12 Warning Signs of Hyperinflation

Read a little history of the labor movement in America. You might be surprised at what you find. Maybe they just don't teach this in school anymore.

It just kind of amazes me how the attitudes of American workers have changed from a mindset of wanting a better life to wanting to take away from anyone who has more than they do.

 

Log in or Sign up to hide this ad.

While I have been steadily increasing my holding in physical gold, silver, rhodium, platinum, palladium, etc. for the past few years, I am always telling those that have been reading the recent headlines to err on the side of caution when purchasing their precious metals. While I may beleive that we're all heading for a global depression, it doesn't make sense to go crazy buying stockpiles of food, ammunition, gold ,silver, etc and forgetting to focus on the present. Be proactive in your stockpiling, but also levelheaded. I remember my mother going crazy for Y2k and we had food in the basement almost 6 years later from her hoarding/stockpiling. Main idea here is don't buy into doom and gloom too crazily right now.

As for the Japanese holding U.S. debt, yes they do have a lot of it, but so does China and other countries. Will the Japanese "cashing in" on the bonds they hold cause us to go into a downward spiral at the speed of light? Not likely.

 

"our creator"? ... whose that? ... mom and dad?

 

Just using our the language of our Declaration of Independance, but maybe your like our president who likes to leave that part out in speeches.
If you haven't read the DoI, I highly recommend it.

 

Actually, I have been blessed to be better off than most of the people as you stated "have more then they do" and I would like that opportunity to continue for ALL Americans. I believe "a better life" is not determined by the amount of money you make but in the pride you take in YOUR work. If you care about the product or services you are PRODUCING rather than the incremental increases in pay based on years of service, we as a country will become strong once again.

 

Not to nit-pick, but that is actually from the Declaration of Independence, not the Constitution.

 

wouldnt it be great if they taught that in school?

 

Well played, you are correct sir!

 

Everyone who says don't buy into the doom and gloom cites one or two close calls which were luckily avoided. Why are those examples NOT to prepare? Aren't those actually examples to prepare? We came close to major calamity and barely scraped by, so let's not bother preparing next time? That's absurd. We only got out of hyperinflation in the 80s because the U.S. cooked up petrodollar hegemony while simultaneously flooding the market with gold. Don't expect another rabbit out of the hat like that one! And we only avoided Y2k because companies and governments spent billions preparing. I was a part of that -- one of the programmers fixing the Y2k bug in dozens of legacy programs. We did it, we fixed the problems, so the world didn't end. But in either the stagflation of the 70s or the Y2k scare, it could have gone the other way. Don't fool yourself into thinking we're now immune from entropy. All fiat currencies have hyperinflated. It's the law. It's just a part of human nature that we'll never fix. If you give government the ability to print money, eventually they'll print it out of existence. We're well on our way and within a stone's throw of finishing the job.

 

Well said Passantgardant, but might not be well taken here. It seems that if you mention y2k your words are often then discounted.. heads in the sand. I know a lot of companies/businesses spent oodles of time, money, resources as did our government to prevent the worst from happening..
Personally, I believe it's a good idea to atleast examine each possible scenario, and not be so locked in to our own ideas. I bet there is a whole lot going on right now behind the scenes somewhere.
Lucy

 

I agree that inflation has nothing to do with the FORM of money. But it has everything to do with the available QUANTITY of whatever is used as a medium of exchange in an economy compared to the amout of goods and services available. And of course there will always be price changes due to changes in supply and demand in any free market, but changes in supply and demand are not technically inflation.

 

For those arguing that people died so workers could have collective bargaining rights, keep in mind that the recent unpleasantness in Wisconson is a fight by, or against depending on your perspective, government workers. I can see workers in the private sector bargaining collectively for a share of the profits of their labors (as opposed to it all going to "The Man"), but let's remember that we are talking about PUBLIC workers here. What "profits" are they being unfairly excluded from sharing?

 

I don't think anybody benefits from creating a caste system in the country with different rights for different subgroups. Private sector employees don't share in the profits either. Only stockholders do. They are compensated for the work they perform, just like everyone else. It's tough to make the case that autoworkers should have the right to bargain for their benefits, but the teachers teaching their kids should not. The American solution to the problem is for the state to negotiate a more favorable contract for themselves next time the contract comes up instead of caving in so easily, and not to make negotiation illegal. The outcome of reducing benefits may be commendable, but the method to achieve it is tyrannical.

And this will be my last word on the subject since it is off topic for this forum.

 

passantgardant, I beleive that the administrator has answered my rebuttal to your post.
Then, in regards to not buying into doom and gloom, it is wise to be prepared, but not go "all in" and hope you made the right choice. These people saying that the world will end this way, that way, here, there, now, then are always spewing fear to anyone who is willing to listen and I'm telling everyone to be cautious before buying into any of it. Has happened throughout history up until now and just because we have the machinery and capabilities to destroy whatever we want doesn't mean it will happen. Think before you leap.

 

I don't think its OT since it deals directly with the fiscal mess that is driving people here to buy PM's. I think they are apples and oranges private versus public. What is going on with public unions would be akin to:

A private company has shareholders, but some of the shareholders are also employees. These shareholders get to collective bargain, and their union takes a cut of their total pay each month to buy more shares of the company, Therefor, the more money they bargain for, the greater say the union has in running the company, making future raises easier and larger. The other shareholders gradually lose their say in the company, but the extra pay keeps coming out of their pockets whether they can afford it or not. When they finally band together to vote in new management to stop these increases, the employee cry foul and throw temper tantrums on the front steps of management.

The net point is, public unions are bargaining for OUR money, not a private individuals, and are taking some of it to PAY FOR LOBBYING to get even more. This is what must stop, either ban their lobbying or ban their bargaining.

Sorry that is how many of us feel. The percentage of public employment and their pay received has far exceeded private sector for 30 years or more now. This is the 800 pound gorilla destroying State and Local financing, and will eventually have to lead to State and Local bankruptcies unless the US wants to spend another 5 trillion on a bailout.

If a moderator thinks this is OT, please delete, but I think its one of the cores of deterioration of the dollar today, the other being public assistance/social security/medicare. Rome did not fall from the barbarians, they bled the taxpayers dry to pay for bread and circuses.

 

I have no problem as expressed, but any posts that take these areas into politics or rants will be removed as off topic.

​

 

Fair enough, and I will follow Clouds lead to not post about it further. We can agree to disagree Cloud like it seems we frequently do, but still respect each other's opinions.

Chris

 

Since the vast majority of comments made in threads like these are opinion, I think it is a smart thing for all of us to do. Certainly no one knows for sure the future as Black Swans do not "honk" that they are coming. When all is over in the far future, someone will have guessed right and be acclaimed as an "oracle". It is hard to convince "heretics" and easy to "preach to the choir", no matter which side one is on, so each invest as one wants and hopefully it will be for the best.

Jim

 

Thats the absolute truth. Besides, I say invest in your families future, not metals with no real value. I just shelled out 42K for my daughter's first year at college. Best investment I'll ever make, hands down. Outperforms gold a trillion fold on it's best day ever, past or future. Put your money where it'll really make a difference.
Guy