Posted on 11/21/2018 4:45:45 PM PST by Kaslin
As long as there are lobbyist with suitcases of cash, it will always be available.
[The End of Fractional Reserve]
I’ve been expecting this part of it, too.
Final assault in the car wash?
Come back when I have a free week.
It will just bring back barter.
And gold and silver as money.
Texas has now recaptured its gold bullion inside Texas. And have a plan where payments can be made by gold. (Your gold you store at the repository.)
Remember that FDR actually made it a crime to possess gold.
But is not a crime to possess a chain saw, ammo, guns (yet), cows, pigs, a few cured hams, a pickup full of potatoes, a few chickens, some eggs, etc.
An awkward way to pay for things, but it would last long enough probably to wreck the “master plan.”
The best barter is your labor. Want your plumbing fixed or your roof fixed....Be ready to part with something that can be eaten, worn, driven or whatever.
It would take us back to the 1600’s in living standard, but that is what they have been trying to do with the stupid ideas that wind power, solar panels, bears are more valuable than your life.
Sounds nutty, but that is what it is.
save for later
I grew up on a farm. We still own them.
I married and moved away for 25 years. I did other things but it was still here when we came back in 1995.
My family has owned some of it since 1889.
Sure it can be done, lets hope it is not necessary.
The sky is not falling yet. If it does, we will adapt.
We are remodeling the house at the farm (4 mi. away), intend to move back there, where all the equipment, shops and barns are.
“You are that threat, because you won’t do what you’re told. You won’t spend when you’re supposed to spend, borrow when you’re supposed to borrow. And you’re likely to hoard cash and real money (precious metals) in the face of low (or negative) interest rates. That makes you an uncompliant problem for the State to solve.”
Well, I’ve been a ‘problem’ then, since I started working for people other than my parents at age 15.
I’ve got QUITE the jump on Mother Government!
Just TRY to find my ‘assets.’ I double-dog dare ya! ;)
Bfl
FDR, another failed phony tin dim demigod.
And Obama’s and Iran’s needing to get it on....
There will always be a need for a medium of exchange, whether currency or something else.
Fractional reserves allows for the acceleration of money. That being said, an increase in reserve requirements would be a good idea.
I watched Euro Countries during the financial meltdown. Some banned all large “dollar” amounts to combat black market activity.
Savings accounts took a “haircut” - ie negative interest rates-and those rates weren’t cheap. Some limited the amount of your own cash you could withdraw.
In Venezuela right now, the government continues to direct deposit pensions, but the bank won’t let you have the money. You have to stand in line for hours, to get a portion of what has been credited.
So far in the US, the preferred method is to use inflation to reduce the value of their debt, making your savings worth less in terms of purchasing power.
During the great inflation of Ford/Carter, the purchasing power was drastically reduced. A five year period of 50% inflation caused a lot of problems for most of us.
This is in reality a form of taxation, and one that people would rebel against if it came directly out of your pay check, or your savings account.
During last meltdown, there were some in Congress with eyes on your 401k’s. The Roth IRA was created to incentivize people to convert traditional IRAs, pay a capital gains tax, and thereby secure additional tax revenue.
The US dollar is loosing it’s status as reserve currency for several reasons, but one is because it gives us too much economic power over other countries. The G20 is coming up at the end of November.
They are in the process of redoing the international system. Under the plans they discussed and began implementing, the US dominance will be reduced, and China is to be included in the IMF SDRs.
At present, the US Fed has acted sort of like the Central Bank for the World. They want that function to move to the IMF. It will be interesting to see what comes next.
Past history has been that a monetary system lasts around 40 years, before it needs to be overhauled. Last overhaul happened around Nixon’s time after he closed the gold window, and the Petro Dollar was born.
Keep an eye out for the results of the G20. Keep you cash stash at lower denominations of less than or equal to $20 bills. Covert those $100 bills you have in your prepper supplies.
Better figure out where to stash your food and other preps too. They will come and get it if they need to, and you will be accused of hoarding.
“During the great inflation of Ford/Carter, the purchasing power was drastically reduced. A five year period of 50% inflation caused a lot of problems for most of us.”
It was the main reason for me enlisting in the Army. My folk couldn’t afford to send me to college; they had problems of their own with a 22% mortgage on our house!
Doesn’t seem real, does it? 22%? Yikes.
Good advice, as always, Greeneyes!
Yes, it was getting a bit unreal and scary. I had just finished college, and took a part-time job in order to have a baby and spend time with her. That lasted 2 years, and then I changed to full time teaching math.
Then I switched from teaching to banking which increased my salary and benefits by 50%, after adjusting for additional costs of travel and parking etc.
Not sure how it would have turned out if things had continued. Thank you to President Reagan and Paul Volcker.
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