I got this news today that Obama will create more jobs by 2010. Well, lets hope that USA does better under Obama government. Or else, I will have to re-plan all my investments....!!
Peter Schiff: Dollar Will Collapse In The Next Two Years
- Thread starter hellblazer
- Start date
Obama cannot create any jobs. He has to take resources out of the private sector (costing jobs the market wants to create) to create government jobs (the market clearly does not want to create). This is just more intervention and unbalancing of the economy.
Each government employee is a direct overhead expense to everyone working in the private sector. Government created jobs are wealth destruction, not wealth creation. If government created jobs could build a healthy economy, the USSR would still be around.
Every fiat currency since the Romans started the practice has ended in failure and complete collapse.
Of course the dollar will collapse if the Fed continues with what they're doing... it's just a matter of when.
Schiff says two years - it's certainly possible.
Now everyone here can laugh and point fingers....
OR you can give yourself a little bit of insurance.
Now has never been a better time to start targeting international markets for affiliate marketing: germany, latin markets, canada.
Think about it.
Of course the dollar will collapse if the Fed continues with what they're doing... it's just a matter of when.
Schiff says two years - it's certainly possible.
Now everyone here can laugh and point fingers....
OR you can give yourself a little bit of insurance.
Now has never been a better time to start targeting international markets for affiliate marketing: germany, latin markets, canada.
Think about it.
I used to follow Schiffs vlog and found it interesting. I have not read his book, but I might. But if memory serves he got a few things wrong during this whole thing. Right now he looks to be the victor but when the crash actually happened I am pretty sure he did not expect gold to plummet as hard as it did. He was sweating bullets when that happened. His customers were pissed and losing their ass.
And now you can look at the price of gold and say he was right. But maybe in a year or 2 we'll look back again and say he was wrong. Just like the paranoia that sparked the last gold rush in the 80's. During hard economic times, paranoia, and extreme fear people run to gold. After the fear subsides gold goes way down again.
Do you realize that the same arguments were used to justify the 80's gold rush? Do you realize that some of the same people were doing the hype back then too?
I'll just say one more thing. You guys are affiliate marketers and you're not more skeptical of these gold-pushers??? Seriously? I think of all the people trying to push gold on me and I think of how each one gets a cut of the action.
Peter Schiff, Alex Jones and even Glen Beck push gold on me and they actually get a profit from the transaction! You can't see that they're affiliate marketers? You can't see that they might profit from the fear and paranoia that they themselves spread?
If I see that someone will profit off of something they want me to believe then I'm usually 100x more skeptical - that's just how it is.
about 1/3 of all my capital goes to my savings account.
My savings account is comprised of approx. 80% gold (physical), 10% Silver (certificate) and 10% in a diversified stock portfolio. That's just me though.
And FYI I got into precious metals before everyone starting yapping about it and it has served me well. That gold ROI beats the stock portfolio by a large margin.
Don't forget: Gold is anti-inflationary by nature. Whether the numerical value of the dollars goes up or down the purchasing power of gold relatively stays the same (unless there is mass manipulation); perfect for a savings account.
Simple minds assume everything is linear. That gold will go up without making any small corrections. Gold is in a bull run even when it makes corrections. The run will likely continue. And there will be more minor corrections which are buying opportunities.
Schiff got attacked by people who tried to judge his investment strategies based on a 3 month stretch not a 10 year strategy. Ultimately, after those 3 months his stuff recovered and stayed on course with his core strategy.
So again, this proves nothing. If you understand investing, it is normal to have minor corrections in bull runs. Those are buying opportunities.
Do the hard times cause paranoia or do the hard times cause real assets to appreciate? As far as the rear view mirror, history and reason are on Schiff's side. Don't forget, he has heavy hitters like Jim Rogers and Marc Faber who basically agree with his premise about the long term health of the dollar.
Also, your fixation on gold leads me to believe you don't really know much about Schiff at all. He's not a gold bug. He's into owning assets in emerging markets, real things. Gold is part of that, but by no means the greatest thing he advises people to invest in.
See above. You don't know what you're talking about.
Why you keep conflating Schiff with Jones is ridiculous. Of course people promote their business so they can get a profit. Ultimately, Schiff has delivered for his investors for over a decade which is why he is so successful.
You should be afraid of people selling you on something without a profit. It means they have no incentive to give you value and no feedback if the information they provide is worthless.
How some people here are so clueless about basic economics is beyond me.
How can a government create jobs? It needs money to do it, it needs to spend money. They have three ways of doing this:
1. more tax
2. more debt
2. printing money
As far as I can see so far US government are unlikely to raise taxes now as it would be political suicide, especially as it would slow down a shit economy even further.
Debt is already at records levels and is increasing, but eventually countries will stop lending to the US, as it produces zero products to pay off the debts, the only way it has any sort of income right now is intellectual industries and profits of multinationals.
That leaves printing money, which is already happening of course. This leads to inflation, as there is more money for the same amount of products.
Even if Obama does what he promises and creates jobs, what will that achieve? A few more people will be doing nothing and spending government money indirectly, which the government got from the above mentioned methods. They won't be producing anything.
If these jobs don't product anything, how will the above processes be undone? It is money down the drain.
Incidentally, here's an interesting photo essay focusing on Germany's currency troubles during the 1920s...
The Dangers of Printing Money - Photo Essays - TIME
Whether you agree or disagree that we're on the same path, the photos are mesmerizing.
The Dangers of Printing Money - Photo Essays - TIME
Whether you agree or disagree that we're on the same path, the photos are mesmerizing.
If he's so sure about the dollar's demise... then why does he have issue with the cash for clunkers program? I mean if there were to be hyperinflation, prices for goods and services would skyrocket making a car payment amount about the same as the price of a cheeseburger (in very vague theory).
People that hold mostly currency would take the biggest hit, and everything else would have to adjust very quickly. It's happened before in other economies like in mexico around 1986, the currency lost 50% of it's value overnight. people with diversified assets weathered it best.
Investing in gold, land and other tangible assets that can adjust their prices after a hyperinflation would be the smart move. but last I checked, car loans don't have a hyperinflation clause.
People that hold mostly currency would take the biggest hit, and everything else would have to adjust very quickly. It's happened before in other economies like in mexico around 1986, the currency lost 50% of it's value overnight. people with diversified assets weathered it best.
Investing in gold, land and other tangible assets that can adjust their prices after a hyperinflation would be the smart move. but last I checked, car loans don't have a hyperinflation clause.
No offense, but american cars are shit. Power is just about the only positive thing they have, but not everyone wants power (in fact most car owners don't).
Cash for clunkers is supporting an industry that should either collapse or innovate. It is keeping jobs in inefficient places, which slows down the free market.
He has an issue with cash for clunkers because it encourages people who most likely have no car payment (it is a shitty clunker after all) to go out and buy a car on credit that they can't really afford and shouldn't really be buying.
One of the things most Americans should be doing is saving money, not buying more shit on credit.
On top of that cash for clunkers basically destroys working assets (cars) which is just dumb given our current economic situation.
One of the things most Americans should be doing is saving money, not buying more shit on credit.
On top of that cash for clunkers basically destroys working assets (cars) which is just dumb given our current economic situation.
Leave it to people like Hellblazer to preach gloom and doom. It's highly unlikely that the dollar is going to collapse. It may continue to slowly decline until we can get shit straightened out, but before an actual "collapse" happens... countries like China, Japan and pretty much every industrialized country won't let it collapse because they will go with it.
The economy is starting to pick back up, the worst is behind us. It almost seems as if a lot of you pessimistic folk encourage and starve for the destruction and collapse of our economy. Insane!
The economy is starting to pick back up, the worst is behind us. It almost seems as if a lot of you pessimistic folk encourage and starve for the destruction and collapse of our economy. Insane!
The only reason I see that the dollar possibly won't collapse, is that the leaders is china and Japan don't actually care about their own people. They are completely happy using their people as slaves to America, while they as leaders exploit them and reap the benefits.
It's not an impossible scenario.
If you go down this route, China might not actually dump their dollars. Just carry on doing what they are doing.
Never underestimate the power hungriness and greed of world leaders.
Question is, how much can we rely on countries being independent entities? I'd actually quite like to hear people's opinions on this.
It's not an impossible scenario.
If you go down this route, China might not actually dump their dollars. Just carry on doing what they are doing.
Never underestimate the power hungriness and greed of world leaders.
Question is, how much can we rely on countries being independent entities? I'd actually quite like to hear people's opinions on this.
This, and Gerald Celente. These people behave like they fucking know the future. And look at their predictions from 2008 - mostly pessimistic inflated doom and gloom shit that didn't happen. Zero authority.
I am actually quite an Optimistic bastard, must be the beautiful sunny side weather here in Sydney,Admittedly the Australian economy has at this point weathered the storm somewhat, however, I read people like Schiff, amongst others in order to make better long term investment decisions. Even though there may well be a slither of truth in what he spins, Alex Jones is not my compass and will never be. All things considered, buying US equities long term is not in my game plan.