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<p>[QUOTE="Cloudsweeper99, post: 1134266, member: 3011"]From your research you should also have discovered that the debt to GDP ratio at the end of World War II was much higher than it is today. So high inflation or economic collapse is not a given. I would also say that there is an equal probability that we will suffer from deflation or inflation. If you look at other situations in history where there was high debt, the probability of massive default [i.e., delfation] is probably equal to the probability that it will be successfully inflated away. I don't think you will ever see $5 silver again because the cost of production has risen much much higher than that. So unless all industrial uses cease, silver prices will probably remain above the cost of production [my estimate is about $20] from now on. Regarding the dollar, everyone looks at the supply of dollars being provided by the Fed, but the other side is the demand for dollars created by the need to service all of the debt out there. So a falling dollar is a good bet, but far from a sure thing. </p><p><br /></p><p>So all of those "oblivious" people out there have a lot of history and facts to support their beliefs. If it was easy to figure out, everyone would be rich.</p><p><br /></p><p>Welcome to CoinTalk![/QUOTE]</p><p><br /></p>
[QUOTE="Cloudsweeper99, post: 1134266, member: 3011"]From your research you should also have discovered that the debt to GDP ratio at the end of World War II was much higher than it is today. So high inflation or economic collapse is not a given. I would also say that there is an equal probability that we will suffer from deflation or inflation. If you look at other situations in history where there was high debt, the probability of massive default [i.e., delfation] is probably equal to the probability that it will be successfully inflated away. I don't think you will ever see $5 silver again because the cost of production has risen much much higher than that. So unless all industrial uses cease, silver prices will probably remain above the cost of production [my estimate is about $20] from now on. Regarding the dollar, everyone looks at the supply of dollars being provided by the Fed, but the other side is the demand for dollars created by the need to service all of the debt out there. So a falling dollar is a good bet, but far from a sure thing. So all of those "oblivious" people out there have a lot of history and facts to support their beliefs. If it was easy to figure out, everyone would be rich. Welcome to CoinTalk![/QUOTE]
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