The future depression will be like the past depression. But worse.



"World is Sleepwalking Towards Depression and Currency Collapse"

1 – The current credit cycle is about to enter a crisis stage.

2 – Increased tariffs by the US and China will exacerbate the situation.

3 – Statistics are deluding us, even economists, into thinking all is well.

4 – The fact is, we are heading for global currency collapse.

According to numerous indicators, world economic growth is slowing. In fact, the current situation is similar to the situation preceding the crash of October 1929.

In the current situation, there are 2 notable differences from 1929, writes Alasdair Macleod. First, today’s money is not backed by gold. That means that today, central banks can simply continue to inflate asset prices, creating an even bigger bubble.

Second, statistics today are used to manipulate, distort, and hide the truth – giving a false view of the economic situation. It’s not only that the 2 common indicators of GDP (gross domestic product) and CPI (consumer price index) do not provide an accurate picture of the economy. The fact is, they are also misleading.

Macleod states that, while GDP can measure monetary inflation, it cannot measure economic progress, aka “growth.” Consequently, macroeconomists measure growth in terms of monetary inflation. Essentially, you are determined to be getting richer if you seem to be getting richer.

According to Macleod, CPI is “based on assumptions that do not accord with reality,” and is essentially a con. To wit, inflation is not an increase in the general level of the prices of goods; it’s the result of monetary debasement. That is, the result of excessive money-printing.

After the stock-market crash of 1929, the powers-that-be could not hide the fact that their economies were headed for a depression, in fact, a Great Depression. Nowadays, however, with fiat currencies unbacked by gold, the authorities can fudge the numbers and engage in all sorts of chicanery.

As a result, they can not only delay the inevitable crash, they can also make it appear as if there is no crash on the horizon. But there is.

History is replete with examples of great powers and principalities sleepwalking into truly horrible futures.

In one instance, it was the nations of Europe sleepwalking into World War 1 (and, avoidably, into World War 2). In other instances, it was any of the great empires of history slipping into oblivion, while most of their citizens and even leaders remained completely oblivious of their impending fate.

Of course, the truly enlightened and rational 21st-century man would never let that happen to his society, his economy, his world …. (Oh, never mind.)

After years of manipulation, distortion, fraud, lies, deceit, extend-and-pretend, and kicking the can down the road, the great economies of today are facing a future that will not be much different than its past. Except worse.