You might be encouraged to take a peek at the following link:
http://www.weforum.org/en/about/Our%20Organization/index.htm
The World Economic Forum in Davos, Switzerland has brought
together the world’s leaders to discuss such mundane items
as the sub-prime real estate meltdown, interest rate reductions
to come from the US Fed and the fall out that is desperately
affecting European and world markets. The IMF – International
Monetary Fund is in a panic condition regarding the “world
credit crunch”…and are begging people like India and China
to throw some cash into the pot. They have literally drained
their traditional Arab coffers and European banks of liquidity.
All of the players are applauding the Bush Stimulus package..
and may even suggest more. Who knows what lays ahead!
What does all this mean? It means that building, borrowing,
lending and credit buying are going to soon be curtailed or
restricted. At least that’s what the big guys are saying.
Reality tells us that without credit buying the American non
economy couldn’t move snails, let alone cash around our big
Institutional Banking System. Hey, it is difficult to grasp
all this high finance stuff, especially when the closest that
you get to that is pulling up to the ATM and drawing out your
$100 bucks. We can say this however; world inflation is on
the way….big time.
The world powers are busy printing money faster than a
speeding bullet. That eventually will mean that too many
dollars will be chasing too few goods. Food, Energy and
Commodities in general will be on the rise. Maybe that
fabled $2000 dollar a ounce Gold will be reality! They
said that….way back in 1980! It never went passed $848
on the day of the crash in April of 1980! Anyway, there
is always an opportunity in a down market. Real Estate
may take three to five years to recover…so be careful
there. Of course if you love the place..stick around for
the cycle. Probably not exactly the right time to buy a new
car….unless of course..you have more money that sense.
At any rate, it will be very exciting to see what the various
political front-runners will be touting after the February
5th, Super Tuesday election. Eventually, the media will have
to ask them – “What would you do? If you were President!”
In the meantime, look for local, county and state government
to rush to raise tolls, fees and licenses…on everything!
Of course if they do….they should smartly be replaced
during the next election cycle! But what do we know?
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