The latest must-read book from the authors of the New York Times and Wall Street Journal Bestselling Aftershock series of books, Fake Money, Real Danger strips away the confusion and exposes what’s really happening to our economy and investments - and shows you what to do about it now, before it’s too late.
Picking up where Aftershock left off, Fake Money, Real Danger reveals how the Covid-19 pandemic - and the government’s massive money printing and borrowing in response to it - is providing investors with a once in a lifetime opportunity to build wealth in the near term, while also taking the crucial steps necessary to protect yourself and your investments from the inevitable Fake Money bubble pop in the longer term.
What FAKE MONEY?
- Massive government money printing increased the U.S. money supply by more than 1,000% since 2008, printing more money in ONE MONTH in 2020 than during the two years of the Financial Crisis in 2008 and 2009.
- Mammoth federal debt is now at a staggering $30 trillion - up $3 trillion in 2020 and on track for continuous huge increases. The amount of federal debt is nearing 10 times our annual tax revenues.
What REAL DANGER?
- All U.S. economic growth since the Financial Crisis is entirely due to government borrowing. All of it. Without massive government borrowing we’d have no growth at all.
- Stock markets will likely continue to rise because of Fake Money but face an inevitable crisis when continued massive money printing creates serious inflation.
- You and every investor are now at a crossroads. Your next move will decide your fate: protection and profits OR wealth destruction and regret.
Table of Contents
Preface: Why We Wrote This Book Now vii
Acknowledgments ix
Chapter 1: Fake Money, Real Danger - Massive Covid Stimulus Boosted the Boom and Will Bring on the Bust 1
Chapter 2: Fake Money, Fake Wealth? 21
Chapter 3: Will We Ever Get High, Long-Lasting Inflation? If So, When? 33
Chapter 4: Won’t the Pandemic Stimulus End and Solve This Whole Fake Money Problem? 59
Chapter 5: How to Make the Most Money Now - First, Avoid Picking Individual Stocks Despite Enormous Pressure to Do So 71
Chapter 6: How to Beat the Market Now and Get Out Before the Bubble Pops Later 95
Chapter 7: How the Big Fake Money Bubble Will Pop 127
Chapter 8: What If We’re Wrong? Great, You’ll Make Tons of Money in the Ever-Rising Stock Market!137
Epilogue: It’s Productivity Growth, Stupid! 139
Appendix A: Buying Stock Is Not Investing 147
Appendix B: The Trouble with Bubbles 155
Appendix C: An Important Long-Term Lack of Correlation 165
Appendix D: Our New Model Reveals Why the Stock Market Bubble Is So Hard to See - And How It Will Likely Pop 173
Appendix E: Questions and Answers Regarding Inflation (Chapter 3) 191
Index 197
