Product Description: The economic tipping point for the United States is no longer theoretical. It is a reality today. The country has gone from the world's largest creditor to its greatest debtor; the value of the dollar is sinking; domestic manufacturing is winding down - and these trends don't seem to be slowing. Peter Schiff casts a sharp, clear-sighted eye on these factors and explains what the possible effects may be and how investors can protect themselves. For more than a decade, Schiff has not only observed the U.S. economy, but also helped his clients reposition their portfolios to reflect his outlook. What he sees is a nation facing an economic storm brought on by growing federal, personal, and corporate debt, too-little savings, a declining dollar, and lack of domestic manufacturing. Crash-Proof is an informed and informative warning of a looming period marked by sizeable tax hikes, loss of retirement benefits, double digit inflation, even - as happened recently in Argentina - the possible collapse of the middle class. However, Schiff does have a survival plan that can provide the protection that readers will need in the coming years.
Excellent Investment Advice Peter Schiff's amazing prescient books explains in simple terms the inner workings of the US economy and the problems inherent there in.
Crash Proof Your Portfolio The author decries the devaluing of the dollar, inflation and the looming trade deficits. The book indicates that the USA is too dependent upon foreign lending. Foreigners hold too many Treasuries. Americans save too little and consume too much in comparison to the rest of the world.
Our dependence upon foreign manufacturing contributes to the trade deficit. The book shows how less regulation, tax relief and more economic development can turn things around. Computer models have become highly productive in the area of design engineering.
Gold and precious metals are at an historic buying opportunity. Demand for goods and services is artificial when not productivity induced. An example of good debt is capital formation connected to a thriving business. Bad debt is money lent for excess or frivolous consumption. An example would be taking out a second mortgage on a house to finance a vacation.
Right now, Europe enjoys a balance of trade surplus. The purchasing power of the Chinese is increasing at a time when the dollar is falling. Canadian oil and gas investments yield 12% or more. Hong Kong and Thailand are also good investment arenas. Coal stocks are yielding good dividends. As the dollar falls, gold and precious metals rise. The ETF gold shares can be good investments; however, investors may not have the same creditor priority in bankruptcy according to the authors. Examples of good gold ETFs are GLD and CEF (Central Fund Canada) shares.
The author believes that the USA should pursue a sound money policy with limited government and less regulation. Potential gold stocks worthy of investment are Newmont Mining Corporation and Goldcorp.
Overall, the acquisition would be helpful in crafting an investment portfolio to weather some market corrections on the horizon. The extent of the market corrections will depend upon investor perceptions as to government responsiveness on a number of fronts. These historic challenges include energy independence, debt management, structural government spending, meaningful regulatory compliance, the abolition of unnecessary regulations, FDA protocol simplification and a host of other issues too numerous to delineate in a finite review.
simply great I have read many books on the current crisis by very famous people like Soros, Wiggins etc., they all go into convoluted discussions which are, in my opinion, non-sensical. This book calls a spade a spade. One can quibble with the definition of inflation and deflation. Maybe it is too aggressive in accusing the government of deception, bu I don't think so. But the facts are facts. It is written very well. A must read.
Simple language for a simple problem Peter Schiff has a gift for making obvious that which eludes most of us, and putting it into simple language. For example, he points out our nation's debt to others, called a capital account surplus, is really a debt surplus, and this is financed by borrowing money from abroad. The government pretends to measure productivity with GDP, but GDP just measures debt-based consumption and inflation. Despite the Fed rhetoric, deflation is not bad at all: rising prices are normal in a healthy economy, as productivity rises.
This book points out what should be obvious, but what we as a nation forgot: true wealth is created by underconsumption and savings and capital formation that goes into making more productivity, not by our current way of borrowing from overseas to consume. Consumption does not create wealth, and our day of reckoning will come with a weak dollar and lower standard of living. How to prepare?
In the final 3 chapters, he outlines what can be done to survive the inevitable economic crash caused by overborrowing and overconsumption: invest in dividend-paying foreign stocks (you get the cash dividend plus appreciation of the foreign currency), and precious metals.
If you have never considered such an investment strategy, this book will wake you up.
I really like his simple language, his ability to foresee what eludes others (tech bubble, housing bubble), and his commitment to make money in ways that help other people. I read his website every day, so when the book came out, I ordered it before it was published. I've lent it to several friends already.
If you like this topic, also consider Bill Fleckenstein's The Age of Turbulence and Richard Duncan's more technical, The Dollar Crisis.
Give to Ceasar.. What belongs to Ceasar..I believe the saying goes.. Thank you Mr. Schiff for writing a very easy to understand, informative book. Mr. B is still trying to make the "Democracy Work" He probably skipped over that part in the book. In any case, I read your book after reading Financial Armaggedon, (evidently I'm slow to panic) Your works added the xtra touch & numbers needed to bring this crisis to life. I've watched you on Fox & was more than a little dissapointed at the way your "handled" on the Show. reminds me of the way they "handled" Sen. Ron Paul during the debates. This is news that "They" definitely don't want you to know. I was a little dissapointed in the plugs you made for your Company, but there again, You were offering solutions for the problems at hand, a one stop shop so to speak. After listening to several of your radio messages (your not interruped as much)It's all starting to fall together. (No pun intended)I think this book should be recommended reading in every high school across the nation. Let those with ears listen..I Personaly don't think your far off the mark.
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