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Michael Maloney: "We Pay Tax For The Privilege To Have Currency"
In this video excerpt from the Casey Summit When Money Dies, Rich Dad advisor Mike Maloney explains how currency is created, "fractional reserve banking," and why our banking system is a pyramid scam of epic proportions.
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haha, you siad "you cant eat gold"
what if you have a fortune to protect and feeding yourslef is a non issue ? Gold anyone?
How do you store value afyer the crops are in and the sheep have been slaughtered? When the clothing is worn out? When you no longer have the labor or capital to deploy in creating these?
Actually gold is edible in small quantities! Think Goldschlager. And you probably can eat FRNs too (you can but there is not much nutritional value and maybe the ink could be toxic. I never tried it so I can't say.). It's usually the FRN advocates that bring up the false question of edibility of gold, but then they usually don't realize that their favorite-fiat is not much better when ingested.
Guns as barter? Not a good idea. Try this scenario out:
Person A has a gun and Person B has food. Person A trades his gun for half of Person B's food. Then person B takes person A's food back at gun point. Ooops. Not a smart trade. Keep you guns for self protection.
Never trade something that can be used against you later on. But your point about when the feces hits the whirling blades and there is a economic collapse is taken. Ultimately we will fall back to life necessities: food, shelter, security...
The case for gold is only when you have excess economic production which needs to be stored for future use. As is when you are producing more that you are consuming.
So what to do? We need a currency that will not perish. Can't use grain or harvested foods. We need something that cannot be printed to QE^infinity. Something that is rare. Something that is easily fungible. Something that is universally accepted throughout the world. Gold seems to fit the requirements nicely. The only place gold (and silver) can be produced is in the core of dying star where the forces are large enough to fuse the larger nucleus atoms and this will only occur in super-nova star deaths. Smaller red dwarf stars (like our sun) will not have the forces necessary to produce the Au element.
...the number 1 reason to choose gold: You can't print gold (or silver).
You make a good point the only thing I see Au/AG good for is ease of barter if you only have a cow but you want to buy a chicken then a silver coin is handy.
Yes, AU/AG for trading makes perfect sense. There is the problem of carrying around PMs -- if carrying all that AU/AG around was too heavy and attracted the robbers and thieves, and cutpurses, you could store your PMs in a bank vault and have bank issue lighter paper notes against your PMs that you held in the vault, then that would make things much easier... and no jingling to give away the size of the purse. But what if the banks started issuing notes without any PMs to back the note? Then the note carrier came to redeem the value and no PMs were left in the vault to repay the note.
Perhaps instead we can build a very large badger to hold the PMs!............... ;-)
http://www.youtube.com/watch?v=9v-4Ug0IgVo
Wait until you see how heavy a bail of money is. 1700 one dollar bills weighs 50 troy ounces anyway. So how do you carry around all that cash already?
Your perception of what constitutes a fiat system is confused and bewildering. There would be nothing wrong with using seashells as a currency on a voluntary basis. It's only when you require their use under the force of law that they become fiat.
A fiat system simply means a force system. LEGAL TENDER LAWS. A fiat money system simply means there's a violent gang that we call government what forces you to accept whatever they supply as payment for debt. Even the use of legal and law is deceptive. Because it's got nothing to do with legality or law. It's got everything to do with enforcement of legality rights which is simply a mask for enforcing right of kingship.
The king is no longer a single person hiring soldiers to enforce his will. It's simply gangs of people all enforcing their role in the lordship. The king has no clothes but he does have an aggregate collectivism.
The problem with it it is it distorts the "they" that act on it's behalf. Because "they" now decide who owes who and in a sense take on the delusional right to ask for something that is not theirs.
They can then ponder this: the most insidious use of a portrait on a fiat "Federal Reserve Note:" -- Andrew Jackson on the twenty-dollar bill.
I almost bought a t-shirt from cafe press with that on it. Not many people I see on a daily basis would get it...they already think I am insane for *only* wanting to talk political issues...real ones; I don't give a rat's ass about Jersey shore, american idol, survivor or pregnant tweens. I live my own drama on a daily basis.
I was just telling my lover we need to kill the third bank.
Occupy The Fed Nov. 5th.
That might be challenged by the use of Woodrow Wilson's portrait on the $100,000 note. The guy who signed off on the Fed on the largest note ever issued by....
"the thing about psychadealic drugs is;
they do make you realise that everything you have ever learnt is indeed just learnt,
and not necessarily true"
Fear and loathing in Las Vegas
what the fuck are we doin out here in the middle of the desert?
this stuff bothers me so much every day. im almost at the point where im about to just stop caring, and live in denial like the rest of the idiots. it just seems like there is no hope left for present and future. Their system will eventually collapse, fiat systems always do especially one this reckless.
I just got back from the exchange. I traded some USD's for some RMB's. I figure if I need paper I better have the right paper.
Thank you from China!
So you went for toilet???
Once you get used to it, the cognitive dissonance is actually quite entertaining.
Especially if others are also starting to "get it"
Cheer up it gets better....
Hey boy, ya'all a trouble maker!! Like your post and attitude. I can dig it.!! Milestones
you just didn't go to a tribe school
http://urjbooksandmusic.com/product.php?productid=9886
Because if government did that then even the dumbest idiot out there would realize that fiat is not worth the paper it's printed on. Taxation is part of the extend and pretend game. Plus it gives government a great excuse to intrude and control every single aspect of your life. Interesting side effect that one.
We, ourselves and our children, and future generations are the COLLATERAL for the banker's loot. This country had no income tax (of any permanent type) until the criminals created the Fed in 1913. The fed gov. wanted loot, so they colluded with the bankers to create the Fed, and set our labor and earning potential as the collateral. Now we have to pay taxes on the bankers losses (i.e., when gold goes "up", and we we trasde for the same value level of useless paper fiat, we pay taxes on the loss on gold). What a scam.
So to Herman Cain's "999" or "909" I say "000". Go back to tarrifs and other systems of revenue. Easy- no. Possible- Yes we can!
www.RevokeTheFed.com
Too true.......
12 USC Sec. 411 02/01/2010
TITLE 12 - BANKS AND BANKING
CHAPTER 3 - FEDERAL RESERVE SYSTEM
SUBCHAPTER XII - FEDERAL RESERVE NOTES
HEAD
Sec. 411 Issuance to reserve banks; nature of obligation; redemption
STATUTE
Federal reserve notes, to be issued at the discretion of the Board of Governors of the Federal Reserve System for the purpose of making advances to Federal reserve banks through the Federal reserve agents as hereinafter set forth and for no other purpose, are authorized. The said notes shall be obligations of the United States and shall be receivable by all national and member banks and Federal reserve banks and for all taxes, customs, and other public dues. They shall be redeemed in lawful money on demand at the Treasury Department of the United States, in the city of Washington, District of Columbia, or at any Federal Reserve bank.
SOURCE
(Dec. 23, 1913, ch. 6, Sec. 16 (par.), 38 Stat. 265; Jan. 30, 1934, ch. 6, Sec. 2(b)(1), 48 Stat. 337; Aug. 23, 1935, ch. 614, title II, Sec. 203(a), 49 Stat. 704.)
REFERENCES IN TEXT
Phrase "hereinafter set forth" is from section 16 of the Federal Reserve Act, act Dec. 23, 1913. Reference probably means as set forth in sections 17 et seq. of the Federal Reserve Act. For classification of these sections to the Code, see Tables.
CODIFICATION
Section is comprised of first par. of section 16 of act Dec. 23, 1913. Pars. 2 to 5, 6 (formerly 7), 7 to 10 (formerly 8 to 11, respectively), 12 (formerly 13), 13 (formerly 14), and 14 to 16 (formerly 15, 16, and 18, respectively) of section 16 of act Dec. 23, 1913, are classified to sections 412 to 415, 416, 418 to 421, 360, 248-1, and 467, respectively, of this title.
Former pars. 6 and 17 of section 16 of act Dec. 23, 1913, formerly classified to sections 415 and 467, respectively, of this title, were repealed by Pub. L. 90-269, Secs. 5, 7, Mar. 18, 1968, 82 Stat. 50. Par. 11 (formerly 12) of section 16 of act Dec. 23, 1913, formerly classified to section 422 of this title, was superseded by act June 26, 1934, ch. 756, Sec. 1(a), (b)(3), 48 Stat. 1225.
AMENDMENTS
1934 - Act Jan. 30, 1934, struck out from last sentence provision permitting redemption in gold.
CHANGE OF NAME
Section 203(a) of act Aug. 23, 1935, changed name of Federal Reserve Board to Board of Governors of the Federal Reserve System.
YES! This is the key to killing the Fed.
Wow. The privilege. Unbelievable. The FED's take last year was 3 billion to it's owners. Look it up. For the privilege of spending money that we can create for free. Fuck the private cartel...the FED.
So U.S. taxpayers are paying interest in the form of taxes for a currency middleman?
Not just taxes, but actual interest on the fraudulent borrowings of FRN's.
The Federal Reserve refunds all interest it receives, on an annual basis, to the U.S. Treasury.
That interest it receives and refunds is not the problem.
The problem with the system, and the crux of the scam, is the how 'money' is generated in the first places, to whom the money flows and how this is decided, and in the particular manner that it is decided (and by whom) to increase or decrease the flow of that money, and all the considerable consequences this creates to what many naively believe is a free market economy where merit rules (or anything even remotely close to that standard).
As it has been said:
--Mayer Amschel Rothschild (1744-1812)
Not sure what the percentage is, but the Fed does NOT return 100% of it to the Treasury!
But because a large portion of it is returned, Washigton uses this as an excuse to keep on printing and going further into debt!
You are correct, the Fed does not return 100%, but it is a high percentage. A minor point though.
No, it doesn't refund all interest. It pays dividends first and then it refunds the remainder to the treasury.
If correct, an excellent point!! Milestones
And why the "member banks" keep the illusion of solvency to the braying jack-holes on the boobs-tube....
which begs the question...who are the shareholders?
As was admitted in the fed publication Modern Monetary Mechanics, the commercial banks create the vast percentage of 'money' in the system. So when Goldman Sachs buys treasuries for its own account, GS is actually creating the FRNs to loan back to the UST. GS creates the money for free, loans it to the sovereign, and gets interest in the bargain. It's the scam of the century.
Truth in Sunshine, glad ur posting again......I enjoy reading ur comments.........Question......Given that Oil is priced in dollars, what would our standard of living be like if oil was not priced in dollars? Im guessing it would be that of a 2nd world country........Is petrodollar recycling a bigger beast than the fed and fiat currency?
A brief history of petrodollar recycling.......http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=114x14286
video on petrodollar recycling............
http://video.google.com/videoplay?docid=1283250336175505194
when I saw this clip, I immediately forwarded it to some of my head-in-the-sand friends; just because Michael Maloney can explain things in such simple terms!
I agree. We need more such clips for dummies.
Here's another:
http://www.youtube.com/watch?v=ScS9Re_osac
Wrong- US taxpayers are paying taxes to be enslaved to the government, himself enslaved by the currency creators through government debt- fixed it for you.
Mayer Rothschild knew that loaning money to governments and kings was more profitable and carried far less risk than loaning money to private individuals. Not only were the loans bigger, but they were secured by the nation's taxes.
So why has our government, and that of every developed nation (and most nations, for that matter) allowed quasi-private or fully private central banking institutions to seize control of the ability to issue money, even going so far as to thwart the U.S. Constitution and the few Presidents who dared to challenge the globalists?
Follow the money. Political leaders have been bought off, bribed, blackmailed and threatened via a full array of means and techniques ("Sure we can get your son an executive position at [insert prestigious corporation here]"; "Sure we can support your bid for re-election," "We'll make a call and are fully confident young Jonathan will be accepted at Yale/Oxford," "It sure would be tragic if the media found out about your carnal sexual trist with those women not your wife [that we hired]/It sure would be tragic if something happened to your children/You need dirt on a business/political rival?...You're in luck, because we just happen to have proof that they...").
These people worship wealth and power, employ mercenaries and jackals, and there's no level they won't stoop to in order to try and retain the ability to control the money supply, using it as a tool of social, military and political control, to further enrich themselves.
They have fully captured governments, militaries, commerce and even religious institutions.
Wealth, Power & Greed are their gods.
The Money Masterswww.moneymasters .com
The Central bankers’ Bank for International Settlements (BIS) in 1988 in the “Basel I” regulations imposed an 8% capital reserve standard on member central banks. This almost immediately threw Japan into a 15 year economic depression. In 2004 Basel II imposed “mark to the market” capital valuation standards that required international banks to revalue their reserves according to changing market valuations (such as falling home or stock prices). The US implemented those standards in November, 2007. In December 2007 the US stock market collapsed and credit began drying up as banks withheld loans to comply with the 8% capital requirement as collateral valuations began to drop. The snowball effect of tightening credit, which reduces economic activity and values further, which resulted in further tightening of credit, etc., has produced a worldwide depression which is worsening.
Those capital standards have not been relaxed despite the crushing effects on the world economy* the credit contraction it requires has caused. Why? Because:
*The U.S did modify these rules somewhat a year after the devastation had taken place here, but the rules are still fully in place in the rest of the world and the results are appalling.
The Two Step Plan to National Economic Reform and Recovery 1. Directs the Treasury Department to issue U.S. Notes (like Lincoln’s Greenbacks; can also be in electronic deposit format) to pay off the National debt.2. Increases the reserve ratio private banks are required to maintain from 10% to 100%, thereby terminating their ability to create money, while simultaneously absorbing the funds created to retire the national debt. These two relatively simple steps, which Congress has the power to enact, would extinguish the national debt, without inflation or deflation, and end the unjust practice of private banks creating money as loans (i.e., fractional reserve banking). Paying off the national debt would wipe out the $400+ billion annual interest payments and thereby balance the budget. This Act would stabilize the economy and end the boom-bust economic cycles caused by fractional reserve banking.
TIS if they went to 100% reserve requirement for banks, this would eliminate the ability to loan money and the banks and the need for banks non? If the default rate were higher than the interest rate the banks would be insolvent from the start.
Or maybe the above scenario would be good and the Buffetts and the Gates would be the ones who could be the new banks and the price of Real Estate would be reduced to more sane levels.
Plus do you have any explanation for the pallets of money disappeared in Iraq and the new $100 bills printed and disappeared?
http://en.wikipedia.org/wiki/Ponzi_scheme
I think I'm pretty much done paying these taxes now. Fuck 'em.
The only way to slay this monster, is to slay the monster.
Yep. You can't beat the devil by playing by his rules.
Some economical facts to draw your own conclusion:
FACT: Banks are Insolvent
FACT: Debt Technically and Practically Unpayable
FACT: House Prices keep Declining/ Deleveraging Continues
FACT: QE/Money Printing World Wide
FACT: Inflation World Wide
FACT: Dollar decline with other currencies/ The Valuta War
FACT: Gold and Silver rise
FACT: Austerity doesn’t work
FACT: Unemployment Increases
FACT: World Wide Economic Slump
0 - FORCE MAJEURE! – Call Void All Bankster Bogus Derivative Debts! Because paying off these trough fraud induced debts have become a technical and practical impossibility.
----
6 – This only can be done if the current failing financial Hanky panky hokes are removed from their offices especially when the whole “Fancy Fair” is Nationalized.
- During this process Skip J.P.Morgan out of the equation.Saves the American taxpayer 3%. FED->2%->J.P Morgan->4,5%->Treasury->1,5%.
- Start publishing real figures again which are “for real” this time so confidence can restore.
FROM: THE REAL PROBLEMS & SOLUTIONS BY YOURI CARMA, 29 December 2008, (Blogs.Reuters – The Great Debate) http://tinyurl.com/lg4gpvFACT: There is a shortage in physical silver and it's getting worse.
By my estimate, the "supply" shrinks by 7 million ounces per month and 4+ million of those are silver eagles sold by the US Mint.
www.youtube.com/watch?v=19TEsSDH4_Y&feature=related
http://www.youtube.com/watch?v=J2HBdRCroks
A good rundown.
Like everyone else, you anticipate a "collapse" of some kind. I don't disagree. However, I see a good deal more blood in the streets than most. If you think these very powers that have us shackled and enslaved are simply going to rollover and say "Got me", that is a mistake.
Sooner or later there will be a movement and it will cost many millions of lives. Once you get a minority to hold the reigns you will see the witch-hunts and the massacres, the piles of dead and the imprisoned masses. It will all be very ugly and we will stare ourselves in the face and ask "how could this have happened?" It will be horrible, it will be tragic, it will be a complete "revolution", or "turn", as it were, from one paradigm to another. We are in the perpetual wealth and privilege paradigm that says "hooray for me and fuck you as long as I make my money" and we are all awesome people because we aren't totally starving to death and even if we were there is still Hostess, Godiva, and porn. It's all good. But once you start to turn that wheel, once you start to push that envelope, you open up things, you spring loose passions, you effectively CHANGE the nature of everyones existence. The paradigm shifts to a season of suspicion, treachery, desperation, and fear. I'm not sure that many people really understand that this is what is happening, or even anticipate the longer term effects of it.
In France it took 25 years and many millions of dead, likely upwards of 5 million. In Russia it was vastly more, likely 10-20 million between 1917 and 1929. In China it was even more between 1945 and 1948. In the cases of Russia and China there were many millions of more victims after the fact, that is, in series of "terrors" that cleansed the population of any dissident thinkers. Every murderer believed he was doing what was right for his country at that time, and considered his victim a true threat to it. How else could such things have happened?
In our country, with the current mood, with the factionalism, with the Tea Party, the Occupiers, the 53%, and the stark divisions between popular Conservative and Liberal there could be blood a plenty. Sooner or later there will be the street fighting between the OWS movement and those who for whatever reason are "sick of it"(?). But rest assured that once a clique gets the ear of the people and assumes the title of "voice of the nation" it may be a downhill slide. Just ask any old Germans who might remember, or read some history from the period 1933-1937 in Germany and you'll get the idea.
The idea is grim. It's halting. It's downright scary. But that is where we are going. So as all of this unfolds, know that the elite will survive. The financiers will prosper as they always do, and in the end the system of wealth and power will remain, albeit in different hands. The thing to watch is where the power is now and where it goes. Once you start to see citizen killing citizen and victims begin to mount in a bloody shrine to such ideas as "progess", "equality", "democracy" and the like, it's time to run. Only then you may be suprised at who it is you are actually running from.
It's not the 1% who are going to "pay". They have been around way too long, and they know right well how to deal with the "rabble". They'll stand back laughing while they are paying us to kill eachother, likely placing bets on the side.
"Democracy has few values of it's own: it is as good or as bad as the principles of the people who operate it. In the hands of liberal and tolerant people, it will produce a liberal and tolerant government; in the hand sof cannibals, a government of cannibals. In Germany in 1933-4 it produced a Nazi government because the prevailing culture of Germany's voters did not give priority to the exclusion of gangsters." --Norman Davies, Europe: A History(1996)
Hitler comes to Oakland
By Sarah Seltzer, AlterNetPosted on October 25, 2011, Printed on October 25, 2011
http://www.alternet.org/newsandviews/685135/occupy_oakland_raided_by_pol...
Today, Oakland occupiers were swept out of two encampents amid claims of excessive force. The livestream, which is going in and out, is embedded at the bottom of this post.
Here\'s the tweet from Occupy Oakland sent out just after it happened early this morning:
The Oakland occupation\'s website goes into some more detail, saying over 70 (some reports now say 85) were arrested:
Here is a series of stunning pictures of the raid which show the sheer numbers of officers compared to protesters.
The San Jose Mercury News reported on exactly how the surprise raid went down:
From SFGate.com, an idea of how massive the operation was--"hundreds" of officers swept in:
Calls to regroup after the raid have already gone out over Twitter, as well as a call to email the office of the mayor with complaints: officeofthemayor@oaklandnet.com. The Occupy Oakland website says: "Reconvene today at 4pm at the Oakland Library on 14th & Madison. Occupy Oakland is not finished, it has only begun."
Occupy Boston will march in solidarity with their comrades in Oakland at 5pm.
Your links have a serious problem
as in "Page Not Found
Sorry, the page you've requested cannot be found."
ETA: I found some other reports along the lines of your description. Wonder why those links got "broken" ?
cryptome is your friend: http://cryptome.org/info/ows-18/ows-18.htm
+1
"throw a few wars"
http://www.youtube.com/watch?v=omqe2gWZgGg&list=FLbRZZAixeFXZfqszvKisEdQ&index=2
Uploaded by TheRealNews on Oct 24, 2011
Bill Black: If I marched with Occupy Wall St. to the New York Fed, this is what I would demand.
Working Paper No. 11/244: Monetary Policy, Bank Leverage, and Financial Stability Author/Editor: Valencia, Fabian Summary: This paper develops a model to assess how monetary policy rates affect bank risk-taking. In the model, a reduction in the risk-free rate increases lending profitability by reducing funding costs and increasing the surplus the monopolistic bank extracts from borrowers. Under limited liability, this increased profitability affects only upside returns, inducing the bank to take excessive leverage and hence risk. Excessive risk-taking increases as the interest rate decreases. At a broader level, the model illustrates how a benign macroeconomic environment can lead to excessive risk-taking, and thus it highlights a role for macroprudential regulation.
http://www.imf.org/external/pubs/cat/longres.aspx?sk=25309.0
thanks for the links. interesting.
Why is the Treasury website down?
It's broke. Any other questions?
Because anonymous found the dark fiber internet where all larry kings child porn is stashed and it scared the fuck out of the treasury.
"the bank is legally allowed to steal 90 of it"
lol
US taxpayers pay taxes for the privilege of not having Treasury swat teams invade their space and steal everything not nailed down.
Go Ask Alice.
I thought only NASA SWAT teams were allowed to do that. To old ladies.
NASA is too busy outreaching to Mooslims.
Something about stone age things, ala '2001'.
Douglasites rise up.
Exactly. We pay the inflation tax for tickets for the currency that we don’t own; the medium for which we exchange our labor and talents is just a company pass to the company store, only as good as the issuer (the private Fed) says it is.
Nice tie.
Why does the "Federal" Reserve get a 6% commission--rebate on every FRN dollar they issue ?
WHY ???????!!!!!!!!!!!!?????????????!!!!!!!!!!!!!!!!!!!!!!!!??????????????????????!!!!!!!!!!!
Because Duhmerica allows it.
Y ?
I always wondered why the Treasury (Bureau of Printing and Engraving) prints the money (at taxpayer expense) for the Fed.
When we borrow it from Rothchilds , we have to pay the cost of printing it
I have been talking about the coming economic collapse with my friends and
business associates since 2007. Occasionally one will call me and ask if it is
still coming. I tell them nothing has changed accept for further deterioration of
the fundamentals, so yes, the collapse is still coming, only the longer it takes to
get here, the worse it will be when it arrives.
Stress the gyrations TBTF perform to hold it off as long as possible, be factual.
Otherwise, they will think yer nuts.
It's like he said in that lecture, we are playing a zero sum game. The government has been borrowing from the future prosperity of our nation for many decades now. Eventually we arrive at that mythical future only to find there is no more prosperity to be had. It's all been stolen by the generations before.
1. The FRS was designed to steal everything.
2. The Police State was designed for when they succeed.
3. The Nuclear State was designed in case the Police State failed.
4. The Deep Underground Military Bases were designed to "save" those that pull the strings, in conjunction with 1-3.
5. You are not on the list for #4.
They can't see it?
I just don't understand how ANYONE "can't see it".
"It" being the most blatant and obvious fact that the world's monetary and financial system is flat assed broke!
Europe is absolute toast, fair value on Greek bonds is less than 50% of par value and everyone knows it. Their banks are insolvent even without any haircut from Greek holdings and everyone knows this. Italy, Portugal and Spain are all beyond fiscal sanity or repair and this also passes as common knowledge. The real estate markets are deflating across Europe (and the entire globe) after previously being blown to huge overvaluation levels with the help (prodding) of European banks and this is also widely known.
The European Central Bank does not have enough money, muscle, options (or even competent leaders it seems) to even flatten out the path much less pull out of it's nosedive and even mainstream media is reporting on this. If you add these "well knowns" together then you can logically make the leap that the Euro currency is done, it's life ended and will be replaced.
Then you "cross the pond" to the U.S.A. and guess what? Same thing! The banks are insolvent if they actually marked assets to market, everyone knows this.
Municipalities and States are fiscal beggars on their way to bankruptcy courts and this is already widely known and visible in the last couple of weeks with the first actual filings. Next you turn your eyes to Uncle Sam and his finances, yep another deadbeat here and even the "hometeam" rating's services have taken notice of this. You could do a poll from any inner city to remote corner of the country and EVERYONE knows deep down that the U.S. is financially (and morally) broke beyond any repair. EVERYONE knows that EVERYTHING is broke, busted and insolvent!
THIS is how every financial panic in all of history has happened.
THIS is how the children's tale of "The King with no clothes" was penned. So if everyone knows that everything is broke then why do hear on CNBC et al that "we can work our way through this and muddle along"? Because as Jack Nicholson said in A Few Good Men, "you can't handle the truth!".
This has to be it.
I cannot think of anything else because it has been MORE THAN obvious for quite some time. I have heard plumbers, farmers, bankers, real estate agents, city workers, you name it, tell me that "the government is broke" yet when I ask "what are you doing about it?", they say, "I have my money in an FDIC insured bank account".
Some are now getting around to buying some physical Gold and Silver but mostly because "they are going up". People "know" but they just can't make the leap to acting on what they know.
This phenomenon along with "you can't handle the truth" is a function of very long term brainwashing and "false education".
Using ANY logic at all would lead you to "pull" as much of your investable assets OUT of the system. "Out" meaning out and away from the obvious damage that the broken fiat system will inflict. "OUT" meaning into physical metals and assets, OUT meaning into the companies that produce these physical metals and assets.
It is so, so sad to see people who have worked, lived and saved their entire lives within this fiat system like "good little boys and girls", about to get completely wiped out... penniless!
Think about it, EVERYTHING within the current fiat, paper, fraudulent system is going to be valued at what it is truly worth...ZERO.
If you can wrap your head around this (admit it to yourself), you can act accordingly. The day is coming when EVERYTHING "paper" is going to stop. Banks will not open, credit cards not function, ( physical Dollars will actually spend for anywhere from 2-10 days until they too become unacceptable) and the entire system will sieze up and into a barter society until a NEW and "acceptable" (from a confidence standpoint) is issued and circulated.
We are very, very close as there are now calls for a new "World Central Bank".
This has been floated in recent days by none other that The Vatican.
There is very credible evidence that The Vatican accumulated massive amounts of Gold during and especially toward the end of WWII. It is possible that they are actually the largest holders of Gold in the world.
Any new currency MUST have some tie to Gold and the limited Gold that is above ground MUST be revalued higher as there is not enough at current prices to support a 7 Billion person global economy. Long story short... how can anyone not see what is about to happen?
The whole fiat episode is like your crazy Aunt in the basement, everyone knows she is there but no one is willing to talk about it.
Those who do are branded as crazy and no one wants to believe it anyway.
Maybe there are a few more investors who "do see it".
Gold is up nearly 3% today and thus violating it's decade+ long 2%/day collar!
www.lemetropolecafe.com
We are on the verge of a financial panic. I've said it repeatedly over the past several months, the Europe situation has yet to truly explode into a mushroom cloud. When it does, there will be widespread financial panic. Once Europe goes belly up, many of our US finanial institutions will follow suit. It is going to be a blood bath.
Who do you keep "quoting"?
Please ignore the Maxist wishlist paper from a low life department of the Vatican. This is not from the Pope.
gross bullshit from you .
it is the way of those communists in that horrible cult.
No its not. Back to hell you demon spawn.
I can see it clearly from my helicopter and no tin foil hat is required.
DavidPierre,
All the king's horses and all the king's men...
Miss Ex:
HumptyDumpty wearing The Emperors New Clothes.
A mixed metaphor fairytale.
Hope you, and Brothers Grimms will forgive!
Did HD fall down the Rabbit Hole?
They can't imagine the alternative. Because things have been relatively the same during their lifetimes "they" think we are in "normal"
Is the model the bank accepts 100 in currency as a deposit and loans out 90 correct? I think it's more like the bank accepts 10 in currency as a deposit and loans out 100. Probably more depending how they are leveraged.
That is Zeitgeist 101 from like a decade ago. Go Pete!
Money = wealth
Wealth = the sum of unconsumed human productivity
increased productivity + reduced consumption = increased wealth
increased wealth = increased money supply
trying to convince yourself there is another way = hopeless
for everything else, there's mastercard.
speaking of which, i've been wondering where Maloney gets his supply and demand numbers in terms of available bullion above ground, especially regarding silver. anyone have a starting point for these data?
Approx 25 billion ounces above ground
http://www.silverinstitute.org
Of what fiat currency? Cause it sure isn't silver.
http://www.silverinsights.com/_pages/_statistics/statistics_1.html'
Nice try Bob. Where do you come up with this bullshit? Jeff Christian himself?
Check the price of miners, and get back to us.
How many ounces were mined in 2010 alone?
http://www.nma.org/pdf/g_silver_producers.pdf
Almost a billion ounces in just 1 year.
Source: National Mining Association
STFU already with your cock breath
And demand exceeds supply every year. I don't know what you're getting at.
Exactly. My GPL is down a buck. Too much Ag.
Tradition must be punished /Fed
www.pmbug.com
Mike Maloney needs to be taken with a grain of salt. He is predicting $20,000 gold. How foolish. Five years from now, these gold bugs are going to look foolish for making such ridiculous forecasts.
Is that your best shot? Get a life worm.
Be nice. He needs to repeat his name to remember it.
Dip is prolly in Goobermint....
"Five years from now, these gold bugs are going to look foolish for making such ridiculous forecasts."
lol...for lowballin?
Yeah, foolish like the ACTUAL NUMBERS below ????????
Gold Price Ten Years ago: $272
Gold Price Five Years ago: $606
Gold Price Today: $1,705
Thereby demonstrating it is in a parabolic blow off top.....
Incoming!
You pussy?
Thereby demonstrating FIAT is in a parabolic blow off top.....
..........there now, that's better............
"He is predicting $20,000 gold. How foolish."
Do you have any idea how foolish $2000 gold sounded 10 years ago?
I have some $100 trillion (Zimbawe) dollar nbills at home. If I went to Zimbabwe today, how much gold do you think that would buy?
Also, think exponential (the rate of change increases with time) when comparing the next 5 years to the last 10.
www.RevokeTheFed.com
www.gold-silver.us
Was (Zimbawe) dollar nbills the world reserve currency?
No.
The fact is that the USD will collapse and instead of your and other predictions here and to fore; a new world currency will emerge as the force du 'jour.
THE YUAN!
More stable, more stronger, more delicious.
A collapse of the USD will throw the entire world into chaos, a chaos that we may not be able to pull out of. OPEC, I am sure has some plan on the table for swaping out of USD for oil, perhaps gold for oil, hell lets play your game, Yuan for oil. However, the only reason China, Japan, or Europe have been able to generate their current rates of growth is the willingness of U.S. consumers to buy their electronics, clothing, Hondas, and BMWs. As the dollar plunges, Asian and European goods, priced in suddenly-appreciating currencies, will become prohibitively expensive for U.S. consumers, who will respond by buying U.S.-made alternatives or nothing at all. Correctly interpreting this change in buying patterns as a threat to their vital export sectors, European and Asian leaders will respond with the only weapon they have left: monetary inflation (which Japan is getting ready to do SOON). They’ll cut interest rates and buy dollars with their currencies, flooding the world with euros and yen the way the U.S. now floods the world with dollars. The result of these “competitive devaluations” will be a death spiral for all major fiat currencies, in which European, Chinese, and Japanese bonds will, eventually, fare as badly as their U.S. cousins. Done. Burned out. Fin. The End. Period.
I wouldn't buy a used car from a man wearing a cheesy suit like that.
He must think his gold tie is a power tie.
Barrwy 2012 bumper-sticker: "The Hitler you're having when you aren't having a Hitler"
http://www.urbandictionary.com/define.php?term=Clayton%27s
Election 2012: "The 'choice' you're having when you aren't having any choices"
(tink dat second one really should be a bumper sticker or zh t-shirt or sompfin)
I wonder why we need to issue the bonds at all. Why not treasury issuing money directly - without the bonds, at no interest. Lincoln's greenback solution. Arguably conflict of interest and potential for inflation in that congress gets unlimited license to print, without an independent FED involved in the process. But doesn't that happen anyway...? And consequently at interest? And without any control through the voting process (if one still believes in that)...
Of course, the FED I'm told hands profits back to Treasury (or so I've learned) so aside from its operating cost, the net effect on interest owed resulting from FED buying appears, on the surface, to be less (but not so with foreign buyers though - now that's a problem)... Is suppose that as for PD's flipping bonds back to the waiting arms of FED (or anyone else), well, they'd be SOL... further, with regard to "sound money" ie: gold-backed currency, with gold in such limited supply, and with CB's and large internationals manipulating paper gold, wouldn't the overall quantity of currency be more prone to outright manipulation if tied to a limited, volatile, speculatable commodity? Wasnt that the problem with it throughout history? It would seem that in times of slack economy, a fiat currency that doesn't originate from debt issuance, and in the hands of responsible gov't (gasp) would allow for expansion and contraction within the correct quantities for economic stability... with no additional debt. I can hear it now: utopian I'm sure. Corrections welcome.
I wonder why we need to issue the bonds at all. Why not treasury issuing money directly - without the bonds, at no interest
Investment banks wouldn't make money off of being the middle man and buying/selling the bonds in that scenario. In my opinion, "The Fed" was basically an ingenious way for bankers to regain control of the country after Andrew Jackson killed the bank.
www.youtube.com/watch?v=Knf8KA5aAjw
I'd hand you a cigar of you were siting next to me. It is that exactly. Power. Control. The Treasury must purchase the privilege to print, or coin money from the Federal Reserve Bank. What really bakes people's lasagna is this: The Treasury is only allowed to print X dollars. The interest accumulates to an additional Y dollars. The total is X + Y = Z. OK so where does the Federal Government get the Y to pay the interest? That money never existed, it was never printed so where does the Government GET IT? Taxing business and trade tariffs? Don't make me laugh. They cannot create it unless they buy the privilege from the Treasury for even more interest. So in reality, it comes from your pocket, my pocket, and our children's children's children's pockets. Watch Debtclock.org for 5 minutes. Really watch it. It will make you sick.
WHAT?!!! ... interest-free public money ... hmmm ... we seem to have a right trouble-maker here ... you realise they don't want you saying and thinking sensibly about your real interests? ... right? ... take care
http://www.youtube.com/watch?feature=player_detailpage&v=ePrzlEZJxZ4
http://www.youtube.com/watch?feature=player_detailpage&v=7JA8K1PDM5M
Finally some sense here. I can't believe that this topic is not discussed more on this board. It's not WHAT we use for money/currency, it's WHO controls the production/destruction of the money. Money/currency should be a debt free public utility. The volume of said currency in circulation should be controlled by 'we the people'....debt free, no interest due!
What's that you say... The representatives of the people would take advantage and print to oblivion creating massive inflation....um look around. They're doing it now! AND we now have the interest due to contend with. Think like this, what If we gave the govt the ability to create debt free money, as a utility, instead of borrowing from the Fed (with the expectation of interest due). If there was deflationary pressure, expand money in circulation, if there was inflationary pressure, decrease the volume of money in circulation. If the representative of 'we the ppl' recklessly over expanded that money supply (hyper inflationary) at least I would know, without a doubt, who was to blame. The avg. American doesn't even know who to be pissed off at right now...the potus, the bankers, the fed, the IRS.
These videos from Bloomberg are hilarious. The announcer questions people who are obviously totally wrong in their assumptions, and it shows. They style here is just relentless questioning. Its like a series of male suitors trying to convince the princess of the collapse of gold, while of course, she knows better:
http://www.bloomberg.com/video/78409176/
Where can I watch the entire Maloney video? That was great.
yeah five stars nice presentation
the tax he refers to is sometimes called 'seignory', which is an archaic term for the fee the lords charged the peasants for their land, and later to run a money supply. in modern terms its the interest the Fed pays the banks, and probably special benefits for PDs to flip bonds and so forth.
we (Congress) had control of our money supply but we gave it back to the aristocrats, the Rothchilds
monetizing is a lot easier than simply printing cash. i think anyone who thinks about will realize that credit and money are synonomous.
the Fed is basically screwing the pooch by pushing on a string making credit more available in a economy with shrinking credit demand. and nobody will call it 'pushing on a string', though they did for years, there is no point in stating the obvious.
the lords in this game demand their asset prices be honored, while the real economy needs lower prices to get things moving, and Lord Bernanke has no trouble deciding who gets their way.
simple enough.
Where is Milliondollarbonus' repy? I need a good laugh today.
Anybody see how TLT and TIP traded today?
Hilarious how the market responded today with "investors" once again fleeing right back into the laps of TLT and TIP today.
Amazing how a small 200 point selloff creates an absolute frenzy of buying of Uncle Gorilla paper.
Not enough Robo. I play TMV, and it needs to drop 2 bucks.
Ahem. Some here seem to believe that a currency system backed by PMs would somehow eliminate excessive risk-taking by banksters. Hmm. I don't see how, but hey, I've never read much economics. I tend to think that a currency backed by precious metal would create some interesting dynamics as regards international trade and might constrain the money supply domestically - but I suspect that effect would be overcome by purchases of PMs by the sovereign to increase the money supply. But, again, I also sense that even in such a system, there would be periods of imbalance (more money in circulation than PM in the vault), so to a certain extent, fiat money would continue to exist. This bias seems more like religion than economic theory.
I for one like the concept that the value of PMs are allowed to vary. The dollars I converted to gold in 2007 are reproducing like rabbits. Go fiat, go.
The dollars I converted to gold in 2007 are reproducing like rabbits. Go fiat, go.
They really aren't, though. This would be akin to walking on a treadmill, someone putting said treadmill on the back of a flatbed truck going 60mph, and you saying, "I'm walking faster."
Some here seem to believe that a currency system backed by PMs would somehow eliminate excessive risk-taking by banksters.
I'm not an economist, but I think the idea here is that it would reduce if not eliminate margin and leverage, which are some of the riskiest "bets"...bankers would have to invest rather than "bet." Given the currency would be limited, it also reduces the moral hazard component. Said another way, there would be no bailouts because gold and silver are finite resources. Knowing they could actually lose wealth, bankers would act more conservatively.
Just a thought. Someone correct me if I'm wrong.
Todays money it is nothing more than a credited book entry that is accepted within a closed banking loop. When money circulates through the economy, all that really happens is a change of ownership of digital accounts.
Since one cannot create their own dollar, dollars must be borrowed from a bank in order for it to be spent and circulated. But there are no pools of money to pull from. Again, it is nothing more than a book entry.
And as people pay back their loans, money leaves circulation and goes back into the banking reserves. This allows the bank to create and loan out more money. Reserves are nothing more than a measuring tool. And this is where inflation comes from.
Since interest is not borrowed, there must be an ever growing supply of new loans (money in circulation) in order to pay interest. This is the problem that the country faces now. Money in circulation is shrinking because not enough people are borrowing money. And people are not able to make the payments.
This is the secret of Reagonmics. This is how tax cuts bring in more revenue to the government. Loan standards were lossened so that more loans were made which allowed the government to collect more revenue.
And when the government creates an IOU and sells it on the market, it plans to pay it back with money that has not been created (borrowed into circulation). This means that even more money must be borrowed by consumers in the future, which will increase the money supply further.
In addition, when governemnt sells bonds on the market, it takes money away that would otherwise be spent in other areas, including the infrastructure, manufactoring, and markets.
If everyone paid all off of their loans, money would dissapear back into banking reserves until someone borrows it and spends it back into the economy.
If the government zeroed all of it's debt, it would be hugely deflationary since government debt is the is what fractional banking system hindges on. Money would simply dry up and banks would not have the ability to relend, except for the cash they have on hand in their vaults.
A gowing economy simply means that more people are borrowing money and consuming. A true economy would have a zero growth rate.
In addition, since the government holds its accounts at the Fed and money is only a book entry, why do we have to pay taxes?
You forgot something. "Todays money it is nothing more than a credited book entry," ... and this occurs because we somehow and somewhere 'agreed' that they could pull that shit, but we, you and me, we can't.
Do you remember electing Dick Nixon to do that?
And we're 'legally' bound to use and work for, and to honor their imaginarily exponentially-growing digital nothings.
And thus ... we 'owe' T H E M
A simple mental Parlour-Trick ... nothing is pretending to be something ... something of value ... it's great in trades ... you can get shit for free ... and they can still end up 'owing' you ... it's 'effin killer ... ... if you can find a planet full of monkeys that are dumb enough to not even notice ...
An economy is not just about money. An economy is about money being used as a means of exchange. A debt incurred to produce something of value to another person creates value and raises the standard of living of those involved. Thus, as long as there are resources available to be manufactured, money can be created without the ill effects of currency debasement. If however, the raw materials are in short supply, more and more money/debt must be created to make the same amount of manufactured goods. This is the inflation that has been evident over at least the last 40 years. Which roughly corresponds with the advent of peak oil in the U.S. When we could no longer use our own resources, our money started to lose its value..... The sad fact is that if we want a strong currency, we will have to limit our consumption and reduce our standard of living. At least to the extent that our "standard of living" depends on an inefficient use of energy and natural resources.
gh
I guess the "meta" view of the above situation is that we don't have to blame anyone for what is happening. It is just happening and we don't understand why. Existence is sometimes cruel. And we are no more special than any others.
next Fractional reserve system will be the division of our slave asses.
"We always have to go deeper into debt each month than we were last month ..... in order for us to move forward and have prosperity"
BULL! BULL! BULL!
My sea is current. Is yours?
Play the game like good little monkeys or STFU!
"Capitalism will commit suicide". --Karl Marx
Debt is the currency of slaves.
Was ist 'Kapitalism'?
http://www.youtube.com/user/peacsees#p/u/19/R9ZgiF4mElU
.
abu grummmmmm .. abra ca dab ra .......
.
@ "We Pay Tax For The Privilege To Have Currency"
.....
we pay tax to sustain the crime of usury. it is
not a privilege to have a currency. it is a god
given and unalienable right. someone said it and
knew it; actually many knew and still know.
http://www.beyondhollywood.com/uploads/2011/03/snake-eating-its-own-tail...
the link produces ...
"The website declined to show this webpage.."
Ha ... ah well, it was a photo of a rather large dumb-fuck sort of python, swallowing itself, but having a bit of difficulty with the last meter or so.
Ya sort of wonder when it's going to realize what exactly is wrong? ... ... and what to do about it ... just a wee bit dumb and unaware of what's really going on, that snake.
http://www.whale.to/b/snake_tail.html
even this link does not produce the image. the symbol of the snake at its tail is universal or at least galactic, the symbol of revolution or concentric repetition. but.. the organic insanity of such a digestive, energetic and consumptive model is degrading to the point of demise and utter destruction however on a purely physical, atomistic level it it is a rejuvenative and inspiring image. so the snake has a dual personage or symbolic meaning. eating itself becomes a universal symbol of unity or revolution or repetition of adherence to matter and the dictates, laws, of the physical matter at a later time of evolution in the energetic realm. the snake. or something like that.....
or .. privilege should appear in quotes in
the above post as ...
"We Pay Tax For The "Privilege" To Have Currency"
.
that is our right should not be, need not be, a
tool or instrument of our enslavement, mathematically
dictated and determined before we are even born.
It all ends sometime, guys.
Max Keiser and James Turk have a good video recalling the fall of fiat currency, mostly due to unregulated speculation, in 18th century France. Hint: it doesn't end well.
http://www.youtube.com/watch?v=7zvNV-vkEzc
http://www.youtube.com/watch?v=U4aRuiO1OuQ
I welcome the End Of The World as we know it.
Means the Paulistas are gone.
Check Paul's earmark history.
The only bills he ever got passed.
Yah, a Benjamin will not be worth a pinch of coon shit - but - food production, alcohol production, tobacco growing, weed production, gun powder manufacturing, lead with little copper dinner jackets? Priceless.
Ah Christ, up goes the EURUSD again.
Existence of Paulistas is killing the $.
Fractional reserve lending should be illegal. My guess as to why it is not is because it supports growth of the country. I believe the only basis for arguing for fractional reserve lending is that as resources are extracted (lumber, minerals, metals, fish, oil etc) those resources carry inherent value that increase the total asset value of the country possessing those resources. As resources increase the money supply needs to increase to pay for those resources. This also goes along the lines of population growth. Imagine if a population of 1 million people only had 1 million dollars but then the population grew to 2 million people but there were still only 1 million dollars in existance. Then there would not be enough money would actually be less per person than what it was originally.
I am sure that the primary reason for fractional reserve lending is sort of an un-talked about rule. Our heads of business and state realized that if money could be created from nothing without having to increase the federal reserve balance sheet then our countries industries could increase exponentially without consequence (at the time). What they did not realize is that this strategy also accellerated the wealth disparity in our country as the people with wealth could profit off of exponentially more loans than what they originally had. Imagine if you could just decide one day that you will loan out 1 million dollars at 20% interest spread out to 50k people through credit cards even though you only possess $20k dollars. As long as everyone kept paying their credit cards you would make immense profits causing wealth disparity for those 50k people who were following the rules while you werent.
Let banks choose their method. Is that such a bad concept?
No bailouts and no FDIC.
Fuk this moral hazard this Goobermint always wants to cover.
Must be news out there. Tyler, wake up!
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Found the reason. Free Goobermint cheese. You are free to go, on your own time, to go to the nearest warehouse and get your free Goobermint cheese.
Fucking lame... Keep the camera on the guy wandering around stage and ignore the slide show....
I'm curious what he has to say about how this is going to play out. He hinted that its going to crash in this decade. I wonder what his timeline is?