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Tuesday, March 24, 2009

ARE THE DOLLAR'S DAYS NUMBERED?


THE FEDERAL RESERVE: DEBASING THE CURRENCY FOR OVER 95 YEARS

It seems like it is based on the following quote. The United Nations floated a similar proposal last week, so it seems like most of the world has been heard from.

Concerned about the role of a shaky U.S. in the global economy, China is calling for the creation of a new currency to replace the dollar as the world's standard. The proposal is unlikely to change the dollar's role in the short term because of enormous technical and political hurdles, but it underscores the increasingly assertive approach China is taking in shaping the global response to the financial crisis. Russia made a similar proposal earlier this month.


I'm not sure where Europe and Japan weigh in on this, however Japan cannot be happy with the Fed's "quantitative easing" policy that is hell bent on turning their considerable Treasury holding into deflated assets. Not a particularly good way to treat an ally or a trading partner.
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One of the themes of the Ron Paul candidacy that made sense was his position on the Federal Reserve. Here are some detail about this organization that should make American shudder.

END THE FED!
Sound Money for America

Positions:
1. The Federal Reserve is part of a PRIVATE BANK CARTEL and is completely
DEFIES U.S. sovereignty and its Constitution!
2. Since the inception of the Federal Reserve in 1913, the value (purchasing power) of the dollar has DROPPED NEARLY 96%!
3. No country in the history of the known world has every successfully used a fiat currency that didn't end in overinflationary dismay!


If we look at these numbers and apply the same type of statistical analysis that won Al Gore a Nobel prize for "proving" the existence of man-made global warming, we could reasonably conclude that the Federal Reserve is on a pace to destroy the dollar within another 5 years or so.

At that point, the dollar will no longer be "worth less" -- two words -- it will be "worthless" -- one word. We have been lulled into such a sense of comfort and complacency that we fail to see what is happening.
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THE MAN WHO PRESIDED OVER THE CREATION OF THE FED HAD IMMEDIATE BUYERS REMORSE:

"I am a most unhappy man. I have unwittingly ruined my country. A great
industrial nation is controlled by its system of credit. Our system of
credit is concentrated. The growth of the nation, therefore, and all
our activities are in the hands of a few men. We have come to be one of
the worst ruled, on of the most completely controlled and dominated
governments in the civilized world. No longer a government by free
opinion, no longer a government by conviction and vote of majority, but
a government by the opinion and duress of a small group of dominant
men."
- President Woodrow Wilson, regretting signing into law the Federal Reserve Act
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Why should these rants be important to Americans today? I don't know maybe the following quotes from the IMF:

The head of the International Monetary Fund, Dominique Strauss-Kahn, warned that advanced nations will be hit by violent civil unrest if the elite continue to restructure the economy around their own interests while looting the taxpayer. Strauss-Kahn’s comments echo those of others who have cautioned that civil unrest could arise, specifically in the U.S., as a result of the wholesale looting of the taxpayer and the devaluation of the dollar.

How long will it be before Americans realize the looming specter of hyperinflation spells disaster for their life savings? How long will it be before we see rioting in the streets on a par with the scenes witnessed in Iceland over the weekend, where the Icelandic krona has lost half its value in a matter of weeks?


If this happens, make sure you have sufficient stocks of gold, lead (bullets) and Campbell's Soup.

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