Marc Faber is known to be fairly provocative (and accurate) with his predictions. As the U.S. government spends its way to oblivion, Faber foresees the mathematically inevitable: prohibitive interest payments that force the government to print, in Faber’s words, “worthless confetti.” In response, Faber believes the U.S. will go to war. Let’s hope not: two useless wars are enough.
Meanwhile, Americans have become progressively gloomier about the economy. According to a recent Bloomberg poll, 71% of Americans believe we are in a recession. Only 1 out of 6 Americans believe they are better off than they were 18 months ago. The collapse in public confidence, which appears unstoppable at this point, will send gold to unbelievable heights.