http://www.federalobserver.com/archive.php?aid=11062


When chickens come home to roost….

By Republicae-Seditionist

It is amazing just how many of us trip over the truth only to pick ourselves up, dust ourselves off and continue on our merry way, what is more astonishing is that our own government officials in whom we have misplace our trust are just as guilty. In fact, they are guilty of such crimes against this nation and the Constitution that they have ruined this nation and bankrupted its people without their knowledge.

There is a great deal of difference between the true economy and the purported economy that the government publishes in order to keep their scalps. Besides, the subject is so complicated that few people really want to understand it or know just how their lives are affected by such financial shenanigans.

It is far from an accident that we must concern ourselves with inflation and the devaluation of our imposed currency [Federal Reserve Notes]. Inflation is the primary purpose behind the system and it has been used very effectively to transfer the wealth of the world into the hands of a very select few.

Should it surprise anyone just what has happened to this country and its economy?

It is dying daily from the abuses of it’s own government and now teeters on collapse. Sure, everything looks relatively good on the outside, but the internal rot is beginning to release its foul odor.

At the moment I wrote this one line, the accumulated debt of the general fund of the United States was at $8,550,611,775,992.00 and every second over a half million dollars is added to that amount. Now, on an international level there are estimates that this fine bankrupt country owe other nations more than $14 Trillion Dollars and far worse, that the U.S. owes about $80 Trillion Dollars in future entitlement promises which are unfunded liabilities and can never be paid. Now that’s about 6 times larger than the entire economy of this country and if that doesn’t shock you, and indeed scare you, then perhaps this will.

The system is very near its practical limitations or lifespan, it will soon get to a point where the irreversible multiplication of debt can no longer be serviced by the economy as a whole. We have failed to understand that the Central Banking System creates its “Notes”, introduces them into circulation and the debt, that is created and owed is always equal to the amount in circulation. In other words, the debt is never paid, only the periodic interest payments upon that debt. So, although there is a number associated with the debt owed by the U.S. government, in other words the People through taxation, there is no real way of knowing just how big that number really is because there is no way of know how much fiat currency is in circulation. Only the “book-keepers” of the Central Bank know and they don’t want that information to ever be released to the public!

So, as you and I work, toil and labor, we, through our taxes or a better word is peonage, pay against the periodic principal and interest obligations. Now this next statement requires a great deal of thought, but as we pay [via the government taxation] against the periodic principal it diminishes the amount of currency in circulation by the amount of that payment. However, because this system is setup to require circulation to sustain the economy, the government is forced to turn around and borrow the same amount that it just paid off…and more, each time. So, no matter how much we pay back into the system, it will never lower the total sum of the debt because of the ever-growing amount of circulation needed to sustain the economy. At best, all that is ever paid is the periodic interest payments, not the principal of the debt owed.

As you may be seeing, where the circulation of currency is subject to interest payments and the economy is dependent upon such circulation to be maintained, it is totally impossible to ever stop the multiplication of debt! In other words, we have become slaves to the system of the Central Banks, with no hope of release until the system itself either fails or is thrown down as criminal.

As I said, the system is very near its practical lifespan, not its maximum lifespan, but its practical one. As the periodic interest paid to the Central Bankers increases and multiplies because of the debt assumed by the government on our behalf, there comes a point where less and less of the circulation can be devoted to sustained the economy. So, the government borrows, and borrows, and borrows to maintain the circulation to keep the economy growing at a reasonable pace. Yet, as it continues to borrow the debt becomes larger and requires higher periodic interest payments, which place a large demand upon the circulation of the currency.

The debt and the interest begin to place a large burden on the economy and, in essence, suck the life from the profit margins, potential incomes and solubility of the economy. People’s ability to make ends meet becomes harder and harder, savings become non-existent, bankruptcies and foreclosures become rampant, businesses fail and eventually each domino begins to fall until it is no longer a viable system.

There comes a point, and believe me we are at that point, when the cost of servicing the debt consumes the entire circulation and therefore the economy. The system simply can no longer afford any costs of sustaining the economy and at that point the government is no longer considered credit-worthy to assume more debt to keep the economy running.

Of course, when the system is no longer credit-worthy and the government can no longer borrow enough to place into circulation, it deflates rapidly so the economy loses its sustainability. So, within a relatively short period of time, in our case one cycle where the government can no longer borrow enough to place into circulation, the system suffers massive failure and collapse.

If you are old enough to remember the extremely high interest rates back in the 70s, then you recall that the economy still was able to maintain a certain amount of growth despite the higher rates, even the housing market maintained growth. That was because the load of debt was not too heavy to stop the growth, but just let the Federal Reserve raise interest rates to those levels today, the economy just cannot maintain itself with such rates. If you noticed the housing market is having a difficult time already with rates that are hovering around 6.5%, imagine what would happen if the rates were raised to 10%. So, the Federal Reserve is holding the rates at artificially low levels to try to maintain the economy, but it can’t do that much longer and there are few tricks left in the Fed’s bag to thwart the end of the practical lifespan of the system before collapse.

So, the signal that we are in the last stages of the system’s deterioration is that it can no longer withstand higher and higher rates of interest without suffering dire consequences. So, every economy that has subjected itself to interest-bearing debt terminates into insoluble debt. There are no other alternatives within such a debt-based economic system.

From now until about 2010 to 2012, unless something extraordinary takes place, we can expect the practical lifespan of the system to expire and a rapid decline of the economy take place until ultimate collapse.

Those who have perpetrated such criminal acts have grown fat off of the labor of the workingmen and women of this country. They have used the fiat system to gain real wealth and exchanged the labor of the people for their worthless, failing currency system, which does little except bleed the people of their lives and prosperity through the hidden taxation of inflation. The Republicans and Democrats are accomplices in the crimes of the Central Bankers, and therefore not only are they totally unreliable to properly govern this nation, but they have, through their complicity with the Central Bankers, ultimately destroyed this nation.

Those within the central banking system have imposed their will upon the people of this country and indeed the world through their fraudulent program which produces a debt based economy instead of a wealth based one. The only wealth their system produces is to their benefit and theirs alone.

The system is far from being an accident, as I said, it was a well planned program with one purpose and that was to bring about servitude on a massive scale that would produce the maximum amount of wealth transfer and yet keep the ‘servants” unaware of their own subjugation to the system.

For over 93 years, we have served those who seek to gain their wealth through our toil and benefit from our labors. Indeed, the system of peonage has worked so well that it is now almost impossible to escape it.

You see, we are given the numbers and told that yes there is a debt to be paid and that it is of little consequence, but we are rarely let in on the secret that the debt can never be paid and, in fact it was never intended to be paid.

When the Central Bank “lends” money into circulation, it does so as a debt, which is, of course, subject to interest. Now that debt is fully collateralized by the “promise” of repayment by the federal government and the pledged assets of the United States.

As you may know, the Federal Reserve “buys” their “Notes” from the Treasury for about 2 cents a piece no matter what denomination the note carries. The Fed then “lends” those “Notes” back to the government with the government’s “promise” of repayment for the full-face amount.

So, how does the owners of the Federal Reserve Banks make their money…let me count the ways! It’s obvious that they have an extremely sweet deal set up with the government in that they buy basically worthless pieces of paper from the U.S. Treasury, and then the government guarantees to pay the Federal Reserve the full amount printed on those worthless pieces of paper. The primary method with which they make their money is through inflation and the way they do that is simple, they just print more and more of their “Notes” which saturates the market and devalues the currency. Then, of course, there are interest payments on the debt.

The People are “cajoled” into paying taxes, which is nothing more than the toil and sweat of our labors, that is all that taxes represent. It is the payment to the “lord of the manor” for the right to live upon his lands and retain a limited degree of contingent freedom as we do so.

Make no mistake about it; those who rule from the lofty heights of the Central Banks are the blood-enemy of the People. They are ruthless criminals of the lowest kind, their nature is without conscience and their minds reprobate! Their usury is without compassion and their motivation is greed and power!

There was a very good reason for the installation of Bush into the White House, if you haven’t guessed. Bush would accomplish several things necessary to maintain order after the collapse of the system. 9/11 was nothing more than part of the overall plan to gain that control and to eventually restrain the chaos which is to follow upon termination of the system.

It only gets worse, believe me! If the American people knew what lies ahead there would be a massive revolt, but they have been conditioned over several generations to remain complacent.

At the end of this one essay, the accumulated debt of the general fund of the United States grew to a massive $8,551,827,560,970.00.