Why Policy Advice Is Futile And What You Should Do Instead
By Detlev Schlichter
Paper money collapse is inevitable. Our present system of elastic money is not only suboptimal it is also unsustainable. As I show in my book elastic money must lead to the accumulation of imbalances, to capital misallocations, and to resource mis-pricings. Those must lead, over time, to economic disintegration and chaos.
The present system must end, it will end, it will now certainly end badly. And probably soon. As it is inevitable it doesn’t matter what I wish. To wish that this would not happen would be as sensible as to wish that the present summer would not end, and that the days would not get shorter. I don’t wish it and I don’t fear it. The system must go. Good riddance.
What I do fear, however, are the political consequences and the societal fall-out from the crisis, and I particularly fear the responses it will provoke from governments and state officials.
Of course, the fiat money crisis is not a natural catastrophe. It is entirely man-made. It is the direct consequence of political decisions and political action.