One of the pillars of my investment philosophy is betting "short" on the greenback - in other words, adopting as one of my fundamental tenets that the good ol' U.S. dollar will continue to deteriorate and, one day, will collapse altogether.
Given that premise, as well as the spiritual architecture of my investment philosophy, precious metals present themselves as the best and only place for an investor to turn, here are 5 reasons that I'm so confident in betting against the dollar:
1. The dollar is being battered anew by the policy of Quantitative Easing 3. This has already turned into a joke because financial pundits now refer to it as "Quantitative Easing Infinite." This new financial rescue plan has actually been released by Federal Reserve Chairman as a desperate, last-ditch attempt to promote the U.S. economy. It is designed to help win the election for President Obama, as well as save Bernanke's job. Every new dollar that the U.S. federal government prints to "ease" the economy will just further water down the already-thin value of the currency.
2. The dollar will suffer because hyperinflation will be setting in soon, meaning that it will take more and more dollars for consumers to purchase what they want to buy. Hyperinflation is the inevitable result of the huge government deficits and rampant dollar-printing that have been pursued as policy by the Obama administration. The only reason hyperinflation hasn't smacked the economy so far is that the Great Recession, and the subsequent sluggish and slowing growth around the world, have dampened down inflationary effects for a the time being because there has been so relatively little economic demand.
3. The dollar is doomed since the U.S. federal government alone is in debt by over $ 16 trillion and no one seems to sufficiently care enough to tackle this issue. Despite this crisis, the Obama administration has adopted a nonchalant modus operandi. The President couldn't even remember the quantity of our national financial debt in his recent interview on David Letterman's television show.
4. The dollar will certainly come to be a lot less valuable merely because there is no way for anybody, or any particular government, to resolve this astonishing mess without replacing it with a new money system. In fact, there are calls from mainstream U.S. political discussion groups-- not merely the "fringes"-- for America to return to the gold standard.
5. The dollar is no longer considered the standard for the value of money around the world. Even Western economic organizations are moving away from the concept of constantly counting on the dollar to denominate international financing. The talk now is on a "basket" of leading currencies that would include the dollar but not consider it exclusively. However, any such action will only knock the legs out from beneath the greenback.
Given that premise, as well as the spiritual architecture of my investment philosophy, precious metals present themselves as the best and only place for an investor to turn, here are 5 reasons that I'm so confident in betting against the dollar:
1. The dollar is being battered anew by the policy of Quantitative Easing 3. This has already turned into a joke because financial pundits now refer to it as "Quantitative Easing Infinite." This new financial rescue plan has actually been released by Federal Reserve Chairman as a desperate, last-ditch attempt to promote the U.S. economy. It is designed to help win the election for President Obama, as well as save Bernanke's job. Every new dollar that the U.S. federal government prints to "ease" the economy will just further water down the already-thin value of the currency.
2. The dollar will suffer because hyperinflation will be setting in soon, meaning that it will take more and more dollars for consumers to purchase what they want to buy. Hyperinflation is the inevitable result of the huge government deficits and rampant dollar-printing that have been pursued as policy by the Obama administration. The only reason hyperinflation hasn't smacked the economy so far is that the Great Recession, and the subsequent sluggish and slowing growth around the world, have dampened down inflationary effects for a the time being because there has been so relatively little economic demand.
3. The dollar is doomed since the U.S. federal government alone is in debt by over $ 16 trillion and no one seems to sufficiently care enough to tackle this issue. Despite this crisis, the Obama administration has adopted a nonchalant modus operandi. The President couldn't even remember the quantity of our national financial debt in his recent interview on David Letterman's television show.
4. The dollar will certainly come to be a lot less valuable merely because there is no way for anybody, or any particular government, to resolve this astonishing mess without replacing it with a new money system. In fact, there are calls from mainstream U.S. political discussion groups-- not merely the "fringes"-- for America to return to the gold standard.
5. The dollar is no longer considered the standard for the value of money around the world. Even Western economic organizations are moving away from the concept of constantly counting on the dollar to denominate international financing. The talk now is on a "basket" of leading currencies that would include the dollar but not consider it exclusively. However, any such action will only knock the legs out from beneath the greenback.
About the Author:
Find out more about buying and selling gold and silver, or visit Anne Trimble's site to read her eye-opening book Faith Through The Flames.
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