Money Mayhem

Is there anyone who really knows what is going on in the economy? Of course there is. But the only people who have the answers are literally laughed out of debates. This is obvious at 3:40 in the video when Peter Schiff is rudely interrupted by the other people on the show.

Peter Schiff has always put the emphasis on savings rather than consumption. Ever since Keynes, a British economist, attempted to show how saving money is a sin, Schiff's stance has been an unpopular one.

Schiff explained our current crisis in 2006 when people were still saying the economy has never been better. Notice at 0:43 that Schiff says that we are consuming too much and not saving enough. The media has been consistent in saying that the problem lies in lack of consumption.

So when there are two opposing views, who do we listen to?

My vote goes to the person who has been right all along.

But for most people, listening to Schiff is not convenient. He always preaches absurd ideas. He advocates saving rather than borrowing. He does not believe in artificially lowering the interest rates.

Most importantly, he thinks we should live within our means, not run an economy based on debt.

These views are not welcome.

At 2:08-2:20, Schiff says exactly what has just happened in the last few months. This was almost 3 years ago when he said it, and he is stunningly accurate. He was right about the stock market collapsing, the housing bubble, the price of gold reaching $1,000 per ounce, and all of the debt that would remain after the crash.

My favorite part of the whole video is at 3:30 when one of the people opposing Schiff says, "What artificial lending standards are you talking about?" That is absolutely priceless. To make it better, he says it while laughing at Schiff.

I wonder if Art Laffer ever paid Schiff that penny.

By: Matt Hickok