LATEST NEWS : The Economy Of The Largest Superpower On The Planet Is Collapsing Right Now

How do you fix a superpower with exploding levels of debt, that has a rapidly aging population, that consumes far more wealth than it produces, and that has scores of zombie banks that could collapse at any moment.  You might think that I am talking about the United States, but I am actually talking about […]

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LATEST NEWS : RBS blows whistle on Swiss franc bank cartel

European regulators have fined three banks a combined €94m (£74m) for operating in a price-fixing cartel that included Royal Bank of Scotland (RBS). The taxpayer-backed British bank – along with JP Morgan, UBS and Credit Suisse – was found to have colluded to rig the price of interest rate hedging products, while RBS and JPMorgan […]

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LATEST NEWS : Get your money out of Britain: Global banks warn investors 'Yes' vote would be 'cataclysmic' for UK economy

International investors have been warned to pull their cash out of Britain to protect themselves against the ‘cataclysmic’ impact of Scottish independence. Japan’s biggest bank, Nomura, warned sterling could plunge by 15 per cent in the event of a ‘Yes’ vote – amid warnings over a ‘run on UK assets’ threatening savings and pensions of […]

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LATEST NEWS : Inflation – Crash Course Chapter 11

For close to 300 years, inflation in the US remained very subdued. Small spurts occurred around major wars (Revolutionary, Civil, WW1, etc), but after each, inflation quickly trended back down to its long-term baseline. If you lived during this stretch of time, your money had roughly the same purchasing power your great-grandfather’s did. But something […]

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LATEST NEWS : A Brief History of US Money – Crash Course Chapter 9

Looking at the past 100 years of the US dollar’s history, one theme becomes abundantly clear: in times of crisis, the US government has no issue with changing its own rules or breaking its own laws. And those “temporary” emergency measures have a nasty habit of quickly becoming permanent. Among the more notable milestones of […]

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George Soros blasts 'parasite' banks

George Soros, the billionaire investor, believes the banking sector is a “parasite” holding back the economic recovery and an “incestuous” relationship with regulators means little has been done to resolve the issues behind the 2008 crisis. “The banking sector is acting as a parasite on the real economy,” Mr Soros said in his new book […]

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Are You Crazy To Continue Believing In Collapse?

It’s nerve-wracking to live in the historical moment of an epic turning point, especially when the great groaning garbage barge of late industrial civilization doesn’t turn quickly where you know it must, and you are left feeling naked and ashamed with your dark worldview, your careful preparations for a difficult future, and your scornful or […]

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How Much Inflation is Really Out There?

Yesterday, we reported on the latest money woes in Argentina. Today, we turn back to the US. The Dow caught a bid yesterday, with a 90-point rise, bringing it to rest at 15,928. That’s 15,017 points higher than the low it hit in 1981, just after Ronald Reagan was elected. In 1982, US stocks began […]

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"The Government Comes Up With the Money"

I’m half-heartedly watching the State of the Union address right now. What a cynic I’ve become. My younger self would be shocked and saddened to learn how I’ve come to view these annual addresses as little more than a game of charades. The President (not just Obama, but his predecessors, too) reads a carefully and […]

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Why We All Lose If the Fed Wins

So let’s pretend for the moment that the Federal Reserve gets everything it has stated it wants.  And even further, that Washington, D.C. gets everything it wants, too. The credit markets are repaired, and massive new loan growth flows out the door.  Loans are made to businesses that hire gobs of new people.  Consumers borrow […]

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