James Rickards’ article, The Accelerating Countdown to Armageddon tells us: “Those who focus on the U.S. national debt (and I’m one of them) keep wondering how long this debt levitation act can go on. We’re accumulating debt at a substantially greater rate than we’re growing the economy. Basically, the United States is going broke! …. When is the debt-to-GDP ratio […]
» Read moreDuring the State of the Union Address, the president said the Republicans want to cut Social Security. Several boos were heard; Rep. Marjorie Taylor Greene shouted “liar!” The pushback was swift; a nonsense deflection of the major problems facing America. Social Security accounts for almost 20% of federal spending, approximately $1.25 trillion. By 2034 it’s estimated to only be able […]
» Read moreWhen the Fed bailed out the banks in 2008, flooding the system with trillions, you just knew high inflation would be the result. It just had to happen! The government jumped in, borrowing trillions more at historically low interest rates. Not willing to let rates rise to free market levels, the Fed simply created money for the government and put […]
» Read moreWho wouldn’t want FREE money? Politicians love it and citizens gladly accept it. Stimmy checks?? The Government Accounting Office touts, “The federal government made direct payments to individuals totaling $931billion.” That does not include student loan forgiveness or other government handouts. Now the states are getting into the act. Yahoo supplies the current scorecard, “These twenty states are sending out […]
» Read moreSince the 2008 bank bailouts, readers regularly ask, “what the hell is going on?” I’m not an economist, but I’ll try to explain things – and it isn’t pretty. A major plank in problem-solving is, “Look at the consequences of your decisions, don’t let your solutions cause bigger problems.” “You can choose to ignore reality; but you cannot ignore the […]
» Read more“Today Congress is constantly besieged by minority groups seeking benefits from the public treasury. Often these groups control enough votes in many Congressional districts to change the outcome of elections. And so, Congressmen find it difficult to persuade themselves not to give in to pressure groups. With no bad immediate consequence, it becomes expedient to accede to a spending demand. […]
» Read moreIt’s amazing how many childhood lessons apply in today’s complicated world. In grade school, the older boys told us only babies believe in Santa Claus. I told them my mother said, “As long as you believe, there is a Santa Claus.” They made fun of me. I sought the counsel of our neighbor, Sherwin. He was an A student, already […]
» Read moreMy grandfather was a WWII Army Sargent, an uneducated farmer with a Ph.D. in common sense. One of the lessons he preached; the longer you ignore a problem, the more it will grow. Fed Chairman Jerome Powell never met my grandfather. This Schiff Gold article confirms my grandfather’s thinking: (Emphasis mine) “During a webinar sponsored by the Economic Club of […]
» Read moreFriday the 13th, Atlanta Hartsfield Airport. I’ll soon be home for Christmas. It was a long year, 40+ weeks on the road; several two-week international trips. I was exhausted. We finally rolled down the runway, headed home. Suddenly the pilot reversed thrust, slamming on the breaks. I felt my seat belt straining. I heard a couple screams in the back. […]
» Read moreI recently asked, “Will the Next Bank Bailout Bankrupt America?”. The casino banks risky derivative bets are much higher than the last bailout a decade ago. The risks will come home to roost and they will expect taxpayers to bail them out again. I concluded: “Keep and increase your gold holdings. True reform would take us back to the gold […]
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