Due to the greed of the government, every empire eventually meets its economic collapse. This pattern can be broken down into seven stages of an empire. The first stage the empire has a sound monetary system in which the money is either in gold or backed by such. During the second stage,
the empire begins to spend an excessive amount of money on its great public workings such as monuments and temples.
In ancient Athens, the recruiting of soldiers began upon the arrival of the war between Athens and Sparta. Athens recruited far and wide, desperately attempting to build a stronger military for war purposes. They paid their soldiers in gold for their troubles as well as paid for their training, lodging, food, and other necessities.
The United States didn't actually join World War I until six months before the end. The U.S. spent the duration of the war both manufacturing as well as selling war and essential goods to Europe for gold while developing their army. The U.S. transformed its car factories to tank factories and its toaster factories to machine gun factories. The currency that once acted as claim checks for gold were made no longer redeemable for anything.
definite pattern that repeats itself to a fault. This pattern can be broken down into seven stages that cycle throughout every civilization no matter how big or small. These stages are the process of the conversion of quality money to quantitative currency and vice versa.
The third stage begins with the country's economic wealth grows and becomes heavily influenced by politics. A high amount of expenditures goes into building a massive military. Stage four is when the military is put to use which causes expenditures to dramatically increase. The fifth stage occurs when the politicians commit theft against their people in order to fund wars. They do this by either diluting the value of coinage by combining gold with lesser base metals or completely replacing money with currency.
Inside stage six the currency loses its purchasing power as it increases in number which is sensed by the public and financial markets. This causes a major loss in confidence in terms of currency. Finally, stage seven is when there is a massive movement away from fiat currency and into the use of precious metals along with other valuable commodities. The fiat currency collapses while gold and silver prices rise to account for the great amount of currency that was manufactured.
This recurring trend has brought down the mightiest of empires such as Athens to its knees. Now it is happening on a global scale which will eventually trigger the largest transfer of wealth recorded in history. We can see that our civilization is definitely following the same pattern of self-destruction as we are now in stage six going into stage seven. However, not all is lost, as with financial crisis comes the opportunity for those who seek it.