The US dollar is backed by debt. The Federal Reserve note is not created out of thin air, electronically or by a printing press it is debt. It is no longer backed by the full faith and credit of the US government as its credit rating spirals down the food chain.
Government’s inability to rein in spending, Afghanistan war, Iraq govern less, North Korea aggression and lost of AAA rating is self evident.The taxpaying majority live in a physical conscious realm although there other dimension in flux. It is commonly exposed that the dollar is a fiat currency back by nothing.
The dollar decoupled from a Brettonwood gold system which was the nail in the coffin for the victor’s agreement. The dollar also decouples from its petrol agreement when Saddam Hussein and other States accepts payments in other currency.
If the Chinese’s demand gold for payment of treasury redemption the taxpaying majority (TTM) will find itself back at the precipice. The irony of the situation is the dollar is now backed by debt as United States escalates its position as the largest debtor. Yet the very same debt is also the demise of the dollars hegemony.
The strength of the dollar is its ability by government to produce quantities through deficit spending. It is alleged that every citizen of U S of A owes somewhere in the neighborhood of $100,000 on a growing national debt. The national debt is in reality an uncollected tax.
The tax with interest growing exponentially by the second will double in shorter increments even if the FRS does not QE 2. An exponentially expending tax will take less time to double as long as there is an increasing outstanding balance. Deficit spending could not, is not and will not stop the national debt from doubling.
It has become a scam, a ponzi scheme and a rip off. The Federal Reserve System has to pursue, promote and prolong government debt financing in order to stable its business model and make an obscene pornographic profit (OPP).
A controlled Congress must perpetuate spending more dollars then it is taking in through all forms of taxes. How does a bankrupt, bailed-out and broken banking system earn trillions of dollars which it loans to an unwilling taxpaying majority? Should the federal government create money it cannot repay?
Understand the FRS is a private international financial cartel (IFC) with ownership from around the globe. How this private IFC is able to amass trillions in OPP. Money is not produced out of thin air. This concept is the stuff of fairy tales, magic and an illusion.
Every dollar that is created by deficit spending is an uncollected tax that must be paid in full by TTM. Someday TTM will pull back the curtain after withdrawing from its debt addiction. TTM will find that the IFC was, is and will continue to be the ultimate tax collector.
Deficit spending is a mechanism used to purchase power by controlling government. The end game could be the impoverishment of TTM, the collapse of the dollar and the demise of the shining city on the hill.
Wednesday, August 11, 2010
Sunday, August 8, 2010
We are there
Social Security benefits will exceed revenues in 2010. Paying full Social Security benefits when the system is broken only make a deteriorating situation worse.
Do not believe for one second that the smart ones in Washington are not aware how the recession is wreaking havoc on the social security system. When the economy recovers will the millions of jobs lost return?
If US of A slips into a Japanese’s style deflationary cycle it could be decades before the economy recovers. SS is on the brink and does not have much time left.
Deflation is already devastating income as taxpayers are forced to take one, two or three day furloughs without pay. Food inflation deflates the purchasing power of the dollar. Small business revenues are also deflating.
Will the economic recovery be another jobless return to prosperity? From where will the revenue needed to finance SS come from? A 30-year reserve fund paying full benefits even though the trust fund is being raided, abused and misused will implode.
Reform proposal only extend and delay a day of reckoning. Should US of A enter into a period of hyperinflation due to say QE 2 social security could not keep pace with the cost of living.
Do not believe for one second that the smart ones in Washington are not aware how the recession is wreaking havoc on the social security system. When the economy recovers will the millions of jobs lost return?
If US of A slips into a Japanese’s style deflationary cycle it could be decades before the economy recovers. SS is on the brink and does not have much time left.
Deflation is already devastating income as taxpayers are forced to take one, two or three day furloughs without pay. Food inflation deflates the purchasing power of the dollar. Small business revenues are also deflating.
Will the economic recovery be another jobless return to prosperity? From where will the revenue needed to finance SS come from? A 30-year reserve fund paying full benefits even though the trust fund is being raided, abused and misused will implode.
Reform proposal only extend and delay a day of reckoning. Should US of A enter into a period of hyperinflation due to say QE 2 social security could not keep pace with the cost of living.
Wednesday, August 4, 2010
Oil Spin
The oil that was release due to an incident in the gulf is not GONE. If gulf residents do not see oil it does not mean it has disappeared. BP PLC wants the public to believe they have developed the technology to overcome pressures pushing a volcanic gusher of oil to the surface.
Oil continues to leak into the Gulf through cracks in the gulf floor. Much of the oil never made it to the surface and is still a threat to humans, sea life and marshes. Here is an elementary math problem. A volcanic oil gusher spewed 100,000 barrels of oil a day into the gulf.
A barrel of oil is around 45 gallons. After 100 days how much crude would have polluted the gulf. The answer is 450,000,000 gallons. Yes, oil dissolves in water naturally over time. Question is how time is “naturally over time”.
If 152 million gallons is three-quarters where is the 53 million gallons of oil? Evaporation or dissolving is not the same as GONE. If the oil evaporated then 50 million gallons of oil is in the atmosphere as a gas.
Oil continues to leak into the Gulf through cracks in the gulf floor. Much of the oil never made it to the surface and is still a threat to humans, sea life and marshes. Here is an elementary math problem. A volcanic oil gusher spewed 100,000 barrels of oil a day into the gulf.
A barrel of oil is around 45 gallons. After 100 days how much crude would have polluted the gulf. The answer is 450,000,000 gallons. Yes, oil dissolves in water naturally over time. Question is how time is “naturally over time”.
If 152 million gallons is three-quarters where is the 53 million gallons of oil? Evaporation or dissolving is not the same as GONE. If the oil evaporated then 50 million gallons of oil is in the atmosphere as a gas.
Sunday, August 1, 2010
Why are TTM paying taxes?
The taxpaying majority (TTM) ability to pay down the national debt, if it was not in the midst of a recession, has been kicked down the road to yet another unborn generations. These unborn generations are accumulating interest debt and will be born into debt slavery.
Its slowly becoming clear how a captured congress is borrowing more money from an international financial cartel (IFC) above and beyond what is needed to cover puffed budget deficits. These access bonds will have to disappear through an incident similar to the destruction of buildings on 9/11.
When law and order finally returns to Washington DC someday, computer records will reveal skeletons in financial closets. In the meantime access cash is being used to prop a synthetic stock market, which is churning volume through HFT.
Both political parties are participating in this treasonous, obscene fraud, which incrementally dissolves the constitution, US sovernity and purchasing power of the US dollar.
When the federal government barrows more money then it needs to cover deficit spending, it exposes the folly, pillage, plunder and obscenity of federal, state and local income taxes. Congress could borrow for example $3 quadrillion dollars from the foreign owners of the Federal Reserve System.
Congress could pay off the US national debt, and balances the global derivatives market. This action would be inflationary and deflationary at an accelerated pace instead of the boiling frog method currently utilized.
If all those that hold US government debt conducted a run on treasuries at fire sale prices global printing presses do not have the capacity to produce enough $100 bills to satisfy demand. Maybe oil interest is buying US treasuries out of London similar to how they bought gold around $800 per ounce before it crashed to $260.
Its slowly becoming clear how a captured congress is borrowing more money from an international financial cartel (IFC) above and beyond what is needed to cover puffed budget deficits. These access bonds will have to disappear through an incident similar to the destruction of buildings on 9/11.
When law and order finally returns to Washington DC someday, computer records will reveal skeletons in financial closets. In the meantime access cash is being used to prop a synthetic stock market, which is churning volume through HFT.
Both political parties are participating in this treasonous, obscene fraud, which incrementally dissolves the constitution, US sovernity and purchasing power of the US dollar.
When the federal government barrows more money then it needs to cover deficit spending, it exposes the folly, pillage, plunder and obscenity of federal, state and local income taxes. Congress could borrow for example $3 quadrillion dollars from the foreign owners of the Federal Reserve System.
Congress could pay off the US national debt, and balances the global derivatives market. This action would be inflationary and deflationary at an accelerated pace instead of the boiling frog method currently utilized.
If all those that hold US government debt conducted a run on treasuries at fire sale prices global printing presses do not have the capacity to produce enough $100 bills to satisfy demand. Maybe oil interest is buying US treasuries out of London similar to how they bought gold around $800 per ounce before it crashed to $260.
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