My dear reader,

While we discussed the rising cooperate tax in the latest civil discourse video (available here: https://www.youtube.com/watch?v=R3gjMjXSFro) and how that affects both the economic opportunity and social fabric of the nation, we just barely touched on the banking issue.  This aspect of the coming financial crisis shouldn’t ever be forgotten, but there are many who would like us to bury our heads in the sand and forget about it.  A chilling quote by the Rothschild brothers dating all the way back to 1863 illustrates this point better than any of us ever could;

“The few who understand [the banking system] will either be so interested in its profits or be so dependent on its favors that there would be no opposition from that class, while on the other hand, the great body of people, mentally incapable of comprehending the tremendous advantage that capital derives from the system, will bear its burdens without complaint”

The idea is that the banking system creates such an opportunity for the wealthiest in the world to become wealthier, that they would rather join the system instead of oppose it.  Or they would be so dependent on the loans themselves for business needs that they would need such a system in place.  This dismantles the opposition from the high and upper middle class who may in fact understand the smoke and mirrors at play here.  The rest of the population would be so stupid that, even though they were the ones bearing the effects of the banking system, they would not riot because they could not even comprehend the situation they were in.  Aside from the arrogant nature of this comment, we are bearing the long term effects of inflation as we speak

As an aside, inflation is the effects of an un-tethered currency, one that is not biased on gold reserves and always helps the debtor.  This is great when you’re the 22 trillion dollar debt of the United States or even the home owner of a 30 year mortgage.  However long term inflation always increases the wealth gap, which can lead to social unrest, and often times does.  If you had one dollar in 1998 you would have the equivalent of one dollar and 55 cents today.  In just twenty years’ time, we’ve lost almost an entire dollar without even spending it.  This means that people on the lower end of the income spectrum can buy even fewer goods than before and leaves them feeling left behind and resentful.  Don’t worry though, the government will use inflation to heir benefit so that they only have to pay off a fraction of the US debt back, which they keep blowing out.  In the end, the only ones that suffer are the ones who need to be taken care of the most.  But what can we do to hedge against an unrelenting force of inflation?  The easiest solution is to buy gold and silver.  Gold has a bigger market because of its use in jewelry, and so it is a good starting point. Silver is a bit more stable but don’t make this investment for profit.  Use it to protect against the worst aspects of a paper currency.  Stay away from bitcoin and whatever else people are trying to sell online, its based only on speculation and crime; not the best investment for right now.  For the high rollers, real estate is also a hedge because prices will increase along with inflation, but you can only get at the money through the sale of the property.  It may be harder for people to buy a 400,000 home over 2,000 gold.

In conclusion, be wary of the forces at play here.  When we go through this bubble burst in the coming years, we may see a total social and financial upheaval.  Be sure that you know how to make money and keep money.

To your creation and potential,

Kevin Prendiville