Former Assistant Secretary of the U.S. Treasury says U.S Economy Will Crash – and the Dollar with

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posted on Sep, 25 2013 @ 07:10 PM
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An interview by King World News on Friday with Dr Paul Craig Roberts, former Assistant Secretary of the U.S. Treasury and one of the instigators of Reaganomics, should make one sit up and listen.

Roberts reckons that the current Fed QE program is going to be virtually impossible to unwind – indeed the suggestion is that it might even have to be extended. If the Fed does decide to start to unwind in any significant manner, the U.S. economy, which has been weaned in recent years on ever growing money being printed and pumped into it, will crash - and the dollar with it.

If QE is continued at least at current levels, which he feels it will now have to be, eventually the dollar will also crash as dollar holders around the world realize the ultimate negative effects on the current global reserve currency of just printing more and more money without any economic strength to back it.


goldnews.republicmonetary.com... teps_For_U_S_Economy9_25_2013&utm_medium=email&utm_term=0_b8092a864f-fd32089526-54976525

And then:



Why a US recovery may send Treasury's, dollar crashing

The Federal Reserve's expected move to scale back monetary stimulus signals that the U.S. economy is gaining traction, but some economists argue that the good growth story is precisely why things look bad for the dollar and bond markets.

"The biggest threat we are facing might be economic growth," Axel Merk, chief investment officer at Merk Investments, told CNBC. "Every time we've had good economic indicators in the U.S. pop up, bonds have fallen pretty sharply."


www.cnbc.com...

And finally:


A Dollar Collapse is Coming


Today, America is like the fourth generation heirs of a fabulous fortune. We may be making all the wrong moves, but our fortune is large, so it takes time for our spendthrift ways and bone-headed policies to erode the legacy bequeathed to us by our forbearers.




Our current standard of living is entirely reliant on the dollar’s world reserve currency position. Outside of that, it’s nothing more than a trashy paper currency. Fortunately, more than 60% of all foreign currency reserves in the world are in U.S. dollars. But when this special, reserve status changes, the U.S. Dollar will be toast.

U.S. bond prices have started to fall recently, which is just another way of saying that U.S. interest rates are rising. If mortgage and credit card rates increase too much, consumers will send the weak U.S. economy over the cliff into a deep recession.

The only reason this isn’t happening right now is because deflation winds are countering the forced inflation. The problem will come when the Fed attempts to unwind the easy money. You see, the easy money has been like heroin to the financial classes on Wall Street. There’s no way to get unhooked without catastrophe.

We live in dangerous times for America, and we all need a plan to prepare ourselves and our families. In the weeks ahead, I’ll share more about what to do to prepare.


www.capitolhilldaily.com...


So we have all read the writing on the wall and know that our falsely pumped up economy is equivalent to living in a financial Lala land. Eventually we will all have to awaken to the reality of what this pumped up and dying system of drying bones means to each of us individually.

Is the future set in Gold or is that just another part of the dream turning nightmare? When the dollar dies and blows away in the wind it will be replaced by bands of hungry and desperate groups of people roving the cities first and then the rural areas and finally the countryside looking for anything and everything that represents survival.

We have all said that you cant eat gold and true enough that is, and for the majority already feeling the crunch of an economic crash of monumental proportions, gold and even silver are not an option. When putting food on the table and keeping the lights on becomes a struggle for the working class, you know that the writing on the wall has become an entire city block wall of graffiti.

Many of us have been forced to eat and utilize our "Preps" and if there was any gold or silver it was sold in the past couple years just to make ends meet with the hope that it could be recovered somehow some day... And then others who are fortunate enough to have a bit stashed back whether in survival preps or gold and silver, yet are clueless on what to do with that stash in an economic crash and how to truly protect it. But here is the slap in the face you just may need to understand how critical the situation has become and what you can do to come through it...

5 reasons why Gold will unfortunately be worthless AFTER the collapse of the dollar.


I predict Gold and Silver will have no value after the dollar collapse for 5 main reasons probably nobody has ever heard of. Yes we all know precious metal prices will skyrocket from now until the dollar collapses but afterwards it will be as worthless as a paper weight. In history it used to be true that gold would regain itself as currency again after a paper currency collapsed but it wont work this time and I'll explain the reasons why.



(Reason 1)
With no currency, with what are you gonna sell your gold? The amount you paid for your gold before the collapse will by a long shot not equal the goods and services value, you'll have to trade it for after the collapse and no one will want it because it wont really serve any purpose during this time. Meaning for example most people will be forced to trade $1000 worth of gold for $5 worth of food. Well people might argue "You can use gold for electronics and other things." I say who's gonna work at the electrical plants without a paycheck? The only electricity being made are survivalists who own windmills in their back yard and seriously how many of you have those?



(Reason 2)
People will argue, gold will have to return to currency. I argue, who's gonna mint all those gold pieces for free? Remember when the currency collapses nobody is getting paid anymore so why would US mint workers waste their time working for free? Everybody is gonna be busy guarding their food supply. Food will be the new currency. People who are not self sufficient will end up having to help people who are in order to survive.



(Reason 3)
The government wont create a new currency. Everybody thinks the Illuminati will introduce the "Amero" at this time. Those people who are the Illuminati network won't do anything without getting paid. They are going to be hiding in their Apocolyspe bunkers that they paid billions of dollars to reserve a room in the mountains. Once the dollar collapses everything and I mean everything will shut down. The gasoline will dry up in 2-3 days, food will dry up quick, nobody will work a job including the goverment workers. In these conditions the last thing on people's minds will be fancy jewelry or precious metals. The first thing will be how can they eat another meal and live another day. Everyday, people will get shot/killed for stealing food. You can't eat gold you know.


Continued below:





edit on 25-9-2013 by antar because: (no reason given)




posted on Sep, 25 2013 @ 07:12 PM
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(Reason 4)
The dollar is currently the worlds reserve currency. The reason in history for thousands of years that gold always returned it's value after a paper money collapse is because it happened in a time when world reserve currencys didn't exist. What this means is formerly when one country's currency died, another would just take over. However in this case, the currency currently dieing is the currency that all other countrys currencys are backed upon. Meaning if the dollar dies here, it takes down every countries currency that based their own currency's buying power or value upon the dollar.



(Reason 5)
Manufacturing and mass production stops. With nobody working because their paycheck is now just worthless paper, gold will cease to have a material or useful purpose. I mean seriously, what are we gonna use it for?

I would suggest this. Buy gold for now and hang onto it for about 6 months. Then immediatley sell it just before the dollar completely crashes when you notice inflation going through the roof and buy as much seeds and non parishable foods items as you can and bury it in containers in the ground to hide it. Remember people will be getting killed over food so you'll be able to get anyone to work for you in payment for food. Nobody will have any reason to want gold after the collapse. I predict when it happens this may very well be the end of money all together and the beginning of what Gene Roddenbury tried to portray when the character Captain Picard said "There was a time in history when the world gave up on money and decided to all work together for the common good." Those who survive who be forced to live by this method. Meaning we will all become farmers and fisherman to feed our communities.


www.dailypaul.com...

Just a little something to consider, another reminder which during times of information overload we ALL need.



posted on Sep, 25 2013 @ 07:37 PM
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Hmmm.. You know, reading down your thread, my mind literally ran and jumped across 3 different tracks of what's happening. The end result...I feel real sick about because it is this obvious ...and it's this obvious to others too.

This is what it looked like in Zimbabwe....not that long ago, actually.



and this is how much it took to pay a meal tab



Of course, we're being ramrodded at max effort to plastic over paper on our spending, so we won't feel the 0's added to hyper inflationary notes near as quickly or as blatantly as they did.

10 worst cases of Hyperinflation

If you look across the examples there, most if not all have something in common. A rather unpleasant something. It's how they ended up afterward. Either running to extremes beyond what we'd have imagined possible for political control ..or under the control of others.

Now I gaze around the world...and I see very sudden, very forceful and very obvious moves by a couple other nations to graze in our traditional pastures, so to speak. That's where I think the sick feeling is coming... Others see this coming too and are already lining up to fill the vacuum we leave behind us as the economy tanks and goes down for real.

That leads to the end result that hadn't really crossed my mind until reading your OP there.

We don't just lose influence around the world. If our economy does crash to the levels your OP suggests (and past national examples have shown is coming by math alone) then we're also exceptionally vulnerable. Vulnerable and resource rich nations don't fare well in a world that is about as interested in peace as it's profitable to each major power, personally.

Which language do you prefer? Mandarin or Russian? I go with Russian...personally. I hear it's far easier to learn, coming from American perspective.



posted on Sep, 25 2013 @ 07:41 PM
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Perhaps I should have made a separate thread just for the RP portion, lol it was a perfect find for the direction the thread was headed. I know that so many Americans and not just Americans have done all they can to be prepared for any contingency, but like a wealthy woman who thinks that she can never be too rich or thin, so too are preppers cursed with the gut feeling that it is never complete or enough.

Good for those of you who have been able to make preps, believe me, I think about it everyday but have watched as what little I did have in reserves dwindle away for life's basic maintenance and I know I am not alone.

I thought that it answered some of my deeper questions about having metals during and after a crash. Made perfect sense to me and to be honest a little less stress over how to protect it after the collapse.



posted on Sep, 25 2013 @ 07:43 PM
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reply to post by antar
 


If the dollar crashes, and gold and silver and precious stones are all critically affected in a similar manner, then what will we use for currency?



posted on Sep, 25 2013 @ 07:44 PM
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reply to post by antar
 


DANGER WILL ROBINSON DANGER!!!

Over the last couple of years I have looked at many articles and youtube video's relating to the spiralling US Debt. Dr Paul Craig Roberts, Peter Schiff, Gerald Celente and Max Keiser make a lot of sense. I am not an American, but I know a US collapse means a World Collapse.

I am now a "Prepper" not because I believe there will be an Alien Invasion, Damaging Solar Flares, or a Mega Tsunami, but because I know a Worldwide Financial Crisis could be just around the corner.

Here's a fun Visual - 15 Trillion Dollars stacked by $100 notes. It's now almost 17 Trillion.




posted on Sep, 25 2013 @ 07:46 PM
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reply to post by Wrabbit2000
 


Oh dear Lord, my migraine just came back. You are so smart and have such perspective. It really does blow my mind to wrap around the coming collapse and what my Grandfather taught me about his experiences of the first great collapse. There are similarities but the Government is totally different.

I was hoping for your insights Wrabbit2000



posted on Sep, 25 2013 @ 07:51 PM
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reply to post by NeverMind2013
 


You are right and never before has the world been so small, so closely related, interdependent regardless of the war machines efforts to keep us separate in every way.



posted on Sep, 25 2013 @ 07:55 PM
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reply to post by AfterInfinity
 


I feel your concerns, this little piece by Ron Paul sums it up pretty well from one very possible scenario. Hope this helps clarify. None of us has a crystal ball not even the globalists who are pushing this downfall. So if you are not completely clear, join the club.


(Reason 3)
The government wont create a new currency. Everybody thinks the Illuminati will introduce the "Amero" at this time. Those people who are the Illuminati network won't do anything without getting paid. They are going to be hiding in their Apocolyspe bunkers that they paid billions of dollars to reserve a room in the mountains. Once the dollar collapses everything and I mean everything will shut down. The gasoline will dry up in 2-3 days, food will dry up quick, nobody will work a job including the goverment workers. In these conditions the last thing on people's minds will be fancy jewelry or precious metals. The first thing will be how can they eat another meal and live another day. Everyday, people will get shot/killed for stealing food. You can't eat gold you know.

www.dailypaul.com...
edit on 25-9-2013 by antar because: (no reason given)



posted on Sep, 25 2013 @ 07:57 PM
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AfterInfinity
reply to post by antar
 


If the dollar crashes, and gold and silver and precious stones are all critically affected in a similar manner, then what will we use for currency?


There won't be any *currency*.

Trade and barter will prevail.

And if 'people' can't 'trade' anything for something,

Then copper and lead and steel become the most valuable 'precious' metals.

Get the picture ?



posted on Sep, 25 2013 @ 08:02 PM
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reply to post by xuenchen
 


That's just it. The world won't have that problem with no working currency. Look closely at recent events. I wish this line of thought hadn't even come to mind, honestly, but there is a lot to it when you consider everything.

Alternate currencies are already being readied and have been for awhile. Not brand new ones. Existing ones. Currency Basket set ups for the world standard. Isn't that how this was all presented several years ago? Not much talk recently, but then...no need. The details got hashed out back then and before the need comes.

So when it's pretty much America falling to pieces....the only thing the world will see wrong with this little bucket of resources to divide up are the Americans who are rude enough to be littering the place with our presence. I think this might be a party we (the US) simply isn't invited to. err.... gonna be some rough years if that's how it plays out.



posted on Sep, 25 2013 @ 09:14 PM
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There will still be a currency, it will be the currency of the country that has the most gold backing it up, that`s the currency that everyone will be clamoring for,that`s the currency that will have the most value.
American exporters,and the american people in general,will demand to be paid in yuans or rubles or whatever currency is backed by the most gold.

Of course the government will take control of all the resources and companies that it deems vital to the security of the country.Even if the rest of us are left with no food, fuel,heat etc, you can be sure that the military and law enforcement will still have plenty of everything.


On March 16th, President Obama signed a new Executive Order which expands upon a prior order issued in 1950 for Disaster Preparedness, and gives the office of the President complete control over all the resources in the United States in times of war or emergency.

The National Defense Resources Preparedness order gives the Executive Branch the power to control and allocate energy, production, transportation, food, and even water resources by decree under the auspices of national defense and national security. The order is not limited to wartime implementation, as one of the order's functions includes the command and control of resources in peacetime determinations.

www.examiner.com...

www.whitehouse.gov...

The government won`t need a currency to buy all the things that it needs because it will control/own everything.
Once the government takes control of all those resources and companies I imagine it will be very difficult or impossible to get them back from the government.
it will be the government that decides when the emergency is over and they just might decide that they like controlling everything so they will never declare that the emergency is over,much like the war on terror.
edit on 25-9-2013 by Tardacus because: (no reason given)



posted on Sep, 25 2013 @ 09:29 PM
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I have posted before that Jim Sinclair has been warning about this over a year now.

He suggests get completely out of debt if you can
Take possession of your assets and stocks and take the tax hit to avoid other losses.
Stocks you want to keep should be placed in 'Direct Registration'.
Pension funds and IRA's can and probably will be taken over as in Greece just as the president of the IMF (I think it was) suggested.

He suggests a time no later that late 2014 to early 2015.

There are too many reputable people coming to the same conclusion. Not listening and taking heed, at least in part, is foolish.

I recently cashed out of a small account and am taking extra cash out on a regular basis. I am also getting the things needed now before they become unaffordable, stocking up etc. I am retired and depend on savings to live. If much of this is 'opted in' to the firms I have accounts in, I will not be able to get by on a shrinking SS.



posted on Sep, 25 2013 @ 10:10 PM
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reply to post by liveandlearn
 


Right and you are hedging your bets in a safe and affordable way now to curb the ever mounting inflationary side to commodities. I mean when a pack of TP costs 20 dollars, it wont be long before even the sheeple will have to start to take notice. Just think about the things you use everyday and buy it by the case, once a month go all out on things like toothpaste and deodorants, hair combs, tooth brushes, then the next get kitchen and laundry supplies. remember that Clorox bleach can purify water, just make sure it is the regular type and not scented. You can do this. Remember when pinto beans in a bag or even flour was cheap? One step at a time but I think it is getting to the point where we need to start taking bigger steps a bit faster.
edit on 25-9-2013 by antar because: Love Jim S.



posted on Sep, 25 2013 @ 10:14 PM
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reply to post by Tardacus
 


I fear "exports will be at an all time high as well under the pretense that it is good for the economy." News reports will become regional, localized to keep people in the dark and uninformed, this is when I see the Interwebs being taken down as we know them.



posted on Sep, 25 2013 @ 10:18 PM
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reply to post by Wrabbit2000
 


Right, and who knows what kind of spin they have been fed ongoing for generations about our evil wicked ways filled with ego gratification when we are not gorging ourselves. The world is going to cheer when it all goes down, all those countries WE the People have bailed out, been charitable towards in times of trouble, will only see us as the worst of our politicians.



posted on Sep, 25 2013 @ 10:51 PM
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You have to consider several things in this matter in particular.

1. The names you know have NO idea what is going on, they just do, and say, as they are told.

2. The current theme is, Iran and Syria must join the IMF, and this is the main excuse for the war drums.

3. As long as syria and Iran hold out, the US must be kept afloat, as they are the military enforcer of the world. Those in charge need a cop and they won't get guns, bombs and soldiers from a collapsed economy.

4. Those in charge know what they are doing. So, they either want full end-times to hit the planet for reasons other then monetary, or they do not want to happen at all. I doubt the latter, as it would have been easy to stop this madness.

5. Fukashima is the game changer. When SFP 4 goes off, those at an level but the upper, upper, upper, upper most will be thrown under the bus. When it goes off, the entire nation of Japan is flushed and the monetary policy of the world cannot absorb that.

6. It has been exactly one hundred years of the Fed Debt Notes, no one alive has lived any other way then what we have now.

The most important note. When the US went bankrupt 100 years ago, I believe the debt was 250 million dollars owed to the owners of the Fed. We still owe it, we have not paid that debt down.



posted on Sep, 25 2013 @ 11:01 PM
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AfterInfinity
reply to post by antar
 


If the dollar crashes, and gold and silver and precious stones are all critically affected in a similar manner, then what will we use for currency?


Currency? Well... lets just say, the more purty you are.... the more toilet paper and canned chili you will be able to amass. Its true that tourism explodes in 3rd world countries which we will be when we experience armageddon. Learn a nice sideshow routine or some sidewalk talent. I plan on getting a monkey to hold my tin cup and becoming the Amazing Native.


Im kinda looking forward to a collapse... I mean, I can stop paying my mortgage.



posted on Sep, 25 2013 @ 11:06 PM
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reply to post by antar
 


They might skip the Amero and just go right to googlo, Google credits....

Google will take over bit coin....

Robots will take over Google.....

Was a good movie!!



posted on Sep, 25 2013 @ 11:26 PM
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reply to post by antar
 



I would suggest this. Buy gold for now and hang onto it for about 6 months. Then immediatley sell it just before the dollar completely crashes when you notice inflation going through the roof and buy as much seeds and non parishable foods items as you can and bury it in containers in the ground to hide it. Remember people will be getting killed over food so you'll be able to get anyone to work for you in payment for food. Nobody will have any reason to want gold after the collapse. I predict when it happens this may very well be the end of money all together and the beginning of what Gene Roddenbury tried to portray when the character Captain Picard said "There was a time in history when the world gave up on money and decided to all work together for the common good." Those who survive who be forced to live by this method. Meaning we will all become farmers and fisherman to feed our communities.


This is an accurate assessment of the situation, I'm sure - definitely what would happen if we stay on course. What is really worth something and always has been is what has utility.

What else... our system is not set up to provide food to people without electronics, communication and transportation - so the food stores would dry up. Food and water and shelter are worth the most - as would be weaponry, I imagine, networking and relevant skill sets.

In prior centuries, having localized food sources and markets relying on word of mouth and not electronic communication and gasoline-based transport offers a much more sturdy system.

One other thing - social skills and the ability to work together are honestly useful, so people that have been slacking on those lately may run into trouble.
edit on 25-9-2013 by darkbake because: (no reason given)





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