The Coming Deflation
So many people have been insisting upon hyperinflation, but they are not prepared for the developing deflation. Even most Germans know what is inflation and they are indoctrinated that austerity is better – but is it? The US experience the deflation of the Great Depression and adopted those same austerity policies. There was such a shortage of money that not merely did the dollar rise to historical highs, but hundreds of cities were forced to issue their own money that was legal tender locally just to function.
People only think they know how to protect themselves against inflation – buy tangible assets. But how does one protect against deflation? Sell all tangible assets and just go to cash? Is there a difference between real estate, precious metals, stocks, bonds, and cash? What about capital inflows and outflows? What about movable v static assets?
The answer to this question that is commonly asked is far more complex than one imagines. We are preparing a special report on this topic because everything varies according to capital inflows v outflows. This is a very important study for it is not just bullshit personal opinions. To really understand this we must leave no stone or asset untouched.
We will advise when this is going to be completed.
France Economic Numbers Show Decline 3rd Quarter
The Socialists just cannot get past being angry that someone else has more than they do. Unfortunately, all they think about is how to take the money of anyone who produces to hand it to those who do not and the cannot understand how the economy then declines. Someone who wins the lottery and blows all the money generate not economic expansion. The person who takes that money and invests in creating a business creates jobs. They cannot grasp this simple concept.
As the deutsche-wirtschafts-nachrichten reports, France is now dragging down Germany as is Southern Europe pushing Europe into crisis. In reality, the problem that we see in Europe is very similar to the Dutch Tulip Bubble. What made the bubble was that option market attracted capital like a magnet from all over Europe. Tulips began trading in many other cities outside of Holland including London – a small fact people overlook. The capital concentrated in Holland and when it went bust, it created a black hole in finance. Germany is doing the same think with its trade surplus. It has been sucking the capital out of the rest of Europe reducing their economic growth with its policy of austerity to keep the Euro strong and hence their profits.
Global Market Watch
The Global Market Watch has been posted for the close of November 13, 2013.