Posted on 02/15/2009 7:10:51 PM PST by sickoflibs
“In the US we have a new economic school called the Zimbabwe school. And it’s founded by one of the great leaders of this world, Robert Mugabe who managed to totally impoverish his own country and that is the monetary policy the US is pursuing. If something goes wrong, print, if it doesn’t get fixed print more, if things get even worse print even more.”
“Looking at government debt and debt in general the only way they will not default physically on the debt is to inflate…. I don’t see how the federal reserve will ever again increase interest rates to a level where they will be real, meaning you have real returns above the level of inflation and where short term rates are above GDP growth, So eventually we will get inflation.”
“I wrote two years ago a report called “Is America becoming a Banana Republic? ”There are features that characterize Banana Republics; being a totalitarian state, a strong intervention into the economy, and a polarization of wealth and we have all these trends appearing in the US. We are not yet there yet, it could be reversed, but I doubt it will be.”Entire Video at :2/5/09 Marc Faber: “ U.S. will default on debt or enter hyperinflation
More on the US's new economic school at : Inside a Failed State - Zimbabwe
WHY PETER? Peter Schiff is what we need now as the articulate and witty ‘ Prophet of Free Markets’ and the ‘nay-sayer of government intervention/socialism.’ We don’t need more dribble about how we need endless bailouts and endless stimulus packages and endless debt because the alternative is too terrible to speak of. We already have the media and the party in power using public panic to gain support of their massive takeover of our property and our freedom.
You can read past posts by clicking on : schifflist , I try to tag all relevant threads with the keyword : schifflist.
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I am very afraid of a burst of hyperinflation. I see no alternative, while current policies persist.
Check out Zimbabwe in link above.
The problems with Peter Schiff are:
1. He doesn’t grasp that Money Supply = Cash + Credit, and
2. He can’t explain why Japan has seen no hyper-inflation during their 20 years from 1989 to 2009 of massive government borrowing/spending and 0% interest rates.
Which is to say: Schiff is clueless about the real world.
Any relation to Emil Faber of "Knowledge is Good" fame?
Part of me thinks this is wrong, since every other industrial nation is experience a pinch. I just don’t know whom we’re going to borrow from in the near future. I mean China can only do so much, and do we want them to....?
BUMP!
Hope she has to stomp her little hooves over it.
Dr. Doom is pessimistic? That’s a surprise.
Of which the Fed has neither, not really anyway.
He can’t explain why Japan has seen no hyper-inflation during their 20 years from 1989 to 2009 of massive government borrowing/spending and 0% interest rates.
The Japanese Government could borrow money during the 80's and 90's. That's why.
L
The problems with Peter Schiff are:
1. He doesn’t grasp that Money Supply = Cash + Credit, and
2. He can’t explain why Japan has seen no hyper-inflation during their 20 years from 1989 to 2009 of massive government borrowing/spending and 0% interest rates.
Which is to say: Schiff is clueless about the real world.
#2....the Japanese economy has stunk for the past 20 yrs...there stock market has never went back to its highs of the late 80’s.
RE “The socialist are pursuing that policy along with the Cloward-Piven Strategy”,
I read about it in David Horowitz’s book “Shadow Government.”
who runs japans money? do they have their version of the privately owened federal reserve?
Not the point. The point is that Japan has been where we are...and yet Japan hasn't seen hyper-inflation.
Schiff and Faber can't explain that . Neither can Celente. All of them stutter like a bad country singer when asked why Japan doesn't see the hyper-inflation that they keep predicting.
Don't be like them.
Srock up now, then, correct?
> Part of me thinks this is wrong, since every other industrial nation is experience a pinch.
You are correct, he is wrong.
> I just don’t know whom we’re going to borrow from in the near future. I mean China can only do so much, and do we want them to....?
Most of the government borrowing is coming from the private sector. All the money coming out of equities needs to go some where and it is going into government debt.
And this is a problem. As our government borrows more and more money from the private sector there is less money available for investments, and without private sector investment there is no growth. Welcome to Japan.
Schiff is an utter idiot, and the problem is with *not* including credit in the money supply.
When you exclude credit from the money supply, you start predicting INflation even when massive amounts of credit have been destroyed.
Anytime more credit is destroyed than there is new cash being printed, you get the opposite of inflation...you get DEflation.
Schiff doesn't know the above. Faber doesn't know the above. Celente doesn't know the above.
Celente in particular has cost his clients a fortune in bad Market calls.
They give idiots a bad name. They are dangerous to your financial health. Don't be like them.
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