Herbert Hoover once said, “Blessed are the young for they shall inherit the national debt.” While Thomas Jefferson reiterated in his time, “I place the economy among the most important virtues, and debt as the greatest dangers to be feared.”The Recession of 1980In the good times of 1980, when America was suffering from one of the largest recessions in history, mortgage rates were an eye popping 20%, Jimmy Carter had just been thrown out of office in one of the biggest landslides in the history of the Republic, and the U.S. had become one of the largest lender nations in the world, how is it today we have a national debt of over 13 trillion dollars and still growing?Our Enemies Own Our National DebtMuch of this foreign debt is owed to China, a draconian repressive communist regime that is now in our hemisphere drilling for oil off our coasts. Billions of oil payments flow to other repressive nations like Saudi Arabia (15 of the 19 terrorists that blew up the World Trade Center were Saudis), Venezuela (Dictator Hugo Chavez has taken control of the oil fields), and yes even Libya, that infamous black heart nation that sponsored a terrorist bomber to blow up a Pan Am flight over Scotland that killed over 300 people in the air and on the ground most of them American college students.Trade DeficitsTrade deficits with China, Japan, and the European Union have cast a dark shadow over our business community because we now have more money leaving the country than we have coming in. Many American entrepreneurs are taking their companies overseas to Asia, Mexico, South America, where governments are friendly to foreign business. The pros outweigh the cons of moving because the labor is cheap, taxes are low, and business is looked on with a favorable light. In the United States business is looked at like a cash cow. The high minimum wage, employee benefits, local, state, and federal taxes take away from the bottom line so much so that there is little incentive to stay in the land of plenty.National Debt Has Skyrocketed During the Reagan years starting in 1980 the total national debt was a mere $900 billion. 28 years later in 2008 the national debt skyrocketed to an astronomical jaw dropping 9 trillion dollars, a 1000% increase! Deficit spending is the animal embraced by the political hacks which is simply spending more than you take in. It is like a person that pays his bills with credit cards, it feels good at first, but then eventually the man is at the door with his hand out wanting to get paid. The trouble with government deficit spending is they simply raise the debt ceiling by raising the credit limit!New Rules & Regulations To make up for the ludicrous increase in government spending new rules and regulations were invented to increase revenue for the government coffers to the point now there are so many rules and regulations on the books it is hard to know when you are breaking the law! A good example of overreach by the geniuses in charge is a law they just passed last week that includes a penalty and fine for advertising companies that play there commercials to loud on your TV! Really!The Bureau of Labor StatisticsWhen there is increased federal spending it always requires new public employees to take care of the new blitz of paper shuffling that will leave new paper trails and more forests empty of trees! The Bureau of Labor Statistics stated there were 21.5 million federal, state, and local government employees across the nation in 2003. In 1940, right before World War 2 got into full swing, there was an estimated paltry 4.5 million government employees. The Obama administration has increased the federal government employees by 30% in less than two short years and increased the federal debt to a mind boggling 13 trillion! Where do these professors of deficit spending think we will wind up if Asia stops buying our debt?We Were Told the U.S. Can Spend its Way Out of DebtSo what is the fruit of this massive endeavor to spend us out of the greatest modern recession in history? From George Washington to Ronald Reagan 200 years have elapsed and the national debt was only a trillion dollars. In just 30 short years we have ballooned the national debt to a colossal 13 trillion and still counting! Our federal government, by trying to be all things to all people, has simply driven us to the edge of the abyss, to a bankrupt federal government that cannot even agree on a federal spending budget!Fiscal & Monetary Policy When political hacks increase or decrease our federal spending in a dismal effort to influence the direction our U.S. economy it is know as fiscal policy. On the other hand, clownish attempts to influence the U.S economy through the manipulation of interest rates by the Federal Reserve is known as monetary policy. Neither of these outdated policies has succeeded. Instead of letting the free market correct itself to keep everything in balance government intervention has only compounded the situation and extended the recession.Shift In the Wealth ComingBy careful observation of how the wealthy invest their monumental sums there appears to be light on the horizon showing a gigantic money shift coming. The brain trust in the world of investment money have observed that the Dow is overvalued and is need of a gigantic correction, some say by as much as 80%. When that transpires confidence in the stock market will erode and money will flow again to the precious metals market. Gold and silver will skyrocket to incredible highs shifting the wealth to precious metals. As with everything in the world of investment timing is everything. By positioning yourself now buying up gold & silver while it is still reasonably cheap you can get your money in line for the next big move.Real Estate Next? When precious metals have peaked it is time to cash out your marbles to move on to the next big market in line for a wealth transfer. From all money pundits crystal ball rubbing that I have seen the real estate market would be the next big wealth transfer because value in real estate in some areas is at rock bottom. By buying up cheap markets at wholesale almost guarantees you a small fortune. There is always money to be made when disaster strikes. Which side of the equation do you want to be on?