Category: Economics & Investing

Frequent content contributor B.B. spotted this: Offshore Gold Rush: AngloGold, De Beers hunt gold under Atlantic Eric Rosenbaum asks: Should the US Raise Its Debt Ceiling… or Default? The piece includes this: “Treasury Secretary Timothy Geithner this week found himself in the unenviable position of representing the US government in the role of a delinquent credit card customer asking for a higher credit limit. In place of that line on a credit card account statement that reads ‘available credit’ insert ‘national debt ceiling.’” (Thanks to reader C.D.V. for the link.) G.G. sent this: Bank intervention as euro debt crisis deepens …

John R. pointed us to a piece by Mike Whitney: Printing a Recovery. While our politics don’t always mesh, I’m in full agreement with Whitney on the re-animation of the credit bubble. Also from John R., a piece over at Lew Rockwell’s site by Terry Coxon: The Long Swim – How the Fed Could Become Insolvent Silver Demand Surges Six-Fold in India and World’s Richest Man Enters the Silver Market B.B. recommended a well-produced video from Gold Core: GoldNomics – Cash or Gold Bullion Reader B.J.G. flagged this item: Brazil Threatens Trade War Against US, China John S. sent this: …

Richard Duncan: A Catastrophic Global Economic Breakdown May Be Unavoidable! Reader P.D. sent an article that is surprising to see from a mainstream media outlet like Reuters: Economists foretell of U.S. decline, China’s ascension Over at The Daily Bell: Peter Schiff on Why the American Economy Is Broken – and What to Do About It SurvivalBlog’s Editor at Large Michael Z. Williamson mentioned this article at The Atlantic: How The Recession Changed Us. JWR Adds: Their use of simplistic “sand pile” graphs is disingenuous. They make the recession look like a discrete post facto event. It isn’t! Traditional linear or …

T.&.P. sent this item: Legislation proposes Utah adopt a gold-based system. Similar legislation has been introduced in several other states. Blame the U.S. Mint for Lack of Silver, Don’t Blame Customers (Thanks to Alec N. for the link.) Reader M.E. sent this: Seven Reasons Food Shortages Will Become a Global Crisis Richard S. recommended this piece at the Economania blog: UK Preppers. Siggy like this one: America’s 10 worst years start right now Items from The Economatrix: Regulators Close Florida Bank; 1st For The Year   Slow Growth In Jobs Shows Challenge Ahead    Bernanke:  4-5 Years To Reach Normal …

World Bank to Manage Food Supplies? John R. recommended a Forbes article by Daniel Oliver Jr.: Soon The Economic Deluge: With the dollar in freefall, the monetary system is breaking down. Items from The Economatrix: The New Gold Rush   What are They Up To?   Good-bye US Dollar: World Bank Issues First Yuan Bonds in Hong Kong In The Future You May Not Be Able to Provide the Basics for Your Family Even if Everyone in Your Family Has a Job  

Steve K. recommended a YouTube video that includes clips from the 1981 movie Rollover. Charles Hugh Smith: The Big, Continuing Stories That Could Derail 2011 Recession turns to depression in Japan. Karl Denninger: Here Come The “Tanks In The Streets” Threats! Items from The Economatrix: Reasons Why 2011 Is Going To Be Another Bad Year For America’s Middle Class   29% of Americans Say it’s Difficult to Afford Food   Fed: Economy Still Weak Despite Improvements Private-Payroll Report Lifts Hopes For More Jobs   Jump In Hiring Sends Bonds Lower And Stocks Higher   Numismatic’s Are Fool’s Gold     

Prescott sent us: Inflation Jumps in Europe News from England: Eco-bulb cost to treble: Makers cash in as the ban on old-style bulbs kicks in World food prices at fresh high, says UN Forecasters’ prediction for oil prices in 2011: Up, up, up As food costs rise, retailers keep prices stable by shrinking package sizes, quantities

This article in Barron’s hardly comes as a news flash to SurvivalBlog readers: Barron’s: US Will See Run on Treasurys, Hyperinflation John R. suggested these two related articles: Pressure builds on Spain’s banks; Are credit markets predicting a bank run in Spain?, and 2011: Year of the bank run? R.D.F. sent this news of Nonsensical Nanny State Nosiness from California: Police issue warning about buying and selling gold. They must be referring to some local anti-fenced goods law. R.D.F.’s comment: “This is the latest example of Big Brother trying to outlaw and control those who refute paper money and worthless coin currency.” …

This could happen in America, too!: European nations begin seizing private pensions. Mark my words. I predict that the politicians and policy wonks will say: “Nationalizing the IRAs and 401(k)s is the only thing that will save Social Security.” Oh, but they’ll probably call he whole socialist scheme “privatizing”, to sugar coat it. I noticed that silver took a dip on Tuesday morning. In a long term bull market, you should watch the tickers closely and buy on the dip days! George Soros: The United States Must Stop Resisting The Orderly Decline Of The Dollar, The Coming Global Currency And …

For the Horrible Irony Department: White House Warns Failure to Raise Debt Ceiling Would Mean Economic ‘Crisis’. (Thanks to Chad S. for the link.) John R. sent us this: Never Forget the Fed Caused the Economic Downturn      Also from John: Bernanke Only Adds Fuel to the Fire with Quantitative Easing   Albert Edwards: China is a “Freak Economy” and it Will Crash, and Take Down the Rest of the World. (Our thanks to Siggy for the link.) Items from The Economatrix: Commodities Beat Financials Making Silver Top Pick   Credit Card Withdrawal-Banks Pull Plug on Consumer Revolving Debt …

Greg C. sent this: Coins vs. Bags: Comparing Two Options in Physical Silver. Pre-1965 90% silver coins are not only a better buy, but they’ll have wider acceptance for barter in the U.S.. SurvivalBlog’s Editor at Large Michael Z. Williamson sent an indicator of incipient higher fuel prices: Crude Oil Inventory Watch: U.S. Inventories Plunge as Demand Soars Siggy mentioned this over at the Calculated Risk blog: Unofficial Problem Bank List Dec 31, 2010 Items from The Economatrix: Treasury Prices Rebound After $29 Billion Bond Auction   Metals Gain As Investors Seek Protection 2011:  Baby Boomers Come Of Age:  16 …

All Evidence Points To A Dramatic Increase In Food Prices Worldwide, Possible Shortages Reader Tom C. wrote to mention: “I just bought some K-1 kerosene. It was priced at $3.49 gallon, up form $3.09 only six weeks ago.” “Hyperinflation Will Drive Gold To Unthinkable Heights” Oil’s Surge In 2010 Paves Way for $4 Gasoline   News from India: Soaring metal prices ring death knell for 25p coins. Does this sound familiar?