The Hyper-Inflation Bogeyman

Hyper-inflation has always been the end game. It is the only way the massive debts being accrued can be dealt with.

The Obama Administration and those in Congress are not dumb, nor are they fools. Eventually moves will be made to cause inflation on a grand scale and no matter what they say it is according to plan.

Small Businesses will disappear, Unionized Large Corporations will take over every aspect of business. You will work for them as a Union Member and there will be no other choice. The "American Dream" of self-employment and building your own business is evaporating before your eyes.

Go to your local video store, rent "Brazil". It is a window into our possible future under a world economy.

Our Two Party System is and has been an illusion. In the end only two classes will remain. The filthy rich and dirt poor.

Any doubt I had has evaporated over the last couple of months. Everything that is happening was planned and agreed to by those in power now. It is as they wish it to be.

Get a job with ACORN and at least you can be a lap dog to the elite

It is incredible how simple the plan was. Manipulate the populace to make too many demands on the system. Convince people that the world owes them everything and fill their pockets with food stamps and credit cards. Make sure that nobody who is not in on the giant giveaway can be elected. Sit back and take over when it all collapses.

It only took one generation to accomplish. Many lifetimes to build, one lifetime to destroy.

Do I sound bummed out and disillusioned?

Anyone who is in the give me, give me, give me crowd, enjoy what you have created. Explain to your kids how the world owed you a living, a house, a pocket full of plastic and you did not even have to earn it. Then explain why there is not enough food and why they have to stand in long lines to get a loaf of bread since you spent their money before they were born.

The more we were given, the more we demanded until their was no more to give. Then they hand out credit like candy at Halloween and fill the homes people could not afford with luxuries they could not afford and voila, it collapses and those left standing in this huge game of musical chairs own it all.

$ 11,628,152,063,962 National Debt as of this posting and climbing fast.
Link to the ticker.

The Special Inspector General for TARP reports that the potential cost could be $23.7 trillion. Media Matters a DNC front organization says it is exaggerated. Imagine that, the Left calling the Right liars when it was one of their own people who gave the number in the first place I'm convinced they meet in back rooms where they are all best of friends and have a good laugh at us for believing there are actually two Parties.

Even if it is only half the number quoted from the TARP Czar the number is still staggering and it no longer matters who caused it. We caused it to be honest.

Get your system ready to withstand the shock of inflation at a level unseen before. There is no other way to pay this debt. Either inflation goes through the roof or we default. Anyone believe they will default?

Very nice post. I agree 100%.

Just look at how Joe Biden trash-talked Obama and then Obama turns around and chooses him as the vice-president? And WHO IN THE WORLD would chose Hilary Clinton as our Sec of State?? Of course they are all really on the same side, with the same agenda.

They know hyperinflation is coming... and they have their one world currency or microchips or whatever ready to be the answer - and FEMA / Homeland Security / Blackwater / Haliburton to quell any uprising.. besides, how long can people fight when they are starving?

I just watched Bernake talk about how the Economy is showing signs of improving, which means I'll be stocking up on extra canned food this week.

Thanks, since it was a statement I did not expect many responses if any.

I don't see how it can end any other way. To pay this massive debt absolutely requires massive inflation. I'm convinced this was part of the plan all along. Look at how Bush and Obama were in agreement on the bailout. No argument over it, just support from both sides.

Hey blaine.....good post

i agree with most of your points but ironically i'm not sold on the major one hyperinflation

i think that would kill the banks profit potential since they get paid in dollars..................also that would take out the u.s military since the petro dollar and the fact it is the world's largest reserve currency basically is the source of their funding

one other reason is that were congress in control of the money supply then i would think they would lend and print money to appease voters and get re-elected. But the fed is at the helm and the treasury and they represent wall street interests and they may keep a lid on credit....to limit bank losses from loans going sour..(because more and more will be in this economic enviornment)

they have NOT been letting debts default they have been insuring mountains of crap debt with taxpayer gaurantee's...........they will keep at this game until ?????

Originally posted by Blaine91555
There is no other way to pay this debt.

The same was said when the national debt reached $7 trillion; the same was said when it reached $8 trillion; and the same will be said when it reaches $80 trillion.

reply to post by Blaine91555



S and F

It is exactly the plan - amassing debt - and pay it off with over printing of money.

Problem is - China and the other countries know exactly what we are doing, and have been saying "not so fast - we won't let you get away with it".

They have tried to tie the dollar to inflation. At this point I think they are just using up as much as possible buying energy companies around the world with it.

One good thing - is mortgages will be able to be paid off easily for a short amount of time, until laws are enacted to protect the banks.

I do think were headed for inflation but I think it will be a slow burn instead of a hyperinflation sort of thing. Wall street still wants to sucker more people into the market, thats why almost every headline I see on Yahoo financial news is positive this week ie "Happy days are here again".
We'll continue to see the devaluation of the dollar, little by little until a year or 2 from now it will be worth half what it was.

Good post.

Not sure why you called inflation a "boogeyman" in your title though.

This isn't a fairy tale you tell children to make them behave.

We will see the real thing and it will be very severe IMHO. It's going to be an interesting fall season.
.

I have one thing to say to the New World Order and One World Currency and the staggering national debt and deficit.

Checks in the mail.

Lets do lunch!

And you are really going to wish it was just a cold sore when the people square up accounts.

The ending is only as bad as we allow it to be.

It ain't over until the fat lady sings and where you are going to find a fat lady in this economy and can sing to boot I haven't a clue!

The beginning of what comes from all of this only as limited as we allow it to be.

We can beat these people.

We will beat these people.

We always beat these people.

Now lets go out there and win one for the Gipper!

OK, I'm still in the deflationista camp ATM, but do think 10-20% annualized inflation is possible 12+ months away. I'm not saying we can't go all Weimar in the US,but I don't see the money that has been printed since the economic crisis began chasing goods and services in the real economy causing inflation. It was sucked into the singularity created by the unregulated financial system of the post Glaas Stegal era.

I am expecting to see some near term price rises in most everything due to the recent minimum wage increase. I think that 10% rise in the cost of labor is definately going to have some effects on price at the places you see people working at minimum wage. Mainly at the grocery and department stores. If we start getting more government interference in cost of labor I'll start to slip into the eminent inflation camp.

I don't currently see the forces necessary to sustain the high inflation we had in the 70's-early 80's.

The possibility of hyper-inflation is concerning and something I by no means discount. Three things that would immediately set off my hyper-inflation alarms would be: serious oil producer event, deadly flu wave 2, or rapid collapse of dollar. The flu I feel is the wildcard, oil producers budgets made assumptions that were wrong and they must keep revenue flows up to avoid internal unrest, and as much as the dollar deserves to fail, what currently exists that can replace it?

Originally posted by stander

Originally posted by Blaine91555
There is no other way to pay this debt.

The same was said when the national debt reached $7 trillion; the same was said when it reached $8 trillion; and the same will be said when it reaches $80 trillion.

Stander you know that is not true. At some point the rating agencies will cut the US credit rating down, the threats have been flying from Moody's, Fitch, and S & P. That will force borrowing costs up for us, and with the kind of borrowing we need to do to keep financing deficit spending practices, we will inflate heavily, and after a couple of years of that crap, the next step is hyper-inflation.

Thailand, Argentina, Wiemar Republic. All nations that have experience severe, or hyper-inflation due to one common factor. OUTSTANDING DEBT.

It's getting a little old listening to Americans talk as if they're on a planet where everything goes according to plan.

[edit on 27-7-2009 by projectvxn]

Originally posted by projectvxn
Stander you know that is not true. At some point the rating agencies will cut the US credit rating down, the threats have been flying from Moody's, Fitch, and S & P . . .

Thailand, Argentina, Wiemar Republic. All nations that have experience severe, or hyper-inflation due to one common factor. OUTSTANDING DEBT.

Why don't you mention the other nations with outstanding debt?
www.abovetopsecret.com...

Why don't you mention all those 15 countries with the national debt that is well above the present US amount? Why is it so that Ireland, which owes 975% of its GDP, doesn't act according to your script?

Do you realize that Wiemar Republic found itself under quite different conditions? Or was the Reichsmark the world reserve currency? Do you know how the Germans dealt with it? It didn't take more than two months and the hyperinflation was gone.

The world knows what the US Treasury is doing; the world will not be fooled . . .

Yields on US Treasurys jumped to their highest levels in over a month as investors fretted over the impact of a record amount of new government debt being auctioned this week that could reach $211 billion.

www.cnbc.com...

At the end of the week, the wise-assed world will lick the plate clean.

But there IS a difference between driving a car at 5 MPH and 120 MPH. At that speed you really need to abide by the Morrison rule:
www.youtube.com...

invisibleman.com...


[edit on 7/27/2009 by stander]

reply to post by stander


How much more of this do you think will occur? We don't even know what we bought from the banks and what that is worth to us, we know we paid 13.7 trillion for it so far.



Edit to add:

I know this is low probability now. But when we start seeing higher interest rates and rating cuts in the future it may get bad. I'm not as sure as I was about hyper-inflation, but really damned high inflation is very likely. And if that doesn't wake up Washington and the money brokers of the world it WILL lead to hyperinflation.

[edit on 27-7-2009 by projectvxn]

First of all, thank you all for contributing. Lots to think about.

Gools, the reason I used Bogeyman is inflation is like a monster hiding under the bed unnoticed and waiting to pounce when everyone is distracted.

As I read through the posts it occurs to me their are two sides to this inflation coin. The hidden side is already out of control for the have-not's.

As entitlements grow and income shrinks things not even factored into inflation become the 800 lb Gorilla in the room.

For me and for all Baby Boomers, this could not have come at a worse time.

When people can not afford to buy houses, cars and high ticket items even though they work full time, we can kiss the middle class goodbye as the money finds its way upward into fewer and fewer peoples hands. The irony is that they would have us believe what is going on will have the opposite effect.

Unions will become like "The Party" in the old Soviet system. You will either be in one and a team player, or you will be out in the cold. Union wages will go down and not up as a result. The gap between the haves and the have nots will grow exponentially as a result.

We clearly have an Administration that thinks they can create a society made up of the wealthy and the middle class with no poor class. What we will get is poor and rich and nothing in the middle. I think not only do they know this, they are clearly engineering this. Not only will they cause runaway inflation, it is the plan in the first place. Put us in our place so they can engineer their new society.

For their plan to succeed, they will have to remove any chance at the "American Dream" of one day owning a small business and moving up. The current small businesses will be the first victims as a necessary part of their plan. The more reliant we are on government, unions and big business the easier it is for them to control the ignorant masses. The "ignorant masses" is exactly how these megalomaniacal academicians see the rest of us.

We don't understand that the destruction of hope is the only way towards a better future in their minds. We are illiterate little people who's needs are trumped by their visions of their great societies. The rights of the individual must be stomped into oblivion for the good of the whole. They see themselves continuing to profit from our suffering as their right as the elite class that they are. They think we can't possibly understand that they are just trying to help us ignorant apes.

[edit on 7/27/2009 by Blaine91555]

The Inner Party will of course be TBTB.

The Outer Party will be the corporations that control the workforce and the bottom of the barrel.

And of course, The Proles, shall be the dirty poor, left with nothing.



Orwell wasn't stupid.

You started off on the right track and were deviated with the hyperinflation hyperbole - it is irrelevant.

Here is the drum and it is the primary theme of the book I am writing on this:

Stay with me as this deals with academic terms :

The post world war two strategy was to end dispute resolution through violent means - hence the UN - is what is called neo-liberalism - which means to use institutions and economics to resolve disputes rather than simply relying on military as the final arbiter.

Now - the transnational corporations which have emerged since this time are the most obvious signs of this, however what is also worth noting is the associated corporate and national governance which has sprung up alongside globalism - institutions such as the IMF, WTO, G8, G20, World Bank, UN, European Union, etc,etc are ALL SUPRA-national institutions which decide laws and govern countries which effect almost every citizen on earth - think Kyoto and Copenhagen, yet the people of the world have absolutely NO SAY, no representation, and are simply governed by an unelected elite which are appointed in large by executive branches of government or corporations....the NWO is not coming it is well and truly in place - you just don't realise it.

So the second world war signaled the end for nationalism for the elites - it was too destructive to power accumulation and wealth creation - although it was beneficial to the massive armies which were created on the back of nationalistic fervor (WW1 and WW2) the short history of nation states has come to an end - it lasted less than a hundred years in any serious form.

We now see a return to the most powerful form of global rule which ever existed and that is the merchant trading companies established by the Dutch and English - the idea being to create governance by decree - the decree is created beyond the state in international institutions.

The result of this is that there will be a global elite - China, Iran, India, US, Australia where ever, it does not matter, the wealth of the US will be translated across the planet from a concentrated mass in the west to a thin veneer across the planet - where there were healthy middle classes in the US, UK, Australia etc, will be removed and replaced by a fairly equal global lower class living in relative poverty.

The reality is this - either we maintain an antagonistic relationship in the world where we have combative economic playing field based on nation states - OR - we have a global equal playing field where the entire world is fair game to corporations and the citizens are victims of the accompanied drive to the bottom on the price of labor.

For all of those COMMITTED ANTI -COMMUNISTS out there please remember this important fact - the idea behind communism is to control the price of your own labor. In other words to get as much pay for your own work as possible preferably by forming unions which are able to therefore negotiate fair market rates.

The drive of the US has been to smash unions as they drive up the cost of production - hence the relationship with deregulated global trading where American companies were moved off shore to China in the pursuit of cheaper labor - the effect has been to drive down the standard of living of Americans, reduce your real wage, destroy jobs, return massive profits for the corporate elite who live in a globalised world with free travel.

Hence the push against unions is to push against your own standard of living - the only solution to the worlds problems is to pay more for your goods - to have them manufactured with quality rather than quantity - to have China sign up to minimum standards of wages, health, safety, environment etc - no product should be allowed into the US that does not meet US standards - problem solved - completely.



[edit on 27-7-2009 by audas]

reply to post by audas


Thank you very much for your post. Very instructive and it is easy to understand where you are coming from. Thanks again and let me know when your book comes out.

I'm curious as to your thoughts on what Obama has done in relation to the Unions and Auto Industry? It almost seems as if it was an attempt at a partnership of sorts.

[edit on 7/27/2009 by Blaine91555]

Originally posted by Blaine91555
reply to post by audas

 

Thank you very much for your post. Very instructive and it is easy to understand where you are coming from. Thanks again and let me know when your book comes out.

I'm curious as to your thoughts on what Obama has done in relation to the Unions and Auto Industry? It almost seems as if it was an attempt at a partnership of sorts.

[edit on 7/27/2009 by Blaine91555]

Will let everyone know about the book - thanks for the encouraging words.

I am not up to date with Obamas treatment of the Unions - if you could summarise this for me I can put it in perspective - I try hard to keep my feet on the ground but my eyes are always on the big picture.

From what I have read regarding the Unions - they have gone into a merger with Canada and workers - (GM), opal has been - or will be delivered to Magna to the German parts group, while Fiat has taken much of what it wants from Chrysler - China has Humvee.

The delivery of part ownership to the workers is about as Marxist as you can get - now before you get your knickers in a knot there are two sorts of communism - there is the sort you have been taught to hate by McCarthyism which is all about Union Busting (see work on Edward Bernaise for enlightening info on this - he was the nephew of Sigmund Freud and reading him will enlighten your whole world on these issues) - then there is the theory of capital put forward by Karl Marx in Das Kapital - which points towards an ownership of capital (the means of production ie factories) by the workers - in other words - the GM workers owning part of the factory and means of production is an absolute chapter straight out of Karl Marx - what is also worth noting is that Marx specifically said any attempt to institute Marxism before the failure of capitalism or the means of production have been conquered is doomed to failure - hence Lenin and Stalin were never to succeed according to Marx - his ideas were not based on the order of society - a social order such as communism or democracy - rather they were an evolutionary description of the progress of economic systems. An analogy would be that evolution does not describe how we live our lives, rather how our lives came to be lived - Marxism strives not to tell us how to define our economy, but rather the natural forces which will inevitably come to define it - the balance between the cost of labor, the capital (means of production) and consumption.

However Obamas move is more about the redistribution of ownership of American means to production to global power elites than it is to the Marxist redistribution of capital to the proletariat. His actions have taken the only means of American wealth generation (capital) - and transferred it to foreigners. The only means to repay any American debt are through the raising of net profits through trade surplus and this can only be achieved through sales of goods and services - your entire fortune had shifted to a service based economy, specifically financial services, and this is why the massive bailout has occurred in the finance - also why the finance sector has simply used taxpayers money to reinvest in wall street and take profits - another yet direct and very clear example of the redistribution of wealth upwards to a global elite and away from the middle class workers of the world.

More coming.

stay tuned...