Feeding Lemmings

This morning I had an epiphany! The economy didn't crash because of poor regulation. Rather, it crashed because bankers were running out of people to loan their cheap money to. After a while, they got less picky and started giving mortgage loans to virtually anyone.

But it wasn't their fault! This was necessary to keep the economic engine alive. The banks had to find a place to funnel all that Federal Reserve money, and property was the ideal investment. And with all those dollars chasing property, real estate went up, meaning more equity for home owners, less riskier investments for banks, and more tax revenue for state and local governments. What a grant deal it was for EVERYONE.

Until it all collapsed ...

And it simply collapsed because the banks ran out of credit-worthy people to give cheap loans to.

The Sham

The Federal Reserve is a criminal organization that generates quick wealth and then passes on the debt to our children. This wealth is created by buying securities from big banks and giving them cash to loan.

In a carefully planned racket, the banks then loan out the money to consumers and companies, which results in short-term business expansion and job creation.

But who is paying for this cheap money? YOU ARE!!! That's because every time the Fed dumps money into the economy, there is inflation. If you are a responsible person who saves money, the value of your savings shrinks due to intentional inflation. In effect, inflation is a tax that is imposed upon you. And in effect, you are subsidizing cheap mortgages and business loans. Do you think a bank could really afford to give a 3% loan without subsidization? HA! Your children and grandchildren will be paying the loan's true worth in the form of NATIONAL DEBT!

Debt is Evil

The Federal Reserve is a Ponzi scheme that can only work by accumulating more DEBT. As our government takes on more debt, that means more money is spent paying interest (usually to overseas investors) instead of going back into the economy.

If we had a balanced budget, I wouldn't mind paying taxes because every one dollar I gave to Uncle Sam would go back out into the economy. But right now, many of my dollars are going to CHINA!

Now, Uncle Sam is in a bad predicament, because he is one of the biggest customers in the economy, and if he is spending all his money on foreign interest payments instead of providing goods and services to the people, two bad things happen: 1) Social upheaval, and 2) Uncle Sam must borrow EVEN MORE money to keep the economy alive. As you can see, this creates a vicious downward circle.

Tea Party Wrath

Tea Party folks are pissed off, and I don't blame them. They know something bad is going on, but haven't figured out exactly what. Certainly, our last two presidents and Congress should be held accountable for the serious financial crimes they committed -- the bailouts and stimulus plan. But don't get so mad at them because they were under intense pressure from the banks to take action. This is really bad because instead of punishing Wall Street we rewarded them. The public was told that the bailouts were necessary to avoid a depression, which is just another of the many lies we are fed daily. The truth is that the bailouts ensured that the rich and powerful stayed, well, rich and powerful. And that is the entire point of the Federal Reserve System.

Environmentalists, Wake Up!

Environmentalists are a noble lot, but they are always chasing symptoms instead of addressing root causes. It is the Federal Reserve that has gunned the throttle and caused our economy to grow at an artificially rapid pace. All the cheap money for loan allowed developers to have a feeding frenzy on green space. The rapid growth polluted our air and water, and masses of human laborers were needed to work in the economy, and thus, mass immigration. As an environmentalist, the best thing you can do is work to dismantle the Federal Reserve.

Life Without the Fed

Without the Federal Reserve, life would be slower, but more sustainable. Loans would be hard to get and expensive (since they won't be subsidized by your children). This will force people and companies to live within their means. This means that individuals and businesses will actually have to save up for something before they buy it. Holy crap, this is the way people USED TO LIVE!

Alongside all this cheap loan money, we've created a culture of consumption. Everyone has to have everything, and they want it now. Cheap and plentiful credit is the cocaine that keeps everyone high and happy. But trust me, you really don't need all your crap. You really don't need to put Christmas shopping on your credit card. You really don't.

Inner Destruction

The Fed has done more than just destroy our economy -- they've also destroyed our souls. So many people now grab on to materialism to provide their "high" and short-term happiness. Few people save, and, hell, it doesn't make sense to save anyway since the Fed-induced inflation will eat it away. So, people live for the present, and on credit.

Summary

The two best things we can do for the economy is to balance the national budget and dump the Fed. This is only fair, since passing our debt to a future generation is both immoral and unethical. I'm surprised since parents will sacrifice greatly for their children to give them a comfortable life and education, but the crushing national debt is not on their radar screen.

Wake up, America!