I have reported on this in the past, citing interviews of Jim Rickards.
From CNBC, the Pentagon, through wargame series "Unified Quest 2011" is acting out various scenarios and their implications to national security. Some include:
"Army studying implications of large scale economic breakdown."
"Would force the Army to maintain domestic order amid civil unrest."
"Army to deal with fragmented global power and drastically lower budgets."
Remember when Ben Bernanke said the issue of subprime was "contained?" This is not just a subprime issue, it is not just a national budget issue, it is not just a trade imbalances or currency issue. It's all of them combined together and more. And how does such a perfect storm come to be? It all boils down to the long term implications of debt based fiat paper money. We are witnessing the end of a global monetary system. I will soon begin a new series of posts on the real-life implications of the end of such a monetary system. Such a monetary system creates large distortions in economies, and ultimately, those distortions self-correct on their own. It's simple mathematics.