A Little History to Keep Things in Perspective

Last year I made a number of posts that foretold the demise of the dollar. There is no conspiracy -- it's all in the headlines for God's sake. Just read it and you know what to do. In March of this year I removed all of them from my spiritual-econ.blogspot in order to focus more on the spiritual aspect of economic behavior there, and put all of the mundane aspects of economics here.

Now, here we are 9 months later and it is very clear where the dollar is headed, as everybody and his brother are seeing the handwriting on the wall and are moving their savings into precious metals. Hindsight is always fun when you have been correct in your prognotications, so let’s have a look at what we said last year, and look again at the course we are on. All the history is below. The reinterpretation will be in the next post.



12 July 2009

Not so widely broadcast economic news

"Some U.S. embassies worldwide are being advised to purchase massive amounts of local currencies; enough to last them a year. Some embassies are being sent enormous amounts of U.S. cash to purchase currencies from those governments, quietly. But not pound sterling. Inside the State Dept., there is a sense of sadness and foreboding that 'something' is about to happen ... within 180 days, but could be 120-150 days."

"Another FDR-style 'bank holiday' of indefinite length, perhaps soon, to let the insiders sort out the bank mess, which (despite their rosy propaganda campaign) is getting more out of their control every day. Insiders want to impose new bank rules. Widespread nationalization could result, already underway. It could also lead to a formal U.S. dollar devaluation, as FDR did by revaluing gold (and then confiscating it)."

This news is from the Harry Schultz [economic advisory] Letter. I've heard from other sources of a coming "bank holiday". The banks close and you can't get "your" money. Some say it can come as early as September. Time for Spiritual Economics that is immune to any and all economic disasters!

12 July 2009

New World Currency is a Prelude to a New World Government

Not ready for a new world government? Well, get ready because its coming to a neighborhood near you. The move is quite simple: follow the European model. Economics leads, politics follows. The European Common Market began solely to facilitate trade between two countries. Those who warned that this would lead to a political union were criticized as luddites. But now, just a generation later, there is a European flag, a "national" anthem, and of course, efforts are under way to create a European constitution if the Irish will vote "as they should" to ratify the treaty. (of course the Irish didn't want it before, and neither did any other people where the constitution was put to a popular vote. We'll see if enough sweeteners were added to the deal to get the Irish to capitulate when the vote comes up again soon).

For a world government we will of course need a world currency (such as President Medvedev is proposing at the G8 summit meeting going on now). We will also need a world tax. Joan Veon has been writing for more than ten years to inform us how the global economic system is stealthily being put into place. And after all this happens a global government is not far behind. All the better to serve you of course.

Here is how the new global money is being presented by Medvedev. For the full article please click here

In a highly symbolic moment at the G8 summit in Italy today, Russian President Dmitry Medvedev unveiled to reporters a coin representing a “united future world currency”.

“We are discussing both the use of other national currencies, including the ruble, as a reserve currency, as well as supranational currencies,” the Russian leader said at a news conference.

However, those who have downplayed the formulation of a world currency by dismissing it as merely a progression of SDR’s (Special Drawing Rights) and not something that would physically be used by citizens in a system of world government, were contradicted when Medvedev clearly outlined that the new currency would be “used for payment” by citizens as a “united future world currency”.

“This is a symbol of our unity and our desire to settle such issues jointly,” Medvedev said.

“Here it is,” Medvedev told reporters today in L’Aquila, Italy, after a summit of the Group of Eight nations. “You can see it and touch it,” reports Bloomberg.

The question of a supranational currency “concerns everyone now, even the mints,” Medvedev said. The test coin “means they’re getting ready. I think it’s a good sign that we understand how interdependent we are.”

Medvedev explained that the coin had been minted in Belgium and bears the words “unity in diversity”. An RIA Novosti report noted that the coin represented an example of a “possible global currency”.

The economic problem is not that difficult to solve. In fact it is very easy to solve locally everywhere in the world. A global currency will not solve any problems. It will only make things worse because people will lose more control over their lives. In the context of modern society Jane Jacobs taught this simple lesson more than 20 years ago in her book "Cities and the Wealth of Nations". Nothing has changed since. In the context of the absolute truth this lesson has been taught in the Vedic literatures for thousands of years. Nothing has changed since. The truth is always the truth.

Now here is an entire list of items foretelling the demise of the dollar:

Collapse of the Dollar is Imminent; so is the Gift Economy

Last year news of impending economic calamity heralded the crisis of September. In the same way this year there has been news heralding the demise of the US dollar. Likely though you only saw this if you search out the economic news that is off of the mainstream. As stated in earlier posts, the dollar is being put in the hearse, or the trash. WARNING: MOVE YOUR SAVINGS OUT OF DOLLARS AND POUND STERLING. Recommended: a one-year supply of food grains and other items of demand that can be used for barter.


If I am wrong you will eat the food, and barter whatever you have stocked. The loss will only be the transaction fee for changing currency. If I am right and you don’t act, well, the loss of whatever you have in dollars could be complete. Remember: all paper currency is ONLY PAPER! It has NO intrinsic value. It is WORTHLESS PAPER that we have been trained to believe has value. NOT.

If you want to store wealth, then store it in something that can be used and is wanted by people, such as food and other household items. Store things that you will use as if it were money in the bank, because it is, and is much, much safer.

It’s not just my idea that the dollar is doomed. Here are indications that came up over the past four months that point to the demise of the buck:

The Global European Anticipation Bulletin
Public announcement Special Summer 2009 GEAB N°36 (June 17, 2009) –

At this stage of the global systemic crisis’ process of development, contrary to the dominant political and media stance today, the LEAP/E2020 team does not foresee any economic upsurge after summer 2009 (nor in the following 12 months). On the contrary, because the origins of the crisis remain unaddressed, we estimate that the summer 2009 will be marked by the converging of three very destructive « rogue waves », illustrating the aggravation of the crisis and entailing major upheaval by September/October 2009. As always since this crisis started, each region of the world will be affected neither at the same moment, nor in the same way. However, according to our researchers, all of them will be concerned by a significant deterioration in their situation by the end of summer 2009.

Those three waves are: 
1. Wave of massive unemployment: Three different dates of impact according to the countries in America, Europe, Asia, the Middle East and Africa 
2. Wave of serial corporate bankruptcies: companies, banks, housing, states, counties, towns 
3. Wave of terminal crisis for the US Dollar, US T-Bond and GBP, and the return of inflation


World Prepares to Dump the Dollar

July 21, 2009 | Robert Morley From theTrumpet.com
American economists think the world can’t afford to let go of the dollar’s reserve currency status. The world is about to teach them differently. 
 
What do China, India, Brazil, Russia, France and Germany have in common? These countries most often can’t agree on anything. But they are united in one strange—and ominous—way. They blame the United States for wrecking the global economy. And they think the dollar is the wrecking ball. 

One rock-solid, foundational belief underpins almost all economic theory in America: faith in the dollar’s unassailable status as the world’s reserve currency. Foreigners hold so many dollars that they can’t afford to stop buying them, the theory goes. Therefore the dollar’s status as the world’s reserve currency is sound. But the dollar is now coming under a concentrated attack. Are American economists about to get schooled?

Angela Merkel summed up the dollar-skeptic viewpoint last year. “Excessively cheap money in the U.S. was a driver of today’s crisis,” she told the German parliament. And America’s solution—even more cheap money—was just setting the world up for another crisis, she said. It was just a matter of time.

China attacks dollar’s dominance

Published: July 9 2009

China has launched its highest-profile criticism of the dominant role of the US dollar as a global reserve currency at a meeting of the world’s biggest economies.

Dai Bingguo, Chinese state councillor, raised the issue on Thursday when he joined the leaders of four other emerging economies for talks with the leaders of the Group of Eight industrialised nations – including US President Barack Obama – in the earthquake-damaged Italian town of L’Aquila.

Bilderberg Group orders destruction of US Dollar?  
Thursday, 21 May 2009

(If you don’t know who they are you can find out about the super-secret Bilderberg Group here, and here, and here)

The shadowy Bilderberg Group, who this past week held their annual meeting in Greece, states that the West’s financial, political and corporate elite emerged from their conclave after coming to an agreement that in order to continue their drive towards a New World Order dominated by the Western Powers, the US Dollar has to be “totally” destroyed.

Even worse, a new US report on these secret Bilderberg meetings states: “Investigative journalist Daniel Estulin, whose information from inside Bilderberg has routinely proven accurate, states that the global elite’s plan to completely destroy the economy and ultimately lower global population by two-thirds has stoked fears even within Bilderberg itself that the fallout from such chaos could ultimately result in the globalists losing their control over the world.”


Russian President Medvedev has joined with China, Brazil, and other Nations, to and has put forth the Russian Ruble as one of a number of International Reserve Currencies to replace the soon to collapse American currency. [Medvedev also displayed a shiny gold coin at the G8 summit as a possible new Global currency to replace the dollar].

And back in April, economic reporter Ambrose Evans-Pritchard wrote for The Telegraph:

The G20 moves the world a step closer to a global currency 

Following the April 2009 G20 Summit, leaders issued a communiqué which set the groundwork for the creation of a global currency to replace the US dollar as the world reserve currency. The communiqué stated that, “We have agreed to support a general SDR allocation which will inject $250bn (£170bn) into the world economy and increase global liquidity.” SDRs, or Special Drawing Rights, are “a synthetic paper currency issued by the International Monetary Fund.” As the Telegraph reported, “the G20 leaders have activated the IMF's power to create money and begin global "quantitative easing". In doing so, they are putting a de facto world currency into play. It is outside the control of any sovereign body.


So there it is. News that the next economic crunch could begin as early as next week, close to the one-year anniversary of last years debacle. And if you want to know what’s in store after that, scroll down and read my post: “Economic Chernobyl of 2008”. 

Who Says An Economic Debacle Has to be Tragic?


When the dollar tanks people are going to be looking for ways to cope. If the government’s currency fails then it is possible to create a private currency to use in local areas. There are many advantages of a private currency over the government’s paper currency. The town of Wörgl Germany did this during the depression of the 1930’s, leading to a very prosperous city despite being surrounded by depression and gloom. Six neighboring villages copied the system successfully. The French Prime Minister made a visit to see the 'miracle of Wörgl'. In January 1933, the project was replicated in the neighboring city of Kirchbuhl, and in June 1933, Mayor Unterguggenburger addressed a meeting with representatives from 170 different towns and villages. Two hundred Austrian townships were interested in adopting the idea. 
Unfortunately when the Austrian government learned about the success of the intelligent local leaders, did they copy it elsewhere? No. They made it illegal and condemned Worgl to the same economic malaise as the rest of the country. The Central Bank panicked, and decided to assert its monopoly rights by banning complimentary currencies. The case was brought to the Austrian Supreme Court, which upheld the Central Banks monopoly over issuing currency. It then became a criminal offence to issue “emergency currency”. Worgl quickly returned to 30% unemployment. Social unrest spread rapidly across Austria. In 1938 Hitler annexed Austria and many people welcomed Hitler as their economic and political savior. 
This lesson in history proves that the governments actually want to create such problems. In this case so that Hitler would be welcomed and not scorned. Worgl wasn’t alone however, and there were more than 2,000 private currencies in circulation in the United States during the Great Depression, and there are today more than 2000 private currencies in use around the world. More recently entire cities of Argentina created their own local currencies when the government currency failed. 

Economics is not such a confusing subject that well-intentioned people cannot run the economies properly. It CAN be done. But they don’t want to. If you want to understand why please download and read my book. Read Bob Chapman’s International Forecaster. Or Read Dr. J. W. Smith’s good books. Or read Joan Veon, or Ellen Brown, or Catherine Austin Fitts. All of these good people know what is going on. They know that the current economic problems are no mistake. They have been deliberately planned, and they say so.

The Ultimate Solution is the GIFT ECONOMY

Now, if the government steps in and quashes your local money, the ultimate solution is the gift economy, AND NOBODY CAN STOP IT. NOBODY. 

Even in difficult economic times you can have what you need IF you are willing to give up your attachment to the concepts of “I” and “Mine” that we have been indoctrinated in from youth, and act according to the adage that God provides for everybody and everything in this world is meant to be used for the benefit of all. Not hoarded in one’s private account. It’s possible. There are many examples, here on this page and elsewhere online. Google “gift economy” and you will get more than 170,000 hits! Don’t just google it, see what other people are doing and with that inspiration, join in the fun! Who says an economic calamity has to be tragic?