From the comments section. I’ll address the points individually during the next few days.

chivasontherocks Says:


the main differences between now and the 70’s are as follows;

1- wage inflation, the big driver of the 70’s

2- shortages, now if you have the money you can buy anything.

3- inefficient american manufacturing. part of the 80’s bull market had to do with the restructuring of corporate America.

4-residential r/e was hot between 1976-1981

5- credit availability was not a problem.

6- leverage (debt) a lot greater today.

7- outsourcing of jobs was virtually non-existant

8- tech today helps keep inflation in check ( many reasons )

9- unions were a lot more influencial.

i can go on, believe me.

yes, it’s always good to be prepared, but with 500-700 trillion in debt out there, most of it in derivatives, it will take an act of God, to allow us to inflate the problem away. the good news is, that until real clarity is known, gold will do well. and it will do even better with deflation or extreme inflation.

again, until we resolve that 70% portion of GDP, economic growth and inflation, imo, will remain anemic.