Posts by politicket

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  • Republicans Back Down, Ending Crisis Over Shutdown and Debt Limit

    10/16/2013 8:10:39 PM PDT · 131 of 338
    politicket to lonestar67

    I used to tell everyone “I don’t care how much the government taxes me or charges for fees. I’ll just work harder and SHOW THEM!!!”

    I’ve learned since then that we are but willing slaves in a world-wide debt-based economic system.

    I’ve learned that there are those who we would call “filthy rich” that don’t really care how much currency they have. They understand something even deeper.

    They know that the true measure of power in a sinful world is how much of the future labor of a citizenry that you can control.

    Think about it. What would I do if I wanted to control your future labor?

    I would do things like establishing a political system where I’m the largest contributor to those that will sell their souls for power. Where I’m the largest holder of media assets. Where I encourage activities for the masses where two things are pitted against each other (Republicans and Democrats for example) so that people can exert their excess non-labor energy towards the laughable “good fight” when I already know the outcome.

    If I controlled this infrastructure then I could threaten the political leaders of every country in the world that I would literally shut down all of the financial clearinghouses immediately if they didn’t implement my desires. I could create economic good times like the “roaring 20’s” and “roaring 2000’s” where I would let anyone with a pulse sign a promissory note - knowing that I was going to collapse the money supply a few years later to steal all of the underlying assets.

    Let’s get real. Everyone on FreeRepublic is complaining, threatening to march, threatening to “throw the bums out”, etc.

    If I controlled what happens with the output of your future labor then I would just laugh at you - while you fought the enemies that I had set up beforehand to wear you out.

  • (vanity) Dear GOP base, we don't need you anymore. Now go back to the fields and work peasants!!!!

    10/16/2013 8:07:57 PM PDT · 40 of 42
    politicket to WomBom
    I will work like the devil, Lord forgive the analogy, to defeat every last one of you.... Starting with you Mr. Mitch.

    I used to have that same approach in everything. I told everyone "I don't care how much the government taxes me or charges for fees. I'll just work harder and SHOW THEM!!!"

    I've learned since then that we are but willing slaves in a world-wide debt-based economic system.

    I've learned that there are those who we would call "filthy rich" that don't really care how much currency they have. They understand something even deeper.

    They know that the true measure of power in a sinful world is how much of the future labor of a citizenry that you can control.

    Think about it. What would I do if I wanted to control your future labor?

    I would do things like establishing a political system where I'm the largest contributor to those that will sell their souls for power. Where I'm the largest holder of media assets. Where I encourage activities for the masses where two things are pitted against each other (Republicans and Democrats for example) so that people can exert their excess non-labor energy towards the laughable "good fight" when I already know the outcome.

    If I controlled this infrastructure then I could threaten the political leaders of every country in the world that I would literally shut down all of the financial clearinghouses immediately if they didn't implement my desires. I could create economic good times like the "roaring 20's" and "roaring 2000's" where I would let anyone with a pulse sign a promissory note - knowing that I was going to collapse the money supply a few years later to steal all of the underlying assets.

    Let's get real. Everyone on FreeRepublic is complaining, threatening to march, threatening to "throw the bums out", etc.

    If I controlled what happens with the output of your future labor then I would just laugh at you - while you fought the enemies that I had set up beforehand to wear you out.

  • Ugh. John McCain Rips Ted Cruz Once Again Before Senate Votes for Budget Plan (Video)

    10/16/2013 7:01:06 PM PDT · 38 of 50
    politicket to americas.best.days...
    Interesting premise.

    Thank you.

    I voted for GWBush...complained about several things.

    I've been a registered Republican for decades, but did not vote for George W. Bush because I didn't see a God-fearing man. That became even more evident when he helped push through TARP. Remember, massive deficit spending in 2008 was during his watch...

    I bought a house...didn’t like some things about it.

    An object is not a person. It doesn't really matter if you didn't like something. Your debate path kind of falls apart here...

    I chose a restaurant...had to complain about the service.

    You're comparing service in a restaurant to who leads the "free" world? Okay...

    I bought a movie ticket once...and didn’t really like the movie all that much.

    Seriously? You might want to rethink your debate strategy and try again...

    I listen to Mark Levin frequently...sometimes I disagree.

    Mark Levin is a talk show host who is paid to create discussion and controversy. It builds ratings.

    I became a Catholic...and yet I struggle with some issues.

    God has those answers if you seek His face.

    I voted for McLame/Palin in 2008...even though I despise him.

    Now we're down to the real point. People voted for the lesser of two evils instead of fearing God. Does anyone really believe that God honors that? Scripture doesn't teach that to be the case.

    Complain when necessary, praise when necessary. Its one or the other, isn’t it?

    Not really. Instead we should correct when necessary and edify continually according to God's revealed Word in the Bible.

  • Ugh. John McCain Rips Ted Cruz Once Again Before Senate Votes for Budget Plan (Video)

    10/16/2013 6:31:39 PM PDT · 32 of 50
    politicket to Nuc 1.1
    Nonsense. We would have a dim in the seat now. McCain is at least 10% better than a dim.....

    Is he?

    So you would rather have a "Republican" that mocks God and becomes the enemy versus a Demon-rat that we know going in is the enemy?

    Interesting...

  • Ugh. John McCain Rips Ted Cruz Once Again Before Senate Votes for Budget Plan (Video)

    10/16/2013 6:25:22 PM PDT · 29 of 50
    politicket to SeminoleCounty
    A vote for McCain is a vote for a Liberal. I dont vote Liberal

    I don't mean this to sound as harsh as it's going to...

    A vote for McCain was a vote for a man who has no fear of God. It was a vote for a man who will not bow his knee to God.

    We can all lament the events tonight - but what exactly do we expect when we vote out the fear of a Demon-rat getting in versus the fear of God? God will give us a righteous man if we turn to Him.

  • Ugh. John McCain Rips Ted Cruz Once Again Before Senate Votes for Budget Plan (Video)

    10/16/2013 6:13:25 PM PDT · 23 of 50
    politicket to Huskrrrr
    When are we supposed to stop voting for RINO candidates?

    Proverbs 1:7 has the answer for all of us regarding this question.

  • Ugh. John McCain Rips Ted Cruz Once Again Before Senate Votes for Budget Plan (Video)

    10/16/2013 6:09:23 PM PDT · 21 of 50
    politicket to digger48
    I scratched his name out.

    LOL!!!

  • Ugh. John McCain Rips Ted Cruz Once Again Before Senate Votes for Budget Plan (Video)

    10/16/2013 6:05:34 PM PDT · 16 of 50
    politicket to digger48
    The old Geezer was part of the package.

    Sorry. No complaining tonight. The old Geezer was at the top of the ticket.

    :-)

  • Ugh. John McCain Rips Ted Cruz Once Again Before Senate Votes for Budget Plan (Video)

    10/16/2013 6:03:22 PM PDT · 14 of 50
    politicket to eaglescout1998
    I voted for Sarah Palin.

    No complaining for you either, since John McCain - yes, that John McCain was at the top of the ticket.

    :-)

  • Ugh. John McCain Rips Ted Cruz Once Again Before Senate Votes for Budget Plan (Video)

    10/16/2013 6:02:21 PM PDT · 11 of 50
    politicket to madison10
    I *really* voted for Sarah Palin. I thought after two years she would be President. So there.

    No complaining for you...

    :-)

  • (vanity) Dear GOP base, we don't need you anymore. Now go back to the fields and work peasants!!!!

    10/16/2013 6:00:53 PM PDT · 9 of 42
    politicket to Kolath
    Now go back to the fields and work peasants!!!!

    Sorry...gone Galt.

  • Ugh. John McCain Rips Ted Cruz Once Again Before Senate Votes for Budget Plan (Video)

    10/16/2013 5:59:52 PM PDT · 5 of 50
    politicket to servo1969
    Okay...confession time...

    How many here voted for McCain as the lesser of two evils?

    If your hand is raised then no complaining for you...

  • US debt ceiling: Senate passes US budget deal (81-18)

    10/16/2013 5:50:37 PM PDT · 8 of 43
    politicket to tumblindice
    Democrat. Republican. Same-same.

    It's interesting to sit back and watch people take sides in the two-party political system...kind of like picking our favorite sports team to root for instead of actually doing something ourselves.

    What's even more interesting is to look behind the scenes and watch the big banks pull the puppet strings - putting on a spectacular show for the cheering and booing fans...

  • Senators Casey, Toomey Frustrated By Stalemate

    10/15/2013 8:11:43 PM PDT · 4 of 41
    politicket to Tailgunner Joe
    The "little secret" that Washington doesn't want anyone to know is that ObamaCare has nothing to do with health care.

    The Social Security and Medicare trust funds are flat broke. They have more outlays than receipts.

    The US is about to spiral into a deflation depression. Massive deficit spending (debt-money creation) is the only thing that has pretended to keep us out of it thus far. The Federal government relies on taking excess receipts from trust funds and purchasing US Treasury securities with them. That option does not exist anymore until a new HUGE "trust" fund is created. That's what the ACA is all about.

    In other words, the Senators know full well that we face economic ruin very soon if ObamaCare is not pushed forward. They know that they can't negotiate out. Our nation of debt addicts has run out of time.

  • China buys up Britain as politics takes a back seat

    10/15/2013 8:06:11 PM PDT · 2 of 2
    politicket to TexGrill

    China is buying up Great Britain in an effort to keep Western Europe from a deflationary depression. If it hits then China’s goose is cooked.

  • China Got into Bed with the U.S. Treasury and Can’t Get Out

    10/15/2013 8:04:31 PM PDT · 5 of 8
    politicket to TexGrill
    China is praying that Western Europe and the US don't descend into an inflationary spiral that is currently being kept at bay by massive deficit spending (debt-money creation).

    If deflation hits then China will need to seek large trade deals with India and Brazil - devaluing the yuan and risking an internal civil war.

    Because of all of this, China absolutely loves buying our debt - even if the current propaganda campaigns say otherwise.

    Watch the bankers. That will tell you what the politicians are about to do.

  • Government shutdown unleashes racism

    10/15/2013 1:21:13 PM PDT · 25 of 40
    politicket to jimpick

    The point is to show the stupidity of their rhetoric. Nobody in this country is going to starve to death. When is the last time anyone has heard of that happening?

  • Government shutdown unleashes racism

    10/15/2013 1:02:50 PM PDT · 15 of 40
    politicket to 2ndDivisionVet

    Hey Roger Simon - I’ll make you a deal. I will personally take care of any baby formula needs and/or starving people in my neighborhood. They won’t need the government and won’t go hungry. Are you in for your neighborhood? Or are you just blathering, like usual?

  • Reid's parting shot to Boehner: Pass our bill, or it's a shutdown

    09/27/2013 5:56:12 PM PDT · 49 of 110
    politicket to Sub-Driver

    The Republican House will pass it - and it will have nothing to do with health care.

    The dirty little secret is that the Social Security and Medicare “trust” funds now have more outlay than they do receipts. This means that the US government can no longer play the game of debt-money creation through using excess to purchase inter-departmental Treasury securities.

    The government is attempting to create debt-money as fast as it can to stave off a deflationary collapse. The international banks have them (as well as places like the EuroZone, Japan, and China) in a head-lock.

    The reason both Republicans and Democrats will eventually pass this is to create the mother of all “trust” funds - and continue creating debt-money from it. They’ve been able to accomplish some of the same end game through the issuance of student loans, but they need something larger.

    We need to stop having a nation operating on debt-money. Our money supply should not be based on promissory notes.

    The last President to issue an Executive Order to create non debt-based money was John Kennedy - in the Spring of 1963.

    Folks, the world banks run the show. History has shown it repeatedly. That’s why the ‘beloved’ Republicans continue to cave, time after time.

    As long as we insist on the ‘Wimpy’ economy of promising our future labor in trade for a particular widget today then the more ruinous the future of our children becomes.

  • Students, faculty to protest Bush award in Denver

    09/09/2013 12:09:32 PM PDT · 19 of 21
    politicket to Steve_Seattle
    The University of Denver is a private university affiliated with the Methodist church.

    The University of Denver is a private school that has absolutely no affiliation with the Iliff School of Theology.

  • Where's the beef? Fast-food workers in walkout to protest low wages [Living Wage Barf]

    07/29/2013 7:01:47 AM PDT · 20 of 24
    politicket to ClearCase_guy

    I’ll see your $8M and raise you $8M. $16M/hr. - that’s the ticket! (Do I hear $32M?)

  • What does a Roman Catholic need to do to join the Orthodox Presbyterian Church?

    07/26/2013 3:43:01 PM PDT · 19 of 279
    politicket to Alex Murphy

    Which OPC are you affiliated with? We go to one in the Denver, CO area.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/23/2013 8:17:55 PM PDT · 61 of 61
    politicket to BfloGuy

    P.S. - Sorry for typos, etc. I’ve been very busy as of late, and had to type fast and skip proof-reading... :-)

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/23/2013 8:15:51 PM PDT · 60 of 61
    politicket to BfloGuy
    I cannot agree with that. To say that something is backed by something else, it must be redeemable on the spot for that something else.

    It's been a great debate, but I think we're both pretty set in our economic hypotheses.

    There are a myriad of things that are backed by that which cannot be immediately redeemable. If you believe that currency is money (or even pretending that gold is money) then any type of loan would be but one example.

    Money is only valued for the goods that it can buy.

    "Money" is a debt-based economy cannot but anything - only "currency" can. The currency is backed by a claim on the promise of future labor. When you buy a loaf of bread from the grocery store you are giving some of the claims that you possess to the store. The same holds true for any purchase made with currency. Credit card purchases created new "money", since they create new debt.

    It is a commodity differing only from other commodities in that it is not consumed but merely transferred.

    "Currency" could loosely by thought of as a labor commodity. It is true that "currency" is just transferred, with the Fed being the only ones that can issue more "currency" (not "money") into the economic system. Issuing more currency does not increase the nation's debt money supply.

    Future labor is immaterial.

    Actually, it's very material. And if you understand what I'm writing then what's currently happening all over the economic world makes perfect sense. One example: why did the Japanese yen spike drastically upwards right after the tsunami that hit? With your economic theory it should have plummeted.

    The yen spiked because the economic area affected by the nuclear fallout lost almost all of its potential for the promises of future labor that had been made against it. In effect, the area went bankrupt. This created a lot less overall debt in Japan, which meant the "money" supply shrank drastically. Less money against a level of goods and services cause each unit of money to be worth more. The yen "currency", which is backed by "money" spiked as a result.

    The labor theory of value was disproved over a century ago.

    My economic hypothesis has absolutely nothing to do with the traditional "labor theory of value". That belief held that things were worth more if more labor was put into producing them. That's ridiculous. There was also a belief that all labor was of equal value. That too is preposterous.

    I'm simply teaching how debt-based money works, in a very systematic way, hopefully. :-)

    I fear you have become enamored of the New Monetarists [and their theories are seductive] and will go down a blind avenue.

    I've been writing about debt-based economics since 2008 - and many here on FR know that. My hypothesis has remained consistent. It was used in 2007 to see what was coming across the world. Because of that, I took my family completely to cash in 2007.

    There were many then (and there still are) that keep preaching about the US dollar being "toilet paper" and going to zero - while gold and silver would skyrocket. I have consistently taught, based on the hypothesis that I've laid out, that the US dollar would actually strengthen over time and that gold and silver would come back down to minimal levels. This isn't because I believe in the US dollar. It's because of what it's backed by - and the fact that the world has entered a deflationary spiral.

    Your economic theory has no support over the last five years - not trying to pick on you, but trying to make a point. There is no monetary inflation. Governments are doing absolutely everything they can to create new debt as quickly as possible. What do you think "Cash for cars" was all about? How about TARP? How about student loans given out to anybody still breathing? Don't you wonder why Republicans support every debt measure that comes down the pipe? Do they know something that most people don't?

    I encourage you to take a look at the Austrians. They have the only rational and logical theory of money that I've read.

    I actually like many things about Austrian economics - except for the fact that it's completely useless in analyzing a debt-based monetary system. It would be great if we had a system where money = currency.

    The Austrian's believe that there must be a tremendous reduction in the amount of outstanding debt or the world will implode.

    Let's take a giant leap and pretend that all debt were paid off. What would happen? Disaster in a debt-based economy. The "money" supply would drop to zero - since there would be no more promises of future labor - therefore no currency that can make claims on it.

    What I've written is hard to get one's head around - because it's the exact opposite of what people have been told and taught.

    I have written economic articles for quite some time, and have a readership that includes many high-level professionals in the financial community. I've been getting a lot more since the price of precious metals began dropping. They're beginning to see what I've been writing about. I would give the name of my newsletter, but don't believe in "pimping my blog" on FreeRepublic.

    Think about what I've written. Think about what's happening in the world. Play a "what if" game with it. If it doesn't stand the test of time then discard - I would. Adhering to "Austrian" economics right now is going down the wrong path - in my opinion.

    Cheers.

    Thanks for the great discussion...

  • Shutdown looms over ObamaCare

    07/23/2013 7:42:34 PM PDT · 69 of 86
    politicket to 80sReaganite
    Republicans will cave...and not for the reasons most think.

    ObamaCare has nothing to do with health care. It is meant to be a new Federal government "trust fund" to take over the self-issuance of US Treasury securities that Social Security and Medicare used to provide. Both of those "trust funds" now have more outlays than receipts.

    The Republicans will cave because their leadership knows that the monetary Ponzi scheme needs to keep going in this nation, or we fall headlong into the Greater Depression.

    This is the same reason Republicans will continue allowing the Federal deficit to balloon. They're scared of what's coming - not just in the US, but world-wide.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/23/2013 8:35:10 AM PDT · 58 of 61
    politicket to ScottfromNJ
    The dealer gets a cut, and although the funds may temporarily sit in accounts, the funds are not permanently under the control of the banks. The funds are eventually spent as directed by law by the legislative branch

    The Primary Dealers by US securities outright during Treasury auctions. The Federal government receives currency from these auctions to use for its purposes. The Primary Dealers are then free to hold the securities and do whatever they want with them.

    At certain periods, the Fed will purchase some of these securities from the Primary Dealers in order to 1) circulate more physical currency into the market - since banks need new dollar bills for their customers, and 2) to unethically prop up the big banks.

    In case #2, the currency that the Primary Dealers are paid by the Fed mainly stays sitting in the Dealers accounts at the Fed. Look at the weekly H.4.1 Fed report - Section 8. It shows that there are over $2.14 trillion in deposits just sitting there - collecting 3% interest.

    There is no governmental law telling the Primary Dealers how they must use their securities and interact with the Fed after an auction has taken place.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/22/2013 9:13:52 PM PDT · 56 of 61
    politicket to BfloGuy
    The American dollar is backed by nothing. Once upon a time, it was backed by gold. You could march up to the teller's window and redeem your paper dollars for their defined weight in gold.

    Respectfully, you're wrong. Every monetary unit that has ever existed has been backed by the same exact thing - and it's not gold. It's labor.

    A biblical economy had currency issued (sometimes consisting of gold and silver) that was based on the completion of labor. You worked, and you got paid - where the currency you were paid was backed by the labor you just completed. Not all labor was equal - that's Socialism. But is was completed labor. This works great, since there is only so much labor that a society can complete in any given time period. Also, the work product tends to add to the overall economy so that it grows. The amount of currency may grow over time, but prices remain fairly stable, since the amount of goods and services grows along with it. Another interesting thing is that "money" and "currency" are synonymous in a "complete labor" economy.

    A debt-based economy is centered around "money" being promissory notes. There is a disconnect with currency, since it is backed by those same debt instruments. "Currency" in a debt-based economy is backed by a claim on the promise of someone's future labor. "Currency" is a claim on "money" - but it is not "money".

    What would happen if all debt in our nation either defaulted, or was paid off? Currency would cease to exist - since there would be no more claims on future labor. Do you now see why both Demon-rats and Republicans will always seek new debt? They have to in a debt-based economy - or the nation will face a far Greater Depression.

    What is the solution? Is it to have currency backed by gold and silver? No. It's to have currency backed by the completion of labor instead of claims on the promise of future labor. I have no problem minting currency out of gold or silver - buts that's completely removed from the real issue.

    Start focusing on what truly backs all currency throughout history - labor. It's just a matter of whether the currency is one of a free people - or one of slaves.

    We are all implicit monetary slaves in this country - even if we are supposedly "debt free". The government has imputed claims on our future labor - and the labor of untold generations that will follow us.

    Until I can do the same with these securities; to claim that my dollars [either of the "money" kind or the "currency" kind] are "backed" by them is untrue.

    Again, I go back to my previous points. People are so fixated on precious metals that the miss the real point. England had a currency system called "tally sticks" that worked beautifully for over 600 years! These notched sticks of wood were not gold or silver - but they did represent labor that had been completed. They were not based on debt. Tally sticks were used by an economically free people. King William and Queen Mary (mainly William - who used Mary's claim to the throne) started debt-based money in the 1590's. Over time, England sought to force the same concept upon the American colonists. Our forefathers understood the danger. We no longer do.

  • Why I’m Draining My Savings to Stimulate the Economy (not satire?)

    07/22/2013 8:56:13 PM PDT · 31 of 32
    politicket to snowrip
    I started buying gold and silver 8 years ago; it’s worth one hell of a lot more now than any other investment I have.

    I applaud you for purchasing those commodities at a low price. I've never said not to hold gold and silver. In fact, I believe everyone should put 10% of their assets into precious metals as a hedge against the current deflationary economy. If the economy turns inflationary then those holding will do quite well. Not so much over the long term in a deflationary environment.

    Keep riding the price down if you want to. They are your assets to manage.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/22/2013 8:53:21 PM PDT · 55 of 61
    politicket to ScottfromNJ
    Yes it does. Once treasuries are exchanged for FED created new currency that new currency is used to fund government operations and finds it’s way into the economy. It’s called debt monetization.

    A few points here...the Fed only purchases Treasury securities from Primary Dealers (select large banks). They do not purchase anything directly from the US government. Therefore, any currency used in the purchase goes to banks - not the government.

    A great majority of funds issued from Fed purchases of Primary Dealer securities stays in the Primary Dealer accounts at the Fed. It is not being circulated back in to the economy. This can be very easily seen by looking at Section 8 of the Fed's weekly H.4.1 report, which shows its balance sheet. You can look in the Liabilities area and see that "Term deposits held by depository institutions" is currently sitting at around $2.14 trillion dollars (from the 7/18/13 release).

    Debt is "money" in a debt-based economy. "Currency" (both physical and electronic) is what is used to transact business - and is backed by debt.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/21/2013 8:52:06 PM PDT · 51 of 61
    politicket to BfloGuy
    Yes. That's called "making new money". Why the heck else would they do it?

    They do it because currency is used for trade. However, that currency is backed by the securities (i.e. debt). "Money" and "Currency" are two different things in debt-based economics (even though they're treated the same almost everywhere. "Money" and "Currency" are only equal to each other in an economy were the currency is not issued against debt (none exist like that anymore).

    Debt-based money is actually the verbal and physical promissory notes that are entered into within an economy. Some currency is issued against these notes and used to pay for things - however, that currency is not money - it is backed by money (debt). [Yes...I know...that definition would get me laughed out of the Ivy League schools...but it is how things work in reality]. You keep wanting to believe that central banks issue money. They don't. They issue currency.

    When the bureaucrats in Brussels finally get the OK to issue Eurobonds, the last shreds of monetary discipline will be lost. That is, of course, what they want. The permission to print freely.

    Actually, things would improve dramatically - for a time - in Western Europe if they issued Eurobonds. That would give the Eurozone the ability to create massive amounts of new debt in order to pretend they're not in a deflationary spiral.

    M1 has increased by 60% in the last three years. That's real money in circulation that the Fed has created or enabled to be created despite your insistence that it hasn't. Are you going to sit there and tell me that the stock markets aren't in a bubble?

    Take a look at the Fed's H.4.1 report for July 18, 2013. Go to section 8 and look at the Liabilities section of the balance sheet. You'll see that there is roughly $1.15 trillion outstanding in Federal Reserve notes (currency). You'll also see under the Assets in Section 8 that there is roughly $2 billion outstanding in coinage (as a side note - do you find it curious that coins are assets, while FRN's are liabilities?).

    The latest M1 chart is shown to be roughly $2.6 trillion. In other words, there are a lot of bank deposits that are the same currency (physical and/or electronic) getting reused to fund new debt. I.e. - I sign a promissory note. You give me $100. I deposit that in my bank. My bank reuses some of that to fund a new loan, etc., etc. etc. The checking deposits are showing up due to new debt creation - not from the Fed pumping the currency supply.

    Yes, the equities market is in a bubble. Companies are doing stock buybacks, which is lifting the price of their remaining shares outstanding. The market will correct when the Fed removes the heroin of QE.

    Wish I'd had some real estate to sell you in 2007.

    I wouldn't have bought it. I saw this coming (in fact, wrote about it). I went entirely to cash in December 2007.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/20/2013 9:47:55 PM PDT · 47 of 61
    politicket to JustTheTruth

    P.S.: I’d also like to hear specifically how I’m talking in “circles”? I think my posts have been pretty straight to the point.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/20/2013 9:46:46 PM PDT · 46 of 61
    politicket to JustTheTruth
    You are talking in circles. Central Banks DO create money. Not worth arguing that.

    You're just plain wrong. Tell me how the Fed does that - and please be specific. You might want to utilize the H.4.1 report in your response, since it contains their weekly balance sheet.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/20/2013 8:54:28 PM PDT · 44 of 61
    politicket to BfloGuy
    Good thoughts, but I disagree with many of them...

    Ah, but that isn't for lack of trying. The Bank of China is still cranking up the [figurative] printing presses, but the Chinese people just don't want to borrow. Ditto the Europeans -- why borrow when there's such a low prospect of profits?.

    There is always a market for people wanting to go into debt. The Bank of China does not issue new debt (and they don't print money) - they issue currency against Treasury securities.

    The Europeans are in a very bad way. They're all stuck on the Euro - and yet there is no way to issue "federal level" Eurozone debt. They can only create new debt on an individual nation basis - and they don't trust each other to all work together in the seeking of that new debt. That's why we hear so much about the desire to create a "Eurobond" that simulates what we have with our Federal government issuing debt that promises the future labor of the individual citizens of the various states.

    Nonetheless, just as in the U.S., where business won't borrow, either, the inflation will show up in assets: stock market, land, housing, art, etc..

    How will this inflation produce itself? New debt issuance is struggling to stay ahead of the combination of debt repayment and bankruptcies. Monetary inflation is only possible through massive amounts of new debt. What happens when this stops? The equities market crashes and the US dollar index skyrockets - while gold and silver fall through the floor.

    Many businesses aren't borrowing because they're scared and many of the rest can't qualify anymore.

    We're a ways off from deflation. And I say that with disappointment. Deflation is a good thing -- it means the value of the currency is rising.

    No, deflation is already here - being hidden by Federal debt at the level of 2 Trillion per year (even though they have instituted fancy bookkeeping in the last few years to pretend its not that high).

    Deflation is a very, very bad thing. Buyers stop purchasing - knowing that the price on a widget will most likely drop some more in the coming days. Those with existing debt get slammed, as job losses mount, pay decreases, and work weeks shrink. They become trapped. Bankruptcies only add to the problem, by decreasing the money supply further. Everything feeds on itself - which is why it's known as a deflationary spiral. Japan has been trying to get out of theirs for 25 years...

    Rising currency during deflation just means that the money supply is shrinking against a set of goods and services - making each unit of currency possibly purchase more. However, their can be segments of price inflation, as companies get to the point where they have cut everything to the bone - and can either raise prices in one last attempt at solvency - or go bankrupt.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/20/2013 5:54:42 PM PDT · 42 of 61
    politicket to Errant
    Wow, you can readily tell when the "Age of Obama" began in this chart.

    The following is not meant to defend Obama. He is a horrible president...

    The Fed's ZIRP policies are not dictated by the US government. Instead, many of the government's actions are caused by the FED.

    Also, don't forget that it was President Bush and the Republicans who partnered with the Demon-rats and got the first TARP bill passed.

    What if you were president of the US and knew that you had two choices:
    1) Keep debt levels somewhat low and see the nation go through a Greater Depression on your watch, or
    2) Start creating new debt as fast as possible through all means at your disposal (after all, the US government is somewhat limited in its ability to create new debt, since it has to fund all loans that it originates). This would create the illusion that things are getting better, while making the entire citizenry even more debt slaves to the largest international banks.

    Almost all politicians, Republic and Demon-rat alike will choose option 2. Bush did. Obama did. Remember "Cash for Clunkers"? Do you see all of the federally-subsidized road construction projects going on all over the US right now? How about all of the student loans that are being distributed like candy?

    If I was president I would immediately seek to abolish the Fed, and have the currency of the US handled by the US Treasury - and not be debt-based. Currency would only be paid out and circulated based on the completion of underlying labor.

    Of course, the international banks could respond to that by immediately shutting down their financial clearing houses and refusing to process any transactions. This would collapse the world economy overnight.

    So...how much economic power does the president really have? The answer is: not much. The bankers control the game, and can take their ball and go home if we all refuse to play by their rules. That's a pretty bad place to be. We stopped being the "Land of the free" a long, long time ago - when we adopted debt-based currency.

  • Why I’m Draining My Savings to Stimulate the Economy (not satire?)

    07/20/2013 1:57:12 PM PDT · 14 of 32
    politicket to GeronL
    more like - spend it while its still worth SOMETHING

    Looked at the US Dollar Index lately? It is worth something - unlike the losses people are taking who bought gold and silver recently.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/20/2013 1:54:02 PM PDT · 38 of 61
    politicket to Errant
    P.S.: I've been attempting to teach gold bugs since 2008 that gold and silver are simply commodities in a debt-based monetary system, and that they will not "take off for the moon". However, many don't understand fundamental economics, and keep buying the "falling knife" as it goes lower. I did purchase silver at $17 when emotions were running high - and sold everything at $40. Silver is now back to the 19's (and it's only there because of emotion).

    Gold has dropped $500 dollars over the past number of months. It's not going to make anyone rich. Yes, it will "never be worth $0 - but you can can say the same thing about any commodity.

    Remember when people used to clamor about how the US Dollar will drop to the level of toilet paper? Have you looked at it recently? The US Dollar Index is over 82 - and is only that low since it is weighted against the currencies of other nations - many of whom are in a worse deflationary situation than we are.

    Look for the US Dollar Index to keep rising (into the 90's) - and for gold and silver to keep dropping (even though there will be a few minor rallies due to emotion).

    One can either acknowledge deflation, or face it unprepared - not a good idea.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/20/2013 1:38:32 PM PDT · 36 of 61
    politicket to Errant
    Is that you Ben? lol

    Ben is an idiot. No, it's not him.

    This is partially true. Instead of printing "money", numbers are keyed into a computer that sends an encrypted data stream connected to another computer at a bank someplace, allowing that computer's accounting program to adjust the balance of available funds on hand for issue.

    Those numbers that are keyed into a computer do nothing to increase the money supply - read my previous posts on this thread. Also, do a search for - and read - the Fed's H.4.1 report The Primary Dealers are sitting on the electronic funds generated from the Treasury purchases. Now if they took those funds and began issuing loans agains them then I would agree - big problem. That's not what they're after though. They want deflation - where existing debt is harder to pay off, instead of inflation - where existing debt becomes much easier to pay off.

    What are the assets these funds were issued against? Worthless government securities, themselves issued against previously issued worthless government securities never be repaid?

    The Fed's H.4.1 report shows that the assets those funds were issued against are primarily US Treasury securities - along with MBS securities - and recently some foreign bonds, so that Western Europe doesn't implode too quickly into deflation. The banks want Europe there, just not through an uncontrolled crash.

    US government securities are not worthless at all. They are a promise against your future labor - and the future labor of the rest of us. They are only as worthless as the result of your upcoming labor. :-) There are a lot of US Treasuries auctioned to roll over existing debt that is maturing. However, most of these securities are held by Primary Dealers (largest banks), and not the Fed.

    Do the loans the Fed has made above meet that criteria? Has there ever been a fiat currency in the history of mankind that did not eventually become worthless? Look at this chart below of how much the dollar has depreciated since the Fed was formed at a secret meeting on Jekyll Island.

    All loans are against the future labor of the entity signing the promissory note (or the future labor of others that the signee may control). Loans create economic slaves. That's why are debt-based monetary supply is so evil. It only exists through economic slavery (much of it done willingly - some implicitly, like US Treasuries).

    A debt-based monetary supply must - necessarily - operate through the concept of gradual monetary inflation. Otherwise, monetary deflation can occur which will more quickly collapse a nation. Monetary inflation works on an exponential curve, so there will always come a point where the "knee" of the curve is hit - and the very real issue of hyperinflation becomes evident. That's why the large banks that control the economies of the world (through the central banks) will periodically crash debt creation. They typically do it after a short period of massive new debt creation (like the roaring 20's, and the early 2000's). This makes it so that they can grab the underlying assets when large numbers of entities go bankrupt - and then resell at a later time for large profit.

    The world bankers are currently crashing debt. They are also creating instability in many regions of the world - which I believe will lead to war - which the bankers will fund both sides of (just as in previous wars in modern history).

    After the world money supply has been sufficiently crashed (due to the debt exponential curve) , then things will start over - with gradual inflation and continued debt slaves...

    "Fiat" currency is not evil. It has been used quite successfully in many parts of history. Look up "tally sticks" that were used in England prior to debt-based money being forced on them by William and Mary in the 1590's.

    The important facet of "money" isn't that it be gold and/or silver. It's that "money" should only be created through labor that has been completed - not created through the promise of future labor. The large banks have forced the "Wimpy" economy on everyone - "I will gladly pay you tomorrow for the hamburger that I eat today."

    No - I am not Ben. I passionately hate debt-base money...

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/20/2013 1:14:49 PM PDT · 33 of 61
    politicket to Jack Black
    I’m not sure I get your point when you write: “Exchanging treasuries for currency does not increase the money supply. Creating new debt does.”

    I'm saying that people confuse "money" and "currency". They are not the same - even though most economic courses treat them as such.

    In a debt-based monetary system, "money" is the total amount of outstanding physical and verbal promissory notes. Paying off debt causes a decrease in the "money" supply. Bankruptcy causes a decrease also, since the promissory note becomes void of future repayment. This is why a debt-based society must always keep creating new debt to replace old debt - or deflation happens. Vast amounts of new debt being created can create inflation. That's why the Fed always sets a nominal 2% desired "monetary" inflation rate. Inflation is really bad, but deflation is pure evil.

    By the way. I'm not sticking up for the Fed. They are the personification of evil - and intentionally brought on the monetary crisis that began in 2008 by purposefully withholding debt creation. This is why the US government has been on an absolute tear to create new debt - since the major banks won't. This is also why both Demon-rats and Republicans allow it to happen, while the Republicans give lip service to debt reduction - which won't - and can't happen without an enormous deflationary spiral. We're stuck, and the primary dealer banks are causing it.

    Currency is simply a physical (or electronic) means of completing trade. we use currency instead of money - mainly so that people never learn what money truly is. Things make a lot of sense if one can correctly separate the two ideas in their mind.

    Ok,but the Treasuries are new debt, aren’t they?

    Maybe...A lot of Treasury auctions are used to roll over existing Treasuries that are maturing. This does not increase the "money" (debt) supply. Any Treasuries that are sold as "new" debt do indeed increase the "money" supply.

    And at this point the vast majority of them, especially the longer term ones, are bought by the Fed.

    Many of them are. However, replacing Treasuries with currency do not increase the "money" supply - since no new debt is being created through the action. Also, the physical currency supply is not really increasing much either, since the Fed is just electronically crediting the Primary Dealers (who they buy the Treasuries from) accounts at the Fed. The Primary Dealers are just sitting on asset and doing nothing with it (except earning a tidy 3% for their "troubles"). You can easily see this by looking at the H.4.1 report that the Fed releases each week. Do a Google search for it.

    So the Fed is enabling the creation of vast amounts of new debt. No, they're not through Treasury purchases. That creates no new debt al all. They do allow the US government to get further in hock by holding Treasury auctions periodically. Any "new" debt created out of these auctions (that isn't used to roll over existing debt) does increase the money supply - but not fast enough to account for the debt that is currently being destroyed through bankruptcy and payoff.

    Not exactly a printing press, ok. But an effective currency debasement machine, no?

    It's not a printing press at all. And there really isn't a debasement of currency, since we still have a problem (like the rest of the world) where our outstanding debt is threatening to go negative (reduction in the money supply). Take a look at the Fed's G.19 report (Google for it). You can see that the only real new debt creation that the US government has been effective at is student loans. There are now close to $1 trillion dollars of outstanding student loans. Stupid kids...these loans can't be released through bankruptcy. The average 2013 college graduate has around $35K in outstanding loans. That's average. Some have none, many have a lot more.

    Sorry for the novel, but I try to teach people how to understand debt-based money, and why deflation is so dangerous.

    The bottom line is that the large banks are deliberately causing this across the world (including China). The last time this happened at this level was the Great Depression - and the banks played both sided in the ensuing world war, becoming massively wealthy in the process. Bullets and bombs are expensive.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/19/2013 10:47:57 PM PDT · 29 of 61
    politicket to familyop
    China continues to increase oil consumption, while we use less oil. Oil has been running over $108 per barrel.

    China's economy is slowing. They depend mainly on trade with Western Europe and the United States for survival. They're entering deflation along with the rest of us.

    China will need to seek new trade with India and Brazil as part of the BRIC coalition. However, their products are too expensive for these countries, so China will need to devalue their currency to make this happen. Cheap Chinese junk will become even cheaper Chinese junk for us.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/19/2013 10:44:50 PM PDT · 28 of 61
    politicket to JustTheTruth
    If necessary to prop up deflating bank asset values, central banks will print endless supplies of paper money whereas gold, silver, diamonds and other hard assets will remain scarce and tend to far out-value what streams from the printing presses over time.

    Central banks do not print money. They issue currency as a liability against assets of Treasury securities that they obtain from primary dealers. There is no "new" money created in this transaction.

    New money is created any time a promissory note is signed. Shrinking debt and bankruptcy cause a decrease in the money supply - since all money is debt based.

    People still think of precious metals the same as when money was not debt based - prior to 1600 in Europe.

    There is nothing wrong with "fiat" currency - as long as the currency represents labor that has already been completed...instead of a claim on the future labor of others.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/19/2013 10:39:37 PM PDT · 27 of 61
    politicket to BfloGuy
    There can be no "deflationary spiral" till the world's central banks stop increasing the money supply. China has not -- what are you talking about?

    The world's central bankers are not increasing the money supply - quite the opposite. That's why Western Europe keeps talking about having Eurobonds that act similarly to our Federal treasury notes.

    The US is able to create vast amounts of new debt because of our Federal system of government. Western Europe has no such bailout luxury.

    China is seeing their outstanding loans begin to decrease. This means that their money supply is decreasing - deflationary.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/19/2013 10:35:51 PM PDT · 26 of 61
    politicket to sten
    if gold drops to $600, gas would drop from $3.80 to $1.90. I’m pretty sure that’s not happening any time soon

    That's assuming oil isn't being impacted by civil unrest around the globe - specifically in Egypt right now.

    However, you're correct that oil would drop in a normal deflationary environment that is free from the threat of war.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/19/2013 10:08:09 PM PDT · 25 of 61
    politicket to ScottfromNJ

    “Did Bernake shut down the printing presses?”

    The Fed doesn’t have a printing press. Exchanging treasuries for currency does not increase the money supply. Creating new debt does. The Fed does not sign promissory notes.

    Watch China. Western Europe is already in deflation. Japan has been in deflation for decades. The US is in deflation that is being masked by the Federal government creating new debt as fast as it can - mainly through student loans.

    Precious metals are a commodity - which generally fall significantly during deflation. Oil is the exception, due to unrest in various parts of the world.

  • JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

    07/19/2013 3:20:57 PM PDT · 11 of 61
    politicket to sten

    expect gold to start heading to $2000...

    Try $600. The world is in a deflationary spiral. Watched China lately?

  • Gartman on Gold: We’ve Never Ever Seen Anything Like It ( Gold prices plunging )

    04/15/2013 1:07:56 PM PDT · 33 of 48
    politicket to Maurice Tift
    so I think it's good to hang on to gold and silver at least as a hedge

    I agree. But to have more than 10% of a portfolio in PM's is asking for trouble, IMO.

    Short-term US bonds are probably the safest right now - although you won't make any money with them.

  • Gartman on Gold: We’ve Never Ever Seen Anything Like It ( Gold prices plunging )

    04/15/2013 11:55:20 AM PDT · 14 of 48
    politicket to Maurice Tift
    Yes - exactly - if you have gold don’t sell it! At some point the big short sellers will go long and then we’ll see a very fast turnaround - maybe more for silver

    Do you catch knives for a living? :-)

    Gold, silver, and oil are decreasing for one reason only - international deflation, brought on by an intentional credit squeeze. It's happened many times before, and is actually needed from time to time when all money is debt-based.

  • Wrong note? School orchestra bans 6th-grader's purple violin

    09/25/2012 3:39:26 PM PDT · 64 of 71
    politicket to Emperor Palpatine
    Yes, in many of Europe’s majors you’ll see stringed instruments of all hues.

    Name me one player that can be verified. I was just over in Germany and the Czech Republic and saw nothing of the sort (especially blue).

    BTW, I’m right about current Long Island Steinways. If you must have one make sure it was made in Hamburg.

    I agree, but the Hamburg manufactured Steinways can be fine instruments

    But they still cant hold a candle to the “Three B’s”, Baldwin, Bosendorfer, and Bechstein.

    Newer Baldwins can be terrible. I agree that Bosendorfer and Bechstein can be great instruments if well maintained.

  • Wrong note? School orchestra bans 6th-grader's purple violin

    09/25/2012 3:18:03 PM PDT · 62 of 71
    politicket to Emperor Palpatine
    I see I’ve run across another brainless Philistine who knows nothing about music.

    I see I've run across someone who likes to attack others without reason - @SSWIPE!

    You are obviously an egotistical pianist - the kind I abhor. Your previous ignorant comment about Steinways shows how big your head truly is - and not filled with brains.

    Name me ONE string player in a major orchestra who is not a principal or assistant-principal and plays on a distinctly different color violin as a matter of course. They don't exist - ignoramus.

    Please don't think that you're the only one in the world with a music background - you're not...and there are an ENORMOUS number of gifted pianists who would put you to absolute shame!

  • Wrong note? School orchestra bans 6th-grader's purple violin

    09/25/2012 2:54:57 PM PDT · 60 of 71
    politicket to All
    "This whole thing is like telling Axl Rose he has to use some guitar from Kmart"

    Axl Rose would sound MUCH better if he used a guitar from Kmart. He's talentless, but noisy.

  • Wrong note? School orchestra bans 6th-grader's purple violin

    09/25/2012 2:50:54 PM PDT · 57 of 71
    politicket to Emperor Palpatine
    A certain amount of individual flamboyance is not only allowed, but encouraged.

    Not when you're 5th deck 2nd violin it's not.

    This girl needs to understand that society doesn't revolve around her (or more importantly, her mother).