gold standard

How Gold Could Save America from Nazi Theory

Keynesian economics is the root of economic problems for most countries around the world today. So it’s important to understand both what Keynesian economics stands for and what the opposing brand of economic thinking called Classical economics maintains. In a nutshell… Classical Economics: Keynesian Economics: Thrift, hard work, and productivity are virtues. The classical gold standard restrains the state from inflating and provides a stable monetary environment in which the economy can flourish. Government should strive for balanced budgets and fiscal responsibility. The state should adopt a general policy of laissez-faire of non-interventionism in economic affairs: low taxes, free trade, and minimal bureaucracy. Production is more important than consumption. Say’s Law: Supply is more important than demand since supply of one good creates the demand for another. An increase in savings can contract income and reduce economic growth. Consumption is more important than production, thus turning Say’s Law upside down. There is no need for a gold standard; fiat currency is preferable. Demand is more important than supply. Teaches that governments and politicians can be trusted. It’s no wonder politicians love Keynesian economics over Classical economics. To control the economy, most governments around the world have been using Keynesian economics for the past 75 years. It is the only economic thought that is taught in the schools and universities. “They” want us to believe they are wise and intelligent souls who know what is best for us. But nothing could be further from the truth throughout most of economic history… Read this quote from Adolf Hitler, who openly embraced Keynesian ideas: Gold is not necessary. I have no interest in gold. We will build a solid state, without an ounce of gold behind it. Anyone who sells above the set prices, let him be marched off to a concentration camp. That’s the bastion of money. The Nazis’ economic success when Hitler first came into power was a result of Hitler cooking the books. The rest of his time in power goes down in history as one of the worst atrocities in the history of mankind. Only two other twisted power-seeking devils in the annals of time are responsible for the killing of more people than Hitler &mdash…

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The Scariest Thing about Bernanke

The Scariest Thing about Bernanke

“The trouble with the world is that the stupid are cocksure and the intelligent are full of doubt.” — Bertrand Russell “One hundred percent.” — Ben Bernanke, on his confidence that the Fed will control inflation Lately, I can’t help but reflect on Ron Paul’s End The Fed (ETF). It’s been over a year since I finished the book, yet I keep pulling it off the shelf. Throughout, Paul writes insightfully about politics and money in America. Like this part about the Bernank : Some people have been surprised by Bernanke’s irresponsible conduct of monetary policy. There was no reason to be surprised. He was on record promising unlimited amounts of inflation should the need arise. If Greenspan was cocky about the genius of central bankers, Bernanke is even more so. Congressman Paul— unlike some — is careful with his words. You don’t get many sexy sound-bytes out of the Rep. from Texas. So when he says Bernanke is worse than Greenspan (my interpretation, based on this and other passages in ETF ), it’s noteworthy. To be sure, moral hazard flourished under his predecessor. The notorious “Greenspan put” offered an implicit backstop to banks and kept monetary conditions plenty loose. Bernanke and the current monetary regime, though, are taking things further. They are determined to keep rates lower than any time in history, indefinitely. This will lead to pervasive malinvestment, bank bonuses, and price inflation. Meanwhile, retirees will continue to collect pitifully low income on their CDs. But don’t worry; Wall Street bonuses are safe. Any bank that can’t make money in this environment should have their damn head examined. Borrow money at 0%, buy higher-yielding assets. Dip into various gov’t giveaways, let the bonuses flow, change accounting rules to conceal losses. Rinse, repeat. Financial sector profits are back up to 42% of all corporate profits in the United States — an absurdly high level. None of this should come as a surprise I guess, with Bernanke, William Dudley, and a few others at the helm of the Fed. Clearly, ” the Bernank ” has even less of an issue with moral hazard than Greenspan did, and under his leadership the Fed is even more determined to “ease” monetary conditions. Robbing the middle class and savers blind and enriching the banks are just unfortunate consequences of what’s good for the economy …

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Weekend: Eye of the Tiger

Welcome to the Wealth Daily Weekend Edition— our insights from the week in investing and links to our most-read Wealth Daily and sister publication articles. While America stumbles and bumbles through the long, dark night… A young upstart is about to knock Uncle Sam and the rest of the Western world right down the creaky old steps. Whether you realize it or not, China is in it to win it, and she’s taking no prisoners. If you doubt that, take a look at this article that appeared earlier this week in The New York Times . Entitled “To Conquer Wind Power, China Writes the Rules,” it details how China plays the role of puppet master in working to corner the production of another market— this time in wind power. Advertisement Radical technology promises to break Big Pharma profit records One small American company’s “cell-shock” technology will soon be the global Gold Standard for the treatment and prevention of all the major cancers, influenza, malaria, HIV, and more… It’s expected to save millions of lives — and bring over 10,000% returns to investors of this medical miracle. Click here to earn 1,000 times your money… China flexes her muscles Acting the part of the 800 pound gorilla, the Chinese have now grabbed more than 85 percent of the wind turbine market, aided by rules that stack the deck prohibitively in Beijing’s favor. From requiring at least 70% of the equipment in their wind farms be domestically produced to low-interest loans and cheap land from the government, Beijing is a Chinese working man’s best friend. You see in China, they actually base every decision around what we have been so slow to see. They realize it’s about keeping the masses employed and working to use every single advantage they can to keep the wheels turning. And if that involves bending the rules in their favor, so be it. China, in other words, is all about China— today, tomorrow, and for the next 500 hundred years. Our time horizon, meanwhile, extends only as far as the next election or earnings release. It’s bloody pathetic. That long-range outlook — so ingrained in the way the Chinese look at world — was on full display when I hit the money quote at the end of the article. Drawn from a gathering of hundreds of big executives from around the world, it involves the mindset of Li Junfeng, overseer of the Chinese renewable energy industry: “ You cannot be called a winner if you are the leader for three or five years,” Mr. Li told the Chinese executives. “You can only stand on the top line if you are the leader for 100 or 200 years.” The Chinese presidents sat quietly and respectfully, chins down. Senior executives from the foreign manufacturers — including Vestas, G.E. and Gamesa — sat alongside them, staring straight ahead in stony silence.” Maybe they realized they’d stepped into the ring with Clubber Lang, and he wasn’t going to be happy until all of them hit the mat… It is simply war by other means ; the wind turbine industry is just one of the many ways we are fighting a losing battle. Another battle we’re struggling to keep up with is rare earth elements, also known as REEs. With obscure names like neodymium, europium, or praseodymium , these all important metals are used in a wide range of applications: high-tech and defense products, car engines, and clean energy. In fact, these industries cannot function without them. The problem is the Chinese have a stranglehold on them— controlling 95 percent …

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The United States of Debt

The United States of Debt

You’ve been hustled. We’ve all been hustled. And as a result, the American dream has turned into the American nightmare for tens of millions of our countrymen. Many of us are drowning in extremely high levels of debt, pushed onto the American public by the banks and financing companies looking to compete with each other for higher revenues. They successfully convinced Americans that we could afford future payments. But now, many are virtually enslaved by the debt these swindlers pressured us to accept. Just say no to debt dealers Massive debts are keeping Americans awake at night. And many are struggling with payments due to a number of grim economic factors. The real rate of unemployment, for instance, is most likely double whatever number the government tells you. Meanwhile, even the money we do have in the banks is suddenly not as safe as it once was… Since 2007, the number of banks that have failed each year has increased 5,534%— and is rising annually. This year, the number of banks to fail has already exceeded 2009’s closures. Take a look: At the same time, investments in the stock markets seem to have taken on the air of a gambling casino, and the pillars of greed and corruption go unchecked, virtually without bounds in our major financial institutions, governments worldwide, and within the general fabric of society. But that’s just the half of it… The world is scrambling to control resources needed to keep economies going. This is causing diplomatic issues, currency wars, and geopolitical strife of all kinds. Crude oil, gold, rare earth metals, clean water, silver, palladium , and platinum, for example, are increasingly becoming more difficult to obtain at reasonable prices. Without these precious commodities, we don’t have the building blocks to keep modern society going. List of U.S. Taxes Accounts Receivable Tax Building Permit Tax Capital Gains Tax CDL license Tax Cigarette Tax Corporate Income Tax Court Fines Dog License Tax Federal Income Tax Federal Unemployment Tax Fishing License Tax Food License Tax Fuel permit tax Gasoline Tax Hunting License Tax Inheritance Tax Interest expense Inventory tax IRS Interest Charges IRS Penalties Liquor Tax Local Income Tax Luxury Taxes Marriage License Tax Medicare Tax Property Tax Real Estate Tax Septic Permit Tax Service Charge Taxes Social Security Tax Road Usage Taxes Sales Taxes Recreational Vehicle Tax Road Toll Booth Taxes School Tax State Income Tax State Unemployment Tax Telephone federal excise tax Telephone federal universal service fee tax Telephone federal, state and local surcharge taxes Telephone minimum usage surcharge tax Telephone recurring and non-recurring charges tax Telephone state and local tax Telephone usage charge tax Toll Bridge Taxes Toll Tunnel Taxes Traffic Fines Trailer Registration Tax Utility …

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Gold Standard Should be Considered Again Says World Bank President

In what can only be a nod toward the true weakness to the global economy, World Bank president Robert Zoellick said major economies should considered reinstating a form of the gold standard again. In an editorial in the Financial Times, Zoellick said countries should look at floating currencies, with gold used s a means of measuring the exchange rates. Zoellick said what he’s thinking is the

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