Federal Reserve System

Federal Reserve System is a Corruption Conduit

As used herein, the Federal Reserve System (FED) is the existing privately own central banking system of the US. The Federal Reserve Bank is the same nationalized under the Department of Treasury for control over the FED and US monetary policy. Just like the 1916 income tax, supposed to be 3% on the top 5%, Americans were sold a bill goods. The FED was initially prohibited in 1913 from buying US treasuries, so that the US government would not become in debt, using easy money from the FED, but that posed a limitation on US government totalitarian government-bankster facist controls over the American people. And so, the FED system was later allowed by congress to buy US Treasuries, so that the government could borrow endless amounts of money, bankrupting the country, and enabling wealth transfers to the top 1%, banksters, greedster and elitist money interests. The farcical debt ceiling is no such thing, and it is merely raised every time the US Government wants to spend more money, so as to concentrate more totalitarian socialistic fascism in DC, so as to sustain the banksters and greedster sucking wealth from the 99%, so that wealth transfers can continue in perpetuity, so that, bankster campaign contribution would continue to feed the two pandering political machines and the lock on political power using political pander, based upon bastardizing the Constitution through the migration of the social programs to the federal, ala FDR's raw deal, LBJ's corrupt society and BHO banksters bail-out socialism.

FED Enslavement

The Federal Reserve System is a corruption conduit from wall street to government, has enabled the obscene federal welfare state, and has destroyed US money, and must be nationalized, under the Treasury Department as the Federal Reserve Bank.
Capitalism has not been run in the US since 1913, and its death was in 1971. President Nixon took the US off the gold standard, and since the US dollar IS the world reserve currency, it took the world off the gold standard, and most central banks have held dollars in their forex reserves as perceived as the most secure fiat currency. Not For Long.

The Federal Reserve System is a private bank, own by banks and the financial elite, and is used to transfer wealth from the middle and poor classes to shareholders of that private bank, under congressional oversight. The Federal reserve system is in fact a corruption conduit from wall street to government, and has enable socialization of the USA, destroyed capitalism, ruin our money, and destroy full faith and credit of the United States.

QE in the old caveman days, qualitative easing described how much specific targeting of printing easing, where printing suppose to ease ripples, whereas quantitative easing applied to general targeting, when qualitatively politicians actually had to think, and qualitatively bankers addressed particular problems, but over the last decade, qualitative easing has been lumped, by commentators generally, into quantitative easing, as QE stands singularity, so they dont get confused, and double dutch the banksters. Isnt life now just peachie, no need to guess, which it is. Chit is chit, regardless for which beetle intended. Now we have the singularity and life is so simple. YEAH!!!!

FED Bank Con Game

The Federal Reserve Bank is playing the con game, the confidence game. As Gerald Celente says, the FRN is not worth the paper its NOT printed on, as billions and billions are slushed around the virtual world. Many are now moving into the metals, Gold and Silver to protect what wealth and value they have left in virtual paper money. The entire financial industry is based upon the CON GAME, virtual paper money. As the present chaotic system explodes, the paper money is seen for what it is, a digital pixel, nothing, and is imploding.

The con game is maintained through MOPE, management of prospective economics. Its kind of a propaganda trip by the FEDs and those in Government trying to keep an illusion of intrinsic value going. The value of the money can be expressed in terms of the interest rate, or it use to be, where now with ZIRP (zero interest rate policy) even the interest rate in the US is a con game. Spain has what now, 10% and rising.

People can protect their wealth by moving into Bullion, the real tangible stuff, real money. But if you go in, stay in, and reorient your mind to the teachings of our founding fathers, prescribed real constitutional money, and not paper money that really aint worth a continental.

Silver is the best form of money, because it is the ultimate street currency. You can buy silver at any coin shop, indirectly from the US Mint. Anywhere in the low 30s is a gift, 30, support 31 support, 32 support, who cares, when it hits 144/oz, or 450/oz or 1500/oz, really, if you truly are a long term stacker. Traders in size are the ones that get bear trapped, not the true silver bugs, with strong hands. Who knows, by election, 11-6-2012, may be retesting 26$/oz, YIKES!!! lol, but this is great market action, evinces chaotic melt down, so just keep stacking and remember, its not the FRN value, as that can go up in smoke anytime, but the number of oz in possession. We are in a low risk area, low 30s, and risk is meant to the extent of the number of oz you can get, that is the risk, not a risk in losing your metal, which really counts, and not the risk is losing FRN value. Risk is measured NOT by the number of FRN equivalence, did I profit in FRNs or not, but rather, the number of oz you can buy. You first decide to commit capital in FRNs, paper dollars, your grown corn of the farms of yesterday, then you try to buy as many metal oz's as you can, never never selling them back in FRNs, and hence you never lose your metal money. So, risk, if viewed in terms of real money, is the number of oz in possession. Can I get more oz by waiting for a further drop in price given the FRN "corn" capital committed for conversion to real money. That should be the only question really, and THE ONLY RISK. Sometime you buy good and some time better, depending on the price of "CORN", but you never buy BAD, if you have strong hands and believe that money wealth is the number of oz in possession. You make the mistake of thinking that a downward move in price is somehow BAD for you all holding real money, because your mind has been mope-a-doped into equating FRN value your whole life. But when you diss fiat in your mind as the con game it is, and think in terms of the number of oz in your possession, you are freed from worry about drop in FRN price. If you are FRN oriented, and trade these metals, rather than straight accumulation, you are a dumb bunny, having no real clue what the metals are really all about, wealth preservation. You can not lose a single oz despite many many "corrections" if you have strong hands. KEEP ON STACKING.

Every Breath Bernanke Takes

USA Federal Reserve FOMC

In order to con the people, the term "bank" is used in connection with the Federal Reserve System, which is a privately owned bank. Under the proposed nationalization of the Federal Reserve System, the Federal Reserve Bank would be placed under the Department of the Treasury to avoid direct connection with the Oligarchsters of the global banking cartel, and thus, the Federal Reserve Bank would be the United States Central Bank, owned by the US and operated by Federal Government employees, answerable to the President. Congress controls the federal government spending and law making, as the President enforces congressional laws within that spending.

The focus of the Federal Reserve Bank will not be to rig markets, inflate monetary aggregates, intervene into markets, or to maintain employment levels, or maintain inflation rates, as the former creates market volatility, the middle a consequence of misallocation of assets, and the later a form of enforce theft, but rather to let the economic cycles and economic laws control the nature of free markets and resulting employment. Inflate and robbery of the people will stop. The primary focus of the Federal Reserve Bank will be to maintain real stable interest rates, and gold and silver and FRN exchange rates, and providing loans or capital investment in start up and leading edge companies perhaps through IPOs, and to procure equity position in gold and silver mines for the continuous supply of real money creation through the mint. The purpose of the Federal Reserve Bank, beside general banking functions, is to provide and encourage a business environment wherein natural up turns expand efficient businesses and down turns destroy inefficient businesses, in natural business cycles, in free market, so as to cull the heard, and provide a healthy and robust business and manufacturing economy which would in turn, naturally provide for maximum pay, standards of living, employment, and government revenues. Inflate and rob would no longer be a mandate. Employment levels would no longer be a mandate. System risk would be neutral, in that, financial institution would be permitted to fail, seized, and resurrected. The Federal Reserve Bank would cooperate with the SEC and Justice to end Mala en Se commercial criminal banking, market rigging, and market manipulations, with bank asset seizures and bank officer forfeitures and prison terms. Currently, there are no free markets, just interventions. Currently, the Banksters and Greedster are running open loop stealing from market participants while suppressing the people burdened with unserviceable debt. Upon nationalization of the Federal Reserve System, FRS employees would be given the option to resign FRS employment and offered like FRB employment for maximized seamless nationalization of the FRS.
Below is a definition of the Federal Reserve System. It is a private system owned by banksters and oligarchsters sucking the people dry with debt from the political leaders buying nanny-state votes. The entire system is corrupt and would be nationalized and changed.

The central bank of the United States and the most powerful financial institution in the world. The Federal Reserve Bank was founded by the U.S. Congress in 1913 to provide the nation with a safe, flexible and stable monetary and financial system. It is based on a federal system that comprises a central governmental agency (the Board of Governors) in Washington, DC and 12 regional Federal Reserve Banks that are each responsible for a specific geographic area of the U.S. The Federal Reserve Bank is considered to be independent because its decisions do not have to be ratified by the President or any other government official. However, it is still subject to Congressional oversight and must work within the framework of the government’s economic and financial policy objectives. Often known simply as “the Fed".

The Federal Reserve Bank’s creation was precipitated by repeated financial panics that afflicted the U.S. economy over the previous century, leading to severe economic disruptions due to bank failures and business bankruptcies. An acute crisis in 1907 led to calls for an institution that would prevent panics and disruptions.
The 12 regional Feds are based in Boston, New York, Philadelphia, Cleveland, Richmond, Atlanta, Chicago, St. Louis, Minneapolis, Kansas City, Dallas and San Francisco.
The Federal Reserve’s duties can be categorized into four general areas:
    Conducting national monetary policy by influencing monetary and credit conditions in the U.S. economy to ensure maximum employment, stable prices and moderate long-term interest rates.
    Supervising and regulating banking institutions to ensure safety of the U.S. banking and financial system and to protect consumers’ credit rights.
    Maintaining financial system stability and containing systemic risk.
    Providing financial services – including a pivotal role in operating the national payments system – to depository institutions, the U.S. government and foreign official institutions.

The Fed’s main income source is interest on U.S. government securities it has acquired through open market operations. Other income sources include interest on foreign currency investments, interest on loans to depository institutions, and fees for services (such as check clearing and fund transfers) provided to these institutions. After paying expenses, the Fed transfers the rest of its earnings to the U.S. Treasury.

Oligarchsters Banksters and Greedsters

We have Nobles (eg Queen of England) and Oligarchs (eg Rothchilds), collectively referred to as the Oligarchsters, The Oligarchsters control the Central Banks controlling major commercial banks, collectively referred to as banksters, forming a global banking cartel, a portion of which are Bullion Banks, forming a gold cartel, referred to as greedsters. This is the oligarchical hierarchy, comprising the oligarchsters, banksters and greedsters, using fiat money and real money as the measure and tool of control and influence over political leaders and hence the people. Juxtaposed to the oligarchical hierarchy extending undue influence therefrom, are the political leaders, with religious leaders functioning as pseudo political leaders. The political leaders have administrators having apparatchiks, the later of whom, are hands on institutions of low end public servants, like the local police, interfacing with the people who have innate human drivers, one of which is freedom having five pillars, God, Gold, Guns, Land and Vote. Thus, there is the oligarchical and political dual hierarchies suppressing the people who can push back at times through riots, rebellions, and votes seeking freedom from the controlling totalitarians, but in so doing, upsetting the oligarchsters and political leaders. The fight is on.

The Oligarchsters control the money, which is fiat money and printable upon command, and real money gold and silver, and influence the banksters to intervene and rig markets, eg equity, bonds, libor, commodities, inter alia, for pecuniary gain, which banksters, in turn influence the greedsters to rig particular markets, and focus is had on JPM leading the gold cartel rigging the bullion space. The Banksters and Greedster influence political leaders, so that the Oligarchsters can pulls strings through the banksters and greedsters upon the political leaders and thereby suppress the people with mountains of debt and intervene and rig markets, to suck off the people and market participants, without the oligarchsters being in public focus, which is, out of sight, out of mind.

Sometimes, they screw up, or did they, Lehman dumps or is ousted, as the Queen famously asks, "how could this have happened". LOL!! And we get at times volatility in markets and enforced austerity, to squeeze the people and participants even more. But all is not lost, the banking crisis was an excuse to act, and the banking cartel came to the rescue, and liquidity is supposedly restored, when the problem is really excessive debt, but the banksters feed on debt, sucking the people dry, and hence, the national debt being increased by desired fiscal deficits, push even higher by nanny vote getting politicians. It feeds upon itself to suppress the people and steal from the participants. Hence the world of banksters and greedsters, in all their glory, and obscene bonuses, if they suck really hard for the oligarchsters, of course.

Even if the SEC required the banks to line item "Drug Income", "Laundry Accounts", "Market Rigging Pool Accounts", "Kick Back Fund Accounts", "Bribery Accounts", "Offshore Tax Accounts", JPM would admit to the line items, and pay a fine, and then admit to no wrong doing.

Andrew McGuire needs to think out of the box here, and rethink the front running signals between the greedsters to obtain a new smoking gun, but this time to the upside.

So, to keep fiat looking good, and provide banking puppeteer GS cover, JPM takes over in 09, and became the new perennial short, and regularly flushes the speculators for profits. In so doing, in steps, bullion nevertheless rises and Turk et al come to the conclusion that we are in a sustain bull gold market with graceful retreats of the bullion price enabled by the gold cartel leading to higher prices. We are in a gold bull market because the lost of fiat money purchasing power, the 1/n exponential, and the retreats are nothing more than price action responses to the rigging of the bullion space. The FED should like price rises orderly so that the people dont get scared and push back against the banksters and the oligarchsters. Opposing this are the bullion banks, that is the greedsters, who are mostly in the rigging game just for the money. So there must be some give and take between the banksters and greedsters.

But gold hits 1925/oz, Madrid and Athens are in a state of rebellion, and the nobles get all fussy, and oligarchsters order the banks to take down gold, and JPM obliges, as GS MOPEs the Hedge funds to go short, which they do, and JPM pounds the gold price lower, only to get out, at a profit from those perennial shorts, just in time, from June to July, as JPM goes long bullion, as the Hedge funds are now short, and ready and MOPEd for the slaughter, for a price rise to the upside but now with JPM on the long side.

JPM would not go long bullion unless money was to be had, and up its COT position to 26% lasted report by TF. Today, curiously coincidental, after hours shows, for the first time, an infamous cascade, but to the up side, matching JPM new found long position. The Hedge funds are in the target hairs of JPM for the clean out. So, if following traditional tactics, just flipped 180, JPM will now begin, channeling deep creating any price channel it wants, to regular flush the hedge funds and speculators, now to the upside, in steps, with corrections, for reloading the hedge funds and disbelieving speculators, in steps for recurring profits.

The gig is up, as to the direction of bullion prices, but not the means. For as long as the police state can keep the people riots and rebellion contained, the nobles and oligarchs can continue to rig markets, and suck the people dry. The fight then, is not really by the SEC, and TF so amply pointed out, and even a string of paid fined will not land any of these TBTF TBTJ greedsters in jail, as they simply pay a fine as merely a cost of doing business. Such a string of paid fines is a clear indication that a RICO racketeer is at work, earning those hard earn bonuses.

So, in the end, its not the crimes, its not price levels, its not the amount of printing, its not the amount of market rigging, but whether the people will rise and over throw the oligarchsters, banksters and greedsters, by changing the political leaders who would or might contain them from suppressing the people. So, best guess is step wise price action in bullion to the upside, unless rebellion or political change occurs.

Some see totalitarian rule, as the outcome, which is nothing more than sustaining the oligarchsters, banksters and greedsters unduly controlling the political leaders for indirect suppression of the people. There is at least one hoping that political change would occur to free the people in freedom. Just one.

DC Politicians are TRAPPED

The Federal Government, after 110 years of destroying the people's belief in founding father principles, (gold/silver money, republic of states, a limited federal government) using fiat paper money and taxes to enslave us all as tax mules or dependents,

If they cut spending, they send us all immediately into an economic depression, if they kick the can down the road, and print another 14 trillion in paper dollars, its goes into hyperinflation and collapses a bit later, and that is what will happen. So, they must cap the value of gold and silver to pretend the dollar is sound.

The CFTC (commodities futures exchange commission, the regulators, JPManipulator, the bullion hit man, and the CRIMEX the new york exchange is a CRIMINAL RACKETEERING ORGANIZATION to force and maintain the use of the fiat paper dollar so that the FEDERAL GOVERNMENT can steal from us each and every day of our lives, through intention inflation through over printing of paper money THAT AINT WORTH A CONTINENTAL, but is in fact an irredeemable ponzi coupon, the paper dollar), the biggest crime racket this earth has ever seen, to concentrate power in DC, to maintain the political power of the elitist totalitarian socialistic fascist pigs in power, while, we the people, get butt hurt, day in and day out.

So, the powers that be must manipulate the price of gold and silver down to keep the FRAUD of the FEDERAL RESERVE BANK NOTE, ie paper dollar, from UTTERLY COLLAPSING, to maintain centralized totalitarian power in DC to enslave us all as tax mules or dependents. USSA these days is a disgrace. 43 million of my countrymen are enslaved on food stamps, while rest of us are tax mules to so enslave them, as we have our bank accounts spied upon by the IRS THUGS, ENOUGH IS ENOUGH!!!

There are many pernicious cycles these days led by treacherous cretins. Some treacherous cretins are at the heads of government, other in the underworld bowels of wall street, while others sit almighty on the high court, trashing the constitution, day in and day out, trashing concepts of limited government and real money. But American oligarchs are at the core once again in treacherous cycles, among many that are open loop with positive feedback, exponentiating the country into ruination. In the early last century, America had industrial chieftains, would got to big for their britches, monopolizing markets, and anti-trust slayed those dragons, and put them in their place during the industrial revolution. Today, its a different ball game, in the HFT information age, where industry is considered evil or obsolete, and hence starved to death through weaker wages and manipulated markets, and targeted by a plethora of socialization taxes and regulations by the totalitarians in charge. The evil monsters that have raised their heads from the underworld over the last half century are the financial oligarchs, fed a rich diet of QE and ZIRP, to acquire capital for manipulating all markets, for self enrichment, bonuses, and confiscation of wealth, enabled by the totalitarians in the white house, in congress, and on the high bench. Industrial chieftains at least gave workers and the unions a fair shot at sharing in the newly created wealth that is created by industry. Todays financial oligarchs have absolutely no redeeming quality about then, for their world is the rig market, where wealth is confiscated with impunity at tax payer expense, at industry's expense, at the worker's expense, at freedom's expense. They operate with positive feed back, exponentiating, lacking serious negative feedback from society in general or the department of justice, or for example the CFTC in the bullion space. A nefarious cycle has been created over the last 15 years, where leftist political heads, publicly profess to get them dirty wall street SOB, through sharing, to pander the people to cement political power, yet will create the very same arena for the financial oligarchs of banking and finance to confiscate the wealth of the people. The game is open loop and positive in feed back, uncontrolled and wicked, as the pandered people will willingly vote yet again for totalitarians, to then be only slaughtered like pigs, without enough government teets, as they have been pandered to be, voting for totalitarians, who will seek some give back, from the financial oligarchs, but only through the government, to then hand out to the people, in totalitarian lock down, in a vicious death spiral, where state dependents and state employees garner more power as the private sector people are totally enslaved as state dependents and tax mules, as the financial oligarchs run rough shod over the markets, making even more riches, perfected through undue influence over all government functions, as the tax mules are slaughtered wholesale as there soon wont be many of them tax mules left, and thus giving their all for the totalitarians to cement political power from their campaign contributing financial oligarchs, cementing a fascist marriage from hell. This nefarious fascist cycle can only be broken through economic devastation, bringing about either civil war voting with guns or political upheavals ruling the voting booth. 

The senate can vote for a debt limit raise, and kick the can, or pull the plug on obscene nanny-granny deficits, and in either case, the economy implodes. THEY ARE TRAPPED, just like the FED, both in unsustainable social programs, hand outs, QE, ZIRP, and the totalitarian fraud of the nanny-granny state. Of course they will kick the can, and then pander the people that THEY saved the country and the banking industry, and avoided another depression. HOW NOBLE!

Maybe it is just a coincidence that our dearly beloved congressmen are trapped just like the FED, as they either vote for more debt raising, and kick the exponentiating ponzi scheme dont the road, or vote against the debt limit raising and it implodes on their watch, from the absurdity of the unconstitutional fiat money nanny-granny fascist state. Yeah, write your congressmen all you want, and sign petitions all you want, but it wont change the mouse traps the FED and Government have placed themselves and all of us in, not one little bit, for the electorate has been pandered for 100 years, and are locked in, and you first have to get them out of themselves, and then they have to be really mad to make a significant change, and that wont come until the totalitarian socialistic fascist ponzie scheme blows up. So good luck with that, but it was a nice feel-good warm fuzzie thought though.

Rob Kirby connects the dots, to the Government, but JPM is not the government, and the commercial weak link, and even if they have a client, who orders a dump, and that client is the US government ESF using the FED and banksters and greedsters, it does not matter, in equity, that JPM has been ordered to price manipulate for the government. Just because the government asks you to commit a crime, does not give you the right to commit a crime, and mere agency of mala en se in equity is not defense. I had it right the first time, go after JPM in equity for price manipulation in a gun totting state.

How can anyone claim that the metals are not manipulated? By simply doing so while being motivated with a vested interest in main stream investors and MSM access, so as to more fully sale their book. That does not mean they can not assert that the dollar wont collapse through QE, and thus promote Gold.

Hathaway, Sprott, and Pento inter alia, are GOLD FUNDS, and assert the manipulation, whereas Casey, Fleckenstein, Gartman, and Armstrong are not, specifically, and hence the difference. If the case is publicly made directly to them, that 8000 contracts sold naked at low volume times, can only be motivated for gold price movement, and hence, is the tall tell sign of manipulation, (what else could it be), they may change their tune, but one would doubt it, self interest being the trump card. They have apparently made business decisions that it is either legal, and hence no "criminal" manipulation, or they are defending their broad appeal to mainstream investors, or both.

China knows that their 1T$ in US bonds will be inflated away, through US debt FED monetization, monetarily inflating the number of FRNs, and china is taking steps to minimize the impact by dumping US bonds and buying gold. The Fed will monetize ever increasing exponentiating US debt until crash of the FRN and that in DC, with the totalitarian politicians in control, with the FED monetizing debt and thereby holding out the FRN as viable, to the bitter end, which it will be. Japan is trying to beat the FED to the punch, in a race to the bottom, but will ultimately trash the yen as well. The has FED at lost 97ct per dollar value over the last 100 year, and will go to 99.99, with 9999 bullion replacing it as the world currency. The talk of a gold backed this or that, or a new reserve currency, is folly.

FED Bank Chair Bernake is a Charlatan

In the Russian language (Parusski) there is a word "Monae", that is Money, and its translate into English (Paengliski) simply as "coinage". The Russians are on to something here, from way back to the days of Ivan the Terrible. USA Founding fathers used the term money, in terms of coinage as well, and that is, particularly gold and silver money, which I suspect dear old Ivan, would have been in complete agreement. Its reflected in our constitution as well. Gold and Silver, the monetary metals are precious, cant be printed as paper that is "not worth a continental", and are fungible and divisible into smaller units, the hallmarks of money, literally, as in the American west, where silver dollars where cut into pie shape wedges, 1-8th, call bits, and the cowboy could get a shot of whisky for two bits, you bet!

Just after the turn of the 20th century, the banksters wanted to control the money the supply, and Woodrow Wilson caved, creating FED BANK, its FEDERAL RESERVE NOTE, the paper dollar, and of course, the IRS thuggery, and hence the starting gun of the great kensysian experiment in paper money. But they could not just start printing gold-unbacked paper, as the Americana mentality back then was that only gold and silver are money, and would not buy into a "naked" fiat dollar. So, first there was the gold/silver certificate, to get the people first using paper money, to get into the peoples hands, and that was trick and easy, for as long as the Federal Reserve Note was 100% backed by monetary metal, it was accepted, and used, while the banksters, in their smoke filled back room started screaming, HOOK UP!! HOOK UP!! HOOK UP!!

The license to steal fatacompli, and out comes the paper, not fully backed, based upon reserves requirements, the printing presses fired up, and off to the races of UNLIMITED MONEY PRINTING. Then came the boom of the roaring 20s, and of course, the bust of the depression. But no crises by the totalitarians should go unexploited, and Raw-Deal FDR took it a bit further, effectively confiscating the people's gold, and the poor saps about the country, not knowing any better, worship FDR, the court-packer dictator. Co-victors of the great patriotic war, the US was riding high and mighty, with a gold reserve second to none, and a paper dollar, everyone around the world could trust, and thus, the dollar became the world reserve currency. They knew we Americans were on all four, and that our printing money was literal backed by gold to any foreigner (but not US citizens) that COULD REDEEM THE FEDERAL NOTE in gold coinage. The US kept the printing paper money. But the rest of world had no problem with the US printing paper currency, as they were subjected to the US gimmickry, and wanted gold for US paper money, until of course, the drain of the US gold stock was a torrent, and Nixon, in a effort to preserve the last of the US gold hoard, closed the gold window, and thus, the GRAND global experiment in fiat paper money.

Simple truths are at times hard to fine, but not here. A "note" is a promise to pay. Foreigners KNEW WHAT THAT MEANT. A currency note is by definition, a PROMISE TO PAY. The Federal Reserve Note could be REDEEMED in gold specie. A "note" is a promise to PAY. PAY? you ask, what do you mean pay. People still to this day understand what "pay" mean. You work, you get paid. You buy goods, you pay up. YOU PAY MONEY. Now most people are not so sophisticated to distinguish the subtle difference, whether you "Pay" or "GET PAID" in monetized metal (gold and silver) or in monetized debt, the paper FEDERAL RESERVE NOTE.

The federal reserve note is a promise pay. The promise to pay was a promise to pay in real money, gold and silver coinage. The federal reserve note is modernly an irredeemable note, as THEY WONT PAY on their note, they wont redeem in specie. Do to the WW FDR LBJ BHO, mostly, the federal budgets have ballooned to fund their vision of THE GREAT SOCIETY, where all are reduced as humans, and enslaved as tax mules or dependents. In order to fund OUR GREAT SOCIETY, with deficits and effectively no-debt limit, the Federal Reserve must monetize government debt, and thereby print money, in continuing exponentiating amount, to where all should see the Federal Reserve Note, as an irredeemable ponzi coupon. You bet!!

The US purportedly, (but don’t count on it) has 8K tons of gold, which is claimed by many to have been encumbered, leased, swapped, and loaned out, (to maintain an image of a sound dollar), to where we have actually, no real gold left, but perhaps some PROMISE TO "PAY" it back, a paper promise. This makes absolute sense. They refuse to audit the US gold reserves, for if the truth be known that the US government has squandered the people gold, the last treasure of the US, an uprising and chaos would immediately ensue. It should only take 1 month for Germany to get ALL their gold back, not over 20 freaking years, in dribbles. Charles Degaul, of France, merely sent over a couple of battleships, to pick up their gold, from the US, in one go, way back when. No big deal then, but today, with bullion manipulated to support the fiat money, with depletion of on-time US gold, Germany can only get it over decades.

Ben Bernake knows economic history, and is not stupid. He knows what we know. The Federal Reserve Note is now suspect, it must be printed in exponentiating amounts to fund the totalitarians in DC, and that IT WILL COLLAPSE as we have long gone past the point of no return for the fiat paper dollar. The only option left, is exponential printing, until it does. He knows what all the other central bankers know, gold IS THE ultimate extinguisher debt, that is, it can be used to PAY off any obligation, ANY WHERE, ANY TIME, ANY PLACE. Why? Because its real money, accepted by all as PAYment, for 5000 years. Central banks around the world ARE BUYING GOLD, for they see the irredeemable ponzi scheme for what it truly is, the lightening rod of the collapse of the global fiat complex. Bernake claims gold is not money. What it really means is that he will lie to keep the ponzi scheme going, he only wants monetized notes, that is paper currency, to remain as the medium of exchange. The congressional bafoons should ask ben some simple questions, such as, is a note a promise to pay. well well stammer stammer, yes. Is the federal reserve note, a note? well well stammer stammer, yes. Can you pay off a note with money? well well stammer stammer, yes. Is gold money?  NO. Bernake is a fraud and charlatan, trying to maintain the paper fiat regime, the irredeemable ponzie coupon, and will lie and perjure himself, WITH IMPUNITY, before congress and the people, to maintain that totalitarian socialistic fascist racist DC.

BHO is a Wall Street Occupier

The NY Attorney General office announced this day a suit against JPManipulator for selling bogus Mortgage Back Securities. JPManipulator, in its first dodge, said it relates to past conduct of Bear Sterns, taken over by JPManipulator. So, with one month to go to the election, the BHO admin gets tuff on wall street. Of course, MF Global, the CDS libor scandal, among countless others, just get a pass. THIS IS SUCH A FARCE. Sure glad the election cycle is in full swing.

Federal Judicial Corruption sent the CFTC position limits back for clarification, so that the commodities dont explode in BHO's face, just before the election, as JPManipulator's concentrated position, based in part upon the Bear Sterns take over, will provide yet another dodge, when, AFTER the election, position limits might be imposed. The federal government is an absolute farce run by totalitarian fascist elitists, with the election games and pandering. BREAKING: NY AG sues JPMorgan Chase over mortgage-backed securities; case first of series expected against banks by WH task force - WSJ

Just in time for the GET TUFF on wall street image, after getting the campaign STUFF from wall street, seeing how NO ONE has gone to jail despite the crimes, MF global, libor, etc etc. CFTC at least recognized a problem on the CRIMEX. Wonder when they take the lid off? The judicial decision in my view is an election delay tactic, as the obvious result of an imposed position limit will rock the commodities, send bullion higher and expose the dire position the green back is in. BHO sends it back for clarification, DAMN IT, get me passed the election!!! They see the charts just like we do, and 1805 gold takes it to new highs and blue skies. These lock step 2300 gold predictions, Pete and RePete, with election over and fiscal cliff, may take it much higher next year.
JPM: Action by NY AG relates to activities undertaken by Bear Stearns before acquisition at behest of U.S. Govt.; will contest allegations

Was not Bear Sterns all over the SHORTs in silver as well, and JP bought em out, so as to keep the shorts active. Cant recall, but this DISCOVERY into the derivative will expose the monstrous short positions AS A SO-CALLED hedge. Im thinking of the Zulu attack, AG and CTFC, and kaboom .... 4000 gold ...the dow/gold will get to 0.4. Stay tuned.
The only way we will free ourselves from the IRS thuggery and companion fiat money, enslavement as tax mules or dependents, and the whole fed complex used to social engineer us by the Federalies, is for the monetary blow up, and only then will freedom ring be heard from the rising phoenix. GO BEN GO BEN GO BEN, I want my freedom back. GO BEN GO BEN GO BEN, trash that paper trash, and destroy that power elitist in DC. GO BEN GO BEN GO BEN!!!!

BHO is GW Bush on Steroids

Mitt is DEM LIGHT. The republicans, the cave in party, are a farce, because they really do not propose big changes necessary to eliminate all social programs at the federal level, and return those powers back to the individual states, per our constitution of a limited federal government of enumerated power. The republicans give mere pretend farcical lip service to constitutional republicanism. Mitt is a liberal, big government guy, pretending conservative values, and thus a farce. At the least the current DEM prez makes no bones about it, he is a true, big government, totalitarian, socialistic, fascist enslaving us all as tax mules or dependents.

With GW Bush, starting the bankster bail outs, with tarp farts, BHO is GWB on steroids. There is no real choice because they are basically the same, concentrating more and more power in DC as the de facto totalitarians that they ALL are. I would vote for T Jefferson instead, by ranting on blog damning of the political complex, for selling us out to godless, immoral, corrupt, and financially bankrupted, socialism. It is getting very close to the time of blood spilling with US tanks on Wilshire Blvd. Maybe this decade. Bernake will kick the can, no choice, and print more electronic money, until the fiat paper money is of no value, economic devastation, riots, and the implosion. And ya can blame it on the totalitarian socialist fascist pigs in DC destroying, day by day, our freedoms from government. Its getting close to REVOLT against our DC enslavers, as public strife is out of control.

I would dismantling the FEDERAL SOCIAL COMPLEX. Propose tax reductions and FEDERAL government downsizing. Example: Student loans (THAT SERVE STATE INSTITUTIONS) should be passed off to private banks, at discount, and turn the program over to the many states and LET THE STATES MANAGE their universities. There's a novel Idea, eh? FED GOV, stop enslaving our students with your federal LOANS! Unbelievable what the Federal Government has done to ALL OF US.

BHO Administration are Duplicitous Thieves

BHO smiles stirring up the 40 million on food stamps, Tax the Rich!!, is the cry, while the social dependents drool over the prospect of free filet Mignon, when all know that the such a tax would be a drop in the bucket towards reducing the deficit, which is the OTHER TAX, the one that aint called one as such. The supreme calls the Health Care Fine, a tax, with the double dutch, so lets be good Americans, and stand by the high court, and follow their lead. The EVER growing national debt, guarantee QE to infinity, the destruction of global paper currency, the TAX on savers, diluting the value of their hard earn money. THAT WILL TEACH THEM, to save, having not only an accumulative 70% in taxes taken, but what little is saved from the remaining 30% over living costs, the government, with FINANCIAL REPRESSION, will make sure those saved dollars and T-Bill are reduced in value through over money printing, to effectively, lower the value of the national debt, and in so doing, EFFECTIVELY TAX all the savers by dilution. Income earners are not only taxed the tax rates, but are DOUBLE TAXED again, by the amount of deficit spending, which result in more FED printing and more devaluation of the pay check. Hence, the US Government, according to the recent supreme court ruling, says deficit spending is really a hidden tax, ITS A TAX, done by deficit spending, so, why dont we stop kidding ourselves, and let call it another power grab in yet another tax.

Deficit Spending, championed by the US Gov, led by that totalitarian socialist in the whitehouse, WILL EFFECTIVELY TAX more to insure that all are enslaved as tax mules or dependents, which will/is destroying the middle class and throwing more into poverty each day, while the TAX THE RICH result may increase revenues less than one percent, it is ABSOLUTELY meaningless for fiscal managements and only serves to once again, destroy the productive, in the name of pandering political power.

THE ONLY WAY TO MINIMIZE the long term consequences of the paper printing kick-the-can games is by one simple act. Treat Gold and Silver as a legit currency without capital gains taxes, because there is no capital gains, no increase in value, just illusionary increase in the number of ponzi coupons (U.S.Dollar) it is marked to market. In so doing, paper money is destroyed, the central bankers cant print it, and the politicians are forced to live within their tax collection means, and then, and only then, after much recessionary pain, will their be a return to more freedom from government and long term sustained prosperity. The founding father had it right, gold and silver is the only legal tender, and the prohibition against irredeemable paper ponzi coupons that aint worth a continential.

BHO is a duplicitous fraud. This country is NOT THE ONE HE REMEMBERS, based on socialism. BHO is a duplicitous fraud, champions the lower classes, yet destroys their savings, destroys their paycheck, put them on the doe without hopes for increasing jobs or prospects, and does so with unsustainable deficit spending, paper money dilution, and the necessary collapse of prosperity in the low-middle classes. BHO may cry TAX THE RICH, but they are smart to reallocate assets, and so, BHO in effect, destroys the low-middle classes with deficits, throwing more and more on the government doe.

US FED BANK indirectly kills 40,000,000

W Wilson was right, he ruined the country, creating the Federal Reserve Bank, using its printing press to create the boom of the roaring 20s, the depression of the 1930s, leading to a global depression, and the rise of dictatorial and totalitarian fascists, that plunged us in WWII, and the loss of 40,000,000 human beings. Our founding fathers knew the evils of fiat paper money and totalitarian fascist rule, and set forth, IN PLAIN LANGUAGE, a limited federal government, a republic of states, where gold and silver was the only legal tender. In 1913, when the US took the left paved road, to now, where our people are enslaved by the totalitarian federal elitists, as either tax mules or dependents.

THE LIBERALS and their printing presses caused the MURDER of 40,000,000 people worldwide. But THEY CAN DO BETTER THAN THAT, in WWIII coming soon, as soon as they have to cut the food stamps, and look out, draft laws will be enacted for the next great world affair, as 43 MILLION OF MY COUNTRYMEN are enslaved on dependency, on food stamps alone. ITS APPALLING!!!!  Lets give em all guns and find an enemy, and eliminate that problem. We were a free people. Not any more.

The five pillars of freedom, god gold guns land and vote. Gold is making a come back in the face of the PREDICTABLE and absolutely necessary implosion of fiat paper dollar, but it will take another global depression to deleverage debt and vanquish fiat paper money, hopefully, once and for all. The vote is now a joke as both parties vie to pander the people, vote for me, and I will give you the goodies.

The tea party won a stunning victory in the mid terms. And what did that vote get them?????? Nearly zero cuts, and 2T$ more is spending room. THE TEA PARTY won the vote, but lost in the DC, of self-centered, kick-the-can weak-minded fascists ruling the US. Yeah, Americans, go vote, and see what that gets you. ZIPPO!! Just more kick the can by the TOTALITARIAN COWARDS running the country.

The debt ceiling raise: 1) insulted the Tea Party, rendering their votes meaningless, in a corrupt bought and paid for totalitarian democracy, now a farce; 2) gave more room for the totalitarian socialistic fascists in DC to: tax and spend; inflate and rob, take and give, incentivize and control, and socialize and corrupt; 3) cemented political power in perpetuity, rendering us all tax mules of or dependents on the nanny state for ever and ever.

In the continued and IRREVERSIBLE slow train wreck of the global fiat paper money complex, all fiat money eventually goes to zero value, because the politicians can not help but throw money at everything, and because the absurdity of socialism that rewards all unproductive acts and penalizes all productive acts, in combination with the people having adopted the indignity and self-disrespect of relying on government to solve their problems and provide as necessary, and thereby debase the paper money world wide, through competitive devaluations, leading to loss of confidence, hyperinflation, (but this time on a global scale), and implosion of economies around the world, until such time there is a mean of controlling them, and that means GOLD and SILVER coinage money, which can not be printed at will, and has no liabilities or counter-party risk.

The ship is going down because Americans have bought into the nanny state after 100 years of political leftist pandering, vote for me, and I will give you the goodies. There's your cultural self-indignity, self-unreliance, and self-disrespect for you,
an absolute and predictable consequence of socialism. And as the tea party voted them in, AND IT DID NO GOOD, in effects,
time for PLAN B. The only remaining question, is, do we miraculously avoid losing 500,000,000 in WWIII, as world wars always come during global economic depressions???

DC Politburo votes themselves 2T$ more

The Soviets ruling DC voted themselves another 2T$ in debt limit increase to enable them to further pander the people in cementing their political power. Vote for me, and Ill give you the goodies, and they do. WHAT ELSE DID YOU EXPECT? Front loaded cuts? That are serious cuts? Give me a break. The tea party be damned, and were made fools, by tri-parte enslavers of the US citizenry as either tax mule or dependents, as power more and more concentrates in DC. The ONLY WAY the US is going to regain its roots as a free people, free from enslaving government, is to respect the constitution. No fiat paper money that aint worth a continental, per gold/silver provisions in the US Constitution. Eliminate all social programs at the Federal level to return to the states their states' rights to govern in area of social services, and restore the republic of states. Until these two things happen, and they wont until there is a devastating depression to deleverage the debt, and tax and spend is brought under founding father constitutional mandates, the politburo will just make nice words, but act to continue the same oppression by the DC elitists. Reagan's evil empire has reappeared, and is concentrated in DC, under the USSA banner.

Here is a definition and argumentation for the Management of Perspective Economics: "The conscious and intelligent manipulation of the organized habits and opinions of the public is an important element in democratic society. Those who manipulate this unseen mechanism of society constitute an invisible government which is the true ruling power of our country." – Edward Bernays

In our view, in the not too distant future, the interest payments on the outstanding national debts in the overstretched 'developed' nations will become so large that their central banks will need to create money just to keep the Ponzi schemes going. When that happens, the game will be up and we will probably experience a total breakdown of the fiat-money experiment. At this stage, we do not know when the day of reckoning will arrive but we do know that all Ponzi schemes ultimately collapse under their own weight and this one will be no different.


Investors cheered as the accounting gimmick known as mark-to-market was softened by the Financial Accounting Standards Board. And not a moment too soon, as these rules were destroying our financial system. We can allow ourselves a moment of thanks that common sense prevailed for once. But there is still much work to be done.
Here is another example of the propaganda stream, and try to guess how many out there in la la land are buying it. How many of you all out there are going to buy into that STINKER? This is propagandizing and here is why. one man's opinion, I could be right, you make the call.
These toxic assets HAD NO EXCHANGE TRADE, and hence, had no means of evaluating their FMV, as no one has a clue as to what they are really worth, (estimates are 15c/$)and can be peddled as the fraud they are (secretly OTC). The problem was, the lack of congressional regulatory oversight of the banksters and hedge funds, the lack of exchange market FMV determinations, the lack of mark-to-market real accounting of accurate worth, AND THE USE of Mark-to-model gimmickry accounting (which ever model you conveniently choose), so that the banksters first make the bonuses on the sale, and hide the fraud OTC, with the rating agency in cahoots, and can hide their FMV and the losses from the public, to further their fraud on the investing public, while pocketing their bonuses on the sale of these toxic assets.
There is your values, mislead the investing public at any mark-to-garbage accounting GIMICK you choose, to maximize bankster fraud. Hiden loses and mark-to-model accounting can protect banksters from disclosing true losses and while inflating bogus balance sheets. Sure the investors will cheer, because anything that increases the value of their shares, EVEN IF BASED UPON FRAUDULENT ACCOUNTING METHODS and FALSE BALANCE SHEETS, will be cheered and gladly accepted by investors, (so they can get out and leave other unsuspecting investors holding the bag), the banksters (who contribute most to the candidates for offices), in perpetuating the FRAUD ON AMERICA, can lock in the BAIL OUTs, and FRAUDULENT ACCOUNTING, recapture their capital losses, to cement our OBAMINATION.
Instead of coming clean and perfecting exchange traded real values of these toxic assets for investor protection with sufficient regulatory over sight of the banking greed, and taking the losses, they try to perpetual the financial crimes with deceitful gimicktry to recapture losses. It was the lack of regulatory oversight of honest mark-to-market exchange accounting to perfect fraud IN THE FIRST PLACE that DESTROYED the financial markets, and now trying to COVER IT ALL UP and get back to that status quo, for the sake of inflating share values. GWB-BHO bails out the banks, effectively hiding losses as best they can, and Forbes cheers on the mark-to-GIMICK accounting to do the same. This is a cover up of Bankster Fraud, and the result is, well you guessed it, fiat collapse and ruination for most. And now we tax payers get to underwrite the fraud and pay off the banksters with 13T$ of MORE DEBT.
I can understand that the banks, shareholders, funds, FED and the gov, and many with their life savings on the line, in a grand hide and don’t tell defacto conspiracy, not wanting to fully disclose losses, as that would cause further deterioration of wealth, (which is already deteriorate in worth but not being officially recognized as such trying to be being hidden from view), but when it is all a massive cover up, using off balance sheet losses (Enron) and uses mark-to-model gimmickry accounting of derivatives, TO PRESENT A FALSE SENSE OF WORTH, then you pervert the accounting system and defraud investors, which is based upon a perverted fiat dollar anyway, where the our so-called "limited" gov uses the unlimited printing press and unlimited debt to mask the systemic financial fraud through bail outs, rewarding and sustaining the fraud. Cover up should not be used, even if noble in intent to save the general economy from further deterioration. It is call morality and honesty, which was all thrown out, in 1913, when the FED/IRS/FAIT complex was created in the first instance. Most Americans have no clue, the fraudulent propaganda working its intended magic.

Goldman Sack reported a billion in profits. How many of you out there are buying that stinker, as the CNBC fools jump up and down, telling all, the bottom is in? Estimates are that GS is 80B$ insolvent, along will all of the major banks. JPM would go down as well if their 80T$ derivative blew up, but probably already have, just not reported, or if bullion traded freely as well, and squeeze JPM monstrous bullion concentrated short derivative positions. Why, because they all peddled fraudulent toxic assets around the globe and use derivatives to control markets as hidden governmental interventions, while rewarding the officers in bonuses for it, and now the losses and law suits are coming, and while the fraud is trying to being masked and hidden, by bail outs and accounting gimmickry, and created by a lack of oversight and mark-to-market accounting of toxic assets. Apparently, Mr. Forbes likes the gimmickry to hide the losses to preserve APPARENT wealth, hoping like heck these toxic assets miraculously come back to substantial value. It may well work, the obscene bailouts, the off balance sheet hidden losses non-reporting, the on balance sheet mark-to-gimmickry accounting, pretending all is well, hoping the economy and real estate come back, though I would not count on it, any time soon, but fraud should never be covered up. Or should it? Morality is what is really in play here. Bush said, he had to give up on capitalistic principles to save the capitalistic system. That was at least an honest statement, though I wonder if long term, it was the smart play, and if it really doesnt matter after all, as all fiat eventually collapses under the weight of its inherent fraudulent nature. Pretty sad state of affairs when fraud is used to cover up fraud to cover up the inherent fraudulent nature of fiat money using ALL THE TOOLs AVAILABLE, including the printing presses, massive increases in debt, off balance sheet accounting and on balance sheet mark-to-gimmick accounting. But then, what do you expect when the whole system is based upon a fraudulent fiat paper dollar?

So, the question really is, do we sacrifice what morality we have left (if any), using ALL TOOLS AVAILABLE, to save irresponsible banks from the corruption of the bonus pocketing fraudulent CEOs to preserve that status quo of APPARENT BUT FALSE WEALTH? I would stand on principle, let the banks fail, and liquidate them go BK, wipe out the shareholders, as is normal, restart the very same banks, and force oversight regulation on the use of derivative restricted to exchange trades only and determined FMV so that the markets can determined the worth as is normal, and move on. The damage has already been done, and is baked into the cake, and the sooner we take the hits, the sooner we get pass it. I am not an expert by any means in finance or banking, that is sure. But I am not stupid and can read and think, and it seems this is where we are at. I could be wrong of course, but I doubt it.

On the bright side, the damage may be so severe that fiat collapses, anyway and we return to real money, honest banking, and true capitalism, instead of all of this fradulent finacial engineering using ALL TOOLS AVAILABLE, by the FED bank and government. So, cheer up friends, misery may be on it way, to a glorious rebirth to real money and demise of the FED/IRS/FIAT enslaving complex.

The left through inflate-and-rob, tax-and-spend, and take-and-give want a welfare state. The hand outs are a dependency that degrades the work ethic, decreasing productivity, but provides the quid pro quo safety nets. The welfare state requires a fiat currency and a big government, where fiat leads to boom-and-bust and eventual collapse, being self-defeating. The taxes degrade savings rates, so people don’t save because they have no money and besides the state is always there to help out, making the people even more dependent. The taxes also serve to degrade incentive by greed to achieve more and more.

The right (and I don’t mean republicans merely being democrat lights, I mean the REAL FAR RIGHT, capitalistic libertarians), want no taxes, no welfare, real money, and limited government. The benefits are higher productively, honest money, self respect, self reliance, relying on personal charity. In the end, it is really a matter of what you want.

Do you want a society that has a limited average standard of living, responsible for your neighbor life style, totalitarian enslavement and its inherent corruption and limited freedoms, with socialism where unproductive people are fed and productive people are punished, so as to even out all the people within a smaller range of wealth, or, do you want the highest average standard of living, responsible only for your own life style, with maximum person liberty and freedom from government with less corruption, with capitalism where productive people and unproductive people are paid accordingly, so as to separate people with a larger range of wealth. I pick liberty, Iam an American. I pick capitalism, Iam a producer. I pick personal responsibility, Iam self reliant. I pick personal charity, Iam charitable. I guess if I was consumed by angles (code or a liberal elitist) or an unproductive person, I would pick enslavement charity, socialism, and the safety nets.

Targeted Inflation and Bank Reserves

    The FED targets inflation to 2%, which is a 2% annual debasement of the currency with the hopes of 1) increasing money velocity, and 2) inflating the national debt away. However, the QE and ZIRP policies have initiated a deflationary spiral destroying any inflation theft, which is taxation without representation. The FED also pays interest to commercial bank reserved deposited at the FED, so that, the commercial banks can borrow free ZIRP money and then deposit for a sure profit at the taxpayer expense, while destroying bank motivation to lend money and thus destroys money velocity with no chance of increasing economic activity. The FED is a corrupt and incompetent institution. The FED has destroyed our money, destroyed our markets, destroyed our economy, transfers wealth from the 99% to the top 1% and should be nationalized under the US Treasury.

American Monetary System

History of the Federal Reserve

Workings of the Federal Reserve System

United States Debt Collapse

Federal Reserve System Audit

Felons at the FED


Quantitative Easing is a soft money monetary policy where the Federal Reserves buys assets, to in quantity, to ease a sectors. In the case of mortgaged back security, the FED purchased toxic assets. In the case of the US Government, the Fed buy US Treasury Bonds. In both cases, it is referred to as money printing. It done for stimulus purposes, generally, but as the FED has destroyed the dollar over the last 100 years, QE is now get a negative return, that is, for every dollar of QE, a negative amount is added to GDP. The QE is now merely used to keep the banking financial system from imploding, as things have gotten that bad. If the QE continues, referred to as kicking the can, in financial terms, the economy will implode from hyper inflation. Despite officially having stopped QE, it is purported that the FED is engaged surreptitiously in QE even more, estimated at 1T$ a quarter, through REPO markets and foreign entities. EU and Japan are currently engaged in massive QE in the global race to the bottom in currency war. If the FED stops QE, the economy implodes. If the FED raises interest rates, the equity, bond markets collapse the economy implodes. If the FED continues with QE, the economy implodes from hyper inflation. The as used all its tools and is trapped. 

QEIII, unlimited debt purchase, the last nail into prosperity's coffin, as once started, it can not be pulled, as such would cause an immediate and devastating depressionary deleveraging, (read economic collapse) turning the now GREAT RECESSION into the death march of capitalism. ZIRP, zero interest rate policy, as no longer is savings encourage to accumulate capital to invest and provide real productivity gains and REAL GDP growth. TWIST, using ZIRP to replace long term maturities with short term maturities, so as to keep LONG term rates low as well. The FED bank is sitting on the yield curve, and hence its not free market yield curve. When the 10 years went sub 2%, GAME OVER to capitalism.This would not be necessary if foreigners were "happy to buy" our debt, and why would they, when that debt is buying Toxic Assets not worth the paper, or treasuries, being based on dollars being intentionally debased? The Fed is pulling out all the stops, to prevent normal business/financial develeraging, normal corrections, in free market capitalism. The consequence of interventions always ends up bad. The administration has only two victories, killing a terrorist, and saving GM, but the terror goes on, (Libya) and GM is now To Big To Fail, and the corporate attitude that they will be bailed out, the moral hazard, affecting all from the Banks to the People. But the jump into hyper-inflation, the real collapse, will occur also when 2000T$ derivative of dark-finance hedges with inherent counter-party risks and contagion, explodes, triggering massive interlocking contagion during reciprocal interlocking CDS demands, where counter party risks become realized,  and no one gets paid from their debtors to pay off their creditors, as the financial melt down and hyperinflation takes hold in an economic death spiral, the death nail to the middle class, when the whole system goes KAPLOP.

Humans are generally weak minded, taking the easy, expedient, and at times, the under-handed path to power and control, pandering folks, vote for me and I give you goodies. It is not that social nets do not have a place, as they surely do, AT THE STATE LEVEL per our constitution of limited federal government. But when the federal government entered the world of safety nets, the capitalistic game was up, financial ruin the only out-come.

The Federal Government must STOP ENSLAVING Americans as tax mules or dependents! Abolish the FED. Abolish fiat paper money
Abolish Federal Social programs. Abolish all taxes that penalize Income (income, capital gains, inheritance). Abolish all taxes that promote dependency (worker compensation, unemployment compensation, social security). Promote exclusive federal taxes that penalize consumption (a national sales tax, pay and forget like the gasoline tax, and give the earth a break from corporate ruinous exploitation, promoting the most cost effective use of natural resources whilst getting the IRS thugs and Tax Attorneys out of the terrorizing loop, and free the people from government). Promote exclusive state taxes based upon in rem property.
Promote within the various states safety nets, state university funding, and all social programs, and let the states compete for all those the disadvantaged, so as to provide the most cost-effective welfare system with little affect on the over all economy, It seems that the more its all understood, the more the founding fathers had it right.

Ron Paul is right, eliminate all taxes on bullion coins, its mere money any way, and why should we be taxed on exchanging one currency for another? Here is why those totalitarian socialistic fascists in control, want to tax bullion coins. Eliminating bullion coin taxes would help send fiat money faster to its ultimate destruction, thereby defeating through market forces, the printing presses, which is the means used to enslave us. This is why CBs, through their bullion hit men, eg JPManipulator, manipulate and suppress bullion prices. They want to the peeps to have confidence with the worthless paper money con game. All fiat currencies eventually go to zero value, anyway, because of reasons stated, lack of political will for balanced budget, more and more hand outs, etc, thus the implosion, based upon the nanny state insatiable need for deficits enabled by the money printing presses. It will happen anyway, as intelligent Europeans/Americans line up, in increasing numbers at the bullion coin shops and banks to get protection from the vile central banksters.

Fiat paper money has no intrinsic value, and has inherent value bases upon, threat of imprisonment if you dont pay taxes in that paper money, hence, the artificial demand, leveraged by manipulated interest rates. Hard real money has intrinsic value, and cant be just printed, as it takes money value, energy, and much work effort to find and develop mines and mint the bullion coins. And once made, it retains its intrinsic value, or so it has for the last 5000 years, that all can trust, real honest money, and that cant be devalued by the printing presses which robs us all every day of our lives. Destroy paper money, and that obscene socialism blow up in smoke, as we are all witnessing these days. But removing taxes on bullion will speed up the necessary and inevitable implosion of fiat money. And until that happens, sustained economic growth, and freedom from government, is but an illusion of market interventions, and government manipulations, perfected by the Central Banksters' printable irredeemable ponzie coupons.

Bernake claims gold is not money. That is simply a lie under oath, and he knows it, He claims he wanted to save the banking system. He  He wants to save the totalitarian printing presses, so as to feed the banksters in corrupt fascism.

USA Deflation Inflation Spirals

The USA is facing a double spiral into economic ruination. The deflationary spiral is an economic deflation and is the characterized by a continued drop in the participation rate. It has as its drivers the lost of manufacturing and lost of real wages. The unemployment rate is nothing but another bogus government statistic, because the unemployment rate is only a short term indicator of those recently unemployed in comparison to the work force, rather than the unparticipation rate in comparison to the work force. The work force could actually decrease while the so called employment rate actually increases, because the real number of the employment rate is based upon the total work force of working age minus the participation rate. As the participation rate continues to fall, the employment rate actually decreases, as the unemployment rate increase in real work age people. Thus, you have another false statistic, because rate of employment decreases, as the real unemployment rate increases. This is just a MOPE statistical means used by government to falsely indicate the state of the economy. Thus, government unemployment data is bogus, and is used to MOPE the people to sustain political power.

The inflationary spiral is monetary inflation and is characterized by an increasing FED balance sheet, which is also known as money printing. It has as drivers fiscal deficits and targeted inflation rates. When you print paper fiat currency, you have more paper dollars chasing the same or fewer amount of goods, and thus the real inflation rates increase. Monetary inflation, the number of paper dollars, eventually leads to price inflation, which is a real inflation rate that is of course under reported. I paid 14$ for a Johnny Rocket hamburger, shake and fries the other day. The government tries to hide this real inflation rate, running at about 10% per year, by cherry picking some economic data, such as costs of I-phones, rather than real items, such as food, rents, and energy, which are those things upon which the people must survive. Thus, government inflation data is bogus, and is used to MOPE the people to sustain political power in our totalitarian democracy.

The economic deflation and monetary inflation combine to show continued economic collapse, characterized as stagflation at best, where real wages decrease and the real cost of necessities increase, during the continued economic slide. There have been no green shoots, or economic recovery, or increase in manufacturing, or increases in real wages, but there is ZIRP or QE free money, fiscal deficits, increasing national debts and repeated bubbles in various markets, the hall mark of fiat paper money.

JPM is now playing Dumb, as they need political cover, and that is it, just like BSB saying gold is not money, and he dont understand gold, yet an expert on the great depression when FDR confiscated the people's gold, and a banker, to boot. JPM, the FED hit man, has to sell the political cover, as bullion rockets, making the FRN a poor alternative, the irredeemable ponzie coupon, the FRN. JPM dont lose, because they have the best people and market dominance. To suggest JPM cant understand why gold is in backwardation is farcical. But what do you expect, without admitting wrong doing yet paying a series of fines, the hallmark of RICO racketeering. What's the difference, between, a bold face lie, or a damn lie, or an intentional falsehood? None. The FRS is corrupt, as is the paper FRN currency, as is their henchmen, including the mob boss JPM.

Since the creation of the Federal Reserve System (FRS), the dollar has lost 95% of its value, for a 20:1 decrease. Since the creation of the FRS, the extreme highs and lows of both real value and nominal value have been caused. Since the creation of the FRS, the DOW has experienced nominal values extremes of highs and lows with the tops and bottom forming an expanding horn. There is only one outcome of this economic deflation and monetary inflation combination, as part of a corrupt economic and political singular system, and that is economic ruination. The Dow/Gold ratio should reach 0.4 during the current cycle of economic down turn, mostly characterized as stagflation. The system can be fix by returning to constitution real money and nationalizing the FED under the Department of the Treasury.