Fjordman’s latest essay, “On the Collapsing US Dollar”, has been published at Atlas Shrugs. Some excerpts are below:
The price of gold will probably continue to rise. Investors buy precious metals because they no longer trust many currencies, above all the US dollar, and they are right to distrust the dollar. Although the price of gold has already risen significantly, the expatriate American investor Jim Rogers believes this is not a bubble since virtually nobody still owns gold. As a friend of mine comments, “I think gold is going to hold the level for a while now, for some months bordering to half a year. Then, due to the money-printing, the sky will be the limit.”
I have heard several people who are into precious metals state that silver is currently preferable to gold, and platinum may be a good bet as well. Exactly which precious metal is better I will leave to the experts, but a combination of all three might be sensible, in addition to property or other assets. This could be one of the few cases where “diversity” really is a good thing. An ancient and time-tested advice is to never put all of your eggs in one basket.
According to blogger Dennis Mangan, “While predictions are difficult to make, especially about the future, Williams marshals the facts that support his analysis. Runaway government spending, aided and abetted by massive printing of dollars by the Federal reserve, have doomed the dollar. It is only a matter of timing. A hyperinflation will be accompanied by political upheaval and, in my opinion, could see the end of the U.S. as we know it. What shape that upheaval would take is anyone’s guess.”
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Not all observers agree that the USA is facing a hyperinflation; there are those who believe the result will rather be a serious deflation. Whatever will be the end result it is quite evident thatthe United States is now headed for turbulent times, financially and politically. Since ethnic diversity is rapidly increasing and national cohesion is decreasing correspondingly, a Second American Civil War could be considered one of several possible outcomes.
Frankly, I suspect that more or less the entire Western world is heading for serious financial instability and Multicultural tribalistic violence in the coming generation. The most important thing that the common man can do in such turbulent times is to be mentally and physically prepared to protect the life and property of his family as best as he can until the dust settles. This includes having guns and ammunition as well as money. All things considered I believe that Americans and Westerners in general would be smart to invest some of their savings in metals as soon as possible, starting with gold, silver and lead, not necessarily in that order.
Read the rest at Atlas Shrugs.