Day by day, the American citizenry is bombarded by a multitude of propaganda by the corporate media with the only intent of striking fear into the people in order to bring about social order through herd mentality. From Ebola to overseas conflicts, a problem is presented and the government is conveniently always there to save the day. After all, never let a good crisis go to waste.
There is always a new problem created and, every time, new powers are taken away from the people; repossessed to the bureaucrats and politicians. Every week, a new crisis comes along and becomes the newest threat to the homeland. Michelle Obama first said juvenile obesity is the most eminent national security threat, Bernie Sanders believes it is global warming, and the neo-cons claim it is ISIS. All contrived, again, for the sole purpose of expanding the power of the State; to control our choices, oppress the individual, and wage more war.
However, all this rhetoric does is overshadow the true nature of reality. The media spreads this disinformation and is able to persuade the people to comply with their newest agenda, despite the facts that the first lady’s “let’s move” campaign proved an abysmal failure, the earth has not warmed in 18 years, and you have a better chance of being struck by lightening than being killed by ISIS. I contend the most pressing threat to our national security is not climate change or ISIS, but Janet Yellen and the central bank.
The word terrorism can be defined in the following manner:
1. the use of violence and threats to intimidate or coerce, especially for political purposes.
2. the state of fear and submission produced by terrorism or terrorization.
3. a terroristic method of governing or of resisting a government.
Through Quantitative Easing, the Fed has inflated the money supply by over $3.5 trillion. As a result, interest rates have been kept at 0% for nearly a decade, and are actually negative when inflation is factored in, representing an implicit, unconstitutional, and unauthorized tax on the American people. So, can we call the Fed’s actions undoubtedly and unabashedly an act of (economic) terrorism? These policies of the central bank are certainly meant to coerce and intimidate market actors and is no doubt for political purposes. It is also clear that these policies constitute what amounts to a terroristic method of governance.By this measure, Federal Reserve chairman, Janet Yellen could be, and should be, considered a much more serious terrorist than Syed Rizwan Farook, or even Anwar Al-Awlaki. In today’s America, it becomes abundantly clear that the most effective terrorist organization is not Al Queda but the Federal Reserve. After all, it was Lenin who understood if you debauch the currency, you can destroy the free market and that is exactly the sentiment that the Fed is after; to take more power from the people and give it to the planners.
Today, gold and silver prices are at a five year low, despite record breaking demand and mass shortages. Oil has slipped down to a mere $35 a barrel as a result of the Fed’s easy money policy. The dollar is also now stronger than its been in the past. Recently, investors paid $250,000 a piece to have dinner with Ben Bernanke, where he openly admitted the Federal Reserve would not raise the federal funds rate more than 25 basis points in his lifetime. The current expansionary cycle has gone for more than twice as long as is average and economic indicators remain horrendous.
Thereby, Fed policy sits between a rock and a hard place. If interest rates are increased, the bubble that has been created by QE will burst and the economy will spin out of control. However, if interest rates continue to remain at zero, malinvestment will continue to build, and once again, a correctional bust will arrive. The market is already turning bearish, with some analysts predicting another 2008-like stock market crash. The Fed will keep the bluff of raising interest rates alive as long as it can but,in my view, it becomes clear that interest rates are not slated to go up any time soon and I wouldn’t advise anyone to hold their breath. Fed policy has proven to be based on nothing but smoke and mirrors. I predict that, just like Bernanke, Yellen will claim deflation and another round of Quantitative Easing will be on its way.
Even if there is no new quantitative easing, the Federal Reserve still risks losing control of the U.S. bond market, leading to increased domestic inflation and interest rates. Every decent economist realizes it is the level of treasury note holdings that affect the bond market, not the rate of addition of these holdings. As the supply of bonds available decrease, prices increase while yields decrease. This, coupled with the de-dollarization efforts of BRIC nations, will be enough to collapse the bond market.
As the dollar ceases to be the world reserve currency, euro dollars will flood the US economy causing double digit inflation. When this occurs, the Fed’s hand will be forced and interest rates will have to be increased. Not only will this become detrimental to the consumer, but it could significantly increase America’s national debt default risk.
In today’s turbulent and volatile state of affairs, it becomes apparent that the greatest threat to man’s freedom does not come from Islamic thugs in some far away land but from the central bankers of the homeland. These domestic terrorists destroy our futures and no one is capable of escaping the consequences of their heinous acts.
Mankind must remain vigilant, learn to question authority, and call the Statists out for exactly who they are. We must never relinquish hope or our humanity, but maintain the sheer audacity to dream for a better tomorrow and fight everyday to make those dreams a reality.