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Jim Cook

 

RUNAWAY SOCIAL SYMPATHY

Every once in a while I switch the TV channel from Fox to CNBC to see what the liberals are saying.  After listening awhile I get a deep sense of hopelessness and foreboding for our country.  The most important thing for the left is giving money to people.  They are happy to see the growth of food stamps, disability payments, housing subsidies, free healthcare and all the other welfare benefits.  They utterly fail to see the damage it is doing to the recipients.  Whole cities that once flourished have deteriorated into rotting eyesores populated with shambling hulks of chemically dependent drones.  These people are no longer employable.  They have become incompetent and helpless and the liberals can’t see that it’s their doing.

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The Best of Jim Cook Archive

 
Commentary Of The Month
October 14, 2013
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WEALTH CONFISCATION

By Michael Snyder

(condensed)

Now that "bail-ins" have become accepted practice all over the planet, no bank account and no pension fund will ever be 100% safe again.  In fact, Cyprus-style wealth confiscation is already starting to happen all around the world.  Private pension funds were just raided by the government in Poland, and a "bail-in" is being organized for one of the largest banks in Italy. 

nfortunately, this is just the beginning.  It is only a matter of time before we see this exact same type of thing happen in the United States as well.  From now on, anyone that keeps a large amount of money in any single bank account or retirement fund is being incredibly foolish.

Look at examples of how Cyprus-style wealth confiscation is now moving forward all over the globe.  According to Reuters, private pension funds were in Poland raided in order to reduce the size of the government debt.  “Poland said on Wednesday it will transfer to the state many of the assets held by private pension funds, slashing public debt but putting in doubt the future of the multi-billion-euro funds, many of them foreign-owned.”

European finance ministers have agreed to a plan that would make "bail-ins" the standard procedure for rescuing "too big to fail" banks in the future.  “European Union finance ministers approved a plan Thursday for dealing with future bank bailouts, forcing bondholders and shareholders to take the hit for bank rescues ahead of taxpayers.”

So what does all of this mean for us?  It means that the governments of the world are eyeing our money as part of the solution to any future failure of major banks.  As a result, there is no longer any truly "safe" place to put your money.  One of the best ways to protect yourself is to spread your money around.  In other words, don't put all of your eggs in one basket.  If you have your money a bunch of different places, it is going to be much harder for the government to grab it all.

Editor’s note:
 (Insurmountable economic problems could lead to similar episodes of confiscation the world over.  However, since the U.S. can print money with abandon, there is a second kind of hidden wealth confiscation.  It’s called inflation.  If it gets bad enough it will destroy the value of cash and money held in IRA’s, 401K’s, CD’s, annuities and bonds.  Already the inflation rate is much worse than government statistics indicate.  Some services have become prohibitively expensive.  Recently I picked my wife up after dental surgery.  She had an implant that became infected and a Periodontist removed it.  The procedure took one-hour and fifteen minutes.  The bill was $2,800.  You could have knocked me over with a feather.

This gradual but sinister rise in the cost of everything is what’s going to do-in the middle class.  It’s absolutely killing young families. Both parents must work while daycare, healthcare and educational costs devastate them. This is Bernanke and Krugman’s gift to America.  Keynesian economics, high taxes and big government are destroying the people who work for a living.  The government and the Fed are fostering inequality that the 1% gets blamed for.

Runaway money printing will destroy your retirement funds. That’s why you must should 20% of your net worth into silver. Protect your retirement funds before the government gets it through the remote possibility of outright confiscation or the far more likely hidden tax of inflation.)