29-Nov-11 WV-Paralyzed eurozone faces imminent collapse

[John]

29-Nov-11 World View -- Paralyzed with fear, the Euro Zone faces collapse 'within days'

U.S. military reviews supply routes after Pakistan debacle

** 29-Nov-11 World View -- Paralyzed with fear, the Euro Zone faces collapse 'within days'
** http://www.generationaldynamics.com/cgi ... 29#e111129



Contents:
Wall Street stocks surge 3% while governments are paralyzed
Munchau: The eurozone really has only days to avoid collapse
Moody's: Euro crisis threatens all of Europe
OECD: Euro (and American) financial crises threaten the whole world
Paralysis continues to grow in Washington and Europe
First day of polling in Egypt better than expected
Evidence grows that Dominique Strauss-Kahn was set up
U.S. military reviews supply routes after Pakistan debacle
Israel to release $100 million to the Palestinian Authority
Debka: Nato and Turkey prepare for military intervention in Syria


Keys:
Generational Dynamics, Wolfgang Münchau,
Moody's Investors Services, Organization for Economic Cooperation,
OECD, European Council, Italy, Greece, European Central Bank,
ECB, Big Bazooka, Spain, France, Egypt, Muslim Brotherhood,
Freedom and Justice Party, National Democratic Party,
Dominique Strauss-Kahn, Pakistan, Afghanistan,
Uzbekistan, Kyrgyzstan, Germany, Israel, Benjamin Netanyahu,
Palestinian Authority, United Nations, Canada, Qatar,
Saudi Arabia, United Arab Emirates, Bashar al-Assad,
Syria, Turkey

[vincecate]

It's still possible that the crisis will be postponed a little longer. The euro leaders are meeting on December 9, and perhaps they will make a "big bazooka" announcement, such as agreeing that the European Central Bank (ECB) should "print" unlimited amounts of money to prevent Italy, Spain and France from going bankrupt. However, from the point of view of Generational Dynamics, not only will that not prevent the crisis, but it won't even prevent the accelerating deflationary spiral, as deleveraging continues and the velocity of money plummets to zero.

People keep asking me for investment advice. I'm an analyst, not an investment counselor, but from the point of view of Generation Dynamics, you should focus on preserving your assets, and NOT on getting one or two extra percentage points of interest. The best investment advice now is to keep some cash hidden in your basement, and the rest (for Americans) in FDIC insured bank accounts -- preferably more than one. These appear to be the safest "investments" today.

When they print more money you don't think it will reduce the value of existing money? Why not just have the government print up some money and give everyone $50,000? Why not $1 million each? The government debt per person is somewhere between these two amounts.

Given that paper money has only been without gold backing for 40 years while gold has been money for 5,000 years, and that nobody prints gold and paper money looks like it will be printed to cover trillions in debt, it really seems gold is safer than paper money at this time in history.