Our lives are full of signs; little signs and big signs, signs telling us how we should or should not behave or act. Signs are supposedly for our benefit. Some signs are meant to replace common sense. Signs warn us the road may freeze or the coffee may be hot. Some signs are meant to warn us to behave a certain way or a fine, penalty, or other unpleasant thing may be coming our way. Yet other signs are warnings of impending danger.
Consider a light comes on in your vehicle and a beeping sound ensues that indicates your oil is low. The sign is useful in one sense and meaningless in another. It’s useful because the warning sign provides you information. The warning is meaningless if you choose to ignore it. You choose how to act given the warning provided to you and you live with the consequences of your decision. Most people have the common sense to take action to add oil to avoid consequences such as the vehicle breaking down or damaging the engine. Ayn Rand said, “you can ignore reality, but you can’t ignore the consequences of ignoring reality”.
Moreover, there aren’t politicians, government bureaucrats, or the media to interpret the warning sign when your oil light comes on, trying to persuade you how to act , and promoting a narrative to fit an agenda. At least not yet! However, if these people were involved and the narrative was; it is an environmental hazard to refill your oil, or that oil and gas companies are collaborating with automobile manufacturers to produce faulty warning signs. Instead, many people would conform to the politically acceptable narrative promoted by the ruling class and their abettors in the media.
People succumb to and are mesmerized by narratives peddled by the media and the ruling class as though it represents truth and fact. History is replete with examples of despots and tyrants using narratives to exploit people for their own gain. Children are exploited for political, personal, or economic gain. To what depths must the ruling class sink when they cannot compete in the arena of rational thought and ideas and resort to immoral and ignoble exploitation children?
The point is the ruling class and the media use narratives to propagandize, program, and persuade people to act and behave contrary to the warning signs all around them. Individual judgment and discernment is replaced by group think and normalcy bias.
The warning signs regarding the economy and the government are all around us. The signs are visible. The lights are flashing. The buzzers are buzzing. I’ve written in detail about many of these subjects but here are some highlights of the warning signs people seem to ignore:
- Debt is 16,432,000,000,000 dollars.
- Unfunded liabilities are estimated on the low end at 60,000,000,000,000 dollars and 200,000,000,000,000 dollars on the high end.
- From January 19, 2009 through January 18, 2013 the debt increased from $10.625 trillion to $16.432 trillion. On average, the annual fiscal deficit for the past four years is $1.452 trillion dollars.
- Using the U.S. Government’s most recent budget prepared by the Executive branch the outstanding debt will increase by $7 trillion dollars bringing the total debt to $23.432 trillion. Note, this has been underestimated by $600 to $800 billion per year for the past four years and the future budgets assume growths rates between 4% and 6% per year. It is more likely the debt will increase by $13 trillion in the next ten years bringing the total debt to $29.432 trillion.
- Today, each person’s equal share of the debt is $52,165. If we include another $70 trillion for unfunded liabilities each person’s equal share increases to $273,412.
- Interest payments on the debt are roughly 10% ($250 billion) of federal revenues. This is based on the Federal Reserve’s zero interest rate policy (ZIRP). If interest rates returned to their 30 year average of 5.5% interest payments would increase to $925 billion or 37% of federal revenues. By 2022, the projected interest payments on the debt (at current interest rates) are expected to be $915 billion annually.
- The currency is being debased/devalued by an increase in the money supply. The money supply (m0) was $800 billion at the end of 2008. The money supply today is nearly $3 trillion.
- From 1800 to 1913 (year the Federal Reserve started) a dollar increased in purchasing power. What cost $1 in 1800 cost only 65 cents in 1913.
- From 1913 to 2013 a dollar has decreased in purchasing power. What cost $1 in 1913 costs $25 in 2013. The purchasing power of a single dollar has decreased by 96%.
- Real inflation rates are substantially greater than the figures reported by the U.S. government. The inflation calculation method has been modified over the past 20-22 years to exclude certain items and weight the basket of goods differently. Using the same inflation rate calculation that was used in 1980, the real inflation rate from 2000 to 2012 has been bounded at 5% on the low end and 12% on the high-end.
- Real unemployment rates are substantially greater than the figures reported by the U.S. government. The real unemployment rate is near 16%. That government reported unemployment rate of 7.9% reflects a 2.1% drop in the labor participation rate from 65.7% to 63.6%. In other words several million people are out of the labor force and not counted as unemployed.
- Exorbitant privilege is given to the government to control a country’s money supply. This privilege allows a cabal of people to destroy wealth through monetary inflation (which decreases the purchasing power of the currency). Savers (net producers) are punished by this while borrowers (net consumers) are rewarded.
- The same cabal controls interest rates (cost of money). These rates are set to benefit government and manipulate economic behavior to drive consumerism and increase the total credit market debt.
- Total credit market debt outstanding was $4.3 trillion in 1980. As of July 2012 the total credit market debt outstanding is $55.3 trillion. That is an 1100% increase.
- Likewise, GDP was $2.8 trillion in 1980 and is $15.1 trillion as of November 2011. That is a 440% increase.
- Most GDP growth has been manufactured through increased credit market debt (i.e. people buying things on credit and taking on more debt) and through currency debasement (devaluation of the dollar).
- The total outstanding claims on base money is $70 trillion. That includes outstanding credit + money supply (m2). The money supply is levered at a ratio of 25:1.
- The Federal Reserve’s ZIRP impacts people on fixed income, those savings through traditional savings accounts, certificates of deposit or money market accounts. The real interest rate is calculated as follows (nominal interest rate less the real rate of inflation). So, the real interest rate is actually negative for savers. In other words, due to real inflation/currency debasement every dollar saved loses purchasing power.
- Under a monetary regime with fiat currency debts are never truly extinguished. When you pay a debt with a $50 check or $50 federal reserve note the debt is not extinguished it is merely transferred to your bank. The bank transfers the FRN to the federal reserve bank that issued the note. It is the U.S. Treasury that is ultimately responsible for all the liabilities of the Federal Reserve.
- The entire global monetary system is a debt-based system.
- The total debt of all the countries on earth is $220 trillion and the GDP is $62 trillion. That is a debt to GDP ratio of 355%.
- All major currencies around the globe are being debased in a race to the bottom.
- The use of paper money is unconstitutional. Moreover, people are forced to use government issued paper money under legal tender laws.
- Too Big To Fail policy that eliminates moral hazard. Government bails out financial institutions due to poor decisions and takes the debts onto the Federal Reserve’s balance sheet to be paid by the people. In other words profits are privatized but risks are socialized.
- The total outstanding notational derivatives market, as report by the Bank of International Settlements, is over $700 trillion.
- The Federal Reserve bank now owns over 90% of the long-term bonds (10 year and beyond).
- Government determines which industries succeed and which fail. Government takes tax revenues or borrowed money and redirects it to industries, businesses, and groups according to government centric preferences.
- Government mandated health insurance. Government forces you to buy insurance or be fined.
- Governmental regulations over every minute detail of the economy and your life.
- War on drugs. Nearly 25% of the prison population is due to some drug related offense.
- Illegal wars overseas. There has not been a constitutionally declared war since WWII.
- Government providing guns to Mexican drug gangs that resulted in the deaths of hundreds of people include a U.S. border agent. The U.S. Attorney General is complicit in this and in the cover-up.
- Drones over the U.S.
- Indefinite detention of U.S. citizens without due process. The government decides who gets due process and who does not.
- Warrantless searches under the Patriot Act.
- Assassinations of U.S. citizens can be ordered by one person – the President.
- Secret evidence and secret courts are used to detain and prosecute people. Government uses these courts so it doesn’t have to reveal evidence and hides behind national security claims.
- Extraordinary renditions
- Asset Forfeiture Laws
- Government school systems
- Laws forbidding assembly near elected officials.
- Control over the internet.
- Outright disobedience of the Constitution.
- Outright disobedience of the Bill of Rights. For instance, the 2nd amendment FORBIDS the government from doing anything that interferes with your unalienable right to self-defense by bearing and keeping arms.
- Government collusion with private companies, the media, Unions, and other groups.
This was not an exhaustive list, nor did it take long to compile it. There are hundreds and thousands more that can be added to the list. These are the warnings signs of a despotic and tyrannical government. The lights are flashing and the buzzers are buzzing. The signs are everywhere. These are danger signs warning you of impending peril.
Why are people ignoring the signs?
Mostly people can’t discern truth and facts from narrative used to distort and obfuscate and further an agenda. The narrative is peddled like a drug dealer pushing heroin. Those complicit in the peddling are looking for more innocent customers that will buy into the narrative just as the junkie buys heroin. People can’t contemplate government is not trustworthy and doesn’t have the peoples’ interest in mind. People can’t break free of the chains that bind them to the false left-right paradigm and think critically and rationally on their own. People buy into the incessant narrative propagated by elected officials, government bureaucrats, and the media. People don’t know nor do they care about constitutional government or unalienable rights.
People are paying attention to the narrative and ignoring the signs. This must be reversed. People must pay attention to the signs and ignore the narrative.
As society, our liberty, and our life styles continue to deteriorate will you recognize the signs or will you believe the narrative? At what point does it become too late to adjust your thinking and take action? Precisely how far and how bad does it need to get for people to simply say “enough is enough” and take action?