At the height of the recession, my U.S. Senator from Maryland, Ben Cardin, was heard on a local radio talk show urging Americans to go out, spend money... hit the restaurants for an evening on the town.
He was ripped to shreds by callers.
For those of you who think that I'm a Republican, let me say I'm not. George Bush urged Americans to spend money right after 9/11. He was just as dumb as Ben and the Democrats.
But Ben and the Democrats doubled-down on that proposal. In an effort to get Americans consuming again — and not saving — they briefly flirted with the idea of taxing the money in your savings account. After all, spending generates sales tax revenue for the state, right?
The Next GE
Thanks to a push to revolutionize our power grid…
A small group of hi-tech startups is about to take a major chunk out of a $297 billion/year market.
In the coming years, these outfits will become the next GE, the next Google, and the next Microsoft.
Get their names and ticker symbols now, before they take off.
But there's more to this. You see, the socialist economist John Maynard Keynes argued that saving money was immoral. In other words, when you put money in your savings account, it sits there "unproductively"; a dollar in your savings account is a dollar not in your comrade's wallet.
Bottom line: When you save, you're not being a responsible citizen. Capital is therefore universal... not personal and private. And going in to debt is good.
I will repeat Dick Cheney's economic mantra that "deficits don't matter." I challenge you — whether you're a Democrat or Republican — to defend the deficit spending of Cheney or Obama... Do it, I dare you!
Keynesianism was described by Zygmund Dobbs in the illuminating exposé, Keynes at Harvard:
The great virtue is consumption, extravagance, improvidence. The great vice is saving, thrift and ‘financial prudence... If there are no savings there is no private money for investment. Without private investors the government must provide investment capital. If the government provides for investment it has the power to dictate the conduct and processes of those who need investment capital.
In addition to the potential attack on your savings, the gov't is contemplating "reforming" your retirement account. You see, the Chinese have dramatically reduced their purchases of U.S. treasuries... which means they are no longer funding our gov't debt.
So guess who the gov't is gonna turn to in order to continue deficit spending?
That's right... you and me.
What am I talking about? What I believe to be plans by the Obama Administration to, in effect, seize your retirement funds and use them to finance their deficit spending. Remember, more than $3 trillion is sitting out there in individual retirement, IRA, and 401(k) plans. Liberals just can't stand the idea if this much money sitting out there in private investments, out of the grasp of politicians.
Something needs to be done. And sure enough, something is going to be done.
The Treasury Department and the Department of Labor are contemplating ways to promote the idea of converting 401(k) savings and IRAs into government-managed annuities or other steady payment streams.
If this passes, it's sure to be a game changer.
This also means you have to make as much money now as possible... and get it out of the reach of the U.S. government.
Stay tuned. I'll report more on this later.
Brian Hicks
P.S. When it comes to investment opportunity, time is of the essence. I mentioned earlier how important it is to take advantage of the situation going on with Anavex — before big pharma and other investors sink their teeth into what is sure to be a profit party in pharmaceuticals. I would be remiss if I didn't also mention another time-sensitive opportunity on the table this week...
As we continue to see historic changes to our financial system on what seems like a daily basis, there are still more staggering changes yet to come. It's during times like these that historic profits are made by those who know where to look. This is the time when fortunes are built.
This tiny gold outfit already tripled investor's money since we first alerted you one year ago. And as early as tomorrow, March 4, the biggest gold story of the last 50 years will hit the press. This historic news story could triple your money... AGAIN!
Oil's Surprising Replacement
The new era of alternative fuels is here...
BP's catastrophic oil spill proved once again that our addiction to oil is downright dangerous.
With our need for new fuels comes a new frontier for investors of these cheaper and more reliable future fuels.
In fact alternative energy expert Nick Hodge found one "champagne of fuel" company that he expects can hand you over 1,925% gains — and you can read all about it right here.
Whether it's true or not, at least make the effort to be correct.
You'll recall Cheney said that to bolster Bush's push for more spending.
Bush and the Republicans spent like drunken sailors... and you know that too. Defend Cheney's comments!
The young people will have to be made aware of the changes. The government is afraid of people who can take care of themeselves.