Fake Money, Real Danger

The latest must-read book from the authors of the New York Times and Wall Street Journal Bestselling Aftershock series of books, Fake Money, Real Danger strips away the confusion and exposes what’s really happening to our economy and investments—and shows you what to do about it now, before it’s too late.

Picking up where Aftershock left off, Fake Money, Real Danger reveals how the Covid-19 pandemic—and the government’s massive money printing and borrowing in response to it—is providing investors with a once in a lifetime opportunity to build wealth in the near term, while also taking the crucial steps necessary to protect yourself and your investments from the inevitable Fake Money bubble pop in the longer term.

What FAKE MONEY?

• Massive government money printing increased the U.S. money supply by more than 1,000% since 2008, printing more money in ONE MONTH in 2020 than during the two years of the Financial Crisis in 2008 and 2009.
• Mammoth federal debt is now at a staggering $30 trillion—up $3 trillion in 2020 and on track for continuous huge increases. The amount of federal debt is nearing 10 times our annual tax revenues.

What REAL DANGER?

• All U.S. economic growth since the Financial Crisis is entirely due to government borrowing. All of it. Without massive government borrowing we’d have no growth at all.
• Stock markets will likely continue to rise because of Fake Money but face an inevitable crisis when continued massive money printing creates serious inflation.
• You and every investor are now at a crossroads. Your next move will decide your fate: protection and profits OR wealth destruction and regret.

Preface: Why We Wrote This Book Now vii

Acknowledgments ix

Chapter 1: Fake Money, Real Danger – Massive Covid Stimulus Boosted the Boom and Will Bring on the Bust 1

Chapter 2: Fake Money, Fake Wealth? 21

Chapter 3: Will We Ever Get High, Long-Lasting Inflation? If So, When? 33

Chapter 4: Won’t the Pandemic Stimulus End and Solve This Whole Fake Money Problem? 59

Chapter 5: How to Make the Most Money Now – First, Avoid Picking Individual Stocks Despite Enormous Pressure to Do So 71

Chapter 6: How to Beat the Market Now and Get Out Before the Bubble Pops Later 95

Chapter 7: How the Big Fake Money Bubble Will Pop 127

Chapter 8: What If We’re Wrong? Great, You’ll Make Tons of Money in the Ever-Rising Stock Market!137

Epilogue: It’s Productivity Growth, Stupid! 139

Appendix A: Buying Stock Is Not Investing 147

Appendix B: The Trouble with Bubbles 155

Appendix C: An Important Long-Term Lack of Correlation 165

Appendix D: Our New Model Reveals Why the Stock Market Bubble Is So Hard to See – And How It Will Likely Pop 173

Appendix E: Questions and Answers Regarding Inflation (Chapter 3) 191

Index 197

DAVID WIEDEMER, PHD, is a world expert in macro-evolutionary economic analysis. He is Chief Economist for Ark Financial Management and holds a doctorate in economics from the University of Wisconsin-Madison.

ROBERT A. WIEDEMER is a Senior Investment Advisor for Ark Financial Management, a macro-focused money management firm in alignment with the macroeconomic analysis and advice offered in Aftershock and Fake Money, Real Danger. Mr. Wiedemer holds a master’s degree from the University of Wisconsin-Madison School of Business.

CINDY S. SPITZER is an award-winning author who has collaborated on dozens of books, including Chicken Soup for the Soul, Buy and Hold is Dead (Again), America’s Bubble Economy, Aftershock, and Fake Money, Real Danger. She is also a Senior Investment Advisor at Ark Financial Management.

During the Covid-19 pandemic, enormous government borrowing and massive money printing—aka, Fake Money—has pumped up the already-sky-high markets even higher, putting the U.S. and world economies on a faster track to significant future inflation and, ultimately, to surging interest rates that will pop the stock, bond, and real estate markets.

From macroeconomic experts and bestselling authors Dr. David Wiedemer, Robert Wiedemer, and Cindy Spitzer, Fake Money, Real Danger offers readers a proven system for building wealth as the Fake Money bubble continues to rise and critical protection when the huge Fake Money bubble inevitably falls.

Perfect for fans of the Aftershock books, Fake Money, Real Danger is a must-read for anyone who hopes to both prosper in the near term and avoid the devastation that will ultimately be caused when continued massive money printing causes high inflation and devastating interest rates of 10% or more.

All new for 2021 and beyond, Fake Money, Real Danger shows you how to build wealth and prosperity as the markets continue to rise and how to identify the growing danger signs and timing of the coming collapse of the Fake Money wealth boom—a bubble unlike any we have seen in history.

Protect and grow your investments before the big Fake Money bubble pop with this one-of-a-kind, insightful resource.

The latest must-read book from the authors of the New York Times and Wall Street Journal bestselling Aftershock series of books, Fake Money, Real Danger strips away the confusion and exposes what’s really happening to our economy and investments—and shows you what to do about it now, before it’s too late.

Picking up where Aftershock left off, Fake Money, Real Danger reveals how the Covid-19 pandemic—and the government’s massive money printing and borrowing in response to it—is providing investors with a once in a lifetime opportunity to build wealth in the near term, while also taking the crucial steps necessary to protect yourself and your investments from the inevitable Fake Money bubble pop in the longer term.

What FAKE MONEY?

• Massive government money printing increased the U.S. money supply by more than 1,000% since 2008, printing more money in ONE MONTH in 2020 than during the two years of the Financial Crisis in 2008 and 2009.
• Mammoth federal debt is now at a staggering $30 trillion—up $3 trillion in 2020 and on track for even more in 2021. The amount of federal debt is nearing 10 times our annual tax revenues.

What REAL DANGER?

• All U.S. economic growth since the Financial Crisis is entirely due to government borrowing. All of it. Without massive government borrowing we’d have no growth at all.
• Stock markets will likely continue to rise because of Fake Money but face an inevitable crisis when continued massive money printing creates serious inflation.
• You and every investor are now at a crossroads. Your next move will decide your fate: protection and profits OR wealth destruction and regret.