We will find out soon. I’m betting this one will end up just like the bailouts, because you see the corporate media has been making a huge splash on this diversion.

http://finance.yahoo.com/news/Black-people-must-leave-NJ-apf-1749619349.html?x=0

Very sad circumstance, and it’s a shame that one would do such a thing against their fellow man.

http://mises.org/story/3687

I will never be equal Dr. Paul’s understanding this subject, even though I am a student of Austrian economics. I will just never match his understanding.

I need to get the book soon, possibly off Amazon.

Tomorrow I shall be back, on the subject of the actual currency and how it works in the marketplace.

I felt that is was necessary to include before I dive into the overview.  Dr. Ron Paul’s sentiments ring true here; inflation is a tax upon the people of which they will never see. That is, until they go to the grocery store and notice that milk is near $5 a gallon when it was normally $2.80.

However, in this clash between Dr. Paul and Bernanke it is known that they come from two different understandings of how economics work. For Dr. Paul it is the Austrian School and Bernanke it is the Keynesian School.
There are major differences between these two types of ecnomics, you could even go as far as to say that they are polar opposites. It is intriguing to me that Bernanke happens to say that he agrees with Dr. Paul on the facts that if the Federal Reserve pumps more money into the system that it will only devalue the dollar, causing inflation to rise.

However, Bernanke continues on toward the end of the clip saying that it is the Federal Reserve’s policy to control the amount of inflation.

Before I go off on how ridiculious his statement is, I will explain the different views between Keynesian and Austrian Economics.

Keynesian Economic view on Inflation increase in money supply has no relation to inflation, it is only the pressures of the economy expressing themselves in the marketplace.

Austrian Economic view on inflation is by definition always and everywhere simply an increase in the money supply, which in turn leads to a higher nominal price level for assets (such as housing) and other goods and services in demand, as the real value of each monetary unit is eroded, loses purchasing power and thus buys fewer goods and services.

This is  an interesting concept to me as for the Keynesian view, it is like they say that the real root of the problem is the market place and not the actions of those who control the money supply. For me, the money supply is what controls the marketplace. If you flood the market with money, the price of items will continually go up. That is how fiat currency works, with nothing to back or control it, inflation is used as a tax and will run rampant over time.

Lets go back to Bernanke’s comment on “controling inflation”.

Mr. Bernanke, Do you feel the Federal Reserve has done a good job at controling inflation? I do not think so. $1 USD today is equal to $0.047 from 1913. Is that a good control on the market place? With banks lending money, over extending themselves, and the federal reserve always ready to loan money to the government, it is no wonder the USD has been devaluated to this extent.

All I can say is think of it like this, when you work hard for you weekly paycheck and realise that you have to pay 25-50% more for your groceries, wouldn’t you get mad? It’s not the fault of the grocer but the fault of the private Federal Reserve banking System.

The Panic of 1907 was meticulously designed. Out of a failure to corner the market on the stocks of United Copper, the banks who funded this push and associate banks were subjected to a run on the banks.

Wikipedia states that “The panic may have deepened if not for the intervention of financier J. P. Morgan, who pledged large sums of his own money, and convinced other New York bankers to do the same, to shore up the banking system. At the time, the United States did not have a central bank to inject liquidity back into the market.”

In my own understanding, I read this quite differently, as J. P. Morgan had much to gain out of this ordeal.

Next Comes Jekyll Island

The real problem is this, government involvement lead to what we have now. Insurance companies and hospitals that charge outrageous sums of money for care. For the government to do this is demeaning to he common American. Then to turn around and say that reforming the health care industry is the only way to fix our economy is out right blasphemous. To “reform” a health care system that is already broken by government involvement, to say at the least. isn’t going to fix the wheel.

How about this for an idea. Get rid of all insurance companies, and allow the citizens local banks to offer a tax-free Health Savings Account. Allow the citizens and healthcare providers to find common ground and work a deal toward paying for the healthcare expense. Adding Socialism and Government Involvement between a citizen and doctor is not going to help the citizen get the care that he and his family needs.

This current administration seems to be wanting bring in corporate fascism to this country, and is doing a good job at it. Shame that they would never let someone like me in that conference room. I would most certainly ask some real questions about the economy. Like the connections between Bailout money and the group of people who chose Timothy Geithner to head up the NY Federal Reserve. Just read this slate article.

Donofrio says that since Obama had dual nationality at birth — his mother was American and his Kenyan father at the time was a British subject — he cannot possibly be a “natural born citizen,” one of the requirements the Constitution lists for eligibility to be president.

Donofrio also contends that two other candidates, Republican John McCain and Socialist Workers candidate Roger Calero, also are not natural-born citizens and thus ineligible to be president.

At least one other appeal over Obama’s citizenship remains at the court. Philip J. Berg of Lafayette Hill, Pa., argues that Obama was born in Kenya, not Hawaii as Obama says and Hawaii officials have confirmed.

Berg says Obama also may be a citizen of Indonesia, where he lived as a boy. Federal courts in Pennsylvania have dismissed Berg’s lawsuit. Federal courts in Ohio and Washington state have rejected similar lawsuits.

Allegations raised on the Internet say the birth certificate, showing that Obama was born in Hawaii on Aug. 4, 1961, is a fake.

But Hawaii Health Department Director Dr. Chiyome Fukino and the state’s registrar of vital statistics, Alvin Onaka, say they checked health department records and have determined there’s no doubt Obama was born in Hawaii.

The nonpartisan Web site Factcheck.org examined the original document and said it does have a raised seal and the usual evidence of a genuine document. In addition, Factcheck.org reproduced an announcement of Obama’s birth, including his parents’ address in Honolulu, that was published in the Honolulu Advertiser on Aug. 13, 1961.

Source

Now, the thing to look at is will Mexico be doing something similar? Mexico may come later, but here are the dates.

January 20, 2009 – Obama Presidential Inauguration

Joe Biden has gone on record saying that something will happen shortly after Obama’s inauguration that they will be doing something that we won’t agree with at the time, but we should trust them.

January 26, 2009 – Last Day of Canada’s Parliament is suspended

See the SIX day overlap? I hope that it is just me worring over nothing, I truly do, but something just is not sitting right with me. Are we reverting back to the “public” British Empire?

I can “guarentee” it will occur. Fear mongering at the least.

I for one am disgusted by this, and I’ve been having my own feelings that our government has been overran by the corporation, that politicians are there to only make the person “feel” like they have a say in how their government works.

I really believe this was started because of the 1913 Federal Reserve act. Big Bankers came in, took their share of the pie and kept increasing it. This is why the buying power of the dollar sits at $0.04 of what it used to pre-1913.

Open your eyes people.

Our economy is in for a bad ride, we know this. The toxic mortgage assests and the market need to be reset. However, with government intervention we will only delay the inevitable. Why can we not suffer through the few years of hardship now rather than passing the buck off to a future generation?

The Executive Branch is looking at the easy way out of this economic problem. We will only be continuing the same bad practices that had gotten us into this problem to begin with. We can put $700 billion into the hands of Treasury Secretary Henry Paulson, who is a former CEO of Goldman Sachs, and Ben Bernake to allow them to spend the money in anyway they choose. Yet again, I will say that we are only delaying the inevitable.

The Federal Reserve’s practice of easy credit and monetary inflation are crashing our economy. Now they want $700 billion of our own tax money so that they can “fix the problem”.

Where is the outrage?
-WGR

It is interesting seeing McCain continually saying that the economy is alright, and that he is fully supportive of the bail out plan. Then you have Obama, who is there over analyzing the situation. While I am glad that Obama is trying to take a look at Main Street over Wall Street, I think it’s more of a show than anything.

Government intervention is not the solution here. We need to let the markets work themselves out here and reboot. Times will be tough, but government intervention will only make the problem worse later down the road.

If we as a country can  live within our means will will do fine in the end. Quasi-Socialism is not the road that America should head down in my opinion. We’re at the fork in the decision, and one choice will make it really hard for us for the next 5-10 years. If we choose the other, things may be fine for the next 5-10 years but it will only snowball and be even worse when we’re in the next situation.