2011-11-14

Here We Go...

The Wall Street Journal reports that the Supreme Court will rule on the constitutionality of the so-called "Obamacare" law. This is arguably the most important Supreme Court case of my lifetime. The outcome of this trial will shape US domestic policy for the remainder of my lifetime.

Faithful Stationary Waves readers will know that I am adamantly opposed to this piece of legislation. My heart absolutely sank when it was passed. I had a sick feeling for days. I am hoping that I have already suffered enough of the blow that the Supreme Court's ruling in favor of "Obamacare" will not hurt quite so badly.

Yes, as I have just implied, I believe that Obamacare is now inevitable. That has been one of the major, most important reasons I have been a vocal critic of Obamacare. Once these things pop up, they are never destroyed. Government is the great juggernaut, the immovable object which, once seen, cannot be unseen. I believe the only real hope the United States has is a Supreme Court ruling against Obamacare. Barring that, we plunge headlong into a European-style welfare state, never to return.

I will, furthermore, take a ruling in favor of Obamacare as my signal to start buying gold at virtually any price.

There are many different issues wrapped up in this. Americans for the most part have no idea how good their health care system is. They genuinely believe that they have a terrible health care system. They have no experience with foreign systems. Unless the Supreme Court does the impossible, Americans are about to get a rude awakening. Sadly, however, they won't be aware of their rude awakening - their health care industry will simply deteriorate until it looks more or less the same as it does elsewhere in the world. What they have given up will never be regained, and will not be as obvious as the big line at the bottom of every paycheck or tax return that demark's the government's cut.

Another issue is the notion of sustainable government. At the very moment when so many large countries are crumbling under the weight of outstanding debts, the United States has taken on what will eventually become the single largest entitlement program the world has ever seen. The United States already carries a wholly unaffordable debt. Therefore, the reason I will take the Supreme Court's pro-Obamacare ruling as a signal to purchase gold is because as the US dollar goes, so goes the global economy.

In fact, as a wise investor, I should actually start purchasing gold now, in anticipation of the increase it will experience in the wake of the ruling.

Of course, the most important issue here is free trade and personal liberty (which is the same thing). But no one really cares about that one, do they.