“There is no means of avoiding the final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as a result of a voluntary abandonment of further credit expansion, or later as a final and total catastrophe of the currency system involved.”
-Ludwig von Mises
And I will say again what I have been saying since I have been on this site; Your goal and strategy should be wealth preservation and saving. Buying a house or any other large illiquid asset at this time is exposing yourself to serious financial pain. Cash is king right now.
My2Cents[/quote]
So, Running Bear, do you think we’re experiencing a voluntary abandonment of further credit expansion? $700 Billion (for starters) that we’re borrowing and passing out doesn’t sound like it to me. And if not, then why are you in cash? I mean, if you follow Von Mises’ theory, and we keep borrowing and spending, then what’s next is a final and total catastrophe of the currency system involved. If that happens, your cash won’t be worth much.
