>Some people have indicated to me that they are fearful to check out Chile or Panamá or anywhere else due to the financial crisis in the USA. They have watched their assets erode 40% or more. They do not know if their job is secure. They are not sure what will happen to their business.
But evoking this sort of paralysis is not wise.
On the contrary, if there was ever a time to escape America it is now. If there was ever a need to do so poking you in the ribs it is now. Don’t wait until things “settle down” or “get better”. The crisis may last two or more years. Your financial situation could deteriorate further. There could be political instability, even martial law if violence breaks out on account of shortages of food and heating fuel.
If financial institutions continue to go down like dominos, precious metals will eventually skyrocket as currencies devalue. More insurance companies will be hit in the near future. There is no way that central banks can bail out banks, guarantee deposits, and keep a fiat currency from shriveling. Treasury bailouts are likewise an empty promise. Governments cannot fix economies only make them worse or shift from one problem to another. Governments live by creating and fixing crises.
If you have debt, keep it, so long as you can pay the interest. You will soon enough be able to pay it back with cheap dollars if there is significant inflation in the USA. Get all the precious metals you can, preferring platinum and gold since they are more transportable. You will likely not be able to sell your real estate for anything close to what you bought it for. If you are not already liquid you may have to start thinking about how you will survive with a dramatically reduced asset base.
If I didn’t have to think about all the true suffering, it might be kind of enjoyable to watch fraudulent central banks squirm and writhe in pain like they are today. They are really the source of all our economic woes. The house of cards is teetering and the banks know that they ultimately can do nothing to stop the devastation of a fiat empire and as a result their wealth and power will decline dramatically. At that point, one has to start worrying about martial law and its ill-effects.
It’s a dire situation as I see it. I just hope I am wrong.
Post-mortem note:
Early Friday morning trading…I am totally amazed as I watch the DOW tumble 1,045 points. Metals seems to be manipulated again as gold, silver, and platinum are down too.
Remember those photos of clogged freeways coming out of Houston prior to a hurricane? Just imagine what it will be like trying to get on a commercial flight to come to Chile or Panama as this crisis gets worse.
Today you need to be thinking about an escape plan. Bush is making a speech at 10:45. Don’t be surprised if some sort of currency controls are put in place today or tomorrow. If things still get even worse don’t be surprised to see martial law in a few weeks.
If the worst comes, for now you can forget about equity you had in your home. You need to start thinking about survival. Get out and figure out later how to live. Better to be a refugee with little than a penniless refugee.
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