Endless War_Endless Debt

http://costofwar.com/en/

Take a look at this running account of the cost of war.

1.3 Trillion and counting in 2 conflicts, Afghanistan and Iraq. This figure does not account for the "war on drugs", "the war on Terrorism" or the "war on the Middle class".

Our current GDP is 14.5 Trillion. Figure 10% is being spent on war.

War does not add to GDP, (opposite of some liberal opinion). War takes away from useful production.  It moves production and resources from willing buyers who bring gold (cash) into GDP to the Gov. (which spends money based on debt, inflation or collected taxes....period.) 

Let's look back at how you finance a war.

For thousands of years, war has been paid for by converting gold, (maintained in the countries treasury), into the items it needs for war like ships, food, soldiers pay, guns, etc. If you did not have the gold, you borrowed it.

That's what the North and the South did during the civil war. Both needed gold and the both promising to pay back the loans made...Steel from the North, and cotton from the South. The financiers of the day from England, and Germany chose the North. 

The Civil War all wars since have been financed by debt.

We, (our Gov.), have not paid for the Korean War, Vietnam, Desert Shield, Desert Storm, Iraq or Afghanistan. The war on Terror. Now, Iran is heating up.

Roughly, the cost of war if $1.43 for every $1 spent...OR endless interest paid to Federal Reserve (lender of last resort). Here we borrow new debt to pay for old debt and since the Federal Reserve created money out of think air as an accounting entry (not by the transfer of gold), the money supply (inflation) becomes increased by the cost of war. (and some want to know why the cost of gasoline has increased...it isn't totally the threat of Iran.)

A country cannot remain on a war footing forever...even though we seem to think we will be for the next 10 years or so.

This fact and the "fiat" nature of the currency (not backed by gold), will collapse the dollar. At some point it all stops.

Will you be ready? Have you transferred your assets from currency to silver...or gold?  How's your food supply?

GDP is the same as a measure of jobs. What are we lacking is jobs. When it all stops, GDP will fall like a brick once the currency collapses. Do you feel like your job is safer, or more in jeopardy, then it was 4 years ago?
 
Case closed.