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11-10-2008, 03:41 PM #20
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Tax/War question
Google the money masters to see how the money system really works. The creature from jekyle island is also a goo book by I think its edward griffin. Explains how the bankers took control of the US economy.
If you noticed in the last month or two there has been lots of talk on tv about how safe your money is. There's a reason for that. If everyone ran to take their money out of the banks there wouldn't be enough to go around. The actual money supply is only about 1% of what is really in deposits and investments. The rest is just digits.
For those that dont know, banks basically take in deposits and then lend out money based on those deposits. So if someone deposits 100 dollars the bank can lend out 1000 so they just created 900 dollars out of thin air. The money does not exist. Its just digits that are created and the banks count on the fact that everyone will never run to the banks at the same time to take out their cash.
The next thing to understand is that the credit bubble was created by greenspan and went from the stock market to the housing market. The problem wih credit expansion is that in order to maintain the bubble more and more credit must be created to keep it propped up. This is the reason so many assets are devaluating as we speak, from the stock market to the housing market. The bubble works great if you are the first one in. If your the last one in then you are stuck. Its like a pyramid scheme only legalized by the government.
Why cant they keep this bubble going? Simple really, people in the US are maxed out. They cant borrow anymore because the incomes for the average person have not gone up much and they can only service so much debt. Congress and the bankers all know this but they dont talk about it much if at all. If you notice in this latest bailout to the bankers the banks get all the money and they still refuse to lend it out. Thats because they know whats coming. They just want to get their money back and stick the taxpayer with the worthless assets (Houses). I shouldnt call them worthless, they have some value bu that value is much lower then where they are priced right now. The only thing they are really doing is delaying the inevitable. Think about it. In 2000 a house was selling for 120-140k. that same house is 300k today. well maybe its backed off to 250k. The real value of that house at 3% inflation would be around 150-160k. Real wages only went up at an average of 3% a year over the same period so how could the stock market and housing go up more? Look at the realvalue of the stock market, in 1990 it was around 2000 on the dow. The dow took 90 years to get to 2000. then in 17 year it went from 2000 to 14,000. Was there really that much of an explosion in the economy? If you were making 30k in 1990 are you making 210k today?
I could write for hours on the subject but will stop here for now. Well one last point. The US is owned by the bankers, insurance companies, drug companies, and the military industrial complex. When you understand this you understand why all of those industries give so much to reelect congresscritters. You also understand why war is so profitable for them and why there is very little investigation into the profiteering. You can then see why mandatory insurance laws are passed even though the supreme court has ruled against that. You can also see why Bush expanded medicare benefits to the elderly and why we suddenly have so many 'new conditions' that warrant the new drugs coming out. These companies all know if they can get congress to mandate it they can rob the citizenry blind and do so legally. Everything the government gets involved with become more expensive than the private sector running it. Get rid of medicare and medicaid and see how fast prices come down in the health industry. This is why the insurance companies and health industries are pushing so hard to make these things mandatory. Like in ma we have mandatory healthcare now. This is illegal according to the supreme court and is the reason why if you dont carry insurance there is only a 180 dollar fine. If the fine was to severe people would take this to court but because it is only 180.00 they wont fight it. Too expensive to fight it when you have to hire an attorney and pay thousands. In 10 years people will forget about the supreme court decisions and take it for granted that healthcare is a right. Another generation and noone will remember when there was no healthcare. This is also how they get away with taxing people directly from their paychecks. Also illegal but after 3 generations people have forgotten what income really means and are just used to paying taxes. Your grandparents or great grandarents didnt have taxes taken from their pay. They also knew that income was not that same as pay from working. Fortunately the Supreme court has also decided on many occasions what income is. (Congress nor the IRS can make that decision, only the supreme court can)
Ok i am definitely rambling here. I'm really done for now LOL..
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