Did you know that politicians and their economists know exactly the right thing to do to fix political/economic problems?
It’s true; they just don’t know how to do it in our own countries. It might seem bizarre that they know how to do it in far off lands, but that they don’t have a clue how to do it here, but that’s exactly true. In today’s posts (one of the last in the economic prediction series) we’ll show just that as well as predict that instead of focusing on the important fundamental things that they should focus on, our lovely and talented world leaders will try their hands at pulling rabbits out of hats.
Over the last couple of decades, there has been no shortage of financial and economic crises. Most of Asia and Latin America have dealt with crises. The West then sends in the IMF (International Monetary Fund) which has been going around to these countries giving some simple advice….
1) Reduce government bureaucracy and let the free market run free
2) Simplify and reduce taxes
3) Balance the budget
There is a lot more to what they preach, but these simple tenants are the core of what they know works.
Amazingly, these simple ideas did indeed work. Today, most of these countries are in pretty good shape. They don’t have a lot of debt. They have economies that are growing. They’re doing pretty well.
So you might think that we would use these same ideas in the West, right?
Of course not! That’s hardly the way to get elected. And you can’t grease palms for those who you know will grease yours back if you’re putting this kind of plan in place. So, we know what to do, we just won’t do it here.
It’s similar to the sign in US federal parks (you’ve probably seen this in an email forward or on facebook). The signs say something like, “Don’t feed the animals because they will grow dependent on the handouts and unable to feed themselves.”
This same government is working very hard to sign up every American they can on food stamps! They know what works and what doesn’t work, but they don’t want to do it here….or they have entirely different motives from the ones we would think they should have.
A worldwide currency shift?
If you’re the powers that be in the western world and you notice that the way you’ve been running things is driving the West straight into the ground and opening up the door to the East taking over the reins of power, would you just let it happen?
You certainly wouldn’t want these Asian powers ruling the world when you’ve grown quite comfortable doing it! Whether you’re a politician, a banker, or a plugged in International Conglomerate CEO, you’ve got to do something!!
You and I might like them to fix the inherent problems their meddling has caused the system, allow us to go through the suffering and come out of it with a stripped down, cleaner system that allows the free enterprise of individuals to accomplish a better world.
But that would also take away all their power, so they’re certainly not going to do that.
Instead, what if they decided that instead of allowing currencies to find their natural place in the world based on how solid the fundamentals of the economy and monetary system are, they decide to try to rig the system in a preferential way for themselves.
They know a massive distortion in the currency system is inevitable due to the distortions in the balance of payments & accumulations of unsustainable debts. Thus change is coming.
Why not, instead of being a bystander to the change that will come, initiate massive change as a “Salvation to the System” and meanwhile make huge personal profits along the way by knowing the direction of the changes ahead of time?
We’ve seen rumblings that this might be exactly what they are doing and in fact, our clients are positioned to be on the right side of just such a move.
It’s hard to know with certainty that they would do such a thing, but it makes sense, and the smoke is in the air, there might be a fire.
Now, the thing to be aware of if this does happen, is that…like all the other ways these guys tell us they are “saving” us, it will not work. You can’t magically plug some keyboard keys and fix all the problems that have built up over decades of financial malfeasance. You can only make short term differences. So be aware at all times of what’s really going on. And when you can, be on the right side of big moves!
If you are uncertain if you’re properly prepared for the times ahead, give us a call/email for a free consultation and see if we can help. We’d love to talk to you.
This is the 35th post in a series. You should read the initial thoughts on these forecasts here. and the Overall Prediction Page here. Here are the rest of the posts: 3) Ben Bernanke’s Dollar Devaluation Plan, 4) The Coming US Dollar Devaluation, 5) Stock Market Volatility, & 6) Stocks to Fall in 2012, 7) The European Crises, European Options, 9) European Prediction, 10) Recession in Japan, 11) Japanese Yen Crash, 12) War with Iran, 13) Jewish Perspective on Iran, 14) Commodities to End 2012 Lower, 15) Where Will Gold Go Next?, 16) Gold, Should you Wait?, 17) Will Silver Move Higher?, 18) Why Buy Silver Now?, 19) Oil Prices to Explode Higher, 20) Bonds Will Fall, 21) US Dollar, 22) European Recession, 23) Sovereign Default in Europe, 24) China’s Slowing, 25) US Recession., 26) Currency War, 27) Deflationary Crash, 28) Hyperinflation, 29) Increasing Natural Disasters, 30) Fed Announces New Form QE, 31) Derivatives Pt 1, 32) Derivatives Pt 2, 33) Coming Stock Market Crash, & 34) Governments to Attack Gold, Silver?