![The Ship is Sinking Sinking-Ship-boat](https://armstrongmedia.s3.amazonaws.com/wp-content/uploads/2017/02/Sinking-Ship-boat.gif)
QUESTION: What should readers of your blog like myself invest in before this whole government bubble bursts? It seems to me that when it does burst, equities and bonds will crash at the same time.
Thanks and I look forward to hearing back.
RL
ANSWER: Do not put equities in the same boat with bonds. The ship is sinking, but that is concerned with debt – not equity. Keep in mind that the collapse of a financial system has historically unfolded to different degrees. If we are talking about a Dark Age, then you are into the Mad Max situation. Then the only thing that has value is food – not even gold. That was the fall of Rome. People effectively sold themselves as serfs to work the land, retain 20% of the crop in return for protection behind the castle walls. Medieval coinage really appears only in silver and are rarely found more than 20 to 30 miles from where the coins were struck. This illustrated the isolation of city states. Money was not really necessary for there was really no major trade interacting within Europe – hence the Dark Age.
In order for tangible assets like stocks, gold, art, antiquities, etc. to survive, the fundamental infrastructure must survive. That means there must be ample food for gold to have any value whatsoever. So you must stop short of the Mad Max event for anything tangible to have a safe haven value.
![The Ship is Sinking German-1925-Rentenmark](https://armstrongmedia.s3.amazonaws.com/wp-content/uploads/2016/06/German-1925-Rentenmark.jpg)
The typical scenario painted by the doomsday crowd involves the German hyperinflation. However, that did not wipe out the structure of surrounding countries. This mean all tangible assets retained value because they could still be sold elsewhere. The German government replaced the hyperinflation currency in 1925 with a new currency backed by land. So art, gold, property, and equities survived. Even after the Berlin Wall fell, old claims of ownership in the East resurfaced.
Therefore, if we are only talking about a reset of the world financial system, then tangible assets retain value that becomes translated into the new currency. Hence, equities will survive, government debt and currency will not. Only going all the way to a Mad Max event would everything lose value except food. Not even gold survives for trade comes to an end.
Keep in mind that I do this to hopefully explain that there are degrees to which a system collapses. If everyone understands that we CAN SURVIVE this with society mostly intact ONLY IF WE UNDERSTAND what and how things unfold, then we have options once the crash and burn comes. We can stop short of a Mad Max event by understanding history, which is our road map to the future.
The civil unrest we have beginning today post-Trump is intended to overthrow Trump and Obama has remained in Washington, which NO PRESIDENT has ever done. We have Soros licking his lips on the prospect to altering the USA with his vision of Marxism. We have the same trend emerging in France, Britain, and Netherlands and of course Italy, Spain and Greece.
So we have some actors intent upon creating change that would subjugate all of us because they think Marx was correct after all. Their desire is to live vicariously off of other people’s money and they do not accept that anyone should have things they do not. We have students protesting because they think everything should just be free. Hence, this is a battle shaping up for the future; the final conflict over Marxism, which began with the fall of Communism in 1989. This final battle began 26 years from 1989.95.
![The Ship is Sinking Light-Ahead](https://armstrongmedia.s3.amazonaws.com/wp-content/uploads/2016/09/Light-Ahead.jpg)
Welcome to our world. This is a fight for our future. This not about doom and gloom. I oppose Soros and everything he is trying to accomplish. There is a light at the end of this stairway. We need to understand the rules of this game and position ourselves to win. Adam Smith was correct. The invisible hand is the nature of how things function. It has been humankind that thinks it can change and manage society when it does not even understand how it functions under the laws of the universe – the grand divine design, Soros, Marx, Lenin, or Mao were never capable of replacing the invisible hand with their own schemes. You might as well try to genetically alter humans and give us wings to fly and end global warming by eliminating cars and jets.
https://www.armstrongeconomics.com/world-news/sovereign-debt-crisis/the-ship-is-sinking/
» MM&C Central Bank: Cancellation of Paragraph (5/d) of the instructions and standards for circulation
» utube 6/26/24 MM&C IQD Update-Iraqi Dinar-2024 Budget Deficit is Hypothetical-
» utube 6/25/24 MM&C Iraq Dinar - Iraq to Rejoin WTO - Cetral Bank Pressing Banks & Money Exhangers
» Judge Haider Hanoun: Imam Ali was the first to lay the foundations for the fight against corruption
» A Sunni agreement with the framework forces to elect Al-Halbousi's replacement
» Al-Atwani calls for reforming the tax system in Iraq
» Parliamentary Finance discusses strengthening financial management with the German Agency for Intern
» The Financial Supervision Bureau to Nina: A systematic plan to complete the state’s final accounts..
» The Minister of Transport and his Jordanian counterpart chair the general assembly meeting of the Ir
» The judiciary directs severe legal measures against those who leaked ministerial questions
» The file of tax deposits and compensation for victims of terrorism.. Slow procedures hinder retribut
» Arak Business: Türkiye is exploiting the Iraqi pipeline to export its oil
» Al-Muthanna Investment: The governorate is witnessing a qualitative boom in the size of projects
» Legal: Amending the constitution depends on political consensus
» Parliamentary Security: Sabotage operations in the electrical system during 2024 will be the lowest
» The popular movement explains the purpose of extending the Aqaba pipeline
» A Ukrainian company directly develops the Okaz gas field
» The Council of Ministers holds a make-up session for Eid
» The Central Bank of Iraq sells $275 million at auction today
» American monitoring reveals a Turkish military incursion into the Kurdistan Region and identifies it
» Iraq's oil exports exceeded 100 million barrels in May
» Allawi: Iraq is living in an undeclared civil war, and we must correct it before we lose it
» Is Iraq among them?.. Kuwait’s most prominent challenges towards the “Belt and Road” project
» The President of the Republic stresses the necessity of protecting water bodies, including lakes and
» Parliament moves to amend the Medical Graduation Law and directs a request to the government regardi
» A new decline in the dollar against the Iraqi dinar in Baghdad
» Qatar joins Iraq and Saudi Arabia in sending crude supplies to the UAE
» Directly rehabilitating 62 localities in Baghdad
» https://alsabaah.iq/98640-.htmlAl-Sudani: Iraq is a safe and attractive environment for capital
» Hundreds of low-voltage transformers installed in Baghdad
» Haider Makiya: Iraq is an “important destination” and we are witnessing an improvement in the invest
» Parliament: The cosmetic market is thriving and the government stops “intruders”
» 3000 projects compete to win the {national competition}
» Sulaymaniyah hosts the “Made in Iraq” exhibition
» Anbar opens a line to produce organic fertilizers using solar energy
» Transport is intensifying its efforts to lift the European ban on the green bird
» Parliament: Amending the investment law will reflect positively on the future
» No meters or pricing...Governmental decisions are “broken” on the rock of generator owners
» The Minister of Labor calls for intensifying inspection tours of work sites to follow up on safety p
» Parliamentary law challenges the “2024 budget tables” and the federal government is waiting for an a
» A foreign army... takes control in Amadiyah and military convoys penetrate the Kurdistan region
» The new “Arab-Kurdish” disintegration... Alekti reveals the common denominator between the “anti-Kur
» The Commission extends the registration period for candidates for the Kurdistan Parliament elections
» Diyala Council is “stuck in a black legal hole”... It cannot be held or dissolved - urgent
» He discussed with the American Ambassador the end of the mission of the international coalition... T
» He discussed with the American Ambassador the end of the mission of the international coalition... T
» Civil Defense puts the blame on the citizen for the high rates of fires, and an economist shows: Res
» Planning publishes experimental population census data
» Al-Sudani confirms the progress of completing the automation system for customs
» Al-Sudani chairs the 8th meeting of the Reconstruction and Investment Committee
» Transportation: Postponing the opening of Baghdad Airport to citizens
» Telecommunications signs a contract for the submarine cable project with Saudi Arabia
» A positive signal from the European Union regarding international investment in Iraq
» Al-Sudani renews his support for holding Kurdistan parliament elections
» UNAMI welcomes setting a date for Kurdistan elections
» A parliamentary directive to amend the medical progression law
» Al-Sudani stresses the importance of developing cooperation with NATO after the end of the internati
» The thefts of the century continue... revealing an organized corruption window that caused the theft
» Surprise.. “An article in the General Amnesty Law encourages theft.”
» Makiya: Iraq provided real guarantees to attract foreign investments
» Iraq and deceptive growth: Is it dancing to the tunes of oil or singing the tune of development?
» The Gaza war extends to southern Lebanon: possible effects on the Iraqi interior
» About $300 million in Iraqi Central Bank sales at today's auction
» What is the importance of Iraq joining international agreements?
» Al-Sudani chairs a meeting to follow up on the implementation of networking between border crossings
» Central Bank sales exceeded $281 million
» Al-Asadi renews the call for all workers to take advantage of the retirement law and expedite regist
» The first official Iraqi comment on the fact that “Hamas moved to Iraq”
» Ending the coalition’s mission in Iraq and the “risks of war” are on the table of Al-Sudani and Roma
» They left because of tribal problems.. 5 accused were arrested for trading in private and government
» Comment from the Ministry of Interior on World Anti-Drug Day
» Al-Sudani receives US Ambassador Alina Romanowski
» Details of the meeting between Al-Araji and the commander of the NATO mission in Iraq
» The Presidency of the Kurdistan Region rejects the forced return of displaced Iraqis
» The Ministry of Electricity in the Kurdistan Region announces the gradual return of energy
» Parliamentary Committee: The amounts of money at the Ministry of Electricity are not commensurate wi
» Professional ethics: theoretical and methodological imperatives and economic transformation
» An “elaborate ambush” befalls a foreign currency speculator in Baghdad
» The Prime Minister confirms that he will continue to address the problems that the outskirts of Bagh
» Iraq Fifth: 10 Arab countries that consume the most electricity
» A country neighboring Iraq launches a geographical survey project to locate renewable energy sources
» “Mystery dominates the project.” Parliamentary Committee: We do not have information about the inves
» It included filling in fish lakes and burying wells... removing 24,000 water encroachments
» Diwaniyah witnesses the launch of the largest package of projects in Iraq
» Iran competes with Iraq to rank as the “worst” country in the world for burning gas
» Iran competes with Iraq to rank as the “worst” country in the world for burning gas
» Karim Hammadi discusses with the Arab States Broadcasting Union the “Baghdad Summit”
» Representative immigration: Weak services hinder voluntary return
» Democratic Party: The Sunni blocs must decide their candidate for the presidency of Parliament
» Iraqi children are outside the list of {armed conflicts}
» The beginning of next July.. Trade launches the construction basket
» "Early elections"... difficulties prevent their holding
» Integrated projects
» Experts: The path to development is the beginning of an economic partnership
» The "short life" of the government puts Baghdad's administrative authority to the test and a proposa
» In preparation for sending it to Baghdad.. The Kurdistan government finalizes the payrolls of its em
» The Ministry of Electricity is a “black box”.. The Baghdad Council knows nothing about the plans and
» Prime Minister: The new residential city of Ali Al-Wardi will be the largest city in the history of