Watching Trump and the Opposition, I See More Of How the Money System Is Going To Collapse
There are two real reasons i can see for The US imposing Tariffs:
- It is the only tax actually authorized in the Constitution.
- We have stopped exporting our inflation, and are now preparing to give up the world reserve currency.
Of course, it could be Trump negotiating better deals for America, but i really doubt it. Unless he just likes making enemies out of his allies.
Anyway, America is about to get some hurt.
- The Greater Depression (MAGA, amiright?)
- Inflation on stuff we need to survive.
- Collapse of the petro-dollar
- Collapse of banking and finance
- DEFLATION of assets (not really assets anymore, but stocks, bonds, real estate go down, then go away)
I must state, that i do not know if Trump is a good guy, or a bad guy.
I do know that the universe will use him to bring about change, putting the spotlight on evil, and bringing about change to every major institution (change meaning collapse and turning to dust).
This is especially true with all the old assets.
Old Assets are going to be worthless
All the things we put into our 401Ks and IRAs, things that we call "assets" are going to become "not-assets". Like buggy whips after the Ford model T. Like whale oil after kerosene. Like tires after electro-gravitics (oh, sorry that is still in the future)
Like oil after we have ZPE devices.
Right now our world revolves around oil/petrol. Our dollar has value, because we control so much of the oil and guard its shipment. However, what happens when oil is no longer needed for fuel? When we can run our machinery, our vehicles from some devices that continually, and without pollution, creates electricity.
At the moment that happens, oil's import goes WAY down. Diesel is what drives the world's machinery. (Gasoline is a byproduct, and so they chose to run cars on it, to conserve the real stuff, diesel) All the mining, such as for coal for power plants, runs on diesel. All the farming runs on diesel.
And then, quite quickly, in only a few years, all that machinery is converted to electric, or to nothing. (we don't need much coal if we are not using it to make electricity) Our oil needs plummet. Of course we need oil for plastics, pharmaceuticals, fertilizers (until we ban that shit, and use real shit to revitalize our farmland) and other stuff, but the amount we need is drastically reduced.
Any reduction in the amount of oil required means that there will be sooooo much overproduction, so many wells that aren't needed, but the owners still want to make money from them. But, too bad. Only those oil wells near refineries and making sweet crude will be used. All the other wells will become like a ghost town.
Think of the implications this has throughout our current monetary system.
Debt currency dies
The world will have sound money. If everyone woke up and realized that so much of the wrong in our society stems from inflation caused by money printing (not able to afford a house? money printing. Not able to ever get ahead? money printing. Have to work two jobs to get by? money printing.) Then, at that moment we would have sound money. (and the heads of the Fed would be on pikes)
However, we have people waking up to that, but really we have people simply moving away from debt based currencies.
I am really not sure of the near future, but i can see some kind of gold backed currency and bitcoin. In the further future, we have bitcoin (and a bunch of other cryptos that make up an ecosystem for every level of purchase) In the far future, we have a (to us) really weird system that is like super-barter with creating money as a person makes and "sells" an item that is wanted. And destroying that money when the maker gets something of value from the system.
Anyway, we are at the part where the debt based fiat world breaks down and disintegrates.
And we get to a point where the FRNs do not buy anything.
Gold is no longer priced in dollars (FRNs)
Bitcoin is no longer priced in dollars (FRNs)
Bonds are no longer… they are just no longer. Interest cannot be paid in a solid money system. Usury is a sin for a reason. Further, when you own bitcoin, there is no better place than to leave it in bitcoin. Parking your money in bonds will no longer be a thing.
Stonks just die. Although they will crash, and try to be revived several times until we knowingly walk away from that paradigm.
As i have said before, the idea of Real Estate dies
What would happen if some super-virus came and wiped out half the population? What is the price of housing? It does not go down by half, it becomes unsellable.
Well, something like that is already happening. The birth rate is plummeting. Almost every country is below replacement. AND the boomers are dying. All of a sudden, we have reached peak housing. And for a long while forward, we will have more houses than we need.
A lot of monkey-business is happening in the real estate market to keep house prices up. Houses kept off the market by financial institutions. AirBnB keeping houses out of hands of families. Foreigners buying up real estate for "investment" (not to rent). Banks being really slow on foreclosures and putting the house back on the market.
Anyway, this whole bubble bursts. And we switch from having not enough houses to having TOO MANY houses. Like ghost towns, we are going to start seeing many abandoned houses.
On top of this, banks are going to be closing left and right, and that means less mortgages, which means that there will be nothing to keep the prices high. Prices will drop to what people have in their pockets. And this will mean that with your crypto wealth, you will have some amazing deals later this year.
However, do not trade your crypto for an "investment" house. The price is just going to keep going down.
What we consider assets today are really only assets because of the way we print money. Inflationary money turns everyone into short term investors. Short term investors are more akin to gamblers. Looking for the next great payout. Bet it all on APPL, or NVIDIA…
Our entire idea of how we think about assets is about to turn upside down… well, right side up, because we are currently living in upside-down clown-world.
There will be a lot of opportunity to invest in the future. However, this is more like letting go of the old, and grabbing onto the new. And the "investment" will be that you still have something of worth, instead of Zimbabwe-notes. And this will make you wealthy in the future world, but, we really need to understand that we have to bring everyone into the future world.
It is not like today where it is "i got mine" and forget about everyone else, we are actually going to need to spend our new wealth back into the economy to make the future world a reality.
If we do, everyone will be far better off.
Trump's idea about tariffs creating millions of new manufacturing jobs is antiquated by about 50 years. Multinational conglomerates don't want to pay Americans $25/hr to make their widgets and American workers don't want to work for below min wage and live in crowded company dormitories like Chinese workers do. If Apple had to pay American factory workers to make iPhones they would cost at least $10K each and nobody but the uber wealthy would buy them. It's a complete non-starter. Manufacturing will only ever become more, not less, like agriculture with machines doing the work of hundreds of men.
This is indeed true.
I do believe that T.H.E.Y. are bringing manufacturing back to America, because we have better property rights. So they aren't afraid of losing their fully automated factories that they are going to build.