06.07.17 The Real World of Money, June 7, 2017 TWO

One Radio Network

Hour 2 -Qatar, home to a US airbase, is perhaps the biggest producer in the whole world of natural gas. Proposed NG pipeline from Qatar through Saudi Arabia, Syria, Jordan to Turkey. Would compete with proposed Russian-backed Iran-Iraq-Syria-Europe NG pipeline. Is the Syrian war about competing pipelines? -David asks if the deep state we talk of now is the same one Woodrow Wilson referred to. Wilson was signer of legislation to create the Federal Reserve in 1913. He knew all about the boys. Sergeants run the army, not the generals. The bureaucrats control the direction of the government. -South Korea halts deployment of US anti-North Korea ICBMs. China’s influence? Trade deal with Korea gave US the right to do banking there. Fosters anti-US sentiment. Overt Americanization of Korea is a this-century phenomenon; used to be covert. CitiBank Korea – is worst bank in world in terms of consumer complaints. Koreans are resentful. -Liquidity crisis in China. The more yuan there are, the less they’re worth. China has freely allowed borrowing of money to expand. China has monetized so much debt that the value of the yuan would evaporate if all debt was monetized. -All the problems in the world are about money and who gets to control currencies. -With a weakening dollar, Treasury Bond yield is at lowest point this year. -Put the bulk of your wealth into physical tangibles to reduce your risk from the vagaries of the financial system. Physical money is the only thing that exempts you from the risk of fiduciary money. Save money in the form of real money. No counterparty risk and a secure form of wealth. -Morgan recommends Eustace Mullins’ pamphlet “The 5 Trillion Cold War Hoax”. Free at http://whale.to/b/mullins6.html. Andy recommends all of Mullins’ books. Missile crisis a hoax. Cuba-Rockefeller links, Chase bank branch in the Kremlin since 1968. Morgan says there’s an open sewer smell from the TV; the terrorists are the media. -Thomas Edison quote: if the US can issue bonds, it can issue bills. Bonds allow usurers to collect twice the bond amount plus 20%. Edison recognized there’s a better way to do this. But he was a greenbacker, said we didn’t need to back money with gold. “Gold is a relic of Julius Ceasar.” Edison wanted to pump out interest-free currency. He and Henry Ford tried to end Fed Reserve ability to charge interest on money creation. Occurred at same time as Weimar Republic inflation of early 1930’s, so Edison was discredited. -History of US presidents getting shot for trying to stop paying Fed Reserve for our money. -FRED – St. Louis FED Report. Are 3 Steps to inflation: create money, get people to spend it (money velocity, now at all time low), resource slack. Total non-farm job openings (labor turnover) number is at an all time high. Are more job openings now than people to fill them. Resource slack has been absent, but newly deployed money is being spent now and has built demand. Wages have been flat, but are going up. Confidence in US economy now. Factory resource slack is also tightening – we’re at high capacity utilization. Monetary velocity amplifies money in circulation. Money with zero maturity (MZM) is also at an all time high. Once people start to spend MZM, inflation will rocket. Rising prices will start spending, and the cycle of rising prices starts. Hour 3 -To benefit from impending inflation, position yourself in investments that will raise in value. -US has had no productivity growth, automation notwithstanding. Has an overwhelming amount of unfunded pension and government benefit obligations. Deregulation of banking will be stimulative this summer. Rich will get richer, middle disappears, poor gets poorer. -When depositing money in the bank, people don’t realize they’re accepting a risk.