Gold Switzerland: "The new generation has inherited a debt nightmare and will suffer"

Gold Switzerland In its new report, it finds that the impact of the forces of global and national debt is enormous, and now it comes down to the future of the next generations.

“The new generation has inherited a debt nightmarewrites Gold Switzerland, which warns almost every week about what awaits the Western economies in the coming years, and perhaps months. – When a once great country like the United States reaches debt-to-GDP ratios of 120%+, when the national balance sheet has trillions more unfunded liabilities (210 trillion) than assets, and when the Congressional Budget Office admits Social Security and Medicare budgets will run out by 2030 unless more money is printed, we should be concerned.

Besides, when the holder of the world's reserve currency has a dual deficit (budget and trade) of $3 trillion and distorts real inflation, in order to achieve carefully hidden negative real yields on our debt obligations, we should be concerned not only with the bills we (and those who pay them) will have to pay, but also the sterile profile of the “dollars” used to pay for them. The past prospers, the future suffers.”

According to Gold Switzerland, past generations prospered largely thanks to extremely loose monetary policies that inflated debt and created bubblesparticipating in feudal rather than capitalist wealth transfer with absolutely short-sighted policies – this is not a myth, but a fact.

And as every sober economist or thinker knows, from David Hume, von Mises, or even Reinhart and Rogoff, to Mark Twain or Ernest Hemingway, “a nation that lives on credit for decades of joy leaves the next generation with decades of pain, paid for by a devalued currency.”

For generations, economies have been drowning in debts that far exceed their national income. In short, previous generations enjoyed martinis from the Fed or the ECB, while subsequent generations had to deal with hangovers. In this context, Gold Switzerland points out some hard facts:

Greed. “When my grandfather was the CEO of Ford long before I was born, the ratio of CEO pay to employee pay at the largest publicly traded companies was 20 to 1. Today, that ratio has jumped to 340 to 1. And for Amazon executives, that ratio is a staggering 6,474 to 1. Again, I am a capitalist, but this wealth inequality and the greed of senior executives is not a product of fair play and equal access to credit or true capitalist competition.”– says Gold Switzerland analyst.

Scott Galloway called this generation “oriented towards”“increasing remuneration with decreasing responsibility” which is illustrated by Boeing's CEO's annual salary of $34 million.

Stock markets: “But let's not forget that the US stock market is a largely rigged playing field, with 90% of the real wealth owned by 10% of the population, most of whom came of age in the aforementioned generation “greed”.

This wealth effect is largely due to the actions of governments that never allowed markets to collapse. Policies from the bank bailout (Wall Street socialism) to the current oxymoronic “debt-led growth” narrative (35 trillion) have led to the greatest income inequality and rapid impoverishment in world history.

The last two generations of US residents earn less money adjusted for inflation, while their cost of living – from unaffordable housing to horribly inflated tuition (enslaved by debt) – rises.

At one time, the average home price relative to first-year income was 4.4x; today it is 8.5x. For the first time in American history, 30-year-olds are not doing as well as their parents were at 30, suggesting that the social contract between one generation and the next is now officially broken.

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