If The Dollar Collapses, Every Investment You Own Will Be Adversely Affected<?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />
If the dollar collapses, every investment you own will be adversely affected -- your home, your stocks, your insurance policies, your bonds, your 401K -- everything that is denominated in dollars. Could this be possible? Well let's ask this question. How is the US is going to finance a national debt of $13.9 trillion (some say the real debt is over $50 trillion). The fact is that we now borrow money just to pay the interest on the national debt. The Treasury is moving the debt to ever-shorter maturities, hoping that the current zero interest rates on short debt will ease the situation. But with bonds sinking, rates are now rising, so what's the answer? Our government hopes to pay off the carrying charges of the debt with cheaper dollars -- much cheaper dollars."
 
Since its founding, the U.S. has defaulted on its debt twice. The first time, in 1790, it deferred payments on money owed stemming from the Revolutionary War. While the dollar values were eventually repaid 10 years later the delay was technically a default.
The second time the U.S. defaulted on its debt was in 1933, the U.S. blatantly broke its obligation with creditors by refusing to repay loans in physical gold. Existing contracts stated that lenders could request payment in either dollars or gold, but President Franklin Delano Roosevelt and Congress, with plans to significantly inflate the dollar, passed a law forbidding repayment in gold. Again, the dollar values were repaid, but unilaterally changing the terms of a contract is the equivalent of a default.
Money creation causes inflation by diluting buying power.Note on the graph below from the Federal Reserve's own website the money creation, monetary base of the United States since the Federal Reserve came into existence. Until 1971 we were on a gold standard, meaning every dollar printed was backed by gold, inflation was a non-event. After 1972 you can clearly see the printing presses went wild causing inflation to roar into double digits by 1980. This is why the cost of living goes up. Notice what has taken place in the past 18 months! The bad news is that we are headed for massive inflation as the newly created money makes its way into circulation. The good news is there is a lag between cause (increased money supply) and effect (erosion of buying power) and the solution to prevent loss of wealth is hard assets, namely gold and silver.
We all should be concerned, very concerned! Ensure your wealth and protect your families' hard earned savings today.
If you are interested in diversifying into gold and silver in the amount of $10,000 or more please feel free to call or e-mail me. I am interested in answering all your questions and providing you with all the information you need so you can make an educated and confident decision that is best for you.
 
My e-mail address is [email protected] and my number is 877-864-1072.
 
Mike Weiner
Swiss America
Senior Account Executive
877-864-1072
[email protected]