The worst period in United States history has begun. Bad times like the one we are entering, like the Great Depression and the World Wars, are caused by dishonest government policy.

Quantitative easing has destroyed the viability of the economy. From the beginning, there has been no reason to expect, quantitative easing to be of benefit to the economy. Government tampering with the financial markets began in 1987 and has continued without interruption. Faith has been placed in econometric models while such models have not once produced usable results. This has been nothing short of complete stupidity on the part of the public and wishful thinking on the part of others with more savy.

Now most Americans can expect to lose everything they own. Losses will probably accrue rapidly. Jean and I are positioned as well as possible to weather the storm. I as still 75% cash and 25% short positions and bear ETFs. I realize that even cash in this kind of situation is not all that safe but there simply are no assets that are not vulnerable to a horrific washout. It is better to fore-go a 2% return that can only be achieving by taking a chance on a 40% decline in price.

The world is over financed and clouds of stupidity are engulfing the populations of all developed countries in the world. The bottoms are going to fall out from underneath every economy in the world. The consequences of stupidity are always suffering. I am sorry. Americans have been completely stupid and are going to suffer in ways that aren’t currently fathomable,