10 Scenes From The Economic Collapse That Is Sweeping Across The Planet

When is the economic collapse going to happen? Just open up your eyes and take a look around the globe. The next wave of the economic collapse may not have reached Wall Street yet, but it is already deeply affecting billions of lives all over the planet. Much of Europe has already descended into a deep economic depression, very disturbing economic data is coming out of the second and third largest economies on the globe (China and Japan), and in most of the world economic inequality is growing even though 80 percent of the global population already lives on less than $10 a day. Just because the Dow has been setting brand new all-time records lately does not mean that everything is okay. Remember, a bubble is always the biggest right before it bursts. The next major wave of the economic collapse is already sweeping across Europe and Asia and it is going to devastate the United States as well. I hope that you are ready.

The following are 10 scenes from the economic collapse that is sweeping across the planet… via 10 Scenes From The Economic Collapse That Is Sweeping Across The Planet

Why Policy Has Failed

Put down the Sunday newspaper; grab a pot of coffee; and call ‘mom’ and tell her she has to read this. Doug Rudisch has written a far-reaching summary of the true state of the world and ‘why policy has failed’. Simply put, there is no faith in the system; real underlying faith and trust in the system, as opposed to the confidence born from economic steroid injections or entitlements. There is more going on than a temporary lull in animal spirits that current fiscal and monetary policy will cure. If that was the case, it would be working already.

Something has to happen to restore our collective faith. And more short term fixes and empty promises during campaign speeches and the State of the Union addresses are not where to do it. Fed policy has worked with respect to increasing the values of liquid securities and real estate, and failed to date with respect to employment and capital investment. This latest massive and expensive effort by the government and Fed designed to encourage CEOs to increase risk-taking has done the opposite and scared them into a shell or at a minimum just not worked. Whatever CEOs are afraid of; ZIRP, QE, building more roads and bridges and paying out more entitlements is not making them unafraid of those things.

We have ended up with a system where the worst of the risk takers have the ability to take the most risk and are currently taking it at extreme levels. We wish we could be more prescriptive and offer more solutions for the problems. But in order to solve a problem, you must first realize you have one. With respect to the Fed, we don’t think the U.S. realizes it has a problem… via Why Policy Has Failed | Zero Hedge

Visualizing The Shrinking Dollar

The almighty dollar is looking less mighty these days. By almost every measure, the purchasing power of the US dollar is in precipitous decline.

via Visualizing The Shrinking Dollar | Zero Hedge

What Is A Gold Standard?

Before 1971, U.S. dollars were backed by gold. This meant that the federal government could not print more money than it could redeem for gold. While this constrained the federal government, it also provided citizens with a relatively stable purchasing power for goods and services. As Learn Liberty explains in this simple 4 minute clip, today’s paper currency has no intrinsic value; it is not based on the value of gold or anything else. Under a gold standard, inflation was really limited. With floating value, or fiat, currency, however, some countries have seen inflation reach extremely high levels – sometimes enough to lead to economic collapse. Gold standards have historically provided more stable currencies with lower inflation than fiat currency. Of course, this leaves the question open of whether the United States return to a gold standard? But does provide some hints.

via What Is A Gold Standard? | Zero Hedge

11 Reasons Why The Federal Reserve Should Be Abolished

If the American people truly understood how the Federal Reserve system works and what it has done to us, they would be screaming for it to be abolished immediately. It is a system that was designed by international bankers for the benefit of international bankers, and it is systematically impoverishing the American people. The Federal Reserve system is the primary reason why our currency has declined in value by well over 95 percent and our national debt has gotten more than 5000 times larger over the past 100 years. The Fed creates our “booms” and our “busts”, and they have done an absolutely miserable job of managing our economy. But why do we need a bunch of unelected private bankers to manage our economy and print our money for us in the first place? Wouldn’t our economy function much more efficiently if we allowed the free market to set interest rates? And according to Article I, Section 8 of the U.S. Constitution, the U.S. Congress is the one that is supposed to have the authority to “coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures”. So why is the Federal Reserve doing it? Sadly, this is the way it works all over the globe today. In fact, all 187 nations that belong to the IMF have a central bank. But the truth is that there are much better alternatives. We just need to get people educated.

The following are 11 reasons why the Federal Reserve should be abolished… via 11 Reasons Why The Federal Reserve Should Be Abolished

Ron Paul + Jim Rogers on the government: “They’ll use force and they’ll use intimidation…”

As I’ve mentioned time and time again, nations are going bust. And the worse things get, the more desperate their tactics become.

This isn’t the first time that the world has been in this position. This time is not different.

History shows that there are serious, serious consequences to running unsustainably high debts and deficits. And those consequences have almost invariably involved pillaging people’s wealth, savings, livelihoods and liberties… either directly or indirectly.

What’s happening right now is playing out in textbook fashion. More taxes, more debt, more printing, more confiscation, less freedom.

I’m not talking about the end of the world here, I’m talking about difficult times ahead, and the things that go beyond economics. It’s time to face facts and look at how society will change (and has already changed).

Many people will resist the change and instead cling desperately to the old system– the cycle of debt and consumption that provided jobs, stability, and prosperity. These people will have their lives turned upside down because that system is gone forever.

I’m not being pessimistic, and this is not a cause for fear. We shouldn’t be afraid of this change, but rather prepare for it by becoming more self-reliant. Those who are prepared will survive, thrive, and be well-positioned for the enormous opportunities that await.

People are waking up to this reality and are taking action to be on the winning side when the government has played all its cards. Because as always, there will be winners…and there will be losers.

via Ron Paul + Jim Rogers on the government: “They’ll use force and they’ll use intimidation…”