Awaiting the “Zero Hour” of Available Credit

I watch expectantly as the national debt again nears the debt limit, and Zero Hour is just a few weeks away, a term I cleverly used to indicate that available credit will be zero. Maxed out.

I let it go at that, as I am not inebriated enough to get up on my high horse to loudly and rudely note that nobody in the corrupt government (including the Federal Reserve) apparently needs any stinking permission from anybody to do anything anymore, including any number or frauds and corruptions, to keep the government wallowing in the oceans of cash it so desperately, desperately needs to keep, you know, wallowing.

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Living Well on Gold and Silver

Naturally, I bristle at people ignoring me except to say hurtful things, like, “Eww! Gross! Eat with your mouth closed!” and who then turn right around and say, “Shut up about buying gold and silver!”

But how do I not eat and talk? Man, it has been said, cannot live on bread alone! Unless, of course, it is made into a nice, big sandwich with all the fixins, maybe with a tall, cool beverage and a fresh bag of potato chips, you’re bent over the plate like some kind of starving Neanderthal, noisily shoveling it in your mouth with both hands, perhaps while you are watching TV, necessitating changing channels by hitting the remote control with your elbow.

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Government Spending Screws the Little Guy

Joel Bowman, managing editor of The Daily Reckoning, is in Argentina, and it looks like he is discovering that the corruption that comes with creating more money, so that the government can stupidly spend it, is now everywhere, and, indeed, the ugly end result is everywhere, too. In his essay “The Unfortunate Sate of the Argentine Beef Industry” an Argentine friend of Mr. Bowman’s explains, “as usual, the little guy, the one who the government supposedly set out to help, ends up paying more.” Ain’t that the truth! Hahaha!

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The True Meaning of the Word “Bailout”

It doesn’t take a raving cynic like me, rabidly spewing flecks of spittle while screaming in outrage, “We’re freaking doomed!” to realize that, regardless of what you have heard, the federal government will, indeed, bail the states out of their messes.

In fact, it already has, and it will do more and more of it.

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The US Federal Reserve: A Rich History of Financial Folly

Ehow.com relates a piece of history in that “Since the creation of the Federal Reserve in 1913, the money supply had increased 240 percent from 1913 to 1920, because of a relaxed gold standard, and prices had risen by an identical amount.”

Gaahhh! Prices rising 240%! In seven years, the money supply increased 240%, meaning it more than doubled, as did prices! No wonder they had a recession!

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A World of Deficit Spending Without Any Changes

Junior Mogambo Ranger (JMR) Terry L. sent me the essay “Fiscal Armageddon in the USA” by C. Banesh, who reminds us that “Sometime between now and 2012 the US debt will equal the country’s Gross Domestic Product (GDP), the total market value of all the goods and services in our economy for an entire year.”

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Beware the Demon of Inflation

The 5-Minute Forecast came to me in an email with the subject line reading “5-Minute Forecast – Everybody Panic.”

Naturally, as a guy who is always on the verge of panic because of the fact that all the monstrously excessive amounts of money that the Federal Reserve is creating will cause inflation in prices, this affected me greatly.

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Buying Silver and Avoiding the Sharks

I keep pounding, pounding, pounding the table that silver is the biggest bargain out there, for, at last count, a jillion reasons, and that anybody who does not buy silver Right Freaking Now (RFN) is making the mistake of a lifetime, and the family is all, like, “Will you please stop pounding the table? It is irritating and is making things spill, aside from the fact that we don’t have any money with which to buy silver, and you know that!” which devolved into a lengthy discussion about who among them was the most irritated with me and everything I say or do.

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Buying Silver to Combat the Vampire Craze

Dominic Frisby of Money Morning newsletter quotes Nick Laird of Sharelynx as saying that the situation in silver is such that “since 1950, almost 925,000 tonnes have gone into demand with 570,000 tonnes of this having come from production. This leaves a shortfall of 350,000 tonnes, which has come from central bank sales, stockpiles and scrap. This deficit equals approximately 16 years of production.”

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