THE WORLD IS GOING TO WAKE UP TO THE FACT THAT IT IS BANKRUPT

THE UNFOLDING NIGHTMARE SCENARIO

• Accelerating deficits and debts
• Falling U.S. dollar and other fiat-based currencies
• Unlimited money printing to save banks, and failing financial system
• More printing to save failing companies
• Ever higher subsidies for furloughed and unemployed
• Accelerating wealth disparity
• Universal Basic Income (UBI) introduced in most Western nations
• UBI means that everyone is paid a basic wage whether they work or not, that will lead to even fewer people working
• Higher unemployment means more printing
• More printing will lead to more currency debasement
• This leads to higher velocity of money higher inflation
• Central banks lose control of rates as the long end of the bond market sells off
• High long rates push short rates up
• Rates reach 5% then quickly 10% and on to 15-20% at least
• At 10% rates interest cost on the global debt of $275 trillion would be $27 trillion
• $27 trillion is 34% of global GDP – totally unsustainable
• Bad debts surge leading to defaults, sovereign, corporate and private
• Unemployment escalates leading to more UBI and more money printing
• Banks start falling including the $1.5 to $2 quadrillion derivatives market
• Money printing reaches $ quadrillions causing the dollar to fall as the velocity of money increases leading the rampant inflation
• Higher inflation will lead to higher interest rates.
• The financial system collapses together with major parts of industry and society
• Social unrest, civil wars, cyber wars, and major conflict will be rampant
• Political systems will begin to fail worldwide as governments lose control leading to large-scale violent protest and anarchy
• Gold and silver will begin the acceleration phase of a secular bull market