In a perfect storm of aging demographics, economic depression and hyperinflation, gold and silver are the safest investment – a message delivered in the documentary Meltup. The National Inflation Association is on a mission to help Americans safeguard their purchasing power in the face of government “default by devaluation.” See the following article from JasonHartman.com for more on this.
Creators of the National Inflation Association as well as the documentary Meltup, Dan and Gerard Adams are on a mission to provide the straight scoop so investors can thrive and not merely survive in hyperinflationary times. They join host Jason Hartman for episode 174 of the Creating Wealth Podcast. Dwindling revenue combined with soaring public debt leave the nation facing simultaneous depression and inflation. The demographics of an aging populace are a formula for “forced inflationary policies” as the number of annual entrants into the Social Security system has more than tripled over the past two decades.
The Significance of “Perceived Value of Currency”
Comparisons to the Great Depression are invalid because in this worldwide economic collapse, unlike any other, no national currency is backed by gold. Don’t be misled by the dollar index; instead, look at the Dow’s performance compared to gold as a reliable indicator. Apparent gains are really a consequence of inflation, and experts suggest that no real appreciation has occurred since 1929. Gold and silver are the sole safe hedge against economic deterioration and skyrocketing inflation.
Evidence of Hyperinflation and Public Awareness
Spend and borrow government policies are accelerating debt at an unprecedented pace. While it took a couple centuries for the nation to accumulate its first trillion in debt, another trillion dollars debt have accrued in just the past 7 months. Hyperinflation is starting to register on the average American’s radar as consumers note increases in the cost of staples like gas and food (or the more subtle tactic of shrinking products without shrinking price tags). We could see a doubling or tripling of prices going forward.
Six Possible Government Responses to the Crisis – According to Jason Hartman
- Renege on public promises – politically suicidal, defaulting on entitlements isn’t likely on a large scale
- Increase taxes – certainly a possibility, yet insufficient to pay off the nation’s debt
- Federal “yard sale” of assets – including land and military apparatus
- Seizure of other nations’ assets by force
- Innovation in energy, technology, and so on – the best possible scenario
- Inflation to achieve solvency – “default by devaluation” is the most probable scenario, leaving Americans poorer and further eroding the standard of living (with the implication that debt owed to other nations would be repaid in devalued currency).
N. I. A.’s Investment Recommendations
Precious metals – gold, and especially silver – are “the best investment of the next decade.” Silver is a cheaper investment, currently trading at a ratio of around 68:1 compared to a historical average of 17:1 in relation to gold. Silver’s appeal also owes to its multiple industrial uses, its historical strength compared to gold, and demand that is outstripping supply. Bullion and mine stock, not the collectible market, are the smart bet. Buy yourself and take delivery of the actual asset rather than purchasing on paper. Agriculture and oil are also promising sectors for investment.
The National Inflation Association urges Americans to wake up now. Stay informed, do your own research, and don’t rely on mainstream media pundits. “Preserve purchasing power” by transitioning from the dollar to gold and silver. You can view the documentary Meltup at http://inflation.us/videos.html.
This article is based on Episode 174 of Jason Hartman’s Creating Wealth Show. You can listen to the full podcast at JasonHartman.com, an investment property and wealth creation site. Jason Hartman is the founder and CEO of Platinum Properties Investor Network.