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Monday, March 15, 2010

Recovery, What Recovery?

NIA Calls U.S. Recovery ‘Phony,’ Recommends Buying Gold

March 11, 2010 by Personal Liberty News Desk

NIA calls U.S. recovery 'phony,' recommends buying gold Even though most media commentators claim that the economy is turning around, the National Inflation Association (NIA) has said growing imbalances make it impossible to achieve a sustained recovery.

In particular, although U.S. consumer spending was up 0.5 percent in January, the national savings rate fell to a 15-month low of 3.3 percent. However, in order to spur a lasting recovery, the NIA believes the savings rate should exceed 10 percent.

The organization also points to decisions being implemented in countries such as Canada, which is trying to cut its government spending and reduce budget deficit in order to achieve a balanced budget by 2016. Similarly, Australia’s central bank has raised its benchmark interest rate to 4 percent.

According to a NIA press release, "If the U.S. doesn’t follow in the footsteps of Canada and Australia, instead of Zimbabwe, we could see massive emigration out of this country [as a result of hyperinflation].




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