a couple of centuries ago, a wealthy nation almost always had a strong military. seems that every time someone’s army or navy suffered a major defeat, the economy in that country collapsed. i would think that scenario would be repeated in some form in the future.

i believe, like most here, that the worldwide fiat system is headed for collapse. i can’t believe that the ptb have been able to hold it up this long. as leveraged positions unwind and debt gets paid off or repudiated, something will evolve into some form of value accepted worldwide. that value has traditionally been gold and silver and i see no other alternative at this time, but energy and food will have some effect.

i don’t believe that physical has disappeared from the retail system by coincidence. i also don’t believe that futures and miners sold off by coincidence. if i was a member of a group with mountains of fiat, i would do the same thing if i was expecting “creeping socialism” in governments worldwide. capitalism works until people vote themselves wealth from the treasury. when the outflow is larger than the inflow, the system is on borrowed time.

the social, political, and financial systems are moving to the outer extremes from the traditional mean. every time the pendulum swings from the extreme to the mean, turmoil across the human spectrum ensues. surplus and shortages of food have traditionally caused the peaks and valleys in cyclical events. if you run out of food, just get a bunch of folks together and take your neighbors. if your neighbor doesn’t want to share, enough folks will die to balance with the food supply available.

the internet has provided the means for events to unfold far more rapidly than in the past. news is transmitted around the world in minutes instead of days or weeks. reactions are much faster because of conditioned response promoted by rapid news of the recent past.

international trade will continue while fiat dies. the value of gold will fluctuate against the supply and demand of other commodities. some form of worldwide “clearinghouse” will probably evolve to facilitate trade.

lots of “what ifs” in my scenario, but one thing is certain. the current system is broke and dying. what evolves from here will be chaos and opportunity.

rno