the dollar vigilante blog
Feedback Friday - November 23, 2012
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Happy US Thanksgiving, TDVers! Time to give thanks for the continuing loss of liberty in the devolving police state known as the USSA! Now, dig into that genetically modified, hidden tax inflated turkey before heading out on Black Friday to fight other sheeple for big ticket items that will not make you any happier or freer, in order to celebrate the slaughter of a nation's indigenous peoples!
Sober yourself up from that with some feedback...
I am looking into teaching English abroad and wanted to find some info about Chile and Uruguay as far as how they would be affected if/when the US either inflates more or hyperinflates or drastically deflates. How would I be viewed in that scenario or if there were another world war? I'm looking for a career change, and economic opportunity (and adventure) and a safe haven to ride out the US's problems. My research shows that I can 'live comfortably' in these areas as a teacher (but without being able to save much), based on living standards. Would those standards increase or decrease as the world reorganizes itself? I know I’m asking a lot, but a response would be great. Keep up the good work.
The truth of the matter is no one knows exactly how The End Of The Monetary System As We Know It (TEOTMSAWKI) will go down. It's all just best-guesswork. We've never had a global monetary system collapse before... and it will collapse. That is certain. How it collapses, no one knows. There is an old story, possibly a wives' tale (but very possibly true) about a man who lived in Europe and saw World War II coming. Rationally, he took a look at an atlas and tried to find the most out of the way possible as far away as could be from Europe. He chose the Soloman Islands thousands of miles to the NorthEast of Australia, literally in the middle of nowhere. Little did he know, nor could anyone predict, the Soloman Islands became ground central for some of the worst fighting in World War II. The campaign began with Japanese landings and occupation of several areas in the British Solomon Islands and Bougainville, in the Territory of New Guinea, during the first six months of 1942. The so-called "Allies", in order to defend their communication and supply lines in the South Pacific, supported a counteroffensive in New Guinea, isolated the Japanese base at Rabaul, and counterattacked the Japanese in the Solomons with landings on Guadalcanal and small neighboring islands on 7 August 1942. The carnage wound up including nearly 10,000 military dead, one hundred military boats sunk and over 2,000 aircraft downed.
That man must have hid somewhere and wondered at his bad luck! And he was arguably one of the most cognizant people on Earth at that time about the coming trouble. The moral is, you never know.
The fact of the matter is that individuals have never needed to be more nimble than right now and be prepared to go wherever there is peace and prosperity at nearly a moment's notice. A second passport and internationalizing your assets is an excellent start.
Getting back to your initial question about Chile and Uruguay, I personally believe that Chile is one of , if not the best place to go on Earth right now. First, if you are light-skinned, you'll fit in automatically... the majority of people in the major population centers are of European descent. If you aren't light skinned, have no fear... while I didn't see any black people there there are a lot of Asians in southern South America. Peru had a president of Japanese descent, Alberto Fujimori, from 1990 to 2000, as just one example. In Paraguay also, there are countless Koreans and Japanese. I met one Korean-looking girl there and asked her, politely, if she was of Korean descent. She didn't like that question at all. "I'm Paraugayan," she said!
So, in terms of the "melting pot", this entire region is excellent. And, in terms of opportunities, specifically in Chile, it is also excellent. If you want to go create some wealth in a thriving market, go to Chile. While I don't know the demand for English teachers, this is almost always an in-demand skill. Plus, once you are there, and earning a living, you can look around and see all the other opportunities that abound in a fairly free market. As one example, at our expat outpost, less than an hour, and easy commuting distance to Santiago, Galt's Gulch Chile, there will be a lot of like-minded, freedom loving people grativating there who will desire all manner of services.
The world is truly your oyster... at the moment. Don't wait until you get arrested for drinking three beers and driving or for any of the millions of reasons to be abducted in the USSA. Once you have a criminal record even travelling will be hard and expatriating will be next to impossible. Get out now. I did in 2003 and have never looked back.
MEXICAN PASSPORTS FOR 2ND GENERATION AMERICANS
I did some checking recently and found out Mexico will give citizenship after two years of residence to people who have Mexican ancestry up to two generations. Having a grandfather that was born in Mexico, I'm curious as to just what is meant by "residency" though. Is this something that could be done on paper without having to actually spend a lot of time there? I'm also curious as to any possibility TDV may offer some sort of program for getting Mexican passports. I'm sure there must be many others in born in the US that also have Mexican parents or grandparents.
I have to tell you, even though I almost "live" in Mexico I am almost completely unaware of their residency and citizenship process. That said, Jim Karger, one of our regular contributors, all-round great guy, and Concierge for the TDV Group in San Miguel de Allemande is very on top of this info. In fact, both he and Ken Johnson, who manages both TDV Passports and Galt's Gulch Chile, are currently working on a residency/citizenship program in Mexico and will be soon updating TDV subscribers on this process. The reason I've never even looked into it is because I plan to be Perpetual Tourist (PT) as long as I can. Under the concept of PT I would never want to be resident nor citizen in any country where I spend a lot of time. You always want to be a tourist wherever you spend your time because the local government then treats you in high regard... rather than treating you like a tax milk cow.
I do warn you, however, that the Mexican Government has been recently changing all the tax laws so that anyone who is even a resident of Mexico owes the Mexican mafia (government) a significant portion of their worldwide income. For this reason it is better to get a passport elsewhere... as far away from the US as possible. And, preferablly in a place where they have no income tax laws that pertain to you. If you want to be free, you've got to have your head on a swivel nowadays. And that's part of the thing we do here at TDV is to help you to find your way out from the collective and be individually free.
To conclude, Jim Karger is personally heading up an intensive investigation into what the Mexican Government is proposing and ways around it. There are over a million US citizens, and countless other nationals who live in Mexico, and we are working to give them a roadmap to avoid all the extortion. TDV subscribers will get all the info we uncover in the coming months.
2ND PASSPORTS FOR CANADIANS
In Wendy McElroy's recent article, "Remove Your Children From the Line of Fire", she stated the importance of second passports. As a Canadian, do you think that I have as much as a need for a second passport as do Americans? It may be wishful thinking, but I have not taken any such action for my family, and assume that we will be able to ride out the storm up here in the Great White North... eh?
Wishful thinking is a destroyer of lives. Let me tell you, as a prior tax slave from the socialist country of Kanada, I left nearly 10 years ago and severed almost all ties. I thought it was bad enough in 2003, but can't believe how close we are to the precipice now. The thing with Canada is that 90% of its trade is with the US. Plus, they are just in the collapse stage of their own housing bubble brought on by Finance Mafioso, Jim Flaherty and former Goldman Sachs bankster, and current centralized banker of Canada, Mark Carney.
There is a saying in both Mexico and Canada that if the US sneezes, they get a cold. Well, the US is within a few years of being in a coma. I personally think Mexico will survive it much easier than Canada (partially because they've already gone currency collapse in the 90s and most of the business, including possibly Hostess Twinkies, is moving to Mexico), but it is hard to say with precision. What I can say is that Kanada will be at great risk in the coming years. It's wide-open and empty and cold... so it might be less dangerous but many of the dangerous things that what will occur in the US will also come to Canada. I even speculate that in a total US dollar collapse that the US Government will abscond the resources in Canada... and, bizarrely, in a destitute economy, the majority of Canadian sheeple will cheer it.
My synopsis should be enough to tell you what I think... and look at what I've done. I've left Canada and internationalized all my affairs ten years ago. Like they say, better a year early than a day late. Not to mention I absolutey love... LOVE, not having to give a penny of my income to the socialist, fascist Canadian government anymore.
FEDS AND YOUR 401K
Great article ("Government Plans Retirement Heist - Calls it Charity")!
You are absolutely right the feds are coming. They may increase taxes on the rich, but they are going to drain the middle class of its money and blood if they deem it necessary. Vampires need their blood fix you know.
I transferred my 401k into a self-directed IRA and established an LLC as an investment vehicle back in 2010. The LLC has two investments: a U.S. brokerage account for stock trading/investment and a foreign allocated PM account (which is 3/4 of LLC's value).
However, I'm still concerned that when the time comes it won't matter what legally compliant ways Americans take to protect their assets. The Feds could force folks to close these structures down, sell assets, repatriate funds or penalize (tax) the structure. Is there something that you can share for all to consider that would make it difficult or unlikely for the feds to take such actions?
Perhaps owning foreign income producing real estate in the LLC may be the best alternative since it can't be repatriated and could be difficult to resell. If the Feds tax it, then the concern would be, does the investment still cash flow. Chances are that an individual would still rather hold the real estate and pay any imposed penalty/tax from cash flow.
I'm not looking for advice my decisions are of my own making; however, your thoughts would be greatly appreciated.
You are right to be very concerned! This isn't a game... this is all out war of the state versus the individual.
While I can't speak on specifics, because I don't know all the details, I've forwarded on your question to our team at TDV Self-Directed IRA's and we will be attempting to answer specifically in the newsletter in the coming weeks. I would, however, like to congratulate you for being ahead of the curve and already getting your 401k outside of the US.
The fact, though, is that we don't know what the US Government will do as its extortion tax base revenue sinks and its debts continue to increase at record proportions. If they follow history's playbook, they will try to take a lot of the assets of their tax cows to stay alive, though.
From my perspective, getting your assets into assets outside of the US though is the first prudent move. If you own real estate in Chile or gold in Switzlerland, the US Government still doesn't have the all-encompassing power to just walk in and take it. If you keep it in mutual funds in the US, however, the exact opposite is true. They can take it, under the guise of "national security" and do with it what they want.
You are going to have to make a hard decision if they ever try to come after your foreign assets and decide if you want to listen to a gang of murderous, theiving thugs or not. That choice is much, much easier, however, if you have a foreign citizenship and can renounce your US slave-owners.
This is not going to be a decade for the faint of heart. It's going to be the craziest time in human history. You've already made a massive first step while others in the US still cling to the propaganda that they still live in the richest, freest country on Earth and only go so far as their government-registered financial advisor for which paper asset to invest in and have destroyed.
Stick with us here at TDV and we can help guide you through the Great Transition.