2011-09-30

对话华商领袖郭鹤年 FULL VERSION

企业家都有一种使命感。赚钱当然是最重要的工作,可是,当获得大量金钱后,使命感便会油然而生。没有使命感,一个人很快便想到退休,每天在高尔夫球场出现。

许多人比我聪明,不过,聪明的人夜生活比较乱,第二天可能在桌上睡着,我没有睡,所以我的马儿就跑得比较快。





http://wiki.mbalib.com/wiki/%E9%83%AD%E9%B9%A4%E5%B9%B4

2011-09-29

Gisele Bundchen, Warren Buffet, and Donald Trump

What do Victoria Secret model Gisele Bundchen and billionaire Warren Buffett have in common?
Besides fame, fortune, and investing smarts (yes, models have brains), they both hated the U.S. dollar... and may still to this day.

You see, back in 2007, the catwalk princess refused to be paid in U.S. dollars.

Bundchen requested she be paid "only euros" because, as Bloomberg pointed out at the time, the dollar "can only depreciate because Americans led by President George W. Bush are living beyond their means."

Even Buffett could be heard laughing when asked about the world's best currency: "Not the U.S. dollar," he'd often say.

Today Donald Trump is joining the anti-dollar ranks, having just accepted $200,000 in gold bullion for office space.

And it may be one of the smartest things Trump has ever done, knowing that as long as Bernanke is Fed chief, gold will be a great investment moving forward.

It's up to you how you want to trade this.

Personally, I'd opt for options. Much more money is made there than with stocks.

And hey, you never know — you could end up with a supermodel on your arm on your way to the bank.

Stay Ahead of the Curve,
Ian L. Cooper
http://www.wealthdaily.com/articles/2011-gold-forecast/3241

What’s Happening to Gold?

Central banks are the only ones who could move the price of gold that drastically that quickly. If the central banks are selling gold to raise cash, that’s not good news for the world economy. If they’re raising cash, then the economy is very weak. This isn’t good.

Then again, the price of gold could be coming down because the economy is strong. Gold is generally a fear investment, and if fear is going down, then the price of gold comes down.

If the sell-off in gold is because the economy is strong and growing again, the sell-off in gold is good news for the economy.

Another reason for the sharp fall in the price of gold could be that we’re simply overdue for a correction. Gold has gone up for over ten years without a major correction—so we were long overdue.

Back in July 2011, gold was below $1,500 and trading around $1,480. I was excited, thinking gold would go down below $1,300. Then over night, gold shot up over $1,500 and kept heading up. Like many people, I panicked and thought I missed the move up. Rather than buy, I stood on the side and watched the price of gold climb as smaller central banks, such as the Bank of Korea, began buying.

Is this time to buy gold and silver?

My answer is always the same. You need to do your own study and research, and test for yourself. If you can’t tolerate the ups and downs of markets, it’s best to allow someone else to invest for you, regardless of what you invest in.

I’ve bought gold since the 1970’s, when it was $85 an ounce. I love gold simply because I don’t trust our government and corporate leaders. That hasn’t changed.

If you trust our corporate and government leaders to fix our global economic problems, then gold is not for you. Stocks might be a better investment.

If gold breaks $1,400 an ounce and silver breaks $24 an ounce, I might begin buying again. For now, I have enough, and it’s never good to become greedy.

Remember, there are only two emotions that drive a market: greed and fear. Right now, fear is in control, which is good because if gold keeps dropping in price, and I’ll be able to buy more at lower prices. When fear is strong and prices are low, then greed creeps back in and buyers like me begin buying again.

What’s most confusing to me, however, is that everything is down. Stocks are down, oil is down, gold is down, home sales are down, and jobs are down. It seems fear is everywhere.

To me, this is not a good sign. If everything is down, we’re all going down. If everything is going down, a gun might be your best buy.

Thank you for supporting COR.
Robert Kiyosaki

Side read:

Are Brown and Kerry really that concerned about the paper dollar bill, or is their another motive behind their proposed act?
The Dollar Coin Alliance claims the two senators are trying to protect Crane&Co., a business in their home state of Massachusetts that supplies the paper used to create dollar bills.
http://www.wealthwire.com/news/metals/1951

2011-09-28

太极

太极生两仪,两仪生四象,四象生八卦.

一生二,二生三,三生万物;万物归一,本来无一物。

2011-09-27

None Dare Call It Conspiracy

Government either gets money by taxing or borrowing. The super-rich got that way by leveraging the latter. But does anyone really understand how that government borrowing works?

From Gary Allen's famed 1971 classic None Dare Call It Conspiracy:

The public is led to believe that our government borrows from "the people" through savings bonds. Actually, however, only a small percentage of the national debt is held by individuals in this form. Most government bonds, except those held by the government itself through its trust funds, are held by vast banking firms known as international banks. For centuries there has been big money to be made by international bankers in the financing of governments and kings.

The process through which one collects a debt from a government or a monarch is not a subject taught in the business schools of our universities, and most of us - having never been in the business of lending money to kings - have not given the problem much thought. But there is a king-financing business, and to those who can ensure collection it is lucrative indeed.

Whenever a business firm borrows big money its creditor obtains a voice in management to protect his investment. Like a business, no government can borrow big money unless willing to surrender to the creditor some measure of sovereignty as collateral. Certainly, international bankers who have loaned hundreds of billions of dollars to governments around the world command considerable influence in the policies of such governments.

Since the keystone of the international banking empires has been government bonds, it has been in the interest of these international bankers to encourage government debt. The higher The debt the more the interest. Nothing drives government deeply into debt like a war; and it has not been an uncommon practice among international bankers to finance both sides of the bloodiest military conflicts.

But while wars and revolutions have been useful to international bankers in gaining or increasing control over governments, the key to such control has always been control of money. You can control a government if you have it in your debt; a creditor is in a position to demand the privileges of monopoly from the sovereign. Money-seeking governments have granted monopolies in state banking, natural resources, oil concessions and transportation. However, the monopoly which the international financiers most covet is control over a nation's money.

Eventually these international bankers actually owned as private corporations the central banks of the various European nations. The Bank of England, Bank of France and Bank of Germany were not owned by their respective governments, as almost everyone imagines, but were privately owned monopolies granted by the heads of state, usually in return for loans. Under this system, observed Reginald McKenna, President of the Midlands Bank of England, in 1939: "Those that create and issue the money and credit direct the policies of government and hold in their hands the destiny of the people." Once the government is in debt to the bankers it is at their mercy.



2011-09-26

Provoking Thoughts : Cancer treatment is about making money?

video on internet:


from a fwd mail...


The below is absolutely 100% true and as a doctor I have been telling people this for 15 years now. No one wants to listen. Folks need to wake up. Cancer treatment is about making money. It is a 120 billion dollar a year industry in the United States alone and estimated to be a 600 billion dollar a year industry worldwide.



A successful cancer case according to the American Cancer Society and the American College of Oncology and Hematology means that the person survives for 5 years. Both the American Cancer Society and the American College of Oncology and Hematology admit that a person is likely to survive cancer for 7 to 10 years even if they do absolutely NOTHING. Of course, only the doctors get those magazines - not you, the cancer patient.

 Alternative medicine's track record of curing cancer is 10 times higher than that of conventional medicine. Note that I say CURE.

 Remember another thing. 
A TUMOR is just a symptom. 
It is not the cause of cancer.
Science is cause and effect. 
Remove the cause and the effect disappears.

 I am in my third battle with cancer right now. I have not done any chemotherapy or radiation or surgery for any of my bouts with cancer. I survived leukemia, I survived Non Hodgkins Lymphoma and now I have Glioblastoma which is supposedly an incurable form of brain cancer. I was given two months to live 5 months ago. I have been using Chinese herbs, high doses of vitamin C, acupuncture, chiropractic, homeopathy and nutritional changes. Yes, at first it got worse. It had metastasized to my lymph nodes, my lungs and my bones. As of this week, I am happy to say that there is no evidence now of any cancer in my lymph system or my bones. I had 6 tumors in my lungs, now there are only two. The tumors in my brain have shrunken tremendously. I never did any of their chemo, radiation or surgery.

 Here is a very interesting statistic that you can only have access to by being a doctor. Every year more than 1,000 doctors oncologists (cancer doctors) are diagnosed with cancer. Less than 10% of them choose to do the treatment that they have been giving to their patients. Sort of like the fact that less than 25% of all pediatricians vaccinate their own children because of the fact that the risk of sudden death or serious side effects from the vaccination is higher than the risk of catching the disease one is being vaccinated for. This is not bullshit people - it is truth.

 Medicine is about money, not about your health and the system traps people, especially the elderly, disabled and poor into a deadly treatment regime that puts them in an early grave. Meanwhile, all the jet set billionaires are flying off to Europe and paying big bucks for alternative treatments and getting cured.

 Does alternative medicine work all the time? No. Of course not. Nothing works all the time. But there is a reason for that. You don't die until it's your time to die. Nothing can make you live longer than that time.

 However quality of life comes into play. Those cancer patients who use alternative therapies for their cancer, yet still die from the illness, suffer a much higher quality of life. They die able to spend time with their families and even recognize their family members. They don't become emaciated like those who do chemotherapy or radiation do and rarely is a person who goes under the treatment of chemotherapy able to recognize anyone for the last few days of their lives. Their bodies become ravaged to the point that you can't even recognize them either. They suffer at a much much higher rate and they have one let down after another as doctors tell them, ahhh - it's looking good, only to tell them on the next visit it's looking worse, you need more chemo and radiation.

 What is criminal about this is that YOUR DOCTORS KNOW THIS SHIT. I took an oath as a physician. I have always followed it. That has certainly not made me successful financially as a doctor because I have consistently refused to go along with conventional medicine's bullshit.

 Read the below carefully. It may indeed make a difference in your life.

Rick Cantrell, PhD, MD, PsyD AFTER YEARS OF TELLING PEOPLE CHEMOTHERAPY IS THE ONLY WAY TO TRY ('TRY'  BEING THE KEY WORD) TO ELIMINATE CANCER, JOHNS HOPKINS IS FINALLY STARTING TO TELL YOU THERE IS AN ALTERNATIVE WAY .
  
Cancer Update from Johns Hopkins 
1. Every person has cancer cells in the body. These cancer  cells do not show up in the standard tests until they  have 
multiplied to a few billion. When doctors tell cancer patient that there are no more cancer cells in their bodies after treatment, it just means the tests are unable to detect the cancer cells because they have not reached the detectable size.

2. Cancer cells occur between 6 to more than 10 times in a person's lifetime.
3. When the person's immune system is strong the cancer cells will be destroyed and prevented from multiplying and forming tumor.

4. When a person has cancer it indicates the person has  nutritional deficiencies. These could be due to genetic, but also to environmental, food and lifestyle factors.

 5. To overcome the multiple nutritional deficiencies,  changing diet to eat moreadequately and healthy, 4-5 times/day and by including supplements will strengthen the immune system.

6. Chemotherapy involves poisoning the rapidly-growing cancer cells and also destroys rapidly-growing healthy cells  in the bone marrow, gastrointestinal tract etc, and can cause organ damage, like liver, kidneys, heart, lungs etc

7.Radiation while destroying cancer cells also burns,  scars  and  damages healthy cells, tissues and organs.

 8. Initial treatment with chemotherapy and radiation will often reduce tumor size. However prolonged use of chemotherapy and radiation do not result in more tumor destruction.                          

9. When the body has too much toxic burden from chemotherapy and radiation theimmune system is either compromised or destroyed, hence the person can succumb to various kinds of infections and complications.   

10. Chemotherapy and radiation can cause cancer cells to  mutate and become resistant and difficult to destroy.  Surgery can also cause cancer cells to spread to other sites.
                     
11. An effective way to battle cancer is to  starve the cancer  cells by not feeding it with the foods it needs to multiply
 . 
*CANCER CELLS FEED ON

a. Sugar substitutes like NutraSweet, Equal, Spoonful, etc are made with Aspartame and it is harmful. A better natural substitute would be Manuka honey or molasses , but only  in very small amounts. Table salt has a chemical added to make it white in color. Better alternative is Bragg's aminos or sea  salt.

b. Milk causes the body to produce mucus, especially in the gastro-intestinal tract.Cancer feeds on mucus. By cutting off milk and substituting with unsweetened soy milk cancer  cells are being starved.

c. Cancer cells thrive in an acid environment. A meat-based diet is acidic and it is best to eat fish, and a little other meat, like chicken. Meat also contains livestock  antibiotics, growth hormones and parasites, which are all  harmful, especially to people with cancer.                                  

d. A diet made of 80% fresh vegetables and juice, whole grains, seeds, nuts and a little fruits help put the body into an alkaline environment.  About 20% can be from cooked food including beans. Fresh vegetable juices provide live enzymes that are easily absorbed and reach down to  cellular levels within 15 minutes to nourish and enhance growth of healthy cells. To obtain live enzymes for  building healthy cells try and drink fresh vegetable juice (most vegetables including bean sprouts) and eat some raw vegetables 2 or 3 times a day. Enzymes are destroyed at temperatures of 104 degrees F (40 degrees C).     

e. Avoid coffee, tea, and chocolate, which have high  caffeine Green tea is a better alternative and has cancer   fighting properties. Water-best to drink purified water, 
or  filtered, to avoid known toxins and heavy metals in tap water.      

12. Meat protein is difficult to digest and requires a lot of digestive enzymes. Undigested meat remaining in the intestines becomes putrefied and leads to more toxic buildup.               

13. Cancer cell walls have a tough protein covering. By refraining from or eating less meat it frees more enzymes to attack the protein walls of cancer cells and allows the body's killer cells to destroy the cancer cells.  

14. Some supplements build up the immune system (IP6, Flor-ssence, Essiac, anti-oxidants, vitamins,  minerals, EFAs etc.) to enable the bodies own killer cells to destroy cancer cells.. Other supplements like vitamin E are known to cause apoptosis, or programmed cell death, the body's normal method of disposing of damaged, unwanted, or unneeded cells.

15. Cancer is a disease of the mind, body, and spirit. A proactive and positive spirit will help the cancer warrior be a survivor. Anger, un-forgiveness and bitterness put  the body into a stressful and acidic environment. Learn to have a loving and forgiving spirit. Learn to relax and  enjoy life.

16. Cancer cells cannot thrive in an oxygenated environment. Exercising daily,and deep breathing help to get more oxygen down to the cellular level. Oxygen therapy is another means employed to destroy cancer cells.

 1. No plastic containers in micro.
          2. No water bottles in freezer.
 3. No plastic wrap in microwave.             

Johns Hopkins has recently sent this out in its newsletters. This information is being circulated at Walter Reed Army Medical Center as well. Dioxin chemicals cause cancer, especially breast cancer. Dioxins are highly poisonous to the cells of our bodies. Don't freeze your plastic bottles with water in them as this releases dioxins from the plastic. Recently, Dr Edward Fujimoto, Wellness Program Manager at Castle Hospital , was on a TV program to explain this health hazard. He talked about dioxins and how bad they are for us. He said that we should not be heating our food
in the microwave using plastic containers. This especially applies to foods that contain fat. He said that the combination of fat, high heat, and plastics releases dioxin into the food and ultimately into the cells of the body. Instead, he recommends using glass, such as Corning Ware, Pyrex or ceramic containers for heating food. You get the same results, only without the dioxin. So such things as TV dinners, instant ramen and soups, etc., should be removed from the container and heated in something else. Paper isn't bad but you don't know what is in the paper. It's just safer to use tempered glass, Corning Ware, etc. He reminded us that a while ago some of the fast food restaurants moved away from the foam containers to paper. The dioxin problem is one of the reasons.
          
 Please share this with your whole email
 list.........................
 Also, he pointed out that plastic wrap, such as Saran, is
 just as dangerous when placed over foods to be cooked in the microwave. As the food is nuked, the high heat causes poisonous toxins to actually melt out of the plastic wrap and drip into the food. Cover food with a paper
towel instead.

This is an article that should be sent to anyone important in your life.

2011-09-25

Travel The World 3 Times, Sponsored

How do you like the idea of travel the world for one time, then get sponsored for the second time for the same world tour, then get paid again to travel the world?

Then you have to Think Different, Do Things Differently!



This is the latest "travel trip" of Matt:



『與世界共舞』的網路名人Matt Harding自創的詼諧舞蹈旅行日記為藍本,塑造出一個以旅遊為主題的Visa新廣告。廣告中看到他胖胖的身影在中國、印尼、日本、新加坡、美國與越南等國家盡情跳舞。

Note the advice: 谨慎理财,信用至上!

This is the first version that made him famous and get sponsored for the next 2 world tour trip (14 months in the making, 42 countries, and a cast of thousands):

Where the hell is Matt?

2011-09-24

The Thinking Man

Be The Thinking Man
Thong Ming Sen



Make money your God and it will plague you like the devil. ~ Henry Fielding

In today's world, greed rears its ugly head in the form of insatiable thirst for materialistic wealth.

We deceive ourselves into thinking that we will be content if we get what we want only to find out that the happiness is only temporary and before long, we are craving for more and better items, just as how drug abusers crave for more drugs.

If the remedy for drug abuse is rehabilitation programmes, then the remedy for greed is looking for non-materialistic joy.

If criticism are fired at you, remember that no one kicks a dead dog. The fact that you are being criticised shows that you are "worthy" of it.

Furthermore, life is a marathon, not a race.

The good thing about life is that if you are good, there's always someone better than you, and if you are bad, there are always others who are worse.

The sands of time are such that the past, present and future are only separated by a blink of an eye. It traps those who regret about the past and worry about the future. Realise the very simple fact that history is non-changeable and that what will be, will be.

The present only exists for a blink of the eye, so use it to the fullest. Life will be a lot easier in the present if only we can accept that, in this imperfect world of ours, nothing is perfect.

It's natural to have expectations, but keep them realistic.

This will mentally prepare you for any eventualities between the two extremes.

The golden rule is to be like the Thinking Man and unravel the truth of the mysterious "common sense", and truly and sincerely accept it; then and only then will common sense become wisdom.

Additional readings:

Can You Handle The Truth? Check out also message to occupy Wall Street.

2011-09-23

Mister Potato and Man Utd

The packaging of Mister Potato products, which is exported to more than 80 countries, now comes with the images of football icons like Wayne Rooney, Ryan Giggs and Park Ji-Sung.

It makes business sense for a product like Mister Potato, which has a heavy presence in the Asia-Pacific region, especially in Korea, Japan and Australia.

With an estimated 333 million Manchester United fans worldwide of which 190 million are in Asia, such a deal would have been foreseeable. And believe it or not, it is estimated that there are between four and five million in Malaysia!

Football is the world's No. 1 sports and Manchester United is the world's No:1 club and linking it to Malaysia's favourite potato crisps is the ultimate culmination of a deal that provides a global stage for the expansion of the product in markets where the football club's footprints have already been embedded.

The endeavour to bring out a product whose quality matched global standards started in a humble factory in Malacca.

http://www.thesundaily.my/news/152273

2011-09-22

In 2035, China Will ...

By 2035, income per person in China will reach the current U.S. level. If they spend that money like American do, here's how the resource picture will look in about twenty years' time.

In 2035...
China's 1.38 billion people will use 80% as much paper as is produced globally today. That will leave 20% of the paper for the remaining 84% of the population...Hello, forestry boom.


China would also need 1.5 billion tons of grain annually to feed those 1.38 billion people. That's 70% of what the world produces annually. Will the remaining 30% of grain be enough to feed the remaining 7.1 billion people in the world?...Hello, agriculture boom.


China will also have 1.1 billion cars by then. That's as many as are currently in the world, so imagine every car in the world today being in China...To host that many cars, China would needs roads, highways, and parking lots currently equal to 66% of the land it uses to grow rice. If it has to pave all that land, how will it meet its demand for all that grain? ... Hello, infrastructure boom.


Finally, the most revealing statistic and the reason we're all here...

By 2035, China would need 85 million barrels of oil per day. That's about equal to the TOTAL daily global production. Yes, China will need all the oil in the world...Hello, oil boom.


What China is teaching us is that the western economic model — the fossil-fuel-based, automobile-centered, throwaway economy — will not work for the world. If it does not work for China, it will not work for India, which by 2035 is projected to have an even larger population than China. Nor will it work for the other 3 billion people in developing countries who are also dreaming the “American dream.”
And in an increasingly integrated global economy, where we all depend on the same grain, oil, and steel, the western economic model will no longer work for the industrial countries either.


The Point

Of course, the point is to prosper as all this plays out.

You do that by investing in the glaringly bright bull markets highlighted above. Buy forestry, agriculture, infrastructure, and energy.

We focus mostly on the latter, but all are thoroughly intertwined. Cheap energy makes industrial forestry, agriculture, and infrastructure possible and profitable. You can't have one without the other.

And that's why, as we approach this resource crunch, all forms of energy will be on the table. Oil (conventional and unconventional), natural gas (fratured or otherwise), nuclear, and renewables are all in for a groundswell.

The entire world will be battling for these resources.

http://www.energyandcapital.com/articles/global-resource-crunch-china/1794

Related: Sell Gold, Buy Farmland

2011-09-21

Thinking the Unthinkable in Europe

Kidnapping the world with a structured and well planned financial crisis?

------------------------------------------------------------------------------------------------------------------------------- Thinking the Unthinkable in Europe ------------------------------------------------------------------------------------------------------------------------------- Measures will have to be taken to prevent a financial meltdown in the eurozone as a whole.

First, bank deposits must be protected.

At the same time, the European banking system would have to be recapitalized and put under European, as distinct from national, supervision.

Finally, government bonds issued by the eurozone’s other deficit countries would have to be protected from contagion.

The last two requirements would apply even if no country defaulted.

So there is no alternative but to create the missing component: a European treasury with the power to tax and, therefore, to borrow. This would require a new treaty, transforming the European Financial Stability Facility (EFSF) into a full-fledged treasury.

The euro exists, and the global financial system’s assets and liabilities are so intermingled on the basis of the common currency that its collapse would cause a meltdown beyond the capacity of the German authorities – or any other – to contain. The longer it takes for the German public to realize this cold fact, the higher the price that they, and the rest of the world, will have to pay.

George Soros is Chairman of Soros Fund Management and of the Open Society Institute.

http://www.project-syndicate.org/commentary/soros71/English

------------------------------------------------------------------------------------------------------------------------------- George Soros: How to Avoid a Great Depression ------------------------------------------------------------------------------------------------------------------------------- Soros shares four policy measures recommendations, as shared by CNBC.com, to help with this European financial crisis:

Bank deposits have to be protected to prevent bank runs in weaker states;
Some banks in the defaulting countries have to be kept functioning to keep their economies afloat;
The European banking system would be recapitalized and put under European-, as distinct from national-, supervision;
Government bonds of other deficit countries would have to be protected.

Soros says that the breakdown of the euro, thorough all of this, must be avoided. The euro is a common currency among many countries and its breakdown would “…cause a meltdown beyond the capacity of the authorities to contain.”

http://www.wealthwire.com/news/economy/1861

------------------------------------------------------------------------------------------------------------------------------- George Soros & Nouriel Roubini: Greece Should Default ASAP ------------------------------------------------------------------------------------------------------------------------------- The infamous economist Nouriel Roubini told the Financial Times that it'd be best for Greece to return to its previous currency: the drachma. Without any other viable solutions, Greeks runs a cyclic case of insolvency and will only plummet further into depression.

Billionaire hedge fund investor George Soros seconds Roubini's notion:
"The lack of a central European treasury has too often made state-by-state solutions to the crisis a day late and dollar short. "No concessional [borrowing] rates for Italy or Spain and no preparation for a possible default and defection from the eurozone by Greece" have made the crisis increasingly intractable. Added to that, the Germans have declared the European Financial Stability Facility to be unconstitutional."

Currently, the Greek public debt is close to 200 percent of the country's entire gross domestic product.

http://www.wealthwire.com/news/economy/1885

2011-09-20

Ticket to Freedom: A Value at Any Price

The Wall Street Journal recently reported: “Canadian and Chinese agents say Chinese buyers are looking for longer-term investments to diversify their holdings outside of the mainland.”

And they’re right. The Chinese want to get their money out of China. And that’s the critical point that will affect you, me, and our financial futures.

A Value at Any Price

The Chinese are buying up international property largely because it’s the only way they can get money out of the country.

There are so many rules governing Chinese citizens and their money. They can’t have money in foreign bank accounts... They can only leave the country with a limited amount of cash... In short, they have very few options by which to shield their money from the Chinese government.

The only reasonable way for most wealthy people in China to get money out of the country is to buy property.

And it’s why they are willing to pay absolutely absurd prices. They may pay $3 million for a place that’s really worth $1 million because the real value is not in making money on the property or having a stable income from renters; it’s in having money out of China, the modern equivalent of an insurance policy on their own financial freedom.

The Chinese government may take their factories, homes, bank accounts, and everything they own on a bureaucrat’s whim. And they can do it for the “greater good” or any other sudden and unexpected reason. But the government can’t take their international property holdings.

The Chinese aren’t just buying a summer home. They’re buying a ticket to freedom if they ever need to exercise it.

And that’s why the Chinese are seeing a value at any price.

The Vancouver real estate bubble (http://howtze.blogspot.com/2011/09/how-to-spot-bubble.html) is a perfect example. If it weren’t for the Chinese trying to get one foot out of their own country, the prices would likely be half of what they are today.

Financial repression creates massive dislocations in markets around the world.

Fortunes will be made by those of us who can spot these dislocations and what’s really driving them...

And by being prepared for what’s coming and understanding what is going on around the world, you can ensure your fortune stays where it belongs — in your own hands.

Good Investing,
Andrew Mickey

2011-09-19

How To Spot A Bubble

More than Location, Location, and Location

What's driving any major real estate bubble is the critical thing here.

I’ve been staying in an apartment in one of the newest buildings in the city, the Fairmont Pacific Rim hotel. A room here will set you back at least $500 a night during the peak summer season (if one is even available).

I’m staying in the residential part of the hotel. And it’s the epitome of a real estate bubble.

My place is a two-bedroom, 2,000 square foot condominium.

Don’t get me wrong, it’s nice. The shower has seven heads, the blinds go up and down via remote control, the view is tremendous...

But it’s not as nice as the numbers make it out to be.
You see, this condo was originally bought for $3.2 million. The mortgage on that would be about $18,000 a year at current interest rates. And it’s a condo, so there are all kinds of other fees and costs on top of that. The monthly fees exceed $1,500. The taxes are a few hundred dollars a month, too.

All in all, the cost of owning it is about $20,000 a month in what real estate analysts call Owner’s Equivalent Rent (OER).

The rent, meanwhile, is a relatively small $5,000 a month. So the price-to-rent ratio — a key indicator of real estate values — is an astonishing four to one.

In other words, the cost to own is four times higher than the cost to rent.

This is absurd.

At the top of the U.S. real estate bubble, the average price-to-rent ratio peaked at about 1.65 to one. The long-term sustainable price-to-rent ratios usually hang around one to one or slightly above or below.

When you ask local Vancouverites about real estate prices, they are filled with the same bubble-speak we’ve all heard before:

"It’s different this time... It’s different here... This will never end... Housing prices only go up..."

Good investing,
Andrew Mickey

2011-09-18

A Week In Review: 两线制,天下没有白吃的午餐,历史

两线制不外乎两只狼和一只小绵羊决定晚餐吃什么的游戏。无可否认,它好过一只狼一只小绵羊的局面。但现实是,到最后被端上餐桌的,还是小绵羊。

如果你是一家公司的“老板”,在任何时候都有权力对腐败或越权的员工进行惩罚,甚至开除他们。在主流媒体渲染下的所谓民主,“老板”们要对犯错的“公仆”进行惩罚,只有少得可怜的那么两年或四年一次的机会,更甚的是,其他“老板们”必须和你站在同一阵线,你才能够真正教训失职的代表(多数票赢)。

沒有免費午餐 No Free Lunch

當你擁有的是民粹主義的民主時,為了贏得選票,你就得越給越多。為了在下一屆選舉中打敗對手,你必須承諾給得更多。這是個無止境的‘競標’和‘成本’(auctions and costs),債務最終得由下一代來償還。
http://www.sinchew.com.my/node/219697?tid=2

為了政治而派錢,將陷入惡性循環。民聯派100,國陣派200,永遠滿足不了人們的胃口。“天下沒有免費的午餐”,人民遲早要償還收到的財援,這個道理有幾個人懂?...
http://opinions.sinchew-i.com/node/21004?tid=19

派錢措施固然能為部份國民解決燃眉之急,然而,更實際的紓解民困辦法,還是通過扶貧政策,不分種族地協助低收入的人民增加入息,或讓從事勞動行業、小販及中小型工業者獲得貸款便利、特別獎掖和津貼,協助他們發展生意。
http://opinions.sinchew-i.com/node/21013

看一看, 天下乌鸦一般黑可以怎样诠释:

Weekend: Obama's Solar Scandal
By Nick Hodge | Saturday, September 17th, 2011

Solyndra was the first green company to get a loan guarantee from Obama's near-trillion-dollar stimulus.

It received $528 million of your tax dollars.

It was supposed to be the poster child of the stimulus, of Obama's ability to create jobs.

The company is now bankrupt... more than 1,100 jobs lost.

The Lesson

The lesson here is that government is corrupt.

And not white-lie corrupt; systematic-presentation-of-misleading-information-to-the-public-and-engineering-of-stories-to-benefit-their-inner-circle corrupt.

Both sides corrupt.

This loan was started by Bush, which I haven't told you yet and which hardly anyone knows.

Lookout for yourself. No one else is. It's not right versus left. It's wolves versus sheep.

http://www.energyandcapital.com/articles/obamas-solar-scandal/1773


如果你认为美国离我们很远,请记得:所有 Visa, Master,或 Diners Club 通行的地方,用的几乎都是同一个系统。

近期我们敬爱的首相所进行的政治秀,亲民策略,曝光率等动作,和美国奥巴马的所做所为也近乎相似,是吗?

历史 History

辯論永遠不會完結。雙方的說辭,不在史實之爭,而在於後人不同的背景、利益,以及意識形態。站在哪一個陣營,就絕對堅持本身的立場,否定對方。 英雄有時只是一種創造過程,根據各自的需要,而加以塑造
http://opinions.sinchew-i.com/node/20916?tid=17

Related: History and Politics

2011-09-17

Malaysia Highway Speed Trap Locations

Beware of permanent speed traps! Dunno how true it is but always better to be alert ...

PLUS North Bound (ke Utara)
*Under a bridge at about 456km, Sg Buloh junction.
*Under a bridge at about 459km, Bukit Lanjan interchange.
*Under the overhead restaurant at Sg Buloh.
*Under the last bridge before Sg Besi toll at 309.2km.
*Under the bridge at 296.5km, Bangi junction.
*Under the newly constructed bridge at 289.0km, after Nilai North junction.
*Under the bridge at 286.5km, Nilai North junction.


PLUS South Bound (ke Selatan)
*Below signboard at about 454.6km and 455.2km, Sg Buloh layby.
*Under the bridge after Subang junction at 11.3km.
*Under the bridge at 22km, Bukit Lanjan junction.
*Under the bridge before Mint hotel, Sg Besi Toll. 80km/h only!
*Under the bridge at 302.8km, Kajang junction.
*About 1km south of Bangi junction, both south and north bound outer lanes
*At 296.5km and 297km, Bangi junction.
*Under the newly constructed bridge at 289.0km, before Nilai North junction.
*At 285.5km and 285.8km, Nilai North junction.
*On center divider at 251.8km and 253km after Senawang junction.
*After Alor Gajah junction at 213.9km, next to water theme park.
*Behind the right hand crash barrier at 198.4km.

Elite Central Link East/North Bound
*On left hand side at 4.8km after Batu Tiga/Shah Alam exit
*Under the overhead restaurant at USJ/Hicom junction about 8.5km. 90km/h zone!
*Below the bridge before USJ/Hicom junction at 10.5km.

Elite Central Link West/South Bound
*Under the overhead restaurant at USJ/Hicom junction about 8.5km. 90km/h zone!
*Below the bridge before USJ/Hicom junction at 10.5km.
*After exit from KLIA toll to the airport, below Jalan Pekeliling flyover.90km/h

NKVE East/North Bound
*300m before Jalan Duta toll, 60km/h!
*Behind crash barrier on the left when going towards Jalan Duta toll, at 24.9km, 80km/h!
*Below bridge at Damansara Junction, 17.5km

NKVE West/South Bound
*Behind crash barrier on the left when leaving Jalan Duta toll from KL, at 25.3km and 25.7km, 80km/h!
*From Jln Duta, below the bridge, 23km, 80km/h zone!
*From Jln Duta, at the underpass at Sg Buloh Y-junction, 22km.
*Behind crash barrier at Damansara Junction, 17.7km and 16.8km
*Below railway bridge at 11.2km
*Under the bridge at Shah Alam junction.

Kesas East Bound
*Under the bridge at 44.8km, downhill run after Puchong junction.

Kesas West Bound
*At Sg Besi side of East Bound Toll. Kuala LumpurCity
*Jalan Duta; below the flyover at the Damansara junction, 70km/h zone.

Klang
*Dual carriageway between Klang and Port Klang. Towards Klang direction, at about 13km mile stone. 70km/h only!

East Coast
*Road sign at Karak highway is inadequate especially at Y junction; if you are unfamilar, go slow.
*East bound, downhill run after Raub junction.
*Maran, 60km/h zone.
*Paya Bungor, 70km/h zone.

SPEED TRAPS IN JOHOR South Bound
*Tangkak junction.
*Under the bridge after Yong Peng

North junction
*at 97.3km.
*Ayer Hitam junction.
*Sedenak junction.

SPEED TRAPS IN PERLIS, KEDAH AND PENANG
North Bound
*Around Ayer Hitam in 60km/h zone.
*Before Perwaja Steel.
*Sg Petani junction.
*Between Seberang Jaya junction and Sg Dua Toll.
*PenangBridge at island end.Speed limit 80km/h.

South Bound
*PenangBridgeisland end. Speed limit 80km/h.
*About 2km before Juru Toll Speed limit 90km/h.

SPEED TRAPS IN PERAK
North Bound
*Under the bridge at 197.1km and 198.8km, afterKamunting Junction.
*Under the bridge at 204.3km, after KamuntingJunction.
*Under the bridge at 208km, before Kamunting Junction.
*Under the bridge at 214.8km, before Kamuntingjunction.
*Ipoh Vista Point at about 263km. Speed limit 80km/h.
*Under the bridge at 271km, Ipoh North Junction.
*Under the bridge at 274.4km, Ipoh South Junction.
*Under the bridge at 286.9km, Simpang Pulai Junction.
*Under the bridge at 296km, Gopeng Junction.
*Under the bridge at 352.6km, after Sungkai Junction.
*Under the bridge at 353km, Sungkai Junction.
*Under the bridge at 373km, Slim River Junction.

South Bound
*Under the bridge at 199km, before Kamunting junction.
*Under the bridge at 241.9km, at Kalau Kangsarjunction.
*Under the sign post at 296.1km, before GopengJunction.
*Under the bridge at 297km, at Gopeng Junction.
*Under the bridge at 300km, after Gopeng junction.
*Under the bridge at 308.6km, after Gopeng junction.
*Under the bridge at 372.6km, at SlimRiverjunction.


MOST IMPORTANT IS: DON'T SPEED AND HAVE A SAFE JOURNEY

2011-09-15

Real Estates Projects - Landmark

First we have the Sepang Gold Coast with a palm tree shape, now we have Hibiscus shape:



Related: http://howtze.blogspot.com/2011/08/real-estates.html
http://www.sepanggoldcoast.com/
http://www.thehibiscus.com.my/

2011-09-14

Inflation Nation

Thanks to recent skyrocketing inflation, the citizens could no longer afford to eat.

The middle class was starting to starve.

There's an old saying that's used to define the temperament of oppressed people: “Bread and Circuses”...

It dates back to just before the fall of the Roman Empire in 100 A.D., and is derived from the observation that people will put up with nearly all sorts of tyranny and injustice, so long as the mob has food and entertainment.

What's happening across the world is a result of their food becoming too expensive.

Feeling the same pain, just days after the first protests in Tunisia, the riot fever spread to Algeria — where protesters hit the streets, carrying signs that read “We Want Sugar!”

Next to fall, for the same reasons, was Egypt... Then Libya.

You get the point. You hear about it every day.

But what many in the mainstream press fail to realize, is that these protests and riots aren't simply because of a harsh dictator.

Anyone over the age of 30 knows that people like Gaddafi and Mubarak have been in power for decades.

No — what's pushing countries in the Middle East and North Africa over the line is the skyrocketing cost of food, thanks to rampant inflation.

And it's not just the prices of food, oil, gold, silver, and other popular commodities, either...

It's all of them. And it's world-wide.

Over the past year...

Corn is up 76%
Wheat is up 44%
Soybeans are up 24%
Sugar is up more than 55%
And the list goes on...


It's a similar story right now in India, as thousands risk their lives and take to the streets to show their disgust against rising food prices.

NO OTHER FORM OF MONEY WAS ACCEPTED.

The people painfully realized that gold, unlike fiat money, couldn't be printed out of thin air.

The country was Zimbabwe. And their run of hyper-inflation was hardly an isolated incident. Just take a look at these other countries that experienced the same pains in recent years...



Make no mistake — it can and will happen to U.S, too.

Other countries across the world already see it coming. They know that in order to even keep the government running for another day, we're already committed to a vicious cycle of printing our way to oblivion.

The last time we saw a serious inflationary crisis looming was in 1980.

Back then, Fed Chairman Paul Volcker was able to keep it from getting too out of control by raising the interest rates to an astonishing 21.5%.

Of course, back then U.S were also the world's largest creditor nation. Today, they're currently the largest debtor nation.

Related:
The Illusion of Wealth

2011-09-13

Campaign and Contests (41-60)

Stepping into September 2011, the prizes are even more attractive and bigger, that includes a condominium unit worth RM200k+ and even some special items such as a Biodiesel Processor!

60. Win Your Very Own Biodiesel Processor Worth RM 70k with IGEM 2011

59. Win A Condominium, A Honda Accord, or Prizes Worth A Total of RM638,000 with Grand Imperial Group Promotion

58. Win HP Notebook, BlackBerry Torch, HTC Smart Phone, iPad and Panasonic Home Theatre with Bonuslink Ready, Aim, Shoot Contest

57. Win A Belum-Temengor Forest Trip for 2 with Bonus Link Go Green Campaign

56. Win Up To RM15,000 Raya Money with Tesco Watch and Win Promotion

55. Win Up to RM1,000,000 and Daily Prizes with Caltex 75 Years Surprizes Contest!

54. Win A Netbook with BEX-Asia Pre-Registration

53. Win Chery Tiggo and Home Appliances with Carrefour Salam Aidilfitri Promotion

52. Win RM42,000 Worth of Firefly Vouchers with HP Terbang Balik Kampung Contest

51. Win RM5,000 Cash With Petronas Saya Suka Malaysia Contest

50. Win Gadgets with Maybank’s Save and Win Campaign

49. Win Canon Products and Cash with Berjaya Youth Tell A Good Story Competition

48. Win Up To RM1,111,111 with MBF Cards

47. Win A Nissan Sylphy by Test Drive A Nissan

46. Win A Peugeot 308 Turbo with Gimme More via 207SV Purchase

45. Win Volkswagen Golf, Toyota Prius, Cash and More with Affin Bank’s OMG Savings Campaign

44. Win Up to RM1.8 Million Cash And Prizes with Colourland Bonanza Buka & Menang 2011 Campaign

43. Win A Brand New Smart Phone with Digi Deep Green Recycling Campaign

42. Win Ultimate Anfield Experience with Standard Chartered Liverpool FC Mastercard

41. Win Sony Cameras, iPods and iPad 2 with TM Open House Contest

2011-09-12

If you have the means, the more precious metals you can stock up on, the better off you are going to be. After all, the first time you are blessed with the opportunity to hold actual real gold coins in your own two hands will change your life.

Physical gold has been the solid monetary foundation of trade, commerce, and sustainable economic booms for almost all of human history.

Again, no one is going to complain about that sort of asset protection.

But while the dollar still has ground, I'm showing everyone I know how to take full advantage of it through a handful of stocks positioned to pay investors several times the gains that their physical counterparts make.

Over the coming months, it could make you extremely wealthy... Just as it has already increased the wealth of other investors more than 237% since November.

You see, while the dollar deteriorates — driving precious metals prices higher — something else happens...

The profits — and share prices — of the companies exploring for and mining those metals takes off disproportionately higher.

And the reason is simple: It costs the same amount to extract these metals, regardless of how high the spot prices are.

For example, a deposit with 1 million ounces of gold could be mined at an operating cost of $200 per ounce, whether gold sells for $300, $500, $1,000 or $2,000 per ounce.

The only difference is the higher the price of the metal, the higher the company's profit margins go. And the higher the share price surges.

In other words, finding the right mining and exploration companies all but guarantees to hand you several times more money than you could ever make by simply buying the physical metals.

Luke Burgess
Investment Director, Underground Profits



Related:
The Illusion of Wealth
Inflation Nation

2011-09-11

Online Campaign : Sugar Cane Juice Theory

榨甘蔗理论 进行网络推广,是把原本已经花费在传统广告的预算挤出更多效应来:
此外,作为虚拟世界的一个管道,它将非常有效地为您的企业做 24/7 、自动化、不间断的推广!

2011-09-09

Million Dollar Memo Contest

Some ideas for reference in promoting local tourism (in this case, the biggest winner is Queensland Tourism Board):

http://www.milliondollarmemo.com/en/about-the-competition

http://www.milliondollarmemo.com/en/news-and-events

From The Edge Financial Daily (Thursday, September 8, 2011)

Tourism Queensland CEO Anthony Haves said Queensland's tourism industry would be the ultimate winners of the Million Dollar Memo.

"When these 20 finalists return to their workplaces, we want them to tell their bosses that Queensland is the best place in the world to reward their starff," he said.
The campaign had been in the works for 18 months and was launched in March. Companies worldwide were invited to compete in the challenge by sending a 60-second video on what makes their companies a great place to work and why Queensland is the ultimate reward destination. A total of 291 entries were received - 70% from the Asia-Pacific - and this was whittled down to a top 70-shortlist and then a final 20. Related news: Tourism Queensland, which launched the award-winning “Best Job in the World” campaign in 2009 that helped promote tourism to the state, is hoping for greater success with its Million Dollar Memo contest launched in March... The contest is part of its global incentive strategy to target corporate clients in the incentive travel segment... http://www.theedgemalaysia.com/media-a-advertising/190053-hla-in-race-for-a1m-in-incentive-travel.html

2011-09-08

Sell Gold, Buy Farmland

A few headlines that seems related:

1. George Soros and Jim Rogers Selling Gold, Buying Farmland

Here’s a great trivia question for you.
What asset has appreciated more than any asset since the year 2000?
Answer: Farmland. 1,200%

A fund controlled by George Soros, the billionaire hedge-fund manager, owns 23.4 percent of a South American farmland venture Adecoagro. Commodities are still the best play for the long term and legendary investor guru Jim Rogers confessed that he has been buying farmland himself... the supplies of food are going to continue to be under pressure. This leads me to conclude that agriculture is going to be one of the greatest industries in the next 20 years, 30 years.

http://www.wealthwire.com/news/metals/1769

2. Bill Gates Just Bought $571 Million of This Stock

Recently, Bill Gates made a series of purchases of a stock - Deere & Co. (NYSE: DE), the world's largest farm equipment manufacturer, a leader in the production of equipment and machinery for the construction and forestry industries, and a top producer of lawn and garden tractors for homeowners. Gates has made purchases of about 7.5 mil shares worth about $571 million.

http://www.wealthwire.com/news/headlines/1805

3. Agriculture’s promising potential

Thailand

... to plant rubber and supply latex to a tyre factory.

China currently consumes one-third of the world’s supply of rubber.

Given promising growth prospects for cars, and by extension tyres, in East Asia in the medium term, should Malaysian plantation companies review their near-total dependence on a single crop for their earnings?

Mexico

Earlier this month, Aeromexico became the first airline to use a blend of jatropha biofuel and conventional aviation fuel to power a long-haul trans-Atlantic commercial flight from Mexico City to Madrid.

Last month, US-based technical standards body, the ASTM, cleared airlines to fly passenger planes with a blend of renewable fuel derived from inedible plants and conventional jet fuel. Additionally, mandatory European environmental requirements have prompted many airlines to start using biofuel, a trend that is likely to accelerate.

US

Worldwide, the market for bio-renewable chemicals will reach US$5 billion (RM15 billion) by 2015, one industry estimate suggests.

Three Singular Facts:

- First, increasing demand for palm oil by widening its usage in new sectors is possible only through more research and development (R&D). Since jatropha and soy oil share some similarities with palm oil, some substitution should be possible.

- Second, R&D in biofuel will create high-tech employment opportunities in universities and plantation companies.

- Third, spending on R&D isn’t a cost that can be dispensed with, but a much needed investment for the future.

Two facts need to be remembered. Although oil palms mature in four years, it takes seven years for the tree to reach prime production. A 20-year time frame is equivalent to three planting cycles.

4. Plantation firms have potential to be large energy players

Plantation firms such as Sime Darby, IOI Plantation and KL Kepong have huge potential to emerge as the country's large energy players given their abundance of raw materials for biomass energy.

The big plantations guys in Malaysia will be the Petronas of the future, but it depends much on the incentives given and the framework set by the government.

http://www.bernama.com/bernama/v5/newsindex.php?id=612090

5. 深度旅遊有發展空間

台灣無論在民宿或生態旅遊方面,都建立起極好的口碑,每年在不同的季節吸引外國遊客蜂擁而至,例如每年四、五月間的“客家桐花祭”,滿山白茫茫的油桐花海形成旅遊特點,加上民宿業者引導遊客在繽紛的桐花樹下,參觀當地的人文風情,感受客家人對土地的生活經驗,這種深度旅遊的方式,值得學習與開發。

我國的自然環境得天獨厚,我們的熱帶雨林覆蓋著全國幾乎60%的土地,如此豐富的生態環境乃新加坡甚或其他各國所缺乏的,這種獨特的地理結構帶給我們的特殊自然景觀,曾經受到亞洲旅遊業周刊的推崇,它也是我們發展生態旅遊的最佳條件。東馬如沙巴多山亦多河流溪谷,繁茂的森林裡也是各種野生動物棲身之地。

民宿與生態旅遊不僅可達到休閒減壓目的,同時也能讓遊客在行程中通過各種特別安排的活動,對我國多元文化社會的人文風情、生活習俗有不同的體會和認識,甚至在一些生態活動中,讓遊客進一步瞭解我國的地理環境,提昇對自然與人文資源保護重要性的意識。

http://opinions.sinchew-i.com/node/20841?tid=16

2011-09-07

Conventional VS Automated Internet Business

成本不会因时间增长而倍增。
压力、资源运用不会因为业务增长而呈对比增加。
对的商业策略与营运方式将获得暴增式盈利 (exponential)

2011-09-06

2011-09-03

Unfair Advantage: Debt

While there are never guarantee in the world of money, a legitimate financial education grants you access to the highest returns in the investment world, investments with the lowest risk, and very low taxes, zero taxes in some instances. The first investment is in your financial education. ~ Robert Kiyosaki, Unfair Advantage
Some unfair advantage on taxes in the real world, in our own country ...

In the long run, looking after the wellbeing of those that need help will benefit everyone. Having a layer of super rich, does not translate into a community of high earners. It just means a select few are growing their wealth faster by taking advantage of a lopsided tax system and other biased mechanisms...

If you were to sell any one of these newly acquired property within five years of purchase, you pay a 5% real property gains tax on what you made and still get a RM10,000 discount.

However if you decide to hold on to the property (noting that prices generally appreciate) and sell it after five years, you make a clean profit – that's right, not taxable.

Now compare that to what your friends made – some still made more thanks to the 5%-7% discount. What if the profit was RM100,000 or RM1 million?

We may not have Buffet magnitude billionaires just yet but according to the Malaysian Business we have companies paying RM455.6 million in a board payout with one director being paid RM106 million making all the other high earners look like paupers with RM12 million payouts.

Imagine if they invested their bonus in equities without having to pay tax or bought multiple property at a discount.


If Buffett was Malaysian he'd have paid next to nothing as our capital gains tax is 0% for equities and 5% for real property gains. What does all this mean to the layperson? ...
Injecting equity into our tax system ... http://www.thesundaily.my/news/122661

2011-09-02

Deflation

"In the last three years, banks all over the world have printed trillions of dollars, in the hope of saving the world economy. In spite of this massive banking fraud, people continue to try and save money. Saving counterfeit money is insanity…pure stupidity." ~ Excerpt from Robert’s Conspiracy of the Rich bulletin.

What is about to happen in the markets and the economy in 2012 and the decade beyond was practically preordained back in the 1970s and 1980s…

And as you’re about to discover, there’s nothing you or I, or any politician or government, or any team of monetary experts can do to stop it.

As history has shown, these economic trends are virtually set in stone – as certain as the DNA with which we were born.

Some of the greatest fortunes have been made, not in boom times, but in down economies… by people who understood exactly what was going on:

The Kennedy fortune was made this way, buying up cheap companies and assets during depression era America.

Even Warren Buffet launched his career buying stocks on the cheap in the 1970s when nobody else had the stomach for it.

Point is, when you can be confident in where the future is heading – and know with good certainty which markets and investments will be impacted– there’s no limit to how much money you can make.

Knowing the Future Can Make You Wealthy

The secret is knowing what’s coming when -- and preparing yourself.

But the government’s stimulus plan will not work for more than a very short period of time, due to the slowing spending and rising savings of the largest generation in history! That’s why we have been saying: “All the kings horses and all the kings men will not be able to put Humpty Dumpty back together again.”

What’s more, this “baby boom effect” is being further amplified by the sudden and simultaneous collapse of real estate… and the massive debt amassed in that bubble, and now, in the government’s attempt to avert this “impossible to avert” event.

That’s why I’m here to tell you right now:

What lies ahead will be no ordinary recession.

-------------------------------------------- Deflation -------------------------------------------- The Greatest Credit Bubble In Modern History Will Continue to Deleverage… Deflation, Not Inflation, Is Just Ahead.

History tells us that most severe downturns and depressions have three phases.

1. A severe crash, like we saw in late 2007 to early 2009 – when the Dow fell 55%, from 14,280 down to 6,440.
2. That’s followed by a bear market rally, spurred by renewed economic from government stimulus. That’s where we are now.
3. The third phase is a final crash and deeper depression, and a deflationary phase that lasts a few years.


Deflation, as the name suggests, is the exact opposite of inflation.

Inflation happens when there’s lots of available credit, free flowing money and strong demand for goods and services. When everyone has access to money through easy loans and fast credit, the demand for “stuff” goes up. And when demand goes up… so do prices.

With deflation, the opposite occurs. There’s less money flowing because credit tightens up, causing money to become scarce. And because people have less money to spend, demand for goods and services go down. And when demand goes down – so do prices.

We have examined all of the great bubble and credit booms throughout history and there are no exceptions:

Once credit bubbles go to extremes they always burst and deflate… resulting in a sudden tightening of money supply (credit)… followed by deflation as massive amounts of debt are written off.

It happened in the 1930s and again most recently in Japan.

And because no government can counteract that kind of overwhelming debt with any amount of stimulus without making its currency next to worthless, it’s likely to happen as this new economic cycle settles in.

Stocks will see it coming first.

We believe markets will peak around the fall of 2011 (delayed a year or so from our earlier estimates thanks to the greatest stimulus spending in history) at around 13,200 or so in the Dow, then fall to around 3,300 to 3,800 between late 2012 and late 2014 .

After the rest will fall in line:

Bankruptcy rates will escalate, followed by a long line of bank failures.

Those banks that are left will be very careful about who they lend to and under what terms. Many will not lend at all, choosing instead to hoard cash while it gains value (i.e., buying power) through deflation.

Most will be very hard pressed to find qualified lenders to loan to, since a) so many borrower’s credit ratings will be destroyed walking away from homes and other loans, and b) further declining house prices will mean there’ll be very little equity to lend against.

Less credit means less money in the economy.

Less money means less demand for goods and services.

Less demand means lower prices and less production.

Less production means more plant closings and more job losses.

More job losses means…

Well, I think you’re getting the picture here. It’s all a domino effect.

Again I’ll say it:

For those who don’t prepare the impact will be devastating.

But if you see and trust that it’s coming, it’s an opportunity to make a lot of money… and we plan to tell you how every step of the way, as I’ll explain in a moment.

It’s also a very positive thing for the economy as a whole longer term.

That’s because deflation helps to “shake out the excesses” much quicker because it encourages a massive restructuring of debt, writing off of losses, trimming back of the supply chain, shifting of market share to the strongest and most efficient companies that can keep prices down in the future, and more.

This chart shows how much debt was eliminated during the last deflationary period of the 30s and 40s – thus paving the way for the greatest prosperity boom the country had ever seen post World War II:

These three ‘economic truths’ I’ve just told you about are the key components of the perfect storm brewing around our economy today: v The last of the largest generation of spenders in American history – Baby Boomers – leaving his and her peak spending years…

The biggest Credit Bubble of all time… $102 - $122 Trillion in government, corporate, personal and “entitlement obligation” debt – a number that simply can’t be sustained and will have to be deleveraged over the coming decade, much of it through bankruptcy and default – and restructuring of many entitlements that we have come to expect…

The greatest housing bubble in history, which will almost certainly lead to the greatest banking crisis in history… and more personal bankruptcies by everyday Americans and companies than any time in our history.

The impact of these three events all lead to one thing:

A severe tightening of credit… and the write-off off tens of trillions in loans and entitlements…

Which means less money in the system… which means less spending… less demand…falling prices… and ultimately:

Deflation.

Depression.


What Can We Do In Deflation?

The first order of business is to protect yourself and the assets you have. And that means getting out of investments that are designed to perform in an “up” market.

In deflationary times, cash is king. Because unlike what happens during inflation, money actually gains value when there’s deflation. It’s simple supply and demand. Money supply shrinks when there’s less lending and as debts are paid down and written off through foreclosure.

If you’re holding on to real estate – anything you’re not using as your home or that’s not generating good, steady and lasting income for you – sell it now.

Right now it’s about two things: Shedding inflated assets and high-cost debt… and moving stealthily into safer investments and cash – cash you’ll later be able to parlay into outstanding profits as the events of next economic cycle happen.

Long term Treasury bonds will be the first great long term play, likely later this year, then corporate bonds, then stocks, then real estate over time.

1) avert financial disaster and,
2) profit from the many opportunities that arise during periods of profound economic change.

If history has taught us anything, it’s that governments can’t spend their way out of enormous debt – especially the massive levels of debt chocking the US economy today.

Remember, when you include government, corporate, personal and entitlement debts and obligations, we’re in hock for over $100-- $120 trillion!

A lot of money… about $330,000 - $400,000 owed for every man, woman and child in the country.

Can you afford your share? How about half of it? Could you even write a check today for one quarter of it?

You’re not alone.

And we simply can’t print our way out of this like we have in the past.

Over the last two year’s the government has printed $2.3 trillion and look what’s happening already starting to happen:

Prices of hard assets like gold, silver, copper, oil and so on are skyrocketing driving up the cost of transportation, energy and manufacturing.

Food prices are soaring throughout the world because so many U.S. dollars – the reserve currency the world uses to buy many of them -- are flooding the market.

We predicted that this period of post-crisis inflation would happen…

But we simply can’t keep printing money the trillions needed to stimulate or inflate our way out of these massive debts!

And when that realization hits – well, that’s when the other shoe will fall.

Massive amounts of debt will need to be repaid or written off.

Money and credit will dry up.

Demand for all kinds of good and services will fall sharply… followed by falling prices.

And falling prices lead to layoffs and falling wages.

In short: depression and deflation.

http://www.boomandbustinvestor.com/pages/bnb/video/BNB1.php?pub=BNB&code=LBNBM820