We are now witnessing massive destruction of money both by economic forces and by the government/bankster monetary authority.
Translated to you and me, this means the destruction of savings, pensions, and income.
In fact, the official position of the U.S. government (Federal Reserve) at this time is the destruction of the U.S. dollar. Why? Because the philosophy of the welfare state is that there be no means of the accumulation of wealth and the passing of inheritance, except in the hands of the elite.
The pretense of their manipulation of money is to save the system. The double-minded logic of the authorities is that a cheaper dollar created out of massive inflation/reflation will return prosperity.
This, of course, is a ruse of authoritarianism to transfer all remaining wealth and power to the state. Every dollar created transfers wealth to the state.
Come now, it’s so simple. If you had the same power to create (print) money, you too could eventually steal the world without payment.
If you don’t believe me, let me recall for you a quote from a “name brand” financial newsletter, now one of the oldest and most successful out there at a cost of hundreds of dollars per year. This will demonstrate to you an example of double-mindedness. Most of you would have caught it as quickly as I did had you read the issue back on July 2 of 1997:
“…How this is handled is very interesting. The U.S. doesn’t pay up as other nations do, by exporting goods; no, it settles accounts by paying its deficits with paper dollars, dollars which it prints as needed…” (Next paragraph) “National Debt: On the latest report the U.S. national debt was $5,351 trillion…”
Of course, the debt is many times larger, now… but do you see the contradiction? In the first quote, the U.S. pays foreign accounts with paper dollars which it prints. In the second paragraph, the author gives us figures on the national debt.
This is empty nonsense. If the U.S. has the power to create money (credit) to pay one debt, it has the power to create money to pay another. The national debt is an abstraction in thought. It does not relate to reality. The capacity to create dollars negates any and all concepts of debt as debt relates to us as individuals.
This is also proof that Modern Alchemists (money creators) have created wealth and power out of nothing. This power even extends to the creation of mass dementia that covers the fraud.
The big question now is, can the authorities control their money monster or will their money monster control them? It is obvious that the Fed is desperate for reflation (massive inflation).
Their great fear, (and they do have well-founded fear), is that their system will collapse beyond revival in its present form. And who knows how much they fear for their own survival in political and economic power? Therefore, stealth inflation is a clear and present goal of the U.S. Federal Reserve. It means that they can keep their game going. This is the aim of the continual moving target of the Fed’s “inflation goal.” First there wasn’t one, then there was a 2 percent goal, and now it’s an “average 2 percent goal” over time. Of course, over a long enough period, you can get inflation to come out to something near 2 percent. Lies, damn lies and statistics!
So the stakes are high and they control the economic weapon of mass destruction — the printing press. And they have openly used it and justified the use with code words like “quantitative easing.” Now they simply create multi-trillion-dollar spending packages in the hope that they can steal enough savings and earnings to keep the system going for a bit longer.
This inflation amounts to open warfare against all savings, all pension and retirement funds, and all transfers of inheritance.
Few there be who recognize this chicanery.
I write to you about it as often as I can because the ruse is accelerating!
Historically the process of monetary theft has been characterized by gradualism. However, so-called inflationary prosperity (an oxymoron if there ever has been one) is characterized by serious imbalances in the economy, a decline in real wages, and falling standards of living. We are witnessing this now.
This inflation, or hyperinflation, will retard and mask over crisis for some time. We will pay a huge price later in the collapse of the system, with millions being thrown into poverty.
Reflation after the Great Recession brought back for a time a “good feeling” and the illusion of prosperity — at first. Meanwhile, those few who recognized the pattern of money destruction switched their dollar assets to gold, and gold stocks, and selected foreign currencies.
The pattern can be recognized easily if you know what phrases to look for. Like “monetization.” It’s a Fed term that means they intend to inflate your savings and pension out of existence.
Which comes first, inflation or deflation? I strongly believe that for the immediate future, i.e, the next several months up to 10 years that the economy overall will be in inflation… possibly hyperinflation. Because the nature of modern money is that it must always be inflated. The concept of modern money (credit) is inflation.
We already experienced deflation or a contraction of credit. The financial crisis of 2007-8 tallied close to $35 trillion dollars in losses worldwide according to the Roosevelt Institute. Let that sink in for a minute… it’s more than the GDP of the U.S., the European Union, and Japan combined.
This was only a slowdown in the growth of credit, and why central bankers reflated the world’s currencies with $20 trillion starting in 2008. Imagine if there were an actual contraction of credit?
Inflation and gold
The people want deflation (if they owe no debt) because the purchasing power of cash goes up. Falling prices are incentive to buy bargains. Living standards go up. I have written many times that inflation is the immoral destruction of savings by an immoral government. Inflation destroys morality and works ethic. People would rather gamble than work — hence, an American landscape of gambling casinos and national lotteries.
To keep inflation going, they will step up the attacks on the wealthy under many pretenses. Watch out for terms like “speculator,” “hoarding,” “tax cheats,” etc., etc., along with an organized attack on gold and people who invest in it. Of course, they are nasty speculators!
The more the media and government attack gold, the greater signal to accumulate it. Be advised that insiders are and have been quietly accumulating gold.
Unfortunately, the Feds have destroyed the ability to keep your money private in places like Switzerland — unless you are a foreigner with millions to spend on real estate, and you want to set up a tax shelter here in the U.S.
It is, my friends, possible to survive this coming inflationary blow-off but highly improbable for most people. It always depends on how much one trusts the system and how unequivocally one can recognize what the trends are and be flexible in going with the trend. Not many qualify here.
It would be a mistake to underestimate the determination of the money creators. At any rate, if you have taken our consistent advice for the last several years, you should be positioned to go either way. When inflation becomes a fact, all-cash should be switched to gold coins.
As others have pointed out, the gold price has a close correlation with the expansion of the U.S. monetary base. If gold had matched the 600 percent expansion of money since 2008, it would now be at $5,600, not below $1,800.
Further, the current government-created poor economic situation has had an outsized effect on premiums over the spot price, and in times like these, prices dealers charge do go up because of their difficulties in acquiring inventory.
We have to give the best advice we can to most people. In some markets, the available supply of a given type of coin, or demand for bullion, or a pronounced economic situation — for example, governments unconstitutionally forcing private businesses to close their doors, and causing supply chains to collapse — can have a pronounced impact on premiums. If people are charging 6% instead of 3% premiums, one would simply have to chalk it up to the government driving premium levels significantly higher than they should be.
We still believe you need gold for protection, and therefore an extra 3% right now is probably worth it, but that’s certainly up to the individual investor.
I would add that for protection, gold is gold, and so one would want to choose a gold coin that has the lowest premium because no one will value one gold coin differently than another should the situation arise where one needed gold for spending purposes.
Bob Livingston
