This Guy Has a Clue

[Issachar]

link

Foreigners, especially the Chinese, are smart in fleeing the USD. Of course, that means creating even more thin-air-money. The bankers KNOW this is an impossible situation. It cannot be anything short of a plan. They are not stupid; just lacking in wisdom.

Raise rates to attract foreign lenders and kill the economy. Keep rates low and kill the economy. There is no alternative; not with a fiat system.

Issachar, hoping many will read the short, very informative article, at the link above.

[Guest]

Re: This Guy Has a Clue

Raise rates to attract foreign lenders and kill the economy. Keep rates low and kill the economy.

LOL... Thanks for that very uplifting thought, Iss

[Issachar]

Re: This Guy Has a Clue

Hey ... tis the nature of fiat. It's always inevitable. But also because of it's nature; that is, the ability to just make more money as needed, it's impossible to know when that inevitable end is. It may not be until autumn this year. Just kidding on that last comment.

Fiat has always been, is and always will be autodestructive. It's intrinsic because in a very real sense, it is an attempt on a grand scale, to get something for nothing. That does not work in the known universe or we'd have perpetual machinery. Only God is perpetual; that is, exists with no input from outside it's self.

I heard a portion of Crosstalk America last evening enroute from one building I clean to another. Guest: Andy Gause. While he points out a lot of useful info concerning the economy, one thing he said that I strongly disagree with; and I'm far from alone on this as well as history, that the current trend IS sustainable. I'll have to listen to the whole program at the link above, later on, but if it IS sustainable, then why the concern he expressed? History, a great teacher, shows that no fiat system ever survived. It can't because it is an attempt to cheat the laws of economics.

It is silly, as Andy (last night's program) pointed out, for the U.S. Government to borrow money from private bankers via the Federal Reserve System which is no more federal than is Federal Express, which the FRS creates at virtually no cost to themselves, and then, via taxes, pay it back with interest. Payable of course, only in USD. So where does the "money" come from to pay the interest? From the FRS. SUCH a deal for the central bankers.

Issachar, thinks most of Congress, a long time ago, would have banned the FRS once they caught on to it's schemes, but it was too late .. the power to control government was already transferred from Article I; Sec. 8 of the U.S. Constitution, to a private entity.

P.S. Who are the banks that make up the FED? Some are Goldman Sachs, Citi, Bank of America, others ... Who got bailed? Who's the Secretary of Treasury now? None other than the former head of the New York Federal Reserve, Geitner .. who "forgot" to pay taxes.