This page has been archived and commenting is disabled.
Chart Of The Week: Monetary Chaos In The Bubble Years
Via Sean Corrigan of Diapason Commodities
Here we show the divergence in sigmas from the mean of the stable, well-behaved, 43-year distribution laid out between 1952-1974 of the sectoral share of total domestic US holdings of money (currency + demand depos) which took place over the last wild, decade and a half of bubble and bust and outrageously suppressed interest rates...
...apart from the sheer scale of the disruptions involved since 'Irrational Exuberance', note the underlying message that, given that they hold a higher fraction of the stuff than has traditionally been the case, if you want to 'mobilize' the money in existence now, it is the willingness to do so of Non-financial BUSINESSES (both corporate and non-corporate) you need to encourage, a finding which further supports our oft-expressed contention that it is not the level of interest rates or currency parities, but the extreme degree of regime uncertainty which is the enervating factor and that this last is as much to blame for the current, sub-par recovery as it was in the FDR/Morgenthau/Eccles 1930s - and for similar reasons relating to the stultifying effect of an excess of overactive, arbitrary political intervention amid a patently incomplete liquidation of the mistakes of the prior Boom!!!
»
- 19842 reads
- Printer-friendly version
- Send to friend
- advertisements -
def., Homocide - the murder of homosexuals
def. Homicide- murder of anyone
And Man was born Gay, says so right in the Latin: Homo Sapiens, Homo Erectus
Homo Erectus? Is that ... Never mind.
Where's the financial sector?
It looks like an archaic form of inter-uterine birth control.
Allah will punish for that. [/snark]
It was in the mid 18oo's when England and Co. were spreading civilization and fun about the globe that in Arabia, they discovered the sheep's intestine as a fine object for condoms.
In actual fact, the Arabs had been using them before such discovery but had neglected to first remove the gut from the sheep.
q. why do they call camels the ship of the desert?
a. Because they're full of Arab semen.
- thank you Henny Youngman
Take my sheep, pllllllllllllease take my sheep.
Ah yes...after a 40-year gestation period (or 98, once the paternity test comes back from the lab), time to abort the fiat.
If that was a seismometer, I would be heading for high ground.
Please consider these sources carefully before beginning the usual libertarian frenzy of mindless insults and baseless accusations. Thank you.
Please post a brief autobiography in advance so we can evaluate your statements / recommendations in some type of context. In the interim, I can only surmise that you are PR representative for Bernanke, Krugman and / or Mankiw or simply a born-again Keynesian.
Au and dollar up today, while everything else tanked. That's a lot more like the pre-Twist pattern than has been the case in the past 2-3 weeks.
Just sayin'...
The Artisan Propaganda Class Citizen will have sway in awaking the wetico to the revolution.
http://www.youtube.com/watch?v=MlG5u4vb_FA&feature=youtube_gdata_player
Ah, the confidence fairy. What won't it explain?
Look, most businesses have a shortage of customers. That's why they don't expand. It would be stupid to expand business when they don't have customers. They're not stupid, so they don't. End of story.
It is also always fun to see the dramatic improvement of the US economy after 1933 (interrupted only by the foolish attempt to balance the budget in 1937) as somehow a problem, somehow a mistake of the dastardly FDR/Eccles/Morgenthau.
looks like silver is acting like an industrial metal these days. crushed again today with everything else except gold.............
http://www.cmegroup.com/tools-information/lookups/advisories/clearing/fi...
you heard it here first
Hash Tables, Uninstall Stacks, & Family Law Distillation
God grant me the inalienable right to teach by example (transparency) “and I care not” who controls the currency.
Let’s say you form an “association” (homeowner, nation/state, market, etc.) with leveraged control of the vote to assess (fees, taxes, accounting, etc.) and, further, that you control loan origination at the bank (local, Fed, IPO, etc.). How long before you “own” / control all the property (means of production)?
Assuming you are born into the tyranny of your agency alter-ego (rent prisoner’s dilemma), what is the simplest method of freeing yourself?
Always begin the game with your government in check and the ability to mate at will (key). Children reflect their parents through the looking glass.
Generally, there are generators of liberty/productivity (make it), corruption/wealth (manage it), and ignorance/destruction (piss it away). The universe both staggers and aligns the phases, balancing them in an AC/DC system (mobility/immobility) to backlash.
The trick to understanding orbits is that the true nature of the fulcrum is virtual, while its physical apparition manifests itself on a platform designed for the occasion, creating the illusion of space and time, separating science(p) and religion(e) with state(n). Opposite ends automatically link in order of random positioning, through algebraic reduction (phase 3 to phase 1), until they don’t, when the system blows up.
Let God (unknown) choose your mate to make you better (p,e). It will be aggravating; change is. How you choose to raise your children (p,e,n), or not, is the integral factor, which is why government is so desperate to install its programs/mythology/groupthink in your children right out of the womb.
Your family is city hall. Uninstall to backlash.
One pciture is worth more than 1 trillion words here because this is the best graphic representation of the generational stealing. The Occupy thingy is just the start of the release and it will lead to something that is full of blood.
I seriously doubt it, but one hopes you are right.
We need to recruit the suicide bombers and promise them 172 nubile young virgins.
They're fiat virgins, we don't need to have any actual virgins.
Of course if we got any virgins we could do fractional reserve lending and loan out two or three thousand virgins for every one we actually have on hand.
boughts me more Maples today, but the Canadian dollar making it pricy! 36-37 an ounce! Hopefully the dollar goes back up and i will pile on alot more :)
Whether you agree or not with the Occupy Wallstreet thing, you have to admit they are doing something rather than just bitching. Cynicism is poisonious.
Yep, funnel it into something productive like a trip to the gun store to select a nice AR15, trips to the farmers market to stock up on grains, going to the Carhartt store and getting some good overalls, boots, etc.
Did the Carhartt & boot thing late last winter going into spring when they were having fire-sales.
Here we are going into winter already. Time flies when you're flat on your face.
Protesting is, emphatically, NOT 'doing something'.
That you think so is testament to the dumbing down the government, media, hollowood, and other entities have perpetrated on the people.
DOING SOMETHING is what the suicide bombers are doing, and look how little effect that has had on their demands. DOING SMETHING is Ron Paul stopping his damned jawboning and getting a bill going in CONgress to elmininate government pensions and have the corrupt princes instead live like the people they govern, on Social Security.
DOING SOMETHING is not talking, conversing, debating, or arguing. Or complaining, protesting or whining.
DOING SOMETHING is that which sheds blood, and lots of it.
So are you a paid agent provocateur? Or just an idiot?
Don't be so certain the protests are doing nothing anony. A 77 year old female neighbor, conservative to the core, who lost almost all her retirement when the market dropped in 2008, is one of many sedentary, passive Americans listening to the media coverage of the protests. Hearing her cheer the protestors cause and seeing her find a voice to vent her anger at the loss of her life savings is doing something for her. If she lived near Wall Street she'd be on the sidewalk with them. We all scorn the media but it is interesting to see networks that were ignoring the marches earlier this week now cover the marches as one of their prime news blips. Don't all causes begin small and grow? Perhaps join in instead of scoff this?
A flood begins with a single rain drop.
The stock market era of exuberance started with the destruction of main street America and the rise of the big box publcily traded behemoth retailer. Dick's, Walmart, Target, Home Depot, Best Buy, Lowe's, and many others existed prior to the 90's but they didn't start thier massive expansion until the early 90's. Easy money from the Clinton admin coupled with Wall Street greed allowed the vampires to be unleashed.
Traditionaly big box stores were anchored to shopping malls halting the massive expansion. You just couldn't build a massive million square foot shopping complex in every town. Besides shoping malls were dependent on customers for business, not Wall Street Ponzism.
The scam of big box retail killed the middle class in 20 years with the bulk of the damage being done in 10. Millions of small business retailers who worked on small margin which let manufacturing thrive were put out by the big box. Soon 75% profit margin became the norm and the cash that would have beenpaid out to employees and industry was hoarded by a few large entities.
Now that main street has been decimated the big boxes are eating each other. Evidenced by the bankrupcy plague of the past few years. Walmart has actually grown so large that just running the behemoth costs almost as much money as they bring in. Walmart has become an analogue of the American government.
The end game is being played out as the few players left must try to survive off each others blood. The last cororation left is going to be sitting in a library with broken glasses.
So what happens once the big box goes kaput?
they got off the fucking couch, at least it is a start.
MDB,
What part of that chart didn't you comprehend?
The writing is on the wall pal.
If you want to continue to preach that the status quo is fine and direct folks to pure institutional propaganda sites that is OK but you know you are going to find a very tough audience here.
Reality is fixing to rain on your little parade so I would get a good umbrella or a good condom to keep yourself dry, troll boy.
Nah, it looks like the end game for a hollow point trail of destruction in a block of ballistic gelatin so you can see the carnage without all that messy blood and guts obscuring the view. End game for Ponzi fiat paper investment bankers and Wall Street wannabe's.
I don't know, DJIA is being quite down lately.
Sometimes I think it won't ever go back to 14K again.
Or at least for a couple of decades.
Can someone tell me what to think about Herman Cain? ex Kansas City Federal Reserve doesn't make me warm and fuzzy.
This turned me against Cain a few months ago. This is beyond ridiculous.
Cain: 'If you want to know about the Fed, call them up. No need to audit.'
I like Cain. If I heard him say your quote I would take it to mean he preferred direct confrontation to a roundabout legal tapdance.
Think about this instead:
George Carlin ~ The American Dream
http://www.youtube.com/watch?v=acLW1vFO-2Q
Dollar bears and "hard asset" bulls are getting wiped out lately.
Euro now printing 1.336, USDX screaming to new highs vs. the Cando.
a day or a few months for that matter don't necessarily make the trend. Here is the big trend though and it still looks unchanged.
http://stockcharts.com/def/servlet/SharpChartv05.ServletDriver?chart=cef,pltadanrbo[pa][d][f1!3!!!2!20]&pnf=y
No offense, but this chart is gibberish.
It's not gibberish, it's Canadian.
Try Google Translator.
I bought my shiny stuff with Euros Robot - I ain't doing so bad considering , although who knows the future right ?
As for the above graph 2 words , no make it 3 , Robert Fucking Rubin.
So after so after going over those links one would expect that their view of Fed/Keyensian economics mandate of low employment and low inflation would be realized.
Problem is nothing could be further from the truth. Debt is at unsustainable levels and employment is structural stuck at high levels into the future. Look to Europe and their Keynesian approach has buried them even further.
Interesting that you speak of these three "brilliant Phds" who have never worked in the private sector.
Million dollar pinhead, if you believe in their approach then get long equities and the dollar with your million dollar bonus and tell us how that works out this time next year.
Would love to know your background because there is no way that you ever saw a bonus of even 6 figures.
"Would love to know your background....."
He's David Plouffe.
S&P500 updated chart at blog shows price converging towards apex.
It should drop out of triangle and resumption of downtrend.
http://stockmarket618.wordpress.com
http://twitter.com/grandsupercycle
Market will do, what it have to do and not what you think
it should do. Supercycle my A$$..
Entertainment for the German speakers:
http://daserste.ndr.de/panorama/archiv/2011/rettungsschirm111.html
Funny, German members of parliament had no idea what they were voting about when they agreed to increase the EFSF this week...
Any chance you could find transcribed link for the rest of us?
Danke
What's the difference between 1) Non-Fin Biz, 2) Non-Fin Corp, and 3) Non-Fin Non-Corp?
I wonder too.
Well obviously none of them are from Finland so there's a start.
In astronomy, these converging numbers are a result of "MASSIVE" ,EXPANSION!
sTAGFLATION,Deflation, Write downs on soft commodites, metals, ect..
P.S. Jimmy Cramer needs to do the ' Direct T.V.' , commercials... Axe T/O.
Those BUG EYES, could sell { warren buffet, buy backs} Heck Warren might be on to something?/
Euro bank " Warrants, via the " Bof A" , indentured deal?
The increased turbulence since '94 is the combination of digital currency and the internet, plus all of the above. Eventually it will go asymptotic or actually arrive at a singularity. Then all those two- penny pennies (<1982) are going to look like pretty pennies.
Anyone else find it strange that the Dow has been hovering seemingly forever around 10-11k? Or the USDX in the mid 70's, again seemingly FOREVER?? I've been around awhile, and this is NOT the way markets normally work. They are obviously being propped up to a range, but eventually the manipulation will end. Then that cocksucking Fed believer can do another post educating us on the omnipotence of the Fed.
Pretty cool....
1994 - 2009 ? Stock Market overvaluation era? WTF??????
What are you smoking?
1994-2000, Sure.. But in 2003? or 2008? Overvaluation?
'Irrational Exuberance' - this is deferentially the case for
psychiatric evaluation.. Soprano: "There is no chemical solution
for you psychiatric problems" Mr. Zoloft will take care of ya..
Interesting little article here. It says that, uh... the average human being only uses seventeen percent of his brain. Boy, you realize what that means? We don't use a full, uh... sixty-four percent
Wear a hat. That'll use up any spare reserve.
OT:
Just back from the keys. Went long sunshine and booze, but the weather markets were against me on the sunshine for the first couple of days. Paid off eventually. My wife caught me checking the hedge on my phone a couple of times though :(
Markets seem to have held their own while I was out. Still bullish on US equities in general and looking to deploy mas $ on quality divi paying large caps at the moment. B'nTFD. Piece by piece. Fuck europe. Fuck banks. Fuck China.
Anyhoo, just thought I would share a little with my fellow hedgers. Carry on.
"Here in the Charlotte area, what still stands out to me is the residential construction. There are hundreds of new neighborhoods that started in the boom time and they're still sitting there just like they were 3 or 4 years ago. Sometimes there's only one or two homes in them surrounded by tens/hundreds empty lots."
Read more: http://www.businessinsider.com/economy-really-doing-neighborhoods-america-2011-9#charlotte-nc-empty-homes-and-stalled-construction-3#ixzz1ZU7TKnivYou should see the Inland Empire in Cali. - acres of industrial parks for lease and strip malls with single tenants. It's like a neutron bomb went off. just buildings, lots of empty buildings.
W. Buffett must think he is J.P. Morgan (the man) or something. I read that he was buying common stock during the entire Q3. Is he trying to fight the market? Better men than him have tried and failed in that endeavor.
Warren Buffets , slogan should be/
Berkshire Hathaway, / { Falling Knives} are our specialty!
Stock prices have reached what looks like a permanently high plateau...
Well I see at the end of the day's session AUD continued down but Gold started to rebound up. Now that was different. Something broke at the end of the day?
Good point. However the next level of resistance is well above the (300) dollar move down. I would (if) be selling tops.
The rest of the world can still trade CFD's.
The Federal Reserve is neither Federal nor a "Reserve". This private bank run by the "Bank of England" has been stripping the US of its assets since the days of Andrew Jackson. If the $16,000,000,000,000.00 given away secretly, since 2007, to the member banks isn't reason enough to overhaul our entire government financial system then our country is doomed to financial failure. You won't read this in the mainstream media....but it may emerge in the coming elections. Read about this first ever audit of the Fed and understand why we are in such trouble. Tuesday, September 27, 2011 First Ever GAO Audit Of The Federal Reserve
(You can click on the site and read the report).
The first ever GAO audit of the Federal Reserve was carried out in the past few months due to the Ron Paul, Alan Grayson Amendment to the Dodd-Frank bill, which passed last year. Jim DeMint, a Republican Senator, and Bernie Sanders, an independent Senator, led the charge for a Federal Reserve audit in the Senate, but watered down the original language of the house bill (HR1207), so that a complete audit would not be carried out. Ben Bernanke, Alan Greenspan, and various other bankers vehemently opposed the audit and lied to Congress about the effects an audit would have on markets. Nevertheless, the results of the first audit in the Federal Reserve nearly 100 year history were posted on Senator Sanderâs webpage earlier this morning.
sanders.senate.gov/newsroom/news/?id=9e2a4ea8-6e73-4be2-a753-62060dcbb3c3 (Summarized below)
What was revealed in the audit was startling:
$16,000,000,000,000.00 (TRILLION) had been secretly given out to US banks and corporations and foreign banks everywhere from France to Scotland. From the period between December 2007 and June 2010, the Federal Reserve had secretly bailed out many of the worldâs banks, corporations, and governments. The Federal Reserve likes to refer to these secret bailouts as an all-inclusive loan program, but virtually none of the money has been returned and it was loaned out at 0% interest.
Why the Federal Reserve had never been public about this or even informed the United States Congress about the $16 trillion dollar bailout is obvious the American public would have been outraged to find out that the Federal Reserve bailed out foreign banks while Americans were struggling to find jobs. To place $16 trillion into perspective, remember that GDP of the United States is only $14.12 trillion. The entire national debt of the United States government spanning its 200+ year history is only $14.5 trillion.
The budget that is being debated so heavily in Congress and the Senate is only $3.5 trillion. Take all of the outrage and debate over the $1.5 trillion deficit into consideration, and swallow this Red pill: There was no debate about whether $16,000,000,000,000 would be given to failing banks and failing corporations around the world. In late 2008, the TARP Bailout bill was passed and loans of $800 billion were given to failing banks and companies. That was a blatant lie considering the fact that Goldman Sachs alone received 814 billion dollars. As is turns out, the Federal Reserve donated $2.5 trillion to Citigroup, while Morgan Stanley received $2.04 trillion. The Royal Bank of Scotland and Deutsche Bank, a German bank, split about a trillion and numerous other banks received hefty chunks of the $16 trillion. ****
When you have conservative Republican stalwarts like Jim DeMint(R-SC) and Ron Paul(R-TX) as well as self-identified Democratic socialists like Bernie Sanders all fighting against the Federal Reserve, you know that it is no longer an issue of Right versus Left. When you have every single member of the Republican Party in Congress and progressive Congressmen like Dennis Kucinich sponsoring a bill to audit the Federal Reserve, you realize that the Federal Reserve is an entity onto itself, which has no oversight and no accountability.
Americans should be swelled with anger and outrage at the abysmal state of affairs when an unelected group of bankers can create money out of thin air and give it out to megabanks and super-corporations like Halloween candy.
The list of institutions which received the most money from the Federal Reserve can be found on page 131 of the GAO Audit and are as follows:
Citigroup: $2.5 trillion($2,500,000,000,000)
Morgan Stanley: $2.04 trillion ($2,040,000,000,000)
Merrill Lynch: $1.949 trillion ($1,949,000,000,000)
Bank of America: $1.344 trillion ($1,344,000,000,000)
Barclays PLC (United Kingdom): $868 billion* ($868,000,000,000)
Bear Sterns: $853 billion ($853,000,000,000)
Goldman Sachs: $814 billion ($814,000,000,000)
Royal Bank of Scotland (UK): $541 billion ($541,000,000,000)
JP Morgan Chase: $391 billion ($391,000,000,000)
Deutsche Bank (Germany): $354 billion ($354,000,000,000)
UBS (Switzerland): $287 billion ($287,000,000,000)
Credit Suisse (Switzerland): $262 billion ($262,000,000,000)
Lehman Brothers: $183 billion ($183,000,000,000)
Bank of Scotland (United Kingdom): $181 billion ($181,000,000,000)
BNP Paribas (France): $175 billion ($175,000,000,000)
IT WILL BE INTERESTING AS TO HOW MUCH ATTENTION (AS WELL AS THE SLANT) THE MAINSTREAM MEDIA GIVES THIS UNBELIEVABLE POSITION OF OUR GOVERNMENT HAS PLACED US IN WITH NEVER PREVIOUSLY HAVING AN AUDIT OF THE FEDERAL RESERVE.
I AM CONFIDENT THAT WE WILL HEAR SOMETHING LIKE THE FED HAD TO GIVE STIMULUS TO WHOM THE $16 TRILLION WENT TOO BECAUSE IF WE HAD NOT ALLOWED THIS IT WOULD BE THEIR COLLAPSE AND THE OURS.
HAS ANYONE EVER HEARD OF CLOWARD AND PIVEN ECONOMICS? (PARAPHRASING) IT INVOLVES TWO HARVARD PROFESSORS WHOSE BOOK SAID TO CHANGE ANY GOVERNMENTâS ECONOMIC SYSTEM INTO A SOCIALIST ONE, IT SIMPLY DRIVES THEIR ECONOMY INTO THE DITCH THEN THE CITIZENS ALLOW THE GOVERNMENT TO DO WHAT THEY WISH TO SAVE THEM
Dude. Lot of writing.
So -- you're saying -- the Fed is --- bad?
Whoa.
Dude.
I think what is going on here -- and I emphasize "I think" because I am not an "expert" in banking (but that may be a good thing) and I just opened the GAO document and looked at the table on page 131 and haven't looked at the document in detail -- is that the figures shown on page 131 are the cumulative borrowings between December 2007 and July 2010 and not the absolute or highest amount borrowed. That is, if I borrow $100 on Monday and pay it back on Tuesday and borrow another $100 on Wednesday and pay it back on Thursday, the maximum I've borrowed is $100; cumulatively I've borrowed $200. I just took a minute to read the table notes and this is the explanation given. The $16 trillion are cumulative borrowings. If a bank borrowed $10 billion overnight for 30 days, the borrowing is totaled as $300 billion in the table. The subsequent table in the report provides a "term-adjustment" that evidently provides a more precise estimate of the actual amount of money that was borrowed by each entity and it totals $1.14 trillion.
The GAO report is dated July 2011. This information was disseminated and hashed out earlier this year and is not new news. This is the report where we found out the fed loaned a boat load of money to foreign banks, but not $16 trillion. Not saying I think "loaning" money to foreign banks is a good thing, just trying to provide factual basis to what happened. $1.14 trillion is bad enuff. No reason to imply that $16 trillion was the liabilty. But again, I don't wear no fancy suits and collect big time six, seven figure bonuses for the work I do. And I don't have one of these fancy web blogs that I want everyone to click to. So what do I know.
No - I am saying that they have corn holed you and me for over sixteen trillion motherfucking dollars!
Nothing has changed. It will be $32T next time.
You got a trillion dollar bill? I can change it for you.
Tyler Durden - I cannot figure out how to contact anyone directly - I can't post a topic - the above comments should be a topic - ASAP. Please do so if you think the subject has merit. Original author is Peter B. All I know - sent to me as an e-mail attachment. Man, it fries my nuts seeing this shit......
Time to revisit my favourite bedtime song:
SuperBen, DuperBen,
Does whatever a kicker can.
Prints a note, any size,
Caches thieves by telling lies,
Look out! Here comes SuperBen.
Is he wrong? F***k you Fed
He lives on a Hellenistic cloud.
Would he print or ‘d he dread?
Take a look Dow’s held.
Hey there! There goes SuperBen.
In the heat when it’s tight,
And bankers can’t find a dime,
In the dark or plain sight,
He strikes just in time!
SuperFed, SuperBen,
Friendly wall-street toxic garbage can.
With this game he got bored
Has a plan with his board.
To him,
Market is a great gang bang - up
Whenever you hear “hands up!”
You’ll find the SuperFeeeeeeeeeeeeeeeeeeeeeeeeed.
Fee-fi-fo-fum,
I smell the stench of banker scum,
Be he long or be he short
I'll give him farts from which to snort
Nice
http://silverdoctors.blogspot.com/
is the jp morgue getting out of its silver short positions? hmmmm......
where are the silver bears? they should be all over this like a cheap suit....
Another (No' Bell) Prize leader to train new young sheepe to believe in rosy paths. Paul Krugman believes it very important to expand your further education and supports Obama to pass the job bill. This new bill will upgrade schools to be more globally competitive and hire new teachers to instruct further goals in dumbing down the next generation of American's. Just spare this liberal a slice of tofu, and Paul will rain in all the entitlements that you need for life.
. Paul Krugman - Conscience of a Liberal -February 9, 2009
how bout them yankees?
From Ron Hera.
States to Financially Break Away from Federal Government
I am not given to hyperbole. This is the most important message I have ever sent. I urge you to read it and to share it with others.
Earlier this week I attended the Utah Monetary Summit in Salt Lake City, Utah. As you may know, the state of Utah passed a Legal Tender Act earlier this year authorizing the use of federally minted gold and silver coins as money in the state of Utah. Now, legislators in other states, many of whom attended the Monetary Summit, are evaluating similar legislation.
Among other things, this means the United States is approaching a Constitutional crisis because states are beginning to financially break away from the federal government. This is no less serious than the American War of Independence or the War Between the States. The Utah Monetary Declaration (below) is a financial declaration of independence whereby states are beginning to opt out of the Federal Reserve System. A major confrontation seems inevitable.
The issues underlying this historic development include:
3. The excessive levels of federal government debt and unfunded liabilities combined with falling federal tax revenues prior to the start of the double-dip recession that began in the second half of 2011;
4. The radically inflationary monetary policies of the federal government and of the Federal Reserve, which promise high inflation or hyperinflation in the future;
5. The worsening condition of the real U.S. economy outside of large banks, multinational corporations, and Wall Street firms, where federal government bailouts and Federal Reserve monetary easing (money printing) transfer wealth from proverbial Main Street to literal Wall Street;
6. The rapidly escalating polarization of the distribution of wealth, which threatens not only the economic stability of the United States but also its social and political stability; and
7. The current, highly inflationary monetary system is plainly unfair and fundamentally immoral.
As a consequence of these grave, ongoing and growing problems, which are being largely ignored by the mainstream news media, state governments must take immediate action to ensure the functioning of local economies and of state governments, should the federal government / Federal Reserve System break down. Specifically, there is an urgent requirement for an alternative currency to the privately issued Federal Reserve Note, which is erroneously referred to as the "U.S. dollar."
Replacing a stable form of money with ever expanding debt and inflation undermines capitalism and destroys jobs. The monopolistic monetary system of the United States today is inherently inflationary because it must continually expand in order to prevent a deflationary collapse. The underlying structure and root cause of the monetary system's inherent and inescapable inflationary bias is the legal construction of money as debt with no direct link to real economic activity. Debt levels in the economy and bank profits are simply out of line with reality.
In addition to the unsustainable and unstable nature of such a system, an inherently inflationary monetary system destroys savings by devaluing the currency. Savings, which are the result of excess production, precisely define the term "capital." Replacing capital with debt, while highly beneficial for banks that create money out of thin air (through lending), is a deeply flawed concept responsible for the systematic and ongoing breakdown of capitalism in America. This deep, structural problem is the absolute root cause of chronic, irremediable unemployment. As a consequence, there will be no genuine economic recovery in the U.S. and jobs will not return unless and until the monetary system is fundamentally reformed.
An ultimately more important issue is also garnering attention among state legislators, prominent (non Keynesian) economists, religious leaders, political activists and voters. Inflation, particularly if it is systematically understated by the federal government or Federal Reserve, robs savers of the proceeds of past labor and robs workers of the spending power of their wages, living standards and financial futures. Inflation robs the elderly of their retirement and robs investors of their capital by facilitating taxes on alleged gains created solely by currency debasement. Legal tender, created as debt, results in ever larger debt burdens thrust upon innocent future generations that will experience progressively lower living standards and reduced economic opportunity. Generations to come will be born into debt bondage, thus the monetary system is at the center of a profound moral crisis.
The morally and literally bankrupt nature of the current U.S. financial system is transforming America into a dog-eat-dog society where every person seeks to live at the expense of someone else rather than by producing wealth, because production is systematically stolen by the federal government and by banks through the clever device of an inflationary monetary system. The monetary system operates by exchanging fictitious "wealth" (debt based money created out of thin air by private banks) for the real wealth of borrowers, i.e., the proceeds of their labor. In effect, the monetary system is a massive scam purported to be legal but lacking any demonstrable legal authority. Specifically, there is no Constitutional or other legal basis upon which the federal government can force a private monetary monopoly on the states. In fact, the Constitution of the United States explicitly establishes the exact opposite.
The oversized banking system and federal government have grown in an unholy alliance in lock-step and now consume so much of the U.S. economy that, together, they not only pillage the real economy but threaten to kill, once and for all, what is left of the free country founded by the Declaration of Independence. The moral precedent and example set at the highest levels of the federal government and of the banking cartel is that profit, fame, success and wealth are (either directly or indirectly) rewards for immoral acts rather than for honesty in business. Moral corruption at the top–embedded in the very structure of the monetary system–has slowly spread its gangrenous effect, undermining totally the founding principles of the United States of America, enshrined in the Constitution of the United States and in the Bill of Rights. Rather than liberty, America's legacy is fast becoming one of moral turpitude enshrined in financial injustice and oppression.
The challenge before our nation today–our moment in history–is not merely a financial or economic or political or legal / Constitutional crisis. It is also, and primarily, a moral crisis that could literally destroy the United States of America and all that it has stood for in more than two centuries. A stable society requires sound principles. A moral society requires sound money. Today, the United States of America has neither.
This message is a call to action. In the words of poet Dylan Thomas, let us say for America "Do not go gentle into that good night / Rage, rage against the dying of the light."
I am personally asking you to read the Utah Monetary Declaration (below), which I, among many others, signed on Monday evening, September 26, 2011, in the Post Chapel on the University of Utah campus at Salt Lake City, and to forward it to all, especially to your state officials. Time is of the essence. Although its duration and pace are as yet unclear, the crisis is already upon us. Please act now and do not delay.
Ron
Utah Monetary Declaration
WHEREAS, money, as a medium of exchange, a store of value, and a unit of measure promotes economic activity, growth and productivity by facilitating specialization and trade, the accumulation of wealth and its long-term investment, as well as accountability in setting prices, tracking progress, and settling accounts;
WHEREAS, natural money – precious metal coin – by virtue of its inherent qualities of recognizability, measurability, uniformity, divisibility, durability, portability and scarcity has reliably retained its purchasing power, notwithstanding periodic fluctuations, over the centuries and millennia of human history, serving as an effective medium of exchange and store of value often without any governmental declaration to require, legitimize or perpetuate its adoption and operation as such;
WHEREAS, sound money, by retaining stable purchasing power over time, best serves societal needs by substantially reducing the uncertainty of inflation risk for creditors and deflation risk for debtors as well as encouraging saving and investment among the general populace and benefiting the economic zone in which it circulates by stimulating the economy and by attracting foreign capital and commerce to the region;
WHEREAS, history attests that monopolistic monetary systems frequently engender currency debasement, resulting in serious consequences such as lost purchasing power, inequitable wealth redistributions, misallocation of productive resources, and chronic unemployment, and that, as the cornerstone of a free market and society, the right to choose, whether between suppliers of goods and services, political parties and candidates, or between alternative media of exchange, effectively promotes the general welfare;
WHEREAS, for the equal protection of all people, rich and poor, the open circulation of complementary and competing currencies should be fostered and promoted by every sovereign state, including those of The United States of America pursuant to their monetary powers (expressly reserved in article 1, § 10 and in the 10th amendment of the United States Constitution) to monetize gold and silver coin as an alternative, voluntary medium of exchange, and as an effective check and balance against debasement of the national currency by the national government which is constitutionally precluded from demonetizing state legal tender, through disparate tax treatment, discriminatory regulation, the threat of suppression and seizure, or otherwise;
NOW THEREFORE, we the undersigned hereby declare and affirm that:
1. As an essential element of true liberty and of the pursuit of happiness in a free society, all people enjoy the inherent and unalienable right to lawfully acquire, hold and use as a medium of exchange whatever form or forms of money they may prefer, including especially gold and silver coin.
2. All free and sovereign states bear the moral, political and legal obligation not only to refrain from debasing their own currencies (except under the most exigent circumstances) and from erecting barriers to the unfettered circulation of monies issued under the authority of their sovereign trading partners, but also to affirmatively defend and protect against fraud, counterfeiting, uttering, passing off, embezzlement, theft or neglect by requiring full transparency and accountability of all state chartered financial institutions.
3. No tax liability nor any regulatory scheme promoting one form of money over another should apply to: (a) the holding of any form of money, in a financial institution or otherwise; (b) the exchange of one form of money for any other; or (c) the actual or imputed increase in the purchasing power of one form of money as compared to another.
4. Except in the case of governmentally assessed taxes, fees, duties, imposts, excises, dues, fines or penalties, the authority of government should never be used to compel payment of any obligation, contract or private debt in any specific form of money inconsistent with the parties' written, verbal or implied agreement, or to frustrate the intent of contracting parties or impair contractual obligations by invalidating the application of a discount or surcharge agreed to be dependent upon the particular medium of exchange or method of payment employed.
5. The extent and composition of a person's monetary holdings, including those on deposit with any financial institution, should not be subject to disclosure, search or seizure except upon adherence to due process safeguards such as requiring an adequate showing of probable cause to support the issuance by a court of competent jurisdiction of a lawful warrant or writ executed by legally authorized law enforcement officers.
We hereby urge business leaders, educators, members of the media, legislators, government officials as well as judicial and law enforcement officers to use their best combined efforts to reinstate and promote the legal and commercial framework necessary to establishing and maintaining well-functioning, sound monetary systems based on choice in currency.
www.lemetropolecafe.com
so does this mean the mormons are going to tell the cia to leave utah and quit recruiting mind controlled minions from among the mormons?
Eric Sprott Sold 374,012 Shares of PSLV Three Days Prior to Latest Silver Smash
hmmmmm..........
http://silverdoctors.blogspot.com/2011/09/eric-sprott-sold-374012-shares...
you know. i am really too old to believe in luck and coincidences......
i sure hope the canadians are not getting in bed with jp morgue ...........
Does anyone know if Sprott is a eye in the triangle guy? I'm wondering if that could be a way to get inside info.
Guest Post: Occupy Philadelphia is a Jewish Zionist COINTELPRO Operation
On Monday, the Metro, a free corporate daily distributed in the City of Brotherly Love announced on its cover the inaugural meeting of "Occupy Philadelphia".
This newspaper regularly features CNN correspondent columns, the cartoon version of any domestic and international fear campaigns, and 50% sports filler. So has it suddenly betrayed its state corporate propaganda function, in favor of the bongo drummers and vegan pizza munching masses?
I cringed at the fishy contradiction, and decided to avoid the affair. On Thursday, however, a bright-eyed rainbow-clad activist mentioned the meeting time and location to me, and despite my suspicions, I went.
A crowd of about 50 people mulled around Philadelphia's anarchist bookstore, and at 6:00pm the location was announced at a historic church in the city center some 15 blocks away. By the time we reached City Hall, the parade had swelled to more than 100, and chanting had begun.
Our promenade was faciliated by an unmarked beige car, manned by glowering men in suits and sunglasses, who blocked traffic on the busiest streets of the city. We then crouched our heads to enter the religious chambers. When the proceedings were finally inaugurated in front of the altar, we had swelled to more than 200 people, including a professional television crew.
After a few minutes, listening to procedural reports from Occupy Wall Street, a debate broke out over whether to use "stack" or "progressive stack". The progressive flavor, we learned, would place minorities and women ahead of other eager speakers. A white kid disagreed, and told us were all equal.
A compromise was finally reached between the affirmative action proceduralists, and the supporters of an arbitrary order -- and the church erupted into twinkling hands of democratic glee.
I knew then for certain, that the entire operation was a set-up.
While I observed the next two hours of painful, bright-eyed futility, the malicious cynicism of this particular counter intelligence operation grew brighter and brighter.
Every single leader of this operation was a self-deprecating homosexual and/or lesbian and/or Jew. I recognized the clique from the tyrannical pseudo-democracy organized around saving Philadelphia's libraries two years ago.
What a strange coincidence, a whiteish spread of the US population, sitting in church pews on the Jewish Day of Judgment, with a mid-20s Jewish ringleader who contemptuously dismissed the hierarchical "vibe" of Christian symbolism.
He also effeminately play-acts exasperation and whines over his falsely claimed inexperience, "if somebody else wants to do this, please", and then tyrannically persists in dominating the entire gathering with his scrawny cohorts -- despite the impassioned seizure of attention by a long-time Puerto Rican activist and African American youth.
All of the non-Jewish, non-White minorities who spoke insisted we first discuss why we were there, what we were protesting, and who we wanted to reach by our likely illegal activity. The faux-populist leadership would have nothing of that back-talk, and instead condescendingly sympathized, "everyone deserves an opinion".
By the time the painful confusion over how we had spent 2 hours together with hundreds of angry and activated Americans, and yet had managed to accomplish not a single decision or even open discussion -- we were scolded to "trust the process" by the enlightened, and now, all of a sudden, coordinated and expert Jewish managers at the Christian altar.
Everyone had become so exhausted from frustration, that they scurried like rats behind the grinning Jewish fag into the street for the opportunity to join the centrally controlled creation of the planning committee, to determine the agenda for the next meeting.
There's the reason why we have no protest in the United States -- the foolish white Christians, and the naive African Americans and Latinos who were present have been enslaved by the Jewish Zionist political correctness managers -- and then the rest of the world can laugh with the Wall Street Journal, who ridicules the very COINTELPRO operation their financier buddies concocted in the first place.
http://www.metro.us/philadelphia/local/article/980233--occupy-philadelph...
Another repulsive jew-hater rant. This sort of thing really makes ZH look bad. It used to be a financial blog.
What's a financial blog? I thought ZeroHedge was a gardening site for people who prefer fences to hedges. No wonder my monogramed bib overalls haven't arrived yet.
Could all the racists and bigots fuck off to somewhere else. Your are all sick and full of irrational hatred. Have a cookie and look at yourselves.
A question for all the pump-and-dumpers: since we are nearly into 2012, and the economy is STILL shitty next year, are you gonna be singing the same Maria Bartiromo-esque tune of "have we bottomed yet?" You fuckers are dee-ranged.
pearl jam...mother...
Forgive the source, apparently YT pulled the original clip but you have to see MDB's BFF giving her explanation of '...if gold is backed by anything at all...'. Good for an end of week laugh. I can't tell if this is real or not but if it is, I'm betting she's a CNBC contributor within a week... http://naturalnews.tv/v.asp?v=94051052ECB937B813C37910C72A9CD7
Oil weakness continues as canadian economy takes a tumble growing at 0.3%. There has never been an occasion when Oil had gone down and S&P has sustained a rally. Capital3x did a study and it was covered here.
http://capital3x.com/?p=1411
They caught the USD/CAD at 0.9750 and rode till 1.0440. Similarly they caught AUD/USD and USD/CHF for over 3300 total pips in sept. They are carving a niche for themselves.
Performance: http://capital3x.com/?p=2361
Further thoughts on Bancor de facto in H2 2012:
I started this Idea here:
http://saposjoint.net/Forum/viewtopic.php?f=14&t=2860#p34267
Could not resist to expand it here-oil jumped 3 times when nixon nixed gold standard, why can not silver or other commodities jump 3 times when USA reserve currency status is out of the window? Total inflation will probably be less than 300%, though who knows?
http://saposjoint.net/Forum/viewtopic.php?f=14&t=2860#p34329
http://saposjoint.net/Forum/viewtopic.php?f=14&t=2860#p34330
The flight to cash in anticipation of falling prices continues. Money velocity is way down. European banks scramble to get dollars for their customers to settle transactions with U.S. customers. While this happens the world is absolutely drowning in everything that money buys. Commodities seem set to drop by 50-80% from here, stocks probably by 30-40%.
The dollar has had a good run so far off its cyclical low. It has covered about a third of its expected range in five months. The rate of ascent is likely to accelerate since in 1-2 months it will be evident to one and all that the economy has been in recession already for 6 months. Also the great stock market crash of October 11th or 18th will greatly boost the dollar. It could get to 90 this quarter as resource-rich currencies and the euro collapse. Things move very fast these days.