Thursday, 24th November, 2,011.
The Deflation.(Financial Crisis.)
I should add on – Point 11, Deflation!(Continuing my exposition of my solution to the financial crisis!)
One of the consequences of going off The Gold Standard has been FIRST, – the booms that EVENTUALLY came.
And NOW the deflation which I think will take us back to 1971 levels – and possibly earlier!!
Going off The Gold Standard was a bad move. (Though I suppose it fixed the tightness that existed around 1971.) Because it has led to the appalling crisis that we are all now in!
Handling bank-notes was much easier than carrying gold and silver coins around. Coming off The Gold Standard was like a ship on a river near a waterfall cutting itself loose from a bouy! Especially when after withdrawing THE REDEEM IN GOLD PROMISE, the paper of the bank notes had NO VALUE whatsoever!!
Bank notes were PURCHASING TOKENS with a value to the equivalent in GOLD. But with the promise gone and NO TIE to the value of gold, the bank-notes became WORTHLESS PAPER!!(Only as strong as THE WHIP(Of Governments decreeing fiat!)
You HAVE TO HAVE a standard of VALUE! Because when the authorities decreeing the fiat money fail, then we are all left with ONLY the purchasing token! As promissory notes – good. But WITHOUT the promise, – WORTHLESS!!(It only needing the goverment to fail!) And there is NO promise to redeem in gold NOW!!
At first buying of U.S. dollars, and of commodities(eventually)went up. But though The Greatest Confidence Trick of all time may have fooled MOST, it has not fooled that critical number of buyers – who switched to buying gold and silver!! Thus sending the value of The U.S. dollar down! And the price of gold and silver UP!!(They are falling now because COMMODITY prices in general are falling! But I expect gold and silver to rise again. Especially silver!!)
Many years were to pass after 1971 before business trusted The U.S. Dollar and The Markets!!
Finally buying peaked(the ship no longer anchored to VALUE(of gold), drifted slowly to the edge of the waterfall!), and now an increasing number of buyers SEE that gold and silver is worth far more than non-promissory bank-notes, so are buying gold and silver – even with the now worthless(in terms of REAL VALUE)pieces of paper(THAT is a good deal!!)!!
It is so important to see all this! Then perhaps we can soon see a return to the gold(or better still, go to silver)standard!
Because, if we don’t, then the slide and plunge to THE ROCKS – will continue. And ACCELERATE – as it SPREADS too!!
We have a choice: We can either SLASH SPENDING, raise taxes,etc. and interest rates, bonds,etc. and print away via Q.E’s(along with electronic printing and borrowing,etc.) OR, we can go back onto gold(or into silver)standard!(IF we are in time to reverse the rot!)(Perhaps not!!)
I do not know how long it would take to halt the slide, but eventually that would happen – because buyers would SEE that with a standard of VALUE(gold or silver), again, then no need to buy gold and silver – and thus depress the dollar,etc!
So we have NO time to lose!!
Failing to live within our means ALONG WITH the resulting rising debt and deficit MUST mean Market CRASH, via deflation and inflation!! And THAT will cause CHAOS and DESTRUCTION!!!!
So get back on gold and or silver standard – af fast as possible,
and PUBLICIZE THAT FACT TO THE MAXIMUM!!
That IS our best, and indeed our ONLY, hope!!
Because too many of the people will not bear the austerity measures implemented and riots and rebellion,etc. WILL follow!! Which is WHY we have for some time now been seeing the falling governments of North Africa and The Middle East!!(As the weaker countries fell first.) As riots pushed leaders out.(Thanks to The Fed Q.E’s! (The banks cry out to The Government for more money, and The Bernankes of the world just print away!!))
A tough choice and call, but THERE IT MOST CERTAINLY IS!!
The small critical relative factor of NO VALUE TO THE PURCHASING TOKENS(promise gone!) has been HIDDEN, being BURIED under the much bigger EXCESS SPENDING factor!!
Now can you all SEE this?? ??
It will make the difference between perishing horribly and terribly – and recovering!!
IF we can recover in time!!(After doing the necessary.)
But one thing is for sure: Printing more and more of the fiat money is going to do ever briefer less and less good. Only to be followed by even worse debt and deficit!!
OTHERWISE it MUST be just a matter of time before we hit the rocks IN THE BIGGEST WAY THAT WE HAVE EVER KNOWN!! Surpassing even The Great Slump of 1929 and The Depression which followed!
A disaster we are all contributing to to some extent or other.(Because so many WILL NOT exercise that bit of self-control and discipline denial,etc.)
It should also save us from being driven to go to war(to get money via arms etc.purchasing!)!
I offer you all THE GOLDEN KEY – OUT of this mess!!
I call this “Dropping the other shoe!!”.(The first shoe was the boom UP. Now we BEGIN to see the CRASH DOWN!!!!
It has taken 40 years for THE DRAG(that slow, subtle, stealthy dead weight few noticed!) on The U.S. Dollar to work its way through to fall far enough(being the world’s leading currency) – to produce the rapidly worsening dilemma THAT WE ARE NOW IN!!
Go my simple,easy way!!
Time is of the ESSENCE though!!
So we shall need to PUBLICIZE the return to gold, or onto silver, to the HILT, so to reduce the time taken to recover!!
Massive Deflation(The Correction) will result now. As prices return to 1971 or earlier levels!!
See what happened? U.S. came off Gold Standard in 1971. (This is LIKE pushing the jack from under a car WHEN YOU ARE UNDER IT!!)
(Joy is not Happiness and Licence is not Liberty!!)
It relieved the tight situation prevailing – but at the expense of greater problems LATER!
So more bought the U.S. dollar, and it went up.
Eventually, market booms came.
They TRIED to make PAPER(bank notes) take the place of gold. But ENOUGH people are SEEING THROUGH IT!!
MOST people bought it!(So many REALLY think NOW that those paper banknotes and watered down coins REALLY are valuable like their predecessors!!)(Originally gold and silver!!)
BUT,no, they are not!!
ONLY so long as Government stays put to decree it!!
Money! But it is ARTIFICIAL MONEY!!
Do you understand??
Have you GOT it??
Well, if so, whatever you do, DON’T keep it to yourself!!
How about THAT,then??!!
Those with temporal influence NEED to learn about it!
Will you TELL THEM, please!!!!