* International Investments – Inflation Fighters
* Ecuador Real Estate – Double Inflation Fighters
* Natural Health Tip – Saucy Inflation Fighters
If you read the front page of any newspaper yesterday you know that inflation in the US is rising….that is if you have not been reading our messages. If you have, then you already know. Better still. if you have tried to buy anything lately, you have not needed me or the newspapers to tell you that prices are up and not standing still.
In one of next week’s messages we’ll look at my portfolio and how I am fighting inflation. However a reader recently asked this question.
“Gary, Good points. One more thing is sneaking up from the trillions of wasted on things like the drug war and Iraq war. Inflation is once again rearing its very ugly head. I’m in the construction business. We are seeing almost weekly increases in commodities that are freaking out the developers and general contractors. I heard a report last night on late night radio by one economic prognosticator who has an\ accurate past record. He reported that he has personally SEEN millions of red-colored US bills in storage in Amsterdam already being set aside like Japan and South Africa did in the 80’s to protect their currency to create a two-tier currency. Meanwhile Fed chairman Bernake is making stupid comments like he would “inflate to whatever extent I have to and throw it from helicopters” to keep the US economy afloat. That will only sink it faster. In both cases in Japan and South Africa the domestic currency was inflated wildly while the international “dollar” was supported. Anyway this guy said the Fed is now printing SO much money to keep the economy floating that he is predicting a financial inflationary collapse by around November 2007. I think he’s spot on. What would be the best financial steps to take to protect oneself from such a scenario if one is committed to living here? Buy more gold? Maybe moving is the only solution. Zimbabwe is undergoing this right now, 1500% annual inflation and the country is about to collapse. I have a friend that lives there. Best, Bob “
My answer to Bob is that gold, silver, commodities, real estate, shares are the best answers to inflation. These investments make a few people rich when the majority are finally called to task for their excesses. Fixed incomes and worker salaries always get screwed the most in inflation.
Learn more about fighting inflation by investing in emerging currencies, gold, silver, Ecuador, import-export, overseas markets and more. Join Merri, Thomas Fischer from Copenhagen and Steve from Ecuador and me at our next International Business and Investing Made EZ course in North Carolina. Review where to invest and do business now and learn which markets and currencies may be strong in the year ahead. Learn more about Ecuador import and export from Steve. Our May course was overbooked and the September up date is coming along. Our free accommodations are reserved on a first come first served basis so do not delay! Go to https://garyascott.com/catalog/ibeznc
Ecuador – Double Inflation Fighters
The most powerful inflation fighter is your own business. Businesses by their nature have to make a profit so they are inflation neutral as long as the product or service is essential enough to have price elasticity. In other words the product has to be able to rise in price with inflation. This is one reason why airlines have a difficult road ahead. A huge portion of air travel is discretionary. If air fares rise too much, travelers simply stop. But if a business sells bread, people will give up a lot before they stop buying bread.
Fixed interest debt can also be a money maker during inflation. Take this as fact. I hate debt so for me to even suggest that you have it, shows how powerful this can be as a way to fight inflation.
Take a business, with lots of debt, that makes bread. It borrows $100,000 today. Bread costs three dollars a loaf and the business makes
50 cents profit per loaf. Next year bread costs six dollars a loaf and the business makes one dollar per loaf profit. The business has stayed in line with inflation as far as purchasing power. But in real purchasing terms that business loan costs half as much to pay off.
Real estate bought with fixed mortgages is a really good inflation fighter. You buy a property (if this is possible) with a fixed loan. The property rises with inflation. The loan cost remains fixed. Inflation robs fixed income and interest and capital placed in loans is fixed income.
We can also fight inflation, as Bob suggests by moving to a country with a lower cost of living. This especially helps those on a fixed income. If bread is three dollars in the US and 50 cents in Ecuador, you have a huge savings when you buy bread. Moving there deflates the cost of living.
This is why Merri and I are focusing on helping readers learn how to own real estate, live and earn in Ecuador.
This is working! Steve, our man in Ecuador just wrote:
Gary, “More good news, one delegate just bought 12 saddles. The owners of the shop were thrilled and gave me a gorgeous leather hold all that I can bring full of samples of things to export for the September Little Horse Creek seminar. The same people, Julio and Alex, are a really nice young couple and have agreed that we will all go on a weekend hike and fishing trip to Pinan Lake which is far in the mountains to the west. The trout are to die for, large and pink inside like a salmon, a meal by themselves with just salt and butter. This will be a great story.
“Hacienda San Francisco is now on the market. Asking price is $200,000 but I suspect the owner will take $180,000.”
Ecuador’s high mountain lakes are wonderful so here is an idea. Buy a hacienda near a lake and start fishing tours! Here is just one of many lakes. You’ll see it if you join us this July. Join Merri, me and Steve this July in Ecuador. See garyascott.com/catalog/superspanish.html
Or come this September to our course in North Carolina (Steve will come along with Thomas Fischer of Jyske Bank) and learn how to start your own business in Ecuador!
Steve also wrote “One of the delegates who signed up for the One Month Hometel program is a lateral thinker. He wants to split his stay into three or four trips. Most who read about the Hometel don’t realize they can do this. I think you should let them know and few extra people will come stay for a month but a week at a time and enjoy this considerable savings.
“I am off to Doctor Vaca’s now and then to watch the World Cup, Ecuador plays Costa Rica – another win and they will be in the last 16 – the locals go nuts – what a carnival atmosphere exists at the moment.”
You have been notified. We have a special Hometel program so you can stay at El Meson. You do not have to stay the entire month at one time, but can stay 30 days total taken in various trips. See details at garyascott.com/catalog/ibeznc
Natural Health Tip – Saucy Inflation Fighters
Another way to beat inflation is to eat less of the right food. Green, non fast and non pre prepared. This type of food costs less and is good for you. This means you can eliminate or reduce one of the biggest costs, most people in the West face … medical intervention. Eat in a way so you do not get sick.
Of course when you do this you’ll also have more energy to work and invest better as well. These are also good inflation fighters.
One of these inflation fighting foods is zucchini. Zucchini is in! I just bought five pounds this morning at the local market. Our mountain garden produces late but we have zucchini blossoms galore so we’ll eat a lot of this through the summer.
Three great things on the farm in summer are the garden, the chickens and geese. Each morning we walk out the kitchen door with an empty basket, hear the soft sigh of the creek, feel the cool cleansing of mountain mists and smell freshness from dew laden trees and grass.
Ambling to the barn, we’ll stop and pick a few fresh wild strawberries. They started this week and are so sweet off the vine. We watch the morning sun rising over the ridge. What a start! The chickens come running and in their nests we find a clutch of brown and speckled, eggs, some still warm.
Heading back to the kitchen we pick vegetables for the day when they are ripe. Here is the crunch. When the vegetables ripen, they all seem to make themselves ready to eat at once! We space our planting in the hopes that the crops will mature over a longer period but we still sometimes have a huge pile of fresh vegetables and other times none.
Sometimes we have a zucchini overload. Dozens of fat, ripe zucchini are in the garden, all ready to be eaten.
Since we get so many eggs each day we have perfected the art of bestowing food gifts on our neighbors and friends, but one of our mainstays in this field is our dog. Eggs are great in a canine diet and Ma loves them. But how do you feed a dog zucchini?
So we have learned to prepare zucchini in many ways. Here is one recipe for zucchini sauce that you may enjoy. I must admit it is delicious!
1 cup Cottage cheese for protein.
1/2 cup milk for liquidity in the blender (raw cow’s milk or goat’s milk is best).
Half a medium, washed, unpeeled, raw zucchini as an alkaline cleanser.
Salt and pepper to taste.
Throw the ingredients in the blender and whip it up as a delicious and creamy thick sauce. It takes only five minutes to prepare.
This consistency is perfect for pouring over pasta, barley, rice, in a baked potato as well as over other grains such as quinoa. We use quinoa often as it’s the only grain that is a complete protein.
However, thin it down a bit and this blend also makes a delicious chilled soup! You can reduce the milk to thicken the blend a bit and it becomes a wonderful summer dip for serving with vegetables or (naughty – naughty) potato chips and such.
Zucchini is good! The modern Western diet is far too acid and excess acidity can create a list of ailments that are almost bewildering. Over acidity allows bacteria, yeast (Candida), fungus and mold to thrive in our systems. Over acidity sets the stage for chaos opening the door to sickness and disease. Over acidification of body fluids and tissue underlies all disease. The body is only vulnerable to germs when in an acidic state. Acid imbalance creates health problems including skin eruptions and moles, headaches, allergies, colds and flu, sinus problems, fatigue, mental confusion, depression, muscle cramps, inflammation of the joints, irritability and lung congestion, plus urinary infections and frequent and urgent urination.
In addition (as if this is not enough) excessive acidity is a key factor in early aging. According to the book, “The pH Miracle” written by Robert Young Ph.D. and Shelly Young, acid waste and disposal could also be called the aging process.” In other words the more acidic we are the faster -old we get!
Enter zucchini! One of the greatest ways to reduce acidity is by eating large amounts of greens and some of the best sources are, lettuce, greens, mustard, turnip and collard greens, spinach and zucchini. Now you have an acid fighting sauce you can pour over all types of food.
Try it this weekend. Until next message enjoy better health and wealth.
P.S. We had such success with Dr. Mishra’s weekend health course on learning how to balance pH, that we asked Dr. Terry Hambrick to condense his one week August course to a long weekend instead. Terry’s course promises to be special because it will help balance your pH during the course plus show you how to keep it balanced after you leave! To enroll or for more details contact Merri at firstname.lastname@example.org