When Silver Prices Finally Challenge Perception

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					When Silver Prices Finally Challenge Perception

The vocabulary in which modern monetary policy is expressed has created complacency and
acceptance. For example, people have learned to accept outrageous financial concepts like $1
trillion, when very few individuals have any sense of how much this actually represents.

Furthermore, people have become accustomed to elegantly expressed monetary concepts like
quantitative easing, when all the term really refers to is the printing or creation of more money
that dilutes the value of a country’s currency.

In politics, people have also learned to debate fiscal policy without ever effectively addressing
the $200 trillion in unfunded liabilities that are now beginning to come due as the huge post-
WWII Baby Boomers generation starts to retire in the United States.

Modern Financial Fallacies

Besides the lack of a realistic concept of exactly how much value a trillion dollars represents,
the people of the United States are increasingly conditioned to believe financial fallacies like:

      Housing prices go up forever
      The stock market always eventually provides a return
      Operation Twist and Quantitative Easing are not forms of money printing
      Even in the specialist sector, HFT and algorithm trading provide much needed liquidity
       and remove risk and volatility risk.

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Description: Only a few years back, the prevailing sentiment would have one believe that silver prices at a mere $20.00 per ounce was almost too high to mention in polite company. In all likelihood, the same degree of eventual acceptance will also apply to silver prices when it eventually reaches $450 per ounce or even more.