End of the world predictions have been around for years. From War of the Words, to global environmental collapse, you've probably watched one recently. I've always loved these movies, even though the premise is often ridiculous and unrealistic. Now that the economy is crashing, millennial and end of the world stories are picking up in frequency. Do any of these stories hold a shred of validity? If the end of the world (as we know it) is at hand, then should we be getting ready? Is it too late? Is 6 months food storage, and 10% of your asset's in Gold and Silver going to forestall the bitter end?
The other day I ran across and essay written by Martin Armstrong, I've linked to it, because it's a prime example of what I referred to as "end of the world" scenario's. If you do a google search on Martin Armstrong, you'll find that he's currently serving time for some Japanese stock scam. Now once you get past the initial (well he's a criminal so why believe him), you'll find that his arrest and detention is controversial. You'll also find that his predictions about where the market is heading is spot on.
The question I have is that Martin is one of many who are issuing the alert that we're in troubling times. The fact that the talking heads on CNBC and Fox Business are wringing their hands and have no answers. Politicians are flailing about and think pouring good money into bad debt is the answer to our problem. The reality is that this latest stimulus package is going to do nothing.
Is Armstrong correct, are we in the midst of a 26 year bear market? Are other doom and gloomers correct, is this the last gasp of the "American Empire", much like Rome in 300 AD? I won't say that I know anymore. I've attempted to be positive and claim this is only a temporary bump in the road. The bump is now a large hill, and could become a mountain soon. But is the end of the world at hand? Who can say for sure, but I'm hoping for an Economic recovery in early 2010, BUT I'm going to stop being an idiot, and begin preparing for the worst case.
Even if you are prepared for the worst case, can you really survive for long? Actually the best action would be to take a proactive role in stopping the insanity. Many of Armstrongs suggestions in his essay are ones we could get behind politically. The one that makes the most sense to me is the concept of a National Sales Tax. The reailty is that we can't borrow for ever as consumers, we can't borrower forever as goverments.
Call your congressmen, ask their staffers why they don't support a national sales tax? As them why they think taxing the top 1% of income earners is fair or even prudent? Ask them why we're providing corporate welfare to GM, AIG and the banks? Ask them why don't they form a public trust for all the toix mortgage debt? It's time to take these people to task! We elected them, we can hold them to account. So Google your Senator and congressperson and CALL THEM! Then get invovled in your community, save some money, get some food storage, and pray that we figure it out in time. American's can do some amazing things when the chips are down, and I believe that this isn't any less true then anytime else in our history.
Comments(1)