As we watch events unfold, it is difficult to assess what exactly is happening and what the end result of our economic and political future will be.
Stewart Dougherty has published a must-read look at America’s Impending Master Class Dictatorship and outlines how today’s events are shaping our country.
Nothing like this has happened before in America. We hesitate to suggest it, but all of the signs indicate that what’s happening right now simply cannot be stopped.
“Thanks to the endless barrage of feel-good propaganda that daily assaults the American mind, best epitomized a few months ago by the â€œgreen shoots,â€ everythingâ€™s-coming-up-roses propaganda touted by Federal Reserve Chairman Bernanke, the citizens have no idea how disastrous the countryâ€™s fiscal, monetary and economic problems truly are. Nor do they perceive the rapidly increasing risk of a totalitarian nightmare descending upon the American Republic.”
Despite what you may hear from State Media, which includes virtually all establishment news organizations, particularly financial ones (e.g., CNBC), America is on the precipice. No bankrupt nation in history has ever defended or preserved the freedoms of its citizens. In fact, it has been the exact opposite: in desperation, bankrupt governments have routinely plundered their citizensâ€™ wealth and imposed totalitarian controls. What will make things different for the United States, the largest debtor nation in all of recorded civilization?
As Dougherty points out in his article, the official debt and unfunded liabilities is $120,000,000,000,000. That’s $120 trillion over the next 35 years or so. These are the official numbers, using government fuzzy math. The real debt is estimated somewhere north of $150 Trillion. Our government takes in around $4 trillion in tax revenues each year – and that’s being generous. How on earth are we to pay off our existing liabilities and debt with this revenue stream?
It’s just not going to happen.
So, the government is going to come after its people. Like broke and unstable governments before them, the US government will seize anything and everything they can. The problem, as Dougherty points out, is that the combined individual wealth for the 99% of us that aren’t in the elite class is roughly $32 trillion. Even if the government confiscated all of the non-elite wealth in America right now, we would still have a $88 trillion shortfall! That’s how bad this is.
But our government couldn’t let something like this happen. They wouldn’t let this get out of control, right? Dougherty makes it very clear – pay attention:
Therefore, the governmentâ€™s only solutions are either formal bankruptcy (outright debt repudiation and the dismantling of bankrupt government programs) or unprecedented American monetary inflation and debt monetization. If the government chooses to inflate its way out of this fiscal catastrophe, the United States dollar will essentially become worthless. You can be absolutely certain that a PhD. in economics, such as Dr. Bernanke, is well aware of these realities, despite what he might say in speeches. For that matter, so are Chinese schoolchildren, who, when patronized by Treasury Secretary Geithner about Americaâ€™s â€œstrong dollar,â€ laughed in his face. One day, perhaps Americaâ€™s school children will receive a real education so that they, too, will know when to laugh at absurd propaganda.
There is no easy way out of this. And the powers that be fully understand this. As we have mentioned in previous SHTF Plan articles, Bernanke and Geithner will be left with two options, neither one of them good: either default on our debt and stop paying foreign creditors, or, monetize and print more money to inflate the debt away. The dollar is currently on life support, but it cannot be saved. Both of the aforementioned cases will lead to a dollar flat line.
These deficits and debts are now so gargantuan that they have become surreal abstractions impossible even for sophisticated financiers to begin to comprehend. The common citizen has absolutely no idea what these numbers mean, or imply for his or her future. The people have been deluded into thinking that Americaâ€™s arrogant, egomaniacal, always-wrong-but-never-in-doubt fiscal witch doctors and charlatans, including Greenspan, Rubin, Summers, Geithner and Ponce de Bernanke, have discovered a Monetary Fountain of Youth that endlessly spits up free money from the center of earth, in a geyser of good will toward the United States. Unfortunately, this delusion is false: there is no Monetary Fountain of Youth, and contrary to the apparent beliefs of the self-deified man-gods in Washington, D.C., the debt and deficits are real, completely out of control, and 100% guaranteed to create catastrophic consequences for the nation and its people.
It is hard to believe that this is happening, but it is. Read that last sentence again, because it is very important to your financial and personal well being.
On a national and global level, what is about transpire can only be deemed catastrophic. Life as we know it, everything we have come to know as normal in America – enjoying a daily Star Bucks, buying a new car every few years, updating your furniture to keep up with the Jones, yearly salary increases, and iPhone upgrades every time a new model is released – is over. Hard to believe. You can either accept it, or go down in flames along with the rest of the sheep.
Financially, this will be accomplished by a complete destruction of what is often referred to as the world’s reserve currency, the US Dollar:
The most important point is this: devalued currencies never rise again. Once they are destroyed, they are gone forever, and those whose wealth had once been denominated in them are wiped out. As you have no doubt heard before, not one fiat currency has survived over time, and that is an indisputable fact. More significantly, no fiat currency has ever suffered the abuse that has been inflicted upon the United States dollar, meaning that it is at extreme risk. Gold has been money for 5,000 years. It has not merely survived, it has prevailed over each and every fiat currency collapse throughout history. Given this, the most important financial question a person can ask him- or herself today is: How is my wealth denominated at this time? And given its denomination, is my wealth likely to be safe in current and evolving circumstances?
Venezuela devalued their currency by 50% just a few months ago. North Korea’s Kim Jon Il devalued their currency by 99%. Both devaluations were executed overnight without warning to the non-elite 99%, literally evaporating the wealth of individuals who lived in those countries. Will it happen in America? No, it’s different here. Right?
The destruction of the middle class in America by evaporating our wealth through a number of different means will eventually lead to threats to our personal well being. Throughout history, governments have always turned on their people during times of trouble, and we fear that the same may come to pass in the United States of America.
We are seeing it already in mandatory health care, violations of which are punishable by prison sentences. We see it in government’s complete take over of our supposedly free internet. We see it in four justices wanting to eliminate our Constitutional protected right to bear arms. And as Stewart Dougherty points out in the excerpt below, the Executive Orders are ready to go. In an event deemed a national emergency, whatever that event is, our Constitution will be suspended and a domino effect of tyrannical policies will be immediately implemented.
Are you ready for what’s coming? Stewart Dougherty has some advice:
If you find the above argument compelling, you should consider how to protect yourself from Executive Orders that could be issued at any time, under any pretext, and that could be extremely hostile to your financial and/or personal health and well being. One simple way to start is to purchase one ounce of gold for yourself and each member of your household, and much more if you can afford it. That is not financial advice; it is merely the common sense generously communicated to you by history.
Common sense indeed, something our government and officials seem to be lacking.
Hat tip Mariposa