One of the World’s Top Investors Warns of the Coming Economic Collapse
Jim Rogers, one of the world’s top investors, is warning that we’re heading towards an economic crisis that will make the 2008 crisis look like a walk in the park.
In an interview with CNBC this week, the infamous investor said it all comes down to debt. Our country is borrowing somewhere around a trillion dollars a year, and it doesn’t take a super investor to figure out what’s coming.
The U.S. is sitting at $17 trillion in debt with over $120 trillion in unfunded liabilities; one way or another the country is heading for a disaster. If you haven’t started preparing for what’s coming, you might want to listen to Roger’s advice.
As Rogers said in his interview with CNBC, “eventually the world is going to collapse” and “this is going to end badly.” And he’s right; the whole system is basically one big Ponzi scheme, and like all Ponzi schemes this one must come to an end as well.
Like we pointed out yesterday, our government is in the middle of yet another fake budget battle. Because of this, the threat of another partial government shutdown is looming, and when it comes, it’s only going to add more instability to an already unstable market.
It’s going to be worse than the Great Depression
Although the media tries to paint a rosy picture, the fact is, if we measured unemployment the way they did during the 1930s, today’s real unemployment numbers are much worse than they were during the Great Depression.
Since 2001, our country has lost 5.1 million manufacturing jobs – 2.7 million of those jobs were lost to China. Not only has China become the number one buyer of U.S. debt, but they’ve destroyed what was once the largest manufacturing base in the world. This country is never going to get those jobs back!
The only real difference between now and the Great Depression, and the reason most people don’t realize how bad the problem really is, is our government is now supporting almost half the country.
Instead of the bread lines of the 1920’s, we now have 47 million people on food stamps and half the country counting on at least one government program to pay their bills. If it wasn’t for these programs, our country would have collapsed long ago. But like I said above, all Ponzi Schemes eventually come crashing to the ground and this one will be no different.
Even if you could somehow magically wish away our $17 trillion in debt , we’re still borrowing at a rate of almost $1 trillion a year and the over $120 trillion in unfunded liabilities is a whole nether beast. There’s simply no way this government can ever make good on its promises. One way or another, this is not going to end well.
At he end of his interview with CNBC, Roger’s warned that when the next big collapse comes, it will be far worse than anything we’ve ever seen. He ended the interview with telling people to “Be prepared, be worried, and be careful“. My advice is not to worry, but to prepare. The only way to really come out ahead is to watch out for what’s coming, and make the proper preparations to survive it.