The Storm
October 14, 2010

Let me start by saying, “Great job” to the rescuers, and the miners in Chile. Freedom I bet never felt so good!

As the world was fixated on the rescue of these men, the Dow Jones went up, on news that the Fed was keeping rates low, and printing another $500 Billion dollars to inject into the economy. Why would the stock market go up, on news that the Fed is printing more money, when the actual injection of this money adds to the rate of inflation?

If your tire on your car is leaking, you may fill it up once, next you would try fix a flat, and when all else fails you are forced to buy a new tire. The problem with driving on a tire like that is, if gone long enough without the repair, that one tire ruins the other 3. That’s what is happening right now with the economy. They are blowing air (paper money) into the defective tire (economy) and the air (money) is blowing right through the leak. This only leads in a couple directions. 1. Inflation but worse Hyper inflation. 2. Deflation.

In Greece, Police in riot gear used tear gas, and other measures to break up a protest of 100+ workers that are angry over the Austerity measures in place by the Greek Government, and the IMF. What is austerity?

  • A d v e r t i s e m e n t
  • {openx:49}

A definition from word IQ: Austerity is a term from economics that describes a policy where nations reduce living standards, curtail development projects, and generally shift the revenue stream out of the physical economy, in order to satisfy the demands of creditors. Typically, private banks, or institutions like the International Monetary Fund (I.M.F.), will demand an “austerity policy” from a national government, as a condition for re-financing loans that are coming due. This might involve cutting food or fuel subsidies, underfunding public infrastructure (transport, education, health care, water and power management), or rationing. When these demands are made by the I.M.F., they are known as I.M.F. conditionalities. End of Definition.

Does anything from the definition sound familiar? Reducing living standards? Are you not second guessing your purchases? Curtail development projects? What happened to all of the shovel ready infrastucture jobs? Shift Revenue stream out of the physical economy, in order to satisfy creditors? The Fed will not tell us where 28 trillion dollars went! Private banks, and the IMF will demand an austerity policy from a national government in order to satisfy the financial obligations of interest, on loans being refinanced. The United States has passed a tipping point where the debt is over 90% of the GDP! What does this mean? Simply put, we cannot pay our debts.

What comes next? Underfunding public infrastructure (transport, education, health care, water and power management), or rationing.

Fresh food that lasts from eFoods Direct (Ad)

Why do you think that health care was such a big deal, what about education, water, and power management? As the government becomes more in debt, they will try and convince the American people that it is in our best interest, for the government to control everything. Do not believe me? Why do you think Gold is going through the roof? Why do you think the Dow Jones, in the midst of another mortgage scandal is above 11,000. The tire is no longer leaking, the lugnuts are loose, and we are looking at a catastrophic multi car pileup, and your savings, your retirement, and your way of life will be the casualties.

Get what you and your family need with today’s top-selling products now!


Related Articles


Comments