Sunday, April 23, 2006
Cash Is Trash!
(Chart source – Baron’s)
THE PICTURE - Your wealth is being stolen due to inflation, period. Whether you like it or not, central banks continue to churn out a ridiculous amount of paper currencies thereby robbing you of your savings. This is a crucial issue which you must understand if you want to survive and prosper over the coming years.
Money is supposed to be a store of value that acts as a medium of exchange. Well, the paper in circulation today does act as a medium of exchange because you can go to Starbucks and buy a cup of fancy coffee but it surely isn't a store of value! How can it be a store of value when it buys less and less with every passing year? In fact, the US dollar has proven to be such a great store of value that it has lost 92% of its purchasing power since the Federal Reserve was established in 1913! Figure 1 clearly demonstrates the consistent decline in the purchasing power of the US dollar. Unfortunately, this trend is going to worsen in the future, thanks largely to the loose monetary policy of the central banks. So, you can be rest assured that parking your wealth in the "safe haven" of cash is the quickest route to the poorhouse! It is sad but true - cash is trash!
[321Gold.com]
Remember, Rome fell when the money was debased 90%.
Bush warns of 'tough summer' with higher petrol prices
While the oil companies deny any manipulation, public confidence was eroded at the recent report that exiting Exxon Mobil executive Lee Raymond was getting a 400 million dollar retirement package. [breitbart.com]
Imagine my surprise!
Comments:
Post a Comment
