This chart (from Jeff Berwick's Dollar Vigilante) of true US federal government debt under GAAP (Generally Accepted Accounting Principles) shows current US debts about 5 times higher than officially stated ($71 trillion):
With a population of about 310 million souls, that means each American (man, woman, child) owes roughly $229,000 dollars on behalf of the federal government alone. As on and off-balance sheet state and municipal debts run about $700 billion (source: New York Times - last week; CATO estimates perhaps 3 times that much), you can add another $2,250 to that. Then there is personal and household debt, which I'm not going to add in to our calculations today - but it is still quite large (roughly $2.4 trillion)!
You get the picture, though.... It's at least $230,000 per individual just to manage government obligations related to money already spent (or promised to be spent)!
Let's assume that half of all Americans are active income earners (155 million Americans were employed in 2008). Well, all they need to pay (after taxes for current government operations and expenses, personal expenses, etc.) is then something over $460,000 or so - apiece. I'm just ballparking it here...
So how does this get paid off?
You guessed it, by currency devaluation or default.
Take your pick!
Investing in gold....!
How have gold mining stocks responded? Yesterday they climbed modestly - that was underwhelming.
Today they are down sharply, to a lower level than where they started yesterday.
Does this look like a top in a bull market?
The answer: Not hardly!
Bull markets top out with over-enthusiasm, not fear.
I'm sorry, but this fear is excessive in response to such obvious signs of strength in the gold bull market.
Bull markets are maddening - but this crazy and irrational stuff is what they do. We are still climbing a mountain of worry....
But take my word for it. Don't fight the bull market!
Where are we now? Once again - and we've been here many times before - we're cleaning out the "premature eradicators." This stage involves brief but sharp drops as nervous holders of gold and gold equities "abandon ship," in this case, as the port is in sight! Today's sellers are simply selling too soon....
Gold's new record highs are a sign of strength, not weakness. This is hardly the time to be selling gold OR gold stocks!!!
It makes no difference whether we know about what Congress does, or not. We the people cannot stop any of their crimes, especially when it comes to what the Con-rats do for Israel. There is no peaceful solution to this governments' complete sell-out of Americans and their destruction of our country. The wealthy and powerful do as they please, confidant that they hold the reigns of military power to squash any active dissent. I don't believe either discontent military personnel, nor individual Americans are willing to risk abuse, imprisonment, or death to make any necessary governmental changes. With only one life to live, staying alive in slavery and poverty is more important than resistance. Only if Americans actually become brutalized victims, might there arise a true resistance just to save themselves and their loved ones. Already there are many Americans who will gladly do any abusing necessary to get the benefits denied to the rest.....