There seems to be a major disconnect in the financial world today about what drives the prices of commodities. This ignorance has been displayed through some well intentioned financial “experts” who have gone on record saying that gold and silver prices are in a bubble and have reached their peak. Typically, these financial prognosticators point to the fact that thus far, investors who have bought gold and silver have done so out of fear and that once the economic recovery takes hold, the metals will fall as investors relax and go back to more sane investments like mutual funds. While I agree that precious metals prices have risen dramatically over the last several months, I believe those who dismiss gold and silver do so to their own peril.

This little band of gold enthusiasts started out few in numbers a few years back but has made a parabolic move over the past year or so much like their projections for the future price of gold. They now number an unbelieveable 108 who have stated, with sound reasons in their opinions, why gold could quite possibly go to a parabolic top of at least $2,500 an ounce – to even as much as an unimaginable $15,000 – before the bubble finally pops! In fact, the majority (65) maintain that $5,000 or more for gold is likely. In this article I identify those economists, analysts and financial writers and provide the URLs of their articles so you can ascertain for yourself their logic for such parabolic moves in the years to come. www.munKNEE.com.

China is booming. Despite what you may hear from the financial news, the numbers simply speak for themselves. China’s unprecedented economic growth and the projections for future growth are simply astounding. It is estimated that by the year 2030 China’s urban population, (not counting those living in rural areas) will reach the one billion mark. And based upon current projections, by 2025, China will have over 215 cities with more than one million inhabitants each – compared to 35 in Europe today.

Recently, the Federal Reserve was ordered to disclose documents that specifically identify financial institutions that might have collapsed without aid from the 2008 bailout program.

The order, issued by the U.S. Court of Appeals in Manhattan, marks a new development in the ongoing legal battle between Bloomberg and the Federal Reserve. This ruling upheld a previous order from August 2009 that ordered that the information be released.

This unusual legal struggle began on November 7, 2008 when Bloomberg filed a lawsuit under the Freedom of Information act against the Federal Reserve Board of Governors, demanding that the Fed release the names of private financial institutions that received public bailout money.

Chart of the day. US dept-to-GDP ratio as of March 2008. Yes, that was 2 years ago. Someone needs to take America's credit cards away.

Accept your limits. This is not to say that if you don't have a job, you shouldn't look for one. Of course you should get a job. But the majority of people, who read this, have a job, makes some amount of money-and just aren't satisfied with it.

There is nothing wrong with striving for promotions, or a pay raise. But until that happens, accept the means that you live in.

Interestingly enough, most people who get a raise find that the extra money actually doesn't solve a single money problem they have. The reason for this is that as soon as they get a raise they go out and purchase something that eats that money up immediately. If they were struggling before, they continue to struggle.

Learn to accept the limits of your income. Live within that limit and be content with what it provides. Many, many people wish they could make as much money as you do.

DON'T USE CREDIT CARDS - PAY WITH CASH

Now, I use a credit card for everything, which may seem somewhat of a contradiction. However, I use a credit card solely in conjunction with a budget. Without the budget, the credit card would be incredibly dangerous. I use it like a check. As soon as I purchase something, I go home and deduct it from my budget. This way I never overspend and always pay off the credit card. In essence, I use it like cash.

However, most people use credit cards to live outside their means. This is a mistake. It will haunt you.

To use a Christian analogy, credit cards are like the devil. Get instant gratification now and pay later. And only pay the interest, please, so that you pay and pay and pay. Cash up front is like God. You pay the price now, and enjoy the benefits thereafter!

If you don't have a budget, can't control your spending, or are too tempted by the next gadget and gizmo, then tear up your credit cards and get rid of them!

TAKE OUT LOANS ONLY ON LONG TERM INVESTMENTS

As mentioned, we live in an age where we promote: get it now, pay later! This attitude has put more people in debt than I even want to consider.

If you must take out a loan, take it out on something that will either appreciate in value, or you can sell to rid yourself of the loan in its entirety. I'm not necessarily against purchasing a new car, but if you finance the entire thing, you'll find out that as soon as you drive it off the lot you'll never be able to sell it to pay off your loan! That, in my opinion, is a mistake and living outside your means.

A house is usually a good investment. You can sell your house and pay off your loan-assuming you got a decent loan.

Don't get caught up in the fervor of instant gratification. Save up money and pay cash if you can!

HAVE A BUDGET

This is essential to living within your means. Without a budget you'll never know what you can or cannot afford. A budget gives you instant knowledge of how much money you have, what you can spend it on, and when you can spend it.

You need to develop a budget.

It'll tell you where you need to cut back, how you can save, and how to plan for the future.

Living within your means is many things, but in essence it is knowing what you have and what you can do with what you have.

Greg S. Baker is a pastor, professional counselor, author, happy husband, and proud father of four boys. He lives in Colorado. He has a passion for helping people develop healthy relationships. He believes that life is relationships. Thus, if your relationships are hurting, so are you. He has authored several e-Books that range in topic from dealing with stress, communication in relationships, , expressing yourself, to a novel that explores the ramifications of changing the past.