The One-Two Punch That Will Destroy Uncle Sam

Democrat, Republican, Green, Independent, Libertarian, etc.… I could personally care less. It doesn’t matter what political affiliation you have. If you are a red-blooded American, you will be in the same boat with everyone else. “Our” boat has a leak and it is about to get a lot bigger.

We have been “Bailing” out banks, insurance companies and investment companies to the tune of Trillions of dollars. Our president tells us that the problem is going to get worse before it gets better. This might be the only thing Barack Obama has said that I actually agree with. There is one small caveat, and that is to say the problems I am talking about are the ones caused by him and his Congressional enablers .

Recent news headlines warned that the member nations of the G20 are proposing a new world currency and to drop the dollar. For most Americans, this is a non-story. I am not sure why, because this is perhaps the most important story in our history since it has the potential to destroy us.

The G20, which is a group of the largest 19 economies plus the EU, controls more than 80% of the world’s gross domestic product. Should they be successful in moving forward, their actions will be catastrophic for America.

I am not a conspiracy theorist, nor someone who is pessimistic about America’s future. But I am scared stiff of what is hovering on the horizon.

Currently, the U.S. has a national debt in excess of 10 Trillion dollars. In the first three months of a new presidency, President Obama has proposed and Congress is about to actually approve, more debt-based spending than our nation has ever spent. By the word “ever” I mean all of the presidencies from George Washington up and through George W. Bush combined.

The combination of the G20 proposal and the actions of our elected officials will destroy the US dollar and the economy of the United States. The sovereignty of our nation is at stake and the media either doesn’t get it, or is so busy being the cheerleader for the Obama administration they are blinded by their infatuation. We are under attack, and it is from within.

The money Congress and the Obama administration are spending is money we don’t actually have. So, we have to borrow it from other nations. If we cannot borrow it, then the Treasury will print it. Since we dropped the gold standard in 1971, our dollars are not backed by anything of value beyond the full faith and credit of our government. Since the purchasers of our national debt have expressed concern about the security of their “investment”, they are essentially saying our credit rating is suspect and they have no faith in our ability to repay.

In “econospeak”, they are saying they do not believe we can support our current debt levels, and the spending spree the Administration and Congress are on is not sustainable. That is a wake up call because they are absolutely correct.

After the Second World War, most nations pegged to the dollar which was backed by gold. A dollar or a Federal Reserve note could be exchanged for one dollar of gold upon demand. In 1971, when we dropped the gold standard, we put all of their wealth on the same system. As we continue to devalue our currency, and borrow more and more money we are destroying their system at the same time.

So, their solution is to un-peg from the dollar. If this happens, they will flood the system with dollars as they sell their reserves and convert their treasury to a new currency. This flood of dollars will essentially make a dollar worthless as there will be far too many dollars backing up too little goods.

The most recent nation whose currency took this path was the former Soviet Union. They were destroyed by a devaluation of the ruble, caused by high inflation, and a lack of productivity, caused by socialism, from which they still suffer to a degree. Yes, I said the “S” word.

What I don’t fully understand is how is it that the so called smartest people in the country, who have been educated in some of the finest institutions of higher learning, can turn out to be so stupid as to not actually learn from prior mistakes? Call me old fashioned, but that principle is what kept you from touching a hot stove twice when you were a toddler.

How ironic that the most powerful nation on the planet can be destroyed by a piece of paper? These events are in progress and can be stopped. The American people must wake up and take this nation back from those that are either ignorant or willfully seeking to change this nation to one that is dependent upon others for its survival.

Our Congress is currently trying to solve a long term problem with a short term solution. Their approach is short-sighted and incredibly dangerous. I believe it borders upon treason and we must solve this problem with our most powerful weapon. Our vote.

We must resolve ourselves to plug the hole in the boat, throw those who are helping to make the hole bigger (Congress and the administration) overboard. Just as we cannot save our boat by pumping more water on-board, we cannot borrow our way to prosperity. Contact your congressional representatives today and tell them how you feel.

Wall Street Doesn't Insect With Main Street

This is an article I posted back in early spring, and I hope you might enjoy it!


Why Wall Street Doesn't Intersect With Main Street

Have You Checked Your Map Lately?

If you did, you would notice that Wall Street doesn't actually intersect with Main Street. I know this might strike you as a strange observation, but it illustrates a greater point. The point is that there is an enormous gap between how Wall Street sees things as "good" and what the reality on Main Street, where most of us live, actually looks like.

So, what is the difference between a Bear and a Bull, and more importantly, why does it matter to you and me?The "bull" thinks life is just peachy and that there is a great opportunity and future immediately ahead, and a "bear" thinks life is going to be rough in the coming days. Personally, I am not sure what the immediate future holds for our economy, but in a recent article I mentioned that the writing is on the wall about some pretty serious issues to come. I am talking about substantially higher taxes, low wages, inflation, a devalued currency, and a government that is no longer acting for the people and by the people. For if they were, the People's voice would be heard, and we would actually be solving the most pressing issues of our time instead of just talking about them. These things most certainly need to be addressed. They don't need more speeches or for us to talk about them anymore. We have talked it to death. As far as I know, hot air hasn't actually solved any real pressing problems, except for making a balloon float or getting your hair to dry a little quicker.I think the real reason the cherry blossoms show up a lot earlier these days, is not because of any impact of "so-called" Global Warming, but because of the huge amount of hot air in Washington, D.C. Just a theory of mine.

If we cannot address the most pressing issues of our time, then we must admit that we cannot depend upon the government to come to our aid when we retire. That places the ball squarely back in our court, just like it was for our parents. Like it or not, that's the way it is.

As the fundamental building blocks of our retirement system continue crumbling from abuse and neglect, it becomes more apparent that we must stand up on Main Street and take care of ourselves. We must support our local businesses, and communities. We must begin to pay back the money we have borrowed or face hardships like those that our grandparents and great-grandparents lived through. We are however, running out of time.

I am optimistic about the future, but my optimism is based on Americans coming to our senses. To be specific, I am talking about the debts owed by both the US government and the personal debt of it's citizens. Collectively and personally, we are leveraged to the hilt. Our country and most of us have a cash flow problem. We cannot begin to solve our problems without getting serious about debt.As April 15th quickly looms ahead, most Americans are furiously trying to look for ways to pay less in taxes, but most will do nothing about the enormity of the impact interest expense has on their financial condition. The irony is that both are voluntary.

Although Main Street isn't connected with Wall Street, Main Street has a direct connection to the Road to Prosperity. Here are the directions on how to get there from where you are:You must keep the money you earn, and the only way to do that is to stop giving it away to banks, credit card companies, and the government. We must stop robbing ourselves and our kids of our future.I wish you luck on your journey to your future, and will look for you on the Road to Prosperity.

Master Your Debt, Master Your Destiny.