Tough Times in the World's BEST Country

I haven't written a long time, almost a month. But, I see what is going on. I am very busy with the Proposition 8 campaign to preserve traditional marriage. Why? Because traditional families is the battle ground for the future of a strong, healthy, and safe America. Alex Tocqueville wrote in Democracy in America, "When America ceases to be good, America will cease to be great!"

Now, back to my topic of "Tough Times in the World's BEST Country". I just read that the unemployment fund is being depleted and the Federal government (AGAIN!!!) will have to bail out the states. We haven't even begun to pay out the Baby Boomers on their retirement benefits and we are already having stresses that are like migraine headaches.

That's all I have at this time. I have run out of time to make an extensive comment. But the economy is in the tank and blame it on dishonesty, government mismanagement, and the greed of the consumer economy. We will pay as an America people with civil unrest that will have people going into a panic and doing things that will surface similar to the LA riots.

It is said that the few have ruined it for the masses. The word is "bailouts, bailouts, bailouts" and easy credit with a dishonest paper trading system that will implode.

Who needs military enemies when a country doesn't have money? The money is the problem. But, we can get out of this mess if America can be more honest, hard working, unwise and its people can humble, and the greedy few, and the dishonest few will have to sought out and prosecuted - we might make with a possible tummy ache.

Freddie Mac and Fannie Mae a Government Intervention

If you had money to invest, and there was a business in real estate that was going bankrupt, would you consider investing your HARD EARNED Money in that company?

If the risk was so high would you consider purchasing their stock for a possible return or NOT at all?


Here we go again. First, it was the Bear Sterns bailout with the Federal Reserve & J.P. Morgan. NOW it is Freddie Mac and Fannie Mae, the economy is so sick as it is, that our Federal Reserve is again willing to purchase a stake in the 12 trillion dollars in debt.


When will we begin to make businesses accountable for their business decisions? Why is the government being partial as to who is bailed out, and who is not? Why should the government use public money, YES! Public money, our taxes to bailout these businesses who such as the CEO of Freddie Mac and Fannie Mae make a combined salary of $19 million a year in income.

This is the GREAT American experiment...life, liberty, and the pursuit of happiness at the cost of the American people (the brunt of the weight is upon the tax payers of the middle class).


When will the American people say, "Enough is Enough!"? It is only a matter of time that our foreign investors (i.e. China, Japan, England, and others) will say, "America the beautiful, we are tired of paying for your lavish lifestyle, it's our turn to get PAID back for all the money and stuff we provide for you each and every year."


In my previous post, I mentioned Euros being accepted in New York, then, I talked about the US dollar falling against other currencies, then, I talk about investing in precious metals (i.e. gold & silver), and just the other day, I spoke about the 600 US stores that Starbucks is closing. What is next? I say, more trouble coming in the US.

We haven't begun to pay our Baby Boomers their Social Security Retirement and Medicare benefits...I believe America has to be close to Bankrupt, if NOT Bankrupt already...and, if closing the doors on the US was that easy, America would be in a deep depression. However, thank goodness for all the safety nets the US has built up & built into the system done through decades of operations.

Being the world's reserve currency is one safety net that keeps us afloat. But, when the other governments are fed up, we are in big trouble. Like when President Nixon took the US off the gold standard, or when M3 money was ceased from being published.


If Freddie and Fannie is now going to become our brothers and sisters to Uncle Sam, then where are we in this picture? -- Slaves, Servants, Laborers, and Step children to a dysfunctional American Family?!!!

Here it is another sign of the breakdown of the family unit! What NEXT..?

Protect Your HARD EARNED Money - Buy SILVER!

My last blog post was discussing the Death of the Dollar. Now, I want to give you my own personal view on how to protect yourself from the coming collapse of the US economy.

Those who do NOT do their research will be the causalities of the coming slaughter that will divide and conquer the Rich, Middle-class, Poor, and the stubborn of heart!

Just last week we (those who paid attention to the news) witnessed one of the greatest signs of the fracture and cracks of our financial system here in the US. Bear Stearns being purchased by JP Morgan for $2 a share....WHAT! That's right $2 a share. Almost a year ago Bear Stearns was reported selling per share around $170. How could this be? How does this happen? Well, although I am not an expert economist, I have come to some conclusions why these things have occurred.

Here are some reasons for buying Silver instead of Gold!

1. 1971, President Nixon took the US off the Gold standard.
2. 1980, Gold and Silver hit an all-time high.
3. Mismanagement of the Federal Reserve - Fed rate cuts and the unconstrained printing of the US Dollar.
4. The heavily leveraged financial markets using derivatives (see this article of what could possibly happen: http://news.goldseek.com/GoldSeek/1206030368.php).
5. There are less than 1 billion ounces of Silver above ground to Gold's 5 billion ounces.
6. Silver is an industrial commodity more so now than considered as real money such as Gold.
7. Silver is more affordable than Gold where the highs currently are $1000 and Silver $21.
8. Within 5 to 10 years Silver will be well over $200 an ounce where some experts think it may reach $3000 to $4000 an ounce....Why? Silver is more rare than Gold.

Here are some resources to review aside from the link on my title from Rich Dad, Poor Dad, author Robert Kiyosaki (video).

1. How to Buy Silver: http://www.silveranalysis.com/

2. Silver Shortage: 19 Dearlers Sold out: http://www.silverstockreport.com/2008/crunch.html

3. Ted Butler's Archives Weekly Commentary: http://www.investmentrarities.com/tb-archives.html

Just as there was a frenzy in the Real Estate market between 2004 to 2005; there will come a time that the silver market will EXPLODE and it will become a bubble such as the Real Estate market where people will jump in because of greed and the possibilities of making huge profits.

When silver begins its upward trajection to $100 an ounce...people will begin to raise an eyebrow and begin to consider this mental seriously. If there is a panic in the industrial sector, silver will begin to reach huge spikes that will have those skeptics blind sighted.

Just like medical insurance or life insurance is a protection to catastrophic events; likewise, silver should be one of the things an investor should consider. For the skeptic, I you urge to purchase at least 100 ounces of Silver Eagles equivalent to about $2000.00. Hold on to this amount so you can see this grow much faster than if you had this money in the bank at less than 2% (percent) APR on a Certificate of Deposits (CDs).

The State of the Economy

There have been a lot of concern and talk about the economy. The Feds cut the rates by 75 basis points now at 3.5 percent. The White House along with Congress are approving $150 billion dollars in stimulus package. Now, this will not wake up the masses although it has the financial world really worried about a possible recession, which many say we may be in already.

My question is, where is all this money coming from? How does printing more money allow the USA to have a strong currency. I think it is unbridled spending on the part of the Government as well as the American people. We have been a fortunate nation that we can have a reserve currency.

My sentiments are that the US dollar is losing its prestigious role as the currency of favorite of other nations. The outcome of all these things will depend on many factors, but the wheels are turning and a perfect storm is going to surface where many people will be affected in many areas of the economy.

The sad part is the American people as a whole is not prepared for what is coming...there will be hardships that will result in a possible breakdown in the rule of law. There will be greater loss of credibility by the US to other nations. It will be hard all over until this nation repents and serve the God of this country. Until then, America the beautiful will become America the undesired. Nonetheless, I am grateful I live in this choice land. It is my hope that the good and honest people who will be in key roles will rise up and do what is right for the country and for its people.