Tuesday, October 25, 2011

Hit Them Where it Hurts


   The oligarchy is ruthless. They poison us, they manipulate us through mass psychology, they start wars for their own personal benefit, and they've completely hijacked our government, legal system, and economy. Now that we have an understanding of the tactics being used against us, it's time to start fighting back. Our government will continue selling us and future generations into debt slavery unless we take action into our own hands. Nobody is going to help us, we have to do it ourselves. First we need to acquire a general understanding of how the financial system works and what these bankers actually do, and then it will become perfectly obvious that there are several ways to legally undermine this corrupt system and bring about its collapse.

   Make no mistake about it. This system is a Ponzi scheme and it is going to collapse. It can either happen on our terms, or it can happen on theirs. If the collapse happens on their terms, it will be used as the “problem” in the Hegelian Dialectic. The “solution” would be a one-world global currency controlled by the International Monetary Fund in coordination with the central banks of the world. To front-run this and prevent it from happening, we need to destroy the power of the central banks. This power is derived from the debt-based fiat monetary system which is controlled in the United States by the Federal Reserve.

   The Federal Reserve is the private central bank that issues the currency of the United States, and by “issue” I mean “loan.” All money is debt. When the Fed prints money, it loans it out to either primary dealers (aka too-big-to-fail banks) or the federal government. This means that literally every single dollar that exists is owed back to the Fed at interest, meaning that not enough dollars actually exist to pay the Fed back. The only way to pay the interest on the existing money supply is to print more money and create more debt. When the Fed makes a loan to a primary dealer they charge very low interest rates on this money, say half a percent. When those institutions loan it to the government or to secondary dealers, they charge around 3%. Primary dealers make their money off of the interest rate spread, because they are owed back more money than they owe to the Fed. By the time the money ever reaches our pockets, it's got about 12% compound interest attached to it and it's leveraged about 120:1. All of that money has to be paid back up the chain all the way to the Fed, enriching those who benefit from lower interest rates along the way. This is the mechanism by which 1% on the population has accumulated 40% of the wealth. There's a reason there's a pyramid on the back of the dollar (other than the Masonic symbolism). When all money is debt, your wealth (or your position on the pyramid) is determined to a large extent by the interest rate you pay for that debt.

   It's very difficult to fight the Fed directly because nobody does business with them directly except for primary dealers and the federal government. However it is very easy to fight the primary dealers and the federal government, thus undermining the Fed indirectly. The way we do this is to use their own debt against them. The entire financial system is based on leverage, meaning that if they suffer a loss, that loss is multiplied by the amount of leverage applied to the underlying collateral. It truly is a Ponzi scheme that constantly requires more people to buy into the system to keep it going. The collateral that they use is depositors money plus capital reserves. Therefor the easiest way to undermine their ability to use leverage (and therefor make profits) is to simply withdraw all of your money from the financial system. This includes savings accounts, checking accounts, money market accounts, mutual funds, 401Ks, and CD's. Because of the nature of leverage, any money you remove from the system actually takes up to 30 times that amount in assets off of their books. They're forced to sell when they have no collateral to back up the money they borrowed to pay for the asset.

   The next way to undermine the system is to take that money we've withdrawn and buy gold and silver. Precious metals are anathema to a fiat monetary system because they can't be taxed, they're untraceable, and they cannot be devalued through inflation. Inflation is one of the ways in which governments and banks confiscate your wealth. Remember, the money supply has to constantly expand in order to pay the interest on all of the debt. When more money is constantly being created, the money loses value, and wealth is transferred from the population to those who control the money supply. They cannot simply “print” more gold and silver, however what they can do is manipulate the precious metals markets via derivatives. This manipulation is another weakness however, because their ability to manipulate the market is determined by the physical supply they have available. They have massive amounts of money invested in keeping the price of gold and silver down through market manipulation. By taking physical gold and silver off the market, we are limiting their ability to manipulate the market. I forgot where I read this, but I'll never forget what I read, “Bankers will kill babies to keep stock prices up, and they will kill babies to keep precious metal prices down.”

   The third wave of attack is a debt revolt. This is a direct frontal assault on their house of cards. You have to be willing to sacrifice your credit score and live pretty much debt free for at least the next 7-10 years, but it's time we start living debt-free anyway. Stop making credit card payments. Stop servicing loans and stop making mortgage payments. Again, put all of the money you would have spent servicing that debt into precious metals. When banks talk about “assets” on their balance sheets, what they're really referring to is debt. A wide-spread debt revolt would absolutely obliterate their balance sheets and render them complete insolvent. We already saw an example of this in 2008 when people could no longer afford to pay their mortgages. Imagine if people did this deliberately as opposed to being forced to. Here's the kicker. If you can get 15% of the population to follow the first two steps and 5% to follow this step, you will crash the global financial system. You will bring their entire paper empire crashing down on their heads. That 40% of the wealth held by that 1% will evaporate. The side effect is you'll also set off the next Great Depression (which is inevitable anyway) but if you're holding precious metals you should be fine, as their prices will go to the moon in this scenario.

   Prices will go to the moon because the Fed will do the only thing that the Fed knows how to do: print money. Once the banks start failing, the Fed will print as much money as it takes to bail them out rather than allow them fail. This will cause hyperinflation, as the money supply expands at such a rapid pace that the money essentially becomes worthless. The Fed's job is to issue the currency of the nation, and this is where their power is derived from. If the currency becomes worthless, they no longer have any power. Once the Fed has been broken, we can demand that the power to issue currency be given back to the people where it rightly belongs. We do not need a debt-based monetary system, and in fact we've only had one for the past 99 years. Before that we had debt-free money and we were the most prosperous nation in the world by far. Debt allows the oligarchs to wrap their tentacles around every facet of the economy, and it is this debt-slavery that we have to eliminate. The oligarchs have been waging a covert war against us for many years now, and it's time we start fighting back.

   This beast cannot be tamed, and it cannot be negotiated with. It must be destroyed.


Relevant Links:
Michael Maloney on the Monetary System and Fractional Reserve Banking
Max Keiser "Crash JP Morgan, Buy Silver"
Peter Schiff on the Federal Reserve and Inflation


“By a continuing process of inflation, government can confiscate, secretly and unobserved, an important part of the wealth of their citizens.” -John Maynard Keynes


No comments:

Post a Comment