The American Dream is Dead

[stinkcat_14]

** The essential feature of government is the enforcement of its decrees by beating, killing, and imprisoning. **

Yes, the government can put you in jail if you don’t pay your taxes. That alone does give the government an advantage in collecting money. Now, has anyone been beaten or killed in the US for not paying their taxes? So two out the three arguments that Mises made, at least for the US are wrong. Nor has anyone argued that the government using its police powers to collect taxes is in any way immoral. After all, Jesus himself addressed that issue.

 

[CPA2]

You will see virtually everything eventually inflate, except paper currencies, which will continue to lose massive amounts of purchasing power.

Keep in mind, ever since the gold standard was abolished, all fiat currencies have ultimately been destroyed by policymakers — systematically devalued to inflate away fiscal imprudence (budget deficits), and bad debts, both public and private.

It’s how wealth is transferred from savers to debtors … from the private sector to the public sector (to pay off government debts and liabilities).

It’s a shell game, but at your expense. That’s why I consider it absolutely mandatory that you understand this process … and why I harp on it over and over again. Your only chance of financially surviving it is to understand the mechanism, and what the government is doing to your money.

So at any signs of distress whatsoever, you can expect the Federal Reserve and other central banks around the world to continue to monetize debts to pump up and levitate their economies by printing money. Period. No matter what. And no matter how much it takes.

 

[manualman]

It really is getting scary. The government just keeps spending drunkenly all the while we do less and less of the value-added activities that actually CREATE wealth (as opposed to services that merely move the same money back and forth).

As for me, we’re planting a big garden this year. First, it makes extremely tasty veggies, but more importantly I am seriously wondering if I may someday be reliant on my ability to grow food to keep my family alive. Humans did it once, might as well rehone the skills. Just in case…

 

[stinkcat_14]

You will see virtually everything eventually inflate, except paper currencies, which will continue to lose massive amounts of purchasing power.

Kind of like the hyperinflation that occurred after world war 2 when the national debt was 120% of GDP? Oops, the hyperinflation didn’t come.

Keep in mind, ever since the gold standard was abolished, all fiat currencies have ultimately been destroyed by policymakers — systematically devalued to inflate away fiscal imprudence (budget deficits), and bad debts, both public and private.

You are back at the issue of money illusion again. Inflation is not a problem if it is expected.

It’s how wealth is transferred from savers to debtors … from the private sector to the public sector (to pay off government debts and liabilities).
.

Correction, only unexpected inflation transfers wealth from savers to debtors.

It’s a shell game, but at your expense. That’s why I consider it absolutely mandatory that you understand this process … and why I harp on it over and over again. Your only chance of financially surviving it is to understand the mechanism, and what the government is doing to your money.

Actually, I think you are the one who needs to understand the process. You seem to have a hard time distinguishing between anticipated and unanticipated inflation. In your opinion, how do people form their expectations about inflation?

So at any signs of distress whatsoever, you can expect the Federal Reserve and other central banks around the world to continue to monetize debts to pump up and levitate their economies by printing money. Period. No matter what. And no matter how much it takes

Of course, injecting more money into the economy is not necessarily the answer and we cannot always count on central bankers to increase the money supply. After all, they did not do it during the great depression.

 

[edwest2]

Scary? It’s not scary. The government and big business are playing a game. In today’s Wall Street Journal, it was reported that dividends are back at S&P 500 companies. How is that possible?

In Detroit, two homes sold in an area where the average income is just over $3,800.00 a year, for over $600,000.00. A hotel in the same area was leased for 2 million. To quote a movie: “Plan? There ain’t no plan.” Yeah, right.

God bless,
Ed

 

[Ridgerunner]

It really is getting scary. The government just keeps spending drunkenly all the while we do less and less of the value-added activities that actually CREATE wealth (as opposed to services that merely move the same money back and forth).

As for me, we’re planting a big garden this year. First, it makes extremely tasty veggies, but more importantly I am seriously wondering if I may someday be reliant on my ability to grow food to keep my family alive. Humans did it once, might as well rehone the skills. Just in case…

I do share your concern, and I wish to commend you on your gardening.

I’m not much of a gardener, and summer temperatures here (except for the last three years) are so hot and dry as to make it very difficult. However, I do think your basic notion is sound. Self-reliance, to the greatest extent possible, is an admirable thing, and there are lots of different ways to do it. I do other things. One never knows when things might get tougher than they are now, and one might be thrown back on lots of self-help.

Personally, I suspect we’re in for a very long haul of unemployment rates that are high by historical standards. I sympathize with the fellow (CPA2 wasn’t it) who is thinking about simply falling back on his own labor. My partners and I have had the same discussion. Our business is such that if labor costs get too high relative to income (as reduced by taxes and insurance mandates) we will just mechanize more of what we do and let some people go. It’s difficult to know for sure what you’re making out of the labor of others, but not at all difficult to determine the value of your own labor.

I think we’ll be seeing more mechanization come out of all this in the long run, particularly if the class warfare, of which this government seems fond, gets worse.

 

[aspawloski4th]

My first obligation is to try to do what I can to save myself and my family. The government now has more in common with Communist countries than with the ideals of the founding fathers.

My first business decision, with the reality of Obama Care, will be to close my perfectly good business and let all of my employees go. (I had 45 employees at one time.) I will be moving to a new city and for the first time in my life** I will not hire any employees! **I refuse to pay the federal government in money and hassle for the privilege of hiring employees! This is a sound business decision, in my opinion. I will enjoy my work more and my firm will become more profitable since I will be 100% in production instead of being only a manager.

You can do that all you like. But if you call anyone else here greedy or selfish you will get an ear full for it. Sound business decisions are not the path to heaven.

 

[Via_Dolorosa]

Hate to break the news, but the American Dream has been dead for about 30 years for the most part. It was BOUGHT and SOLD a long time ago to corporate interests and their lobbies.

I fear you are correct.

 

[CPA2]

You can do that all you like. But if you call anyone else here greedy or selfish you will get an ear full for it. Sound business decisions are not the path to heaven.

Hugh??? Economists believe that people pursue their own economic self-interest. I assume that all people pursue their self-interest, unless they prove otherwise.

Selfish people do not get to heaven. Self-interest is not the same as selfishness!

 

[stinkcat_14]

Self-interest is not the same as selfishness!

It is not necessarily different.

 

[Sonny1954]

The American Dream: " Freedom. Achievement. Hyperacidity. Affluence. Flatulence. Technology. Tension. The inalienable right to an early coronary sitting at your desk while plotting to stab your boss in the back. That’s entertainment." – Benjamin Franklin Pierce, M.D.

 

[CPA2]

It is not necessarily different.

Let me me the first to wish you good luck.

 

[Major_Tom]

Let me me the first to wish you good luck.

Just to be clear: with all of your posts… are you advocating that there is action that we all could take? Should take? Or do you simply envision yourself as the canary in the coal mine?

 

[CPA2]

Just to be clear: with all of your posts… are you advocating that there is action that we all could take? Should take? Or do you simply envision yourself as the canary in the coal mine?

There is no easy answer to your question.

We live by faith and hope in our God. However, in our limited way we should try to do those things that we can to protect ourselves and our family.

The most qualified people to consult are CPAs who are also Certified Financial Planners.

The best investment advisor, in my opinion, is Martin Weiss, the editor of “Safe Money Report.”

The most important thing to learn is how the government is destroying the value of your government money. You do not want to be one of those people who wonder, “what happened?”

Good Luck and God Bless

 

[stinkcat_14]

Let me me the first to wish you good luck.

I am not sure what I need luck for, but thanks anyway. But let me further elaborate on my point, sometimes self interest can be selfish and sometimes self interest can work towards the common good. So self interest and selfishness are not necessarily different. Let me give you an example, in my state we are having budget problems. The state wants us state employees to give up raises and benefits to balance the budget. It is in my self interest to say no, because I have a contract with the state that basically prevents them from firing me. To pay for my raise, they would have to fire the new guy, who doesn’t have the same contract that I do. Firing the new guy so I can get my raise is in my self interest, it would also be selfish in my opinion.

 

[stinkcat_14]

The most qualified people to consult are CPAs who are also Certified Financial Planners.

This is totally untrue. While there are some CPAs and CFPs who are competent, many are incompetent as well. There are also others who have neither of these designations who are as competent or more competent.

The best investment advisor, in my opinion, is Martin Weiss, the editor of “Safe Money Report.”

This is a guy who was fined $100,000 by the SEC, so I would be very careful in listening to what he says.

The most important thing to learn is how the government is destroying the value of your government money. You do not want to be one of those people who wonder, “what happened?”

Also remember that this view is comes from the Austrian School of economic thought, which is widely ignored in the economics profession. They are ignored mainly because they have predicted 20 out the last 2 economic collapses.

 

[CPA2]

This is totally untrue. While there are some CPAs and CFPs who are competent, many are incompetent as well. There are also others who have neither of these designations who are as competent or more competent.

This is a guy who was fined $100,000 by the SEC, so I would be very careful in listening to what he says.

Also remember that this view is comes from the Austrian School of economic thought, which is widely ignored in the economics profession. They are ignored mainly because they have predicted 20 out the last 2 economic collapses.

I cannot push a parked car like yourself. Good luck on failing to see the finasncial crisis that is already here and good luck on doing nothing to protect yourself and your loved ones. If you do not listen, you will have to feel. This is my last last response to your rants.

 

[stinkcat_14]

I cannot push a parked car like yourself.

No, you cannot push me because you barely even made an effort. You have one point of view, and you just keep regurgitating the same ideas over and over again. I have raised a number of questions, most of which you have never addressed.

Good luck on failing to see the finasncial crisis that is already here and good luck on doing nothing to protect yourself and your loved ones.

What makes you think that I am unaware of what is going on in the economy? What makes you think that I have done nothing to protect myself?

If you do not listen, you will have to feel. This is my last last response to your rants.

My rants? And I am supposed to think that you are the purveyor of unbiased economic advice?

 

[Kaninchen]

They are ignored mainly because they have predicted 20 out the last 2 economic collapses.

 

[Sherry_G]

True, private property is very important. But private property is still for the most part protected in our society, so what is the big deal?

First put the frog in the pot of water. Then, gradually heat the water up. Once the water reaches the boiling point,… too late for the frog!

Seriously, folks. From a realistic standpoint, America is in deep trouble and all due to the systematic destruction of Judeo-Christian values. Destruction of our democracy began in the 50’s, but the “water was cool” for all the frogs.

Devils’ playbook
Step one: introduce contraception to separate sex from the bonds of marital love. Step two: Encourage personal “happiness” over the christian principles espoused in the bible and organized religions, weaken the family base and encourage the demise of marriage in search of more “happiness” for self. (Divorce is OK) Step three: Affirm our individual “rights”, especially in killing our unborn children if they would be inconvenient in some way. Meanwhile, while the individual is occupied with pursuing and achieving their own personal “happiness”, begin to remove some small personal liberties and replace with government programs. Step four: Fully embrace captialism without ethics. Use government regulation loopholes where appropriate, focus on making money without actually producing anything and hold up the wealthy and the famous ie: moviestars and sports figures as the model for our youth to emulate. Step five: infiltrate journalism and media, using television to promote the sexualization of children and tittlilation of adults, narrowing the focus of the majority to the idea that sex = happiness, therefore pursuing it as a pastime is perfectly OK, and insures that less and less time will be spent actively pursuing any higher ideals. (Take a good look at TV programming today.) Internet pornography was a stroke of genius, Satan! All this stuff worked even better than what you used for the Jews, the Greeks and the Roman Empire.

Its’ never to late to turn back to God, no matter how far we’ve fallen. Pray, pray, pray but we need to speak out for what is morally acceptable, evangelize our brothers and sisters every day in every situation. Be silent no more. Ask the Holy Spirit for guidance and get busy.