Why gold is a bargain at $1,470 Money supply in Chile stands at $123 billion, $301 billion in Norway, $735 billion in Switzerland, and $1,200 billion in Australia. In total, these currencies are a drop in the bucket compared to the $30 trillion in dollars, euros, and yen. http://www.sovereignman.com/ Comments?
I really enjoy his writing style. The numbers can look a little puffy at times; but hey, I'm a fan. You're not going to find too many people disagreement here.
I've subscribed and his letters are a great read. I think he has outstanding advice and anyone in the position to create a safe haven somewhere should do so. I think he (and the other commentators) are right in declaring the US dollar increasingly toxic and the GFC of two years ago still unresolved. Mind you at the larger part of 30 trillion of US dollars around, no wonder the US dollar is worth 3c of its value in 1913.
Thanks for that link, was a great read. I really didn't realize that there were 30 trillion fiat from the 3 major players! That is VERY scary. Does anyone know how much of this 30 trillion is properly backed by PMs or other assets? Would be interesting to see how much Gold is actually valued with respect to fiat.
Yes. Zero . . . Ziltch . . . Zip . . . None! No fiat currencies in the world are backed by gold. That is, fiat currencies are not redeemable for gold (or silver or anything else of value). Hence they are called irredeemable currencies. Further, because all fiat currencies are loaned into existence, every unit of currency is a unit of debt and because you can not extinguish debt with more debt, all these dumb-arse currencies do is compound the debt. And the only way to pay back the interest on the original debt is to loan more fiat currency into existence, creating more debt to pay the interest on the original debt, etc., etc. into a spiralling black hole of debt. (I suggest we have crossed the event horizon of this black hole and can not escape its pull. No matter how much power (new currency) the starship USS End-of-Enterprise (the central banks of the world) applies to its thrusters (market operations), we are being sucked into the singularity. . . to be reborn on the otherside into a completely new (non-debt based) paradigm of monetary existence, perhaps. Sorry, I digress. The point is that gold (& silver) is the ultimate extinguisher of debt, as noted most recently by Antal Fekete in recent times. When a debt is repaid in gold, it vanishes. When a debt is repaid in fiat currency, the debt (to the issuing bank) represented by the currency still exists. Indeed, if all debts (represented by the issuing of the currencies) were to be repaid there would be no currency in circulation. Clearly, control over the money supply is a powerful thing in an irredeemable fiat currency system, because without issuing new currency the economy will collapse and by not distributing that new issuance equitably the insider cronies can profit hugely at the expense of the others struggling to get the money to meet their obligations. This control over the expansion and contraction (inflation and deflation) of the money supply is the very thing Thomas Jefferson warned the United States republic about . . .
Yeah he's pretty busy isn't he? Just kidding, i included the comma to differentiate between the statements. Maybe should have used a fullstop and clarified who 'his' was.
I read all this guys' reports, they are the most stimulating thing on the internet. I'm taking his advice for real and diversifying internationally, applying for Australian citizenship because my mom is from there. I will be heading over to Brisbane in a few months. I think Australia will likely fare much better than the US during these turbulent times. Yeah I'm leaving family and everything, as this crisis unfolds I will leave to any country that will have the greatest opportunities for me, and if Australia runs out, I may go to an emerging country like Malaysia or Chile, Simon's best recommended places. I will stay at hostels for a little while, find some roommates then get a job. I'm not skilled, I will work at a restaurant or a grocery store if I have to. I can go pick fruit or work on a farm if I need to. Any tips for work or anything would be great. It is too suspenseful waiting for the penal certificate from the FBI, cant wait to get over there.
Yep, soverign man rules the way to be free in a global way. If you ever get to the apple isle send me a email.
I always read sovereign man I am definitely looking to plant another flag in the next few years after I have taken advantage of HECs in Australia to upskill. Citizenship really is one of the best things you can ever get for free, or close to free... I intend to get another citizenship to hedge my bets.
Tim Staermose (Australian!) wrote today's sovereignman.com report, and he says there's a good chance soon for a 10-20% correction in silver. The USD may get a short but temporary boost after events resulting from Wednesday's Fed announcements, during a possible break in QE before the third round starts. It may be a good opportunity for me to switch for more AUD for my move.
Someone with you attitude should have no problem finding a job in Australia. My advice to you is to consider some of the smaller cities in Australia as you would find it harder in cities like Sydney, Melbourne and Brisbane. Why not consider to be a backpacker for 6 months or so. There are many backpackers moving up and down the coastal cities of Queensland. Cairns is a tropical city 2000k from the capital Brisbane. Cairns has a pop. of 130,000. Other cities with a pop. well over 100,000 include Townsville and Mackay. Other cities over 50thousand include Rockhampton, Gladstone,Bundaberg, Hervey Bay. NSW and Victoria are 2 other states that attract a lot of backpacker with many finding work fruit picking Etc. Woolworths and Coles are Australia's biggest food outlets and they are always short of workers. They pay well compared to Walmart with hourly rates for stacking shelves at around $18 to $20 part time. The Mining Industry in Australia is booming at the moment in many remote areas of Australia. If you have a truck drivers licence /fork lift/bob cat etc you can make big money in the outback. Remember to bring as many silver eagles as you can and if you arrive here and need advice this site is the place to be. Hope that this info will be of help. Regards Errol43
Thanks for the info man, very helpful. Im going to need to know a lot more though, I dont really have any guidance for the move over. Why would the larger cities be more difficult? If I became a good server or cook then I can do well in Brisbane, right? How is the pay/hours for fruit picking? I want to work at least 35 hours a week on average and hardly ever miss a week of work. My mom was born in Brisbane, my grandfather currently is living in Noosa. I am not planning on going to the outback, I don't even know how to drive at 23 years old and there are probably not many girls out there. I just bicycle so I have more money for stacking lol.
Another gem today. I think he gets 'inside' information , in that he is party to discussions of movers and shakers in the world of finance and so his mention of $300 silver may be a figure of speech or based in some knowledge. One would never know. In his early days of blogging he emphasises the networking aspects of his lifestyle - suggesting he could provide channels to useful people in your area of interest. He has a brilliant guide on how to find the people that matter when you arrive in a foreign town for instance - the motivated and honest, lawyers, real estate purveyors etc. Latest opinion on Bernanke and watching him for clues is probably worth noting: (my bolding)
The good - He appears to be far more informed than most blog writers and he has an excellent writing style. His general advice appears to be very good. I live in Arkansas and he was familiar with the strength of our local economy. The bad - He tends to pimp investments that are not good deals. An article a month or so ago about a deal on buying gold in HK (?), was not good advice. The gold was more expensive than any of the sources I use. And according to people living in Paraguay, his writings on it are not accurate, especially regarding his claim that it is very cheap. Food is cheap, but cars and many other things are very expensive. The only reason I have any familiarity with Paraguay is that I was looking at it as a cheap destination in case I wanted to exit the US before I could qualify for NZ or AU. So, I enjoy reading his letters and take note of what says, but I verify the information with other sources. Similar to what I do with the information at most web sites.
