The Little Book of the Shrinking Dollar: What You Can Do to Protect Your Money Now

Watch Out for This Government Crackdown

We’re not saying this will happen tomorrow, but when the government sees citizens are unhappy and are willing to move their money in ever greater numbers and amounts, they’ll shut you out of important money moves. It’s best if you get a jump on them!

Right now, we’re watching for the signs like a hawk. We’re seeing it happen already, again, in Argentina.

First, they re-elect their populist president by a landslide during a time of high inflation. Her idea of reigning in state spending and high inflation is subsidy cuts and “fine-tuning” her nation’s demand-driven model. Argentina will not import “a single nail,” she vows.

So now Argentines will have trouble getting things like good Italian pasta, as all importers will have to get permission to bring goods into the country via the tax authorities. If it’s something Argentines make, then no dice for the importer.

Or you have to agree to an arrangement. If you import cars, for example, expect to export soya or wine to compensate, dollar-for-dollar. That’s great, except when you have a bad harvest. Then what do you do?

Well, never fear, wage and price controls are on the way. And the Central Bank of Argentina is ready to plan another big increase of the money supply this year; upping the cash flowing into the market by over 26 percent. (So we shouldn’t be surprised that Argentine inflation estimates top 24 percent.) Capital has been flying from Argentine states at the rate of $3 billion per month. ...