Written by Bryan Lutz, Editor at Dollarcollapse.com:
Every Sunday morning I sit down to write a few thoughts.
Sometimes these thoughts end up being about life, other times they are on gold, geopolitical issues affecting the markets, or the economy.
Here are three thoughts for this morning:
1. As governments attempt to provide and sustain themselves, hardship for America’s youngest generation of adults are right on schedule. It’s a Fourth Turning thing.
The Fourth Turning is described as a decisive period of crisis. Hardship is normal and transformation for better or worse is guaranteed. Author Neil Howe and William Strauss write,
“The Fourth Turning is a Crisis, a decisive era of secular upheaval, when the values regime propels the replacement of the old civic order with a new one.”
The crisis era has officially entered the family unit. The number of young adults living with a parent has surpassed the start of WWII.
I suppose that’s when men were shipped off to Europe and women waited at home for their spouse to be. But it was also a time of economic hardship when the United States government spent millions and millions on war.
Here’s what Debt to GDP looked like compared to now:
Both charts look fairly similar.
The more governments spend to maintain order in a Fourth Turning the harder it becomes for the next generation to prosper. First, there’s a lack of stability from the constant change. Second, financial hardships and war decrease opportunities for flourishing. It’s a Fourth Turning thing.
Let’s hope average joe like you and I don’t have to pay the price for order (or disaster) this time around too.
2. Bitcoin decided to hit another all-time-high this week. This is normal, but disappointing for Bitcoiners.
Those holding Bitcoin were hoping for a new, parabolic uptrend in the price of Bitcoin. Unfortunately, this is pretty normal.
Bitcoiners are used to it.
They’re like the new breed of goldbugs that haven’t been stacking coins for fifty years.
Like gold though, Bitcoin goes up and down, price corrections here, price corrections there. And then ultimately, it has a four-year cycle much like goals annual cycle.
So, Bitcoiners are used to it.
Here’s a pretty good breakdown on Bitcoin’s four-year cycle:
3. Government spending and national debt is eating away at America. I’ll give you one guess where banksters will drop their capital.
Government spending is now almost 50% of GDP. It has yet to peak. War hasn’t come this cycle, which means, if you were to compare the chart below, we are roughly around 1938 to 1939.
An increase in spending may depend on how much of the spending goes toward servicing the cost of national debt.
Projections on that don’t look good.
National Federal Debt now adds $1 Trillion every 150 days, which seems to be halving every 10 years.
I wonder if once Trump’s Big Beautiful bill takes effect and if federal interest rates drop in the fall, whether we will see a dramatic increase in this pattern, or not.
You know where Banksters head to once federal interest rates drop, spending increases, and debt becomes opaquely insurmountable.
