ZeroHedge | Gold Core
“The eurozone isn’t working”
“Investment in gold now is insurance”
“I view gold as the primary global currency”
“Significant increases in inflation will ultimately increase the price of gold” — Alan Greenspan
Alan Greenspan, the former head of the Federal Reserve has warned that the euro may collapse, saying that he has “grave concerns” about its future. Read the rest of this entry »
VoxEU | Charles Wyplosz
The IMF has now released its self-evaluation report on the programme for Greece between 2012 and 2016 (IMF 2017). This report admits most, if not all, of the glaring mistakes and calls for significant changes. Unfortunately, it does not always get to the bottom of why these mistakes were made.
The requirement that the IMF self-assesses and publishes its interventions in the case of programmes with exceptional access was adopted in the wake of the highly controversial East Asian crisis. Exceptional access occurs when the amounts lent by the Fund exceed the normal ceiling of 145% of the country’s quota per year, or a total of 435%. (At the time the limits were 200% and 600%, respectively). A first programme provided for 3200% of the Greek quota. As it was going astray in 2012, it was interrupted and replaced with a second programme worth 2159% of the quota. These are numbers never seen before. Read the rest of this entry »
ZeroHedge | Tyler Durden
“When I was Chair of the Federal Reserve I used to testify before US Congressman Ron Paul… we had some interesting discussions… We would never have reached this position of extreme indebtedness were we on the gold standard, because the gold standard is a way of ensuring that fiscal policy never gets out of line.”
As John Rubino eloquently puts it, “when the history of these times is written, former Fed Chair Alan Greenspan will be one of the major villains, but also one of the greatest mysteries. This is so because he has, in effect, been three different people.” Greenspan started his public life brilliantly, as a libertarian thinker who said some compelling and accurate things about gold and its role in the world. An example from 1966: “This is the shabby secret of the welfare statists’ tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists’ antagonism toward the gold standard.” Read the rest of this entry »
MoneyMorning | Casey Williams
During a Feb. 14 interview with CNBC, legendary economist and Euro Pacific Capital CEO Peter Schiff made a bold claim about the U.S. Federal Reserve.
“They’re going to go back to QE,” said Schiff.
QE, or quantitative easing, is a fiscal policy in which a central bank creates new money in order to buy government bonds and ultimately stimulate the economy – the Fed’s way of addressing the 2007-09 financial crisis.
Schiff’s reasoning: Rampant inflation in the United States is just around the corner, and it’s going to soar faster than the interest rate increases by the Fed. Read the rest of this entry »
ZeroHedge | Tyler Durden
“aid should only be given against a pledge in the form of cash, gold or real estate, we need a plan B.”
Bavaria’s 50-year-old finance minister Markus Soeder was previously named by German weekly Der Spiegel as one of the Ten Most Dangerous European Politicians (defined as “every politician who is resorting to cheap populism in order to rack up domestic political points”).
For the Greeks, this may well be true. Read the rest of this entry »
DollarCollapse | John Rubino
When the history of these times is written, former Fed Chair Alan Greenspan will be one of the major villains, but also one of the greatest mysteries. This is so because he has, in effect, been three different people.
He began public life brilliantly, as a libertarian thinker who said some compelling and accurate things about gold and its role in the world. An example from 1966:
An almost hysterical antagonism toward the gold standard is one issue which unites statists of all persuasions. They seem to sense – perhaps more clearly and subtly than many consistent defenders of laissez-faire – that gold and economic freedom are inseparable, that the gold standard is an instrument of laissez-faire and that each implies and requires the other… Read the rest of this entry »
MisesInstitute | William Anderson
About 40 years ago, economist Bruce Yandle went to Washington to work for the Council on Wage and Price Stability, ready to apply his knowledge of economics and educate his fellow workers. After all, he reminisces, one eye-rolling, head-scratching decision after another was coming from government regulators that surely someone versed in economics could expose as stupid, wasteful, and downright ridiculous.
Government Serves the Interests of Government
At some point, Yandle realized that the lay of the regulatory land looked quite different in Washington than it did in Clemson, South Carolina, where he was on the faculty at Clemson University. Regulators — and the representatives of the enterprises they regulated — were not looking to create an atmosphere in which the government tried to find the “optimal” set of regulatory policies that both minimized regulatory costs and allowed for the maximum removal of whatever “externalities” were created.
No, as Yandle writes: Read the rest of this entry »
PeakProsperity | Chris Martenson
The main lesson from Oroville — or Fukushima, or Katrina — is that governments do a poor job of relating accurate information to their citizens when big threats are involved.
At PeakProsperity.com, we pride ourselves on providing fact-based context to breaking important events.
Within 72 hours of the Japan tsunami in 2011, we had analyzed the situation and concluded with high probability that three core meltdowns had occurred at the Fukushima nuclear plant. While it took years for officials to finally admit to the full extent of the crisis, history has validated our initial analysis.
How did we get it right? By using a science-based approach grounded in observation, deduction and a healthy skepticism of what the “experts” in charge claimed. We also went to great lengths to educate our readers about the science in play, explaining in detail how radioactivity and contamination differ, the health risks from such a nuclear accident, and what concerned folks could do to remain as safe as possible.
When California’s authorities suddenly reversed course and scrambled to evacuate nearly 200,000 residents living downstream of the Oroville dam, within an hour, we had released an analysis of the situation, explaining the critical differences among the primary spillway, the main dam, and the auxiliary spillway.
Where mainstream media outlets were consumed by covering the Grammy’s, we were able to tweet and blog relevant details to the worried people hungry for information about the dam’s integrity, keeping them both grounded and informed: Read the rest of this entry »