Daily Bell: We last interviewed you in 2009. Has the world's economic picture gotten worse?
Richard Maybury: As far as production is concerned, I think that things have improved but the essential problem is the malinvestment that was created by the Federal Reserve counterfeiting dollars since 1913, and almost all that malinvestment is still out there and needs to be shaken out. The pain we have been going through since August of 2007 has essentially been for nothing because the federal government stopped the malinvestment, or most of it, from being shaken out, and that traumatic experience is yet to come. So, anybody who thinks we are getting to the end of this thing is dreaming.
Daily Bell: What's the worst problem America is suffering from?
Richard Maybury: I think ethics. Nearly the entire population has been raised in schools that are under the control of government agencies and they have been taught that the government doesn't need to obey ethical principals such as, "Thou shall not steal". So, this has become part of the American culture. I don't see any long-term solution for America or any of the rest of the world until they start accepting the fact that government has to be ethical, just like individuals.
Daily Bell: Is America essentially bankrupt?
Richard Maybury: America isn't but the federal government sure is. I don't think I need to get into statistics, but the federal government is about as hopeless as we have ever seen in history. I can't think of any other government that ever got into this much trouble, but the country and the government are not the same things. Some individuals are bankrupt, some are prosperous, it varies from one person to the next, but most assuredly the federal government is a real financial basket case.
Daily Bell: How can America recover?
Richard Maybury: Well again we go back to ethics. We have to go back to obeying the rule of "Thou shall not steal". The American founders went through all this two centuries ago. I am doing an article on this in the Early Warning Report. Thomas Jefferson for instance, in his first inaugural address laid out 16 principles for how the government should be run ethically. I think the time has come where we have to start re-learning what those principals are and the country is supposed to be about. I have become very optimistic when I look at the protests that are going on in the United States now, and there is a lot of focus on the constitution and the writings on the American founders. I think the American people are beginning to realize that there's a lot they were not taught in school and they need to now learn what the country is supposed to be like. That's a wonderful development and I hope it continues. We have to rediscover our origins, and a lot of people are beginning to do that.
Daily Bell: What will happen to the dollar?
Richard Maybury: I think the dollar, as we know it is dead or pretty close to it.