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Financial Insanity Grips The World
Rare is the person who is a realist. We collectively live in a world of pretend and extend. Every one of us wants our present civilization to continue, though for countless millions the world has already turned upside down as unemployment has soared and war and terrorism proliferate. The very structure of life in our world is threatened because madmen have undermined the financial system through the creation of debt instead of wealth. We have collectively borrowed against our children’s future until their very future is in doubt.
Dr. Paul Craig Roberts, former Assistant Secretary of the Treasury for Economic Policy and associate editor of the Wall Street Journal thinks that insanity grips the western world. I have to agree and no one who reads the news would disagree. In the “The Sane Society” prominent psychotherapist Erich Fromm suggested that Western society as a whole was lacking in sanity; that the inequities and disharmonies of the entire society were pathological, not just the mental illnesses of people therein.
The newest mirror of financial insanity are the negative interest rates. Today if you are a manager of other people’s money, like a pension fund manager, you are forced to lend out hard-earned money at a loss, to buy worthless paper, issued by governments who only pretend they will be in any position to pay back. Bloomberg writes, “Negative interest rates are an odd fish in the world of finance given that they basically wreak havoc on a central tenet of investing; that investors will be compensated in some way for, you know, investing in things.”
The Secular Investor writes about this saying, “Who is going to save money then? Not a single soul, of course. People will start to create debt en masse, because it is the better and cheaper option. The resulting investments will rise in value, moreover, when an increasing amount of people take on debt in search for returns. Things cannot get a lot crazier than this. If this is how the system ends up working, we fear that the effects will be irreversible. It is like a black hole that sucks in more and more matter – read: capital – and never lets go. This financial black hole story will also end with a sudden implosion, a flash of light and a big bang, just like in space, and those who do not own hard assets at that point in time could lose every bit of wealth they’ve ever accumulated.”
“The negative interest rates are oppressing the elderly, robbing them of their dreams. They were told to save for retirement, but now they face negative interest rates after paying a lifetime of taxes……There is so much cash around and nothing to invest in, that we see companies buying back their own stock,” writes Martin Armstrong. “In the hunt for apparently “safe assets”, investors have thrown caution to the wind, and collectively determined to pay governments for the privilege of lending to them,” writes Jeremy Warner.
Pater Tenebrarum, writing about the new war against cash, says, “As the modern day fiat money system inevitably cruises toward its final denouement, individual rights will come increasingly under attack as the world’s ruling elites and centrally directed banking cartels begin to batten down the hatches.” “There is only one conclusion that can be drawn from such an anti-cash sentiment. Your property is no longer your own. This fundamental attack on the value of money should erupt in national outrage,” writes James Hall.
Many people are worried for good reason. If US inventories, already at record high levels, and with the inventory to sales rising to great financial crisis levels, had not grown by $121.9 billion and merely remained flat, US Q1 GDP would not be 0.2%, but would be negative 2.6%.Things are not looking good for America and the rest of the world economy. Human activity in the real world is deflating (contracting) at an accelerating rate.
The scenario (worst case) that I am betting my money on is presented by Gary Christenson, who writes, “Financial or economic collapse occurs. If credit collapses and businesses aren’t paid for products and services, the distribution system could temporarily shut down. Contemplate empty grocery shelves, empty gasoline stations, electricity and water outages, empty ATM’s, and EBT cards that don’t work.” This is exactly what to expect when our present financial system burns down to the ground.
Ambrose Evans-Pritchard writes, “The slump in the annual growth rate to 0.2pc in the first quarter does not convey the full horror of it. Once you strip out a surge in inventories – often a pre-recession warning – the economy contracted sharply. Investment in business buildings and factories fell 23pc. "A whiff of panic is in the air," said theEconomic Cycle Research Institute.”
Charles Hugh Smith writes, “All the "saves" have done is guarantee the financial system will burn down in a conflagration ignited by a seemingly trivial spark somewhere in the vast global system of phantom collateral.”
From an essay about how debt-addicted world could go the way of the Mayans we read, “The current state of affairs echoes Archaeologist Arthur Demarest’s observation about the Mayan civilization: “Society had evolved too many elites, all demanding exotic baubles…all needed quetzal feathers, jade, obsidian, fine chert, and animal furs. Nobility is expensive, non-productive and parasitic, siphoning away too much of society’s energy to satisfy its frivolous cravings.”
Conclusion
Brandon Smith concludes, “Self-reliance requires preparedness. There is no way around it. There is no such thing as crisis for those who are prepared. This means placing oneself in a position to provide the necessities of life so that one does not become a slave to need. Desperation often leads to moral relativism, and tyrants thrive on the moral weakness of a population. The more prepared an individual is, the more likely he is to fight back against despotism. The more prepared a community is, the less that community will feel inclined to request aid from those who might leverage such aid to oppress that community.”
Martin Armstrong concludes, “It certainly appears that we are complacent as a society and as such, we never act until it is too late. Then everything falls apart. Indeed, government interest rates have moved into negative interest rates on about 30% of Eurozone total debt. This has become an effective tax on money itself, with respect to whatever you have left in your account after paying taxes. We are heading for economic Armageddon and the day of reckoning is rapidly approaching. You better wake up before the coffin is nailed shut.”
"Corrupt and seriously deranged politicians are destroying western civilization."
“The end result of Fed policy appears to be to keep us in perpetual economic malaise, to keep us all confused. There is no solution to the crisis, merely a choice of which roads to choose, a deflationary debt collapse, or a hyperinflationary dollar collapse or World War III. Pick your poison…,” concludes Zero Hedge.
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That's why I don't have kids.
My kids hate me already (4 teens) and i haven't even told them about this, yet.
I'm so glad I sold my wife and kids into slavery a long time ago while I could still get a good price.
But no bids on the mother in law
U mean the m-i-l...f?
Keep her, she could be useful
Money is debt which the money printers never intend to repay....
If you don't believe me, just wait till they steal your pensions...
(People are basically working for heavily taxed false promises & it's fucking sad really)
And when you're dead, us other kids will split up your gear.
The future is only for those who show up.
Makes perfect sense to me.
Thanks, Mom and Dad.
That's what you get for not marketing the wife as a BOGO.
Is she nice? I'll take her.
DavidC
Yep, this is why... ;->
Apparently you and 78% of child bearing aged Americans under 32
Those who look at the facts, attempt to determine a rational conclusion, as well as guess how the government and banks will react to the predicament we are in are labeled conspiracy theorists. This next failure of central planning will expose who are the real deceivers.
Financial madmen is gross descriptor understatement for the bastirds evil sociopathic manipulation of the financial system. And don't forget the elected & nonelected ruling elite political turds who enable them so they can maintain their self aggrandizing power & imperial lifestyles. All the while the serfs & peasants are blissfully unaware. Fuk.
"Corrupt and seriously deranged politicians are destroying western civilization."....please don't forget the politicians are just the PR arm of the private bankers running things and the spider at the center of the web is Jacob Rothschild.
We've created such weird social memes. I'm sure it isn't an accident either.
1) Caring about anyone but yourself is a weakness / something to be embarressed about / inherently socialist/hippie nonsense.
2) Pointing to facts that prove something troubling is wacky conspiracy theory stuff and should be ignored
3) The rich gaining more money at an exponential rate while spending less makes sense economically in the long term (it will trickle down! Stop looking at the one-way syphon of money from the many to the few for what it is you dumb hippie! They earned that money and you want to take it away because you're jealous!)
4) The economy and oppotunities that exist in America are on par with the economy and opportunities of the baby boomer generation and every failure of the youth to succeed is their own fault
5) Monetization is more important than moral/ethical concerns or personal passions
I'm sure any of you could add many more
Don't expect my kids to support you in your dotage. Every able and intelligent person of good will needs to be having as many kids as you can afford and prep for. Teach them to rebuild our civilization. I reject nihilism that abandons the future in the face of the impending crisis.
My kids are making excellent progress. Learning to think for themselves and leave things better than they found them. Uphill battle though when they are surrounded by shitty kids. Most people shouldnt have kids. I dont think they understand the responsibility.
Please no. There are already to many people on this planet fighting for resources.
In other words
"where all fucked"..............(WAF)
There you go said it in 3 words
"That's why I don't have kids."
Wrong attitude. Whether it be a forest fire or a rotten compost pile... once the dust and fetor clear away, seeds are needed for healthy regeneration. This is the attitude one should have regarding children. Don't give up on the natural cycles of life just because a few satanic tribesmen have a twisted desire to run and ruin the world. That attitude in you is part of their protocols against humanity. Because their dream and our nightmare run totally against the laws of nature, they are doomed to failure. It will be hard for us and our progeny, but a strong will makes almost anything possible. Don't let them conquer with a defeatist attitude. Have faith in truth - it will win in the end.
If you have ever spent any time in a 3rd world country, you will know that the poor have plenty of kids, and plenty of "faith". Yet all it ever gets them is a few nice words once they are in the pine box.
The majority of kids born today have nothing to look forward to but a life of misery and depression. Unless you are rich and mobile, just say "no" to kids.
on the other side... it's children that will inherit the Earth. either yours, or someone else's
Thankfully, I'm not a narcissist.
Yeah... let's just all forego reproduction and give the world back to the cockroaches and banksters. (Sorry for the redundancy.)
Still so strange ZH isn't discussing that the proximal cause for the long emergency, a falling population among so many nations, starting from the bottom of the population base and working its way up is tearing apart what was always a ludicrous idea, perpetual growth with perpetual assets. This is simply the inevitable outcome. A collapse and reset based on entirely new principles is being delayed...
http://econimica.blogspot.com/2015/05/2008-was-tremorwhy-main-event-is-still.html
Yup, most people do not believe there children will have a better life than they had. I don't have children and I firmly believe this. Besides most people who currently have kids aren't mentally capable of grasping the responsibility nor are they financially equipped to have children.
I have raised my children to be rebuilders... one daughter is on her way to medical school, the other working towards a PhD in biology...unfortunately my son, a stellar individual, was killed in an accident shortly after his 18th birthday. The deal was that I put each of them through their first two years of college and after that they were on their own...
So far as being prepared for a crisis... I agree... but how to prepare. I believe this crisis is spirtual in nature, and I am preparing as a spirtual being... attempting to understand value in its true sense, and to rid myself of the kind of baggage the wears on the soul...
On the otherhand, I purchased a farm some years back, and have spent those years building and learning. If it is practical I, and my family, will have a place in things. Else, I am ready to leave this rock and move on.
Life either has a purpose or it doesn't. From my point of view approaching life as though it means nothing makes no sense as it leaves you with no real options. Beyond that I actually do believe that life has meaning and thence the preparation.
Kicking that can down the road... some more, again.
The can will be kicked as war rages. Not kicking the can does not occur to these madmen.
perhaps. meanwhile, some kick harder then others
"The Secular Investor writes about this saying, “Who is going to save money then? Not a single soul, of course. People will start to create debt en masse, because it is the better and cheaper option. The resulting investments will rise in value, moreover, when an increasing amount of people take on debt in search for returns. "
depends... where
I was just looking into what Standard & Poors expects/forecasts for 2015 in terms of "export of capital", (i.e. balance of payments) in dollars
from the top, Eurozone: 358 billion; China: 221 billion; South Korea: 86 billion; etc.
from the bottom, US: -351 billion; UK: -110 billion; Brazil: -87 billion; Australia: -58 billion; Canada: -48 billion; etc.
this is in line with other expectations from last year. As a reminder, this is also effecting the EURUSD, then plenty of € are being exchanged to $ for that
all this without mentioning the "reverse yankee" bonds, of course
yes, some seem to be "creating debt in masse". but also others seem to be giving them... credit for that
'The Future is in Backwardation'.......trav7777
The problem is 'DEBT-MONEY'........francis_sawyer
~~~~
- System starts
- System expands at the rate needed
- System peaks
- System unable to expand at rate needed
- System collapses
- System liquidates............Mako
Francis?!!!!?
I will make sure none of these ignorant retard consumers and investors can drag me down when the collapse comes.
As SpongeBob once said to Plankton, "Good luck with that!" Oh, Plankton had just declared that he was going to take over the world.
All is well, just keep buying.
Now that's the kind of classic Doom Porn I come to ZH for!
You're such a pessimist...er I mean realist.
Let's not start that again.
There's nothing like doom porn in the morning while having my coffee...
"It is like a black hole that sucks in more and more matter – read: capital – and never lets go. This financial black hole story will also end with a sudden implosion, a flash of light and a big bang, just like in space, and those who do not own hard assets at that point in time could lose every bit of wealth they’ve ever accumulated.”
This has been my contention since I first started commenting here at the Hedge, and I still believe this is how things will end. When the implosion comes it will happen so fast that people won't know wtf just happened. One minute they are planning their Viagra enhanced retirement at the beach house with their exceptionally beautiful wife and fat 401k and the next minute......poof.... nothing. It's all an illusion, just like their retirement dreams.
I'm with you brother. It's gonna happen so fast that heads will spin. And I cannot convince my friends or family. They all shrug and say shit like, "They'll figure something out. You're just being paranoid, etc. blah blah."
It's gonna be ugly.
hairball
The old Soviet Union was dissolved over a weekend. One day they're there, the next.... all gone. And no, it was NOT by accident. So its far from being out of the realm of possibility it could happen like that in the world debt system. Personally, I still think it's going to be a long, slow, multi-generational Japan-like spiral to the bottom.
me too. I think the last generation to actually have it better than their parents are all adults right now. everyone else is screwed. I feel bad for my kids.
I agree also. Everyone must keep playing or else the whole world suffers. We all suffer together slowly and whither away until someone can't take it anymore and decides to go to war or sustain themselves. Then dominoes.
I still think it's going to be a long, slow, multi-generational Japan-like spiral to the bottom.
I think that's a possibility, but don't you think that the decline is accelerating? I mean, Japan and the USSR's decline were during times of relative global economic stability. To me, it feels like a spiral - or circling a drain - where things start to speed up as you reach the point of implosion. Maybe I'm just oversensitive to the current velocity, but to me, it feels like "crazy" just keeps coming harder and faster all the time. We don't seem to get the "lulls" like we used to....
I have full faith that when things really start to go ragged, the psychopathic fucktards that run things will start a massive war and hope they can distract the sheeple for a while to keep them from realizing who, yet again, fucked up the world.
Ugly, yes, but also perhaps strangely satisfying in a sick way. Vindication will help pay for the years of ridicule and dismissal.
Ugly, yes, but also perhaps strangely satisfying in a sick way. Vindication will help pay for the years of ridicule and dismissal.
Kind of like what Noah must have felt like as the Ark was lifted by the flood waters ....
To many of us, a flash would make sense, but then again we have a different point of view than most others. It could be more of a Atlas Shrugged, Argentina, Venezuela, government intervention sort of thing were activity slowly grinds down.
not so fast comrades...by coincidence, i happen to be on that beach w/ my exceptionally beautiful wife (and college
aged son), Viagra and reasonable 401k. Poof? Illusion? ...dreams?" mebbe. But i trust in my ability that got
me that beachfront condo, beautiful wife, Dean's list son and 401k to get me thru what doompornthrowers hurl my way
at least you'll get to keep the fake boobs
It's all pretend and extend. Just BTFDs. The Fed will just keep printing trillions more.
QE4, QE5... until the dollar dies.
Still stackin' and preppin' here. Fuck the banksters!
The lesson learned here is "Given enough rope, a person will eventually hang themselves." Or, "Short term pleasure trumps longer term security." Or, on political expediency:
"When virtue is lost, benevolence appears, when benevolence is lost right conduct appears, when right conduct is lost, expedience appears. Expediency is the mere shadow of right and truth; it is the beginning of disorder."It's human nature for civilizations to rise and fall. We cannot sustain a thriving society as long as greed and fear are the prime motivators.
plus 1 for the lao tzu quote, all the sociopaths normally quote sun tsu.
All true, but of course if I had a dollar for every gloom and doom article posted at ZH in the past 7 years, well, I would be on my own island right now looking my babes and big boat.
It will all collapse, but the oligarchs will still throw more at it first and frustrate the bears...maybe for years. There is now no recognized limits to debt or money creation and the banksters see no alternative. To prevent the cities from burning, they will do "whatever it takes". I believe Silicon Valley and the largest property bubble in the world, will lead the final collapse. The bansters will fail to stop it once it gets going and it will be swift. Unfortunately, there is that messy question of timing...good luck!
Very true. I have missed so much income by thinking there is a collapse around the corner when in hindsight I should have been in the market even knowing it's 100% fake. And I have been routinely surprised how long they can keep things going. We appear to be headed for a recession, but we may be years away from a collapse. I've given up trying to time anything.
There are many ignorant coworkers around me happy with the way their company-matched 401(k)s have risen over the last few years. I exited and cashed out years ago, paid the penalties, whatever.
To me, the loss of (debt-fueled) growth is better than participating in a corrupt system.
American Economic Policy----Go on vacation , try that new French restaurant, play golf, spend to earn bonus miles, take out another 0 interest credit card, lease that new gas guzzler, refinance your house if there is any equity left, tell your kids to take out college loans, make sure Daddy has you in his Will, and if there is no Daddy, buy a Lotto ticket. Above all, live that American dream, sucker !
It's not insanity when you know what you are doing and the rascals and the madmen know exactly what they are up to. Until it blows up they will live well and accumulate assets. When it all blows up they have retreats and jets to take them there. If they face the noose, then so what.....15-20 years of financial/sexual/drug orgies to them would have been worth it. Too bad for the rest of us who have to clean up after them.
Anybody that calls themselves intelligent will know something is very, very rotten in the current system.
Rates unprecedented at near 0% in most Western countries for what, over 7 years....all the QE...QE1..QE2...QE3...and still nothing but shitty, lacklustre growth?
This is symptomatic of a system in decline and completely out of whack. Japan is the leading indicator of where we're going and Greece the template for how to deal with the fallout. In any case, bright minds are working hard to devise alternatives, because we all can see this is a cul de sac.
I see a future for digital cryptocurrencies arising from the ashes of this central bank interest-rate obsessed boom-bust shitshow. Of course PMs have their rightful place as a store of wealth in uncertainty...but with an increasingly digitized world....crypto is the way to go. Plus once Quantum Computing becomes viable, the digital economy will explode even more.
Imagine a world with each nation having its own crypto currency complementary to fiat. Its a world where hackers and programmers will rule. Build IT skills and knowledge to prepare for the world of tomorrow.
Tomorrow you'll need Mad Max skills.
There won't be electricity or a network to connect to.
Especially in the USA.
Good luck hacking your cryptocurrency.
I guess I had better start transforming my Sarcastic Silly skills into Super Silly skills...
The internet is now a force of its own, its like a brain....the most complex nodal network.. like an autonomous form of consciousness of its own.
In the event of a catastrophe on Earth....there can be wireless access points placed on satellites above Earth using renewable solar energy to keep providing internet. At least some network cards will still be functioning to pick up the waves.
Of course if we fuck things up enough down here....Mad Max skills will be always good to have. A Mad Max hacker :)
I don't know much about cryptocurrencies, myself. Old and oldfashioned, I prefer the "barbarous relic"
Nevertheless, I smile on private currencies, I helped myself to set one here in the eurozone (yes, we have them)
but I do know something about encryption. so one well meant tip from Uncle Ghordius: when you are praising cryptocurrencies... avoid such mentions:
"Plus once Quantum Computing becomes viable" ( <- computing power is the biggest threat to standard encryption techniques)
"a world where hackers and programmers will rule" ( <- hackers ruling the world makes me even more scared of virtual currencies)
Of course Quantum Computing will completely re-define encryption standards...it will render current standards obsolete. But it will give rise to newer and better standards. I trust the force of technological evolution...our mental capacity increases in tandem with it, a positive feedback loop.
The only problem is that the NSA will be the first to adopt the technology....but they don't have an unlimited budget and have limited resources to be able to do any meaningful analysis with the massive amounts of data they have captured through dragnets over the years. Plus time spent cracking long-dated past data will be at the expense of time spent cracking recent data which would be more pressing. Snowden was right about encryption how we all need more and more end-to-end encryption on the net....get rid of HTTP and at least have HTTPS as the basic layer. It will make it harder for the surveillance state to operate and will drain their resources.
Hacking has different hats, and is a dual edged sword. There is good hacking that keeps code strong and keeps open source honest and bug free as possible (better than close source). More eyes on the code, less chance of bugs persisting. Of course there is bad hacking such as what the NSA are doing with backdooring and subverting security, also criminals who want to steal sensitive data for ulterior purposes.
But like with any skill, it can be misused. Just because some folks misuse their words, doesn't mean we have to ban free speech for all. Just because some bad folks use encryption, doesn't mean we have to ban encryption for all (like David Cameron suggested). This is the thinking of retards (like the politically correct).
I believe everybody should have the choice to use cryptocurrencies, cash and PMs. If you don't trust crypto currencies, that is your choice!
I have to admit I don't even trust the math behind the current encryption techniques
The biggest threat is some math genius finding a "simple" equation... or even worse... someone already did and is using it
our beloved Big Brothers employ legions of mathematicians. That's why I use One Time Pads for my encrypted correspondence... on paper only
You don't need to be a mathematician to have common sense.
The mathematics of the actual encryption algorithm is pretty solid....the key exchange is the weakness. But there are things such as ephemeral keys, which are the digital version of what you described....one time keys that are generated per session. So even IF cracked, only that session becomes visible, not other sessions.
Having zero encryption is much worse. ISP can see everything, not to mention anybody along the way who chooses to snoop. Not having encryption is like not wearing a condom on the internet.
“I have to admit I don't even trust the math behind the current encryption techniques. From Ghordius.”
----------
You are right to not trust the math. Economic math today is fraud, especially the equal sign.
Talley sticks had to match the grain, and hence could not be counterfeited. They were tangible floating money that the king issued and recalled with taxes. No crypto needed.
--------------------
Crypto-currencies are floating. They don't flux in ratio to goods/services. Nor do they relate to the unearned increment of the earth..that is, what is earth’s free gifts given to us by nature. This type of money is not recalled, it is just held in scarcity.
Floating debt free money run by law is an economic system. Law then defines this money type behavior, and hence it can channel and be a tool that people use.
Money as a transaction medium is required to have division of labor. Modern humans are “specialized” and hence their money tool needs to both allow transaction and savings.
If you have a floating money type, like crypto currencies or gold, then beware the problem where they like to go off and hide. This then puts creditor over debtor, as creditor can withhold the transaction medium. Creditor over debtor is usurious and deflationary, the chief problem with gold systems.
Only a wealth fiat money, controlled by law, has the appropriate knobs to deal with economic exigencies.
Crypto Currency apologists are enamored of their math and security. But, they ignore actual monetary science, and hence they are blinded and blinkered.
Private credit apologists are also enamored of their math, as they do uneven swaps across the equal sign. They also don’t add time to their equations. Their equal sign is a liar, and hence all their math is based on false principles. Of course to admit this, credit economist would have to admit their entire edifice is corrupted.
The money type sure as hell does matter. Money is not a neutral veil. Prices and money volume controls humanity. The money system needs to be moral, and controlled by law.
A nation’s money supply should be about 70% sovereign money, and about 30% sovereign credit. This sovereign money should only flux within nations boundaries; hence it can be controlled by a sovereign people. Foreign elements should not be able to jack with a nation’s transaction medium.
Goods exchange overseas, should be marked by a Bancor – which is an accounting scheme that marks who owes who what. Don’t exchange money for money, it is against the rules, and it is often unequal across the equal sign. A bancor can be marked against a basket of GOODS….not money. Therefore, international trade becomes stable.
Sovereign credit can be used to drain the money supply if there is inflation. In sovereign money, the monetary authority issues this wealth money type, and then loses control of it. The people use it and the people store it in their private banks, but private banks cannot make new money. Bankers only make fees for their services, as it should be. This is public money, with private banks. Government does not intrude itself onto the people.
Some mutual credit or even bitcoins can be used if people want it. Sovereign money would be anchored to goods/services/labor, and bancor would be anchored to goods/services in foreign exchange.
Bitcoins would then be anchored in exchange relative to the sovereign wealth currency.
Today Bitcoins are simply bought as a hedge against private credit, and banker private credit relates only to its debt instruments (hence it is unstable and usurious). Bitcoins come into existence as mined from computing horsepower, and hence have no relation to labor’s goods/services. So, this type of crypto currency does not meet the test of good money (doesn’t flex to an economies cyclical needs). Bitcoins can be a good store of wealth though (scarcity), so go for it and buy some. But, don’t use it to run an economy.
And yes, with sovereign money, there is still plenty of tangible money available for those who want it. Humans should never give up tangible money, as they need some way of trading without being tracked by computers.
Sovereignmoney.eu
I bet we go very 18th century first for a while though. It's hard for me to imagine a digital utopia like you describe in so many countries. (I'm sure that's why I'm not in charge of the Imagination Department, but there is so little education/preparation for the world you describe out in the hinterlands.)
Ya, crypto currencies have that three problems. They need 1. Electricity, 2. a computer, 3. internet. All three can be compromised by governments (especially the USA) at any given time.
Crypto Currencies are like Crypto Zoology. They are about as real as bigfoot.
We tend to look at what is happening from our own paradigm. That paradigm is formulated by what is "normal" for us, what we have been taught and what we observe. And, you are right, we want the world to continue on for us as it has ... using the same paradigms.
For others, whose paradigm is one of privation, they want their situation to change for themselves and their children.
To make things make sense, we need to throw some of the old paradigms of reality out, observe anew how things actually work and then ask the question "why?".
While I know the above is spectacularly unhelpful for most people, one can assume a few things from just observation.
1. For the most part, at the top there is cooperation in running the world.
2. The manipulation and lies told to the people are world-wide.
3. For those at the top, maintaining power is more important than ANYTHING else; peace, prosperity, morals, ethics mean nothing in comparison.
4. Every now and then someone at the top is kicked to the curb for not toeing the line: Dick Fuld, Mohammar Ghadafi.
That is the what ... pretty much everything else we see is the how. The real question is: What is the "why?".
We are being managed as a herd. Why?
Dick Fuld was kicked to the curb??
I missed that. Seems to me last I read, Mr. Fuld walked away with over half a billion FRNs, and has at least 3 estates that he keeps fully staffed, at all times.
God only knows how much more he stashed all over the place.
IF this be 'kicked to the curb' then by all means, I'd like to be next for the boot
GDP would be even more negative if inflation was computed rationally. They say it is 0.5 or 1 % when it is actually 4-6% right now. take that difference out of the current gov't GDP reading (GDP deflator) and you arrive at about -4 or 5% GDP.
These words are the TRUTH ... We have collectively borrowed against our children’s future until their very future is in doubt.
Our kids have the right to be mad as h*ll about this generation. If they decide to tear down our "respected insitutions', including the Wall St Banks and the Statue of Liberty - I can't blame them.
We have FAILED America's children and grandchildren. We were SUPPOSED to leave them an America that is in good shape .... financially and with Consitutional freedoms.
We haven't done either one.
"Our kids have the right to be mad as h*ll about this generation."
But it is not the fault of an entire generation. It is the exclusive fault of a tiny and socially isolated elite. Further, it is an elite that is largely hidden from view behind puppet politicians. In other words, to blame the entire baby boom generation one must assume that they had the information and means to change things, which they clearly did not have.
Good point, but those who did have the information didn't do enough with it. I include myself in this indictment.
The Reason the Government doesn't like ( paper ) cash.. is because after it has been printed , it can float around passed freely greasing the works of real commerce without leaving a trail or a tax bite
Then again, making cash illegal would likely end with the same result as making drugs illegal. Something, not sure what, but something will take it's place as a street level currency.
Underground economies are resilient, maybe because they are not beholden to .gov regulation?
If we were ever thinking of future generations, well...we totally fucked this whole thing up. I'm older now and I remember my "good ole days". I had some wonderful times! Unfortunately...today...TODAY is the best it's going to get - TODAY is their "good ole days". How so damn sad.
How did MY avatar get on your post?
Yours is going the wrong way though...
: )
Uncle Beauford says,
"Y'all ain't gotta worry bout no black swan when y'all got a flock o' regular ones shittin on ya.".
It's shows just how <un>special 'muricans are that the Icelandic Charges of Counterfeiting the Nations' Currency vis-a-vis National Banks Fractional Reserve Lending did not occur in US first.....
https://www.youtube.com/watch?v=lDtLITvd6sc
The US is the fulcrum of all these Bankster Thefts of Fractional Lending, Off Bal Sheet Games with Infinite Rehypothecations, Derivatives, etc, of the TBTF WS Banks and their wholly-owned and controlled Federal Reserve.
How creative, to use a quote from Erich Fromm's book to apply to the most extreme of criminal elements of wall st.. Having read a few of his books I thought he was thinking of the pedestrians of society. If he could, he'd probably be asking the "pedestrians" why they haven't arrested the obvious crooks of wall st.. While it is true that wall st. and elites are sick and insane you have to wonder if the authorities that are supposed to prosecute the crimes of this group are as sick and insane as all the rest.
Credit as money already has velocity as it is destined to return to ledger. Debt instrument has a recall rate for its spawn (the credit money), which in turn is a function of the loan agreement. Debt/Credit money does not follow Says' law, it does not circulate per-se, it cycles. In addition to cycling, it also disappears.
It is very wrong to use Credit as money for the transaction part of the economy.
It is against economic rules to have demurrage on credit. Credit as money already is a taxed type of money due to the usury at its founding. Then to tax it again by paying negative rates on savings is competely wrong.
Stupid private money masters. Or, maybe not so stupid - maybe they have an agenda?
I am reprinting a post below:
From Counterpunch:
a concentrated corporate media that is also disproportionately owned, managed, and content developed by Jews, who are 2.5% of the population, highly ethnocentric, and many of whom are primarily loyal to a small foreign state.
My answer to Counterpunch: Tribe power comes from owning private credit means. Being able to loan means to own. Loaning the money power into existence and then taking the usury is a pyramid scheme, and the tribe then uses this incoming revenue stream to buy up the press. Before there was a press, they pamphleteered. Going all the way back to the Haibaru/Aiparu - they were roaming tribes of outcasts, usually with very high fraction Neanderthalic DNA. Inbreeding within the tribe and seeing themselves as unique, along with a religion that codifies psychopathy creates psychopaths.
There is strong evidence that high fraction neanderthalic dna peoples have overactive amygdala and are prone to psychopathy. This does not mean all Semitic people are psycho's, it just means they are prone to it.
Rip the money power from the psychopaths. Floating debt free money circulates forever, and is a permanent low cost tool used by people to do transactions. Any usury and rents on this money type are more difficult, although predators will try.
Private banks should not hold debt instruments on people. The citizens should hold debts and credits on each other. It should be something like if you borrow a lawn mower from your neighbor, and they borrow your string-trimmer. The debt/credit relations collapse upon returning of the good. It should be the same with money. Money as wealth is what we need, not money as debt/credit.
Having a banker, especially a Jew banker stand between our Credit and Debt relations is where the parasite is lodged. Eject the parasite, and democracy or republics might have a chance.
As long as money power is mal-formed, then give it up. Republics or Democracies won't work. The parasite has to be ejected from the brain center, and that center relates very closely to debt means.
The money supply can be converted over-night to Sovereign money. Unfortunately, governments are captured, so it is circular problem. Since they are captured, they won't convert the money supply away from private credit.
It's a thorny problem and if we don't solve it, real humans will not survive.
sovereignmoney.eu
[I am duplicating this post, because it applies as well to this article as it did to a previous article on jobless claims.]
More evidence, in my view, that we are beginning to witness a schism that is developing between the leaders of the cabal (that increasingly cannot identify a scenario that keeps them in power) and their minions (the politicians, media moguls and CB puppets).
In essence the puppets are waiting for consistent orders that they are not getting - and their protocols require that they continue to act in accordance with past orders until they get new ones.
Hence we have a sort of zombie political and financial infrastructure that continues on its present course until different, and arguably riskier (at least for the cabal), orders come from the highest level of the cabal - or alternatively (and less conspiratorial) from a cabalist consensus that has not yet emerged.
Inaction and contradiction at this point is positive, because it confirms that there is disarray within the cabalist machine.
Evidence includes:
1) The continued unabashed and failed attempts to legislate behavioral changes (i.e. gun control, illegal immigrant amnesty, internet censorship, hate speech), that the cabal has historically been more able to accomplish through the (arguably misguided) world-wide court of public opinion.
2) Unbridled claims by those that control Hollywood and the MSM that this control should, rather than being a source of concern about the perception of abuse by the public, arrogantly remain a source of pride.
3) European cabalists who proudly offer to lead Europe into the new multi-cultural world, because absent that leadership, "Europe will die".
4) A leader of Israel, who despite the domestic political risks involved, addresses the US congress, after having been rebuffed by the president (who is also one of their puppets!). He returns to Israel, only to eke out a government majority by the thinnest of margins, and then only by allying himself with the most extreme factions.
My assessment of these bold actions is that they did not have their intended effect. They remind me of a game of chess (as opposed to checkers) where one player inadvertently signals his weakness to his opponent by false acts of bravado.
As strange as this may sound, I think the long term prognosis (past the inevitable short term pain) for world-wide peoples of European descent is improving.
The cat is out of the bag too soon. The cabal now needs time and influence that it no longer has to consolidate its power.
We've passed insanity long ago and now are moving through Ludicrous-Insanity at warp speed.......
The end result of Fed policy appears to be to keep us in perpetual economic malaise, to keep us all confused. There is no solution to the crisis...
And now you know how a worldwide coordinated Bayesian Game with everyone's skynet's playing a Nash Equilibrium strategy works.
The only game really being played is who gets to control the Dungeon Master (i.e. the one skynet that sets the rules for the rest regardless of the game being played) in this perverted simulation of Dungeon's and Dragons. You can't have a fair game when the Dungeon Master is part of the game at the same time. Same logic behind Central Bank's being participants in a game of monopoly.
Unlike the previous mechanical iteration of skynet were they played RISK for control of Dungeon Master this time around it is going to be WOW (World of Warfare) and that includes nature as a participant this time around because of the nature of how Bayesian games are played.
Here is why it ends in extinction of humanity 2.0 you can't have machines running everything that play based on a coin flip i.e. it has to have a heads or tails (winner or loser) outcome and play a game based on equilibrium's at the same time where there is never a final winner like a coin flip.
This is the root of all the technocratic insanity you see worldwide now.
We collectively live in a world of pretend and extend.
The Federal Reserve and its financial cronies, including and espaecially Congress, have created the largest debt bubble in history. The bubble si collapsing and there is nothing anyone can do about it now...
http://www.globaldeflationnews.com/anatomy-of-a-bubble-how-the-federal-r...
"Insanity grips the Western World."
Really!,,,,, Actually the word insanity is way too kind for this trash.
Don't be afraid because fear is part of the plan.
The NWO crowd know the demographics.
They believe they can win by bribing the world with TPP.
And bankrupting you by pulling out the ISIS threat when needed.
You're all being led to slaughter.
Thankfully, our supposed enemies see what's really going on.
But they are not very inclined to help you either.
Maybe you should be afraid.
I will never capitulate.
Our kids are going to default on the debt whether the elites like it or not. What are the elites going to do; throw the world in jail? The elites set up a system where they will be the ultimate losers.
Mr. Sunshine (that's me) says look at the bright side.
By trying so hard to cover the stench of TPP by sliding it under the radar, they have brought it up into the light. Given that it allows Corp.s to hold govt. hostage to regulations it doesn't like, the real problem is that will INCREASE our trade deficit, which is already unsustainable.
Put simply, a country has a wallet just like you and me. When you consistently spend (import) more than you make (export), you are broke. Borrowing simply makes it worse (Greece). Those bonds come due in the future with interest. The real problem is when those repayments go to fund foreign investors buying US companies and offshoring the jobs to low cost producers. Double Whammy.
Free trade is not the same as fair trade. Access to American markets should be on a dollar to dollar exchange for an emergency measure until we balance the book. You want to sell 50 mill to US, fine. Buy 50 mill of US goods or limit exports to what you import.
Across the board. Everyone gets the same deal.
With all the other problems we have, this is the one that gets least mentioned but is a bigger danger to our well being than the others. It's not a very Libertarian viewpoint, to be sure but the principle of non-agression pretty much goes out the window when facing a rapist too.
Kind of like the Death of a Thousand Cuts VS. Face Eating Zombie,
More money at home means more money in your wallet.
Until Mack the Knife shows up.
I want civilization to end completely with all out war and destruction so that I will be able to waterboard George W. Bush, Dick Cheney, Donald Rumsfeld, Paul Wolfowitz, David Addington, et cetera. So, I will take World War Three for 1000 points, Alex.
Dr. Paul Craig Roberts, former Assistant Secretary of the Treasury for Economic Policy and associate editor of the Wall Street Journal thinks that insanity grips the western world. I have to agree and no one who reads the news would disagree. In the “The Sane Society” prominent psychotherapist Erich Fromm suggested that Western society as a whole was lacking in sanity; that the inequities and disharmonies of the entire society were pathological, not just the mental illnesses of people therein.
For years I have been preaching that in order to be sane in an insane world, one must be insane.
The more a person fears their own death - the more one will spend to prevent it, or postpone it, or ignore it, or make it more bearable. Regardless of where that money comes from, regardless of the impact that borrowing may incur.
The most populous demographic - those that are old and gray, and retired, and waiting for the inevitable - have reaped the benefits of the extend and pretend program. In this day and age of negative interest rates, triplicate-revised declining GDP, and runaway unemployment, the majority (in my small circle of in-laws and parents and parent's friends and friend's parents) feel that current economic path of increasing debt is their saviour.
The sense of entitlement shared by the generation that created the problem in the first place was made vividly clear in a discussion last night when my mother came to visit, and my in-laws jumped in on the discussion. I believed I used the words 'shocked and appalled' in response to the absolutely irresponsible idea of using debt to support what they feel are entitled to. I even asked, "do you expect the government to keep you alive as long as you want to?" It was horrible, and I probably seemed like a heartless bastard once I said it.
No, but that's not it.I ended the conversation with, "how do you think this is going to end? Like some kind of debt jubilee? Like the one given to the defeated Nazi's?" Yes, I called them Nazis. Debt Nazis.
The mike was dropped, my head was shaking. They either don't get what debt and bankruptcy have done to places like Detroit, (and Greece, Ukraine, Pakistan, Venezuela, Argentina, pre-revolutionary France) OR SIMPLY DON'T CARE. My father in-law cursed that people (implying yours truly) 'don't understand how debt works'. How Krugmanesque.
Simply put, they fear a shift away from debt, as it would affect them the most. My mother shrieked, "they are closing full departments at the my local hospital!" How dare they? Don't they know my mother lives there? Don't they know my mother is going to live forever and will need all departments at the ready to make it happen?
But in the same breath, they think economic austerity will NEVER happen here, and no government agency would NEVER face bankruptcy. And I asked, "so you are happy to have our generation continue to get taxed up the wazoo?" Boy, there were a lot of questions they couldn't answer.
My mother quipped, "Well, what about Norway?". "Taxed up the wazoo!" I retorted. "They are already acting like a country on the verge - or recovering from - bankruptcy"
(To remind you, here is a comparative chart of countries relative taxation schemes. Pay close attention to Argentina, Venezuela, and the Ukraine.)
So what does that all have to do with anything?
Philosophically, the bias of the discussion was motivated by their own mortality. Or more importantly, the ideological promise of immortality - of 'living life to the fullest' - or avoiding death altogether. All of which take boatloads of money the people just don't have on hand.
To accept to live within ones means, also includes dying within ones means.
DEBT extends.
https://www.youtube.com/watch?v=PB7xs7UpIfY#t=4m6sAll debts are null and void when you die.
They should be accepting God's gift rather than worrying about death.
"For the wages of sin is death, but the gift of God is eternal life in Christ Jesus our Lord." - Romans 6:23
Indeed.
But what of our State?
Are you proposing that our debt State also succumb to a final breath? And what does that look like?
Prewrath rapture?
http://en.wikipedia.org/wiki/Terror_management_theory
Yes. Our debt state will also succumb to a final breath.
That is inevitable.
“Fallen! Fallen is Babylon the Great!’
She has become a dwelling for demons
and a haunt for every impure spirit,
a haunt for every unclean bird,
a haunt for every unclean and detestable animal.
For all the nations have drunk
the maddening wine of her adulteries.
The kings of the earth committed adultery with her,
and the merchants of the earth grew rich from her excessive luxuries.”
- Revelation 18:2,3
That day nears.
The shack racket and the Wall Street casino is all that's really keeping it going at this point. Without the mania in shacks (mostly to make artificial wealth, just like in 2008), we would have already gone over the cliff's edge.
Yield freaks are now warping what's left of the old economy at the same time the Fed's own warping ZIRP (and perhaps, QE4 soon) continue to drive "growth" anywhere it can be wrung out, even if unhealthy and mostly, imaginary.
The SOB is gonna go alright, as soon as a critical number have had enough of the bullshit chase, and decide to hunker down and "see" what happens next...
I still think it all goes supernova this summer.
m