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Posted in [Gold], [Silver], [USD], [Inflation], [Currency Wars], [Depression], [Federal Reserve], [sound money debate], [Alternative Currency], [Hyperinflation], [Recession], [Stock Market], [Bond Market], [Euro], [China], [Europe] By "The Elemental Economist" Jim Purnell

image reports: [ As the chart shows, America's debt is currently $15.1 trillion, while the Eurozone (which includes France, Germany, Greece, Italy, Spain, the U.K., and others) has a combined debt of $12.7 trillion. (All dollar amounts are in U.S. dollars, and the data refers to closing 2011 numbers.)

The Eurozone is larger than the United States, so America's debt per capita also exceeds the Eurozone's. According to the Census Bureau, the U.S. has a population of 313 million, whereas the Eurozone has a population in excess of 331 million.

Republican presidential candidate Mitt Romney warns "We must not wait to suffer a crisis like Greece's or Portugal's to right the ship of state." But with charts like this, that formulation might already be out of date, considering the enormity of America's debt burden. ]

Now the question becomes: ‘have you been tricked to look the other way like a little dog with a chew toy to worry about the Greek debt issues to purposely redirect your attention away from the elephant in the room, the United States disastrous debt crisis that is starting to boil over’? The answer is YES YOU HAVE BEEN TRICKED! Notice the Greek slice of the EU debt, if you look hard enough with a magnifying glass you can see a tiny sliver in between the Italian & German debt totals. Greece has under 1/2 trillion of debt all while the US has OVER $15 TRILLION worth of debt ourselves! Don’t be too hard on yourself because when you have a concerted media effort to this end it is very hard to separate the BS from the truth, especially when EVERY NEWS CHANNEL IS TELLING YOU TO LOOK AT THE CHEW TOY!

They wanted you to look the other way as they have a lot riding on the success of the misinformation campaign. Had the public not been distracted by the this slight of hand trick, we would have been able to better diagnose the problems at home and begun to remove ourselves from the markets in order to protect our monies in hard assets. Instead we have a nation of ‘investors’ (moms & dads who drive buses and teach school kids) who have been convinced to stay in the markets while Congress openly insider trades and multiplies their net worth by posting better returns that what any legendary Wall Street firm is able to do themselves. Then your money is tossed around by high frequency traders who make billions of dollars by creating massive volatility in the markets when they move tens of millions of dollars in and out of the market in nano seconds which tosses your 401K or IRA around like a rag doll in the markets.

At some point everyone of us will have a moment of clarity and a moment of reflection that will force you to evaluate the concept of leaving your life savings in a stock & bond market that is rigged at the top that you were never intended to get rich playing their game. Even if you are unable to make this obvious connection, you will be able to diagnose that maybe its time to retreat to safer assets that offer wealth preservation rather than endless profit seeking in a game you don’t have the instructions on how to play in the first place. After all, the mantra for investing in stocks goes something like this: ‘Just keep adding to your 401K & IRA and the market will keep going up, you just need to pick long term growth stocks and when you retire you will live good on your profits into your golden years’. Has this worked for anyone of you? Do some math to determine how exactly you have done in your investing career: estimate your monthly contributions to your investment accounts, then multiply that number by the 12 (12 months in a year), now multiply that by the number of years that you have been contributing to your 401K, IRA, and other accounts. This will give you a rough estimate of your total contributions into your investments over your lifetime. Now take that number and compare it to your account balance on your monthly statements, which one is bigger? Your contributions or your current balance?

Understand that the Wall Street investments that have been pushed to the world for the last 30 yrs. have worked fairly well because the federal reserve has been on an inflationary campaign since 1971 when Nixon took the dollar off the gold standard by expanding the volume of dollars in the world every year. The world was forced to play along as we had the huge military, huge manufacturing base and oil was required to be paid for with dollars no matter where in the world the transaction took place. Now that the US has offshored over 60% of our manufacturing capacity (so we have no ability to grow our way out of this nightmare), we have a $15 TRILLION deficit, are fighting multiple endless expensive wars around the world, obsessed with fighting the very expensive global war on terror, and destroyed the dollars value by printing too many of them the world is beginning to question the viability of the dollars ability to be a trusted currency. China has now enticed roughly 40-50% of the worlds economies to entertain an alternative medium of exchange in order to protect their nations assets from a depreciating reserve currency that will serve as an antagonist to their profitable export economies. This means the world is looking to evolve beyond the USD as the reserve currency which will leave America buried under all of the fiat dollars that have been pumped out by the tens of trillions in the last three years into the global markets. It would be wise to establish your ‘Plan B’ in physical gold & silver bullion now and begin to participate in the sound money debate with alternative currencies because multi-trillion dollar economies are beginning to do just that themselves. When you begin to realize that you are a tiny fish in an enormous ocean full of predators you will accept that the search for security is far more valuable than the search for profits in a rigged game that was designed for the extraction of wealth from the ill-advised participants who are none the wiser. Now that the FEDs inflation game of the last 3 decades has now gone too far the standard investment vehicles that have done fairly well for that time period will not be able to function in the new environment of currency saturation and dollar rejection that is now starting. Identify your investment goals and consider the methods by which you can have success but know that in time as unstable as we are currently in, wealth preservation should be your primary goal.

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