The Great Credit Crash

With the passing of another 4th of July it is a travesty for our educational system where millions of Americans still can’t equate why we celebrate the 4th of July in the first place. It should be noted that our schools ought to make it mandatory for all elementary and secondary high school students to not only read the Federalist Papers but be required to write their own synopsis of why they are so important for America and relevant even today. So many today are oblivious to the real reason this past holiday is so important. Instead many just acknowledge it is just another day off. They are convinced that all is well and good as they scoff down hotdogs, burgers and beer. In the mist of the hottest summer on record, be forewarned all you climate change deniers, it is time to wake up and smell the coffee. All is not well and good. Hidden behind a cloak of deception by the media and even our elected officials are turning the publics attention away from the catastrophe that lies in wait.

There are many devastating scenarios that could in an instant decimate not only bank accounts, but uproot lives and livelihoods. Many a natural disaster from a falling meteorite, typhoon, earthquake, tornado, hurricane, and other natural disasters all have occurred and will continue to disrupt the flow of humanity. When they do occur and many are becoming more frequent they all have the potential for a catastrophe of biblical proportions. Is humanity prepared for the next big one? Not in the least. The United States has yet to wake up to the facts that we are so ill prepared for any eventuality even though our most trusted leaders of state say we are. The point of the matter being is that when ever a disaste unfolds the chances of preventing or mitigating the after effects is next to impossible.  

As America celebrated this past holiday we still ought to be mindful that we continue to be faced with homegrown terrorism let alone form a rouge outside organization, nation, or individual. Meanwhile, the financial and economic troubles in Europe, Greece, China, Japan, Russia and now Puerto Rico threaten to not only destabilize the economies of the rest of the world but set the stage for more global conflict. It is a common fact that too many nations are so immersed in trillions of dollars of debt including the United States. The point of no return has been reached especially here in the United States. Our debt is at a point that it will never be repaid within the current confines of failed central bank policies including the Federal Reserve. At this juncture the threat that the US sending global markets into the abyss of financial chaos is as real as it gets. 

The biggest concern is that both the government and the Fed have been allowed to create money whenever they wanted it. Our fractional reserve banking system is so loaded with pitfalls it is a miracle that the financial disaster hasn’t hit yet. Today, they are both accomplices in a real authenticated money laundering and counterfeiting scam that continues to fleece not only every American but every nation that trusts the financial system of the United States and the sanctity of the US dollar as the world’s first currency. 

To keep the money flow relatively stable the issuance of taxes to some degree removes some currency from circulation. The banks, in this instance the Fed meanwhile to keep the money gravy train rolling along they loan freshly created money back to the government.  Think back to all those QE programs the Fed unleashed into the financial markets. All that did was put the US deeper in debt. When it comes to interest on all that loaned money this also keeps the fed and major banks gray train to keep right on rolling along.

It has to be noted that the US dollar hasn’t been backed by gold or silver since the 1930′s. It is only the confidence of the people to be used in commerce. Essentially the dollar is a fiat currency. We have to remember that with all fiat currencies through-out history confidence in that currency will eventually fail. Today, that fiat currency is the US dollar and history has shown that all fiat currencies invariably lead to inflation, then hyperinflation and finally total collapse. This is the fatal flaw in the uncontrolled unbacked paper notes the Fed and our government pass off as American currency, the dollar.

 Since 2008 trillions of freshly printed unbacked currency has been put into circulation in a failed effort to stimulate the US economy. Yet,  every time the Fed unleashes more currency this only serves to reduce the purchasing power of those dollars already in your wallet. It is now no wonder why nations from China to Russia and the United Nations have called for the dollar to be replaced as the world’s reserve currency. Many Americans are now putting their wealth into gold and silver. But, unfortunately many don’t even realize that back in the 1933 the effect of Executive Order 6102 was to criminalize the possession of monetary gold by any individual, partnership, association or corporation. We are no longer in jeopardy by purchasing gold or silver but if history is any indication the government can once again confiscate your own gold and silver. What is worse even now owning gold and silver may not save one from the impending collapse of the US dollar.

To shed light on how we reached this point and still be recognized as the wealthiest nation we have to first realize how the United States has managed to attain the wealth that is perceived by other nations. There are three ways for a nation to acquire wealth. The first is by war. History is filled with nations waging war only to plunder those opposing nations. Essentially, this is just plain robbery. Just look at what we have done in the Mid-East. It is all about oil and the profits they bring. The second way to attain wealth is by commerce. All one has to do is realize what NAFTA has done and what this new TPP trade agreement will do. In essence it is all about cheating to attain an unfair advantage for more corporate profits. Finally agriculture especially with Monsanto leading the charge on practically every source of food that is consumed. The GMO food sources has only driven the pharmaceutical industry to record profits while creating more health related illnesses for the population in the process. This is how the United States has managed to create the illusion that we are the wealthiest nation. A real house of cards. 

The United States has expanded the supply of money by over 400% in just the past few years. With so little tax revenue flowing back to the government has created the inflationary trends we are seeing today. With over $20 Trillion in debt questions have to be asked especially by our President and congress on how to come up with a workable plan to repay it’s debt while at the same time curb inflation, stimulate job growth with living wages, and restore the confidence of the rest of the world that the United states does have the means to restore confidence in the US dollar?

Just as Greece has imposed drastic restrictions on ones ability to tap into their own bank account House Bill H.R. 2847 has made it extremely difficult if not impossible for many Americans to get just some money out of their own bank account. Today, major banks all have pre set limits on how much one can withdraw form their own account.  Sooner than latter the US dollar will face it’s Waterloo. And when it happens all hell will break loose. Now another question has to be asked with concrete solutions on how to prevent this most imminent threat. And, yet the President or congress  has even mentioned a collapse of the dollar and what would effectively stave of this real and clear present danger to every American and every economy around the world. The threat is real and growing every day that we don’t recognize the warning signs that are all around and don’t take immediate steps to intercede. 

The great credit crash may not happen yet. But, if we continue with the same monetary policies, trade agreements, and general lack of concern that a devastating life altering change will happen by our continued callous attitudes, just like all your climate change deniers, the financial world will suffer the most debilitating collapse in history.