I remember this guy pleading with me to get my money out of stocks with dow at about 12000 and my investment advisior saying "no, no, no" and this guy was heart felt and I did go against my "advisior" and this guy proved to be right. Question. Why does he seem to care so much about people he does not know? Are there angels on "youtube"?
lots of chatter about the over correction to begin this coming week, stimulus release into economy+that T bill noone wanting to hold or buy American debt thing, coming week should be interesting.
500 ounces of silver is going to buy you a house. That means you invest 7000 know and you buy a house with your 500 ounces or 15kg of silver. just history repeating.
I FORGOT to say: Take ur money and run. It took me so much knowledge to wake up. But at a a certain level of education u start to realize that having money in the bank is retarded behaviour. It made sense but know it doesnt make any sense at all
Reflation is infinately more complex than just printing money, if it were that simple we would never have had a deflationary depression the word deflation would not exist.
Good point about Marc Faber, he has lost alot of money because he has been wrong.
There is only one financial forecaster that has been completely right so far and he is forecasting unprecedented deflation. my moneys on him, inflationists/hyper-inflationists are going to look like fools in a couple of years.
Totally disagree with the inflation scenario for every dollar of bailout there's 10 dollars of deletion/default of credit.
Most of the bailout has been given to the banks to honour their CDS liabiltes so they have given the money to the banks to pay for the bad debt/loans that have been spent years ago, so how is this inflationary.
I would get silver if you can. Gold mostly. when things get really bad shortly, you can trade silver and gold for food if you don't have a food storage. Just a thought.
AND... Al you people who think the system is NOT totally corrupt, and decayed, just ask yourselves "when have the govt or banks ever lost out, and the people gained?".
When you realise that the govt ALWAYS benefit, even from disasterous events, you MAY be able to work out that there is a certain level of "intent to deceive", at the very core of our systems, and it is much more fierce than anyone seems to realise.
And it cares NOTHING for the lives of any who dissobey. This is NOT Disneyland.
The problem with most Americans is that they are arrogant, ignorant, and think we live in a Utopia. Soon, that utopia will collapse, with the possibility to never return.
Well, the RESULT is that our children will be in debt, from birth. It will be THIER wages that will pay for the recent "bail outs" and the NEXT ones, when they say the first £5TRILLION wasnt enough.
And if THAT is the reult, then I am fairly certain, that that was the plan.... unless they just got it wrong, or were just "lucky" that the result leaves us in such a servile position ?
AND, if they get away with it now, it will happen AGAIN, and again, until YOU believe it. Hopefully, in time.
It is a plan to LEGALISE debt from BIRTH. There is no other way that anyone has EVER owed money from the day they are born. All these Trillions of dollars will HAVE to pass on to the next generations, so they are BORN with debt !!
They (whoever they are) have enslaved the human race, and have (by the looks of it) got several other countries in on it, too.
India and China have stopped or almost stopped accepting western recycling plastic glass & metal this is a bad sign. The finances are just a put off I think, underground market will thrive and distryst will bring on a tax revolt or similar protest by April.
Many in the middle class had more money tied up in their 401ks and roth iras than they had in personal debt. This debacle was so planned. Bush was signing HLS directives that would have no impact on his administration but would be crucial to managing a potential backlash from the American people. If it's as bad as I believe it will be forget 9 years my friend. Ain't gonna happen!
ever heard of electric cars and alternative fuels - your comment is bullshit - fearmongering bullshit - there is no need for an energy shortfall if oil was to cease tommorrow - which it will not - we are not even at peak oil yet and when - if we ever do get there it can be controlled artificially for a smoother transitition.
If Iceland's currency can collapse overnight so can the USA.....history shows alot of fiats have collapsed....the USA will find out about that nightmare soon....
The dark devil of default is on the horizon...and he is walking towards Washington.....
"If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them, will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered."
MARC FABER: Yes, I think so, major correction. Because if you look back at Australia we always had booms and busted and they tended actually to be more pronounced than in the United States. So I think we had a colossal boom in home prices and to some extent, also in commercial real estate in shopping malls and so forth and that will go in reverse.
It is very difficult to call the bottom, but I think these things take time and if you look at Japan, we peaked out in 1989 on the Nikkei at 39,000. We're now at 9,000 or so. So it can take a very long time and I think this crisis will be a crisis, a milestone in economic history. The way people used to ask, "Are you born before 1929 or after 1929, or before the World War II, or after World War II?" People will ask in future, "Were you born before 2007, or after 2007?"
MARC FABER: Well, I think that the problem is how do you manage that kind of a risk? And senior management and the board of directors had no idea. So essentially the banks, what they did is they packaged garbage products and they sold to their clients and thought they were smart because they earnt very big fees. Essentially, they buried themselves and that serves them right.
MARC FABER: Well, I think that the problem is how do you manage that kind of a risk? And senior management and the board of directors had no idea. So essentially the banks, what they did is they packaged garbage products and they sold to their clients and thought they were smart because they earnt very big fees. Essentially, they buried themselves and that serves them right.
talks about stability and early warning systems, that he has the ability to actually bail out the system. Since he caused most of the problems to start with, and there was an early warning system always in place, namely the early warning system is that when you have bubbles in housing and in equities and in commodities, that something is very clearly wrong.
I'd just like to remind you when the market crashed in 1929 ahead of the Depression between November '29 and the summer of 1930 the market rallied 50 per cent before collapsing again by 85 per cent and before having the greatest depression ever. So we don't know for sure, but I would say I'm very sceptical that the governments, especially Mr Gordon Brown who
So rebound is only natural and the markets have a tendency to bottom out in the October November period and then rallying to the spring of the following year. I'd just like to remind you when the market crashed in 1929 ahead of the Depression between November '29 and the summer of 1930 the market rallied 50 per cent before collapsing again by 85 per cent and before having the greatest depression ever. So we don't know for sure, but I
MARC FABER: Well, we don't know how deep the economic crisis will be that will follow obviously this financial crisis. It is also assumed that the worst of the financial crisis is over, but that is just an assumption. It could get much worse, sometime in future. As of last week, world stock markets became oversold. Statistically probably the most oversold condition in the last 50 years or so.
I wonder if other countries will have new currencies as well and if there will be fixed currency rates. And if we do have a new currency in North America do we cash in our dollars for the new currency and will it be an even swap? The deciders should inform the ppl. of the the potential plans for currencies so we can better prepare instead of guessing what might happen.
you will get aproxamently .10 of the new curriency for $1 USD. so a soda will cost 15 USD. a loaf of bread will be $50 USD and so on.... stock up on supplies while ppl still value the dollar. i give it 2 weeks before everything is gone and we are in a military state.
Heay! thanks for your predictions. Very informative and yes I believe inflation will have a major impact on food and eventually tumble to other sectors. By the way..you mentioned about a "new currency", what is the name? I have heard about the AMERO for the USA and if the dollar collapses....Scary time ahead!!! Good luck people and take care
The government just commited to insuring 700 bil in deposits. Thats a liability big time. If this payout is required ( should be) then we have a deficit of 100% of gdp.
Hi, I'm a student and I'm taking a government loan to pay for my studies. What should I do? Is it a good idea to go to work to pay up the loan or should I just stay and keep on studying?
Take the loan AND take a job if you can. Studying is the key, if you don't do that then you have messed up your own chances, to blame that on the economy would be crazy.
I believe that there are some unknown variables in this current environment that could severely shrink your long term timeframes. One of them is how the CDS market works itself out. There still is no trust among banks, and the credit markets are still frozen. I live in the states, and the feeling here is that if the economic problems are not solved soon, then they may have social problems to deal with as well. Some big changes may need to be implemented sooner than expected.
That is a very good observation. I try to make my predictions in a way that they are more probable and therefore include a larger timeframe. Anything is possible from NOW to end of 2009. We just do not know what gvts will do to hide the crisis. Duk and Cover
I agree in a way. I don't think US citizens will just watch the economy collapse for another two years and just sit still for it. Already I'm talking to people about total government overthrow. You should also notice people defying the speech restrictions of all of Internet by issuing death threats against all of the US political system.
There are many here that feel betrayed and ripped off, I know I do. Most of us that post on these econ sites understand that without free markets, there is no freedom. Something terrible is happening in America. And the problem is not that the citizens can't understand what is happening, it's that they don't want to.
Trust has been lost, and I don't know how you get that back. All we can do is try to reach out to love ones, and prepare ourselves for the approaching storm. Take care.
We're not experiencing inflation because the banks are not spending their government injection funds. As they don't lend, more currency doesn't get into circulation. So the multiplier of trillions you spoke about hasn't happened yet.
Yes, this is perversly true. However we have to anticipate that the banks "could" print the money in our thoughts to protect...
The underlying problem is that there is too much money in the system, and instead if addressing it, they print more. Once the deflation phase you described is over - good night !
I believe with the collapse of the Dollar, we will see issues in the oil price. The problem is that oil producing got increasingly more expensive the last decade. And finding it is highly cost and debt intense...
I think peak oil is a reality, I don't know when it will happen, and it seems that it will be rather soon.
Surely there is not an unlimited amount of oil in the ground. There is only one possible replacement and that is natural gas and that is also in the limited quantity.
As Marc Faber wrote in his June 2008 Boom, Gloom and Doom ReportThe federal government is sending each of us a $US600 rebate. If we spend that money at Wal-Mart, the money goes to China. If we spend it on gasoline it goes to the Arabs.If we buy a computer it will go to India. If we purchase fruit and vegetables it will go to Mexico, Honduras and Guatemala. If we purchase a good car itwillgotoGermanyIf we purchase useless crap it will go to Taiwan and none of it will help the American economy
Do you mean that US retailers dont buy their products first before selling them? Would be a discovery.
Let me tell you something: everything you mention was already bought when it hits the US market, all the countries you mentioned already got their money.
Now the money you are using to buy the goods are going to the middlemen, who are I suspect are US firms. I may be wrong on that though.
I believe you are wrong, but eventually we have an analyst on this channel who can look up the Wallmart operatinal data. I recall that Wallmart benefits of Working capital financing by suppliers. So they pay far later than they sold the stuff.
I do however not know, if that is true for chinese goods.
No research to be done. If you put it this way you are totally right because it is the way most of if not all the retailers like Wallmart work.
What I meant is that Wallmart buys the stuff before it sells it. I agree that this way of telling can be confusing. Delay in payment is not the point.
The point is, no matter Wallmart sells the stuff, the suppliers gets paid (save of course in case of bankrupcy)
They buy the goods from the suppliers (agree on a price at this moment)
In this case, yes, the USD would circulate as the comment implied.
The fact that Wallmart is delaying the paiment plays rather the opposite way: put very roughly, it is "Chinese" USD which are going to serve the US economy, and not US USD which are going to serve China economy.
The new bretton Woods is bascially a counterstrike to the US threat to default on the Dollar. recall that BW is a response of the Gold standard dismanteling...by the US (happened twice)
My understanding is that Bretton Woods, was the final act in a problem, reaction, solution operation to centralize and give further international empowerment to the banks and corporations built around them.
When we talk of US and the Dollar, is it not the Federal Reserve in full autonomy that determins monetary policy?
Was 1971 not a further empowerment to the bankers, if US defaults, bankers step in and impose a constitutional legislation to further empower themselves.
How about north alaskan oil? there is reported to be enough oil to supply America for 200 years. And lets not forget Iraq, they have copious oil gold and gas. I personaly have some dinar due to the huge wealth Iraq has under it's feet. The currency is massivly undervalued since... we all know since when!. You're depressing points also exclude renewables etc.
I believe the DJIA was over valued 260% at the high of 14,100. Would that mean the DJIA should come down to around 5000, for the same amount of time it was up? Usually during a correction the market over shoots its over/under value lines.
At 14000 we had the inflation kicking in and the dollar lost out against other currencies by 30%. That effect made stocks very attractive, as inflation causes dividends to increase.
Great analysis? although based on your views have you worked in corporate offices or financial offices because you dont seem like an ordinary consumer?
I dont think the upper classes have planned to eliminate the middle class, its just a necessary event that they are no longer needed!
I dont think you or i can generalise and be accurate about whether the middle class will be eliminated everywhere in the western world!
Its more the case that middle class people in white collar jobs dont add as much value to a product as much as manual labourers, so they might be pushed into the working class and hopefully dont turn to a new form of facist reaction!
I conceive you might have not taken your thought to the end. What will happen to the state, when middle class is pushed down to become ordinary worker class?
I think the states in many first world countries will become bankrupt or similar due to the fact that they are overextending themselves protecting insolvent banks and sustaining malinvestment. It is already evident that alot of governments are in trouble. I think the endgame is subordinating the governments to an international type government or similar.
There are only very very limited measures you can take to protect yourself from the impact. This crisis is made to have take away the wealth from ordinary people and redistribute it in the system. The only way to protect your capital is if you play by their rules, which are: 1. Show no integrity. 2. Cheat 3. Ripp off anyone 4. Take large amounts of credit in your company and charge management fee for it! 5. Let the government and tax payers cope with the resulting problems. 6. Repeat
I remember this guy pleading with me to get my money out of stocks with dow at about 12000 and my investment advisior saying "no, no, no" and this guy was heart felt and I did go against my "advisior" and this guy proved to be right. Question. Why does he seem to care so much about people he does not know? Are there angels on "youtube"?
ehswan 2 years ago
this being posted on oct 08 its turned out to be almost a 100% perfect outlook, this guy is good :)
Danster82 2 years ago 6
This guy is totally talking about as if the worst case is inevitable.
These just might be the best time to buy equities also. So, Gold is good, but keep an eye on equities also.
ashatut 2 years ago
lots of chatter about the over correction to begin this coming week, stimulus release into economy+that T bill noone wanting to hold or buy American debt thing, coming week should be interesting.
Thunderwavia 3 years ago
500 ounces of silver is going to buy you a house. That means you invest 7000 know and you buy a house with your 500 ounces or 15kg of silver. just history repeating.
Mongodelight 3 years ago
go on!!! your body language while explaining is priceless!!! Your work is great. We need more!
Mongodelight 3 years ago
a new currency? are you talking about amero?
Armando7654 3 years ago
I FORGOT to say: Take ur money and run. It took me so much knowledge to wake up. But at a a certain level of education u start to realize that having money in the bank is retarded behaviour. It made sense but know it doesnt make any sense at all
Mongodelight 3 years ago
Faber? You should check out peter schiff.
aelleo 3 years ago
Reflation is infinately more complex than just printing money, if it were that simple we would never have had a deflationary depression the word deflation would not exist.
marky1333 3 years ago
Good point about Marc Faber, he has lost alot of money because he has been wrong.
There is only one financial forecaster that has been completely right so far and he is forecasting unprecedented deflation. my moneys on him, inflationists/hyper-inflationists are going to look like fools in a couple of years.
marky1333 3 years ago
Totally disagree with the inflation scenario for every dollar of bailout there's 10 dollars of deletion/default of credit.
Most of the bailout has been given to the banks to honour their CDS liabiltes so they have given the money to the banks to pay for the bad debt/loans that have been spent years ago, so how is this inflationary.
marky1333 3 years ago
Great video !!
What is your take on silver. Some people think that silver will outperform gold. What is your opinion today ?
wildpett 3 years ago
I would get silver if you can. Gold mostly. when things get really bad shortly, you can trade silver and gold for food if you don't have a food storage. Just a thought.
chadgaines1 3 years ago
i thought it wasnt gonna last for long because they will come up with the amero
sumayah222 3 years ago
AND... Al you people who think the system is NOT totally corrupt, and decayed, just ask yourselves "when have the govt or banks ever lost out, and the people gained?".
When you realise that the govt ALWAYS benefit, even from disasterous events, you MAY be able to work out that there is a certain level of "intent to deceive", at the very core of our systems, and it is much more fierce than anyone seems to realise.
And it cares NOTHING for the lives of any who dissobey. This is NOT Disneyland.
mikeybrumbrum 3 years ago 8
The problem with most Americans is that they are arrogant, ignorant, and think we live in a Utopia. Soon, that utopia will collapse, with the possibility to never return.
CombineEmpire 3 years ago
Well, the RESULT is that our children will be in debt, from birth. It will be THIER wages that will pay for the recent "bail outs" and the NEXT ones, when they say the first £5TRILLION wasnt enough.
And if THAT is the reult, then I am fairly certain, that that was the plan.... unless they just got it wrong, or were just "lucky" that the result leaves us in such a servile position ?
AND, if they get away with it now, it will happen AGAIN, and again, until YOU believe it. Hopefully, in time.
mikeybrumbrum 3 years ago 2
It is a plan to LEGALISE debt from BIRTH. There is no other way that anyone has EVER owed money from the day they are born. All these Trillions of dollars will HAVE to pass on to the next generations, so they are BORN with debt !!
They (whoever they are) have enslaved the human race, and have (by the looks of it) got several other countries in on it, too.
ROME is back ! The EMpire strikes back !
mikeybrumbrum 3 years ago 3
India and China have stopped or almost stopped accepting western recycling plastic glass & metal this is a bad sign. The finances are just a put off I think, underground market will thrive and distryst will bring on a tax revolt or similar protest by April.
441rider 3 years ago
damn...
SCOTTDAVIDSON32 3 years ago
A lot of sense spoken here
MrNiceHk 3 years ago
Many in the middle class had more money tied up in their 401ks and roth iras than they had in personal debt. This debacle was so planned. Bush was signing HLS directives that would have no impact on his administration but would be crucial to managing a potential backlash from the American people. If it's as bad as I believe it will be forget 9 years my friend. Ain't gonna happen!
crissala 3 years ago
ever heard of electric cars and alternative fuels - your comment is bullshit - fearmongering bullshit - there is no need for an energy shortfall if oil was to cease tommorrow - which it will not - we are not even at peak oil yet and when - if we ever do get there it can be controlled artificially for a smoother transitition.
aln2325826571 3 years ago
If Iceland's currency can collapse overnight so can the USA.....history shows alot of fiats have collapsed....the USA will find out about that nightmare soon....
The dark devil of default is on the horizon...and he is walking towards Washington.....
dojufitz 3 years ago 4
all i can say is thank you for the priceless information...
mouljran7 3 years ago
Marc Faber America will go bankrupt...its only a matter of time...
Uh AMERICA is BANKRUPT!
WakeUpNow2012 3 years ago
What is the outlook for the Canadian economy?
ChristiansMustLearn 3 years ago
JB,
have you heard of this Comex default alot of people are talking about?
Coming in December....
dojufitz 3 years ago
This comment has received too many negative votes show
stop being so negative. Stop speculating. And shut the fuck up and do your job.
sonofmanchu 3 years ago
Kerkorian - a rich old fool?
Fancy pouring all that money into the auto industry....he is now cutting his losses...
Wisdom comes too late for some.
dojufitz 3 years ago
Here we go again...another sucker rally in stocks....wait for the plunge after the election.....
dojufitz 3 years ago
"If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them, will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered."
~Thomas Jefferson
boruone77 3 years ago 5
MARC FABER: Yes, I think so, major correction. Because if you look back at Australia we always had booms and busted and they tended actually to be more pronounced than in the United States. So I think we had a colossal boom in home prices and to some extent, also in commercial real estate in shopping malls and so forth and that will go in reverse.
boruone77 3 years ago
It is very difficult to call the bottom, but I think these things take time and if you look at Japan, we peaked out in 1989 on the Nikkei at 39,000. We're now at 9,000 or so. So it can take a very long time and I think this crisis will be a crisis, a milestone in economic history. The way people used to ask, "Are you born before 1929 or after 1929, or before the World War II, or after World War II?" People will ask in future, "Were you born before 2007, or after 2007?"
boruone77 3 years ago
MARC FABER: Well, I think that the problem is how do you manage that kind of a risk? And senior management and the board of directors had no idea. So essentially the banks, what they did is they packaged garbage products and they sold to their clients and thought they were smart because they earnt very big fees. Essentially, they buried themselves and that serves them right.
boruone77 3 years ago
MARC FABER: Well, I think that the problem is how do you manage that kind of a risk? And senior management and the board of directors had no idea. So essentially the banks, what they did is they packaged garbage products and they sold to their clients and thought they were smart because they earnt very big fees. Essentially, they buried themselves and that serves them right.
boruone77 3 years ago
talks about stability and early warning systems, that he has the ability to actually bail out the system. Since he caused most of the problems to start with, and there was an early warning system always in place, namely the early warning system is that when you have bubbles in housing and in equities and in commodities, that something is very clearly wrong.
boruone77 3 years ago
I'd just like to remind you when the market crashed in 1929 ahead of the Depression between November '29 and the summer of 1930 the market rallied 50 per cent before collapsing again by 85 per cent and before having the greatest depression ever. So we don't know for sure, but I would say I'm very sceptical that the governments, especially Mr Gordon Brown who
boruone77 3 years ago
So rebound is only natural and the markets have a tendency to bottom out in the October November period and then rallying to the spring of the following year. I'd just like to remind you when the market crashed in 1929 ahead of the Depression between November '29 and the summer of 1930 the market rallied 50 per cent before collapsing again by 85 per cent and before having the greatest depression ever. So we don't know for sure, but I
boruone77 3 years ago
MARC FABER: Well, we don't know how deep the economic crisis will be that will follow obviously this financial crisis. It is also assumed that the worst of the financial crisis is over, but that is just an assumption. It could get much worse, sometime in future. As of last week, world stock markets became oversold. Statistically probably the most oversold condition in the last 50 years or so.
boruone77 3 years ago
Japanese has savings, but US has printing press.
The US can just print money. Who cares...
rosewood223 3 years ago
The more its printed the more worthless it becomes.
Puzzoozoo 3 years ago 3
I wonder if other countries will have new currencies as well and if there will be fixed currency rates. And if we do have a new currency in North America do we cash in our dollars for the new currency and will it be an even swap? The deciders should inform the ppl. of the the potential plans for currencies so we can better prepare instead of guessing what might happen.
ln4359 3 years ago
you will get aproxamently .10 of the new curriency for $1 USD. so a soda will cost 15 USD. a loaf of bread will be $50 USD and so on.... stock up on supplies while ppl still value the dollar. i give it 2 weeks before everything is gone and we are in a military state.
mybrotherinmexico 3 years ago
How did that prediction work out for you? 6 weeks later, still moving along.
skeet225 3 years ago
i think u are too pessimistic.
rosewood223 3 years ago
For the new currencies mentioned, are you refering to Amero?
cykkenny 3 years ago
Hi JB,
do you see credit card Rates increasing?
People i know at work pay their mortgage with their credit card...
dojufitz 3 years ago
I typed in the website shown in this video, but it doesn't link to a site. How do I find your website?
rctube1958 3 years ago
Click on the site at the top right on this very youtube page.
dojufitz 3 years ago
Heay! thanks for your predictions. Very informative and yes I believe inflation will have a major impact on food and eventually tumble to other sectors. By the way..you mentioned about a "new currency", what is the name? I have heard about the AMERO for the USA and if the dollar collapses....Scary time ahead!!! Good luck people and take care
spanishforfun 3 years ago
Thanks for sharing your outlook jberni1, very informative.
djvideo0 3 years ago
This has been flagged as spam show
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LivingInAmerica99 3 years ago
There might not be energy available for the society in quantities needed to continue the pradigm of eternal growth - see "peak oil".
Piett2 3 years ago
Thanks jberni for the continuing education.
KiaOra53 3 years ago
Yes, I'm afraid of that also.
A time honoured method to detract attention from the mess at home, and kick along the economy.
Where think you? Iran?
KiaOra53 3 years ago
Nah the last war is probably the single biggest contributor to this crisis.
daniel987878 3 years ago
Here in Australia the banks are lowering interest rates - we have a culture of high price homes - out of reach for first home buyers.
High asset debt to GDP - the govt has no debt.
An academic said here that rates could go all the way to zero percent!
If money was free here - what the hell would that do to inflation!!??
dojufitz 3 years ago
The government just commited to insuring 700 bil in deposits. Thats a liability big time. If this payout is required ( should be) then we have a deficit of 100% of gdp.
daniel987878 3 years ago
Hi, I'm a student and I'm taking a government loan to pay for my studies. What should I do? Is it a good idea to go to work to pay up the loan or should I just stay and keep on studying?
Andrei23ru 3 years ago
Take the loan AND take a job if you can. Studying is the key, if you don't do that then you have messed up your own chances, to blame that on the economy would be crazy.
Work hard and you will always succeed.
ShillBasher 3 years ago
Thank you for your answers.
Andrei23ru 3 years ago
Your'r nuts, still dreaming the American proaganda
boruone77 3 years ago
Thanks for taking the time to share your thoughts. Really do appreciate it. Keep up the good work. All the best
MakeCakeNotWar 3 years ago
Thanks
I believe that there are some unknown variables in this current environment that could severely shrink your long term timeframes. One of them is how the CDS market works itself out. There still is no trust among banks, and the credit markets are still frozen. I live in the states, and the feeling here is that if the economic problems are not solved soon, then they may have social problems to deal with as well. Some big changes may need to be implemented sooner than expected.
GoldFever44 3 years ago
That is a very good observation. I try to make my predictions in a way that they are more probable and therefore include a larger timeframe. Anything is possible from NOW to end of 2009. We just do not know what gvts will do to hide the crisis. Duk and Cover
jberni1 3 years ago
I agree in a way. I don't think US citizens will just watch the economy collapse for another two years and just sit still for it. Already I'm talking to people about total government overthrow. You should also notice people defying the speech restrictions of all of Internet by issuing death threats against all of the US political system.
powergirl901 3 years ago
There are many here that feel betrayed and ripped off, I know I do. Most of us that post on these econ sites understand that without free markets, there is no freedom. Something terrible is happening in America. And the problem is not that the citizens can't understand what is happening, it's that they don't want to.
Trust has been lost, and I don't know how you get that back. All we can do is try to reach out to love ones, and prepare ourselves for the approaching storm. Take care.
forty4spikes 3 years ago
We're not experiencing inflation because the banks are not spending their government injection funds. As they don't lend, more currency doesn't get into circulation. So the multiplier of trillions you spoke about hasn't happened yet.
They're hoarding the cash/credit as a method
to stay in business and be well capitalized.
powergirl901 3 years ago
Yes, this is perversly true. However we have to anticipate that the banks "could" print the money in our thoughts to protect...
The underlying problem is that there is too much money in the system, and instead if addressing it, they print more. Once the deflation phase you described is over - good night !
jberni1 3 years ago
You can't prove peak oil, because corporations control the search and use of new oil fields!!!
it is only a construct to enrich the likes of shell BP exxon..., and maximize profits from the Iraq war!!!
There is evidence that oil (let alone biofuels) as sole transport fuel is unsustainable, but certainly not "peak oil".
divinacomedias 3 years ago
I believe with the collapse of the Dollar, we will see issues in the oil price. The problem is that oil producing got increasingly more expensive the last decade. And finding it is highly cost and debt intense...
jberni1 3 years ago
I think peak oil is a reality, I don't know when it will happen, and it seems that it will be rather soon.
Surely there is not an unlimited amount of oil in the ground. There is only one possible replacement and that is natural gas and that is also in the limited quantity.
Andrei23ru 3 years ago
As Marc Faber wrote in his June 2008 Boom, Gloom and Doom ReportThe federal government is sending each of us a $US600 rebate. If we spend that money at Wal-Mart, the money goes to China. If we spend it on gasoline it goes to the Arabs.If we buy a computer it will go to India. If we purchase fruit and vegetables it will go to Mexico, Honduras and Guatemala. If we purchase a good car itwillgotoGermanyIf we purchase useless crap it will go to Taiwan and none of it will help the American economy
boruone77 3 years ago
Marc is a great guy and I have been in touch with him, a couple of times!
Actually the US strategy is to pay for those services with (in the future) worthless paper
jberni1 3 years ago
Do you mean that US retailers dont buy their products first before selling them? Would be a discovery.
Let me tell you something: everything you mention was already bought when it hits the US market, all the countries you mentioned already got their money.
Now the money you are using to buy the goods are going to the middlemen, who are I suspect are US firms. I may be wrong on that though.
TheCZMan 3 years ago
I believe you are wrong, but eventually we have an analyst on this channel who can look up the Wallmart operatinal data. I recall that Wallmart benefits of Working capital financing by suppliers. So they pay far later than they sold the stuff.
I do however not know, if that is true for chinese goods.
jberni1 3 years ago
No research to be done. If you put it this way you are totally right because it is the way most of if not all the retailers like Wallmart work.
What I meant is that Wallmart buys the stuff before it sells it. I agree that this way of telling can be confusing. Delay in payment is not the point.
The point is, no matter Wallmart sells the stuff, the suppliers gets paid (save of course in case of bankrupcy)
Wallmart agree on a price with the supplier.
The purchase contract is done before selling
TheCZMan 3 years ago
The comment I replied to could be understood as:
Wallmart gets goods from suppliers.
They sell them.
They buy the goods from the suppliers (agree on a price at this moment)
In this case, yes, the USD would circulate as the comment implied.
The fact that Wallmart is delaying the paiment plays rather the opposite way: put very roughly, it is "Chinese" USD which are going to serve the US economy, and not US USD which are going to serve China economy.
TheCZMan 3 years ago
Ehhhh, it's not countries getting money, it's multinational corporations mostly....
divinacomedias 3 years ago
Agree. I referred to Iceland and the countries (and local communities in Germany) which had given loans to the Iceland Banks...
jberni1 3 years ago
Thanks JB,
always look forward to your thoughts - i also really like your web site!
dojufitz 3 years ago
new currency?
oh,oh.....
:/
With new powers to the World Bank system?
divinacomedias 3 years ago
It looks to me as if they prepare the default of the US.. on debt
jberni1 3 years ago
Then the lenders propose profitable legislation in exchange for debt cancellation?
Will such an "offer" be on the table at this "new bretton woods"?
divinacomedias 3 years ago
The new bretton Woods is bascially a counterstrike to the US threat to default on the Dollar. recall that BW is a response of the Gold standard dismanteling...by the US (happened twice)
The Nixon Shock (Wikipedia)
jberni1 3 years ago
Here I get confused.
My understanding is that Bretton Woods, was the final act in a problem, reaction, solution operation to centralize and give further international empowerment to the banks and corporations built around them.
When we talk of US and the Dollar, is it not the Federal Reserve in full autonomy that determins monetary policy?
Was 1971 not a further empowerment to the bankers, if US defaults, bankers step in and impose a constitutional legislation to further empower themselves.
divinacomedias 3 years ago
Thank you for another informative video.
anilomd 3 years ago
Thankyou!
prepare2008 3 years ago
How about north alaskan oil? there is reported to be enough oil to supply America for 200 years. And lets not forget Iraq, they have copious oil gold and gas. I personaly have some dinar due to the huge wealth Iraq has under it's feet. The currency is massivly undervalued since... we all know since when!. You're depressing points also exclude renewables etc.
ShillBasher 3 years ago
Renewables require significant investments and more debt !
You might check out "Money as Debt" on the renewables....
jberni1 3 years ago
Yes the monetary issue is at the root of the problem and must be resolved before such environmental issues can be addressed.
divinacomedias 3 years ago
Jberni1, this is one of my favorite videos of yours. Great video. I 100% agree with this one.
JackNeedles 3 years ago
Great video! Thanks!
SilverWealth23 3 years ago
Was the market over valued for only three years? If it was longer, the market will stay under valued for just as long.
BendoverBernanke 3 years ago
Sorry, can you explain a bit more ?
jberni1 3 years ago
I believe the DJIA was over valued 260% at the high of 14,100. Would that mean the DJIA should come down to around 5000, for the same amount of time it was up? Usually during a correction the market over shoots its over/under value lines.
BendoverBernanke 3 years ago
At 14000 we had the inflation kicking in and the dollar lost out against other currencies by 30%. That effect made stocks very attractive, as inflation causes dividends to increase.
jberni1 3 years ago
Great analysis? although based on your views have you worked in corporate offices or financial offices because you dont seem like an ordinary consumer?
I dont think the upper classes have planned to eliminate the middle class, its just a necessary event that they are no longer needed!
CivysCare4Soldiers2 3 years ago
Middle class, is the only cash rich class, which can be stripped of its wealth..
jberni1 3 years ago
I dont think you or i can generalise and be accurate about whether the middle class will be eliminated everywhere in the western world!
Its more the case that middle class people in white collar jobs dont add as much value to a product as much as manual labourers, so they might be pushed into the working class and hopefully dont turn to a new form of facist reaction!
CivysCare4Soldiers2 3 years ago
Pushing the middle class into poorer people, while allowing great enrichment of "upper" class, is a fascist reaction in itself...
The third way?
divinacomedias 3 years ago
Well, I think we can in deed generalize.
I conceive you might have not taken your thought to the end. What will happen to the state, when middle class is pushed down to become ordinary worker class?
jberni1 3 years ago
I think the states in many first world countries will become bankrupt or similar due to the fact that they are overextending themselves protecting insolvent banks and sustaining malinvestment. It is already evident that alot of governments are in trouble. I think the endgame is subordinating the governments to an international type government or similar.
daniel987878 3 years ago
thanks for the information.
stackofshit 3 years ago 4
Wie kann ich mich als otto normalverbraucher schützen?
SteunPVV 3 years ago
There are only very very limited measures you can take to protect yourself from the impact. This crisis is made to have take away the wealth from ordinary people and redistribute it in the system. The only way to protect your capital is if you play by their rules, which are: 1. Show no integrity. 2. Cheat 3. Ripp off anyone 4. Take large amounts of credit in your company and charge management fee for it! 5. Let the government and tax payers cope with the resulting problems. 6. Repeat
jberni1 3 years ago