To Whom Do We Pay It??

.

Think About It.

The US House of Representatives passed a "Stimulus" bill.

The US Senate just passed it, and on Tuesday the President will sign it.

$790 Billion.

$1.2 Trillion when you include the interest.

A Few Questions For You:

Q: Who are we borrowing this from?  Specifically and exactly, who?  

Hint: We are NOT borrowing it "from the American People" or from "future generations". They do not have it.

Q: Do the banks actually HAVE the money we are borrowing from them or are they creating new electronic digits and lending them to our Government?  

Hint: They are not "printing" the money - do the math and see if they could print $10 Trillion.

Q: Is this money that we are borrowing, some depositors money?  Is it deposited in some banks' vault? Who has nearly $10 Trillion?  Not The United States, apparently, or we would not need to borrow it - right?

Q: Is there a $10 Trillionaire walking among us?  Since we are told that Warren Buffett, just last year, was the richest man in the world, valued at $62 Billion, it is unlikely that in a market like this, he grew his net worth over 16,129 %.  So, we know the richest man in the world does not have that money - and he would likely not loan every cent of it to a government that is reaping the fruits of a debt-money economic failure.  

So, don't you want to know where the money comes from? You will surely have to pay it back - you should want to know!

Q: How is it that the United States, who's Constitution authorizes its Congress to coin money and regulate its value, must borrow any money from anyone??

Q: Do you have an answer?  Not a slogan. Not a tired economic theory from someone who was born in the 1800s.  But, an answer.  

A: We are borrowing newly created, central bank, electronic digits, made up on a computer keyboard, deposited into accounts as digital money and all of it is debt.  

You and your children are now in direct economic slavery.

Whew!  Thank you Mr. Banker!  

It's time for our elected officials to get an education from sources other than the "experts", bankers and lawyers that have no interest in examining the current failed system for errors - an education from sources outside of the bank funded university system, on how this REALLY works.  

If you are a law maker, you need raw facts and information.  Then apply the Constitution and common sense.  

Do the work yourself.  Don't rely on someone else to explain it from their agenda driven perspective.  Eventually, you will be lied to.  Lied to about how this debt money system works. Count on that.  It has happened to me - this week - it just happened to be an attorney (surprise!) who is an elected official.  If you are not vigilant, it will happen to you.  The lie may come from someone who is sincere and dressed in a suit.  It's still a lie tough, right?  

We don't need any more lies dressed in a $5,000 suit.  We need the truth in work clothes.

.

Economic Terrorism? World Economic Meltdown?

You Decide.

Here's what The Chairman of the United States House of Representatives, Capital Markets Subcommittee, said:

"We're not the experts"?

Huh? Move over then, and let me drive.

None of the "experts" got it right or even know if they can fix it.

I know how to fix it - so do you, if you study this blog.

"Would have collapsed the entire economy of the United States, and within 24 hours the world economy would have collapsed."

How can we tolerate this level of incompetence?

"It would have been the end of our economic system, and our political system, as we know it."

Not if we had a wealth money system!

This is an unacceptable outcome.

"Somebody threw us in the middle of the Atlantic Ocean, without a life raft and we're trying to determine what's the closest shore and whether there's any chance in the world to swim that far - we don't know."

Somebody?

Who would have the economic power to deliver a coordinated economic strike against the United States - in the same hour!?

Representative Kanjorski, please email me, I can help.

Listen for yourself.

LINK

As long as you accept a debt money system, you will be held hostage to financial turmoil.

You don't have to accept it.

Help make a positive change.

While you still can.

Pass this blog along

and...

Support

The MINNESOTA TRANSPORTATION ACT

Leadership and What Can Be Done With Debt Free Money

Our Financial Downturn is a Result of Failure in Imagination and Leadership.

Watch this:

Dubai

View more presentations from MoneyAsWealth. (tags: debt money)

What kind of a country could we be living in if we stopped using debt as money?

We are only limited by resources (we have them!), labor (we have it!) and innovation (the US is exceptional).

We should NEVER be limited by money - we can create the money we need, based on production!

 

We need to shake ourselves out of the "debt mentality" coma that we have allowed ourselves to fall prey to and start dealing in wealth.

We have it.

YOU must demand it.

The answer is right here in Minnesota.

Starting with Minnesota, the US could lead the WORLD out of this economic "crisis".

We need leadership to do this.

So, lead.

I'll start.

Follow me.

If you are an elected official - lead.

If you are a voter - lead.

If you are an American - lead.

The children cannot do it.

Residents in the nursing home cannot do it.

If YOU are in between these ages - YOU"RE UP!

YOU.

It's your turn to lead.

Support 

The MINNESOTA TRANSPORTATION ACT

BIG Cargo!

A Look at China's Cargo Capabilities and What That Means to The American Economy.

See more PHOTOS

LENGTH: 1,302 ft

WIDTH: 207 ft

POWER: 110,000 hp

CRUISE SPEED: 31 knots

CARGO CAPACITY: 15,000 TEU (1 TEU = 20 cubic ft.)

OTHER: Silicone coating to ship bottom reduces water resistance and saves 317,000 gallons of diesel fuel per year.

SPECIAL CONSIDERATIONS: A NEW CANAL IN PANAMA 

NOTE: These ships arrive in the US full.  They return to China nearly empty.

That means that China sells us lots of "widgets".  We buy them with "dollars". That means China has dollars. China's economy does not use "dollars" it uses Yuan.  With those "dollars" China has from selling all of those widgets, it enters our bond market and buys US Treasury Securities (bonds, bills, notes) - that's one way that "China Holds Our Debt".

NOTE: According to the US Treasury, the Federal Reserve could write a check and buy all of this debt.  And, so, it should.  I propose that Congress enact a "FEDERAL RESERVE DEBT REPURCHASE ACT".  Congress would require The Federal Reserve to buy back the debt with the same money that it uses when it enters the "Open Market" to implement it's "Policy". Then the Federal Reserve would hold the debt and all of our obligations with China would be paid in full.  Since the Federal Reserve would write the check on itself, the money did not come from the sale of Treasury Securities and therefore would not increase the public debt. Since the money that it used to buy the Treasury Securities comes from a "check written on itself", if they zeroed out that debt, it would not hurt them one single bit - they lost nothing (because they lent nothing - more electronic digits, the stuff of make-believe).  

Panama digs a new addition to the canal.  China builds cargo ships bigger than US aircraft carriers.  The US buys China's stuff and sells very little of our stuff.  Why? Because our debt money system has forced US companies to go overseas and south of the boarder, to increase profits so that they can afford to keep up with their "debt service" requirements and taxes.

By supporting The MINNESOTA TRANSPORTATION ACT, you can help reverse this momentum.  You have to do something besides complain, though.  You have to act.  

Email to find out how you can help: moneyaswealth@gmail.com

$9.7 TRILLION ??

.
Anyone See a Pattern Developing?

"Bailouts" at $9.7 Trillion.

All loans.

Plus interest.

.

"...is almost enough to pay off every home mortgage loan in the U.S., calculated at $10.5 trillion by the Federal Reserve."
.

Sustainability and Capitalism

.

1. Capitalism is where the people own the means of production. We do NOT have that now in the US. We have a dirty form of debt-based, private bank, corporate, faux capitalism.

.

It's not that capitalism is bad - we wouldn't know; we've never had it in all of the history of the US. We've always been worked over by the banks and their special form of economic terror.

.

Isn't that what they are doing now? They dry up the money supply and threaten a "Great Depression" if we don't give them more money and labor ("bailouts" and wage reductions).

.

What's it called when you do all of the work and someone else gets all of the economic benefit?

.

In a model called "CLEAN CAPITALISM" the people would truly own the means of production because they would own their money. Whereas now, the banks own all of the money and you may only borrow it. We can change that.

.

2. Now, banks create money when they make a loan, by "monetizing" a "promise to pay". The borrower signs a promise to pay and they literally type the new money into existence when they deposit the new loan into the borrowers account. They ONLY do this when they make a loan - so the new money always increases the debt.

.

Big problem here: when they make a loan, they only create the principal. The money to pay interest is never created within the system. So, the debt is always greater than our ability to pay.

.

3. That is, by definition, unsustainable.
.

Here's a Concept

#1. Good Idea: The people do the work - they get paid.  The more wealth they produce, the wealthier our nation becomes.

#2. Bad Idea: The people do the work - the bank gets paid.  The more wealth the people produce, the deeper in debt our nation becomes. 

Our nation makes "debt" its "money"; the more money put into the system, the more debt there is.  That's bad enough, but now, the unpayable interest is threatening economic collapse. 

We can change all of that.  But only if we change the way that government pays for infrastructure.  

No more bonding / borrowing / taxing.  Simply pay the people who produce the infrastructure (wealth), with debt free money.  The infrastructure will be an asset to everyone and there is neither debt nor inflation in the equation. 

We can base our money on production of wealth rather than on debt.

Support 

The MINNESOTA TRANSPORTATION ACT

Can't Keep A Good Scam Down

Treasury in Plans For Record Debt Sale!

"Come on everybody!  Step right up!

We've got a huge debt problem, and what we need to do is add even more debt.

Now, who's first?"

"Ooo, Me.  Me!  Me first!  

I want to make the debt grow!!"

.

Hey, what do you expect?  They've found an easy mark in the American people. You think they won't exploit it to the end?  Why would you think that? 

.

The prey are always prey until they combine strength, moral principles and action.  Until then, they just talk a lot.  And until the American people get behind a solid idea that can stop and then correct this debt problem, they are all talk.

Who Creates Money?

.

"The actual process of money creation

takes place primarily in banks."

.

MODERN MONEY MECHANICS, Federal Reserve Bank, Chicago

.

.

"Then, bankers discovered that they could make loans merely by giving their promises to pay, or bank notes, to borrowers."

MODERN MONEY MECHANICS, Federal Reserve Bank, Chicago

..

."In today's world of computerized financial transactions, the Federal Reserve Bank pays for the securities with an "telectronic" check drawn on itself. Via its "Fedwire" transfer network, the Federal Reserve notifies the dealer's designated bank (Bank A) that payment for the securities should be credited to (deposited in) the dealer's account at Bank A. At the same time, Bank A's reserve account at the Federal Reserve is credited for the amount of the securities purchase. The Federal Reserve System has added $10,000 of securities to its assets, which it has paid for, in effect, by creating a liability on itself in the form of bank reserve balances."

MODERN MONEY MECHANICS, Federal Reserve Bank, Chicago

.

."Carried through to theoretical limits, the initial $10,000 of reserves distributed within the banking system gives rise to an expansion of $90,000 in bank credit (loans and investments) and supports a total of $100,000 in new deposits..."

MODERN MONEY MECHANICS, Federal Reserve Bank, Chicago

.

109 A.D. - Roman Historian, Tacitus

.
Witten on The Financial "Crisis" in Rome. Note The Date.

"Credit Crisis"
Government Involvement
Lawsiuts and Foreclosures
Real Estate Crisis
Banks Not Lending
Big Drop in Housing Prices
Personal and Financial Ruin
Bank Bailout

Sound Familiar?

.

Read what a Roman Senator and historian wrote about the subject 1,900 years ago:

"Hence followed a scarcity of money, a great shock being given to all credit, the current coin too, in consequence of the conviction of so many persons and the sale of their property, being locked up in the imperial treasury or the public exchequer. To meet this, the Senate had directed that every creditor should have two-thirds his capital secured on estates in Italy. Creditors however were suing for payment in full, and it was not respectable for persons when sued to break faith. So, at first, there were clamorous meetings and importunate entreaties; then noisy applications to the praetor's court. And the very device intended as a remedy, the sale and purchase of estates, proved the contrary, as the usurers had hoarded up all their money for buying land. The facilities for selling were followed by a fall of prices, and the deeper a man was in debt, the more reluctantly did he part with his property, and many were utterly ruined. The destruction of private wealth precipitated the fall of rank and reputation, till at last the emperor interposed his aid by distributing throughout the banks a hundred million sesterces, and allowing freedom to borrow without interest for three years, provided the borrower gave security to the State in land to double the amount. Credit was thus restored, and gradually private lenders were found. The purchase too of estates was not carried out according to the letter of the Senate's decree, rigour at the outset, as usual with such matters, becoming negligence in the end." 

- Tacitus, Roman Senator and Historian, 109 A.D.

Nothing turned around until there was interest free money. But, even then, they did not fix the problem - they let the banks do it to them again after three years.

.

Upayable interest is the problem. Banks manipulating "credit" is the problem.

The result is the same - no matter what century you live in.

.

The solution is to STOP. Stop the bank-credit-lending-at-interest scheme (scam) and the government (We The People) should restore the ownership of the money to the people. The banks now own the money and you may merely borrow it. But, that can and must change.

.
Support 

The MINNESOTA TRANSPORTATION ACT

.

PRT - One Part of Our New Infrastructure Rebuild

Personalized Rapid Transit

With MTA Funding - NO TAX INCREASE!

None.

Safe

Efficient

Viable

"Green"

Jobs

Leadership

Fiscally Sound

A True Asset to Minnesota, Built With Debt Free, Wealth Based Money!

DOWNLOAD VIDEO

This can be built to service Minnesotans and its construction and maintenance funded with the MTA, in lieu of taxation.

Funding it with the MTA allows the State to pay for it with wealth based money, instead of borrowing, bonding, or taxing, and provides a stream of debt free money to the system, that can enable people to pay their debts.

See The One Planned For Heathrow Airport.

ARTICLE

MORE LINKS

MINNESOTA INVENTOR COULD HELP BUILD PILOT PROJECT

.

6 Most Powerful Videos on Money

Lost Interviews - Restored

Byron Dale

America's Foremost Monetary Expert

PART 1

PART 2

PART 3

PART 4

PART 5

PART 6

Social Effects, on the Family, of Unpayable Interest

Creating money as an electronic bookkeeping entry and lending it, at interest, to governments, businesses and private individuals has a social cost to the American family.

Because now, all of our money is created as loan principal, no money, to pay interest, is ever created within the system. Value and wealth can be created, but banks only take interest payments in the form of money. Therefore, merchants must continually raise prices (or lower their labor costs or use cheaper raw materials) to capture this missing ingredient - the money they need to pay interest. This is the major cause of price inflation.

CONSUMER PRICE INDEX

Demonstrating Increasing Prices Due To Ever Increasing and Unpayable Interest Obligations

It has been estimated that 50% of the price of goods, is interest being folded into the retail price. 50%!  

What Is The Cost To The Family?

Financial stress is the number 1 cause of divorce.  

If the cost of unpayable interest were wrung out of retail prices, perhaps American families could make ends meet?  Perhaps the stress level, caused directly by unpayable debt, would become manageable? Perhaps divorce rates would decline?

What would happen if we left the debt-money system behind, in favor of an improved wealth-based money system? 

1. Both spouses would feel the relief.
2. There would be fewer divorces.
3. More families would stay together.
   
4. More active fathers, in the home, raising their children.
5. Fewer behavioral problems with boys
6. Fewer emotional problems with girls
7. Fewer young people involved in crime, in the court system, and in the prison system.
8. More families could make it on one job (instead of two or even three).
9. One parent at a time could stay home with the children.
10. Children would preform better in school.
11. Our economy would be strengthened by a better educated workforce.
12. Fewer jobs are outsourced to other countries.
13. Welfare rolls drop.
14. Families win big!
15. America wins big!
16. Every element of society is strengthened. 

Support 

The MINNESOTA TRANSPORTATION ACT

Email to find out how you can help: moneyaswealth@gmail.com

Change

The Pace With Which The World Changes, Quickens.

1. As the pace of change quickens, our money supply will need to expand,
   
2. As our infrastructure crumbles around us, we will need debt free funding to rebuild,
   
3. As dependence on foreign oil threatens, we need a clean, cost effective answer,
   
4. As Social Security faces unpayable obligations,
5. As foreign and domestic "leaders" endanger U.S. Sovereignty with ideas like a World Currency,
6. As the borrow / bond / tax / bailout scheme has reached runaway exponential proportions, we will need innovative answers,
   
7. These answers are here, on this blog.
8. Read it from the bottom to the top.
9. Share it with those you know.
10. Email us to find out what you can do to fix our economy.
11. Don't leave it to those who brought us to this point - they don't know how to fix it.

Yes We Can

Congratulations Mr. President!

May God Bless America.

He has asked for our help. 

We can help.

More than any other idea or concept, Monetizing Production of Infrastructure, as described here on this blog, can help him fulfill his goal of change, help put our economy on track and lead the US and the world out of this recession, using concepts that are positive, forward thinking and pro American.  

The MTA concept of funding can:

1. Solve the Social Security issue.
2. Stabilize our banking system.
3. Stimulate our economy.
4. Create millions of jobs.
5. Bring us closer to energy independence. 
6. Cut taxes.
7. Increase savings.
   
8. Balance budgets.
9. Give us safe, modern, infrastructure.
10. Export vital technology 

It's our turn to make a difference.

Send this blog to The President.  THE WHITE HOUSE

Then, send it to your friends.

Let This Sink In.

.

"When the Fed buys government bonds, it pays for them with a check on itself."

- Department of the Treasury,

Office of the General Counsel,

published in

"Tales From The Treasury", pages 13 & 48

.

Hyperinflation and Zimbabwe - Myth, Misinformation and the "Expert"

.

The True Cause of Zimbabwe's Hyperinflation

Once again (still) the "experts" can't wait to parrot what they have heard someone else say in order to show off how smart they are. In most cases, it's pomposity and prideful nonsense.

Austrians say the problem is too much paper. Keynesians say the government should spend more. Neither camp has a solid grasp on the effects of interest and both groups are in denial, when it comes to fully understanding debt.

In fact, in macroeconomic terms, you can hardly find a model that illustrates this: the money needed to pay interest is never created inside the system and that principal is extinguished from circulation when a payment of principal is made.

The more you learn about how it really works, who the "experts" are following, why they are following the wrong explanation, how old that theory is and who benefits from its propagation, the easier it is to realize why they can't figure it out.

NEWS FLASH: Hyperinflation is not caused by paper money. It is not caused by too much money. It is caused by unpayable interest rates.

Fact: Interest Rates in Zimbabwe were 800% in 2007

Fact: The Overnight Rate Charged By Zimbabwe's Reserve Bank is 10,000%

Fact: The 91 Day T-Bill is at an interest rate of 66.33%

Fact: Their Government has to hike taxes to pay the T-Bill rate at its maturity. Taxes up to 79%!

Fact: Unemployment in Zimbabwe is at 85% and HERE

QUESTION: If you're a shopkeeper and you have a loan at an interest rate of 800% and your taxes are nearly 64% (plus a 15% "value added tax" for a total of 79%) of your income, do you think that you will have to raise your prices to stay in business?

ANSWER: Yes. Daily.

QUESTION: Why is this happening? Is someone manipulating their interest rates, causing economic chaos because they want Zimbabwe's gold, platinum and diamonds?

Overview

Gold surrendered to a single company - find out who.

Manipulate, collapse, take.

ANSWER: Ya think?

The Reserve Bank of Zimbabwe is refusing to pay for gold deliveries.

Most of the gold mines have collapsed.

Investment banks are buying up the mines at pennies on the dollar.

.

This did not happen to Zimbabwe because they did not have enough gold.

This did not happen to Zimbabwe because they did not have enough natural resources.

This did not happen to Zimbabwe because the government spent too little.

This did not happen to Zimbabwe because they had too much paper money.

This happened because they had too much debt and the unpayable interest is destroying them.

Say, aren't the people dependent on bank loans for a medium of exchange and don't the banks set the interest rates on their loaned money?

When the banks hike the interest rates to manipulate the money supply to the point that only 15% of the people can work, the medium of exchange is destroyed and the banks end up with the gold, is that financial terrorism?

**ZIMBABWE UPDATE**

They Did What?

This can only serve to make the accounting easier - not fix the problem.

.

***January 2013 UPDATE***

Eliminating zeros is a poor substitute for a wealth-based monetary system.

.

Support Passage of
The MINNESOTA TRANSPORTATION ACT.

Debt Free Infrastructure - Tax Free Funding

We Can Fund Our Bridges and Roads Using

The Principles of the MTA.

We Can Fund The Nation's Aging Electric Grid Using

The Principles of the MTA!

ARTICLE

We Can Fund Our Rail Projects Using

The Principles of the MTA!

Mag Lev Video

We cannot afford for the incoming administration to borrow the money to pay for theses needed rebuilds and improvements. 

Soon, we will not be able to pay the interest on our debts - we may be there now!

Definition: MONETIZE

Monetize means that we agree that something is money.

If I sell my pen for a dollar, some say that I have monetized my pen. 

Not so.

If we agree that my pen is money, then we have monetized my pen.

The MINNESOTA TRANSPORTATION ACT monetizes the production of infrastructure.

DNA Breakthrough!

Scientists Splice Genes.

Scientists at The University of Artesian Science, Polytechnic, have perfected a genetic splice between a mammal, a bird and a $100 bill, allowing the creature to lay bags of money, in place of eggs.

This development means that we can increase the money supply without borrowing and going deeper into debt!

Wait... This just in.

Sorry, money is still only created by banks when they make loans.

It seems the only way to get money into the system that is not a debt, is to change the law.

We'll follow this story and keep you posted on the details.

Support 

The MINNESOTA TRANSPORTATION ACT

Banks Create Money

"Of course, they do not really pay out loans from the money they receive as deposits. If they did this, no additional money would be created. What they do when they make loans is to accept promissory notes in exchange for credits to the borrowers' transaction accounts. ... Reserves are unchanged by the loan transactions."

- MODERN MONEY MECHANICS, Federal Reserve Bank of Chicago

Stimulus Package? That's a Load of Bull.

.
They are proposing another "stimulus package"?
It's not a stimulus package.

It's a loan!

.

Borrowed money!

YOU have to pay it all back.

Plus interest.

The "interest" is the part they don't create, and where you do the work for free!

The tide (the "stimulus package") may come in - but mark it down, it will go out (when the debt comes due, you have to pay back the stimulus package) , and carry some interest with it (more than we borrowed in the first place).

In the end, we'll be worse off than we are now.

1. Stop. Stop the borrow / bond / tax / bailout cycle.

2. Pass The MINNESOTA TRANSPORTATION ACT

3. Immediately begin monetizing the production of our infrastructure.
4. Immediately implement the Social Security fix mentioned here.

.