Gold Hits A Record High
The gold bugs are out and will be especially on alert as today’s gold price hit an all time high of $1,354.40 per ounce on the Comex division of the New York’s Mercantile Exchange. Silver also saw a 30 year high today as well. Many people and wealthy investors are looking at gold to preserve their wealth in the more than likely coming economic earthquake.
While the world and the United States economy is faltering like it hasn’t since the great depression and our illustrious President Obama decides campaigning for a losing economic strategy is more important that doing anything to actually help us out of this disaster. Obama’s popularity has plummeted to an all time low and at the most dramatic rate for any newly elected President ever as was evident today when he had a book thrown at him while he blamed his self created economic woes on George W Bush instead of taking responsibility himself.
Where is the price of gold going? No one really knows, but as long as the Fed keeps printing money to try and stem the inevitable, gold will probably reach another record high soon. Are you prepared for disaster while the government sleeps?
Joe Biden’s Insane Economic Advice
I wonder if the rest of us should follow the same thinking as Joe Biden when it comes to our personal finances. At a recent town hall style meeting with members of AARP the Vice President to attendees that our nation would go bankrupt if we didn’t pass a health care bill and that the only way we can keep ourselves from the bankruptcy stage is to spend more money.
Okay, let’s think about that for a minute. Suppose you are having trouble paying your bills because, just like the US Government, you have been completely irresponsible with your money. In other words, you’ve been spending more money than you make and let’s way it finally reaches the point that if you don’t do something you will go bankrupt. The question is what do you do, find a way to spend less money, a lot less, or instead, spend more money, a lot more money? What seems to be the smart choice?
If you said spend less money, then you made the right choice and are apparently smarter that the Vice President of the United States who made this statement at the previously mentioned AARP meeting,
“What are you talking about, Joe? You’re telling me we have to go spend money to keep from going bankrupt?’” Biden said. “The answer is yes, that’s what I’m telling you.”
I’m speechless! What if we all took that advice when faced with economic hard times? What kind of idiots does this current administration think they’re trying to lead in this country? Unfortunately a few people will probably buy into that kind of thinking and believe the only thing that can save us and avert economic collapse is for the government to take more of your money. If you believe that, at least ask yourself how that is supposed to become a reality when we’ve been spending money in all facets of our government for decades and the problem just keeps getting worse.
If you’ve dug yourself into a hole so deep you can’t get out of, the answer is not to keep digging the hole deeper. Brace for impact and buy some gold before it’s too late.
Update – Obama To Take 72.5 Percent Ownership Of GM
As an update to the last blog post about government ownership of GM, President Obama is to take a larger slice of what was once the largest employer in the world (except for the US government) and of course the largest car manufacturer in the world. Up from owning 69% of General Motors, the President will now take a 72.5% ownership of GM.
How did this happen? How can the government take majority control of a major US corporation? More importantly however, is why we are going to let it happen. Any way you want to slice it folks, state ownership of industry is socialism. That’s where we are today in the United States Of America.
GM made some huge concessions to the labor unions in the form of unsustainable wages and unsustainable pensions to retirees, but that is no reason for the government to take it over. Somewhere GM should have told the unions a big flat out no.
It was painfully obvious to some, that with automobile sales down and its labor costs the highest in the industry, it would be impossible to be competitive in the marketplace. When GM’s labor costs were averaging out at some $75 per hour for each laborers hourly wages including taxes and benefits and their rival, Toyota, who was leading the car industry, had those same costs down to $43 per hour it should have been apparent to anyone and everyone in the accounting department that this couldn’t continue unabated forever.
Many people though several months ago, as I did, that GM would fail anyway, before Obama lent them nearly $20 billion. It’s pretty obvious now that the market should have been allowed to take its course and let GM go under last year, because that’s what was going to happen anyway.
Now the government will invest another $40 billion in GM and let it go into bankruptcy while taking a nearly 73% ownership of the company. Let’s see if GM has any better luck being run by Washington puppets and ultimately being controlled by the Messiah in Chief, Barack Obama. Something tells me it won’t last that long.
Welcome to socialism 101.