Marc Faber expects a debt agreement, but nothing that helps in the long run. He tells King World News:
“Yes, I’m sure there will be an agreement, but it doesn’t solve the fundamental problem of excessive debt and of further, very substantial deficits. They’ll iron out something with lots of compromises and with spending cuts that are backloaded, in other words they won’t happen immediately. As we go along say in three or five years' time when these spending cuts should occur and when the tax increases should occur, nothing will happen in my opinion.”
America will keep piling on debt and printing money, as will Europe, leading to war and the collapse of governments:
"Well when the reset comes it will be, say, a hundred dollar bill will be exchanged for a one dollar bill or something like this. Before we have the Great Reset, the government, they will increase the war effort under whatever excuse that will be, but I think that is the likely course of action...The wealth destruction will be interesting because...the people that suffer the most before the reset happens are actually the cash holders."
As for gold:
...I just calculated if we take an average gold price of, say, around $350 in the 1980s and then we compare that to the average monetary base in the 1980s, and to the average US government debt in the 1980s...but if I compare this to the price of gold to these government debts and monetary base, then gold hasn’t gone up at all. It’s gone, actually, against these monetary aggregates, and against debt, it has actually gone down. So I could make the case that probably gold is today very inexpensive....