The most frightening thing in the world is the lack of acknowledgment that you don’t know what you don’t know. Unfortunately, American politicians are the truest example of such folly.They are blaming the burden of high gas prices on OPEC, speculators, and big oil companies. The biggest reason people related to the oil industry are being targeted is because gasoline is the only thing in America for which the price is written 15 feet high in the sky on a bright 4 x 4 sign. The change in price is more noticeable – because whether or not you stop – you notice the price constantly going up on the sign.While Congress is trying to sue OPEC, tax windfall profits from big oil, and change speculative trading, it’s the American people who will suffer.First, the members of Congress must acknowledge that they don’t know. The problem, however, is that they don’t yet know that they don’t know. And what exactly do they not know? That it’s not an oil problem: It’s a dollar problem! America has tried to devalue its currency into prosperity and as a consequence it has crippled the economy and buried the tax payer. Everything in America will continue to get more expensive, whether the price is written on a big bright sign or scanned at the register. As Americans get poorer through inflation, foreigners will become increasingly wealthier, because every time the dollar loses some of its value, the foreign currencies gain value, thus increasing their purchasing power. It is for that reason that I believe we will not be able to reel back inflation. In the past, when Americans stopped spending, prices came down because of supply and demand. This time when we stop spending, the rest of the world starts spending, and then we will experience a recession in America, only this time with hyperinflation. Unfortunately, with the sub-prime debacle, the US financial system has been exposed. The world saw what I’ve been saying for awhile: Americans have borrowed their way into the good life and don’t have the ability to repay. Our economy is 72% consumption and most of the consumption has been based on credit. Now, with credit soon a thing of the past, Americans will be forced to live without credit, earning an income in a depreciating currency – all of which will contribute to a sharp decline in the American standard of living. For these reasons, we believe every company that is reliant on US consumerism is tremendously overvalued. We believe the US consumer will continue to fight for its lifestyle to the end. Nevertheless, we believe the end is near. We believe that once Americans spend their tax return, spend their stimulus checks, and finish maxing out their credit cards for necessities, the charade will end.
We believe the opportunity to mass great returns – and the only true way to protect your purchasing power – is to earn an income in a currency outside the of US.
About Aaron Wormus
Aaron Wormus works as the Managing Director of Website Creation at HedgeCo Networks and has worked with HedgeCo since the end of 2004.
Prior to working with HedgeCo Networks, Aaron managed a private consulting firm based in Frankfurt, Germany. During this time he worked implementing back-end systems for clients ranging from telecommunications companies to mining companies and Silicon Valley software distributors.
Aaron Wormus is a published author who has studied Information Technology and Journalism in Finland. His written work has been published in various technology magazines, translated into 5 European languages, as well as published book. Aaron regularly speaks at PHP Programming conferences, and is involved in the organization of his local technology user group.
They Don’t Know, That They Don’t Know
The most frightening thing in the world is the lack of acknowledgment that you don’t know what you don’t know. Unfortunately, American politicians are the truest example of such folly.They are blaming the burden of high gas prices on OPEC, speculators, and big oil companies. The biggest reason people related to the oil industry are being targeted is because gasoline is the only thing in America for which the price is written 15 feet high in the sky on a bright 4 x 4 sign. The change in price is more noticeable – because whether or not you stop – you notice the price constantly going up on the sign.While Congress is trying to sue OPEC, tax windfall profits from big oil, and change speculative trading, it’s the American people who will suffer.First, the members of Congress must acknowledge that they don’t know. The problem, however, is that they don’t yet know that they don’t know. And what exactly do they not know? That it’s not an oil problem: It’s a dollar problem! America has tried to devalue its currency into prosperity and as a consequence it has crippled the economy and buried the tax payer. Everything in America will continue to get more expensive, whether the price is written on a big bright sign or scanned at the register. As Americans get poorer through inflation, foreigners will become increasingly wealthier, because every time the dollar loses some of its value, the foreign currencies gain value, thus increasing their purchasing power. It is for that reason that I believe we will not be able to reel back inflation. In the past, when Americans stopped spending, prices came down because of supply and demand. This time when we stop spending, the rest of the world starts spending, and then we will experience a recession in America, only this time with hyperinflation. Unfortunately, with the sub-prime debacle, the US financial system has been exposed. The world saw what I’ve been saying for awhile: Americans have borrowed their way into the good life and don’t have the ability to repay. Our economy is 72% consumption and most of the consumption has been based on credit. Now, with credit soon a thing of the past, Americans will be forced to live without credit, earning an income in a depreciating currency – all of which will contribute to a sharp decline in the American standard of living. For these reasons, we believe every company that is reliant on US consumerism is tremendously overvalued. We believe the US consumer will continue to fight for its lifestyle to the end. Nevertheless, we believe the end is near. We believe that once Americans spend their tax return, spend their stimulus checks, and finish maxing out their credit cards for necessities, the charade will end.
We believe the opportunity to mass great returns – and the only true way to protect your purchasing power – is to earn an income in a currency outside the of US.
About Aaron Wormus
Aaron Wormus works as the Managing Director of Website Creation at HedgeCo Networks and has worked with HedgeCo since the end of 2004. Prior to working with HedgeCo Networks, Aaron managed a private consulting firm based in Frankfurt, Germany. During this time he worked implementing back-end systems for clients ranging from telecommunications companies to mining companies and Silicon Valley software distributors. Aaron Wormus is a published author who has studied Information Technology and Journalism in Finland. His written work has been published in various technology magazines, translated into 5 European languages, as well as published book. Aaron regularly speaks at PHP Programming conferences, and is involved in the organization of his local technology user group.