Ever hear the line: the A student works for the B student. The C student manages both A and B students. The D student is the CEO. Well Peter Schiff is that A student. Though he also owns the company. Too bad the government doesn't listen to him. Too bad you don't. Perhaps you should. It is people like Peter that are like the prophets in the Bible days. People didn't really listen until it was too late. Now perhaps you'll change your reaction, and not label people that question everything a conspiracy theorist. Thats just a damn cop-out cause you either don't want to listen or you don't want to take the time to research all the data yourself. You should question everything to your complete satisfaction or lack of further evidence. I was not the total A student, but I did share with my colleagues that wanted to buy a home a few years back that they were crazy. Their reasoning was that the interest rate was too good to pass up. My argument was that the interest rate didn't matter cause the values were already too inflated. Then those poor saps that got talked into an ARM...I don't have to tell most of you what that means. Now they've got these home prices that have fallen from inflated valuations to where they are now. If those same people had waited a few years, now is the buyers market. Corrections benefit the patient ones. Unfortunately, we don't learn our lessons without taking a few on the chin. Listen to Peter tell the current and coming truths. Like a Prophet, he trys to speak loudly and often enough for people to take notice. Stop for a few minutes and listen to what he has to say. Enjoy!
The Bush Administration stalled the Dot.com recession at the expense of our upcoming future economy. Recession is necessary to fix mal-investments. Alan Greenspan chose irresponsibility over fiduciary duty. USA was borrowing money for debt which isn't going into infrastructure and manufacturing.
How we must pay for our consumption and the current problem. Reason for our low inflation rate. Worthless government reports. The fallacy of government statistics. Peter opens the audience's eyes on what they are doing to the average home-owner through pushing mortgages on lofty dreams of home ownership. Our up- coming recession will demand higher taxes. Depreciation.
Next...Peter calls the Mortgage Bankers on their mis-deeds. He then goes on to back up his words by shorting the sub-prime loans through CDS's (Credit Default Swaps).
He explains in this next one how the jobless rate will explode. Talks about the home owner as a speculator.
Interest rates must rise. How printing money leads to inflation. Gains of the last 6-7 years will be erased. Housing prices will go into correction. Demographics are flawed. Fundamentals over Wall Street propaganda. Your purchasing power if you hold your assets overseas and outside the U.S. dollar.
C-type student trys to mock Peter Schiff and Peter comes back with fundamental data and business sensibility. The Co-Speaker trys to minimize Peter's prophecies and says that over the long term, few people will be hurt by the on-coming "softening eco- nomy". This part is alarmingly funny in contrast to reality. Peter retorts by telling audience to put their extra homes on the market and reap the profit now because of on-coming inconvenient truth.
Peter calls for a major economic recession. Says government is understating inflation by at least 2-3% if not more. Interest rates will go to outer space to correct the problems. Seminar then breaks for a Wells Fargo sponsored lunch. Now maybe we will first question if what we are about to do is a good thing or will there be consequences that we should explore first. As the late comedian George Carlin once said. QUESTION EVERYTHING! Side note: funny thing....my former colleague used to question all my work so that I had to look at all sides before it was finalized. In this way we worked well together and made our results productive and effective. But when it came to life investments, he didn't question. He just consumed. Typical American as we've been trained by the financials. Spend without thinking. While he returned a lot of stuff, he spent a lot in fuel and time away from his family and friends to keep going back to the store in order to bring back what he should not have purchased in the first place. He wasn't alone in this though. We all have to start questioning everything and looking at all sides. I have a relative and friend who thinks Global Warming is just a stupid conspiracy theory. Never-mind evidence from NASA and many other scientists' research that evidences otherwise. They are too lazy to do a bit of research on their own. Its easier to just sit around drinking beers and spouting faux wisdom to prop up each other's self esteem. Perhaps Schiff is one of the few A students to own his own successful business, and be one of the few willing to stick their neck out to talk about what they truly believe, and to back it up with fundamental data. |
The A Student |