The Old Order

These deficits will not be financed by borrowing from the American people. That is a lie. No democratic government has ever borrowed from its own people since the beginning of democracy in England in 1688. THE GOVERNMENT WILL PRINT MONEY AND "LEND" TO ITSELF. The U.S money supply will balloon from $1.3 trillion in early 2008 to somewhere in the neighborhood of $5 trillion by 2012. What do you think is going to happen to the value of the U.S. dollar with that kind of a massive increase in the money supply? (The only thing which can stop this and invalidate my $14,000 gold prediction is some kind of political "miracle" such as a sweeping Republican victory in 2010. And even that would require some new-fangled type of Republican who will balance the budget.)

The spectre of inflation is looming says Howard Katz.