US economy headed to major crisis, says economist Peter Schiff

[Joshuatree]

This guy became famous for being the only economist to predict the real estate buble crisis which blew in 2008 (while other economists were mocking him, saying the economy was in a great shape).

He says that the US economy today is based on borrowing from another countries and spend this borrowed money buying their products, which leads to a huge debt. (It's no secret to anyone that the US has a huge debt).

He says that the debt is so huge the US won't pay it and have no conditions at all to pay it.

At some point, countries such as China (which is the biggest lender) will realize that, and then they will stop lending money.

As a result, the US dollar will deeply lose its value, leading to huge inflation and unemployment, and the US will be unable to get more money from outside because no one else will lend.

Yes, he paints a pretty chaotic scenario. He says the best the US can do now is have a big recession to avoid something even worse in the future. He also says the US situation is worse than Europe's.

I watched his videos in youtube, and I thought this guy has a point and he knows what he's talking about. He advices that the best people can do is get rid of their dollars and buy gold, because the dollar is about to crash at anytime.

What are your thoughts on this?

 

[slackjawed]

I too watched this video. I don't know what to think. Personally, my "wealth" has been "invested" in livestock. cows and rodeo ponies........a few mules

if the worst happens I will have beef, transportation and pack animals.

 

[TakeAStepBack]

Simply put, he's right again.

 

[slackjawed]

I fear he might be right but hope he is wrong.


dur look at them weasel words.........I should run for office

 

[EdwardBaiamonte]

Peter Schiff Predictions - Economic Outlook - Economic Forecast - Wrong Predictions and Correct Predictions

How accurate are Peter Schiff's economic predictions? Can they be relied on for investing?

Well, if you followed Peter Schiff's advice about the housing bubble and gold you could have made a lot money or at least saved yourself a lot of losses. On the other hand if you followed his other predictions you would have lost a lot of money.

According to some of Schiff’s own clients, portfolios invested with Schiff were down anywhere from 40 - 70%. Although he was right on the US debt, but he missed the EU debt crisis. Source Seeking Alpha

Research conclusion: Even if an economist is an expert in one sector or area, and was right once or several times, the complexity and number of variables in the economy make it almost impossible to be right all the time. So the value of these predictions is just to become aware of different risks. We recommend that you follow your own conclusion rather than theirs.

 

[Toro]

This guy became famous for being the only economist to predict the real estate buble crisis which blew in 2008 (while other economists were mocking him, saying the economy was in a great shape).

Two problems.

1. He is not an economist.

2. He was not "the only economist" predicting the real estate bubble would collapse. There were others, though they were a small minority.

I would also bet anyone that this guy will be right until he is spectacularly wrong. He will lose his clients 50%, 60% or even 70% or more of the money they will have made from top of the gold bull market / bubble after it inevitably ends.

 

[uscitizen]

This guy became famous for being the only economist to predict the real estate buble crisis which blew in 2008 (while other economists were mocking him, saying the economy was in a great shape).

He says that the US economy today is based on borrowing from another countries and spend this borrowed money buying their products, which leads to a huge debt. (It's no secret to anyone that the US has a huge debt).

He says that the debt is so huge the US won't pay it and have no conditions at all to pay it.

At some point, countries such as China (which is the biggest lender) will realize that, and then they will stop lending money.

As a result, the US dollar will deeply lose its value, leading to huge inflation and unemployment, and the US will be unable to get more money from outside because no one else will lend.

Yes, he paints a pretty chaotic scenario. He says the best the US can do now is have a big recession to avoid something even worse in the future. He also says the US situation is worse than Europe's.

I watched his videos in youtube, and I thought this guy has a point and he knows what he's talking about. He advices that the best people can do is get rid of their dollars and buy gold, because the dollar is about to crash at anytime.

What are your thoughts on this?

so that is they guy who read my posts on the old board then.

Yep he is smart to listen to uscitizen.

 

[Mad Scientist]

This guy became famous for being the only economist to predict the real estate buble crisis which blew in 2008 (while other economists were mocking him, saying the economy was in a great shape).

Two problems.

1. He is not an economist.

2. He was not "the only economist" predicting the real estate bubble would collapse. There were others, though they were a small minority.

I would also bet anyone that this guy will be right until he is spectacularly wrong. He will lose his clients 50%, 60% or even 70% or more of the money they will have made from top of the gold bull market / bubble after it inevitably ends.

Would that be before or after QE III?

 

[Staidhup]

This guy became famous for being the only economist to predict the real estate buble crisis which blew in 2008 (while other economists were mocking him, saying the economy was in a great shape).

He says that the US economy today is based on borrowing from another countries and spend this borrowed money buying their products, which leads to a huge debt. (It's no secret to anyone that the US has a huge debt).

He says that the debt is so huge the US won't pay it and have no conditions at all to pay it.

At some point, countries such as China (which is the biggest lender) will realize that, and then they will stop lending money.

As a result, the US dollar will deeply lose its value, leading to huge inflation and unemployment, and the US will be unable to get more money from outside because no one else will lend.

Yes, he paints a pretty chaotic scenario. He says the best the US can do now is have a big recession to avoid something even worse in the future. He also says the US situation is worse than Europe's.

I watched his videos in youtube, and I thought this guy has a point and he knows what he's talking about. He advices that the best people can do is get rid of their dollars and buy gold, because the dollar is about to crash at anytime.

What are your thoughts on this?

And this is something new? Have faith there is change in the wind and the fat lady has yet to sing. We will prevail, we will overcome, we will man up to reality, we will make the hard choices, WE ARE AMERICANS! Unfortunately those on left are going to get a 2:00 AM wake up call, and it isn't going to be welcomed without resistance!

 

[Toro]

This guy became famous for being the only economist to predict the real estate buble crisis which blew in 2008 (while other economists were mocking him, saying the economy was in a great shape).

Two problems.

1. He is not an economist.

2. He was not "the only economist" predicting the real estate bubble would collapse. There were others, though they were a small minority.

I would also bet anyone that this guy will be right until he is spectacularly wrong. He will lose his clients 50%, 60% or even 70% or more of the money they will have made from top of the gold bull market / bubble after it inevitably ends.

Would that be before or after QE III?

From wherever gold peaks at. Gold will peak at some point - $2000, $3000, $5000, I don't know. From there, gold will get crushed, and all those who deified his words will lose a tremendous amount of money. I've seen this happen many times before. Gold is a trading vehicle, not a religion nor a political ideology. Anyone treating it as such will lose a lot of money when this ultimately ends.

 

[Mad Scientist]

Two problems.

1. He is not an economist.

2. He was not "the only economist" predicting the real estate bubble would collapse. There were others, though they were a small minority.

I would also bet anyone that this guy will be right until he is spectacularly wrong. He will lose his clients 50%, 60% or even 70% or more of the money they will have made from top of the gold bull market / bubble after it inevitably ends.

Would that be before or after QE III?

From wherever gold peaks at. Gold will peak at some point - $2000, $3000, $5000, I don't know. From there, gold will get crushed, and all those who deified his words will lose a tremendous amount of money. I've seen this happen many times before. Gold is a trading vehicle, not a religion nor a political ideology. Anyone treating it as such will lose a lot of money when this ultimately ends.

If you treat Gold as a Commodity then yeah, there's a chance you'll lose money.

But if you treat it as an insurance policy against the actions of the Privately Owned Federal Reserve to print the Dollar out of existence you should be ok.

Dollar being devalued, Euro on the way to abandonment, National Gov'ts around the world stocking up in Gold and Silver and not Fiat Currencies.

Are you saying they're making a mistake?

 

[iamwhatiseem]

Two problems.

1. He is not an economist.

2. He was not "the only economist" predicting the real estate bubble would collapse. There were others, though they were a small minority.

I would also bet anyone that this guy will be right until he is spectacularly wrong. He will lose his clients 50%, 60% or even 70% or more of the money they will have made from top of the gold bull market / bubble after it inevitably ends.

Would that be before or after QE III?

From wherever gold peaks at. Gold will peak at some point - $2000, $3000, $5000, I don't know. From there, gold will get crushed, and all those who deified his words will lose a tremendous amount of money. I've seen this happen many times before. Gold is a trading vehicle, not a religion nor a political ideology. Anyone treating it as such will lose a lot of money when this ultimately ends.

And those buying dollars and bonds?