“The Western World Is Broke.”
The new Stansberry’s Investment Advisory letter arrived last week and I’ve just had time to read and think about its contents. The headline states “It’s Far Worse Than You Know…That’s The Good News” and the first sentence declares “The Western world is broke.”
It’s disquieting to say the least that nothing has changed since the crisis began in 2007. Stansberry writes,
Rather than reducing the p[ower of the central governments and reversing the massive debts, every action taken since the fall of 2008 has increased the role of government and amount of borrowing. Spending, taxdes, Federal Reserve manipulation, government debts…we’ve gotten more of all the things that caused our economies to collapse in the first place. This indicates to me we are a long way from learning anything from our past mistakes.
Stansberry sees five troubling trends:
- The FED taking actions that decrease confidence in the U.S. Dollar.
- The trashing of the rich will result in the rich fleeing.
- The takeover of state and local governments by the unions.
- A growing realization that the government will not deliver on its promises.
- The near-term possibility of major defaults.
Just today I heard that the governor of Washington State is considering suspending the use of school buses in order to save $280 million annually.
The very real possibility is that the U.S. is close, very close to witnessing violence here that has been seen in Greece fore the same reasons.
The Stansberry’s Investment Advisory letter is very valuable to me and I urge you to subscribe. I do!
Just like to say I really enjoy your website!
I got here via a link from a good friend of mine who runs the Ten Mile Island site.
I did a bit of daytrading back before the bubble exploded in 1999/2000. Did OK.
Haven’t really had much time to do it lately. I enjoyed it though and hope to get back to it someday (when I get some disposable income again lol)
Now days I’m in the construction industry. I have seen around the innertubes discussion about stimulus money for the construction industry. I completely disagree and believe it is nothing more than the labor unions pressuring Obama to swing easy money their way. I work for a commercial building company that has seen limited benefits of the stimulus but from what I can tell, the govt’s who administer are the real winners. It gives them the opportunity to hire more people and justify their jobs. Long story short, it does very little to add jobs or improve our industry. If it does, it is short lived. I could go on but you get the gist.
Keep up the great posts and I look forward to reading them.