Let's see... oh the possibilities. Here's one; how about the government takes over our private accounts for our own good - benevolent big brother that it is - and for our own good puts us en mass into US Treasuries, especially those highly valued long-dated ones. Mmmmm, thanks bro!! You protect me for my own good and I get to help bail out your effin' macro mess buy buying your debt. Mmmmm, good. Wonder if all the boyz who parachuted with millions will be called back to do their part?
Oh and gold bugs? You could be next, except that it won't be couched as being for your own good. You'll likely be demonized as hoarders during national crisis. One might review the idea of owning yellow stuff in the US.
Okay, one would like to think this is so outrageous that it must simply be some blogger going into hysterics first and coldly thinking about it second. That may be so. But I have been aware of this scenario for four plus years since my 'guru' first proposed it to me. He in fact demanded I liquidate IRA's, "pay the #@%!'n taxes" and be done with it. I have indeed partially undertaken this tact and now, will consider going all the way. It worked out well because the liquidated funds were used for something of great value to us in our private lives and it was done before the market meltdown, which allowed us to keep most of our gains from the inflation bull (2003-2007 RIP).
I often advocate owning treasuries, but I only talk about bills or short term bonds and even then it is never an investment. Just short term safe cash equivalents. Just to be clear, I wouldn't touch a long term government bond even if I was wearing a radioactivity rated hazmat suit.
Dems Target Private Retirement Accounts
Democratic leaders in the U.S. House discuss confiscating 401(k)s, IRAs
November 04, 2008
RALEIGH — Democrats in the U.S. House have been conducting hearings on proposals to confiscate workers’ personal retirement accounts — including 401(k)s and IRAs — and convert them to accounts managed by the Social Security Administration.