Consumer prices face a new round of increases. They will be far greater than anyone expects because they will be the consequence of the US dollar and other G7 currencies failing.
The crazy thing about the world we are living in. The greatest country in the world is funded by all the poorer countries by force (petrodollar) and yet most citizens of this greatest country think that they do not need these peasants. A debtor rejected its creditor and think everything will be fine.
I think in the future there will be mercantilism and just in-case ism. Which means that there will be duplicate and thus more commodities will be required compare to the previous world we know when everyone shares.
Interesting summary Alistair. I am comfortable with my physical gold/silver positions. If the stock market has a serious correction or even a collapse, will gold and silver miners fall also to the same degree, or would they be potentially likely to have a more shallow correction followed by a quicker bounce?
THE NEW ECONOMICS OF TECHNOCRACY: YOU WILL OWN NOTHING
is recent enough to include the early stages of the current Hormuz operation aka Iranian conflict.
The book describes an ongoing operation to implement all the elements of Technocracy that were laid out in 1937 in a course created at Columbia university. The roll-out began decades ago.
A key aim of Technocracy is to replace capitalism and debt-based currency with a new economic system. Wood argues that the runaway fiat debt levels since 1971 are a controlled demolition of the system. His book makes the Hormuz operation look like another part of that process.
As President Roosevelt said "In politics, nothing happens by accident. If it happens, you can bet it was planned that way."
I am grateful for Alasdair's insights based on his wealth of experience. However, I can't help noticing that Alasdair's analyses do not appear to allow for the implementation of a completely new economic system, based on rules that I, for one, had not anticipated until I read Wood's book.
Iran needs to throw Trump a face saving exit. He is a vain and dangerous person. Another attack will not work and may result in the complete destruction of the GCC who support the attack.
Alastair thank you 🙏 This clearly explains how the Spanish Empire literally had “Boat Loads of Silver” from the New World, yet its empire ended through runaway inflation because there were not enough goods to spend it on, thus their demise!!!
‘We can now anticipate a combined effect, rarely predicted by the mathematical economists:
· If demand for a currency fails to match the expansion in its supply, its purchasing power will decline.
· If sufficient actors take the view that they should reduce their currency holdings in favour of goods, then not only is the currency sold, but the demand for goods increases their value, further undermining the purchasing power of the currency.
This is why changes in consumer attitudes can have a dramatic effect on a currency’s purchasing power. The effect is not to be underestimated. If all consumers begin to realise that rising prices for everything are due to the currency’s value declining, then they will dump all the currency at their disposal to buy goods — any goods indiscriminately. The currency becomes worthless, because as a commodity, no one wants it.’
🇺🇸🇮🇷 The US isn't Telling the Truth About Why it Placed its Blockade on Iran
▪️The US war of aggression waged against Iran is done under a mountain of lies, the biggest being the US is trying to stop Iran from obtaining "nuclear weapons" its own intelligence agencies categorically admitted it wasn't pursuing;
▪️The US has also lied about the role of Israel during the war, using it as scapegoat as explained in an ENTIRE CHAPTER of the 2009 Brookings "Which Path to Persia" paper;
▪️Another major lie told by the US is why it is placing a blockade on Iran - to supposedly collapse the Iranian government;
▪️The real reason (the same reason the US is sanctioning and blockading Russia) is to create a global economic crisis, further isolate China, and specifically place nations (both Europe and Asia) under further US energy dependence;
▪️Could the US openly say that is why they were imposing the blockade or in fact waging war on Iran? Obviously not. Hence the many lies;
▪️Of course if the US could overthrow the Iranian government it would, but it realizes how difficult that is having carried out regime change wars around the globe for well over the past century;
▪️The US has done this regarding every war it has waged this 21st century, this current war is not the exception
The writing is clearly written on the wall. Fiat currencies will crash. We are staring at stock markets crashing, depression, poverty and hard times for many.
No government in the world other than that of Argentina appears to be willing to do what is necessary. My question is; by what mechanism are we able to recover, Phoenix-like, from the ashes.
I look at Weimar Germany for some clues. The parallels are striking. The Germans under Hitler recovered from currency annihilation and depression in less than a decade and managed to bring about a recovery through hard work. They built autobahns, the Volkswagen to ride thereupon and modern military hardware with which they wished to expand their borders to create lebensraum (living space). They then blew it all up in 5 years fighting a senseless war.
How are the the deeply indebted G7 countries going to get out of their self-inflicted mess?
Prevention is better than cure, but IMO it is too late. What is likely to happen?
Many will be caught with their pants down, without their pockets having been filled with gold which would have kept them up. How will the value of currency be restored? Given the failure of fiat how do we return to real money.
With collapse of western fiat currency imminent, shouldn't we be studying carefully how Germany managed to emerge from their currency collapse of 1923? I understand a new currency was created, but as Germany had little gold it couldn't be backed by gold. So how was confidence established for the new currency. My understanding is that instead of being backed by gold, title to farm land in Germany was used. Farmers kept farming the land but they lost Title, until of course confidence in the new currency was established; then of course the title can be returned to the farmer. . Its all about confidence!Does anyone know if this is correct?
Alisdair I believe what you are describing here is what I've heard called "velocity of money". Increased velocity =fall in money demand (and increased prices of goods) and vice versa. Conversely an increase in both money supply and money demand will keep price increases muted. While the Fed can control money supply, it cannot control velocity (money demand). Furthermore, velocity is difficult to measure.
That verse is not talking about physical gold but here is used as a symbol for truth. Spend your days "buying" the riches of God, His truth given in His Son who is the Word. Gold is often used in the bible as a symbol of the pure Christian, refined of all impurity through the fires of God's trials and tribulations. Read verse 18 in context of the chapter, especially verse 17.
xxxxxxxxx
"What profits a man to gain the whole world if he loses his soul?" - Mark 8:36
Logically, this is the crisis end to Nixon abodoning the gold standard.
Am i correct in thinking that based on the comments of Padre David purchasing bullion with currency is particularly diabolical, whereas exchanging currency for gold under the gold standard is different altogether.
all well and good, (US) government response will determine winners and losers. and considering their tenuous hold on power, what would a successor govt. do, and does their ability to create policy depend on the amount of damage done at the transition and ability of a new govt to either form new policy or impose austerity with draconian edicts. but really is this just Tariff-hysteria part II. we just TACO our way out of it? So far the declining currency has resulted in an orderly dispersal of US assets and not a smash and grab black friday sale. DJT and co are ready to sell off American assets to the highest bidder, with a min bid of course.
Alasdair, this is the greatest article I have read from you! I never thought of currency as a commodity being traded for something of more value to the trader. If something else is more valuable than the currency, Gresham's law, the currency will be dumped for the valuable item. I learned a new way of looking at things, thanks!
The crazy thing about the world we are living in. The greatest country in the world is funded by all the poorer countries by force (petrodollar) and yet most citizens of this greatest country think that they do not need these peasants. A debtor rejected its creditor and think everything will be fine.
I think in the future there will be mercantilism and just in-case ism. Which means that there will be duplicate and thus more commodities will be required compare to the previous world we know when everyone shares.
Interesting summary Alistair. I am comfortable with my physical gold/silver positions. If the stock market has a serious correction or even a collapse, will gold and silver miners fall also to the same degree, or would they be potentially likely to have a more shallow correction followed by a quicker bounce?
They will FALL…how far depends on how much pain people like yourself
will endure..
That is a great question. I wish I knew!
I would imagine that they would get hammered hard, but would then likely bounce back with vigour!
Patrick Wood's book:
THE NEW ECONOMICS OF TECHNOCRACY: YOU WILL OWN NOTHING
is recent enough to include the early stages of the current Hormuz operation aka Iranian conflict.
The book describes an ongoing operation to implement all the elements of Technocracy that were laid out in 1937 in a course created at Columbia university. The roll-out began decades ago.
A key aim of Technocracy is to replace capitalism and debt-based currency with a new economic system. Wood argues that the runaway fiat debt levels since 1971 are a controlled demolition of the system. His book makes the Hormuz operation look like another part of that process.
As President Roosevelt said "In politics, nothing happens by accident. If it happens, you can bet it was planned that way."
I am grateful for Alasdair's insights based on his wealth of experience. However, I can't help noticing that Alasdair's analyses do not appear to allow for the implementation of a completely new economic system, based on rules that I, for one, had not anticipated until I read Wood's book.
Iran needs to throw Trump a face saving exit. He is a vain and dangerous person. Another attack will not work and may result in the complete destruction of the GCC who support the attack.
Thats what trumpy wants...fair competion
He wants the EU to pay higher prices on us oil, but Joe six pack pays the same...
Alastair thank you 🙏 This clearly explains how the Spanish Empire literally had “Boat Loads of Silver” from the New World, yet its empire ended through runaway inflation because there were not enough goods to spend it on, thus their demise!!!
‘We can now anticipate a combined effect, rarely predicted by the mathematical economists:
· If demand for a currency fails to match the expansion in its supply, its purchasing power will decline.
· If sufficient actors take the view that they should reduce their currency holdings in favour of goods, then not only is the currency sold, but the demand for goods increases their value, further undermining the purchasing power of the currency.
This is why changes in consumer attitudes can have a dramatic effect on a currency’s purchasing power. The effect is not to be underestimated. If all consumers begin to realise that rising prices for everything are due to the currency’s value declining, then they will dump all the currency at their disposal to buy goods — any goods indiscriminately. The currency becomes worthless, because as a commodity, no one wants it.’
Bravo 👏🏼
Blessings to you’all 🙏
PadreDavid
🇺🇸🇮🇷 The US isn't Telling the Truth About Why it Placed its Blockade on Iran
▪️The US war of aggression waged against Iran is done under a mountain of lies, the biggest being the US is trying to stop Iran from obtaining "nuclear weapons" its own intelligence agencies categorically admitted it wasn't pursuing;
▪️The US has also lied about the role of Israel during the war, using it as scapegoat as explained in an ENTIRE CHAPTER of the 2009 Brookings "Which Path to Persia" paper;
▪️Another major lie told by the US is why it is placing a blockade on Iran - to supposedly collapse the Iranian government;
▪️The real reason (the same reason the US is sanctioning and blockading Russia) is to create a global economic crisis, further isolate China, and specifically place nations (both Europe and Asia) under further US energy dependence;
▪️Could the US openly say that is why they were imposing the blockade or in fact waging war on Iran? Obviously not. Hence the many lies;
▪️Of course if the US could overthrow the Iranian government it would, but it realizes how difficult that is having carried out regime change wars around the globe for well over the past century;
▪️The US has done this regarding every war it has waged this 21st century, this current war is not the exception
The writing is clearly written on the wall. Fiat currencies will crash. We are staring at stock markets crashing, depression, poverty and hard times for many.
No government in the world other than that of Argentina appears to be willing to do what is necessary. My question is; by what mechanism are we able to recover, Phoenix-like, from the ashes.
I look at Weimar Germany for some clues. The parallels are striking. The Germans under Hitler recovered from currency annihilation and depression in less than a decade and managed to bring about a recovery through hard work. They built autobahns, the Volkswagen to ride thereupon and modern military hardware with which they wished to expand their borders to create lebensraum (living space). They then blew it all up in 5 years fighting a senseless war.
How are the the deeply indebted G7 countries going to get out of their self-inflicted mess?
Prevention is better than cure, but IMO it is too late. What is likely to happen?
Many will be caught with their pants down, without their pockets having been filled with gold which would have kept them up. How will the value of currency be restored? Given the failure of fiat how do we return to real money.
With collapse of western fiat currency imminent, shouldn't we be studying carefully how Germany managed to emerge from their currency collapse of 1923? I understand a new currency was created, but as Germany had little gold it couldn't be backed by gold. So how was confidence established for the new currency. My understanding is that instead of being backed by gold, title to farm land in Germany was used. Farmers kept farming the land but they lost Title, until of course confidence in the new currency was established; then of course the title can be returned to the farmer. . Its all about confidence!Does anyone know if this is correct?
Alisdair I believe what you are describing here is what I've heard called "velocity of money". Increased velocity =fall in money demand (and increased prices of goods) and vice versa. Conversely an increase in both money supply and money demand will keep price increases muted. While the Fed can control money supply, it cannot control velocity (money demand). Furthermore, velocity is difficult to measure.
Revelation 3:18
That verse is not talking about physical gold but here is used as a symbol for truth. Spend your days "buying" the riches of God, His truth given in His Son who is the Word. Gold is often used in the bible as a symbol of the pure Christian, refined of all impurity through the fires of God's trials and tribulations. Read verse 18 in context of the chapter, especially verse 17.
xxxxxxxxx
"What profits a man to gain the whole world if he loses his soul?" - Mark 8:36
"Just get the hell out of credit!" - Alaisdair MacLeod
Logically, this is the crisis end to Nixon abodoning the gold standard.
Am i correct in thinking that based on the comments of Padre David purchasing bullion with currency is particularly diabolical, whereas exchanging currency for gold under the gold standard is different altogether.
all well and good, (US) government response will determine winners and losers. and considering their tenuous hold on power, what would a successor govt. do, and does their ability to create policy depend on the amount of damage done at the transition and ability of a new govt to either form new policy or impose austerity with draconian edicts. but really is this just Tariff-hysteria part II. we just TACO our way out of it? So far the declining currency has resulted in an orderly dispersal of US assets and not a smash and grab black friday sale. DJT and co are ready to sell off American assets to the highest bidder, with a min bid of course.
How will an imminent opening of Hormuz affect your thesis both long and short?
Alasdair, this is the greatest article I have read from you! I never thought of currency as a commodity being traded for something of more value to the trader. If something else is more valuable than the currency, Gresham's law, the currency will be dumped for the valuable item. I learned a new way of looking at things, thanks!
Thanks Alistair...more great info...)
Challenge :
Could you describe how a gold loan to a miner, really works, and at what cost...
I give you an example of Silver miner Guanajuato silver took a gold loan of 7k oz, and now
paying it back, fast as it can...
link =
https://www.streetwisereports.com/article/2026/05/21/silver-producer-with-5-mexico-mines-accelerates-repayment-of-gold-debt.html?utm_source=delivra&utm_medium=email&utm_campaign=TRR5-26-2026&utm_id=49575949
Hope you take the challenge and show the real cost of this " desperate" loan is, and that it would
have shackled the miner, IF the gold price had not risen as it has.
My guess is 30-50% interest...??
cheers
MC
Gold is money and everything else is credit!