The 0% BLT Economy

Thursday, August 19, 2010
By Paul Martin

by Mike Krieger of KAM LP
ZeroHedge.com
08/19/2010

When God desires to destroy a thing, he entrusts its destruction to the thing itself. Every bad institution of this world ends by suicide.

All the forces in the world are not so powerful as an idea whose time has come.

Adversity makes men, and prosperity makes monsters.

A creditor is worse than a slave-owner; for the master owns only your person, but a creditor owns your dignity, and can command it.

Common sense is in spite of, not as the result of education.

The omnipotence of evil has never resulted in anything but fruitless efforts. Our thoughts always escape from whoever tries to smother them.

- All quotes by Victor Hugo

We’re trying to figure out what the future of search is. One idea is that more and more searches are done on your behalf without you needing to type. I actually think most people don’t want Google to answer their questions. They want Google to tell them what they should be doing next.

- Eric Schmidt CEO of Google

Welcome to Reality

Two years ago when I told everyone I knew that the United States was bankrupt and would ultimately default of its debt one way or the other (by inflation or restructuring) I was called crazy and dismissed by 95%+ of the people I met. These days many of the same people still think I am crazy when I say that a political, financial and intelligence elite which has now teamed up with large corporations is attempting to create a global currency and world government (with them at the helm of course), but the notion that the U.S. is bankrupt is now more or less mainstream. Even the corporatist/socialists in power are now unable to merely dismiss questions about the deficit. The public has woken up from its slumber of consciousness and is now starting to see things as they are. This is an extremely positive development and is why as I have said before I think the elite are in their last days as the freight train of consciousness runs them and their twisted illusions of grandeur into the sea. The weakest link in this sick and corrupt financial system that was forced upon many of us before we were even born with its mechanics purposely hidden in the shadows so that we remained ignorant of its preposterousness, is the commodity market. However, within the commodity market the weakest link is gold. This is why any true attempt to force reform should revolve around a movement to dump compromised fiat paper in exchange for gold. It is the weakest link of the controllers of humanity for many reasons but the primary reason is that increases in the price of all other commodities can be explained away by the media and financial pundits in other ways. For example, if oil surges many can say it is global growth. With gold this explanation doesn’t hold water because in theory most of the 160,000 tons that are estimated to be above ground since mankind started mining gold is potentially “for sale.” This is because gold is mainly hoarded and not consumed. Thus, it becomes impossible to say gold rising and hitting new highs is anything less than growing distrust in governments and their counterfeit money. If it was anything else a large percentage of the hoarded gold would be mobilized and sold. Many bears make their argument by using this fact. They opine that since 160,000 is theoretically for sale in a market where annual production is closer to 2,500 tons that there will be a collapse. The truth is that this is the most bullish argument of all. The fact that smart money and central banks are unwilling to part with their gold at records is a function of the reality that the Western world is completely bankrupt and there is no way out of this without a hyperinflation event or a deflationary collapse that ends in restructuring.

The Rest…HERE

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