Your Retirement Income is at Risk! (part two)
By: Gary Christenson
GoldSeek.com
Wednesday, 31 August 2016
Discussed in Part One:
Richard Russell on “The Big Lie.”
“Central banks create fiat money, denigrate gold, and try to convince the people that the money they print is wealth. That’s the great lie behind fiat money.”
Social Security and the pension plans of many cities, counties, states, and countries are increasingly insolvent as zero and negative interest rates destroy fixed income investment returns.
Worse, pension benefits are paid in continually devaluing fiat currencies. If the currency becomes worthless, so are your pension benefits. Zimbabwe, Venezuela, Argentina, and many more come to mind. The dollar, euro, pound, and yen are better by comparison, but that only means their devaluation, so far, has been less drastic. A pack of cigarettes cost $0.25 in the US fifty years ago. Today that same pack is $5.00 to $12.00 depending on taxes. But price increases are fueled by devaluing currencies.
Central bank inspired zero interest rates and negative interest rates destroy the returns on fixed income debt – notes and bonds – and thereby destroy the investment returns that pension plans require to pay out promised benefits.
The Rest…HERE
