Friday, April 4, 2014

ECON 101 -- The Truth Behind the Con

There was a time, not too long ago, when money increased in value for the owner when saved.  The longer he could wait to buy something with it, the more he could buy!  The fancy name for that situation is "deflationary" money.  A deflationary money system works really great for us common folks.  Prices are usually falling and people get more for less because the money increases in value!  I jest you not.  We still experience this a little with products like electronics.  The longer you can wait to buy a computer, the better and faster it is, or else it will cost less in a few months.   Wouldn't it be nice if everything got less expensive.  What if it got easier to make a decent living, take care of a family, and still easily save up enough for when we are old?  Whole civilizations have enjoyed such conditions for generations throughout all of their economy.  They didn't have electronics back then, but homes and food and transportation steadily got better and more obtainable for everyone.

Unfortunately, about 100 years ago, some bright e"con"omists got together and figured out how to co-opt the above, completely natural, monetary system which utilized deflationary currencies like gold and silver.   Their agenda was to "tighten the screws" and improve the productivity of society ... i.e. force more work out of the people doing actual work.  We call these type of e"con"omists Keynesians today.  So, in the USA for example, where once we had property owned mostly by individuals, now ownership is concentrated in the hands of bankers and those who are connected to them.   What we see today is a natural result when one group of people can generate money for free, while another group of people (we-the-borrowers) must work for a little money whose value is always decreasing.  

For a common man, the robbery is a three-fanged strike.  First, the money he holds is always losing value.  Second, efforts to use "deflationary" currencies, like gold, are met harshly with capital gains taxes.  Third, whenever hard times hit, we-the-borrowers lose ownership of assets when payments are missed.  I hope I can paint this picture for all how perfect of a trap this is for we common men -- they can cause as much inflation as they want, we either take the losses from holding their cash or we pay income taxes on imagined gains if we try to store wealth elsewhere.   It would be easy for us to get out of the banker's trap if not for the income tax.  These two together, income tax and Keynesian e"con"omics are the perfect combination that enable the central command and control over all people.  The legal agreements on loans are the final blow which ultimately give bankers unearned control of the world's assets.

If you don't believe me, answer one simple question.  If you miss a few house payments, could a banker have a say in your ability to sleep there?   

There was a time when men owned their homes fully and completely.  Why is it that we all work harder, produce more, and yet we are stressed out over keeping up our payments to our landlords?  At least if you did have to rent a space back in the day, you knew you were renting.

The Keynesians will be all too eager to point out that wild crashes and fluctuations in the business cycle are the reasons that their policies are needed.  Make no mistake, the Keynesian system is an effective system to make a productive society.  It is also incredibly effective at robbing the common man of the fruit of his labor.

So now they are setting yet another trap.  They are inciting the frustrated working classes against the moderately wealthy.   They say, "Look at these people that make so much money, they need to pay their fair share."  We all seek justice, we all are frustrated, so we take the bait and raise taxes for everyone making $250,000 or more.  Little do we know, while the bankers quietly print more free money and spend it, our money that we work for decreases in value and so we must work more to get more because prices are rising.   Then one day we realize that we are working two jobs to make $250,000 and can't afford to buy real milk because the dang income taxes are so high.

This is our future unless we learn to see through the scam.  If we want life to be fair again, it is time for the income tax system to be replaced with a fair flat tax or consumption tax.  That's really all we need.  All the hoopla about minimum wages, monopolies, and regulations mean nothing as long as we are coerced into holding money that is losing value or paying taxes with money that we should be allowed to save for our own futures.   It is our money after all.  If you work for it, it is yours; and if you were smart enough to earn it honestly, you are smart enough to decide the best way to spend it.  

The only other way I can think to explain it is this:  Collectivism is a scam that really rich people use to steal assets from the working class.  The idea that the needs of the many outweigh the needs of the individual is appealing.  But, collectivism is a thin disguise these days,  as it is more obvious than ever that the needs of the few who print the money outweigh the needs of the individual.   The flow of money to an honest worker should not be impeded or confiscated in any way.  Anyone who says otherwise is a con-artist.  If we-the-borrowers are having hard times, it is because the bankers and politicians have combined forces to rob us.  We can easily side step their grip with a renaissance of Individualism.