We think the world will explode and our basement full of guns is our salvation. Sorry guys we are just entering a new age yet again that is scary for everybody but you need to embrace it and adapt. Our political class is just a bunch of dunces and indeed may be our undoing but remember nature abhors a vacuum. The Ann message is not your salvation, it's just more of buy gold, raise chickens, survive and hide. Yawn.
I am not sure I have read anyone with this view point of the "world exploding" or even a gloom or doom prophecy. I think if anyone is missing a point, if may be you.
Our current administration prints money like crazy. Oh, we owe you a trillion, lets turn on the printers and hammer out some 100s and get that debt paid off. It doesnt work that way. The American dollar is dropping in value all over the world and most of us are blind to it. As long as we have the newest 70" screeen TV, the hottest BMW on the block, and the nicest house, we live in our own little world surrounded by what we think is a "safety net". Our bank accounts, savings accounts, credit cards, etc. are our saviors. Sooner then later, we are about to realize the flaw in our thinking.
Here is some good reading if you are interested:
Many of these countries who are moving away from the dollar no longer view America as a stable and reliable force on the world economic stage and they are seeking alternatives as a hedge against a severe future decline in the dollar's value.
That China is the main facilitator of these moves to do away with the dollar is without question; the evidence is everywhere. Here are some specific examples of the various agreements that have been between China and other nations in recent times:
*China and Iran are creating a barter system by which Iranian oil will be exchanged for Chinese imported products. This is, quite obviously, an agreement designed to counter U.S. sanctions against Iran since China has no intention of discontinuing the importation of Iranian oil. Besides the barter system the two countries will also conduct trade using the Chinese yuan, the Iranian rial and gold.
*China and Japan announced plans to bypass the dollar and use their own currencies in their trade relations. Discussions involving a partnership between South Korea and China to exchange their currencies also have taken place. This is a huge development as China, Japan and South Korea are the dominant economic powers in that Asian region.
*China and Russia have, for more than a year, been conducting trade using rubles and the yuan.
*China and the United Arab Emirates (UAE) have announced an agreement which will use the yuan for oil trades. The Chinese National Bank said that this agreement, worth around $5.5 billion, was made to "strengthen financial cooperation, to promote trade and investments, and to mutually assure regional financial stability."
*Russia and Iran have agreed to use rubles as a means of currency in their trades. Russia has joined China in opposing U.S. sanctions against Iran and fully intends to maintain a close relationship with Iran.
*China will pursue bilateral trades with Russia and Malaysia using the yuan, the ruble and the ringgit, respectively.
*The nations comprising the BRICS group (Brazil, Russia, India, China and South Africa) recently agreed at their summit meeting in Sanya, China, to establish mutual lines of credit in local currencies. This, again, is a very significant development since this group of nations represents a very powerful economic bloc going into the future.
*The United Nations Conference on Trade and Development has stated that "the current system of currencies and capital rules which binds the world economy is not working properly and was largely responsible for the financial and economic crises." Further that "the dollar should be replaced with a global currency."
*The International Monetary Fund (IMF) recently issued a statement about replacing the dollar as the world's reserve currency with a system of Special Drawing Rights called SDR's, an international type of currency created in 1969 which is, in effect, a "basket of national currencies" backed by the full faith and credit of the member countries' governments.
It seems like everyone is jumping on the bandwagon to do away with the dollar as the reserve currency. This could be termed as "payback time" as many countries that either have lost respect for America, or who fear its military outreach, have found a way to combat physical force with economic power. That may well be the case when we consider that this movement is being strongly promoted by China, Russia, and Iran, no real friends of the U.S.
When the dollar is no longer the world's reserve currency the effects on America will be very severe. It will have monumental negative effects on the economy and its ability to conduct trade with other nations. In many cases nations will simply stop using the dollar. In other cases they may use the dollar but only at heavily discounted rates. Such actions will cause the Fed to run the Treasury Dept. printing presses non-stop, creating massive inflation and making the dollar the modern-day version of Fiat Money. And yet, in every dark cloud there is a silver lining. If the dollar loses world favor, if it is severely devalued, there will be an opportunity for the government and the business community to take advantage by working together to rebuild American manufacturing, since exports to other countries will be at much lower prices. When that time comes we'll see if each of them has the capacity to respond to the changing times and the new opportunities.
The demise of the dollar will also bring radical changes to the American lifestyle. When this economic tsunami hits America, it will make the 2008 recession and its aftermath look like no more than a slight bump in the road. It will bring very undesirable changes to the American lifestyle through massive inflation, high interest rates on mortgages and cars, and substantial increases in the cost of food, clothing and gasoline; it will have a detrimental effect on every aspect of our lives.
Such a revolutionary event in the world's reserve currency poses a far greater threat to America's security than any of those many fabricated terrorists that the Washington-based facilitators of war have created to keep the American people in a state of fear. This is a real threat and danger that America will be powerless to defeat with any form of military might. This will be a battle involving economic survival.
The U.S. government obviously can see what is going on, how these nations are rapidly moving away from the dollar. But is it doing anything to respond to the challenge? Time and time again this nation's dysfunctional government has been warned that it is going in the wrong direction and must change course. It has been warned that it must stop pouring hundreds of billions and trillions of dollars into its war machine and downscale it vast worldwide military empire; it has not heeded those warnings.
This government knows that it is imperative that it significantly reduces its monumental national debt, that is must take steps to restore its manufacturing sector and rehire its workers, the foundation of America's economy. But the corrupted politicians who answer only to the dictates of Corporate America have refused to respond to those warnings and they continue to follow a course that will eventually lead to financial insolvency.
And now time is running out for the U.S. dollar as the world community of nations has seen enough of America's incapability in dealing with its most critical problems. It has now become evident that many of the nations of the world no longer have faith or confidence in either the U.S. dollar or in America itself.
If you can't see this coming, the I want some of whatever it is you are huffing. It doesn't matter if you are better then the neighbors, because soon there will be no poor and no rich, there will only be poor. There will be the haves and the have-nots on a whole different scale. That is where the fear comes from.
The basements full of guns? Well, that is simple. The people who have put their trust in the government are going to be left with nothing. The sheep who have lived the "American Dream" are suddenly going to have huge bank accounts full of paper that will be used more effectively for burning. Then the weak get eaten. You want to talk about Darwinism, we are seeing it first hand. We are better off teaching our children to live off the land then we are sending them to a $150,000 a year college. I know a lot of people working at Wal-mart right now with college degrees...
My solution is simple: PREPARE. In times of peace, prepare for war, and all of us should be doing exactly that. We should be preparing to do what is neccesary to survive when gas is $10 a gallon and food shelves are empty. When electricty is turned off. When public water systems are turned off. If you do not have the ability to live off the grid RIGHT NOW, you are f*cked. The government isnt going to save you.
Stop wasting your money on cell phones, TVS, new cars, all the things you DONT need, and start spending it on what you are going to need to survive a couple years of really, really tough times.
Those are my thoughts. Take them or leave them.