PETER SCHIFF
August, 2005 "Our bubble economy rests on the foundation of the housing market, and it's a very weak
foundation... eventually the bubble is going to break." ("Peter Schiff's Predictions (2002-2009),"
YouTube).

August 28, 2006 "The basic problem with the US is we have too much consumption and borrowing and
not enough production and savings. The disease is all this debt financed consumption, the cure is that
we stop consuming and start saving and producing again, and that's recession...

"It's not wealth that's increased in the least, we haven't increased our productive capacity, all that's
increased is the paper values of our stocks and real estate, but that's not real wealth... When you see
the stock market come down and the real estate bubble burst, all that phony wealth is going to
evaporate, and all that's going to be left is the debt that we accumulated to foreigners." (Ibid).

December 31, 2006 "Today's home prices are completely unsustainable, they were bid up to these
artificial heights by a combination of temporarily low adjustable mortgage payments, by a complete
absence of any lending standards, and by speculative buying... What's going to happen in 2007? ...These
sky-high real estate prices are going to come crashing down to earth... Most of the profits that people
have in real estate are going to vanish... The prices will fall through the floor." (Ibid).

January 4, 2007 "I see a very strong recession, it's not going to be measured in quarters, it's going to be
measured in years, there's a very good chance the recession will start in 2007." (Ibid).

August 18, 2007 "Foreigners around the world have been lending us money for years, they are now
finding out that we can't afford to repay. There is going to be an enormous credit crunch, the party is
over for the United States." (Ibid).

September 27, 2008 "The economy is going to crash, that is why I wrote that book, the problem is the
bailout is actually going to make the problem worse." (Ibid). (The book is called ""Crash Proof - How to
Profit from the Coming Economic Collapse.")

January 6, 2009  "If we just cut taxes and the government keeps spending, the real cost of government
is not what it taxes but what it spends, and if it doesn't take it from us honestly through taxes, it's going
to do it dishonestly by creating inflation, and that is exactly what they're doing, and we're going to pay
for this, not in the future, but right now." (Ibid).

(We are paying now at the grocery store and the gas station. This inflation tax hits the poor hardest,
because they spend almost all of their income on necessities, so a 10% increase in costs of necessities
effectively reduces their income by 10%.)

"The reason we're in trouble is not because the housing bubble burst, we're in trouble because while it
was inflating, we were recklessly borrowing and spending money. American citizens borrowed trillions
of dollars from people all across the world and blew the money... We spent it on cars, on consumer
electronics, on furniture and appliances, on food, on gasoline, everything that we imported that we
couldn't really afford." (YouTube, "Peter Schiff's predictions," Jan. 7, 2009).

"The politicians don't want to listen to my advice, because my advice is that they get out of the way and
let the recession run its course..." (Ibid).

"Barack Obama is just more and bigger government, and he is blaming our economic problems on the
market as opposed to the government, which is where it belongs, and he's talking about creating
millions of jobs. The government can't create jobs, the government doesn't have any wealth, all the
government can do is redistribute the wealth that the private sector creates." (Ibid).

"The government has no wealth, the government has a printing press, and they can pretend to create
wealth by printing money, but that illusion won't last very long. I think we are on the verge of another
major crisis, that's far greater than the one the government is trying to deal with now and that is the
coming collapse in the value of the US dollar. I think we are going to have a run on our currency. I think
the dollar is going to completely fall through the floor, and that's going to unleash problems much
greater than the ones we have now, because it's going to send both interest rates and consumer prices
up into the stratosphere in this country." (Ibid).

(The dollar is now the reserve currency of the world, a run on the dollar would cause it to lose that
status and be replaced, perhaps with a unified world currency.)

On Social Security:  "Nobody is entitled to someone else's money, that is the bottom line. People think
they are entitled to it because they think they paid into it, nobody paid into anything, it was a fraud.
Every single dollar that the government collected in social security taxes, has already been spent, there
is nothing there, there is no money, so the only money the government gets to make current payments
is the money it can take from people who are still working. It's a transfer from the working poor in many
cases to the retired rich. We don't have the money, I feel bad for the fact people made promises we
can't keep, I feel bad for the people that invested with Bernie Madoff and lost their money, but it's the
same principle, it's the same ponzi scheme. We have to put an end to it, we have to find real solution to
these problems because if we keep on denying that they exist and keep on spending money, we're
going to destroy the value of everyone's benefits." {RTC, Avon, CT (10/05/2010) taken from Wikiquotes,
grammar and spelling corrected}.

(It appears to me that Social Security benefits will have to be cut. Since Social Security has been
advertised as a safety net plan, I hope that benefits will be cut selectively. For example, those whose
Social Security benefits are less than 20% of their retirement income should lose their benefits entirely.
Those whose Social Security benefits are more than 80% of their retirement income should not have
their benefits cut at all and those in between these two extremes should lose benefits on a sliding scale
based on need.)

On the 2012 election, "Gas prices will be higher when the election comes than they are today, maybe a
dollar a gallon higher, and more people will be unemployed. I think we'll be back in recession, even by
official estimates, so it's going to be tough for Obama to blame it all on Bush..." (Peter Schiff, "Peter
Schiff - Ron Paul Has a Good Chance in 2012," YouTube, May 31, 2011).

(The recovery has been called anemic. According to the Bureau of Labor Statistics, U.S. Department of
Labor, "The Employment Situation - May, 2011:" The American labor force is 153.7 Million. Some 13.9
million people looked for jobs in the preceding four weeks, these are the people counted in the
unemployment figure of 9.1%. In May of 2010 there were 153.9 million Americans in the labor force and
some 14.4 million unemployed or 9.3%. Many more want full time jobs, but they have slowed or stopped
looking, or settled for part time work. Most of the approximately 7 million jobs lost in the Great
Recession have not been recovered. Peter Schiff believes that more will be lost before the 2012
election.)

"Obama promised change, but he delivered the same thing, and at least Ron Paul has a chance of
delivering change, change for the better, which is what we need." (Ibid).

(One of the labels attached to Presidential candidates to scare away voters is "unelectable."  Peter
Schiff thinks that Ron Paul has a good chance in 2012, and so do I. America is in an economic mess
because voters were not paying attention to elections. They were placated by platitudes and promises. I
believe that the 2012 is literally a last chance to avoid economic catastrophe, and I hope the American
electorate is up to the challenge.)

Amo Paul Bishop Roden