As Italian bond yields have made Italy’s mafia debt unsustainable, so too will our mafia’s debt become unsustainable for the exact same reasons. After which we may turn our eyes to the former Soviet Empire to see what lies in store for us.
With in the course of a day, Italian bond yields jumped by nearly 1%. This increase will cause Italy’s debt to become unserviceable; meaning that it can not even make its interest payments. This can only be ended by bankruptcy or by the printing of money by the European Central Bank. In America, the Fed will print money to forever keep the rates on our bonds from ever doing the same thing. This will eventually lead to the total destruction of the money supply.
Here is legendary investor Jim Rogers explaining:
“We’re certainly going to have more crises coming out of Europe and America; the world is in trouble. The world has been spending staggering amounts of money that it doesn’t have for a few decades now, and it’s all coming home to roost,” Rogers, CEO and chairman Rogers Holdings told CNBC.
Rogers suggests that the failing States should declare a bankruptcy to hold the system together. Clearly I disagree with Rogers on this point. The States should print money until they destroy themselves entirely. Saving this corrupt system would simply blight humanity with another century of welfare and warfare.