Americans who want to pay their way in the new world order will need a substantial reserve of gold coins.

June 16, 2011 – Americans who want to pay their way in the new world order will need a substantial reserve of gold coins. It is that simple.

Fareed Zakaria’s “The Post-American World” warns us all to face the reality of the third great power shift of the past 500 years – “the rise of the rest.” First came the emergence of the western world followed by the rise of the United States. We reached our zenith in the 1990s, as nearly a century of social, political, and economic dominance culminated in “an American imperium, a unique, unipolar world in which the open global economy has expanded and accelerated dramatically.”

We should take great pride in what we have wrought and not resist the change. Instead we have frittered away our wealth in defiance. But in the beginning we were engrossed in a consumption binge, voraciously devouring everything emerging economies now put within our means. As our own production slipped we didn’t slow down – we merely substituted credit for cash.

Noted scientist and economist Chris Martenson compiled the Fed’s total US credit market debt and found that it has doubled five times over the past four decades, almost ideally fitting an exponential curve. Had we incurred the debt for financial growth instead of consumption, it is unlikely that we wouldn’t be in this fix today. But when credit flattened out in 2008, we suddenly fell far behind the trend.

“This is why Bernanke can print a few trillion and not really accomplish all that much,” Martenson says, “because the main engine of growth expects, requires, and is otherwise dependent on credit doubling over the next decade.”

The era of borrowing to fund “outsized government budgets and promises, overconsumption of nearly everything imaginable, bloated college tuition costs, and rising prices in healthcare utterly disconnected from economics” is over and “there’s no possibility of a return of generally rising living standards for most of the developed world.”

As the rise of the rest carries us into the post-American world, the dollar will decline to worthlessness in the global markets. With gold coins, on the other hand, we will always be able to buy the things we need.

Kevin Johnson

Senior Staff Writer – GoldCoin.net