Zombiedom

Monday, July 18, 2011
By Paul Martin

Sticking With the Golden Formula As Empires Crumble

by Bill Bonner
LewRockwell.com

Yesterday, the concrete cracked…the glass broke…empire continued to crumble.

Not that there was anything special about yesterday. This happens every day.

In the markets, the Dow fell 54 points. Gold rose to a new record of $1,587.

“Sell stocks on rallies; buy gold on dips.”

That has been our advice for the last 11 years. Don’t we have anything to add? Haven’t we discovered any new tricks? Isn’t it time to try a different strategy?

Nope. Stick with the formula. It’s a formula that doesn’t work very often. But when it does…it’s, well, golden.

It doesn’t work very often because empires and their money don’t fall apart very often. Usually, you can trust Caesar and coin to stay put. More or less. But now, Caesar’s money is phony. And it has allowed the empire to grow in absurd and grotesque ways…so its center of gravity no longer rests on a solid foundation. The whole thing tilts to the left…and appears close to toppling over.

According to the papers, Republicans and Democrats work feverishly to set things right. The Republicans want spending cuts, but no new taxes. The Democrats want higher taxes…but few spending cuts.

Surely they’ll get their act together sooner or later, say the journalists. If not, it will be like “committing suicide,” says a source in The Financial Times.

Hmmm…

The Rest…HERE

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