(LifeSiteNews) — With a mounting financial crisis in the banking sector, and the end of the U.S. dollar as the world’s default reserve currency in sight, the time has come to name the elephant in the room.
The fundamental evil at play here is the modeling of big government spending on a debt system. These vast debts attracts interest payments.
Imagine you are the government. How do you fund your massive military-industrial complex, sprawling secret state, your corrupt schemes, payoffs, regime change operations, and mass-scale propaganda machine? You print money and invent a means to shrink it in value afterwards.
With such a clever trick you can simply make money out of nothing, before making your massive debts diminish — by printing more!
This 100% safe and effective remedy for a disease you invented yourself may have some minor side effects, such as the destruction of the middle class, widespread economic collapse and the obscene enrichment of misanthropic elites. But hey! It’s only money.
A Revenant Evil
It is a matter of simple arithmetic that if you are a government with trillions of debt the best thing you can do is to devalue your currency whilst keeping interest rates low. This will make your own people’s money worth less, but who cares about them?
What matters is that there is a means to fund your endless corruption. Happily, his also weakens the very people who might otherwise oppose you, were they not desperately trying to survive your attempts to ruin their lives.
In the digital age the evil of usury seems an anachronistic notion – rather like objecting to guitars over the relative merits of the lute harpsichord. Yet this traditional Catholic interdiction is one which we would be wise to revive. That it has so little currency shows how depraved we have become.
Much of the misery of modern mass society is driven by government addiction to debt. How grave a moral evil is the lending of money at interest? It is a wickedness which makes for the ruin of nations.
Inflation Since Fed Creation
Constantly rising inflation has been a permanent feature of the U.S. economy since 1913, when the Federal Reserve was created to print money to service government borrowing.
It has averaged at 3.4% since then, never falling below zero. Previously inflation was around 0.4% on average from the foundation of the republic to 1913. Inflation did occasionally soar, but it then fell well below zero, correcting prices and returning them to “normal.”
A 1913 dollar is worth over $3,000 USD in today’s money, which means the dollar is now 0.03 cents compared to the pre-Fed buck. It has lost five orders of magnitude of value in 110 years.
The Inflation Game
Inflation is the result of central banks printing money to devalue currency and thereby degrade the cost of vast sums borrowed at interest.
The use of interest rates to “control” inflation is a dangerous game, as it raises the cost of borrowing past, present, and future, and makes the purchase of treasury bills, notes, and bonds less attractive.
The Dollar — No Longer a Safe Bet?
At the moment, U.S. bills and notes (short term maturity IOUs) are being dumped by major holders such as China and Japan.
Bonds have a longer maturity of up to 30 years, and they are being bought in the belief the Fed will not continue to raise rates. Government bonds are debt notes and are seen as a safe investment provided the economy does not collapse.
No Return to Confidence in Sight
What is of particular concern is the derivatives market, which might be valued at over one quadrillion dollars worldwide.
U.S. liabilities in this market, which is a means of making a bet on the future market value of debt, amount to an estimated 400 times the size of the economy. No one really knows how big the derivatives market is, because this sort of thing is inflated and deflated by talking about it.
The value of the dollar lies in the confidence of the sustainability of the debts “leveraged” on it through “complex financial instruments”. They are not complex and they are bets. It is a gamble whose practice, along with “inflation,” determines the value of the chip.
This is the reason why “money printer go brrr” and why usury, the ruin of nations, is a mortal sin.
Government vs. the People
What is “good” for the government is terrible for you, for the value and security of your assets and wages, and for your nation.
The enormous leveraging of debt — borrowing money on the confidence in the U.S. government to honor its existing debts — has led to a complex system of largely automated financial trading which no one person can explain — or control.
The money-printing inflation model, backed by computer confidence swaps, allows governments to fund massive experiments such as lockdowns.
That our economy and the future of our nations are being gambled away so that today’s managers can spend money that no one has is itself an outrage.
It is compounded by the fact that most of the money which is printed is handed to existing billionaires, woke corporations, and elites whose common interest seems to be the destruction of the quality of life of ordinary people.
The Wages of Sin
In short, debt funds evil. COVID borrowing, the vast wealth transfer to the ultra rich under lockdown, and the endless and devastating wars are all financed in this way. We are paying with our freedoms and our financial prudence to literally destroy ourselves — economically, morally, and spiritually.
Consider the words of President Joe Biden, whose absentee ballot count is an object lesson in the evils of inflation. Speaking of his — and U.S. Treasury Secretary Janet Yellen’s — complete absence of a plan, he boasted that “these actions are going to make sure that the banking system is safe and sound.”
The Return to Reality
In reality, money printer cannot indefinitely go “brrrrrrr.” Whilst there remains a human factor in finance, reality — in the form of depositor confidence — still has a say.
The only means by which the debt-inflation model can continue is to remove the human factor by the replacement of cash. Total state control over a government-issued digital currency would prevent people from making wise decisions about the safety of their own money.
Freedom is the Enemy of the Regime
This is an important demonstration of the point that the current form of government sees the people as its enemy.
It is the actions of free people which undermine its debt-inflation system, by which it finances corruption.
It is the freedom to speak, to name things accurately, which endangers an ideology that could not survive an argument.
This is the reason we distrust the government and its institutions — whose grip on power is determined not by competence, but by the degree to which it can convince its own populations that reality is not real.
With this mounting financial crisis, the regimes of the West face an even greater humiliation than narrative collapse.