Dollar backed by Debt

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.