"Everyone predicted the market would crash if the US didn't raise the debt limit and defaulted.
Well, the debt ceiling was raised and the market crashed anyway. Even gold went down today. Why?
They crashed because the specter of "lower government debt" meant less spending i.e. The medium of exchange would not keep pace with economic growth. And since the dollar is the world reserve currency, this puts the world economy in a straightjacket."
I wrote this on August 4. A month and a half later, the pattern continues. The market reacted negatively Wednesday to lack of stimulus from the Fed and talk of debt and default in Europe. The central bankers and their minions are deliberately causing a Depression. The catalyst for today's decline was the Fed saying the US economy has "significant down-side risks." Sounds like a deliberate provocation to me.
As long as money creation is tied to debt, we will continue to suffer. Money can no longer be produced as a debt to the private central banking cartel. It must be produced debt-free.
Here is an explanation of money I posted in August:
Imagine that you were charged a penny for every breath you took. After a month, this would amount to a lot of money. Wait! you would say. Nobody owns oxygen!
The same applies to money. Money is a medium of exchange. It has no intrinsic value.
It is a coupon used to facilitate trade. Each product or service is worth so many coupons.
The economy is like a fire which needs a certain amount of oxygen to burn steadily. The job of the government is to provide this oxygen in terms of spending i.e. injecting coupons.
Just like oxygen, nobody can own a medium of exchange.
But the Illuminati bankers do own it. They create money in the form of a debt to them! Anytime the government wants to stoke the fire, it must go further into debt.
Fiscal conservatives like Ron and Rand Paul, and the Tea Party, perpetuate and legitimize this fraudulent and dysfunctional system by harping on the dangers of "debt."
The economy would collapse if the debt were repaid. There would be no money in circulation. We're not meant to repay it.
Half the US debt is owed to the Fed and should be repudiated since the money was created as a book entry. Why should we repay it with our sweat and blood?
Fiscal Conservatives are going to tie the hands of government and precipitate a major depression.
Looks like this is coming true.
GOLD & SILVER HERESY
In an economic collapse, people will seek refuge in paper currency, especially the $US. This happened in 2008 and it is happening again.
Gold and silver are just rocks. They are much more expensive to produce than paper and for that reason they are inferior as a medium of exchange i.e. coupon.
A gold bug sent me this:
"The financial crash will render worthless everything that is denominated in paper. Only real things will retain value, and the royalty of real things are gold and silver, for the simple reason that they are the most liquid, i.e. universally accepted."
if "universally accepted" and "liquid" are the criteria , the US dollar is far better than either metals... people are going into cash today!
The economy needs liquidity (i.e. an effective medium of exchange that stimulates productivity.) As long as this medium is created in the form of debt, the economy will be severely constrained. We will have deflation - too many products chasing too little cash. Deflation is poison for gold.
We don't need bankers to create currency based on our government's credit. The government can do that itself.
We must unite and demand debt-free currency creation or suffer the consequences. The politicians and mass media won't do this without pressure. They are chattels of the central bankers.
Related- Sept. 22 Gold Plummets as Investors Scramble for Cash
See "A Gold Bug Replies"
Ellen Brown - The Problem is a Shrinking Money Supply
August 8 -- Market Crash is Because of Debt Cut
Friday, 23 September 2011
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We don't need to repay the debt, it was fraud.
They use fractional reserve lending, most of what they lent out was thin air, so pay them back with thin air and we'll call it quits.
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