Stray Dog wrote:
> Folks, whether you like it or not, most countries in the world are
> using, basically, the same monetary system, the same central bank
> system (all integrated with other central banks), and printable money.
> Please, on your own, read a few books on banking and economic history.
> Even hundreds of years ago, kings/emperors had the problem of raising
> money either to fight wars or defend against them. Fractional reserve
> banking (which causes inflation) has been around since before
> Columbus. All kinds of frauds, whether by individuals or whole
> governments, have been around for all this time. I'm still waiting for
> people to understand that all countries print money. All countries
> manipulate their currency, trade policies, carry out economic warfare
> either openly or clandestinely, etc., and there are no simple answers
> or solutions for this.
>
> But, you guys will do yourself a favor if you buy a house when prices
> are down. All that "bad" inflation will make that house more valuable
> (about double every ten years), so you pay off the loan with cheaper
> dollars, and get more money back when you sell the house. All balances
> out unless there is a "storm" in the economy.
>
"... about double every ten years" is extraordinarily optimistic. It
happens, but is not typical. The great mass of housing stock moves along
about at inflation. Some does not meet inflation. You have to research
this carefully. The local housing stock that does appreciate fastest is
usually out of the range of normal wage earners, unless they wanna do
balloon mortgages and get really fancy.
> Just for the record, I saw in "The Economist" recent issue a graph
> that showed that the money supply in all developing countries is/was
> expanding at a rate 2-3 times greater than in the developed countries.
> This is why they are seeing inflation coming now.
>
This is also why they are in bubbles.
> I would not worry about gold. You can't buy hamburgers with gold and
> you can't pay the rent with gold either. You have to convert first.
>
Gold bubbles always act as a leading indicator for the next generational
boom cycle...
> --------------------------
> On Apr 12, 11:21 pm, visualseep...@[EMAIL PROTECTED]
wrote:
>> US is desperate to stop the rise in gold prices. Gold is an indicator
>> of the declining value of the dollar. So the US has got the IMF to
>> get it to sell its gold reserves hoping to depress gold prices.
>>
>> But this scam of trying to mask the declining value of the US dollar
>> won't work for long. Countries and investors already know that
>> american debt is going to be repaid by watering down the dollar's
>> value further. There is no other plan to repay the debt.
>>
>> The baby boomers in the US who are getting ready to retire with their
>> nest egg in dollars are about to get screwed. Most of them are not
>> intelligent enough to realise that the ever increasing money supply
>> will make their govt handouts like pension/social security..etc worth
>> a lot less. They think the gravy train is on the way.
>>
>> -------------------
>>
>> Chavez says Venezuela could afford to buy some of IMF's gold reserves
>>
>> http://tinyurl.com/3zmvk2
>
--
Les Cargill
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