Marc Faber On Gold, Terrorism, And Democratic Wealth Confiscation (5/3/2013)Submitted by Cyril on Sat, 05/11/2013 - 23:56
On Bull Market Thinking :
"[...]I’m still buying gold, and I will never sell my gold. But I think the problem with investors, is that they always buy assets after they have moved [up] substantially…instead of continuously applying a disciplined investment strategy that implies diversification between real estate, cash and bonds, gold, and equities[...]
“As a result of the Federal Reserve’s monetary policy,” Marc explained, “huge wealth and income inequality [was created]…You have 1% of the people in a system that benefited incredibly from rising asset prices…[and] a lot of people are dissatisfied. They have the same vote as the 1%, except they are the 99%…so to them, it will be very acceptable to take money away from the 1%…In the end something [big] will happen…what I would really hate is if one day the government comes and says, ‘Okay, we’re going to take 50% of your money and give it to social programs…I think that is a real threat.”
The democratic system can be manipulated with relative ease, Marc explained, because as a politician, “Whatever goes wrong, you [just] blame someone, [and] you mostly blame [middle-class] people. They’re easy targets. You tell the majority of people, ‘You know why you have no jobs? You know why your salaries are going down in real terms? Because these rich guys are taking it away from you.’”[...]"
Link to the interview MP3 :