Friday, March 5, 2021

Tag: The crack-up boom and gold & silver

The crack-up boom and gold & silver

by Darryl Robert Schoon, Kitco:

Monetary edema: a monetary phenomenon occurring in late-stage capitalist economies when repeated attempts to restore economic growth causes excess money to be trapped in financial markets; asset prices then rise to record levels in a crack-up boom (per Ludwig von Mises), which ends with a “flight into real values [gold and silver] and the whole monetary system founders.”

As aggregate levels of debt exponentially expand in capitalism’s endgame, markets become increasingly destabilized and central bankers become the primary participant in markets they once regulated.