Are we headed towards The Greatest Depression of All Times

This time it is not The Great Depression that is coming , but the Greatest Depression . The king of them all. Unlike 2008 this one will have the human despair of the dirty 30s. We don't have the money or credit to save our backs like last time. And we didn't even do that the Fed just held the rates to the floor and Obama got an easier ride. Glass-Steagall separated the money creation side of banking from the investment side of banking. It also stopped the money creation side of banking from trading in securities. The people that put it in place knew what it did, the people that repealed it didn’t. Without Glass-Steagall the bankers could create money to buy securities they produced themselves in a ponzi scheme. This is what they did. You will never have banking again in this country as long as the banks sweep your accounts every night and invest it in the stock market. this time it is not going to be a sequel of 1929, the Fed is not going to sit by and let the Money Supply fall by 1/3 to support the dollar and gold standard, more they will pump again in old QE playbook, and there will be inflation, high interest rates, austerity, bailouts, and difficulty financing the national debts around the globe and some sovereign defaults. There are many people who like to insist that "debt is just a social construct" and that it can be rendered meaningless by just deciding to zero out the books. But this is not true. Any debt, once issued, has to be paid back in some form or another, either by liquidation (i.e paying it back in hard currency), monetization (inflating the money supply), or default (sacking assets to pay creditors). As mysterious as it may sound, there is simply no way to not pay back debt. That's because debt represents consumption in the present that is borrowed from the future, and you cannot consume that which has not been produced. As Say's Law stipulates, we pay for production with other production. Therefore, in order to make good on what we've consumed in the present, either somebody is going to have to produce it again in the future just to replace it (at no profit to themselves) or we're just going to have to do without it in the future. There is no other alternative. The very laws of causality themselves do not permit us to wriggle free of debt without paying it back. "Verily, verily I say to you, you will not get out of there until you have paid the last penny." This is a rather frightening prospect to imagine once you take account of the untold trillions of liabilities we've already heaped up to ourselves. All that we see around us, practically the entire American economy and all its infrastructure and capital assets, is already pledged just to fill in the production hole from what we've consumed without paying for it. We have already destroyed ourselves. We are only awaiting now the firm, fell footsteps of the Reaper. Money can only be created through the issuance of more debt.The whole shitaree collapses when people quit taking on debt and the velocity of money dries up. Our entire way of life was built on sound money. We haven't had sound money since 1971 or arguably when the FED was created in 1913. Nobody wants this shitshow to end more than I do. One day we will be vindicated at great cost and suffering. There will be no "I told you so" because people are just stupid and everyone will be doing what they have to do to survive. Our world then will be one ugly, horrific place. I hope to hell those people learn from the mistakes of 1929, the intervening wars, 2008, and the last great debacle. It's got to get a lot worse before it gets better, my friends. Here is my recommended list of basic investment priorities . food, water, shelter, self defense, fuel, toiletries (that is unless you have enough worthless $1 bills to wipe with) ,reliable transportation (preferably an older model 4x4 diesel pickup), tools, rural land with water rights, and some kind of camper trailer, possibly some precious metals. In my opinion any responsible adult would invest in some or all of these precautions to help ease the stress of many scenarios. Got a 401K ? Get your money out now. so what do you think are we headed for the greatest depression in history of mankind or everything is fine and dandy , and there is no need to panic !? let us know what you think in the comments section below .

The Financial Armageddon Economic Collapse Blog tracks trends and forecasts , futurists , visionaries , free investigative journalists , researchers , Whistelblowers , truthers and many more

No comments:

Post a Comment

Blog Archive

Friendly Blogs List