Skip to comments.Faber Predicts 'Massive Wealth Destruction' Hyperinflation, Social Unrest, Credit Collapse, Etc
Posted on 04/02/2012 6:55:24 AM PDT by blam
Marc Faber Predicts 'Massive Wealth Destruction' Through Hyperinflation, Social Unrest, Credit Collapse, Or War
April 2, 2012
Marc Faber was on CNBC this morning, peddling his standard doom
He had two good lines:
The first was that the #1 question investors should ask themselves is not 'where can I make the most money' but rather 'where can I avoid losing the most money'?
He then predicted that the endgame of all this easing will be "massive wealth destruction" through some combination of hyperinflation, credit collapse, social unrest, and WAR!
Doom, boom, and gloom indeed.
For what it's worth, he didn't predict, exactly, when this is coming.
As for what investments he does like....
"In Georgia, in Arizona, in Florida their property values will not collapse much more and will stabilize, so I think to own some land and some property, not necessarily in the financial centers but in the secondary cities, these are desirable investments relatively speaking."
(Click to the site to see a video)
(Excerpt) Read more at businessinsider.com ...
Dr Marc Faber is the editor and publisher of the 'Gloom, Boom And Doom Report.'
It's been nothing compared to what a second obama term will bring down on us. I hope everyone remembers that.
"...the stock market rally has largely been driven by a couple of guys, trading stocks back and forth to each other while most sit idly by on the sidelines."
....Human Sacrifice, Dogs and Cats Living Together....Mass Hysteria!
THAT it’s coming is independent of knowing WHEN it’s coming.
Interesting take in this interview:
This guy is “all in” on “junk” silver.
His idea is that after the dollar collapse, those with the only hard currency will be able to purchase producing land and property and rebuild society.
He knows dems have artificially ginned up the economy to have it humming by election time. He knows how they did it...
It’s like a family that’s broke deciding to ‘look good’ for the family reunion so grandma will leave them big money - assuming she dies quickly - before she realizes it’s all a lie - ‘success’ an illusion based on maxed out credit cards and a triple mortgaged house....
In housing, certainly. The wealth destruction could also continue slowly like the frog in the pan slowly getting boiled but doesn't realize it. Like gasoline and grocery prices ignored by government CPI figures slowly sapping purchasing power. Or near zero interest rates taking away income of savers and people on fixed income.
Faber has predicting disaster for the last 7+ years.
My favorite line from him - made in 2009, and appears to be absolutely correct:
“Central Banks and the FED can never raise interest rates again. They are caught chasing deflation by trying to pump up new asset bubbles and won’t be able to raise interest rates ever again. They have no choice. They will print, print, print to the point that it all collapses.”
I don’t think it is a bad idea to have some junk silver on hand.
How much is the issue. I would feel much better if I had more. Maybe 10% of your liquid assets in silver?
I started buying when it was $7 an ounce, and more at $15, but stopped when it shot up to $45.
The guy in the interview had ALL his investments converted to junk silver.
I don’t think I want to live that way - “hunkered down”, so to speak, waiting for the crash.
But, I think 5-10% of your total assets in metals is a good idea. Dirt is another good investment.
If nothing else the whole worlds economy is a house of cards just waiting for the right zephyr to send it tumbling.
If the present spending continues I dont see how we can avoid a collapse like that of Argentina ( http://www.youtube.com/watch?v=7yerKMQc7-w&feature=grec_index )but on a global scale.
But the market is up you say, yeah its up using billions in printed money in the hands of corrupted bankers, investors and their cronies. The world is now flooded with fake and faux money. The game is so rigged and now even the house is starting to lose.
When the whole thing tanks as it will what do you think the entiled class will do when they cant get their cell phones, their food stamps and EBT cards, rent vouchers and so forth.
What we will see is a much more violent version of Argentina, we will certainly see something much closer to Bosnia. American has become Balkanized and splintered, we no longer share the same basic beliefs we have become pocks of people with little in common with one another.
And many of this pockets are very larger entitlement minded and believe they are owed much by others and already shown that they will use violence to get their due.
I see many many small business wiped out by flash mob looting, and see rape, robbery and murder for murder sake. You will see what I call pocket pogroms where yutes will think no more about killing those unlike them than most people think about stepping on a roach. That will be the test of many. Most preppers I know are Christian people and they will hesitate to do what they might have to do to stop the yutes. On the other hand the yutes wont think twice nor lose a minute of sleep, in fact they will smile and laugh about it.
Think of this quote which is one of my favorites:
Star Trek: Deep Space Nine: The Siege of AR-558 (#7.8) (1998)
Quark: Let me tell you something about Hew-mons, Nephew. Theyre a wonderful, friendly people, as long as their bellies are full and their holosuites are working. But take away their creature comforts, deprive them of food, sleep, sonic showers, put their lives in jeopardy over an extended period of time and those same friendly, intelligent, wonderful people... will become as nasty and as violent as the most bloodthirsty Klingon. You dont believe me? Look at those faces. Look in their eyes.
On top of all who knows how many saboteurs (Islamic, Chinese etc) and sleepers have crossed our borders and are now just waiting to cause havoc.
For those who are just starting or are old hands at prepping you may find my Preparedness Manual helpfull. You can download it at:
NOTE! THIS IS A FREE DOWNLOAD. I DO NOT MAKE ONE CENT OFF MY PREPAREDNESS MANUAL!
For those of you who havent started already its time to prepare almost past time maybe. You needed to be stocking up on food guns, ammo, basic household supplies like soap, papergoods, cleaning supplies, good sturdy clothes including extra socks, underwear and extra shoes and boots, a extra couple changes of oil and filters for your car, tools, things you buy everyday start buying two and put one up.
As the LDS say When the emergency is upon us the time for preparedness has past.
Or as the bible says: A prudent man sees danger and takes refuge, but the simple keep going and suffer for it.
NIV Proverbs 22:3
Lastly this for the doubters and the scoffers.
There is no greater disaster than to underestimate danger.
Underestimation can be fatal.
It is hard to predict on short term horizons whether you get inflation or deflation given that monetary debasement causes an initial loss in velocity as people withdraw from the economy. Long term obviously we are being inflated to deth. What we are in currently is a Biflationary Depression. http://www.futurnamics.com/biflation.php
(in before the “shoot my neighbor and take his stuff” guy)
>> “Through Hyperinflation, Social Unrest, Credit Collapse, Or War” <<
With that wide of a window to pass through, he can claim success in his prediction no mater what happens.
The folks in urban areas will attempt to "raid" the folks in the rural areas through confiscatory property taxes.
The best investment is in one's own skills and abilities, and while they will confiscate gold and silver, they won't confiscate a good set of tools (which will preserve their value - or even grow in value).
A person is going to have to think a bit out of the box to survive into the future.
Yup...bet on it.
Also, mileage tax (tax you by the miles you drive), 'enter the city' tax, exorbitant water tax (everyboby uses water) and other things like this that we haven't even thought of yet.