After reading THIS story in a Swedish paper I sort of felt the need to once again point out the facts of the ages. When a journalist (yes, he is almost a real one!) from the mainstream write things like this, I almost, just for a moment, think that there is still hope.
Of course this guy should watch out, people have disappeared for less...
... but regardless it is time to once again point out the most important story ever told. The following is partly a re-post, but unless you sheople out there get your head out of the sand and understand this, there is no hope left for humanity. I am not joking here. Without this knowledge, we cannot and will never again regain any sort of morality or prosperity. Once The Greatest Depression is here only this, ( ONLY THIS KNOWLEDGE!! ), can save us. Nothing else.
These are facts. Hard, straightforward, irrefutable, undeniable and absolute facts. But since most of you are zombiefied morons let´s take it step by step, and please read it again if you don´t understand my ramblings or have problem getting the point. Can also Google it or ask someone or use the commentator field.
First off; GDP (BNP, if you´re a Swede).
GDP normally is calculated as follows:
GDP = private consumption + gross investment + government spending + (exports − imports), or,
GDP = C + I + G + (X − M)
Let´s see if you understand math at the same level as 13y olds.
What the equation tell us, among other things, is that if Government (G) spend more, GDP goes up. However, governments need to take money from somewhere (usually from “C”) in order to spend money. This means that every time governments do something (at its core) it’s a zero-sum game. A politician can consequently NEVER promise to give you something without first taking something from you, but regardless of how much they take or how they do it, it has NO impact on GDP. None. Zero. Zilch. Nada.
That means that THIS is totally pointless, useless and utter madness. Our beloved leaders always make up crap like this and Oduma is by no means alone, his predecessor, the hairless W chimp, did the very same as you can see here.
There is however one exception from this mathematical fact; borrowing. And, more than likely, that is what the all-seeing Obamination will do.
A government has the ability to borrow on the future. In the simplest of terms they take money from our future, from our kids and our grandkids and put it to use today. They take that money from future obligations such as medicare, or from your pension funds, your savings and our potential future productivity (outside of the above equation). This way they can bring more money in to G and spend it and so bring GDP up and hand over “free stuff” to you (and themselves) in present time.
In addition to direct borrowing from your future (or: STEALING!) they can also borrow money from other countries or larger financial institutes (big banks). Banks and other countries see no problem in lending to government since they always have you, the people, as collateral. A government can mortgage you, your labor and natural resources of our country in order to get loans.
In other words; the more benefits you get - this way - the more enslaved you´ll be.
Never heard that one mentioned in media have you?
These first two options however do have a limit. Either the repayments on such loans get too high for comfort (read the news lately!?) or we reach a situation whereas big banks (or other countries) start to question if the loans ever will be repaid (Greece? Spain? Anyone?).
Also, sooner or later, people’s mortgaged future will be here. People want their pensions, people want their savings and people need Medicare and so that money (now gone) need to be conjured up again once the future as arrived – Today this money is not only gone, they´ve also borrowed upon and spent it again, and again. There are countries out there already owing 3-400% of GDP only if looking at pensions. The baby boomers have just (since a year or two back) started to leave the workforce and looking at the coming years this is a huge problem. Especially in combination with the rest I am about to tell you.
In other words, if you´re leaving to become a pensioner a couple of years down the line; you´re fucked. No money for you!
However there´s a one other way those deemed better can borrow and make you happy today, and this is the tale that surpasses all others. This is the story never told, and what is probably the most sinister plot in the history of mankind. If there is one thing you need to understand in this world then it is this scam of total malevolence.
You see THEY can go to the central bank and get unlimited cash through a magnificent invention: the Printing Machine!
Of course, today, they don´t usually print the money in a physical sense, instead they press a few buttons on a computer and presto (!), new money flow into the system.
A few key strokes on a computer and they can steal your hard earned cash.
What it all comes down to is money. If you don´t know what money is, how it works or what difference there is between value, price and cost you simply don´t understand. Sadly many ignore economics or refuse to listen when someone show graphs – they think that it’s too difficult, too much over their heads.
Economics is based on reality, basic simple arithmetic and common sense. You do NOT need to understand M1, M2, M3. You do NOT need to grasp trade surpluses. You do NOT need know what “asymmetric shocks” are or how they correlate to the euro. Actually you don´t even need a degree or any official education to understand.
This is, coincidently, also why many cornflake-economists and know-it-all tricksters keep throwing about words seemingly thought-up within padded walls of a psychiatric clinic. They protect their area and their own “expertise”.
This is what you need to know:
FIAT currencies – that we have today – are useless and totally worthless pieces of paper with totally arbitrary numbers attached to them. There´s no value whatsoever in our paper (or digital) money. None!
There are two reasons we use these made-belief pieces of crap in commerce. Firstly because governments say we should. Secondly because you, the people, accept it.
But FIAT money is without backing. There are no cars, no refrigerators, and no production as a base for our money. Nothing. And you cannot use it for anything, except maybe as toilet paper. Its phantom “money” printed out of thin air.
Real money (i.e. gold, silver) actually do have value. Precious metals are equal to real money. Gold for example have had real intrinsic objective value and have been THE key go-to commodity since the dawn of civilization.
If you think about it this isn´t that strange. Gold is beautiful, you can make jewelry out of it, and as a metal it has other practical applications – it has value above and beyond the purely monetary. Most importantly though; gold comes in limited supply! You cannot magically bring forth gold! This is why governments hates it; this is why “experts” say that gold-based money is archaic and obsolete – because they cannot manipulate the amount!
Why is this important?
Because if governments and their prolonged financial arm of big banks have the power to print money and control the supply, they can also decide where that money go first AND they can use this power as way of extra taxation. Before I explain why and how, there´s one additional thing you should know. This is probably the most confusing part of this entire story, so please pay attention...
...Money is a static thing that actually cannot change comes to cost and value. If the cost of a pair of shoes is $1 000 000 or $1 have no meaning. It doesn’t matter. Think about it. Does it really matter if that note you´re going to pay with have 1 zero, 6 zeroes or no zeros if all you want to do is buy one item and everything in society is adjusted accordingly?
This is probably confusing to you but if all else stays equal it doesn’t matter what a note say or how many of them they print. If money gets equally distributed throughout the economy nothing would change. They could print $9856844990 trillion or withdraw almost every dollar/pound/krona in circulation and nothing would change. It doesn’t matter whether a cookie costs $1 or $100, as long as all else stay within the same parallel.
Today’s fiat currencies are just numbers, fictive and arbitrary numbers, and so if equally distributed to all at the same time, nothing changes!
Stop here for a moment. This part you haft to understand! If you do not understand, read it again, and again. Check online. Do whatever you need until you do, because this is a key element.
When you think you understand think about the following: what if that newly and freshly printed cash is not distributed equally?
What if, oh... let´s say: Banks(!) get all of that cash first. You´ll get them to (maybe), but not at first, only later when they have trickled down through the system.
What effect do you think this has?
This is what´s going on right now, and has always been going on within all FIAT systems and will always go on until the system blows up and/or the people have had enough.
When, a couple of years ago, our Great Leaders went forth on their epic adventures of Quantitative Easing (QE – i.e. print money) in order to “save us” from The Great Recession they did just this; They printed shitloads of money and handed it over to banks, financial institutes and government.
You didn´t get any, the poor didn´t, the unemployed didn´t. Almost all that money went to the already rich and powerful.
What did they do with that money? Well, what would you do if you got trillions of “free” cash? They bought stuff; mainly stocks, real-estate, commodities and they used it to take over competitors. Did you see how prices exponentially increased looking at stock markets etc. during that time up until now? That happened because newly freshly printed FIAT aimed at certain areas from those deemed better inflated those markets.
The fictitious effect: GDP went up! Yey! We´re rich again...
... uhm, hold on... what?
Remember what I told you above? The effect of that printed cash would have been zero if it had been distributed equally, but here they gave it to certain areas of the economy. Important areas. Areas that contribute to political campaigns. Areas having lots of lobbyists. Areas from which many of the high-and-mighty cometh.
And in such a case that printed cash actually matters! The extra zeroes actually have effect!
You see the ones who get that cash first and can use if first can take full advantage of it. We don´t have equilibrium, the money is not equally distributed throughout the economy and so the elitist sphere can, in the short run, claim larger parts of the market and drive prices up and so drive GDP up.
The real effect: INFLATION! (Additionally the rich get richer...)
This is what they CAN DO within a FIAT currency system. This is what they CANNOT DO with real money.
Again: why do you think the elite hate gold and love “paper”?
Here you should go: Aha! And start grasping after that pitchfork, but you see things are a lot worse than you realize this far...
As mentioned above one undeniable effect of having paper currencies is inflation. It’s sort of built-in. Automatic. Money printing is only one part of inflation, but the biggest and most important one because when they print money each note loses in ´value´.
The Powers ignore this and want you to believe that ´increase in prices´ is the normal state of the economy. Increasing prices is good! Prices going down (deflation) is bad! This, coincidently, is also one of the main reasons for the bail-outs and stimulus being thrown around – to keep prices up.
This is one of the most malevolent misrepresentations of the truth in history. If you fully understand the implications of this and understand why our leaders, corn-flake economists and journalists try to sell you this madness you should be loading your guns right now…
Remember: “When they print money each note loses in ´value´”.
If we only look at money (again the FIAT variant) and we double the money supply (=inflation) we effectively doubled the amount you need to buy something. Very simplified a lollipop that cost $1 before the doubling will cost $2 afterwards.
Now this isn´t exactly true since there are a lot of other factors that have a say in the matter, so the actual effect is usually lower. Also it takes some time for inflationary money to reach the entire economy, 1-3 years depending on country etc. so you will not notice it at first and a gradual increase seems reasonable since those deemed better have told us that this is “normal”.
Angry yet? No? Ever wondered what effect this fraud has on you and your wallet?
Here you should know about another main factor that contribute to this equation – in a positive way for those in charge; higher production!
You see if we produce more, faster and more efficiently it increases the total value of the entire economy so over time the effect should be that prices should go down and wages go up.
But in steps inflation! They print money which makes each note worth less. This means prices instead of going down (as they should) they go up and eat up some (if not all) of that increase in productivity. Since much of government income is based on prices (VAT, salaries etc.) a lot of people will also pay more in taxes.
The Real effect: Over time you can work harder and harder, earn more and more, produce more and more BUT still get less and less.
THIS is why your grandparents could buy a house and two cars on one salary and still be debt free after some odd years, while in your family - today - you need two salaries and are still paying your mortgages well into your retirement. Inflation happened!!!
Sure we have more stuff today and in total terms live slightly better, but in actuality you should work even less today than back then and still be able to live much better.
Getting an itch in that trigger finger yet...? Oh, but hold on...
IF you now have a decent grasp on what inflation and IF you now have an inkling of what GDP is and what a scam it is, then there is one final thing you need to know: the fraudulent system of Fractional reserve Banking!
Fractional reserve banking (FRB), just as GDP and inflation, is more the sort of story you tell your kids to frighten them or it could be a tall tale from ancient times. It should be something fictional and I promise you all, once you really understand how this madness works you´ll go: “No way!! That can´t be true!” but sadly it is true…
The first thing you should know about fractional reserve banking, which is the base of our global financial system, is that this system is dependent on one single thing; debt!
Without debt this system defaults. Automatically. Or, if you so wish, without debt our entire financial system collapses.
You are already scratching your head, aren´t you?
Surely it cannot be so? But it is!
And worse still; without continuously increasing debt the system also comes to a halt, and this system is sooooo intricately intertwined with GDP so as long as we keep feeding the debt-monster GDP can continue upwards forever. So no-one in the higher-up sphere has any reason to end this scam.
Ever heard the word: “credit-crunch”? How about what our masters, nowadays, call “deflation”? Such words are ONLY used to defend the system of fractional reserve banking. Deflation is actually something good. Prices going down, how can that be bad? But you see it is bad - in the world of banksters and tricksters it is. If prices go down and/or if people stop borrowing, their profits go down and governments in turn lose the scam of GDP.
I´ve seen a lot of comments online and heard a lot of people argue that this system really is the poor’s best friend. So they argue since they claim it’s very hard to get hold of money for common folk in any other system. A person making such a claim is either totally ignorant or is lying to you. Whichever the case that person is your enemy!
Before we get to yet another truly horrific part of this story, we need a little bit of history.
The system of fractional reserve banking arose when history’s early “banks” figured out that they could keep a fraction of real money (Gold, Silver etc.) that people kept with them and lend far more “notes” to people than the actual value.
As long as people didn´t withdraw all their savings (=gold) all at once, “banks” could lend 10 times, 20 times or more of the actual value. People could consequently use “notes” as currency instead of gold and silver.
If one person put 1kg of gold into the bank, then the “bank” could lend people notes equivalent to 10kg (or more). This they could do since most people didn´t want to carry around their gold and if they withdrew, they seldom withdrew it all. So “banks” sort of had full coverage.
The “banks” then figured out that they could charge people for keeping their gold safe and, later on, take out interest on “money” (notes) they lent to people. And so modern fractional reserve banking saw the day of light.
Those notes then became “money” and later on the only form of money.
As any tale from the crypt the scariness just increases from here on.
You see it is here where these 3 malicious scams converge. Inflation, GDP and fractional reserve banking is the unholiest trinity of all time. In this entire universe it is hard to see anything as evil as this 3sum.
Remember: newly printed money goes to banks firstly and foremost.
The bank uses that phony money as base for their lending practices – as they used to do with gold. And just as they did with gold they DO NOT lend out the actual amount, but instead 10-20-30 or even 40 times that amount!!
Banks also, with the good memory of politicians, regard that debt they have from lending out as “having value on their books” (your loan is “money” regardless if you can repay or not) and so they can lend it out again to another person, and then again...and again...
Secondly they come up with new names on their debts and create a weird paper trail based on other paper based on debt that is based on debt and they lend it out again. Got it?
Ever heard of derivatives? There are countless of names for these debt-soaked fraudulentdealings, but the most common name and the name I normally use as a collective name is “derivatives”. A “normal” economist would probably scream here, but ignore that idiot and move on.
There are trillions of derivatives floating around out there -imbedded in the world’s financial system. All of which have very little (or mostly zero) value attached to them. Its only debt borrowed upon debt, lent on top of debt, re-lent to get more debt that they can lend out to increase the total debt so they can lend more to people so they can get more debt.
The real effect: our entire economic system is built upon, dependent upon and totally infected with debt.
And remember: there´s very little value in the bottom of this debt-pile, and the value that is there, can never, ever, never, ever, never, ever, never (!!!) make up for even a fraction of that debt.
And here comes the thing that, unless you haven´t already, should get you so angry that you´ll be checking out that grassy knoll a few minutes from now.
EVERYTIME government (or the central bank) print more money and hand it over to banks (sometimes even pay them to accept this cash!!), the banks get more money and so they can lend you more money and this little process increase GDP.
Do you see it? Can you connect the dots?
This means that inflation, a hidden tax, goes to government and the politicians get higher GDP so they can point out how great they´ve been and so possibly get re-elected. The banksters in turn get free cash and get all inflationary cash first so they can swindle the system and increase profits.
You are getting robbed. Right now. At this very second banksters and politicians are stealing your money, and you probably have no idea it is happening.
This also means that, contrary to what we are told, that the following is actually the truth:
GDP CAN BE GOING DOWN AND WE´RE ACTUALLY GETTING RICHER!
HIGHER GDP CAN MEAN (AND OFTEN DO MEAN) THAT WE´RE ACTUALLY GETTING POORER AND THAT OUR WEALTH IS DETERIOATING!!
But perhaps the most interesting thing to remember is that this system of inflation-FRB-GDP is unsustainable. It’s a mathematical impossibility to keep it running. Not only can it crash, it WILL CRASH! Always.
But never mind Greece, Belgium, Portugal, Spain, Italy etc in Europe, never mind that China is building giant cities no-one lives in, never mind that Japan is into her 34532532th stimulus, never mind that U.S. is crashing before our very eyes, never mind rampaging inflation and the biggest debt-mountain in history, never mind tens of millions starving in Africa - and you should never pay any attention to the thieves behind the curtain. Just keep spending and soon we´ll make it through to the other side where wonderful lush green pastures with golden roads and beautiful birdsongs await us with our very own personal unicorn
IF you still, after reading this, believe in the tiniest smudging of information banks or government tells you, then you should lay down in a bathtub right now and do the T-cut on both your wrists in coldish water, swallow 99 ecstasy pills with 98 valium and then put a gun to your head and just as you throw down the electric blow-dryer, pull the trigger.
IF you do understand you are now a libertarian (welcome to the “dark” side!) and you now know that all you´ve been told or taught was a lie.
To sum it all up:
The Greatest Depression is here, and if you read this post and understand what I´ve just told you, you now know why.