Massive Wealth Destruction’ Coming, Well-to-Do ‘May Lose 50%

The critical question over the next decade isn’t “where will my returns be
highest?” but “where will I lose the least money?”

That, according to
economist and investor Marc Faber, is the scenario facing investors
today.

As the author of the Gloom, Boom, and Doom Report, Marc Faber is a
well-known contrarian, earning celebrity status because of his ominous
predictions.

So his pessimism during a recent appearance on CNBC wasn’t
surprising for a man whose nickname is “Doctor Doom.” What was surprising was
the level of “wealth destruction” he sees in the not-too-distant
future.

Faber stated, “I think somewhere down the line we will have a
massive wealth destruction. That usually happens either through very high
inflation or through social unrest or through war or credit-market collapse.”




“I
would say that well-to-do people may lose up to 50 percent of their total
wealth.”

Faber points out that this bleak outlook for the United States
has been caused by Federal Reserve Chairman Ben Bernanke and the Federal
Reserve’s continuous printing of new money.

He says that the bailout and
money printing will not create any long-lasting wealth or create healthy growth,
and that the collapse will come on Bernanke’s watch.

While Faber’s
prognostications are worrisome (especially for those who fall into the
“well-to-do” category), they are hardly as alarming as the scenario laid out by
another economist.

Without appearing on CNBC, earning celebrity status,
or being known by a scary nickname, Robert Wiedemer did what Marc Faber
couldn’t: He accurately predicted the economic collapse that almost sunk the
United States.

In 2006, Wiedemer and a team of economists foresaw the
coming collapse of the U.S. housing market, equity markets, private debt, and
consumer spending, and published their findings in the book America’s Bubble
Economy.

But Wiedemer’s outlook for the U.S. economy today makes “Doctor
Doom” sound like Mr. Rogers.

Where Faber sees a 50 percent loss of
wealth for some, Wiedemer sees much more widespread economic
destruction.

In a recent interview for his newest book Aftershock,
Wiedemer says, “The data is clear, 50% unemployment, a 90% stock market drop,
and 100% annual inflation . . . starting in 2012.”

When the host questioned
such wild claims, Wiedemer unapologetically displayed shocking charts backing up
his allegations, and then ended his argument with, “You see, the medicine will
become the poison.”

The interview has become a wake-up call for those
unprepared (or unwilling) to acknowledge an ugly truth: The country’s financial
“rescue” devised in Washington has failed miserably.

The blame lies
squarely on those whose job it was to avoid the exact situation we find
ourselves in, including Bernanke and former Federal Reserve Chairman Alan
Greenspan, tasked with preventing financial meltdowns and keeping the nation’s
economy strong through monetary and credit policies.

At one point,
Wiedemer even calls out Bernanke, saying that his “money from heaven will be the
path to hell.”

But it’s not just the grim predictions
that are causing the sensation; rather, it’s the comprehensive blueprint for
economic survival that’s really commanding global attention.

The
interview offers realistic, step-by-step solutions that the average hard-working
American can easily follow.

The overwhelming amount of feedback to
publicize the interview, initially screened for a private audience, came with
consequences as various online networks repeatedly shut it down and affiliates
refused to house the content.

Bernanke and Greenspan were not about to
support Wiedemer publicly, nor were the mainstream media.

“People were
sitting up and taking notice, and they begged us to make the interview public so
they could easily share it,” said Newsmax Financial Publisher Aaron DeHoog, “but
unfortunately, it kept getting pulled.”

“Our real concern,” DeHoog added,
“is what if only half of Faber and Wiedemer’s predictions come true?



Read more: Faber:
‘Massive Wealth Destruction’ Coming, Well-to-Do ‘May Lose 50%’