It’s hard to accumulate wealth when the value of the supposed store of value is whatever central bankers and politicians say it is. From Bill Bonner at bonnerandpartners.com:
POITOU, FRANCE – We were taken aback on Friday by the ferocity of our dear readers’ comments. [Read more in today’s Mailbag.]
What were they so sore about? we wondered.
Son of Satan
Of course, we are frequently wrong about a great number of things. When connecting the dots, we are bound to draw a few stray lines. And we will no doubt be proven wrong in many of our opinions and predictions.
Will The Donald’s trade war pay off for Americans? We don’t think so.
Will the tax cut really boost the U.S. economy and reduce the deficit? There is no sign of it.
Will Mr. Trump really make America great again? The odds, based on what we’ve seen so far, seem very, very slim.
But what do we know? And we’d be happy to be proven wrong.
What was surprising – to us – was that readers did not write to correct us or help us get the lines in the right place.
Instead, they seemed to suggest that we were a son of Satan, sent to destroy all that the good patriots of the United States of America hold most dear.
In other words, the discussion seems to have hit a religious nerve… like setting fire to a cathedral; the faithful fear their most sacred relics will be incinerated.
We have no remedy for this condition, so we will cheerfully ignore it. Besides, cross readers may be right. And those who have a better idea of how the dots connect are invited to send their thoughts by clicking right here.
So, what do we see today?
What we see is an economy staggering under the weight of phony wars and phony finances.
It took more than 200 years for the country to reach its first $1 trillion in debt; now, it adds that much every 12 months. In addition, the Fed increased the base money supply by roughly 400% over the past decade.
What do you get for that kind of money? The feds got the weakest recovery in history… with no real gains in per-hour wages… and GDP growth rates only half those of the 1950s and ‘60s.
In 1821, John Quincy Adams described American foreign policy: “She goes not abroad in search of monsters to destroy…”
Here we are, nearly 200 years later, and U.S. troops are looking for monsters in every godforsaken sh*thole in the world. And where none can be found… they create one.
To continue reading: Why the Boomers Are Going Broke