|A Eulogy for our Monetary System.|
|Written by Kevin Kelso|
|Wednesday, 02 June 2010 03:04|
It is time to say goodbye to the milleniums-old monster that we had all come to accept as a fixture in our lives. Letting go will not be easy, as the creature had such an impact of the lives of every one of us. This is the the story of it's horrible life.
Our monetary system was a Ponzi scheme. A racket whereby 'investors' were duped into putting their money into a 'sure thing' which rewarded them with 'too good to be true dividends' and zero risk. What the 'investors' did't know, was that they were getting paid off by the next sucker's investment money. As long as they kept it flowing and growing, the scam worked. When the scam inevitably got exposed, the con (confidence) men, scurried away like cockroaches with their loot.
In the case of our monetary system, the con men were the investment banks, and some of the investments were your bank deposits, but you didn't know it. They actually leveraged your deposits and debts into more than 10 times their actual value, and used that to speculate (legalized gambling) on stocks, bonds, commodities, derivatives and hedge funds. Not only was this grossly unethical, but it used to be illegal. The Glass Steagall Act outlawed this practice and put a firewall between commercial and speculative banking.
Imagine that you ask me to hold onto your wallet (containing $100) while you go swimming, and I run over to the casino and buy $1,000 in chips to play roulette. (In reality, if I win on my 'bet' it drives up the prices of things everyone needs- like food, medicine, gas, fertilizers and the right to expell CO2/breathe). If I lose 10% of the money, i'm in trouble, because I only have an hour to get back to you with the money, and I don't have the money to cover the other $900, so I bet harder. I keep betting until the entire $1000 is in play, and it is all riding on the outcome of a ball spinning around a wheel. I'm not broke until the ball stops rolling.
When the inevitable happens, I have to face the music. What was backing the other $900 that i was betting? Well I have an Xbox, and my family is good for the rest. This is what the banks are saying, "I have some deposits and mortgages, and the people of (Canada) are good for the rest."
Some of these banks (rhymes with "gaping organ-face" and "cold ham snacks") have 65 to 1 exposure ratios, which means they only have $1 in physical assets for every $65 they have on the roullette wheel.
Well, for the world monetary system, the ball is on its final bounce, and the writing is on the walls that nobody won this on this round. The losers don't have enough to pay the winners, and the winners are going bankrupt because their debts were dependant on the payouts from the losers.
I am wrote this eulogy, in hopes that this 'sovereign debt crisis' is the last harrah that it appears to be.
So, what's all this talk about bailouts and saving the system?
When a 'too big to fail' Ponzisite bank goes bankrupt, it is the duty of any corporatist sellout government to foot the bill at the expense of its citizens. Almost all the world's nations have sold their sovereignty to private international banks, which create money at a whim to bailout their fellow parasites. When money is created arbitrarily, it causes the money supply to be diluted because no additional wealth is created to balance out the inflation. Therefore, the value of your savings decreases and taxes are increased, as the banks quietly siphon out the difference.
Since 'he who makes the gold makes the rules,' banking cartels call all the shots when it comes to economy. This means they save their friends when their bets go bad, or when too many of their 'investors' try to cash out their chips at once. It means that nations can be forced to privatize all their resources, and sell for pennies to friends of the IMF. It means a crisis can be easily induced, at which time a loan can be arranged, but with 'conditionalities'. Conditionalities usually include austerity, meaning a severe reduction in social services, and public funding for things like education, infrastructure, social insurance, pensions, health care etc..
All these things are sacrificed so the system can continue a little longer, and so the people can be brought further into debt slavery, as the criminal banking syndicates further consolidate their power.
The good news is that this system is predatory and self destructive by nature. It is an empire that survives only by destroying and feeding off of the weak and vulnerable. It must perpetually eat as it grows exponentially until it cannot possibly be supported by the diminishing host. Why is that good? As we can see today, it is now evident that this system has the seeds of its own destruction sewn into itself. This is because there is no investment in the future, no development, nothing but greedy exploitation and looting; it is limited to the existing food source, and that food source has been exhausted. It is clear that the cannibals are growing desperately hungry, and their reign is all but over.
There will be much suffering as everything we thought had value is painfully adjusted to realistic valuations. Much that we have come to take for granted will soon be little more than a memory. This comes with the inevitable collapse of the system that makes virtual slaves of us all. It will not be easy, but those of us that understand it will survive, and flourish in the renaissance that follows. We must be the leaders that take advantage of the chaos that follows, and use the opportunity to build something beautiful. Our system will have no ponzi schemes, no gambling, no trillionaires, no wars, and no bailouts.
What should you do to prepare for this onrushing collapse? The
Cash out all your chips, and trade them for tangible things of real value to your survival and well being. Do it while the chips still have value, because the casino can make all the chips they want, and their games are rigged. Do it before the casino realizes there's $1.4 quadrillion in chips, and only 140 trillion in wealth. The chips and dollars only have the value we place on it, and the great awakening promises a big adjustment. The ball is bouncing.
|Last Updated on Wednesday, 02 June 2010 14:23|