The economist Peter Schiff has already predicted the housing crisis in 2008.

Schiff makes a good point about why now is a good time to consider investing in storehouses of value like gold.

Here is why:

Inflation is a bigger problem now than in the past.

The government can create paper money out of thin air. It enables them to spend on promises without collecting taxes.

Right now, we have double digit or high single digit inflation in almost all of the economies in the world.

As inflation rises, the penalty for retaining money is going to get bigger very year. The inflation tax is the worst possible tax since it impacts the people who can afford it the least.

Inflation affects the working class, the middle class, and retirees. They end up suffering the most from the inflation since it reduces their buying power.

Wealthy people with good debt, like income-generating assets, will profit from inflation, because it reduces their debt.

This creates an unfair leverage.

Another point made is that we don’t know about the real degree of inflation.

Real inflation can be way higher as the estimation of the inflation rate (CPI) is not a real reflection of inflation. The method has been used by governments to mask the degree to which prices are rising.

What can we do about it?

The government will continue to reduce the value of money and inflation will rise.

This needs to be the single most important factor that drives our decisions when it comes to investing and saving money.

Things are going to get more expensive if you wait. What is the point of holding on to the cash?

Consider investing into storehouses of value like gold.