Most Popular
1. Banking Crisis is Stocks Bull Market Buying Opportunity - Nadeem_Walayat
2.The Crypto Signal for the Precious Metals Market - P_Radomski_CFA
3. One Possible Outcome to a New World Order - Raymond_Matison
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
5. Apple AAPL Stock Trend and Earnings Analysis - Nadeem_Walayat
6.AI, Stocks, and Gold Stocks – Connected After All - P_Radomski_CFA
7.Stock Market CHEAT SHEET - - Nadeem_Walayat
8.US Debt Ceiling Crisis Smoke and Mirrors Circus - Nadeem_Walayat
9.Silver Price May Explode - Avi_Gilburt
10.More US Banks Could Collapse -- A Lot More- EWI
Last 7 days
Stock Market Volatility (VIX) - 25th Mar 24
Stock Market Investor Sentiment - 25th Mar 24
The Federal Reserve Didn't Do Anything But It Had Plenty to Say - 25th Mar 24
Stock Market Breadth - 24th Mar 24
Stock Market Margin Debt Indicator - 24th Mar 24
It’s Easy to Scream Stocks Bubble! - 24th Mar 24
Stocks: What to Make of All This Insider Selling- 24th Mar 24
Money Supply Continues To Fall, Economy Worsens – Investors Don’t Care - 24th Mar 24
Get an Edge in the Crypto Market with Order Flow - 24th Mar 24
US Presidential Election Cycle and Recessions - 18th Mar 24
US Recession Already Happened in 2022! - 18th Mar 24
AI can now remember everything you say - 18th Mar 24
Bitcoin Crypto Mania 2024 - MicroStrategy MSTR Blow off Top! - 14th Mar 24
Bitcoin Gravy Train Trend Forecast 2024 - 11th Mar 24
Gold and the Long-Term Inflation Cycle - 11th Mar 24
Fed’s Next Intertest Rate Move might not align with popular consensus - 11th Mar 24
Two Reasons The Fed Manipulates Interest Rates - 11th Mar 24
US Dollar Trend 2024 - 9th Mar 2024
The Bond Trade and Interest Rates - 9th Mar 2024
Investors Don’t Believe the Gold Rally, Still Prefer General Stocks - 9th Mar 2024
Paper Gold Vs. Real Gold: It's Important to Know the Difference - 9th Mar 2024
Stocks: What This "Record Extreme" Indicator May Be Signaling - 9th Mar 2024
My 3 Favorite Trade Setups - Elliott Wave Course - 9th Mar 2024
Bitcoin Crypto Bubble Mania! - 4th Mar 2024
US Interest Rates - When WIll the Fed Pivot - 1st Mar 2024
S&P Stock Market Real Earnings Yield - 29th Feb 2024
US Unemployment is a Fake Statistic - 29th Feb 2024
U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - 29th Feb 2024
What a Breakdown in Silver Mining Stocks! What an Opportunity! - 29th Feb 2024
Why AI will Soon become SA - Synthetic Intelligence - The Machine Learning Megatrend - 29th Feb 2024
Keep Calm and Carry on Buying Quantum AI Tech Stocks - 19th Feb 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

The Power of Ideas for the Fiat Age

Politics / Fiat Currency Jul 02, 2015 - 03:38 PM GMT

By: Tom_Naysburn

Politics

In every aspect of daily life people are searching for the best arguments; where to buy the cheapest and best quality washing powder, or internet provider, or car insurance or gym membership or whatever. The list of possibilities is infinite. People also like to acquire the best arguments, covet them and use them for personal gain, mostly without the consent of the owner. This is merely human nature, as the desire for intelligence sets us apart from the animals. If you don't believe me just consider the billions spent worldwide by intelligence agencies of various countries to obtain the arguments that others do not have.


As well as having the best arguments, the timing of their delivery has substantial influence on their value. They are important when they are required most. The timing of them is crucial. A propagandist must deliver the required arguments at the most opportune time, usually when the market for them is at extremes, at points of either over confidence or extreme weakness. At these times, the marketplace wants and needs change, and thus is most open and vulnerable to a perceived truth.

The right ideas and arguments, when used for good, must include, but not exclusively, the following prerequisites: They must be complex but simple, radical yet rooted and facts must be indisputable. This triptych precludes the fakers, spivs and chancers in any particular field.

The best arguments in the marketplace are so valuable because they contain truth, which, although transitory and sometimes illusionary, strike a chord in the hearts and minds of those who hear, read or see them. Just like you cannot unsee an image or unhear a proposition, an accurate and truthful argument enters the psyche of the recipient and becomes their own truth to be used forthwith. That's why governments have always wanted to monopolise access to them.

The likes of the Stasi are long gone but the desire to manage the “mainstream” or “accepted truth” still remains, evident in institutions from the BBC to the The Wall Street Journal. Both call it the battle for public opinion, but both effectively suppress a Thomistic based philosophy of truth. These insecure and paranoid positions are held primarily because of their own treatment of the most important subject on earth, money and economics. The BBC in particular have always suffered from an abusive and amoral view of the world with Fabian socialist tenancies and unbecoming relationships with eugenics and the likes of Jimmy Saville, so its hardly a surprise they propagate the deviant side of economics while riding the gravy train of state resources.

The subject of money and economics is the pre eminent issue du jour for this new century. It's mainstream coverage can be viewed as either a designed deception or an incompetent attempt to translate an issue of perceived complexity. I will leave it to you to deicide on the most likely scenario, but for me, the problem is that orchestrated obfuscations create relationships which are based on deceit and foster a mindset emblematic of mistrust. As a result, the consumer of such content is driven into a cul de sac of their own cognizance, unable to distinguish between the facts and the fiction, finally collapsing tamely into a gaping void of ignorance.

All arguments come down to the relative practices surrounding money; people and societies have been arguing about it for thousands of years, so why expect things to be different now? For example, Islam has been trying to up hold the Sharia diktat of not charging interest on money with increasingly less success, and I suggest this is the root cause of the recent rise of the Islamic State, Syria being merely the conduit. The mainstream media would consider that supposition an unspeakable truth, but how we bridge that fundamental divide is a crucial geopolitical quandary of the age.

I hope your sitting down, because what I’m about to say now may scare you. All intelligent people know the current fiat economic system has the characteristics of a thinly veiled ponzi-style, pyramid scheme of debt which requires propaganda and obfuscation to protect and conceal it. Those who don’t are the flock on board the ship of fools, who are to be fleeced.

Money is legally created by banks to be lent to borrowers as “new money” or “new debt”, such as corporate loans, mortgages or car loans. This used to be managed through a mechanism called fractional reserve, which limited money created to a function of customer deposits. Now this is merely an arbitrary and opaque accounting practice. Politicians and others continually fall into the trap of conflating debt with wealth. Debt is only wealth if your a bank. Debt issued or money lent, is found on the balance sheet of a bank as an asset. For the borrower, all debt is a liability. So, they are either surreptitiously working for the interests of the banks or are uninformed or both. When banks lend money to the real economy, the effective money supply is increased and economic activity increases and so do prices for real assets. Banks effectively control inequality and asset prices by limiting the amount of money it creates and allows into the real economy and who gets access to it. Things only failed causing the 2008 US housing market crash because banks couldn’t find any more borrowers who were able to finance the repayments at the inflated prices. The classic failing of a pyramid ponzi-style scheme.

Debt, by definition, is spending the future today, it is bringing forward economic activity from the future. Because the money created by the banks today has no intrinsic value without the Gold Standard, its actual value is now made up from the work, or economic activity, the borrower has yet to do in the future. The process of debt and money creation is actually an illusion of time.

In return for passing the laws which legalised this process of fiat money, Governments, via politicians, were compensated by the banks by facilitating and financing the issuance of their own debt, in the case of the UK, called, ironically, Gilts. It must also be noted that Governments have become special case borrowers because unlike most, history shows they don't pay back their loans. This fact leaves Governments wide open to the accusation of direct inter-generational transfers of wealth. When all the loans are aggregated the debt adds up to the effort that future generations are yet to make, so when they conflate debt and wealth they actually mean wealth spent today built on the backs of the future generations, those who have no say in the matter. Which ever way you look, it is an egregious state of affairs.

It has been said that you only have to evacuate the truth once for it to become true. Is that concept fact or fiction? Could others take on an idea for wider dissemination using their own individual slant or style? If so, how can that theory be tested? The following articles were published and distributed around the web over the last year and represent the opportunity to test cause or causality. You decide whether they have the ring of truth, the intelligence to provide the arguments the marketplace craves, the fuel it requires to form its desired outcomes.

You can read more in my new book "Propaganda in the 21st Century" available on Amazon  http://www.amazon.co.uk/dp/1514621096

By Tom Naysburn

http://zanadome.com

Zanadome.com is a news, views and commentary site, incorporating an alternative view of the headlines, providing financial intelligence and attempting to show a sustainable way to reason.

© 2015 Copyright Tom Naysburn - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in