Ask The Expert - James Turk

James Turk is the Founder and Chairman of GoldMoney, the operator of a digital gold currency payment system. Since 1987, Mr. Turk has written the Freemarket Gold & Money Report, an investment newsletter that publishes twenty issues annually. He is the author of The Collapse of the Dollar (2004), SOCIAL SECURITY Lies, Myths and Reality (1992) and several articles on money and banking.

- Source, Sprott Money:

http://www.sprottmoney.com/news/ask-the-expert-james-turk-october-2013

Scramble For Tangible Assets

James Turk of Goldmoney.com predicts, "It's inevitable you are going to see bail-ins as we go forward from here because the capital just doesn't exist." He also says gold is going much higher in a scramble for tangible assets. Turk points out, "The problems we've been confronting the past several years haven't gone away . . . governments have been trying to buy time, but they aren't coming up with any solutions."

- Source, James Turk via USA Watchdog:

http://usawatchdog.com/

Policy Makers Are Doing Little

Don’t put your faith on the pronouncements of any central planner. Rely instead on your own common sense, which hopefully has been well grounded by insights from parents or grandparents who lived through the collapse of the German Reichsmark, Serbian dinar, Argentine austral or any of dozens of other currency collapses. If you did not have that opportunity to learn from relatives who experienced a currency collapse firsthand, then I recommend that you read Mises, Rothbard and the other Austrian School scholars published at Mises.org.

Once you do, then decide for yourself whether the problem facing the US is cyclical or structural. Common sense and experience are telling me that it is structural.

Sadly, policy makers are doing little if anything about it. So we need to prepare for the consequences. The best way to do that of course is to own physical gold and silver.

- Source, James Turk via FGMR:

http://www.fgmr.com/cyclical-or-structural.html

Hyperinflation and Destruction of the Dollar

Normally economic activity revives after a recession, which in turn leads to increased revenue for the federal government, like it did from 2004-2008 when the more rapid growth in revenue almost eliminated the deficit. But not this time. Revenue is increasing, but so are expenditures at almost the same rate.

Consequently, the deficit is not shrinking, which confirms a point I have made repeatedly for two years. The US is confronting a structural problem. It is not a cyclical one that will go away with improved economic activity. Importantly, the failure to address this problem will eventually lead to hyperinflation and the destruction of the dollar.

- James Turk via FGMR:

http://www.fgmr.com/cyclical-or-structural.html

Growth of National Debt Continues to Accelerate

The US federal government spent $369 billion in August, but only received $179 billion in revenue. The resulting $190 billion deficit was a record for any August and the third highest monthly deficit in the current fiscal year, which ends on September 30th.

Looking at this deficit another way, the federal government borrowed 51.6% of the dollars it spent in August. Consequently, the growth of the national debt continues to accelerate...

- James Turk via FGMR:

http://www.fgmr.com/cyclical-or-structural.html

Comparing Gold to Nine Major Fiat Currencies

The Danger of Currency Hyperinflation

One thing is certain in life, besides death and taxes, and that is if you expand the quantity of money prices eventually rise; or more accurately the purchasing power of debased money falls. The problem is how to measure currency debasement, and this has been a topic of heated debate since fiat currencies first developed. This has led me to propose a new measure of money, which at James Turk’s suggestion I am calling the Fiat Money Quantity (FMQ). The purpose is to gives us a measure of fiat money that enables us to assess the danger of currency hyperinflation.

- Source, ALASDAIR MACLEOD of James Turk Gold Money:

http://www.resourceinvestor.com/2013/09/23/monetary-inflation-and-the-decision-not-to-taper?ref=hp

Gold Will Finish 2013 at $1675 or Better

James Turk remains extremely bullish on the yellow metal and for good reason. 

Turk believes gold will finish positive for the year and that this will be the 13th winner in a row. Perhaps he’s a bit overly optimistic, but he’s been right twelve years running and that’s good enough for us. He’s still seeing extremely powerful Asian buying, with China picking up Indian slack and we are heading into the strong gold buying season. Indian brides are happier when showered with gold.

Click Here to Listen to the FSN interview with James Turk

- Source, The Silver Doctors:

http://www.silverdoctors.com/james-turk-gold-will-finish-2013-at-1675-or-better/

James Turk Interviews Gregor Hochreiter

James Turk Questions Bitcoin

A Run on the Bank

This is a run on the bank, Eric ... You had inventories (of physical gold and silver) on the COMEX climbing for years. And now all of the sudden, over the past 8 months, they've taken this huge nosedive.

The gold is being withdrawn from the warehouses because it’s not being valued properly in the West. And it’s being shipped to the East where it is being valued properly. People in the East understand gold is very undervalued and it serves a very useful purpose at this time -- the fact that it’s money outside of the banking system.

- James Turk via King World News:

http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/8/5_Turk_-_LBMA_Fractional_Reserve_Gold_System_Is_Disintegrating.html

Governments Think They Have a Recovery

US consumers are more responsive to confidence in stock markets and property prices than in the UK, and here the news has been bullish. Interest rates are low, and they will rise, so buy those big-ticket items now. The cost of buying and financing the average house purchase has already risen an estimated 40%.

Governments and economists will think they have the recovery they have wished for. Unfortunately it will almost certainly be marred by price inflation greater than the increase in demand suggests. So while nominal GDP growth rates will turn out to be somewhat better than currently expected, the talk will be of temporary capacity constraints.

The end result is that while central banks will realise that price inflation is a growing problem they will be reluctant to use higher interest rates to choke off inflation. And if consumers see central banks are behind this curve, further consumer borrowing will be encouraged.

- Alasdair Macleod of James Turk's Goldmoney:

http://www.goldmoney.com/en-gb/news-and-analysis/news-and-analysis-archive/price-inflation-approaching.aspx