Safety

September 23, 2002

Safety is important to all of us. I happen to live in a small town because I love the atmosphere, the weather, close proximity to America's most rugged mountain range, and because it is a safe place to live. New York is famous for multitudinous locks on apartment doors. Traffic, pollution, crime, homeless vagabonds, graffiti, trash, and you name it, are all in big cities. They are unsafe by anyone's measurement. There is a larger part of safety than one's belongings, intake, and transportation. Safely storing our wealth before we need it, is of paramount importance.

Cashing a paycheck and walking out of the bank with perhaps several hundred dollars in one's pocket, can lead to muggings in big cities, and is dangerous in any locale. Paychecks should be deposited into a checking account, and checks written when you need cash or to pay a bill. That's the safe way to handle cash.

Cash is safe in banks, which are insured for $100,000 per account by the Federal Deposit Insurance Corporation. The FDIC only has perhaps a nickel for each dollar of "insurance," but not to worry, because if a lot of banks fail at one time, the presses can print the dollars to pay off depositors. $40 billion is being added to the money supply each week, so a few extras for a failed bank, is no big deal. Your dollars are safe in the bank, as far as numbers are concerned.

Some place a lot of dollars each month into a whole life insurance policy, which will pay you a certain sum of dollars at retirement or maturation of the policy. This is a safe place to put dollars for retirement…as far as numbers are concerned.

Some take out CD's or savings accounts at banks, which currently pay virtually no interest, and what they pay is taxable, but the number of your dollars is safe, and will increase a widow's mite every month.

Some store their dollars under a mattress, in a safe, or in the ground even. Their numbers are probably safe there too. Notice the repetition of the word NUMBERS, not value or purchasing power. Just the numerical amount of dollars, which may not hold their value, and certainly don't.

All of the above, are dollars that are safely stored. Dollars should be stored so they won't be stolen, until they are needed. But for how long? We are dealing with a paper economy, and paper is notoriously unsafe, regardless of how it is stored. Dollars can be counterfeited. Ever notice that a store clerk will mark a hundred-dollar bill with a brown marker, to see if it is counterfeit? If it is a fake, the mark will turn black, they say. The Government Printing Office must not have made the new bills as counterfeit proof as they claim. If you get one, forget ever being repaid for it, as it won't happen. You have lost that many dollars.

The supply of dollars is being increased by tens of billions each week. The more of anything there is, the less they will be worth, be it dollars, diamonds, cucumbers, houses, cars, or oil. That rule is undeniable and infallible. One shouldn't store one's wealth, long term, in dollars. Dollars, and all that is denominated in them, carry no guarantees. Is there a guarantee that the dollar has a "value?" No. Is there a guarantee that the dollar or any other paper currency, is redeemable in anything? No. Isn't storing wealth, long term, in no guarantee things, foolish? I think so. It costs less than a nickel to print a dollar, $50 dollar bill, or a $100 bill, which is "money" created out of nothing.

Are prices going up? That's what everyone says, when milk, butter, gasoline, cars, homes, or lumber goes up in dollars, pesos, rubles, or francs. "Prices have gone up again," is one of the more familiar statements in an inflating economy, which happens to be all economies in the world. Generally, prices haven't gone up at all. The "money" has gone down. Prices actually go down when there is a surplus of items, or mass production takes place, as with computers. Prices legitimately go up, when a product is in short supply. But in general, prices do not go up…the "money" goes down. Shoes, ice cream cones, and movies remain the same year after year, and they cost more dollars each year, thanks to a corrupted currency and economic system.

(Jane Austen wrote the same novel seven times, and this may sound like one of her novels, but 98% of the world doesn't get it, so I trust you will inform them or send this to them.)

Why does this happen? It happens because government is greedy, and politicians submit to the bleatings of their constituency in order to be re-elected. This means a constant increase in handouts. Handouts are camouflaged by inflation. Inflation is then camouflaged by fake figures. America and the world are overrun with recipients of handouts, and no one is about to stop it. New York has thousands of homeless that it puts up each night, at taxpayer expense, sometimes in $300 per night hotel rooms. The elderly are demanding that prescription drugs be paid with Medicare. More roads, more wars, more handouts and subsidies, is the rule of the world, not just America. In Germany, workers get 6 weeks vacation every year, and they now have 10% unemployment. The Soviets and communism was supposed to be a "people's paradise," and it went the way of the dodo bird, when it all collapsed in a heap, because of the ultimate destiny of all inflating economies. You can't pay people to live, eat, move around, stay warm, well, and healthy, by taxing the rest of us, forever. Eventually, the productive sector can't be taxed any more, ceases to exist, and the whole thing collapses. A new wrinkle has been added to the screenplay, and that is the producers sending their business off shore, or to Mexico, thereby laying off the working classes, which increases the velocity of the collapse. "There ain't no such thing as a free lunch," (TANSTAAFL) no matter how you juggle the books. Large corporations cooked the books for years, pretending there was income, when there wasn't. They pretended there were profits, when there weren't, and it all went along nicely, until the ultimate happened. That was bankruptcy, because all the hiding, faking, and fraud eventually catches up with any hidden, faked, fraudulent set of books. The US government has probably the largest set of faked books and fraudulent bookkeeping witnessed by man in his entire history. They print, print, print, and lie, lie, lie every day. They produce fake statistics, tell everyone all's well, and it is as if we are in Noah's day, thousands of years later. It is all a sham, and 99% of the public doesn't know it.

"What is that thing you call a boat? You guys are all into that silly thing with those animals, waiting for what? Its going to rain and flood everything, and everyone's going to drown? What's rain? You're crazy." A fantasy, that must have generated a lot of laughs. If you don't believe the Biblical account of the flood, that's OK, because every civilization has legends of a large flood that killed most everyone. Something like that must have happened. So here I am, saying the whole thing is as full of holes as a Swiss cheese, and it's all going down eventually. "Preposterous," everyone says. Myself and others predicted the demise of the NASDAQ for almost two years before it happened. Everyone thought we were nuts too. All I am saying, is that paper economies with paper "money" that is being printed by tens of billions each week, have definite flaws, and the flaws grow with each press run and government lie. Did anyone know Enron was faked to the hilt? Global Crossing? Qwest? No, people just kept buying them. Someone has to be logical, and I guess it has to be me.

Will it all come down in a year, or ten years, or twenty years? I don't know. All I do know, is that the current American economy is Enron writ large. It is a paper economy, with nothing of guaranteed value or redemption. It is monopoly money, candy cigarettes, and fairy tales. It has no basis in value, tangibility, or measurement. It is a shrinking ruler, whose length is being decreased by government, Sir Greenspan, and the politicos. It is a measurement similar to an ice block that is slowly melting at 32.05 degrees. Dollars and of time, beyond immediate needs.

Just protect yourself and spread the word so others can do the same.

China is the world’s biggest gold producer with more than 355 tons annually. Australia is second.

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