predicting the future, page-32

Hi QSS,

Sadly I think you don't fully appreciate the full implications of what Kiwi (or the DR) is saying.

If we go into a full blown credit crisis, and if there is no inflation (money printing to re-liquify) then this time there are no more backstops.

The runs on soverign debts have well and truly started and we will have an enormous deflationary spiral that will be far worse than the panic of 2008. Governments will have no one to bail them out and as they hvae to default on their debt capital markets will completely freeze and (financial) survival will be on investors minds not highly speculative mining ventures in risky countries owned by companies run by circus clowns. DO you really believe NKP will get funding in this environment on anything approaching reasonable terms? They may get 1/5th of what they hope for if they are lucky.

Not to mention that in such a situation the pressure on governments to 'do something' by raising taxes, imposing price and capital controls, nationalisation etc will be immense.

In these circumstances most companies would do far more than bat an eyelid. They would be running towards the door.

NKP needs to get on with it now before it's to late.