For someone who describes himself as having only a "journeyman's understanding" this article certainly helped to clarify my own understanding, so thank you.
Thanks for this article. To elaborate a few things:
You don't need a Federal Reserve to fund big deficits. Lincoln paid for his war by issuing greenbacks, which were simply bills printed by the Federal Gov't.
While inflation causes problems, deflation can be even worse because debtors, many of whom are poor, get extra-screwed.
An alternative to the tax on incomes, favored by many in Congress (and Pres. Taft) at the time, was a tax on inheritances. But the income tax was supported by the single-taxers, because it could have been configured to collect land rent.
Unique among Constitutional Amendments, the 16th (income tax) was ratified under a special rule, providing that once a state had ratified, it could not withdraw the ratification, but a state that had voted against the amendment could reconsider and ratify it.
Really good (and well-documented) videos on the Federal Reserve and World War I (as well as many other topics) have been done by James Corbett at corbettreport.com
The other key thing to understand in terms of the big picture... is that we are barnyard animals... and treated as such .... the farmer needs us to produce:
The Protocols Of Zion
Published 1903
* Place our agents and helpers everywhere
* Take control of the media and use it in propaganda for our plans
* Start fights between different races, classes and religions
* Use bribery, threats and blackmail to get our way
* Appoint puppet leaders who can be controlled by blackmail
* Abolish all rights and freedoms, except the right of force by us
* Sacrifice people (including Jews sometimes) when necessary
* Eliminate religion; replace it with science and materialism
* Control the education system to spread deception and destroy intellect
* Rewrite history to our benefit
* Create entertaining distractions
* Corrupt minds with filth and perversion
* Keep the masses in poverty and perpetual labor
* Use gold to manipulate the markets, cause depressions etc.
* Introduce a progressive tax on wealth
* Replace sound investment with speculation
* Make long-term interest-bearing loans to governments
* Give bad advice to governments and everyone else
"I care not what puppet is placed on the throne of England to rule the Empire, ... The man that controls Britain's money supply controls the British Empire. And I control the money supply." Nathan Rothschild https://twitter.com/KirbySommers/status/1567945974537936897
“Once a nation parts with the control of its currency and credit, it matters not who makes the nation’s laws. … Until the control of the issue of currency and credit is restored to government and recognized as its most sacred responsibility, all talk of the sovereignty of parliament and of democracy is idle and futile.” — Mackenzie King, Canadian Prime Minister 1935-1948.
"I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated Governments in the civilized world no longer a Government by free opinion, no longer a Government by conviction and the vote of the majority, but a Government by the opinion and duress of a small group of dominant men." - Woodrow Wilson, after signing the Federal Reserve into existence
“Some of the biggest men in the United States, in the field of commerce and manufacture, are afraid of somebody, are afraid of something. They know that there is a power somewhere so organized, so subtle, so watchful, so interlocked, so complete, so pervasive that they had better not speak above their breath when they speak in condemnation of it.” ― Woodrow Wilson
“The conscious and intelligent manipulation of the organized habits and opinions of the masses is an important element in democratic society. Those who manipulate this unseen mechanism of society constitute an invisible government which is the true ruling power of our country. …We are governed, our minds are molded, our tastes formed, our ideas suggested, largely by men we have never heard of.” – Edward Bernays – Propaganda
Keep in mind this document was penned when the gold standard still existed... so some of it is out of date. Things have evolved dramatically since 1903... the reserve currency became the means of control once these fellas created The Fed.
Don't get me wrong - I support these fellas... I don't have a school tie, bad teeth, nor an anglo surname... and those were prerequisites on the previous farm run by a handful of Brits.... these fellas don't care about any of that ... they work off of merit... so I've been able to enjoy some success under the new empire of the Elders.
End of the day someone has to run the show... I like the Elders :)
Fun fact: There is no Nobel Prize for economics. It’s actually the “Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel,” funded by the central bank of Sweden. Robert Monks (“Corpocracy: How CEOs and the Business Roundtable Hijacked the World's Greatest Wealth Machine”) claims this was to help elevate the specious pseudoscience of Economics to the level of the other prizes.
I think the fact that I have to constantly replace small appliances well before they should cease to function with normal use is proof positive that we are being farmed and that the “save the environment” people do not in fact care about the environment. It is one of my biggest rage makers.
All we really need to know about economics is that without cheap to produce energy ... we are f789ed:
SEE PAGE 59 - THE PERFECTSTORM : The economy is a surplus energy equation, not a monetary one, and growth in output (and in the global population) since the Industrial Revolution has resulted from the harnessing of ever-greater quantities of energy. Butt he critical relationship between energy production and the energy cost of extraction is now deteriorating so rapidly that the economy as we have known it for more than two centuries is beginning to unravel https://ftalphaville-cdn.ft.com/wp-content/uploads/2013/01/Perfect-Storm-LR.pdf
SEE PAGE 59 - THE PERFECTSTORM : The economy is a surplus energy equation, not a monetary one, and growth in output (and in the global population) since the Industrial Revolution has resulted from the harnessing of ever-greater quantities of energy. Butt he critical relationship between energy production and the energy cost of extraction is now deteriorating so rapidly that the economy as we have known it for more than two centuries is beginning to unravel https://ftalphaville-cdn.ft.com/wp-content/uploads/2013/01/Perfect-Storm-LR.pdf
We are currently steaming oil out of sand ... drilling miles beneath the sea... and drilling tens of thousands of holes in the ground dropping in bombs... and sucking up the dregs....
All at great expense.
When does this new cheap energy happen? And how?
I suppose it an happen in DelusiSTAN (where you live) but not in RealitySTAN...
Look at the last 100 years of global energy production. It has only gone in one direction: up.
Technology is always improving and therefore so will the extraction of hydrocarbons. Consider that in the USA, we've added two and a half Saudi Arabia's worth of oil production in the last 15 years. And look how cheap natty gas is right now. You can buy a million BTUs of gas for less than the cost of a McDonalds happy meal.
Sure, there will be temporary disruptions to the trend from e.g. geopolitical conflict. But long term, the human race will collectively extract & refine increasing quantities of hydrocarbons.
What do you think is cheaper to produce -- oil from tar sands, fracking, and deep sea...
Or conventional oil -- that comes from the massive reservoirs - that are now in deep depletion.
It's not that we are running out of oil --- it's that the cost of production are off the charts.... and that destroys growth.
Since the turn of the century when this started to become a serious problem -- the response has been stimulus --- reduce interest rates to next to nothing --- and flood the world with cheap easy money -- which of course caused the GFC...
The response? More - much more of the same - remember negative rates?
The reason for all of this is:
HIGH PRICED OIL DESTROYS GROWTH
According to the OECD Economics Department and the International Monetary Fund Research Department, a sustained $10 per barrel increase in oil prices from $25 to $35 would result in the OECD as a whole losing 0.4% of GDP in the first and second years of higher prices. http://www.iea.org/textbase/npsum/high_oil04sum.pdf
If the Central Banks do not fight back with these extreme policies -- civilization collapses.
The Beginning of the End
JUNE 13, 2003 - There is increasing evidence that massive economic stimulus — monetary, courtesy of the Federal Reserve, and fiscal, thanks to the president and supply-side minded lawmakers — is taking hold. The magnitude of the policy turnaround, which caps a constructive, multi-year reflation process, should overwhelm the economic negatives — including the drag from expensive oil and poor finances at the state- and local-government levels.
Expensive oil and its impact on other energy costs remains a concern.
The current level of U.S. monetary stimulus is massive. Real interest rates have fallen 5.2 percent from December 2000 to March 2003, reaching -1.2 percent. A swing of this magnitude may be historical.
Let me repeat this ... because it is crucial to the understanding of the situation:
WE ARE NOT RUNNING OUT OF OIL. WE ARE RUNNING OUT OF AFFORDABLE OIL. EXPENSIVE TO PRODUCE OIL DESTROYS ECONOMIC GROWTH AND RESULTS IN COLLAPSE. THE CENTRAL BANKS HAVE BEEN ACTING TO FEND OFF THE COLLAPSE FOR TWO+ DECADES.
Notice how inflation is not stopping despite a ramp up of interest rates... it won't stop. Because the underlying cause is expensive energy.
The Central Banks are on the cusp of losing control of the situation.
That's what happens when it is very expensive to produce a type of oil --- but you desperately need it ... cuz you've burn most of the other stuff...
Drill Baby Drill!!! Remember that ---oh and 2.5 Saudis..... hahaha... bbccnn told us to think that... just like they tell us to think the Rat Juice is Safe and Effective...
How about we check with a couple of oil men on the status of shale:
Let me leave you with this -- let's say the core of the moon was comprised of high quality oil... just stick a pipe a few feet into any place on the moon and the oil would shoot out.
Let's say we had a technology that would allow us to get that oil to Earth - say a pipeline... however the cost to do so was $10,000 per barrel.
The price of natural gas has skyrocketed in Europe... before the Ukraine war... the problem is again - cost. It costs a bomb to chill and ship gas...
Energy is a global game --- so what if the US has affordable gas... that does not help Europe... and Europe is in deep recession - primarily due to high energy costs...
They have no way out... if Europe crashes... all economies crash ... it's a globalized world.. supply chains and the financial system bursts
If you want to understand the situation - rather than just repeating what bbccnn tell you is the truth... I highly recommend this entire document - the author was the head of research at a global energy trading firm
SEE PAGE 59 - THE PERFECTSTORM : The economy is a surplus energy equation, not a monetary one, and growth in output (and in the global population) since the Industrial Revolution has resulted from the harnessing of ever-greater quantities of energy. Butt he critical relationship between energy production and the energy cost of extraction is now deteriorating so rapidly that the economy as we have known it for more than two centuries is beginning to unravel https://ftalphaville-cdn.ft.com/wp-content/uploads/2013/01/Perfect-Storm-LR.pdf
Preface. Conventional crude oil production may have already peaked in 2008 at 69.5million barrels per day (mb/d) according to Europe’s International Energy Agency (IEA 2018 p45). The U.S. Energy Information Agency shows global peak crude oil production at a later date in 2018 at 82.9mb/d (EIA 2020) because they included tight oil, oil sands, and deep-sea oil. Though it will take several years of lower oil production to be sure the peak occurred. Regardless, world production has been on a plateau since 2005.
What’s saved the world from oil decline was unconventional tight “fracked” oil, which accounted for 63% of total U.S. crude oil production in 2019 and 83% of global oil growth from 2009 to 2019. So it’s a big deal if we’ve reached the peak of fracked oil, because that is also the peak of both conventional and unconventional oil and the decline of all oil in the future.
I think this was a worthwhile detour; I enjoyed reading. You could have developed the stick idea more - I was struck by a similar thought when I ‘clicker-trained’ my dog. It felt like a cheap trick teaching her to treat a noise from a clicker as if it were a ‘treat’, - paying my honest dog in IOUs - then I realised that my husband and I were similarly trained to earn £££s that we will probably end up never spending (and that are constantly devalued…).
For someone who describes himself as having only a "journeyman's understanding" this article certainly helped to clarify my own understanding, so thank you.
Thanks for this article. To elaborate a few things:
You don't need a Federal Reserve to fund big deficits. Lincoln paid for his war by issuing greenbacks, which were simply bills printed by the Federal Gov't.
While inflation causes problems, deflation can be even worse because debtors, many of whom are poor, get extra-screwed.
An alternative to the tax on incomes, favored by many in Congress (and Pres. Taft) at the time, was a tax on inheritances. But the income tax was supported by the single-taxers, because it could have been configured to collect land rent.
Unique among Constitutional Amendments, the 16th (income tax) was ratified under a special rule, providing that once a state had ratified, it could not withdraw the ratification, but a state that had voted against the amendment could reconsider and ratify it.
Really good (and well-documented) videos on the Federal Reserve and World War I (as well as many other topics) have been done by James Corbett at corbettreport.com
The other key thing to understand in terms of the big picture... is that we are barnyard animals... and treated as such .... the farmer needs us to produce:
The Protocols Of Zion
Published 1903
* Place our agents and helpers everywhere
* Take control of the media and use it in propaganda for our plans
* Start fights between different races, classes and religions
* Use bribery, threats and blackmail to get our way
* Use Freemasonic Lodges to attract potential public officials – see this https://t.me/downtherabbitholewegofolks/90966 https://t.me/downtherabbitholewegofolks/91036
* Appeal to successful people's egos
* Appoint puppet leaders who can be controlled by blackmail
* Abolish all rights and freedoms, except the right of force by us
* Sacrifice people (including Jews sometimes) when necessary
* Eliminate religion; replace it with science and materialism
* Control the education system to spread deception and destroy intellect
* Rewrite history to our benefit
* Create entertaining distractions
* Corrupt minds with filth and perversion
* Keep the masses in poverty and perpetual labor
* Use gold to manipulate the markets, cause depressions etc.
* Introduce a progressive tax on wealth
* Replace sound investment with speculation
* Make long-term interest-bearing loans to governments
* Give bad advice to governments and everyone else
"I care not what puppet is placed on the throne of England to rule the Empire, ... The man that controls Britain's money supply controls the British Empire. And I control the money supply." Nathan Rothschild https://twitter.com/KirbySommers/status/1567945974537936897
“Once a nation parts with the control of its currency and credit, it matters not who makes the nation’s laws. … Until the control of the issue of currency and credit is restored to government and recognized as its most sacred responsibility, all talk of the sovereignty of parliament and of democracy is idle and futile.” — Mackenzie King, Canadian Prime Minister 1935-1948.
"I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated Governments in the civilized world no longer a Government by free opinion, no longer a Government by conviction and the vote of the majority, but a Government by the opinion and duress of a small group of dominant men." - Woodrow Wilson, after signing the Federal Reserve into existence
“Some of the biggest men in the United States, in the field of commerce and manufacture, are afraid of somebody, are afraid of something. They know that there is a power somewhere so organized, so subtle, so watchful, so interlocked, so complete, so pervasive that they had better not speak above their breath when they speak in condemnation of it.” ― Woodrow Wilson
“The conscious and intelligent manipulation of the organized habits and opinions of the masses is an important element in democratic society. Those who manipulate this unseen mechanism of society constitute an invisible government which is the true ruling power of our country. …We are governed, our minds are molded, our tastes formed, our ideas suggested, largely by men we have never heard of.” – Edward Bernays – Propaganda
Yes. Can you elaborate on the use of gold a bit more?
Keep in mind this document was penned when the gold standard still existed... so some of it is out of date. Things have evolved dramatically since 1903... the reserve currency became the means of control once these fellas created The Fed.
Don't get me wrong - I support these fellas... I don't have a school tie, bad teeth, nor an anglo surname... and those were prerequisites on the previous farm run by a handful of Brits.... these fellas don't care about any of that ... they work off of merit... so I've been able to enjoy some success under the new empire of the Elders.
End of the day someone has to run the show... I like the Elders :)
Fun fact: There is no Nobel Prize for economics. It’s actually the “Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel,” funded by the central bank of Sweden. Robert Monks (“Corpocracy: How CEOs and the Business Roundtable Hijacked the World's Greatest Wealth Machine”) claims this was to help elevate the specious pseudoscience of Economics to the level of the other prizes.
Fascinating
I think the fact that I have to constantly replace small appliances well before they should cease to function with normal use is proof positive that we are being farmed and that the “save the environment” people do not in fact care about the environment. It is one of my biggest rage makers.
My grandmother and my mother had the same washing machine, blender, toaster etc. for DECADES. I know what’s possible. What progress??
Not to mention automobiles!
All we really need to know about economics is that without cheap to produce energy ... we are f789ed:
SEE PAGE 59 - THE PERFECTSTORM : The economy is a surplus energy equation, not a monetary one, and growth in output (and in the global population) since the Industrial Revolution has resulted from the harnessing of ever-greater quantities of energy. Butt he critical relationship between energy production and the energy cost of extraction is now deteriorating so rapidly that the economy as we have known it for more than two centuries is beginning to unravel https://ftalphaville-cdn.ft.com/wp-content/uploads/2013/01/Perfect-Storm-LR.pdf
Peak cheap energy is a myth.
In 50 years, we will be producing more energy, and at a lower price, than we are today.
SEE PAGE 59 - THE PERFECTSTORM : The economy is a surplus energy equation, not a monetary one, and growth in output (and in the global population) since the Industrial Revolution has resulted from the harnessing of ever-greater quantities of energy. Butt he critical relationship between energy production and the energy cost of extraction is now deteriorating so rapidly that the economy as we have known it for more than two centuries is beginning to unravel https://ftalphaville-cdn.ft.com/wp-content/uploads/2013/01/Perfect-Storm-LR.pdf
We are currently steaming oil out of sand ... drilling miles beneath the sea... and drilling tens of thousands of holes in the ground dropping in bombs... and sucking up the dregs....
All at great expense.
When does this new cheap energy happen? And how?
I suppose it an happen in DelusiSTAN (where you live) but not in RealitySTAN...
Look at the last 100 years of global energy production. It has only gone in one direction: up.
Technology is always improving and therefore so will the extraction of hydrocarbons. Consider that in the USA, we've added two and a half Saudi Arabia's worth of oil production in the last 15 years. And look how cheap natty gas is right now. You can buy a million BTUs of gas for less than the cost of a McDonalds happy meal.
Sure, there will be temporary disruptions to the trend from e.g. geopolitical conflict. But long term, the human race will collectively extract & refine increasing quantities of hydrocarbons.
Nothing goes up forever.
What do you think is cheaper to produce -- oil from tar sands, fracking, and deep sea...
Or conventional oil -- that comes from the massive reservoirs - that are now in deep depletion.
It's not that we are running out of oil --- it's that the cost of production are off the charts.... and that destroys growth.
Since the turn of the century when this started to become a serious problem -- the response has been stimulus --- reduce interest rates to next to nothing --- and flood the world with cheap easy money -- which of course caused the GFC...
The response? More - much more of the same - remember negative rates?
The reason for all of this is:
HIGH PRICED OIL DESTROYS GROWTH
According to the OECD Economics Department and the International Monetary Fund Research Department, a sustained $10 per barrel increase in oil prices from $25 to $35 would result in the OECD as a whole losing 0.4% of GDP in the first and second years of higher prices. http://www.iea.org/textbase/npsum/high_oil04sum.pdf
If the Central Banks do not fight back with these extreme policies -- civilization collapses.
The Beginning of the End
JUNE 13, 2003 - There is increasing evidence that massive economic stimulus — monetary, courtesy of the Federal Reserve, and fiscal, thanks to the president and supply-side minded lawmakers — is taking hold. The magnitude of the policy turnaround, which caps a constructive, multi-year reflation process, should overwhelm the economic negatives — including the drag from expensive oil and poor finances at the state- and local-government levels.
Expensive oil and its impact on other energy costs remains a concern.
The current level of U.S. monetary stimulus is massive. Real interest rates have fallen 5.2 percent from December 2000 to March 2003, reaching -1.2 percent. A swing of this magnitude may be historical.
Read more at: http://www.nationalreview.com/article/207227/reversal-fortune-david-malpass
Let me repeat this ... because it is crucial to the understanding of the situation:
WE ARE NOT RUNNING OUT OF OIL. WE ARE RUNNING OUT OF AFFORDABLE OIL. EXPENSIVE TO PRODUCE OIL DESTROYS ECONOMIC GROWTH AND RESULTS IN COLLAPSE. THE CENTRAL BANKS HAVE BEEN ACTING TO FEND OFF THE COLLAPSE FOR TWO+ DECADES.
Notice how inflation is not stopping despite a ramp up of interest rates... it won't stop. Because the underlying cause is expensive energy.
The Central Banks are on the cusp of losing control of the situation.
This is a nice short explanation of where we are https://thehonestsorcerer.substack.com/p/meet-the-gator-growing-energy-demand
Of course there is a solution -- you won't like it https://www.headsupster.com/forumthread?shortId=220
Check this out https://oilprice.com/Energy/Energy-General/US-Shale-Has-Lost-300-Billion-In-15-Years.html
That's what happens when it is very expensive to produce a type of oil --- but you desperately need it ... cuz you've burn most of the other stuff...
Drill Baby Drill!!! Remember that ---oh and 2.5 Saudis..... hahaha... bbccnn told us to think that... just like they tell us to think the Rat Juice is Safe and Effective...
How about we check with a couple of oil men on the status of shale:
https://www.artberman.com/blog/draining-america-first-the-beginning-of-the-end-for-shale-gas/
https://www.oilystuff.com/single-post/what-happened-in-2023-ain-t-gonna-happen-again
Let me leave you with this -- let's say the core of the moon was comprised of high quality oil... just stick a pipe a few feet into any place on the moon and the oil would shoot out.
Let's say we had a technology that would allow us to get that oil to Earth - say a pipeline... however the cost to do so was $10,000 per barrel.
Would that oil ever make it to Earth?
The price of natural gas has skyrocketed in Europe... before the Ukraine war... the problem is again - cost. It costs a bomb to chill and ship gas...
Energy is a global game --- so what if the US has affordable gas... that does not help Europe... and Europe is in deep recession - primarily due to high energy costs...
They have no way out... if Europe crashes... all economies crash ... it's a globalized world.. supply chains and the financial system bursts
If you want to understand the situation - rather than just repeating what bbccnn tell you is the truth... I highly recommend this entire document - the author was the head of research at a global energy trading firm
SEE PAGE 59 - THE PERFECTSTORM : The economy is a surplus energy equation, not a monetary one, and growth in output (and in the global population) since the Industrial Revolution has resulted from the harnessing of ever-greater quantities of energy. Butt he critical relationship between energy production and the energy cost of extraction is now deteriorating so rapidly that the economy as we have known it for more than two centuries is beginning to unravel https://ftalphaville-cdn.ft.com/wp-content/uploads/2013/01/Perfect-Storm-LR.pdf
Europe's problems are self-inflicted. Even still, gas has come back down a lot from that price spike.
The barriers to producing more cheap energy are mostly political and regulatory, not geological.
The US Is Now Sending the Bulk of Its Export Gas to Europe
The US sent nearly three quarters of all its liquefied natural gas to Europe in the first four months of 2022, up from one third last year.
https://www.bloomberg.com/news/articles/2022-06-07/the-us-is-now-sending-the-bulk-of-its-export-gas-to-europe
The cost to liquify then ship gas is very high....
Oh and btw the Ukraine war started in Feb 22... take a look at the price of LNG in Europe... in 2021 ....
https://internationalbanker.com/wp-content/uploads/2021/11/European-Gas-Prices.png
Which part of this are you unable to understand? I am here to help:
Conventional Oil Sources peaked in 2008 and the Shale binge has now spoiled US reserves, top investor warns Financial Times.
Meet The Gator: Growing Energy Demand https://thehonestsorcerer.substack.com/p/meet-the-gator-growing-energy-demand
Preface. Conventional crude oil production may have already peaked in 2008 at 69.5million barrels per day (mb/d) according to Europe’s International Energy Agency (IEA 2018 p45). The U.S. Energy Information Agency shows global peak crude oil production at a later date in 2018 at 82.9mb/d (EIA 2020) because they included tight oil, oil sands, and deep-sea oil. Though it will take several years of lower oil production to be sure the peak occurred. Regardless, world production has been on a plateau since 2005.
What’s saved the world from oil decline was unconventional tight “fracked” oil, which accounted for 63% of total U.S. crude oil production in 2019 and 83% of global oil growth from 2009 to 2019. So it’s a big deal if we’ve reached the peak of fracked oil, because that is also the peak of both conventional and unconventional oil and the decline of all oil in the future.
Some key points from this Financial Times article: https://energyskeptic.com/2021/the-end-of-fracked-shale-oil/
AgentForTruth.com
https://youtu.be/tFqrJcuBV_E?si=9GP3Z0vDS2lANN9q
https://youtu.be/hA3OCgg57ls?si=bUKdYP_xumw50DlB
Also consider:
Oil priced in dollars has gone up in the last 50 years... but oil priced in gold has remained remarkably stable within the same range.
I think this was a worthwhile detour; I enjoyed reading. You could have developed the stick idea more - I was struck by a similar thought when I ‘clicker-trained’ my dog. It felt like a cheap trick teaching her to treat a noise from a clicker as if it were a ‘treat’, - paying my honest dog in IOUs - then I realised that my husband and I were similarly trained to earn £££s that we will probably end up never spending (and that are constantly devalued…).