DO YOU RECOMMEND SHORTING THE $ ? WHAT WOULD YOU SUGGEST, MAYBE UDN?

I don’t have a lot of money to invest, but I am very worried about protecting the money I do have. I’ve invested some in GLD, several Oil Companies and pipe-line companies and still have IRA’s composed of various Funds belonging to American Funds. My broker doesn’t want to use any kind of inverse fund, I hunt for ETFs on my own, but again have little to invest. I have $25,000 in CD’s coming due next month and plan to move that money out of CD’s. Any suggestions where and how to allocate this money? I use a full service brokerage and hate to pay large fees to them for buying investments. Thank you

Should I buy gold at $l000 an ounce? Where else can I put my $30,000 savings or should I buy gold and silver?

Would you suggest I liquidate all of my investments from the stock market and buy gold/precious metals?

please advise

Is Plan B a solution or a gimic for pension solutions?

I suggest we do not find who to put the blame on,rather lets look for solution because problems are inevitable.thanks.

are you still short term bearish on gold or do you now think it has broken firmly to the upside. thanks. g

Larry, new book by Representative Ron Paul, END THE FED was published today which explains the background of the collapse of the dollar.

Larry- about 18 months ago, I shifted my 401K money out of Fidelity equitiy funds into a Fideliy money market. Now that you guys seems short term bullish, should I be considering moving my money back into equity funds, at least for the short term?

Thanks.

larry…

is UDN still the recommended way to play the falling $$ ?

thank you
Jeff
Boston

Larry, I must admit that you offer some great insight and guidance. I am a subscriber but your free service is the best I can find. There are a lot of us depending on your guidance. Thanks

I found your comments interesting, especially after reading in today’s Financial Times the article “Dollar lays claim to being top carry trade currency”, in which the dollar was being touted as the “new yen”.

wHAT IS GO TO HAPPEN TOO THE DALLOR OVER ALL.
I SO WANT TO KNOW WHAT YOU MEAN, MARTIN SAID
PUT YOUR MONEY IN T BILLS FOR 3 MON. WHATS WRONG WITH THAT!!!!!!!!!!!!!
IS THE DOLLER GOING BY BY ???? IF IT IS WHERE IS IT GOING.
THANK TOU PENNY

Hi Larry -
Since we’re expecting inflation (or hyper-inflation), shouldn’t we be borrowing ALL the money we can on fixed, long term loans - then take that cash & buy gold and/or foreign currencies? We could then pay pay off the dollar-based loans with the ‘inflated’ profits.
Thanks

What usually happens is everyone panics and then the investment starts to recover. Over reacting to Larry’s message is the worst thing you can do. If you feel insecure buy commodity ETF’s and relax.

Hi Larry: I believe that your right. They don’t have any choice but to turn on the presses. I plan to move to gold and silver ETF’s and am also looking at some mutual funds that trade in curriences of the BRIC countries. Do you think that I need to get rid of my US dollars and hold other curriences?

Dave

Dear Mr. Weiss. We have seen this before in the Weimar Republic and we know where that led. I had pieces of German inflation currency as a child and I once heard the story of a soap manufacturer who decided to wrap his product in German banknotes because it was cheaper than the paper he intended to buy.

Could our next great opportunity be not gold, but shares in Hammermill paper?

How are these liberals in congress planning to avoid the downfall they are creating and who is in a position to get rich from it? My broker seems to be as befuddled as I am. What can I do with what I have left? I haven’t seen and real positive options. Can you give us more visibility?

Larry; Why does the US Govt sit on gazillions of ounces of Gold when it doesn’t agree it is money? I haven’t done the arithmetic to determine how many of those Trillions of Stimulii bucks are floating around waiting to generate buck-killing inflation, but you might do that with appropriate peripheral considerations. I’m suggesting a way to revalue the floating bucks before we all start hurting from inflation. (I don’t believe any of the players, the President included, have a reasonable plan to solve the debt problem).
Neil Gillespie
Nanaimo, BC Canada.

What do you expect the price of Gold to be one year from now?

Hello Larry my wife works for the postal service and has a 401k and they match some portion of that. I have asked her to get at that money and put it in metals but she says that cant be done. Do you know if that is true or not, and if not could you help with this situation. Note I received my retirement early appox. $90,000 and have that in Gold bullion and stored in my safe. Thank you Bill.

Thank you for your helpful comments concerning the problems that we are having. I’ve followed Dr. Weiiss for a long time and have protected myself somewhat. I have over-weighted my investment portfolio of gold mining shares so that i have 35% invested in shares of auy,ego,gg,nem and two junior miners, rby and uxg. The list is doing very well.
I am thinking of cashing in down the road and buying physical gold (I have some coins all ready). However, I am thinking of bars and possibly more coins. I have looked into Perth Mint Certificates. Are they are a sound investment. I only wish that I could keep the gold closer to me, but I’m afraid about the safety of it.
Keep up your good work. I look forward to your essays. And, Thank you very muc.

Yours sincerely,
Paul Sacks

Other countries are even more in debt than we are (Japan for example), and their population are aging quicker than ours. Yet nobody is nobody is sounding alarm about their immediate demise. I understand that you want to sell your advise, but please do not try to scare people with your doomsday scenarions….

Dear Larry,

Thank you so much for your uncommon wisdom! I place a lot of confidence in you and all the gang at Weiss.
I have been a subscriber off and on since about 1983, and Weiss is my mainstay!

I am in a quandry as to what to do with my assets, which are fairly liquid. Would you advise me to clear out my accounts and get my money out of the U. S.? If this is a viable option, which countries would you recommend, and which banks or institutions? Switzerland, Panama, the Bahamas, or where? How can I transfer money safely to the safest destinations?

I am extremely concerned about timing, and I feel that prompt action is essential.

Thank you for helping me with this.

Your loyal subscriber.

Ken

PLEASE HELP. My broker has talked me out of TBT as he says the contango will devalue the price and i will never earn. he says that the interest rates/yield are going to record lows and i will lose big time.
My view is that rates could come down half a percent but the bonds will start collapsing and yields will rise BIG.

can you help me decide what to do and have i made a short term mistake listening to him or was he right and I could enter the price again at 30(now its 47). I am fearful that bonds will crash soon due to the collapsing dollar and everyone will lose faith in the us and so stop the bonds.

what happens if the US defaults to the bond yields?

What will happen to EE savings bond values. I have been purchasing them since 1980.

Awesome newsletter although you leave more depressed each morning…..I can’t stand it. So, here I am unemployed for the last eight months (IT sector), no savings left because this is the fifth time around with five different tech companies playing the wall street profit gain/quarterly dance and co-tow-ing to mergers and acquisitions rather than long term success and bigger gains. Bottom line, I have no money left to loose except my house. I can’t exactly invest my HUGE unemployment check. What to do ?????

I AM 100% BACKING YOU UP!

RX FOR THE SHRINKING DOLLAR ANG GLOBAL WARMING.

INDIVIDUAL..Buy gold and gold mining ETFs.

GOVERNMENT…Implement my patented Hydro-Generator (HG), that propagates hydrogen from sea waves and sell hydrogen to the world. Hydrogen has more latent energy than gasoline and is safer. When an explosion takes place, gasoline burns and burns, With hydrogen, we get a pop and then, water to cool things down. In operation, HG propagates hydrogen without an energy penalty and the only other efluvium is a kiss of oxygen for our atmosphere.

Why didn’t you issue a buy on GLD when gold was about $998? We could have made a quick buck.

We are of modest means. My husband chose early social security and I am working. We are making it
ok right now, but our savings is small and what was left of my stock I sold for a little before I lost it all.
I have never purchsed any stock in my life, my Dad left me what I did have. We don’t know how to get
where we need to go with this. I need a “personal trainer” for investing what very small amount I can afford
to try to get ahead of this game somehow. Then again I just throw up my hands in frustration with all
I am reading and hearing. We don’t have the energy to fight as hard as we once could. Any adivce or
suggestions?

OH CRAP! I’m glad you are on the case!

I think you are spot on. But isn’t it true as this scenario unfolds it would benefit the debtor class. and if this is so, then I would think taking on debt up to our ears and buying gold and even staples might be a good idea. Is this correct reasoning?

I need your thoughts about these mutual funds MEAFX,ICPHX,MBGCX,MCFNX,MERKX., Please?

Dave

We are planning a cruise which will take us to ports in Spain and Portugal in Oct-Nov. We will need Eurodollars. What is the best strategy to acquire some now before the ratio gets worse and have the balance to hold as an investment?

Larry,
I’m a subscriber to two of you services, one free and your Thursday update. all I can see is to get moving into gold and comodities. I’m not in gold because I’ve only been a subscriber for a short time and you keep saying hold off until your signal shows up. It looks like it has to be close to saying “dumby you’re about to lose out”! Let me know when the chart says go.

Thanks I enjoy your comments and your knowledge of the markets.

Frank

Dear Larry,

I am very concerned about whether the I shares Silver Trust (SLV) or the SPDR Gold Trust (GLD) actually have the silver and gold that they say the have in storage. I have seen several articles that say that these metals are being stored by one of the large investment houses and that no inspectors are allowed to see them and verify that they are actually being held. Is it possible that they have only paper, and that when the chips are down, we will find out this is another Bernie Madoff type scheme? Lots of us would like to know what your take is on this.
Regards,
Ken Long

Strange the £ sterling weakened today against the dollar - why would you be wrong about that?
What relationship will the £ have with the dollar - or with the Euro?
You may have a customer or two in the UK.

I would like to know what you think of the proposed Fair Tax Campaign, and also if there is very much support from the citizens who are reportedly going to reap the benefits from its enactment.
I expect it would be quite a lively discussion!

I’d like to know if this collapse of our economy falls under, what some claim to be, a new world order. Is this, in your opinion, part of a master plan to push the secret agenda of the world’s elite? I’d like your honest answer. If you have no idea of what I’m talking about, please disregard.

Thanks

Some time ago you compared an ounce of gold to a share of the Dow. How did you arrive
at a “share”? It was so to the point, I’d like to use it. Please explain.

Larry,

Thank you for the email.

I am not sure that I agree with you at THIS MOMENT in time, however. If you look at the dollar chart from an ELLIOTT WAVE perspective, it looks like we are just hitting the BOTTOM OF WAVE 5, which should protend a rally. ARE YOU FAMILIAR WITH ELLIOTT WAVE ANALYSIS?

IF I AM CORRECT, WE SHOULD SEE A RALLY IN THE DOLLAR FOR ABOUT A YEAR AND THEN BIG TROUBLE………………………………………WHAT IS YOUR RESPONSE TO THIS?

Larry,
Why is it that none of us can even think of how bad it can be? We think we have seen and heard everything and then some new madness shows up. How does one invest in foreign currencies with 401K money? That might be our only hope? Bonds out, Stocks questionable and certainly over-priced (what’s with the moronic behaviour there? UP UP UP… all on Obama bad news?) Commondities could crash too… what is a guy to do?

HI Larry
check out the information that the German banks are going to join a bunch of other countries in issuing their bonds denominated in dollars - a good way to use up some of the dollars they want to get rid of and offset the interest they pay on the bonds by the decline of value of the dollar.
But according to articles in the WSJ the Euro is not so hot either - “Spain’s Struggles Illustrate Pitfalls ….” an essay worth considering also.
thanks for all the good work by all the Weiss gang.
john sloan

At least you are not blaming the financial crisis that has happened and still happening, on one party.
I felt like our country was financially doomed when Pres. George Bush and supporters approved of giving back collected taxes of over a trillion dollars. These are supposedly God fearing people who should know the Bible examples: A king was told there would be 7 years of plenty, SO SAVE, because there would be 7 years of famine. The one that gave me chills is a parable by Jesus saying a rich man had so much he said “I will tear down my barns and build new ones.” That night his soul was required of him. That is exactly what has happened to the U. S
You want to help people survive through our country’s economic collapse. I worry, but know that only God can help us through if he sees fit.

Which would be better CEF or UDN for your future view.

Larry,
In times past I have attempted to invest. Evidently I lack sound skills in choosing sound investments.
At this time I only have my 401k which has lost approximately 40% in the last year. Would it be prudent
to take a loan against this to invest in something that Weiss would recommend just for preservation
instead of evaporation. Literally someone has to hold my hand and tell me just what to invest in and
how much - I am a infant to a kindergardener in investment strategy.
Not everyone in Texas has a oil & gas well - like me……Help me!!!
Thanks for coming to get me/us rescued…
O&G-less in Texas.
Elizabeth

What do you think gold silver and oil are going to do?
Long and short term.

Tell me how to protect against impending financial doom.

Hi Larry,

You say: “Even assuming they can save 5 percent of their income year after year … and even assuming every single penny of their savings is thrown into the pot … in order to pay off the U.S. government’s debts and obligations, each American family — and descendents — would have to toil for the next 429 years.”

While I think that’s a great way to illustrate the enormity of the problem, I presume your hypothetical does not include any assumptions about taxes and other revenue to be received by the government. Would adding such assumptions into the mix make much difference, and how difficult would that be to project forward? Isn’t that something the CBO or GAO is, or should be, doing?

in light of the huge deficit hole, do you think that the bailouts/stimulus were a mistake? That the global financial system would not have collapsed? Or is to early yet to even say?

Lastly - what advice do you have? Should I be putting my meager investment funds into inflation-protected treasuries? Or would those also be affected by the dollar’s fall?

Hugo

Larry: There’s a night & day difference in the tone of your organization’s financial forecasts/information than what I’m getting from my mutual fund people. Even after I lost well over 1/2 of my pension & savings in last year’s financial market meltdown with their “professional management”. As a working class pensioner, I’m looking for a safer port, even if it’s off-shore. Everett Kaminsky

Mr. Edelson,

I respect your POV. There is no going back for me, having married in 1999 and riding the market UP with my husband, a 14 year employee of Larry Ellison of Oracle. We are a typical regular to riches to debt divorced couple. This time I shall pay more attention and take appropriate steps to ensure my few dollars are protected. My vegetable garden is growing and I have a new home from which I can walk to town, whereas I used to be in a magnificent home on a mountain just north of Taos, NM.

Thank you for your support.

NOTE: I just rec’d a phone call from my employer that I have been ‘relieved of my duties.’

Also, if you had Cash surrender value insurance, would you take a loan against the policy, and invest proceeds in gold/metals/commodities ETF’s?

So should a farmer hedge crops or wait until harvest. Should land debt be paid down, or keep buying more land?

A long term goal of the radical progressives has been to equalize wealth. The progressive income tax and redistributionist federal programs have not achieved their goal. We have an impatient administration which has realized that the fastest way to achieve equal distribution of wealth is through hyper-inflation. This will leave the vast majority of citizens equally impoverished, thereby laying the groundwork for political acceptance of the “transformation of America” we have been promised.

Hi Larry My wealth right now is my home which I own free and clear and about $20,000 savings. I have no debt. I’m also unemployed right now. What would be a good move…thanks

I was recently hospitalized for a week with what looked to be major health problems–even heart attack. Doctors finally concluded, however, that I was exhibiting major stress and anxiety. Upon hearing the diagnosis I knew the culprit was my concern for our economy and what I fear is an unraveling of the American way of life that I so treasure and want to safeguard for my children and grandchildren. I have 2 close friends whose health may also be in jeopardy from the same causes.

The best I can hope for is to know that I am doing all in my power to make the best of the gathering storm, but I feel compelled to act on behalf of my country in some way. I guess my question is how can I best safeguard my family — and second, how can I help my country?

Well, I thought just recently that I was “set” for retirement. No debt, everything paid off and was counting on a defined pension plan plus social security for a livable income. I am certainly not so confident now, but what can a person nearing retirement do? We have a few hundred thousand in liquid assets and a small amount of gold, a little more silver. What if the pension and SS never pan out? What if I am collecting them, but inflation is so high they don’t cover expenses? At least I have a large yard to plant a garden and so far am plenty healthy enough to work a garden.

If the dollar really bombs will America still be able to spoil the world in the same way it has done
since the second world war or will it end up like Russia ?

Larry- What do you think of the Everbank currency index CD for my Roth IRA holdings?

Larry, how long do you think we have before the floor drops and the dollar is worth nothing?

Mr. Edelson, I have read with interest your comments regarding all of this horrendous mess. In your
opinion, how much more time is left until our government, says, “American Citizens, we have a problem???

Dear Larry, You are a genius! Thank-god for all your research and insight! I would like to know in terms of percent increase; how much the USA Federal Reserve is printing up fiat currency versus the creating of Euros, Canadian Dollars, Aussie Dollars, Japan Yen ETC??? I have attempted to find this out on my own; but to no avail. i am sure this would be very interesting to all your readers, as well as yourself. Since 2007 has the money supply doubled, and how does this compare with other countries printing of currency??? Thank you for all your assistance and may god bless you, your family, and friends! BEST WISHES ROBERT KEEFER

Gold is due to fall back to below $700. It has had its run and is at or near its top.

Check the Elliott Waves. Do Not BUY NOW unless you have none!!!

Dollar should rise from this bottom of Elliott Wave 5 in conjunction with Wave 5 fall. Stock market should fall in concert with gold and silver.

Cash, short term treasuries, good annuities, swiss banks, a little gold, silver, prayer, canned goods………nobama, no stocks, no munis, no corporates.

I don’t understand your comment about paying Medicare and Social Security benefits with devalued dollars since both programs are tied to the national inflation rate via the CPI. I do understand the implications for others who hold actual US debt and I am getting rid of any that I have which are not inflation protected. Thanks and keep up the good work.

Larry – has your time estimate for a regional or global currency changed? Is the current healthcare debate a deliberate act to sink the dollar and speed the process to a new currency? If the dollar is replaced, what will replace it? Will the Forex market be eliminated by moving back to a fixed exchange rate? Sorry for all the questions, just searching for answers. Thank you for your leadership.

Where are the answers/responses to the questions?

Hi Larry, I am selling my house and want to know should I try to buy another one or invest the money in ETF’s and resources and rent? Marlene

AGAIN, TODAY, 9/16/9, YOU WARN OF HOLDING LONG-TERM BONDS…..PLEASE TELL ME……
DOES THAT INCLUDE EE SAVINGS BONDS. I KEEP ASKING WEISS AND NOBODY ANSWERS.
L-O-N-G TIME SUBSCRIBER, 85 YEARS OLD AND…SCARED. PAT RILEY

My wife and I recently sold our business and have been divesting it actively, before inflation robs it of its value. We started with about 10% physical gold and silver, about 30% inflation-protected bonds and high-dividend Canadian gas and mining MLP’s. More recently real estate: a combination of 10 cents on the dollar foreclosures that we can sit on for years, and foreign properties in touristy areas that we can easily rent out right now–Caribbean and Central American beachfront, a couple of apartments each in central Rome and Barcelona. They weren’t the cheapest–they held their value well during the crash–but the passive income is gravy, the business costs are deductible, and the valuation is non-dollar-denominated. Comments?

WOULD YOU RECOMMEND MOVING DOLLARS OUT OF U.S.A. INTO AUSTRALIAN DOLLARS ?

Hey Larry,

You make me money. I respect and follow all of Weiss Research’s team but you the most. Great job of analyzing, forecasting and advising.

Maybe you guys should start providing info on best countries (based on safety, cost of living, jobs and/or other criteria you come up with) for uS Americans to lay low in or immigrate to. Cutting off the source of blood is one way to get rid of the parasite. If enough people leave (especially the rational, like the producers and those who create jobs), those who created and perpetuate this problem will at least have a much harder time enticing new revenue sources to our shores to enable their continued existence.

Thank you for your efforts. Continue to provide us with your rational, experienced, objective, cutting edge and thorough service.

Aaron

Scarey.What to do?Do you have any defense other than death?Bernard Whitman.

Larry, I agree 100% with what you are saying. The course of events you describe seems all but inevitable at this point. I am very interested in hearing about protective measures against this oncoming debacle.

However, my thoughts lie beyond this coming collapse. Why can’t we as Americans live fiscally responsibly? We live beyond our means at the household, municipal, state, and federal level! As someone who has always lived well within my means, I am (1) perplexed that so many others are unable to do this, and (2) angry that the wealth I have built my entire life is going to be severely attenuated by the actions of a profligate majority. How can we reshape ourselves in the future so that after our inevitable default and collapse, we become responsible world citizens?

Larry,
We have significant investments in gold and silver ETF’s that we cannot touch until my wife turns 59.5 yrs. We are concerned about the solvency and security of the GLD and SLV ETF’s since it appears that the managers may be doing some funny business in that we understand that not much metal is being moved into the funds with relation to the recent price increases. We are at a place of not trusting Wall Street as far as we could throw it and of course the ETF managers are major Wall Street players.
Is there another way to hold precious metals in a 401K plan? Should we consider taking a huge penalty to withdraw from the 401K and buy safer forms of precious metals? Things seem to be moving rapidly right now.

Larry would you please give an overview on annuitys.

Do you think that a portion of US dollars be moved to another currency such as EURO or Yen?

Thanks for the great article on the fate of the U.S. dollar. You mentioned the risk of long-term Treasuries. Does this risk also apply to Intermediate-Term issues? Thanks for your continuing efforts.

The media has been silent on credit implosion and its implications:-

Doesn’t a falling USD hurt all export dependent economies … especially those relying on the US consumers … who no longer consume like they used to? Aren’t they’re saving and unwinding credit positions.

Can the world economy recover without the US consumer?

Yes sentiment is extremely negative on the USD. However I expect exporting countries will find ways to weaken their currencies against the USD.

So the USD could strengthen over the next few years.

The real bargains are coming … and its cash we’ll need to take advantage of the opportunities.

Credit implosion offsets the printing press, and strengthens the USD as borrowing, and lending implode.

The Fed’s printed money lacks the velocity needed to create inflation much less hyper inflation. It may come but that’s years away. IMHO

Colin

Larry- I may be leaving my large company and will have to invest my retirement funds. In this environment it is very scary. Does Weiss have an investment strategy for someone in their late 50s who hopes to protect themselves from this insane U.S. governement and grow their assets all the while?

Dave

Hello I may not have had the privilege to read any of your comments as to what should be done or could still be done on the Federal side to stable the dollar. I will like to have a short pitch or reference to any comment in the pass that could answer this question.

I’m trustee for Dad’s trust. I’m concerned about the 100 thousand CD that expires next month. What do you suggest I invest this money in? I’ve read that currencies would be a good way to protect the money. The rate of interest on this CD has been ridiculous. Thanks Larry

Larry, Why don’t you tell everyone the Federal reserve was illegally submitted to Congress (1913)

Not in it’s fullness and then changed once it was passed.. I know you know this..

AND that the Federal Reserve was designed to fail, and we just didn’t know when?

An empire brought down by the Rockafeller conspirators.. wondering how long any money will buy untainted food.. How long before a hundred dollar Gold piece won’t buy a bowl of cereal? I am damn glad I’m old..

What speciific stocks would you be recommending now to compensate the fallloing dollar?

larry, I have some silver. Can I sell some as the price moves up a couple of dollars and rebuy when the price retreats? I know there are profits to be made using this method, but i’m not sure how to sell and rebuy on a timely basis. This silver is intended to carry me through for the next 20 years. Youre opinion is appreciated. Thank you.

With the collapse of the dollar a real possibility, should we invest a large part of our savings in tangible assets such as gold,commodities, land, real estate, etc? I’m nervous about buying too much gold because of the risk of government confiscation in the event of a dollar collapse, and who wants to hold land or real estate during a collapse in the dollar? Investing in gold stocks or inverse ( bear ) funds does little good because selling any stocks with gains is paid back in dollars. What do you advise we do?

I am middle income. Minimum wage increases are driving us to eat at home more because food places are having to make up for the wage increases therefore charging more.

I think it time to put tarriffs on some inported products and put americans back to work making products for americans.

we ,, Americans have a pride in making products that last and work good……not some of the imports we have gotten lately.
I am in the Air Conditioning trade and I noticed that the wholesaler has freon that is filled in bottles in India and ship half way around the world to us in USA. An we pay enormous prices for it.
Dennis

Say goodbye to the Dollar and hello to the Amero or something like that!!!! Our Federal Government is going to come up with a new money system just like the Europeans did when they came out with the euro!!!! It will take 10 dollars to equal 1 amero!!!! By the way,how much gold do we have in Fort Knox or is that all gone to pay some of the past debts that we owe???? If not then when gold hits $2500 an ounce they should dump it and pay off as much of the debt as they can!!!! Our Fore Fathers are rolling in their graves and are trying to figure out a way to get out of their graves and bare ARMS to defend our freedom and give this country back to the people !!!!

Hi Larry, while I agree with your very well laid out piece on the dollar’s swan dive and its risk ramifications for our wealth — from a trading perspective, the dollar appears to my eyes to be very close to a powerful rally (counter-trend as it may be). And it could be a multi-month rally or more. It’s hard to find a more extreme bearish sentiment profile — its even more extreme than sentiment was for stocks at the March lows. And we know how that has unwound. Downside Momentum is waning. And by any technical measure, we’re oversold in the extreme. With positive divergences cropping up everywhere. I believe the dollar will rally, catching everyone by surprise and further, I see it as the trigger for a major market decline. Not just stocks, but commodities & hard assets — all of which has been moving up in tandem. What amazes me most is how, in just a few short months, we could go from abject fear… to fear of missing something! Again, your views were wonderfully put forth , and I always look forward to your thoughtful pieces. regards, Roy

Are short-term bonds, such as 5 years or shorter, still a worthwhile investment?

My greatest concern is how to povide for my family; surviving before I worry about thriving. I have four children (three under 12yrs.) I work in construction and my wife lost her job in the mortgage business after 20yrs. What can American families with little “extra money” hope to invest in when the fee for your investment advisory is more than I have after monthly bills are paid? We don’t live extravagantly, we have no credit card debt, we both drive old vehicles (30yrs. old combined),don’t eat out, have no addictions, pay our taxes and tythe, try to be kind to others, charitable to less fortunate, and continue to set an example for our children and cling to the belief that America is the best place on Earth. What advice do you have for hardworking people like us? We are not alone…

What percentage of investable funds do you recommend one have in commodity based ETF’s such as MXI, IXC, and XME?

Larry,

I am on SSDI money and cleaning house and getting about $150.00-180.00 every 2-3weeks.The cleaning jobs are still it the making. What should I do with this money if paper money is going to fail. Right now I do not have any in savings. I get the SSDI money sent directly to my Bank each month. Should I get it sent directly to me.

I would really apprecaite your thoughts. I do not see the Terms and Conditions of this blog.

Regards,

Carolyn

In 2000, when the Euro was at 85 cents, an Italian manufacurer invaded the Riverdale Mills Corporation markets with a product that looked like RMC’s and priced at 15% below RMC’s. Question: With raw material costs for steel, zinc and polyvinyl chloride resins higher in Italy, labor costs higher in Italy and the cost of shipping across the Atlantic, why are they still shipping to New England?

I have a lot of cash in my investments, please advice asap how I Can protect my investments.
by euros or yens would be a good advice? Please answer I am desperate

Larry … thanks for your efficient study of the markets. You have been “right on” about near everything. I am a Real Wealth subscriber and am on board with most of your recos; however, I delayed buying your most recent picks which was a mistake because they have increased nicely. I have 2 questions: 1) With the recent increase in the gold stocks, do you think we should take some gains now, or wait until they increase a little more? 2) In my other IRA through my employer I sold all my equities/bonds and switched the whole account over to money market funds. I know I have lost out on the recent gain in the stock market, but I wonder if you feel money markets are even safe now.

What an interesting 62nd birthday I had yesterday; there are so many conflicting reports and opinions to consider, so many potentially troubling issues to reflect upon. I am certainly no expert in economics, national economies, currency creation or speculation, nor even an expert in managing my own resources, as my personal financial history will reveal (I have wasted far more than I ever saved). I believe, however, that a savings held in silver or gold (not shares, but the kind that goes “clink” when you handle it) might suffice to keep a family floating at or near the top of the floodwaters of devalued currency when that inevitably occurs. At least one might be able for a short while to purchase the hundreds, or even or thousands of dollars necessary to provide a loaf of bread for one’s family. I remember seeing the picture of a person with a wheelbarrow filled with currency at the door to a grocery store in Argentina. That can certainly happen right here in America. It actually has been happening for quite some time. A loaf of bread that used to cost twenty-five cents is currently available for about one or two dollars: a 300% to 700% increase in twenty or thirty years. (Actually, a loaf of bread cost just a penny or two only a few generations earlier.) It is not too much of a stretch of the imagination to see a slice of bread for a dollar, twenty dollars for a loaf. Just pray that the socio-economic adjustment does not last too much longer than your stock of silver and gold. Beyond that, one can hope that one’s measure of self-sufficiency and independence will be enough to survive. Buy gold and silver; plant little brown seeds in black dirt; fish in clear waters under a green canopy of trees and harvest your crops under a yellow sun with your blue-steel rifle by your side. Move to Texas, if you think you can be a help and not a hindrance.

Larry-
My wife and I are 83 and 92 years old and have spent our savings. However our house is like a bank we have so much equity. We are trying to decide whether to take out a regular 30 year mortage at 5% and invest in Canadian Royalty Trusts and US MLPs or go with a reverse mortage that would give us enough income to live on, I am worried about inflation. The oil-based trusts and MLPs would go up with inflation and so I am favoring this route for us. Please comment on these ideas.
Frank Morin 9/16/09

Larry, I am stuck in a short oil position in the ETF SCO that I got in to when oil was trading at about $62.00 per barrel and SCO was $22.00. I have been wanting desperatley to exit that position and get into a short dollar position but keep waiting for a pullback on oil that I felt would come but am begining to doubt. Does it make sense to exit at a loss so as not to miss an opportunity to play gold or short the dollar or do you think that oil may go down in the short run before blasting off because of the falling dollar?

Hi Larry,
Larry,

Although current action is in the “Dollar” vs “Basket” (of currencies)
What about vs RMB, curently not in any basket, to address nest 5 years ?

Easier to get into than get out at this moment in history, but what do you think ?

Best, Ed

Since April, I’ve been heavy into short financials and really hurting. Any chance of recovering?

Could you pls advise me if I should exchange my funds of Canadian dollar to US $ now or still wait for better rates assuming I am staying in US. Is there any side predicting with some accuracy the US $ future value?

THanks a lot.

What is the best way to short the market? I was thinking of options.

Request: Please Clarify Relationship’s Between Falling Dollar, Inflation, & Deflation
………………….Are they Independent or related?

Hi Larry,
Greatly appreciate your well written analytical works & your dedication to educate & support the “eager to learn” investors, as myself, on how to survive our nation’s on going financial challenges.

In attempting to better understand how the falling dollar hurts our economy I initially concluded it was synonymous with inflation because in either situation the buying power of the dollar is less.

Later I realized that we have recently experienced the dollar falling in a deflationary period wherein the buying power of the dollar should be greater.

Current conclusions: LARRY PLEASE HELP: TRUE FALSE OR OTHERWISE
1) Falling Dollar, Inflation, & Deflation are Independent
2) If the dollar value fell the same amount during an inflationary period as in a depressionary period the net impact to consumers is far worse during the inflationary period.

The next level of consideration would be the relative magnitudes of the Falling Dollar, Inflation, & Deflation

As time goes by, the more I find Atlas Shruged to be prophetic. Instead of a flow of talent going to the US, the tide is ebbing. I’m afraid that soon we will see a reversal. If the politicians keep going in their same direction, no one will want to be a business owner. The “back to the country” people may just prove to be right.

Larry, In light of all the above comments and questions, I’m just wondering how and if you plan to answer each post. Of course I’m aware that I just added another question to the many!

When the $US tanks, surley that is good for YOUR industries that are being transferred surreptiously to China now. A low $US WILL ENCOURAGE ME TO BUY A John Deere tractor, a Caterpillar dozer and a Jeep here in Australia. This means jobs for you. What is the problem. The alternative is you will fade angrily into history.

I am not sure what to do next and am extremely pessimistic about the future US economy. I am 62, still working full time, and totally debt free with about 1/2 million is short term investments for protection. I do not know what to do next to protect myself my the US dollar falling and destroying my purchasing power in retirement.

Dear Larry:

Any update on gold and where it is going which seems to be up since it is holding its own above $1000.00. Also, with the markets really moving again, any recos for Foundation members?

You gave us the dates for the lows of the recos you made and the length of the cycle for each stock–can we use those dates to project the next low in the cycle? It would have been great to be back in GOOG today. Last question–is the length of the cycle from the low to the high? or from the low to the next low?

thanks,
mary

Hi !
I see you got many questions from all of us, I just whant to thank you for all the informatin that can do so mush good , for all of us in this dificult days.

THANK TOU VERY MUSH !!!!!!!!!

HI LARRY

GENE PHELPS HERE. IS IT TIME TO TAKE SOME PROFIT ON SOME GOLD AND SILVER MINING
SHARES? UO 35% TO 60% ON SOME I HAVE HAD FOR SOME TIME. THANKS IN ADVANCE

GENE

One can imagine the scent of an expensive Havanah wafting through the evening air punctuating the culinary delights savoured but moments before. The contented afterthoughts of those unburdened by the travail of heavy labor. It calls to mind this quote,”There was peace and the world had an even tenor to it’s way. Nothing was revealed in the morning the trend of which was not known the night before.” JACK B. THAYER, TITANIC SURVIVOR

Larry: Is it time to jump into China stocks or are they due for a pullback near term?

I’ve read elsewhere that one should not only invest in gold and silver (and as an acolyte of the late Harry Browne, I make sure that it’s both contemporary silver dollars and “junk” silver coins for spending), but also in the stock of gold and silver MINES. Having lost much in the market and unsure and untrusting of where else to invest, is the latter strategy a good one, or should I just cash it all in; leaving some in cash but turning the bulk to hard currency?

Please help! I am a counselor - i cannot really understand all these factors. I must rely on trusted people who can look at these complicated issues and give me action steps. I am so scared i will lose what little I have saved for retirement. Are we going to expereience deflation or inflation? Should i be pulling money I have out of IRA stocks, vanguard etc and putting it in CDs and treasury money markets?

as usual it is the peoples fault as they set on thier rear and let our so called leaders have the show,then they let all the in-competents vote and urged on by our so called leaders ,our poor forfathers must be spinning in thier graves,now and God help us all to surive this incompetent staff we are stuck with for the rest of his term ,.sure do miss Harry Truman huh??

long-term treasuries are paying bupkis. To many, tying up money for 30, long years in return for a paltry 4.2% yield isn’t an investment decision; it’s an IQ test.

Re: I have to disagree Larry..They first want Safety and to Support the USA , since we are their Primary Buying Customers..W/O us, they fail
Getting 4.2% Yld an Principal is protected by the USA is earning about the same or Even more than many other Bonds today..
And remember, it wasn’t too long ago, people were really scared of total collaspe and moved their $ in Droves into Treasuries..
Sorry, but I don’t think it’s all Gloom an Doom, as your projecting..

It won’t take but a Few Moves by both the Fed and Congress to turn things around and then we’ll see.. I went thru this several times in the past 30 yrs too and we always end up finding a way out of the messes we get ourselves into, so don’t count them out.. it’s only the 3-4th Inning or the First Qtr in football. Remember, it took over 3.3 yrs after the last Bear for the primary markets to get even..

And most of my $ is In Bonds and is Up + 21% YTD! So I am a Happy camper ( again) this yr as I was Last yr..( And last yr, those Treasuries really made the difference again, as they did in the previous Bear Market of 00-02′ )

And thanks for the Heads up in Jan. on FFRHX( Loan Funds) an go More into Global-EMkts, (Like PRLAX,MACSX and FNMIX..) They did it again, as they did in 03′…

Of course, like Paul Newman said ” If you don’t have Enemies, your don’t have Character…”
;=)

Larry, how do I protect the monies my spouse and I have in our IRA accounts, the interest on which we need to provide us with a decent standing of living? What investments do you suggest for us, both age 72? Keep in mind we need to pay our bills from the income stream of the CD’s we are in now.

so where do I move my cd’s? if interest rates surge, is that gonna help?
thx

Larry,
Am I reading you correctly. Aside from gold and silver, are investments in more stable countries, ie Canada, Australia, New Zealand what you are advising?

With the $ dying is there a rough timetable as to when and if we will need actual silver or gold coins to barter or purchase anything we might need to survive. Gold in the form of GLD doesn’t seem to be a very useful type of gold unless it can be traded for something else that is more useful in the market. Would a timetable be months, years or probably never??

I have been watching the value of the dollar closely for the last 6 months and with its sharp decline I recently started buying into a TIPS bond fund. With a base rate of return of 1.5%, it should stay that much ahead of inflation.

We are a 77 and 79 years old retired couple with S/S and a modest pension.
We have a home and automobile without any debt at this time.
Over the last four years we acquired 33 American Eagle $50 gold coins and
30 American Eagle $1 silver coins. How do you suggest we manage these
coins considering what is happening to our currency, S/S, medicare and the modest pension?

This refers to the Law of Conservation of Money.

During the big housing boom, I had figured that it could not continue — if for no other reason, there were simply far too many people who spent all sorts of money they did not have on things they did not need.
I had originally predicted deflation until all of these bailouts started taking place. As with most “bubbles” and “hypes”, you don’t always just want to jump on the bandwagon, but already have whatever it is they are “bubbling” or “hyping” about.

Predicting there would be deflation, cash always comes in handy. In the case I was wrong and have inflation, a few inflation-protected securities wouldn’t hurt either.

Question: If we experience hyper-inflation, is it possible to “hold out” until the dollars become worth something again? Do you predict that inflation-protected securities, such as I series US savings bonds will be “safe”?

The other main question is: (Law of Conservation of Money) If they keep printing all of this money, who actually has it? There seems to be less and less (at least flowing through the job market).

Larry—what is your feeling about buying either circulated or un-circulated gold coins? If I already have, or am about to get a stock pile of gold to protect my buying power—what stops the FEDs from coming in with the same type of policy that Roosevelt did in the ’30s where they set the spot price on gold, and made it illegal to hold any form of the yellow metal?? They even threatened to jail people who didn’t turn theirs in. With all the other stupid things they’re implementing now, why wouldn’t they do it again, and any investment in gold would be capped??

I have recently slid some money from the American stock mkt. into a fund in China….It is doing quite well….Would you suggest as a hedge against the destruction of the dollar to continue this plan?….Or do you have another arena you would suggest?……………….Thank You………

I am retired age 71. Other than SocSec, I have a reversible mortgage. Remanider of my money is: 10% in cash, 30% in IRA (RS Natural Resources fund; 50% in USGlobal Gold and Pre Met, and 10% in USGlobal Natr Resouircaes. Total worth aboukt $ 500,000. in all….Have no debts, Single, am able to meet living expenses with the Rev Mort (best inbestment I ever made when house was worth MUCH MORE hen I got it!) Medical esp covered with Medicare and Humana. This inflation seems to be myh only worry.

I do know this for the last 9 years after Georges W.Bush was inaugurated.There was a discussion between the White House new administration ..The debate was conducted by the Democrate Senator Ken Konrad who is very active today.The idea of having a dollar going to zero was discussed and the consequences were listed .I personally believed that the scenario which was well detailled was part of our future .Bush didn’t finish the job and Obama is doing it at a very high speed.
Thanks and congratulations for a great job.

Please give us specific funds to invest in to protect the value of our dollars. Thank you! I’m a total newbie at this.

If George Bush had bought every U.S. car driver a Toyota Prius or a Honda Hybrid, we could have
reduced energy consumption enormously and avoided the $3 Trillion Iraq War. Pollution would have
abated. The Japanese economy would have skyrocketed, along with their stocks. U.S. carmakers would have gotten their act together years earlier and possibly avoided their meltdown. Every U.S. citizen would have spent $40-$100 less on fuel, per week, and consumers would have been consuming to this day and not going bankrupt.

Like you say, these government guys have no alternative. They must continue trashing the dollar. And it is far from a partisan thing; it’s a ruling class vs the taxpayers as it has been for decades. There is little doubt in my mind that Professor Igor Panarin has it figured out - - I just hope that he is a bit wrong on the timing!

Do you till like ERF and PBT? Any chinese stocks that pay good dividends? I am a Real Wealth subscriber.

Larry, if you feel comfortable doing it, I’d love to hear your comments on why the SEC, the Administration and Justice Dept. haven’t moved against the obvious fraud which drove the financial collapse. I’d also appreciate your comments on the causes of this financial collapse and why the legislators haven’t swiftly moved to correct the causes.

Finally, my study of the causes of the first Great Depression which go back to my college days over three decades ago confirm the root causes of perhaps second great depression are essentially the same. Greed and excessive risk taking, unrestrained by market structure (efficient free-market competition) or in its’ place regulation, which is religiously enforced, and lack of or enforcement of anti-trust laws, created the circumstances for this financial collapse. In both instances one has only to refer to the republican party platform of de-regulation and laissez-faire handling of the economy beginning with Reagan and compare it to the party platform of the republicans in the 1920s-30s to discover that they are nearly identical. Basically, we have a political party that has a fundamental platform plank that leads to depressions if the policies are followed with a religious fervor, as they were, in both circumstances. Your commments please.

is there an etf that will protect us from this disaster?

Any advice tailored to Australian clients? Thankful for your comments-areas of special interest,precious metals and real estate ( in Australia)

Larry,
I have always liked you and the way you seem to report your real gut feelings with no reservations. But please excuse me if I get a little blunt myself. I have been a Real Wealth subscriber for over 3 years and a number of other paid subscription newletters via Weiss group. I’ve made many of your trades, Tony’s trades and others. YES, I have made some money and lost some money over the 3 years with these trades. Bottom line …… ITS NOT GOING TO SAVE ME IN A REAL INFLATIONARY ENVIRONMENT - unless I start using a trading portfolio of 300 ~ 500,000 dollars. Even then, add up the winners and losers and this will not save me…. OR ANYONE ELSE either.
So when you say “That’s why I believe it is absolutely essential that we pull out all the stops to help you weather the greenback’s ultimate collapse” …….What can you suggest we do other than place our US dollars in other countries or instead move to another country with what we have left?
Unless we are rich traders, or trade lots of options, I dont see that stock trading will cut-it!
thank you

Hello,

If there is less than $10,000 to invest do you recommend gold versus silver and do you recommend buillion, coins or proofs? Thanks

Larry: I thoroughly enjoy and appreciate your keen insights. I’ve been around the investment world since the late 60’s and have never seen anything like this mess. Washington just doesn’t get it; they are doing the same thing that the average American did in borrowing to the hilt and mortgaging their future. Why does Washington think they are different and can borrow and spend their way out of this mess? It’s a classic case of “see no evil; hear no evil”. Maybe I should move to Bangkok!

Oh, by the way … when did Treasurys begin to pay in bupkis? Is that something new? Perhaps it’s a term of art that has eluded my Webster’s dictionary. Is that a Thai term? Please clue me in. Best regards, Tony J.

I’ve been reading a lot about purchasing gold to offset the sinking dollar. But isn’t purchasing gold, now at $1,000 an ounce, a little like purchasing stocks? What happens when the price of gold/ounce drops below $1,000/ounce; wouldn’t you end up losing money on your investment?

Larry,

I agree, the dollar is doomed. So I need to transfer my assets out of dollars. Commodities and tangibles will survive the dollar’s collapse. I have been buying gold, but I am uncomfortable putting more than 20% of my assets into any one vehicle. So what do I do with the other 80% to shield it? I am uncomfortable with the euro, Europe is ahead of us on socialism already. I could buy Swiss currency I suppose. I could open a swiss account, not to hide from the IRS but to put my assets into a safe currency. I could use actionable strategies if you have any.

By the way, another insidious by-product of a currency collapse: Any assets you shield will be subject to taxes to the extent that the currency depreciates. Consider, a $20 gold piece bought a good suit in 1920. It also buys a (very) good suit in 2009. The suit cost $20 in 1920, and it cost $1000 in 2009. So, if you bought a $20 gold piece in 1920 it cost $20, if you sold it in 2009 it is worth $1000. The IRS wants capital gains on $1000 - $20, or $980 of what they consider profit. That is roughly $490 you owe Uncle Sam, even though the value of gold remained constant. Now multiply this tax by the value of all private sector assets and you see the windfall the government is expecting.

Quite a scam, eh?

Greg

YIKES! Would you be interested in hearing what happened to my business?

I’m a senior and have American Funds for growth. The funds are 4 star, had lost 53% and now only 21%. I can’t afford to lose again and is it time for me to take it all out and what do I put them in?
Thanks

Hello Larry,
I am waiting for the gold going down to 800’s as you expected it to. But it’s not happening. Should I buy it now (GLD) or should I still wait?. And what about silver(SLV)?
Please help! Thanks.

Hi Larry,
We got your message and we understand What is going on,but where is your help——— how can we protect our dollar ? Thanks Walt

I missed this run up, it is totally unbelievable, no fundamentals, makes no sense other then manipulation, yet it just keeps going up…excuse my language, but this has been my thought everyday, WTF? I think this market is way,way, ahead of itself and the real world.

Larry: There is an elephant in the darkened room, and each person is unable to discern it with their myopic viewpoint. They may see some insider trading, some ponzi scheme, some naked short selling, and perhaps some pump and dump. With lights on, we will all be able see the massive CORRUPTION being allowed by Washington and New York. Workers and stockholders be damned. I have lost my trust in the system. Where to turn? Kirk

Larry,

It is a cunundrum to me how to hedge against inflation,depreciation of the dollar in light of the possibility of gold dishoarding and confiscation.During the Carter years,I made a lot of money with cash accounts by remaining liquid and enjoying 20% interest rates during 14% inflation.

Now I am baffled,because we are printing money faster than then,but interest rates are almost nothing(unless you are borrowing).I am relatively liquid now,but interest rates are not compensating for the devaluation of the dollar.At some point,it seems to me that the US Govt. is going to have to pay more interest to get anybody to invest in their bonds.

What do you think the federal government’s end game is?How should I hedge against the devaluation?I am 70% liquid now.

RSK

If the dollar goes flat soon and it’s inevitable, we still have time now to build the house of brick, fill it with things we have to have in any economy, and to barter, eg shampoo, kleenex, tp, toothpaste, etc. Siege mentality says store food until you can grow food, put up a chain link fence with lights, and see your friends S&W, get a doberman. Assemble the gas cans, assemble the generators, tools, items you need to make your own living, grow food, fertilize and protect it, and sustain you and yours.

My friend Mervyn Thurgood, a young soldier in post WWII Germany, said you can’t eat gold and diamonds. He bought a farm, rented it out to tenant farmer while he lived in the city, just in case. He ran a few head of cattle, thought future pigs and chicken runs. His huge freezer overflowed with food, waiting for that rainy day. My sister in law has a farm in Kansas she inherited, could not bear to part with, and it has on it for heavens sake, abandoned but capped, oil wells. It’s a place to go.

Before this all happens, I need a few questions answered: In a land where everything is cheap because nobody can afford to buy anything, won’t people from other countries come with a strong currency to buy up all US houses, lands, businesses, industries? Won’t they come in droves to rebuild the country and we will be worse than tenant farmers with only our labor to offer. Can’t yankee ingenuity and pioneer courage supplant those new owners of the US economy. I wonder if the unions would rise again?

Before all this happens, why would there not be right now a rush to build an incentive plan to re-establish US as a manufacturing and industrial base, as in former years, which we will need when we can no longer import anything. We will ourselves produce what we need before it’s time for others to come in with their money and build and own these industries… Isn’t the time NOW to create (like during WWII days) a “war” effort that will put incredible American Ingenuity to work so we can produce ourselves out of our depression/recession. Where is the encouragement or propaganda to support an effort where America rises like a Phoenix from the Ashes to create a new Industrial and Manufacturing base, fueled by what’s left of our devaluing currency even if we are reduced to issuing stamps to our kids in school to pay for the Bonds to raise the capital. buy bonds in a new monetized currency after the dollar dies that will support the creation of the industries we have let run away to other countries. In a time when US dollar is low enough that we compete with 3rd world countries re job pay, we could definitely repatriate all the jobs, and focus on building and restoring this country, instead of just being a service supplier where nobody can afford the services. The immigration problem fueled by promise of high paying US jobs (comparatively speaking) would end, and theoretically, the immigrants would be better off wherever they came from. Maybe not a good answer because America will always need immigrants, but it would certainly fix a few immediate problems at the southern border… it seems there is so much of a mess going on in Washington that the elected leaders have forgotten how to lead the country… who is going to lead us out of the coming mess? Everybody is talking and nobody is paying attention to the wolf at the door.

If the dollar collapses, how will US afford offshore oil? The balance of payments to the middle East would drop to nothing, and US energy would be what we could afford. Would it be cheap? Shouldn’t we be investing in Solar, Wind, Hydrogen and Natural Gas and Offshore (our own shores) Oil development NOW? Presumably US stock prices would rise with the falling dollar if US stocks represent the value of a company as a commodity. Wouldn’t the stock value on the exchanges just keep pace? One hopes. Please, Larry, look at that argument and say stocks would stay safe…

As to the suggestion re rental property, that makes sense as long as you have tenants with jobs who actually pay their rents, and the taxing authority doesn’t kill the goose that lays the golden egg.

We have too many chiefs and not enough coordinated indians. The time to batten down the hatches is NOW. Who is going to help me bake my bread.
Yours truly
The little red hen, Pati

An Aussie’s view: With the dropping of the American dollar against a lot of the major currencies, doesn’t that spell trouble for all those other countries which rely on exports to America? Their products become more expensive and less Americans can afford to buy them. Hence, I would assume most countries are now looking for new markets or expanding their existing markets in other countries. Of course the corollary is that American exports are cheaper which should stimulate the American economy. It cetainly is a global balancing act.

Should we be buying more gold at this time? Should we be investing in foreign companies sold on the US exchanges, or only those sold on foreign exchanges? Or is The Borg right: “Resistance is futile.”?

Larry,
The only defense I see is climbing into a hole and reappearing in about five years. Short term, International bond funds, large caps which derive 50-60% of their income from overseas operations or exports, and holdings in Asian companies seem to be prudent.

Hi.
Thank you for all the information.
Have a small trading account in US dollar should i exchange it to Canadian dollar??
Thanks
Helmut

Finally someone told the truth about our situation! Rarely happens…
Obamanation can be blamed for it all !!! Should we plan on growing veggies in the back yard, keep a cow or two in tool shed, and buy washboards to keep ourselves and our clothes clean? There are no other options!!
And, it’s gonna get worse, and worser, and worsest, until finally we’re all get dead as doornails !!
Heaven help us!!!

I’m a subscriber to Martin Weiss’s Safe Money Report and your Real Wealth Report. I have most of my cash in the short-term Treasury Bills. With the bleak future of the dollar what can I do with my dollar cash asset that is in the Treasury Bills? Your comment will be appreciated.

H. Naito

To protect yourself it is important to fundamentally understand what is happening. You can download from the Ludwig Von Mises Institute the excellent 1975 book: “When Money Dies: The Nightmare of the Weimar Collapse”. Read it! One conclusion from the book was that the hyperinflation destroyed the country, and set the stage for the Nazis to come to power.

I’m convinced Bernanke and most of the other Fed governors either have no idea what they are doing, or feel the failure to do what they are doing will result in calamity. There is no case in human history where a country, kingdom, or empire issued debt from one pocket, and then “paid for it” from another pocket. That is what the Fed is doing, and it will be no more successful than Zimbabwe.

For protection recommend buying gold stocks or gold funds, and buying strong foreign currencies like the Swiss franc.

Larry: The scenario you point out is most distressing, for sure. Do you think it is still a good idea to buy gold, and if so, in what manner? Coins, bullion, stocks? Sure would like to hear your feedback.
Thanks.