Schiff Backs Down from Hyperinflation Debate

[itshappening]

does anyone have the audio of Peter going on about Mish? Also did he respond to Paul Krugman's blog about him? I'd like to hear that..

[silverhandorder]

Yes all of that was on his Radio Show Friday and Thursday. Mish Friday and Krugman thursday.

edit: Which is all available for free on his radio show website. Search peter schiff radio and you will get it.

[down_south]

In my opinion, Schiff is the man. Schiff, Rogers, Sprott...three guys I listen to as often as possible. Schiff has mentioned hyperinflation in the past but has also admitted he couldn't predict the Greek crisis which has delayed our collapse a little longer. If you listened to him and bought silver on the day Obama was inaugurated in January, 2009, then your silver would be up around 300% today. Schiff is also very good at explaining things in simple terms so the average Joe or Jane can understand which, unfortunately, is what I consider to be one of Ron Paul's weaknesses and I love RP.

[S.Shorland]

I don't know what 'debate' can be had? Hyperinflation can occur if your government causes it but it is a choice.Hyperdeflation can occur if the 'Fed' sucks all the money back in.You already do have high inflation (see shadowstats.com for the CPI derived from the original methodology or as close as can be).

[HOLLYWOOD]

Japan is on QE 23? International mega corps in the Land of the Rising Sun have been losing Billions...

The money/debt shifts like a school of fish, as the rigged system in the US bails out corporations and even countries through; writeoffs, credits, transfers, and loopholes.

The whole system is rigged

The NY FED's Shadow Banking paper: http://www.newyorkfed.org/research/s...orts/sr458.pdf

[LibertyIn08]

Schiff destroyed Mish on his show today. Mish works for a tiny firm that has 75 million in assets they manage. 40 million they got when he attacked Schiff. His firm underperformed in all of their strategies except one for only one year. They even managed to lose money. At the same time Schiff's strategy over-performed the market.

He also went into detail how Mish basically called him out when he knew Schiff could not respond over regulations.

As far as Schiff predicting inflation a lot of it is already here. We are severely under performing gold. Companies keep coming out with reports they they are seeing inflation in their inputs. Shit if you followed Schiff's advice even without hyper inflation you are better off.

Want to know a little secret? Some of the best economists are terrible investors. And vice-versa.

Mish's performance results doesn't mean he isn't accurate in his criticisms of Schiff.

That being said, his absolute return fund has a solid 5 year return and appears to be outperforming both the S&P and Hedge Fund Indices - certainly better than many of Schiff's clients have been doing. (http://www.sitkapacific.com/files/Si..._Portfolio.pdf)

[KrokHead]

I know the world didn't end and there isn't an international police state at this point, but when it comes to loss of rights, hyper-inflation, and the decrease of standard of living, in reality it is hard to notice and that's why the people (aka "sheeple") never get mad. But think about the last 12 years starting with the end of the dot.com bubble...

Recession started in 2000 during Bill Clinton's last year, (revisionists claim everything was peaches and cream under William "Bomb some country when I fuck someone" Clinton but the decline in the stock market was quite visible after 1999) but recovery was supposed to be around the corner especially when a "Republican" was elected into office.

Then in 2001, things got slightly worse, then 9-11 happened which gave an explanation that 'things will get worse in the future but we'll get Bin Laden by Christmas and the market will start to recover in six months,' but instead things got slightly worse and there was no recovery.

Think about the progressions of the mid-2000s, everything sucked except that your home increased in value and now when you get bankrupt you still owe the credit card companies so layaway went away and everyone had a full deck of plastic. Now in 2006, all the phoney baloney mortgages started to fail suddenly housing prices have been steeply declining ever since. (Which is cool if you want to buy a home honestly.)

Now starting around in the late 2000s it was impossible for college students to get decent jobs, after I graduated I worked at Dunkin Donuts. A lot of other people were laid off or lost their jobs with no new jobs to replace those jobs. Retirement funds evaporates so much less people could retire. Gas goes to around 4.50 a gallon, the deflation "crisis" swiftly hit (though I know deflation is in theory bad it was fuckin' sweet paying $1.60 for a gallon of gas and $2.40 for a gallon of milk! Economics be damned I loved the buying power!), and now even banks go on welfare.

Now today, somehow student debt even exceeds credit card debt, and still no young people are getting decent jobs. A president who all intents and purposes grew the country into a sicker economic state gets re-elected, and the tea-party gets high-jacked by the Neo-Cons. Though the good news is "deficit reduction" (not "balanced budget" ) is something at least that has proven more popular than in the past. (Though reducing a 4 trillion dollar deficit to a 3 trillion dollar deficit is not an accomplishment, it's like going from 3 packs to two packs of Newports.)

My bad humor aside, if all that took place in one year, it would fulfill all the extreme fantasies and predictions of Schiff, Jones, Glenn Bleccck, and our favorite right-wing pundits but it didn't. I didn't even touch on civil liberties in that story. Now, is twelve years really that long of a time? We wouldn't imagine our lives being the way they are now in 1999. It's not Weimar Republic Germany, but this is really bad. It's like we're all those Krokodil addicts watching ourselves die, doing nothing about it except talking about injecting less "Krok" because we're running out of good veins to put in the needle.

/end rant

[MozoVote]

I remember by the summer of 2000, the slowdown was clear. Yahoo news had a section for layoff announcements, but the financial talking heads were still a-ga-ga about the "new economy" and that loyoffs in manufacturing "would not matter since the US economy was evolving away from it".

My boss at the time even said during that election cycle that "This is not one that a candidate should want to win" because the economy was going to run aground within a year.

By summer of 2001 it was obvious that the technology sector has exhausted itself too.

[whippoorwill]

the U.S. has $$$300 TRILLION$$$ in unfunded libilitys to pay for. I don't no what M3 is right now but I'd bet there isn't that many dollars in the world! Something is going to 'give'.

[LibertyIn08]

Schiff destroyed Mish on his show today. Mish works for a tiny firm that has 75 million in assets they manage. 40 million they got when he attacked Schiff. His firm underperformed in all of their strategies except one for only one year. They even managed to lose money. At the same time Schiff's strategy over-performed the market.

He also went into detail how Mish basically called him out when he knew Schiff could not respond over regulations.

As far as Schiff predicting inflation a lot of it is already here. We are severely under performing gold. Companies keep coming out with reports they they are seeing inflation in their inputs. Shit if you followed Schiff's advice even without hyper inflation you are better off.

the U.S. has $$$300 TRILLION$$$ in unfunded libilitys to pay for. I don't no what M3 is right now but I'd bet there isn't that many dollars in the world! Something is going to 'give'.

There needn't be $300T for all the liabilities to be paid for, especially as the time horizons on those debts are not simultaneous. (This isn't to say they're a good thing, obviously.)

As a side note, do you have a source for that number? [http://www.usdebtclock.org/ and others all seem to have the amount pegged at just north of $100T]