Are Greenbacks heading the way of the Iron Horse?

US Currency Concept Art

 

Liquidity – the New Bandaid

Central bankers are preoccupied with financial instability.

Financial markets that were assumed to be the fiscal disciplinarians for nations and cultures are irresponsible, prone to panic and that leads to instability. Instead of taming monetary gyrations, central banks, with the Fed leading the way, have taken it on themselves to act as a comprehensive backstop to the financial system. Liquidity is the slogan under which central banks now backstop the entire financial system on a near-permanent basis. Feckless politicians fall in line because they don’t know what else to do.

National debt can therefore be handled by lowering the interest rate on bonds to zero and printing money to institute liquidity, while controlling inflation. How many fingers do you have to plug into the dike? The US Dollar is the world’s reserve currency and has an advantage that other nations don’t have. As long as that is true, ‘what’s another trillion dollars?’

 

China Vows to ‘Fix’ Hong Kong

(Radio Free Asia) Communist China said that it is preparing to “perfect the legal system” of Hong Kong with national security legislation that will outlaw speech and actions considered subversive, pro-independence or part of “foreign interference” in the city. (read the whole article)

(1984) “There will be no curiosity, no enjoyment of the process of life. All competing pleasures will be destroyed. But always— do not forget this, Winston— always there will be the intoxication of power, constantly increasing and constantly growing subtler. Always, at every moment, there will be the thrill of victory, the sensation of trampling on an enemy who is helpless.

“If you want a picture of the future, imagine a boot stamping on a human face— forever.”

Communism is the same as any other form of totalitarianism. Absolutism can not exist in an environment where free people are armed and are capable of reacting to tyranny. It gives new perspective to the donkey’s frantic efforts to disarm American patriots. It also shows where Barack obtained a lot of his inspiration.  Hillary Clinton was perfectly poised to continue the work that the Obama Regime began. And then the American people elected Donald Trump. It explains why the Donkeys and a lot of RINOs (such as Mitt – Pierre – Romney R/D-UT) have been trying to remove President Trump from office.

Taiwan is taking the brutal repression of free people in Hong Kong as an object lesson of what will happen to them should the Communist Chinese successfully invade the island.

15 COMMENTS

  1. Do you see China invading and subjugating Taiwan within our lifetimes? Or as you have mentioned in previous posts China plays the long game well. How would US respond? I know we have a treaty that has mutual protection clauses, but will US risk a major escalation?

    • Things were going perfectly for the Chinese. The Bush Dynasty placated them (loved them long time), the Clintons were buyable, Obama was really buyable, they were poised for another eight Clintonian years and got Trump…oops.

      President Trump would oppose an invasion of Taiwan and would risk a major escalation.

      None of us can predict the future, but if things go the way they are, if trends continue, I would not be surprised if the Communists attempted a third invasion of Taiwan in our lifetimes. The first two didn’t go so well for them in 1954 and 1958.

  2. Why can’t we Americans ever leave good enough alone? Always fiddling with perfection. Didn’t we just get done changing all the bills above $1 about 10 years ago?

    If anybody asked me (which nobody ever does), if we are hell bent on changing up the paper money of ours, let’s do it right: in the good old West Germany, their bills were different sizes. The 5 Mark note was smaller than the 10 Mark note, the 20 Mark note was even bigger still and so on. Blind people could tell the denominations, and nobody ever got short changed by an inattentive/slimy vendor.

    Let’s do it like that.

    • You could pox the Bureau of Printing and Engraving if you’d like. That might work? Outside of that, the bureaucracy does what it does. The new currency will be strips of plastic like the new British five-pound notes.

  3. Death knell for Hong Kong?
    I don’t like the looks of any of those bills, but I could get behind a Kennedy bill. Just my luck it will be O instead.

    • Hong Kong is circling the drain and the mainland is cheering.

      Just more human misery ahead for people.

      They’d have to make the Barack note paper – maybe a 3 cent note that’s biodegradable so that they can be used as toilet paper.

  4. That last photo reminded me of a song some years back by Willie Nelson and Roger Miller. Old Friends. Birds of a feather. Speaking of older, the pop up referring me to older posts featured a photo of you from 1973. I’m used to the white hair.

  5. Paper currency- If it works don’t fix it! But we’re dealing with government process personnel that prop up their jobs as “essential” so absolutely must diddle with the status quo.

  6. We already needed to put $500 and $1000 bills back into circulation before the current World Mass Hysteria.

    Once the devaluation from running the presses until they melt sets in, we’re gonna need $5000 and $10,000 ones.

    -Kle.

  7. What is money? Paper, numbers on a computer? Whatever is accepted as a means of exchange. Hope I don’t see a total collapse in my lifetime, but expect it will happen this century.

    The United States has a long history, seldom acknowledge, of fleecing foreigners. Welcome them in, tax them to death. In Colorado, 18th and 19th Century, mines, railroads, and ranches. 20th Century, ski resorts.

    Why not the world. How do you repo a country, especially where the populace is heavily armed?

    Oh, am I too cynical?

    • (1) There are more firearms in America than there are people.

      (2) There is more ammunition in private hands in America than in almost every army in the world.

      (3) Money (old paper) is the illusion of exchange that we cling to because there is no viable alternative. When confidence wains, we’re in deep kimchi. I think that the ball will keep rolling through our lives, WSF. I don’t know about beyond.

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