Inevitable Collapse of the U.S. Economy and Dollar

Silver and gold silver and gold.....who remembers that Christmas song?  With the U.S. government printing dollars at will adding to our national debt, how long before they are as worthless as the paper they are printed on?  How long before a loaf of bread is as much as a steak dinner at your favorite restaurant?  Well if we maintain our current course....shouldn't be long now.  Anyone who shops for food and necessities can already feel the pain at the register.  The average price for a loaf of white bread in 2000 was $.90.  Today?  $1.36, that is a 51% increase.  How about that gallon of milk?  In 2000, $2.78.  Now, $3.23, that is a 20% increase.  These are small items but they are very necessary items.  Items we all need to survive.  What is not mentioned are the increases in the bigger necessities.  Fuel, energy, clothing, etc.  For a take on the real possibility of our coming currency collapse, research the collapse of the Zimbabwean dollar.  Is this the future of our U.S. dollar?  Will it one day take a bucket full of money to purchase our basic necessities?

I myself am hedging on silver and gold.  As crazy as it might seem, gold, silver and other commodities are the only assets who's value have never been and will never be 0.  As a matter of fact, up until 1971, the U.S. dollar was in fact backed by gold to insure it maintained its value.  This is when the dollar became the worlds reserve currency.

There are several situations that need to take place for our dollar to collapse.  The first would be that the dollar would need to be weak at its base.  Enter the Euro.  The dollar has declined approx. 40% against the Euro since 2002 as the U.S. debt increased two fold.  It is not hard to imagine the U.S. government letting the dollar continue its decline as that makes it cheaper to pay back the debt.  If our biggest debt holders, China and Japan, ever decided that they wanted to get rid of their holdings in treasuries, the dollar would bottom out and be worthless.  This will not happen overnight but is plausible as a slow decline in the value of the dollar as both China and Japan find new emerging markets.

Back to Zimbabwe.  When their currency collapsed people were allowed to pay for goods in foreign currencies and commodities such as gold and silver.  As consumer prices continue to increase, the value of your dollar will continue to decrease.  As the money you make continues to be worth less and less.....are you prepared?  Research and decide for yourself what the economic landscape holds for the United States of America.  How long before you will no longer be able to use U.S. Dollars for everyday purchases?  Looking for a good read on the coming dollar collapse?  You can find that HERE