PMF... The borrower is the servant of the lender, and through the mechanism of government debt virtually the entire planet has become the servants of the global money changers. Politicians love to borrow money, but over time government debt slowly but surely impoverishes a nation. As the elite get governments around the globe in increasing amounts of debt, those governments must raise taxes in order to keep servicing those debts. In the end, it is all about taking money from us and transferring it into government pockets, and then taking money from government pockets and transferring it into the hands of the elite. It is a game that has been going on for generations, and it is time for humanity to say that enough is enough.
According to the Institute of International Finance, global debt has now reached a new all-time record high of 217 trillion dollars
Global debt levels have surged to a record $217 trillion in the first quarter of the year. This is 327 percent of the worlds annual economic output (GDP), reports the Institute of International Finance (IIF).
The surging debt was driven by emerging economies, which have increased borrowing by $3 trillion to $56 trillion. This amounts to 218 percent of their combined economic output, five percentage points greater year on year.
Never before in human history has our world been so saturated with debt.
And what all of this debt does is that it funnels wealth to the very top of the global wealth pyramid. In other words, it makes global wealth inequality far worse because this system is designed to make the rich even richer and the poor even poorer.
Every year the gap between the wealthy and the poor grows, and it has gotten to the point that eight men have as much wealth as the poorest 3.6 billion people on this planet combined
Eight men own the same wealth as the 3.6 billion people who make up the poorest half of humanity, according to a new report published by Oxfam today to mark the annual meeting of political and business leaders in Davos.
This didnt happen by accident. Sadly, most people dont even understand that this is literally what our system was designed to do.
Today, more than 99 percent of the population of the planet lives in a country that has a central bank. And debt-based central banking is designed to get national governments trapped in endless debt spirals from which they can never possibly escape.
For example, just consider the Federal Reserve. During the four decades before the Federal Reserve was created, our country enjoyed the best period of economic growth in U.S. history. But since the Fed was established in 1913, the value of the U.S. dollar has fallen by approximately 98 percent and the size of our national debt has gotten more than 5000 times larger.
It isnt an accident that we are 20 trillion dollars in debt. The truth is that the debt-based Federal Reserve is doing exactly what it was originally designed to do. And no matter what politicians will tell you, we will never have a permanent solution to our debt problem until we get rid of the Federal Reserve.
In 2017, interest on the national debt will be nearly half a trillion dollars.
That means that close to 500 billion of our tax dollars will go out the door before our government spends a single penny on the military, on roads, on health care or on anything else.
And we continue to pile up debt at a rate of more than 100 million dollars an hour. According to the Congressional Budget Office, the federal government will add more than a trillion dollars to the national debt once again in 2018
Unless current laws are changed, federal individual income tax collections will increase by 9.5 percent in fiscal 2018, which begins on Oct. 1, according to data released today by the Congressional Budget Office.
At the same time, however, the federal debt will increase by more than $1 trillion.
We shouldnt be doing this, but we just cant seem to stop.
Let me try to put this into perspective. If you could somehow borrow a million dollars today and obligate your children to pay it off for you, would you do it?
Maybe if you really hate your children you would, but most loving parents would never do such a thing.
But that is precisely what we are doing on a national level.
Thomas Jefferson was strongly against government debt because he believed that it was a way for one generation to steal from another generation. And he actually wished that he could have added another amendment to the U.S. Constitution which would have banned government borrowing
I wish it were possible to obtain a single amendment to our Constitution. I would be willing to depend on that alone for the reduction of the administration of our government to the genuine principles of its Constitution; I mean an additional article, taking from the federal government the power of borrowing.
And the really big secret that none of us are supposed to know is that governments dont actually have to borrow money.
But if we start saying that too loudly the people that are making trillions of dollars from the current system are going to get very, very upset with us.
Today, we are living in the terminal phase of the biggest debt bubble in the history of the planet. Every debt bubble eventually ends tragically, and this one will too.
Bill Gross recently noted that our highly levered financial system is like a truckload of nitro glycerin on a bumpy road. One wrong move and the whole thing could blow sky high.
When everything comes crashing down and a great crisis happens, we are going to have a choice.
We could try to rebuild the fundamentally flawed old system, or we could scrap it and start over with something much better.
My hope is that we will finally learn our lesson and discard the debt-based central banking model for good.
The reason why I am writing about this so much ahead of time is so that people will actually understand why the coming crisis is happening as it unfolds.
If we can get everyone to understand how we are being systematically robbed and cheated, perhaps people will finally get mad enough to do something about it.
investmentwat...ke-it-that-way/
Poster Comment:
Money, central banks, debt, indeed all levels of goverment with their "mindless" bureaucrats are anachronisms, all more of an obstacle to progress than facilitators in the current era of cyber efficiency and abundance of resources and trained personnel. .
In a cyber age all that's needed are teams of geeks determining people's needs and mobilizing personnel, machines and resources to provide them.
An economy based on money or gold is no longer viable in an age of automation. Each new robot is replacing a half dozen workers. Banks are replacing tellers with cell phone/smart card-activated computer that scans cheques and takes customer instructions for bill paying, etc.
In a cyber age the best option is an economy based on an individual's merit in producing wealth (needed goods and services), inventions, research success, attaining training and skills for needed tasks as well as readiness to undertake them; tasks determined by citizen input and assigned to capable workers by teams of geeks.
There are already more than enough resources and trades/professionals to meet everyone's basic needs of food, shelter, clothing, medical care and internet or other communication services and can be readily organized/provided by geek teams. Perks beyond basics can be awarded on the basis of merit points earned in wealth production or other achievements.
It's time to adopt meritocracy as a replacement for democracy with the latter's inimical political intrigues and criminality, labor strife, financial manipulation, crimes for survival and senseless wars that have characterized it for centuries.
In this proposed meritocracy you still work as long as there is a need for your services. You don't get any money but you also have no bills for food, shelter and other basics which I've listed as everyone's rights. For your actual work you gain merit points for perks beyond basics. Parts of this "meritocracy" already exist in a haphazard way in the form of food stamps, UI, food banks.
In America you have deteriorating infrastructure yet there are close to a 100-million available, capable people not working or only engaged part time. Thousands of new machines, vehicles sit on sales lots. Roadways could be made safer and more efficient with more grade separations, pavement re-surfacing; not done because "money is not available" or in short supply. In pioneer days, before the infestation of bureaucrats and high taxes, neighbors volunteered for one another in house/barn building and even in building roads to their properties with their own equipment; no cash exchanged; no bureaucrats telling them what to do.
In a meritocracy, wherein robots proliferate, you might not work a day in your life but still keep improving your standard of living by earning some merit points for becoming a more "valuable" person by taking additional training, for being readily available on call for your specialty work, becoming more educated. Geeks might assemble a team of head hunters to select a board of directors for general oversight but even this may not be necessary if educators can instill a measure of commonsense among the populace.