The One Thing I Got Wrong About “The End of America”
by Porter Stansberry, Casey Research:
It’s a simple question…
Do new all-time highs on the Dow Jones Industrial Average indicate that our country is no longer in danger of “the End of America” scenario I’ve outlined over the past several years?
For those of you unfamiliar with my “end of America” hypothesis… the idea is as simple as it was controversial. To summarize, I believe that America’s mounting debts (particularly our runaway federal government’s debts) will cause our creditors to abandon the US dollar.
They will do so not in a deliberate effort to sink our economy, but in an effort to hedge their exposure to the inevitable inflation that must result as America prints trillions of dollars to repay its debts.
In this scenario, the US dollar would lose its standing as the world’s reserve currency, causing a cascade of further financial, political, and social problems, including a massive devaluation of the dollar. It is a serious question to ask what the 46 million people who depend on food stamps would do if, suddenly, a crisis left the government unable to feed them.
2013-04-13 15:15:09
Source: http:///2013/04/the-one-thing-i-got-wrong-about-the-end-of-america/
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