According to his latest interview by King World News, economist John Williams of ShadowStats said, and I quote, "The US government is Insolvent". "The 2010 Financial Report of the United States Government showed a GAAP-based 2010 deficit of $2.080 trillion, which widened from $1.254 trillion in 2009".
"Broader GAAP-based federal deficits, including the Social Security and Medicare unfunded liabilities, have been in the $4 trillion to $5 trillion range in 2008 and 2009, and 2010’s deficit again likely was near $5 trillion, remaining both uncontainable and unsustainable. The federal government cannot cover such an annual shortfall by raising taxes, as there are not enough untaxed wages and salaries or corporate profits to do so".
This is extremely bullish for commodities particularly for gold and silver prices, as the Federal Reserve will have to continuously print money out of thin air in order to buy the US government Treasury Bond, thereby debasing the US dollar, and would very likely lead to hyper-inflationary US$ currency collapse. When that happens, gold and silver price will go through the roof.
For Investment and Asset Protection: "Gold is the Money of Kings, Silver is the Money of Gentlemen" Norm Franz
