presentation to defense analysts on financial security

[rainsonme]

This presentation is worth listening to, in my opinion. It is a presentation by jim Rickards on Economics and National Security to defense analysts. He seems to be a very main stream analyst, looking at the fed, money supply, the balance between deflationary and inflationary pressures. He also, towards the end, suggests that the Fed has a "plan B", which would be to seize the gold held for foreign creditors, add it to the US reserves in West Point and Ft Knox, and re-establish a new dollar tied, but not exchangable, to gold at $5,000 to $10,000 an ounce. Plan B would only be employed if the Fed cannot pull off the perfect balance of a 4% inflation rate and strong growth, which he also says is almost impossible.

He also points out that the US and the European countrys are the global super-power in gold reserves, holding about 2/3 of all gold reserves. He says China is way behind in gold reserves; they "need" 3,000 tons; China accumulates gold by "stealth"; they capture their own mine output, and secretly buy globally. But their mining practices and the growth of their economy will prevent them from achieving partiy from their own mines.

Give it a listen/watch.

http://vimeo.com/18160394