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<p>[QUOTE=&quot;Rono, post: 1992829, member: 6492&quot;]Howdy,</p><p><br /></p><p>Folks have been talking about the death of the dollar for years - both as a fiat currency AND an international medium of exchange.&nbsp; I&#039;ve been saying for years, it&#039;s the least dirty shirt in the laundry and I still feel that way.&nbsp; That said, it really doesn&#039;t matter.&nbsp; If people believe a lie and act as if it IS true - it might as well be true - at least from the way we view and react to it. </p><p><br /></p><p>In this case, whether or not the dollar (i.e. the U.S. treasury and gov&#039;t) is sound doesn&#039;t really matter if enough people treat it as if it is sound and act accordingly. </p><p><br /></p><p>We&#039;ve still got this enormous debt of unfunded liabilities that they have to deal with.&nbsp;&nbsp; The total of promises was over $100 T - social security, medicare/aid, various trust funds, state and local promises, etc.&nbsp; Oh, and how are we paying for this latest war?&nbsp;&nbsp; Indeed, it is not politically feasible to break all the promises OR raise sufficient taxes in order to cover this tab.&nbsp; Ergo, they have to debase the dollar by around 50% (from 96% debased since 1913 to 94%) and they&#039;re about half way there.&nbsp; So far without having inflation go nuts or everything imploding.&nbsp;&nbsp; Inflation has been helped by global competition via the internet AND 20% real unemployment eliminated any wage pressure and the formula they use to calculate the CPI.&nbsp; </p><p><br /></p><p>Anyway, we&#039;re about halfway thru this little gambit and so far they&#039;ve been pulling it off, albeit with no help from Washington or the middle east.&nbsp; </p><p><br /></p><p>So, as bullion investors, we have to handicap their chances of success - or better yet - of failure.&nbsp;&nbsp; Being rational, we have to assign some probability to the chances of financial meltdown.&nbsp; The doomsday scenario is possible - even if only 5-10%.&nbsp; You&#039;re welcome to assign your own number. </p><p><br /></p><p>The issue then becomes how to insulate ourselves to a degree that covers a 5-10% chance of dollar collapse. </p><p><br /></p><p>Many of us feel that having some bullion on hand is a good insulator.&nbsp; My grandkids have bed buddies.&nbsp; My wee stash of pm&#039;s is my bed buddy.</p><p><br /></p><p>and so it goes,</p><p><br /></p><p>peace,</p><p><br /></p><p>rono[/QUOTE]</p><p><br /></p>

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