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Strategies & Market Trends : VOLTAIRE'S PORCH-MODERATED

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To: Sully- who wrote (51624)5/17/2002 3:48:15 PM
From: Jim Willie CB  Read Replies (1) of 65232
 
first gold, then silver... and gold again with silver
then another round of gold
then another
a nice quote I read this week was that we are in the first inning of the first game of the Golden World Series

the center of the entire gold story is the USdollar, and the entire economy we have built upon debt

a fascinating development recently was the enactment and enforcement of trade tariffs
e.g. steel and agriculture
these are declarations of war and refusals to reduce the local dollar currency to such a level that it allows more evenhanded competition
it is a statement admitting our currency is overprice
but instead of adjusting it down, we say F.U.

the fascination lies in how it repeats 1929 govt policy
it represent bad govt protectionist policy
it repeats historical forces behind the Great Depression

most currency issues are totally overlooked by Americans
they dont have a clue
ask them what a dollar is worth on the world market,
and they will tell you the price of a sixpack of beer

I honestly believe we have perhaps the most ignorant middle class among the many industrialized nations
their illiteracy in accounting and economic matters is shocking
cannot read a balance sheet
cannot discern deceptive earnings reports
cannot define inflation
believes free trade is good for the country
believes a strong dollar is good for the country
and...
puts blind trust in the Federal Reserve, which has arguably engineered most every recession and depression in our nation's brief history
/ jim
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