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John Williams is author of “Shadow Government Statistics,” an electronic newsletter service that exposes and analyzes flaws in current U.S. government economic data and reporting, as well as in certain private-sector numbers, and provides an assessment of underlying economic and financial conditions, net of financial-market and political hype. john williams shadowstatscom Mining Stock Talk Interviews John Williams of ShadowStats.com ."John Williams’ Shadow Government Statistics" is an electronic newsletter service that exposes and analyzes flaws in current U.S. government economic data and reporting, as well as in certain private-sector numbers, and provides an assessment of underlying economic and financial conditions, net of financial-market and political hype.
In this powerful interview, John shares his research realities on unemployment, the staggering growth in the U.S. Monetary Base, a coming “hyperinflation” , gold, and what he’s doing to prepare and protect his family going forward.
Williams believes that the printing of trillions of dollars to fight the depression will lead to a "hyperinflationary depression".
John Williams aka Walter J. "John" Williams was born in 1949. He received an A.B. in Economics, cum laude, from Dartmouth College in 1971, and was awarded a M.B.A. from Dartmouth's Amos Tuck School of Business Administration in 1972, where he was named an Edward Tuck Scholar. During his career as a consulting economist, John has worked with individuals as well as Fortune 500 companies.
John Williams' Shadow Government Statistics is a monthly electronic newsletter that exposes and analyzes the flaws in current U.S. government data and reporting, as well as in certain private-sector numbers.. It also looks at the financial markets free of the hype so often put forth in the popular financial media. Generally published on the second Wednesday of the month, the newsletter is supplemented by Flash Updates and occasional Alerts that highlight unusual developments.
Williams is advising people to stock up on gold and booze to bargain with once the hyperinflation makes dollars worthless:
“Three or four years into the future I think we could be in a hyperinflation, within the current year you’re going to see much higher inflation than most people are looking at,” Williams told MarketWatch.
Williams said that his definition of hyperinflation would be a situation in which a $100 dollar bill would become more functional as a piece of toilet paper than a store of value.
“This is a time when you want to preserve your wealth and assets because inflation will knock the value out of it,” he added, advising that people buy physical gold and assets other than the U.S. dollar.
“Then when the hyperinflation hits you’ll see disruption of normal commerce, you won’t have enough $100 dollar bills to buy what you want,” said Williams, adding that items to barter with, such as a bottle of scotch, would be more valuable than actual cash, even in large quantities.
Marc Faber, author and publisher of the Gloom Boom and Doom Report, says the Standard & Poor’s 500 Index might see a little bit of more bounce but will really stay rangebound. He also says deficits rising around the world will be a big problem.Marc Faber : Well Basically we got very over sold at the beginning of July and since then we rallied quite strongly , I think that we can rally some what more but if we look at the S&P the low was 1010 and the previous support was 1040 and the top at the end of April was 1219 so around 1170 there is a lot of resistance and it will be very difficult for the market to get through that resistance ....we have to distinguish between what central Banks and the governments in the western world say and what they will do , I am not a great believer in this austerity that they are proclaiming , I think the fiscal deficit will actually stay very high or even increase and I think that if they decrease the fiscal deficit then it will be offset by very expansionary monetary policy in other words monetisation , so the whole burden to support the economy will fall on the monetary policies then they'll print money like crazy and so I would not pay too much attention to what they say but to what the markets do and it seems to me that the people that predicted the DOW JONES 1000 or S&P 500 or S&P 200 I think they're misreading the facts that under fiat monetary system you can print endless quantity of money and so stocks may adjust in real terms but not necessarily in nominal terms to the extent that the super bears are predicting ...
Nouriel Roubini Gary Shilling David Rosenberg these are the true deflationists says doctor Marc Faber they advice to be in US government bonds and to basically avoid everything else ...adds Marc Faber : I do not think that the US Bonds are desirable investment for the next 5-10 years....Investments in US Bonds and cash may be a very risky strategy in the long run , Dr Faber rather sees inflation coming than deflation : I am not a great believer in deflation , all the prices around the world are going up says Dr Faber ...
“I am not a great believer in this austerity that they are proclaiming,” Faber said in a recent interview
“I think the fiscal deficit will actually stay very high or even increase," he said. "And I think that if they decrease the fiscal deficit then it will be offset by very expansionary monetary policy, in other words monetization, so the whole burden to support the economy will fall on monetary policies, then they’ll print money like crazy,” he said.“Under a fiat monetary system you can print endless quantities of money and so stocks may adjust in real terms but not necessarily in nominal terms to the extent that the super bears are predicting.”
Marc Faber, investment guru and editor and publisher “The Gloom, Boom & Doom” report, said that markets were in an oversold zone in early July and since then global markets have rallied strongly and could rally somewhat more.
And American politicians don't have a sense of urgency, Ferguson contended. They feel the country can limp along for another 20 years or so in its current financial health without making tough decisions about fiscal policy. He believes they are wrong. The federal government's debt has grown so large in the past decade that the United States will inevitably devote an increasing amount of taxes to it. Meanwhile it's facing a greater burden through the Medicare and Social Security programs as Baby Boomers age. It's also currently fighting two wars. All that while revenues have plummeted in the recession.
“If you really want to see when an empire is getting vulnerable, the big giveaway is when the costs of serving the debt exceed the cost of the defense budget,” Ferguson said. That will happen in the United States within the next six years, he predicted.Read More >>>