According to Jay Taylor editor of the Gold, Energy & Tech Stocks newsletter and many other investment experts, fiat currencies fail without exception. These experts believe silver and gold to be the only real currencies in the world today. Even though a few junior mining stocks have been behind bullion, they still form a major portion of his portfolio.

Investors have woken up to the realization that paper currency is not money and that true wealth lies in the acquisition of silver and gold, physical silver and gold. Silver and gold have stood the test of time as they hold their own while fiat currencies crash all around them. It is for this reason that silver and gold is so valuable. America is in dire straits with the debt burden that it is currently facing and this will ultimately cause the dollar to devalue and fail. When this happens, investors who have placed their trust in paper money will find themselves broke overnight.

Raising the debt ceiling in America has only served to delay the inevitable. Investors will be wise to expand their portfolios to include gold and silver. In fact now is the best time to jump on the bandwagon and start investing in these two much sought after precious metals.

Americans are in for a rude awakening as they are going to have to adapt to a new way of living. They will not be living the same standard of living, as was the case in years gone by. Taylor believes that now people who are able to manufacture money out of nothing are going to take wealth away from those people who are currently wealthy.

Bankers and politicians have long been exploiting people who do well for the economy. These people include farmers, investors, manufacturers and miners. This practice by bankers and politicians has robbed these good folk of their fair share of wealth. Taylor is of the belief that returning to the gold standard will reverse this injustice. He goes on to say that this new normal will result in a lower standard of living for most of the citizens of America and that it will get worse before it gets better.

Taylor explains that there was deflation after the 2008 Lehman Brothers crash. It took excessive amounts of money to be pumped into the economy to restore it to positive 50 percent plus. However, this means that there has not been a big enough increase in the real economy worldwide. All that has really happened is speculation of commodities and certain players on Wall Street playing games.

Some quarters argue that certain companies such as AT&T, Morgan Stanley and Apple have delivered results, which contradict this sentiment. However the flip side to this coin is that unemployment has reached epidemic proportions currently. This has only led to the rich becoming richer and the poor becoming poorer.

All of this information simply means that the dollar will crash just like so many other fiat currencies. Smart investors will realize this and look towards gold and silver to maintain and expand their wealth.

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