Inflation — The Most Unjust of Taxes

The Romans were masters of debasing currency, or coinage as it was back then

Clipped Roman Sil­ver coins — Debase­ment alive and well long, long ago

Most peo­ple, myself includ­ed, have been sly­ly brought up to nev­er think about infla­tion as a form of direct gov­ern­ment tax­a­tion. But that is exact­ly what it is. Make no mis­take about that.

You see long ago (in days of olde, when Knights were bold), it became clear that once you start tax­ing peo­ple above the for­ties rate, at about 45% and above peo­ple start to squeal. The Kings, mon­archs, princes, and Dukes need­ed rev­enues to fund their mani­ac wars. It became clear that you just can’t keep notch­ing up the rate of tax­a­tion — much to the both­er­a­tion of the rul­ing class­es, as they would just revolt — and that was pret­ty bor­ing sit­u­a­tion to deal with.

I did­n’t take long for them to realise that all they had to do what debase the cur­ren­cy. A tech­ni­cal term for remov­ing some of the mon­ey from the mon­ey itself. Tech­ni­cal­ly it’s called steal­ing. If you tried this they would throw you in jail.

Back in the day a wedge would be cut out of the coins that were actu­al­ly made of gold, sil­ver and mix­es there­of. If the lord of the manor need­ed more mon­ey he would just legal­ly” debase the coin (cur­ren­cy of the day).

Back then it was bleed­in’ obvi­ous that some­one had hacked a chunk out of the gold coin. The more sly rulers would actu­al­ly replace the met­als with oth­ers.

Today, how­ev­er the con­trol lords have reached the ulti­mate form of debase­ment Nir­vana. This is why it can­not last. We are all total­ly blind to the debase­ment. There are two ways that are over­lords man­age this debase­ment:

  • Mon­ey Print­ing (so-called Quan­ti­ta­tive Eas­ing)
  • Frac­tion­al Reserve Bank­ing

so to con­clude — Infla­tion is used and manip­u­lat­ed by Gov­ern­ment to it’s own ends for at least half a mil­len­ni­um and that is a hard drug to give up.

We no longer have a sound eco­nom­ic finan­cial sys­tem — It has long been replaced by a dys­func­tion­al Ponzi Scheme.

Make ready your plans.

© Copy­right MMXIII RagingGoldenBull.com

No Way Out for the Federal Reserve

No Way out for the Federal Reserve

No Way out for the Fed­er­al Reserve

There is no way-out of here for the Fed­er­al Reserve now.

After so much talk of taper (“Taper-Talk”) the Fed final­ly did­n’t fol­low-through. Why not? Because they can­not. That should be clear to any­one. There is not sur­prise here.

This is just talk. Schmoozing…Jive-talk…Rhetoric..Lies?

This is the clear­est sign yet that Bernanke’s poli­cies have failed. The roll­back deci­sion. He knows what’s com­ing and does not want to be around when it hits — and thus he is resign­ing (read — “get the hell out of Dodge!”) at end of year.

It is very, very, very sim­ple to under­stand:

  • Inter­est rates MUST stay low
  • If not the amount of bor­ing of US Gov­ern­ment will bank­rupt USA (it is already tech­ni­cal­ly bank­rupt)
  • So print mon­ey, buy bonds, keep rates low

There is a HUGE prob­lem with this approach — They will either want to stop or be made to stop some­time:

  • They will be made to stop by oth­er coun­tries aban­don­ing “incred­i­ble” US dol­lar (quite sim­ply no longer sound mon­ey)
  • They will want to stop to try to restore cred­i­bil­i­ty to the USD cur­ren­cy (not pos­si­ble when print­ing 85 Bil­lion USD per month — 1 Tril­lion USD per year)

When they stop (or the print­ing press is tak­en off them) the inter­est rates will rise.

The house of cards will fall.

© Copy­right MMXIII RagingGoldenBull.com

Video — The Creature from Jekyll Island (G. Edward Griffin)

This is a must watch video. If you real­ly want to know how we got here, in the finan­cial mess that we are in today, then you need to watch this video and under­stand exact­ly how we got here.

The Fed­er­al Reserve Sys­tem is the great­est scam of all his­to­ry — Because it is NOT:

  • Fed­er­al
  • a Reserve (there are no Finan­cial Reserves)
  • a Sys­tem (it is New York based — with the illu­sion of Nation­al pres­ence)

Mr Grif­fin sites sev­en rea­sons why the Fed­er­al Reserve Sys­tem shoul be abol­ished:

  • It is inca­pable of acheiv­ing it’s stat­ed objec­tives
  • It is a Car­tel — Oper­at­ing against the pub­lic inter­est
  • It is the Supreme instru­ment of Usery
  • It gen­er­ates our most unfair tax
  • It encour­ages war
  • It desta­bilis­es the econ­o­my
  • It is an instru­ment of Total­i­te­ri­an­ism

It’s long weigh­ing in at 105 min­utes — but Mr Grif­fin is a mas­ter pub­lic speak­er, a dili­gent researcher, and above all it is high­ly enter­tain­ing piece that every­one should hear.

And know this — You can watch/listen to this video much quick­er than it took Mr Grif­fin the years of painstak­ing research, or ever to read his weighty tome as the same (which is a MUST read, btw ;-)).

Split it into two parts if you must, or more, but make sure you under­stand all that is in this great, great lec­ture.

A clos­ing thougt from Mr Grif­fin:

Fed­er­al Reserve Sys­tem does not need to be audit­ed…  It needs to be abol­ished!

 

I hear you Mr Grif­fin!

Keep stackin’ — FPOW Far­leyB

© Copy­right MMXIII RagingGoldenBull.com

UBS to Pay Over $450 Million to Settle Libor Probe

UBS are get­ting ham­mered (as they should be):

ZURICHUBS AG (UBS) is close to a set­tle­ment with U.S. and U.K. author­i­ties and is expect­ed pay more than $450 mil­lion over claims that some of its employ­ees report­ed false Libor rates to boost the bank’s prof­it, the New York Times report­ed Sun­day, cit­ing anony­mous offi­cials briefed on the mat­ter.

If the Zurich-based bank agrees to the deals with var­i­ous author­i­ties, the col­lec­tive penal­ties would yield the largest total fine to date relat­ed to the rate-rig­ging inquiry and would increase the like­li­hood that oth­er finan­cial insti­tu­tions would face stiff penal­ties, it report­ed.

UBS was­n’t imme­di­ate­ly avail­able to com­ment on the report.

Author­i­ties dealt their first blow in the rate-rig­ging case in June, when U.K. bank Bar­clays Plc (BARC.LN) agreed to a $450 mil­lion set­tle­ment.

U.S. offi­cials are hop­ing to com­plete a deal with UBS by the mid­dle of the month, accord­ing to offi­cials briefed on the mat­ter, the paper report­ed.”

see the full sto­ry:

http://www.nasdaq.com/article/ubs-to-pay-over-450-million-to-settle-libor-probe-20121203–00132

 
© Copy­right MMXII RagingGoldenBull.com

Video — Paul Grignons What the Heck is a Bailout?

Paul Grignon has pro­duced anoth­er infor­ma­tive and some ways enter­tain­ing video about the mon­ey sys­tem called What the Heck is a Bailout?. This is only 9 min­utes long and well worth a watch to explain what these terms “bailout”, “debt” and “mon­ey print­ing” real­ly mean.

Also check­out his Mon­ey as Debt site and oth­er work and give him some sup­port if you can — we all need to play our part to help straight­en things out here…An impos­si­ble task I know…

© Copy­right MMXII RagingGoldenBull.com