The Direction We're Not Moving In

I heard something on the mainstream news last nite that actually made sense. This recent crisis is more about fear than any sort of underlying economic problem... When prices are kept artificially high for years, people panic when they start to come down. that panic leads to "SELLSELLSELL!!" which leads to prices coming down even more, which leads to more "SELLSELLSELL!" If there were no bailout, eventually the panic would subside and things would stabilize at a sustainable level. The % of our GDP that is tied up in the financial sector would shrink, and the % of our GDP related to manufacturing, technology, etc would increase. The hundreds of billions in evaporated wealth due to the stock market crash would not magically reappear--it would be gone (not that it ever really had any right to exist in the first place), wages might come down a bit, values of savings would decrease, and that obviously would suck for a lot of people... But homes would be affordable. Energy would be affordable. Food would be affordable. And we could move forward in a slightly more sustainable fashion. Too bad, we're not moving in that direction... Not yet at least.

PLEASE CALL YOUR CONGRESSPERSON

Demand that Congress immediately redress and pass this bill. It's our only hope.

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HR 2755 IH

110th CONGRESS
1st Session
H. R. 2755

To abolish the Board of Governors of the Federal Reserve System and the Federal reserve banks, to repeal the Federal Reserve Act, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES
June 15, 2007
Mr. PAUL introduced the following bill; which was referred to the Committee on Financial Services

A BILL
To abolish the Board of Governors of the Federal Reserve System and the Federal reserve banks, to repeal the Federal Reserve Act, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the `Federal Reserve Board Abolition Act'.

SEC. 2. FEDERAL RESERVE BOARD ABOLISHED.

(a) In General- Effective at the end of the 1-year period beginning on the date of the enactment of this Act, the Board of Governors of the Federal Reserve System and each Federal reserve bank are hereby abolished.
(b) Repeal of Federal Reserve Act- Effective at the end of the 1-year period beginning on the date of the enactment of this Act, the Federal Reserve Act is hereby repealed.
(c) Disposition of Affairs-
(1) MANAGEMENT DURING DISSOLUTION PERIOD- During the 1-year period referred to in subsection (a), the Chairman of the Board of Governors of the Federal Reserve System--
(A) shall, for the sole purpose of winding up the affairs of the Board of Governors of the Federal Reserve System and the Federal reserve banks--
(i) manage the employees of the Board and each such bank and provide for the payment of compensation and benefits of any such employee which accrue before the position of such employee is abolished; and
(ii) manage the assets and liabilities of the Board and each such bank until such assets and liabilities are liquidated or assumed by the Secretary of the Treasury in accordance with this subsection; and
(B) may take such other action as may be necessary, subject to the approval of the Secretary of the Treasury, to wind up the affairs of the Board and the Federal reserve banks.
(2) LIQUIDATION OF ASSETS-
(A) IN GENERAL- The Director of the Office of Management and Budget shall liquidate all assets of the Board and the Federal reserve banks in an orderly manner so as to achieve as expeditious a liquidation as may be practical while maximizing the return to the Treasury.
(B) TRANSFER TO TREASURY- After satisfying all claims against the Board and any Federal reserve bank which are accepted by the Director of the Office of Management and Budget and redeeming the stock of such banks, the net proceeds of the liquidation under subparagraph (A) shall be transferred to the Secretary of the Treasury and deposited in the General Fund of the Treasury.
(3) ASSUMPTION OF LIABILITIES- All outstanding liabilities of the Board of Governors of the Federal Reserve System and the Federal reserve banks at the time such entities are abolished, including any liability for retirement and other benefits for former officers and employees of the Board or any such bank in accordance with employee retirement and benefit programs of the Board and any such bank, shall become the liability of the Secretary of the Treasury and shall be paid from amounts deposited in the general fund pursuant to paragraph (2) which are hereby appropriated for such purpose until all such liabilities are satisfied.
(d) Report- At the end of the 18-month period beginning on the date of the enactment of this Act, the Secretary of the Treasury and the Director of the Office of Management and Budget shall submit a joint report to the Congress containing a detailed description of the actions taken to implement this Act and any actions or issues relating to such implementation that remain uncompleted or unresolved as of the date of the report.

Money as Debt

I've said this before... but in light of our nation's most recent exhibit of obvious control of government by central banks, I'm going to say it again, and say it loud:

Everyone knows that money makes the world go round... So what makes the money go round?!?!

Very very few individuals know how money is created, much less how it came to be this way. There isn't one class taught in any of our public schools that explains it. Even in our institutions of higher learning in degree tracts such as economics, business and finance, etc., the simple and fundamental truths about how today's monetary system operates or how it originated is not explained. There's almost no way to get access to this information via the regular channels. One must seek the answer to this question themselves.

The video below is about as accurate, simple and concise as you can get. I highly recommend it.

https://www.youtube.com/watch?v=jqvKjsIxT_8

Welcome to the U.S.S.A.

Welcome to the U.S.S.A.

The Bailout Bill DOES NOT Restrict Executive Pay!!

You've all heard one of the selling points of the bailout bill... that it would restrict the compensation of executives in companies who accepted the bailout. This is a half-truth. It does not restrict their compensation. It restricts the amount that is tax deductible to the company... Read the bill below...

"SEC. 302. SPECIAL RULES FOR TAX TREATMENT OF EXECUTIVE COMPENSATION OF EMPLOYERS PARTICIPATING IN THE TROUBLED ASSETS RELIEF PROGRAM.
(a) DENIAL OF DEDUCTION.—Subsection (m) of section 162 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:
‘‘(5) SPECIAL RULE FOR APPLICATION TO EMPLOYERS PARTICIPATING IN THE TROUBLED ASSETS RELIEF PROGRAM.—
(A) IN GENERAL.—In the case of an applicable employer, no deduction shall be allowed under this chapter—
(i) in the case of executive remuneration for any applicable taxable year which is attributable to services performed by a covered executive during such applicable taxable year, to the extent that the amount of such remuneration exceeds $500,000, or ‘‘(ii) in the case of deferred deduction executive remuneration for any taxable year for services performed during any applicable taxable year by a covered executive, to the extent that the amount of such remuneration exceeds $500,000 reduced (but not below zero) by the sum of—
‘‘(I) the executive remuneration for such applicable taxable year, plus ‘‘(II) the portion of the deferred deduction executive remuneration for such services which was taken into account under this clause in a preceding taxable year.

In The Meantime...

While we wait for this new version of the hyperinflation--I mean Bailout Bill to pass the House on Friday... Will you just look at that nice, sustained positive trend in the US dollar index! It's almost as if... the dollar gets stronger when we don't FLOOD THE WORLD WITH $700 BILLION OF THEM!! Imagine that...