Thursday, April 2, 2009
Cartoon below stolen from the outstanding www.jsmineset.com website, apparently sent in by an astute reader and copied from a 1934 Chicago Tribune newspaper (source not verified by me - typical sloppy internet reporting...).
Assuming this cartoon is valid, though, remind me: how is this time around/this economic depression different?
Anyone who thinks policy makers are taking a different tact to fight deflation compared with the 1930s is reading revisionist history detached from reality. The main difference this time around is that we are a debtor nation instead of a creditor nation as we were in the 1930s, which means our currency is at risk due to our insane and irrational policies of rampant government debt creation during a debt crisis.
Buy gold for safety and buy gold miners for profit. Gold under $900/ounce is a tremendous value and gold miners are quite under-valued right now.