The Federal Reserve is highly considering this option, and Powell has mentioned it numerous times in his speeches. This is part of the move toward a cashless society as the government continually hunts down its citizens for taxes. The Founding Fathers fought to prevent direct taxation. Yet, the failing current government is drowning in debt, so they are after every possible penny they can find. A CBDC would effectively provide the government with a glimpse of all your purchases. They could easily de-bank an individual or institution without a middleman or prevent someone from making specific purchases.
Ron DeSantis (R-FL) also put forward legislation to prevent Floridians from a CBDC. The governor accused the Biden Administration of trying to inject “woke ideology into the financial sector” and said that the current administration is promoting “a central control state.” “Our money says In God We Trust. The central bank digital currency changes that to In Government We Trust. That’s wrong and I am grateful for the Governor’s continued pushback of an out-of-control DC bureaucracy,” said Foundation for Government Accountability CEO Tarren Bragdon.
Governments across the globe are searching for the Philosopher’s Stone. By changing the banking system to instantaneous transfer, they can eliminate physical money and track everything we do in real-time. They want us to surrender all liberty and terminate our civil liberties. This is precisely how empires collapse.
QUESTION: Hi AE…so gov’t “money” (fiat currency) will become just some abstract floating measurement of value, an electronic entry in an electronic account in the cybersphere. As these various so-called gov’ts become less reliable, even between themselves, do you see the possibility of them simply skipping their phony currencies, & trading directly in gold. Russia could ship a specific quantity of crude to China, for a specific amount of gold bars. Your argument about the impracticality of a gold-backed currency makes sense, but what about large transactions being settled in gold?
HS
ANSWER: The entire problem that people do not grasp with regard to any return to a gold standard is that if the money supply is FIXED in any way, that necessitates the collapse of SOCIALISM. The two are directly linked. Politicians only know how to run with deficits. Vote for me and I will give you this or that!
The Bretton Woods gold standard collapsed because they FIXED the price of gold at $35, but they continued to print money far beyond the supply of gold at that fixed price. In addition, you have a business cycle. There will be times when no matter what the money might be, there will be boom times when the value of money declines and the asset values rise.
This argument over gold v fiat is absolutely just nonsense. The wealth of any nation is the productive capacity of its people. For centuries, the business cycle has existed and that is the entire cause for the “inflation” in assets when money declines in value, and then the “deflation” in assets with the value of money rises. Arguing over what we use for money will NEVER stop the business cycle.
The cycle is also in part driven by all governments. It becomes a drug of power that is abused. It would not matter what we use for money right now, they want to create World War III so they can default, and escape from the abuse of this Marxism that they have turned into a system of borrowing every year with no intention of paying anything back. But we have reached the confrontation between Keynesianism where central banks are expected to prevent inflation by rising interest rates, but that has no impact on the government which has become the biggest borrower in the system.
We are going BUST not because of the money we use, but because of the abuse of power in government which has always existed since ancient times.
Trust me. Forget gold standards. They will never work because all governments act only in their own self-interest. You should have learned that with COVID. They will never admit any mistake EVER! It is far better to keep gold on our side of the table and we can then use it as a hedge against governments. They are seeking to move to digital currencies ONLY so they can track when you hired the 16-year-old girl next door to babysit for you so they can go after her for the government’s 50% share.
Even Bitcoin is fiat. There is no backing. People have dived headfirst into cryptocurrency on the entire proposition that they are limited. All they have done is proven my point. Money, historically, has been everything from seashells and cattle to bronze, silver, and gold. Of all the various forms of money, only bronze and cattle had any real commodity value based on utility.
The Egyptians really invented paper money for the farmers would deposit their grain and receive a receipt which was a bearer instrument used in trade. They also used raw metal, not coins, and traded based on weight, as it stated in the Bible. Here is a piece of pottery from Egypt recording a complaint about taxes written in Greek. It stated the sum amounted to a total of 90 talents of silver with 15 talents of tax on the transfer of land – 16.6%.
For thousands of years, Egypt had no coins until it was conquered by Alexander the Great, and upon his death, his general Ptolemy I (305/304 – 282 BC) took the throne and it was his Greek line from which Cleopatra VIII came – not Egyptian.
Our system is starting to implode. Never in the history of human civilization have governments demanded taxes on income requiring reporting every year. This was the gift of Karl Marx. Just as this Egyptian tax on the transfer of land, we see that property taxes and a form of sales tax were the norms.
The American Constitution was intended to give thenational government greater power to raise revenue because the previous Articles of Confederation had been a fiscal disaster. Nevertheless, most people remained fearful of taxation by governments. Indirect taxes were to be the way to secure our liberty from tyrannical governments. It was generally understood that indirect taxes meant taxes on consumption like a retail sales tax and/or excise taxes on imports. It was believed that indirect taxes did not lend themselves to abuse by tyrannical governments. Consequently, the general belief was that “direct taxes” has to be taken off the table. Incomes taxes, throwing out the window of all the wisdom of the ages, were imposed by the new age of Marxism in 1913.
Our computer warns that 2025 will be the turning point in Marxism.
You’ve taught through many historic examples that politicians drag us to war because they need an external enemy to hide their failures. Wag the dog. Have you considered this time around the U.S. will enter ww3 to cover up the reveal of the covid vaccine blunder? Yes, war will still hide the debt crisis of western nations, but maybe the vaccine reveal kicks this thing off. The barrage of sudden deaths is starting to overwhelm the bullshit. Our leaders, especially Biden, are incredibly compromised by pushing the shit vaccine.
JT
ANSWER: The COVID lockdowns were created as an exercise in controlling the sheep. This war was set in motion for some time. John McCain ran to Ukraine and he was all exited in December 2016 as soon as Trump was elected. He assumed he could manipulate Trump and promised unlimited funding to wage war against Russia.
I know for a fact, that this war was set in motion in 2014 but it was in the planning stages well before even that. In 2015, McCain was meeting opening with the Nazi movement. COVID was clearly just a rehearsal in their exercise of the abuse of power.
Posted originally on the conservative tree house on September 18, 2022 | Sundance
If you combine government use of energy policy, government regulation on individuals around that energy policy, and the self-interested need to control political opposition, you discover one of the most effective ways to control human activity is to control their finance.
Canadian Prime Minister Justin Trudeau gave us a great example of that when he weaponized the power of the Canadian government to target the protesting truckers and those who support them. You might remember Trudeau’s government locked down bank accounts, froze assets, denied loans, blocked mortgages and generally confiscated the wealth and incomes of his political opposition without any due process; all because the people were challenging his totalitarian COVID dictates. {Go Deep}
Take those reference points as an overlay and now consider this undiscussed recent announcement from the Biden administration:
[White House] – President Biden often summarizes his vision for America in one word: Possibilities. A “digital dollar” may seem far-fetched, but modern technology could make it a real possibility.
A United States central bank digital currency (CBDC) would be a digital form of the U.S. dollar. While the U.S. has not yet decided whether it will pursue a CBDC, the U.S. has been closely examining the implications of, and options for, issuing a CBDC. If the U.S. pursued a CBDC, there could be many possible benefits, such as facilitating efficient and low-cost transactions, fostering greater access to the financial system, boosting economic growth, and supporting the continued centrality of the U.S. within the international financial system. However, a U.S. CBDC could also introduce a variety of risks, as it might affect everything ranging from the stability of the financial system to the protection of sensitive data.
Notably, these benefits and risks might vary significantly based on how the CBDC system is designed and deployed. That is why Executive Order 14067, Ensuring Responsible Development of Digital Assets, placed the highest urgency on research and development efforts into the potential design and deployment options of a U.S. CBDC. The Executive Order directed the Office of Science and Technology Policy (OSTP), in consultation with other Federal departments and agencies, to submit to the President a technical evaluation for a potential U.S. CBDC system.
Today, OSTP is publishing its report, Technical Evaluation for a U.S. Central Bank Digital Currency System, which lays out policy objectives for a potential U.S. CBDC system and analyzes key technical design choices for a U.S. CBDC system. The report also estimates the technical feasibility of building a CBDC minimum viable product and describes how a U.S. CBDC system might affect Federal operations. The report makes recommendations on how to prepare the Federal Government for a U.S. CBDC system. Importantly, the report does not make any assessments or recommendations about whether the U.S. should pursue a CBDC, nor does it make any decisions regarding particular design choices for a potential U.S. CBDC system. (read more)
When you read that full announcement, you realize they have already built the system.
If the system is built and they are now making policy recommendations for implementation, the question becomes ‘what’s the goal’?
We do not have to look far for the explanation.
the World Government Summit 2022 took place on March 29 and 30 in Dubai, hosting more than 4,000 individuals from 190 countries including senior government officials, heads of international organizations, and global “experts.” The invited participants presented ideas and worldviews from within their various fields of specialty.
One presentation was from Dr. Pippa Malmgren, an American economist who served as special advisor on Economic Policy to President George W. Bush.
Her father, Harald Malmgren, served as a senior aide to US Presidents John F. Kennedy, Lyndon B. Johnson, Richard Nixon, and Gerald Ford. In this segment, Mrs. Malmgren says the quiet part out loud. Yes, they are no longer hiding the construct; indeed, as you will hear they are saying quite openly what the future will look like. WATCH (2 minutes):
Transcript – Dr. Malmgren: “What underpins a world order is always the financial system. I was very privileged. My father was an adviser to Nixon when they came off the gold standard in 71. And so, I was brought up with a kind of inside view of how very important the financial structure is to absolutely everything else.
And what we’re seeing in the world today, I think, is we are on the brink of a dramatic change where we are about to, and I’ll say this boldly, we’re about to abandon the traditional system of money and accounting and introduce a new one. And the new one. The new accounting is what we call blockchain.
It means digital, it means having a almost perfect record of every single transaction that happens in the economy, which will give us far greater clarity over what’s going on. It also raises huge dangers in terms of the balance of power between states and citizens.
In my opinion, we’re going to need a digital constitution of human rights if we’re going to have digital money. But also this new money will be sovereign in nature. Most people think that digital money is crypto, and private. But what I see our superpowers introducing digital currency, the Chinese were the first the US is on the brink, I think of moving in the same direction the Europeans have committed to that as well.
And the question is, will that new system of digital money and digital accounting accommodate the competing needs of the citizens of all these locations, so that every human being has a chance to have a better life? Because that’s the only measure of whether a world order really serves!”
The entry into a digital currency, needs a digital identity.
The end goal of a digital currency is why western political leaders have not been worried about following the COVID-19 spending demands from the World Economic Forum. {Go Deep}
When the global trade currency does not need to be pegged to anything to determine value, it is completely fiat. This is the current problem with global trade and transactions taking place in U.S. dollars, which arbitrarily lifts the standard of life for Americans while providing no similar benefit to other nations. That view became the underlying motive for Osama Bin Laden to target the World Trade Center, twin towers. That view was/is also the perspective carried by Barack Obama, that lay behind his “fundamental change” statement.
A digital currency allows ultimate control on a global basis by a one world government, or western system of collective governments, that can assign value. No other mechanism will have as much control over the life of a person than a digital currency that will create a system of transactional credits and debits, perhaps also influenced by your social credit score.
The digital currency requires a digital identity in order for apportionment based on your value to society. This is essentially an extension of the Fabian mindset into the world of financial transactions and monetary evaluations. Fabians believed that some form of socioeconomic tribunal would be needed in order for each citizen to be quantified according to their “worth” to society. The Chinese social credit score is a variant of that same concept.
The phrase “you didn’t build that,” when espoused by former President Obama and current Senator Elizabeth Warren is also based on this collective worldview. Both believe that individuals do not succeed independently, but rather gain their ability to grow wealth by using the resources of the larger society, infrastructure, labor and education. The phrase “it takes a village” to raise a child, as espoused by Hillary Clinton is another variant of the same collective advocacy.
A digital currency and digital identity is not a conspiracy theory, these “global leaders” are explaining it to us out loud. However, I am concerned that most will not hear it, or understand it, until it is too late.
Once upon a time, I use to respect The Economist. I even took the back cover in July 1985 to announce that the Economic Confidence Model was beginning a new 51.6-year Cycle that was a Private Wave that would ultimately peak in 2032. I boldly announced the bottom in gold and the peak in the dollar taking the back cover every week in July 1985.
The Economist just released its cover article sadly demonstrating that the publication remains in the Dark Age of economics. They began:
“Central Banks are supposed to inspire confidence in the economy by keeping inflation low and stable. America’s Federal Reserve has suffered a hair-raising loss of control. In March consumer prices were 8.5% higher than a year earlier, the fastest annual rise since 1981. … It is the Fed, however, that had the tools to stop inflation and failed to use them in time.”
To say I am shocked at their reporting that is no better than a first-semester student in Economics 101. It reflects a complete lack of comprehension of how the economy even functions and adopts the politician view that they are NEVER responsible for inflation – it is always the central bank.
Clearly, they have not bothered to take notice that something major took place with the fall of Bretton Woods in 1971. Previously, the theory was if you borrowed, that was less inflationary rather than printing more money. Of course, that was a throwback to the days of Gresham’s Law when currencies traded in Amsterdam were based not on political-military power, but on the pure metal content. The debasement of the coinage by Henry VIII led to (1) the higher-based coinage being hoarded and (2) the decline in the value of English coinage trading in Amsterdam.
That theory became the Quantity of Money Theory which today is totally obsolete yet that is what we hear all the time when the Fed increased its balance sheet and therefore it should have been inflationary following 2008 but the Fed and other central banks could not create 2% inflation. That even led to some claiming MMT (Modern Monetary Theory) proves that the creation of money is NOT inflationary.
It was barely two months after we announced the beginning of a Private Wave in the Economist in July 1985 that in September 1985, the central banks were all called together and formed the G5 and then proclaimed that they wanted the dollar lower by 40%. This was James Baker’s brainchild that manipulating the dollar lower would reduce the US trade deficit and create jobs.
I was summoned to be among the global experts who solicit advice but never listen. It is always a dog & pony show so they can pretend they summoned the top experts in the world and then announce what they intended to do anyhow. Of course, it is always pretended to be based on independent advice. However, that is just not how Washington or any government functions. So I wrote to President Reagan and warned that devaluing the dollar to reverse the trade deficit would lead to a crash.
The present ordered Beryl Sprinkel who was the 14th Chariman of the Economic Advisers to the President (1985-1989) to respond. It had been the rise in interest rates to 14% under Paul Volcker to reduce inflation that led to the Deflation. Capital poured into the dollar for the high-interest rates which peaked precisely with the previous ECM wave in March 1981. Thereafter, the dollar soared driving the British pound down to $1.03 in 1985.
Clearly, the entire theory that the Economist is still clinging to currently is unsupported by the historical evidence. The raising of interest rates to stop inflation led to the explosion of the national debt thanks to the servicing costs. In 1980, the national debt stood at $907.7 billion. By 1989, the debt reached $2.857 trillion. The raising of interest rates created deflation near-term but expanded the inflation longer-term.
The Plaza Accord set in motion the 1987 Crash. They failed to understand that lowering the value of the dollar may have made US goods appear cheaper overseas to reduce the trade deficit, but at the same time, it also devalues all the US assets in the eyes of foreign investors. After selling more than one-third of the US national debt to the Japanese, the lowering of the dollar by 40% would mean a 40% loss on their holding of US debt.
As the dollar began a free-fall, the central banks began to realize this was a mistake. The Louvre Accord was an agreement, signed on February 22, 1987, in Paris, that aimed to stabilize the international currency markets and halt the continued decline of the US Dollar caused by the PlazaAccord. The agreement was signed by France, West Germany, Japan, Canada, the United States, and the United Kingdom. Italy declined to sign the agreement. The Group of 5 became the Group of 7 – G7 (now G20).
The G7 meeting of central bankers and finance ministers in Paris announced that the dollar was now “consistent with economic fundamentals.” They announced that they would only intervene when required to ensure foreign exchange stability. The objective was then to manage the floating currency system.
Democrats gained control of Congress in 1986 and immediately called for protectionist measures. The dollar depreciation agreed to in 1985 at the Plaza Accord, failed to really improve the trade perspective. In 1986, the trade deficit actually rose to approximately $166 billion with exports at about $370 billion and imports at about $520 billion. The object of manipulating currency to try to create jobs and alter trade flows proved to be completely false.
My concerns warning the White House that volatility would increase made back in 1985 were materializing. What they did not understand was that lowering the dollar in value also led to a shift in capital flows and the selling of US assets. Foreigners were suffering losses by financing U.S. trade by purchasing United States Treasury bonds in an attempt to ease the trade deficit criticism. We were advising the Japanese to buy gold on the New York COMEX, export it, and then resell which would also make it appear that the US exports were increasing. However, the lower dollar was then resulting in the importation of inflation into their own nations.
The press back then never understood the crash. I was called in by the Brady Commission charged with investigating the causes of the Crash. Of course, they would not blame the government. The best I could do was to prevent a witch-hunt on Wall Street and the final report casually mentioned that they believed foreign exchange had something to do with it.
There is probably nobody else who has dealt with more central banks than me from China to Switzerland and into the Middle East. To read this cover story by the Economist was indeed shocking. They are obviously still under the impression that inflation is the result of the rise and fall of the money supply that dates back to the days of Henry VIII. I dare say, things have changed slightly.
Today, governments have borrowed relentlessly. But the debt is acceptable now as collateral so national debts are simply money that pays interest. That is completely out of the scope of the central bank so it DOES NOT have the tools to prevent or create inflation. The politicians always want to spend whatever it takes to win the next election and then blame the central bank if it resulted in inflation. It is a sad day that the Economist is so out of touch its rambling and that of someone serious out of touch with reality.
Fannie Mae forecasts a “modest recession in the latter half of 2023” and believes the house-buying frenzy will begin to cool in the US. The Federal Reserve’s hawkish direction to curb inflation has led the agency to believe that a “soft landing” for the US economy is unlikely.
“With the most recent inflation readings at levels not seen since the early 1980s and wage growth exceeding that which is consistent with a 2-percent inflation objective, we believe the odds of a soft landing are even lower. Returning to the Fed’s policy target, therefore, likely necessitates economic growth slowing sufficiently to lead to a rise in the unemployment rate, which would cool wage and price pressures.”
Naturally, they see mortgage rates rising. Home sales for 2022 are now predicted to decline 7.4% compared to their initial forecast of 4.1%, while sales in 2023 are expected to decrease by 9.7% (initial projection: 2.7% decline). Adjusted for inflation, Fannie Mae sees house price growth approaching 0% by the end of next year.
Mortgage credit is not a factor as it was during the Great Recession and the checks and balances are in place after the 2008 scare. New construction is also expected to help with the “eventual recovery” as there is a lower inventory relative to demographic demand. Mortgage rates are now hovering around 5% after rising 1.95 percentage points since the December low. A similar spike in mortgage rates occurred in 2013 and 2018 and led to a downturn in home sales.
Interestingly, Fannie Mae has specified that the coming “modest recession” is “COVID-driven” and even admitted that the business cycle is at play:
“We have previously posited that the current business cycle would likely be shorter than those of the past few decades. GDP growth surged in 2021 after the relaxation of many COVID restrictions – also supported by historic income transfers and monetary policy easing – which led to a swift recovery but also planted the seeds of inflation. Therefore, despite only two years having passed since the COVID-driven recession of 2020, the economy has already moved into what could be described as the mature stage of the business cycle. Specifically, the unemployment rate is below the “full employment” level, inflation is accelerating as growth slows, and the Federal Reserve is beginning to tighten policy. These conditions typically mark the beginning of the end of an economic expansion.”
The World Trade Organization (WTO) and World Economic Forum (WEF) recently published a report that encourages the use of a global digital identity program for persons and objects. The report centers on global trade but is the first step toward introducing global AI tracking. Under the guise of COVID, the two organizations claim that trade can be streamlined with their TradeTech technology.
“End-to-end trade digitalization requires a global approach to digital identities of natural and legal persons as well as of physical and digital objects sending or receiving electronic information to avoid creating digital identity silos.”
The only reason to trace persons as if they were objects is control. They first attempted to control the masses using the pretense of a pandemic to implement digital vaccine passports, but now they need stronger backing. Schwab’s Great Reset infiltrated governments globally, and they are indeed making decisions to smolder the world economy — Bring Back Better.
Now that the global economy is on the decline, these organizations promise to improve the living standard with the caveat of accepting their version of Utopia and agreeing to be tracked as an object
Posted originally on the conservative tree house on April 10, 2022 | sundance
CBS has released their latest YouGov Poll [DATA HERE], again showing the top priorities of the American people are not even on the radar of the American government. The DC beltway disconnect is stark.
Interestingly, the recent survey of Pennsylvania voters done by Reuters, turned up this almost identical priority list, only Rusia/Ukraine did not even appear in the top five. The economy, inflation, gas prices, crime and immigration are the top five issues across the board, in almost every poll.
Russia/Ukraine is a non-existent issue. Yet, that is the actionable priority -with questionable importance for U.S. security interests- for a totally out of touch government and media to focus on. Sending $14 billion to help Ukraine’s border fight, while our borders are crushed with illegal aliens, is a sharp stick in the eye for every American.
Unfortunately, our opinion doesn’t matter, and frustratingly, the people using Biden as a tool to achieve their goals do not have any concern whatsoever about political fallout. Biden is a disposable tool for a program of rapid single-term advancement of the democrat-communist agenda.
Under ordinary circumstances, this level of disapproval would automatically create panic and start a change in policy. However, under their current program, a kamikaze mission to create maximum ‘fundamental change’, the people creating the policy outcomes simply don’t care. Biden is a disposable tool to be thrown on the trash heap of history.
Joe Biden is clueless and entirely irrelevant to the objective. He sits around eating pudding and muttering to himself until called upon to head to the stage set, and literally read what has been written for him. Biden has no clue, other than, (a) he is in complete agreement with the goals, and (b) it takes a lot of pancakes to fill a canoe. I swear, the puppet masters keep putting little girls in his orbit during public appearances just to laugh about it.
These people are sick.
(CBS) Higher prices are leading people to say they’re making cutbacks, especially on more discretionary items like entertainment and travel. (That may, of course, have a wider impact on the economy later.) About half are cutting back on food and groceries, and this is especially the case among those with lower incomes. (read more)
This is a library of News Events not reported by the Main Stream Media documenting & connecting the dots on How the Obama Marxist Liberal agenda is destroying America
Centinel2012 