Bernake's secret debt solution...

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   SparklingJewelposted 14 years ago

   Anyone know what this is...???
   
   
   #  What the secret debt solution is … how it’s been used before in this country and in emerging countries all over the world
   # How savers are about to be obliterated while debtors and creditors get the windfall of a lifetime
   # Why some of the allegedly safest investments today are actually some of most dangerous threats to you and your loved one’s wealth
   # Why following common sense rules of investing will cost you dearly in the months and years ahead — and why instead, uncommon wisdom will be the path towards profits
   # Three urgent steps you need to take NOW to help protect yourself
   # Dozens of opportunities to make money more
   
   <url snipped>

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      ledefensetechposted 14 years agoin reply to this

      It's a financial newsletter.  The link is to a splash page that tries to sell you to give them your name and email.  It's pretty much legitimate, it follows the standard copywriting techniques. 
      
      What they're doing is in exchange for your email address and the ability to send you sales letters over email, they will give you a free report talking about the topics on the splash page.  It doesn't look like this guy has a free newsletter, but often times you'll find the free ones, like The Daily Reckoning, that send you a daily, weekly or monthly newsletter in exchange for your email rather than a report.

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         SparklingJewelposted 14 years agoin reply to this

         I was really looking for an opinion on the points that were within the writing, not on the marketing. But thanks for responding.

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            ledefensetechposted 14 years agoin reply to this

            Well what the gist of the letter is about is the fact that Brenake is trying to recreate the bubble that Greenspan initiated back in 2001-2002 by flooding the economy with credit.  Now, most everyone, should know what they consequences of that is, namely the emergence and deflation of bubbles in the economy.
            
            As for the secret of debt, well that's easy.  It has to do with the nature of inflation and debt.  Inflation is increasing the supply of money.  Because the supply increases, the value of money falls over time.  When you lend money in an inflationary environment, you lend at the current value of money, but as the debt is paid back, the money you are paid back in is worth less and less as time goes by.  That's why foreigners are suckers for buying US debt.  We get the current value of their money and pay them back in increasingly worthless dollars.
            
            The second part of that is an indictment of mainstream investment advice.  If you go to Edward Jones, Merrill Lynch or another investment company, they'll pretty much tell you the same thing.  Invest for the long term, buy and hold, usually in money market accounts.  But investing is one of those things you can't just "set it and forget it", at least not if you want have any money when you need it.  Look at how many boomers lost their entire retirement over the last decade because they didn't pay attention to what they were doing.  I can't imagine it, a lifetime of saving and investing, gone, because they didn't learn about how to invest and didn't keep track of what they were doing.

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   mcbeanposted 14 years ago

   It just highlights the difference between a government in debt vs you or I.
   
   When we have debt we have no say in inflation. We take what we are dealt.
   A government in debt can pay if off or use inflation to errode the debt away. They have the option of doing this intentionally.
   They may well choose the second option.

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      ledefensetechposted 14 years agoin reply to this

      Only if we allow them to.  The government doesn't have to have control of the printing presses.

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   tdarbyposted 14 years ago

   I think it is inflation.  Inlation hurts owners and rewards debtors.  My guess is they are trying to sell you on buying gold or silver.  Could be they are right.  But if you have no debt in the first place you are probably okay financially regardless of what happens.

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      ledefensetechposted 14 years agoin reply to this

      You won't be OK when prices start to rise because of the inflation in the money supply.  That's why they're trying to sell you on gold and silver.  You can't just print more of that stuff, that's why it's a great store of value.

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