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Canuck57[_9_]

On 11/06/2010 11:51 PM, wrote:

The gov't doesn't need to "save" money as much as it needs to have money
available. The gold standard was highly flawed and died an appropriate
death.

The point was, with a metal standard they could have extra money in
reserve. With the federal reserve model it is just what you have in
tax revenue and what you print or borrow. There is no reserve. The
"trust fund" is a huge lie. It is just a promise to raise taxes that
the population will not tolerate.

Ya so? What is wrong with paying someone interest in putting their
money in the reserve so others can borrow it?

Right now someone snaps their fingers and ponzi money is created
indescriminantly. Ultimately resulting in inflation and economic
instability as debts can just keep on debting.

But you are right about taxes. At this point USA might as well just
welsh on the debt like everyone else. As people head back to gold and
hard assets. The last thing you want right now is bonds, preferred
shares and the like. Loaning others money in this market is a destroyer
of your wealth.

Boomers will not be pulling money out en masse. In fact, some of the boomer
generation has already hit retirement age. It's a spread of about 15
years... something like that. Most with substantial 401K-like savings will
likely pull it out in drips and drabs. Only someone foolish would pull it
out at once, esp. given the tax consequences.

That is yet to be seen isn't it? If a person is in debt and sees that
pile of money, they will cash it in. The only boomers who are retired
are the ones who are not in debt.

Boomers is all that keeps the economy afloat right now. The only real
new money coming into circulation is retirement money. A slow trickle,
no big fast quick money...

Many boomers are in debt. Have a relative by marriage that is 65 and a
mortgage, how freaking dumb! Oh, they lived pretty good 1-20 years ago,
but now? Not pretty.

--
Taxation, modern day slavery. The loss of economic freedom.