By: A. H. Krieg
Bernanke and his immediate boss Obama are printing about $110 billion every month, every last cent of it produced out of thin air. They no longer borrow the funds by issuing T-bills and T-notes they just tell the various 12 Fed branches to add zeros to their balance sheets. Makes me think of Robert Mugabe and Zimbabwe. Inflation, due to this is now at 17%, last year it was at 14%. I want to be very clear here; When Cantor and Boehner speak of cutting the deficit in the coming decade, by $100 billions, or balancing the budget, they are engaging in the absolutely worst deception imaginable. When the FRS informs the country that inflation is at 1.7% they are not just liars, they are damned liars.
For many months I considered that all these people engaging in these acts were simply inept idiots, but I am now utterly convinced that they are acting by design, and on purpose. The propose is the Rothschild plan to destroy the Dollar as the world reserve currency and by this act, eliminating America as the world’s only super power. If America remains a super power then the New World Order cannot assume command. All this began in the late 70’s with “Free Trade” the “Trojan Horse” of the N.W.O. along with the enactment of NAFTA and CAFTA by the Republocrats. Both parties are equal in blame. Its result has been the de-industrialization of the West.
The force of these acts will come upon Americans like a snake in the night. Fuel, food, clothing, taxes and housing will demonstrate dramatic increases in 2011 and 2012. The average American family now pays more in taxes than then for food, fuel and housing combined. We have already witnessed cotton up 170%, food 52%, fuel up 70%, and sugar up 164% in 2011, and that’s just the tip of the iceberg. America’s cash flow as you read this is negative and falling at a 20% decline per year rate, which has been ongoing for the last 15 years.
Another nail driven into our coffin is the announcement of the BRICS (Brazil, Russia, India, China and South Africa) to trade in their own currencies rather than the dollar for all transactions between themselves. The BRICS nations represent 40% of the world’s reserve currencies and 20% of the world’s domestic product.
The S&P downgrading of the dollar and their statement that the dollar was in decline and may in the near future lose its AAA rating was the first factual domestic warning of what is to come.
The significance of this act by the BRICS is that it is a virtual death warrant for the dollar and as Indian PM Manmohan Singh said at the BRICS meeting, in the following news conference relating to the dollar, “It will take some time for Rigor Mortis to set in”. This entire conference and its following news meeting have been blanked out in the United States. So much for a relevant journalistic news gathering organization in America. Let’s all stick our heads in the sand and pretend we're ostriches.
Anticipation of this is a more rapid decline in the dollar, and expansion of other nations monies, this would be all who will trade only in their own currencies. Demand for the dollar will drop, and as American consumers will come to understand the resulting price increases will be huge. Gold and silver will continue their meteoric rise and I predict for gold to top $2000 by year-end. Americans Brits, and EU member citizens are looking to silver, gold and foreign currencies as a backstop to losing their treasure. The Swiss Frank is up 10% and that’s just this year. When I came to America in 1952 the exchange rate was 4.20 SFR to the dollar yesterday the exchange was $0.86 cents per frank. Gold on the other hand is up 530% since 2000 and silver is over $48 per ounce. In 1950 silver was $1 per oz. That my friends; is a stellar performance of Bush, Obama, and their Ponzigoniff enablers.
I just simply cannot understand why American’s tolerate these politicians and Ponzigonifs outright theft of their savings and pensions. It would almost appear that half the population is brain-dead. I know that education is not what it was when I went to school, but this is ridiculous. Every housewife can see the dramatic rise in food prices, 52% since the moron was elected. Men who probably pay for most fuel must understand the 69% rise in fuel costs, in the identical timeframe, is not due to the petrochemical industries but the government banking and commodities trading policies allowed to continue. The take by government of fuel taxes has dramatically increased and now sits at about 33% of fuel costs. Unemployment now boasts a 148% rise in long-term unemployment in 2010; (over 27 weeks) it is so bad that people are committing suicide for lack of ability to feed their families.
This is all like the proverbial snowball rolling down the mountainside. It just keeps getting bigger and worse. I predict that more and more nations will opt out of the dollar as reserve currency, and all holders of US debt have already begun liquidation of their dollar assets. The impact of this will hit us hard. The treasury that began in March of 2009 monitorizing debt is now faced with it as the only possibility because the market for dollar denominated debt has totally dried up. The inevitable result of monitorizing is inflation, in our case, unless stopped immediately hyperinflation like the Weimar Republic or Zimbabwe. The simple solution of cutting government spending is a non-starter in Sodom on the Potomac.
As the situation worsens foreign nations holding dollars will begin selling them. This is already the case for Japan that needs the funds to rebuild. China and Russia are both selling their dollar reserves and India began actively buying gold six months ago. (250 million on their first buy) The more dollars that flood the international market the less value it has, so, conversely its value falls and inflation happens. Inflation is the only cause for the rise in prices on the American market and the only agencies that can cause inflation are governments and banks. If we compare cost of consumer goods and food between America and other industrialized nations we can see that the variance is still substantial. International markets, demand parity of pricing worldwide because the producers have the same production costs worldwide. American consumer costs remain the lowest in the world, inflation will result in parity and that will be reflected in dramatically increasing prices of everything you need to survive.
There is no point in blaming Obama he does as he is told. He is far from brilliant, but he is not so dumb that he cannot understand what I have here put forth. The fact of the matter is that this is a long-term plan that has been in operation since the mid 70’s and unless the people revolt, will succeed.
Dr. Krieg’s new book, “Rendezvous with the New World” Order will be available in June.