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Cause And Effect By Joseph Russo Rarely do circumstances prevail whereby one
is compelled to cast aside a natural self-interest in promoting one’s trade, to
instead share opinion and perspective on a more broad set of shared observations,
beliefs, and convictions, intent upon bringing about vigorous constructive public
discourse in serving a purpose much larger than oneself. Now is such a time, and the following is
respectfully our patriotic and dutiful contribution in fostering such endeavors. We yield as much time as we may consume, and
reserve the balance of our time remaining.
We get what we
vote, hold to account for, and demand from our public servants/stewards Until such time as, We The People,
demand a brutally honest discourse in revealing the most essential underlying root
causes of common denomination for all that continually plagues our economy, Republic,
and world at large, we should not expect anything less than a hyper-steroidal-dose
of the same-old redundant indiscretions of inequity, and blatant structural policy
flaws that perpetually blind and propel largely hoodwinked, multi-generational populaces
into the historically repetitive and dire economic malaise in which the present
generation suddenly find itself today. The sooner we expediently embrace swallowing the
bitter pill of acceptance, and move toward a collectively informed, patriotic
sacrifice in facing perhaps the most challenging, lengthy, and uncertain period
of atonement in our nation’s history, the sooner we shall begin to reap the
everlasting rewards of such noble endeavor. Means to an End Through the means of integrity, sacrifice,
and self-determination, each of us individually possesses the inherent personal
constitution and fortitude by which to attain the admirable end in cooperatively
assuring a sustainable, secure, and equitably prosperous future for ourselves, our
neighbors, and collective future generations both at home and abroad. ONE ROOT-CAUSE clearly exposed upon blatantly Crossing-the-Line in the
plain light of day When a central authority will go to any length
to prove to themselves, to all of the world, and those with whom they ally, that
they possess, or have the means by which to acquire unlimited resources, power,
and capability to control, shape, and direct all facets of wealth, commerce,
and trade - both private and public – it should sound a piercing siren of alarm
for citizenry of all free nations to immediately become fully engaged, and to
begin demanding answers and accountability toward a rather serious and
comprehensive line of inquiry as to the nature, and expansive purpose and
consequence to such a dynamic evolution toward an infinite concentration of
unlimited powers.
What Congress and
Investors Should Understand About the Bear Stearns Deal It is our collective patriotic duty to question
whether the audacity of recent actions is either legal or constitutional under
this particular authority’s questionable mandate. Why is Bear Stearns trading at $6
instead of $2? Men in the Mirror / Politics / Central Banking Cartels / and other destructive
Nation Breaking Hubris As the fate of the self-contrived financial
sphere seemingly hangs in the balance of a coming plethora of lawsuits, deliberations,
and hearings as to the cause, remedy, and future prevention of the historically
familiar quagmire in which various institutions of dubious record and intent - have
over the course of decades –succeeded once again in crippling the state of its
nation – the vexing endeavor of politics alongside its intriguing mistress of fractional
banking and innovative finance, is likely to become the front and center
concern of financial markets, governments, regulatory agents, and populations across
the globe. Clearly failing its veiled mandate by way of engendering
severely maligned and excessive concentrations of unchecked power and wealth,
and bringing the entire financial system toward the questionable and very well-publicized
fear-laden precipice of total collapse – it will be illuminating to observe
such powers go through the motions of explanation, discovery, argument, and
proposed remedy to matters for which they may or may not admit being party to,
nor in possessing the scope, wisdom, or integrity necessary to provide adequate
answer or lasting solution. Unfortunately, those including the quasi
government agency of the Federal Reserve, alongside the broken body politic at
large to whom it finances - are themselves at the helm, and unequivocal party
to the numerous liable institutions to which our nation now sadly depends upon for
a cure. Averting Financial Collapse or the Loss of Imperial
Monopoly? Whether or not allowing a major investment
bank to fail would have collapsed the entire financial system, is highly
questionable. Quite likely, such a failure may have proved to be nothing more
than a long overdue commencement toward a massive rebalancing via the free
markets long-repressed natural self-cleansing mechanism, which albeit acutely painful
and of reprehensible embarrassment, may have finally led to a better, stronger
future in the long run.
They’ve clearly run out of Plate-Spinners to keep the magic scheme of
perceived prosperity going Supposedly, the pressing priority now appears
to revolve around keeping home values inflated for the benefit of sacrosanct bondholders,
the financial system at large, and lastly - by default and convenience - for
the benefit of homeowners. Such
accomplishment is a pipe-dream with hyper-inflationary consequence beyond
comprehension. More likely, some
rendition of classic valuation appraisal formulas will soon be imposed. Prepare for the classic time-tested formula for Re-Pricing Real
Property at 100 X the Rent How low will home values go? How might one anticipate the level of needed
adjustment to local and regional re-pricing of homes both now, and for the foreseeable
future? How much of a haircut are those
engaged going to take? How much should those
in need of purchasing/refinancing a (non speculative) primary residence
expect to pay? History clearly guides us toward a rather
simple but highly accurate rule of thumb suggesting that it shall become expediently
prudent to re-appraise, and re-price real property at its capitalized fair
market rental value. The sooner this is
done, the sooner the “housing” malaise will mitigate and correct itself. Just One of the Many
forthcoming effects likely to arise A new version of the Home Owners Lending Corporation on deck In past crisis of (thus far) similar magnitude,
the historic and notably successful regulatory policies of the HOLC held that the most common basis of
capitalization appraisal is to multiply one month's fair market rent by 100;
sometimes 120, and in some cases by a figure less than 100 - in order to
establish the most accurate fair-market property valuations.
The historical findings of the HOLC concluded that
after an examination of several hundred appraisals of properties on which loans
were made revealed very few cases—probably less than 1 percent—in which the
appraiser sought to modify the result reached using the described rent
capitalization formula. Hence, if one’s house or investment property commands
rent on the fair market of $2,000 per month, one would be accurate to estimate
that such property will be re-appraised, and re-priced at a fair market value
of $200,000. Likewise, if one is under the perception that
their real property is worth an estimated $500,000, one can quickly confirm or
negate such estimate by inquiring; is this property rentable on the open market
at $5,000 per month? If after researching comparable rents one can
honestly answer yes, then their estimation of a 500K worth would be
substantiated. If however, the answer is no, then by going
through the exercise of determining fair market comparable rents for the type
of property that one owns, one may then realistically arrive at a more accurate
estimated value of one’s property by multiplying a month’s rent by a factor of 100. The same valuation metrics may be used by
those in need of purchasing property both now, and for the foreseeable future,
to insure that they do not pay an unreasonable excess for real property in the
early stages of a market adjusting downward from artificially inflated levels
of incomprehensible magnitude. We’ll now redirect your attention to what in
our opinion, is one of the primary root-causes for all of the historically
familiar, and very predictable economic malaise currently upon our doorstep. Follow the (make believe) Money Trail
- brimming with the vexing complexity and intrigue of hollow financial
innovations born of the greed and necessity required to protect and veil a
perpetual monopoly of fiat-currency, fractional-reserve banking, and a severely
flawed credit-based system of quasi capitalism - aka in
some circles as authoritarian free-enterprise. Upon a brief introduction to the history,
origin, and common purpose of central banking schemes, one can readily
extrapolate similar purpose and intent throughout the historic evolution of
such schemes to our present day global version. Should one lack the required time to meticulously
unpack each historical account of dynamic development of these grand schemes,
we suspect a ready extrapolation will suffice. For visual reference, we have provide the
chart below, which begins in 1693, three years prior to the emergence of the
Central Bank of England, and is comprised from data spliced from the British
All Shares Index, London Stock Exchange, Clement Burgess Index, and the Dow
Jones Industrial Average. And yes, we do maintain an illuminating and rather
unique proprietary Grand Super Cycle Elliott Wave count for the 300-year data
series. America’s Young Republic
– Usurped by establishment
of its 1st Central Bank in 1791?
Calls for a National Bank in In The political economist Sir William Petty had
recognized from the example of the Dutch, that successful credit- based trading
could benefit a nation in many ways and help to enlarge its sphere of
influence: He wrote in 1682: "What remedy is there if we have too
little money? We must erect a Bank,
which well computed doth almost double the Effect of our coined Money; and we
have in England Materials for a Bank which shall furnish Stock enough to drive
the Trade of the whole Commercial World".
Map of English Empire in But it took a London-based Scots entrepreneur,
William Paterson, to propose the scheme that eventually found favor: his first,
proposed in 1691, had been rejected for several reasons. This was partly because, as he wrote in 1695,
"Others said this project came from Under his scheme, in return for a loan of £1
million, the bills issued by his company should be made legal tender. This idea
proved to be more than a century ahead of its time, and consequently
unacceptable to the Parliamentary Committee. 'A Fund for
Perpetual Interest': The funded National Debt is Born After several more rejections, Supported by two powerful personalities - Charles Montagu, Chancellor of the
Exchequer, who looked after the Parliamentary lobbying, and Michael Godfrey
a leading merchant who ensured the ideas acceptance in the City - it was all
but inevitable, given the Government's pressing need for funds, that the scheme
should be approved by Parliament. So One of the banks first transactions was to
loan 1.2 million pounds at 8% interest to William of Orange to help the King
pay the cost of his war with Louis XIV of The public were invited to invest in the new
project and it was these public subscriptions totaling £1.2 million that
were to form the initial capital stock of the Bank of England, and was to be
on-lent to Government in return for a Royal Charter. "The bank hath benefit of interest on all
monies which it creates out of nothing." Once unveiled, the dominant Cause and Effect as to the current State of
Shortly after Firstly, upon the adoption of the first Central Bank
of the United States in 1791, then again upon the second such Bank chartered in
1816 - ultimately headed by Nicholas Biddle,
which then led to the banking wars
of 1832-36, and finally upon enactment of our modern-day Federal Reserve System,
which was chartered for unspecified duration in 1913. The highest honor of intrigue in its
historical evolution must go to the grandfather of central banking, one William Paterson
(a Scottish trader of dubious background) who was behind the first such
scheme in One might also argue that second honors of
such vexing intrigue could be awarded to The above is but a brief introduction as to
the origin, intent, and objective purpose of central banking. Its 300+ year history is replete with
similar, and at times, much more egregious and deceptive motivations. President John F.
Kennedy,
Future Headline Prophecy: Perhaps we are being overly optimistic,
however nothing would please us more than to bare witness in our lifetime, to the
following headlines: central bank monopolies abolished Found responsible for grossly failing Mandates,
and engendering Centuries of Inequity, War, and Empire
At some point in our collective history, it
shall become another grand holiday, momentous in celebration, of a new - more
perfect independence, when the world-over may embrace such headlines across all
spheres of modern communication. Honor, pride, integrity, and unbridled
patriotism of sacrifice and productivity shall flow without limit from those
whose affiliations, respective stewards, and governing bodies, had expediently
elected to legislate a broad array of radically sound policies, at the behest
of its citizenry - resonating from the demand for sweeping change, to
reconstitute laws of impartial equity - brought about through a comprehensive
and learned wisdom of ages, in re-adopting a more perfect adherence to the most
practical philosophy of reason and governance, from which only a truly
incorruptible Republic can be entrusted to provide. Long-term sustainable prosperity, peace,
innovation, free-trade, preservation, and security will at once become possible
in truth, not theory, nor by the drop of bombs or innovative fiat money flows from
cartel- supported finance credit schemes.
Illusory dreams of the something-for-nothing
past shall be replaced with future bounties of lasting tangible virtue, and enduring
abundance of true-wealth resulting from sacrifice, investment, and conviction
to redefine our respective cultures, and to inspire and reward practiced
principles of durable success. Then, and
only then, shall it become truth in the hearts and minds of those who so choose
to live and define their destiny by such systems of impartial laws and
equity. Such naturally inherent freedoms of liberty,
derived from a reconstitution of incorruptible architecture, shall provide the
most practical means by which to settle all matters and affairs of humankind
both at home and abroad. The result of
which shall allow individuals and nations to evolve and flourish of free will,
liberty, and justice for all, under a set of inalienable universal laws of
reason, sensibility, prudence, and everlasting utility. J.W Smith’s Economic Democracy
/ Global Trade / Adam Smith’s Wealth
of Nations Collectively, we must reconsider the current
nature, intent, ultimate consequence, and present outcomes of that which has
been institutionally engrained as the ever-essential imposition of our
so-called modern-day “global economy.” Such trade and global commerce has been
ongoing for centuries, and has most often resulted in perpetual wars, empire,
and the incessant pursuit of highly concentrated elite power and untold wealth
for the privileged few whom occupy seats at various docks of receivership
either by force, treaty, entanglement, or alliance. To whom does this particular modern-day brand
of global economy and commerce truly benefit,
and at what cost? What are the long
standing (do-no-harm/greater good) merits and distinct advantages or
disadvantages of such trade agreements?
Who are the governing (non-sovereign) authorities by which such
agreements are crafted, signed, mediated, and enforced? What factions and concentrated interests are further
empowered by such treaties and alliances, and which broad factions are most weakened?
Should not such treaties be made to strengthen
nations rather than stifle them with inordinately high levels of unsustainable
dependency on those with whom they treat? Should not nations first rise to, and then wholly
maintain their optimal sovereign self-sustaining potential prior to casting
aside all such autonomous achievements in lieu of allowing behemoth
non-sovereign multi-national entities and banking cartels to monopolize, and
thus dictate, shape, and direct the fate of all peoples and nations? The following, is a short list of some
prevailing concepts for evaluation in reshaping monetary systems as described principally
by proponents of what has been categorized as “Economic Democracy.” Though we do not agree with them all, if
nothing else, such philosophic exercise in pragmatically examining more
fundamentally sound economic/political/foreign-policy alternatives, may lay the
initial groundwork for vigorous debate in shaping more perfect unions and
independence for all nations at some point in our collective future.
Regional Trading
Currencies According to Thomas
H. Greco, Jr., author of New Money for Healthy Communities,
"The pinnacle of
power in today's world is the power to issue money. If that power can be democratized and focused
in a direction which gives social and ecological concerns top priority, then
there may yet be hope for saving the world". In this regard, many
proponents of Economic Democracy recommend the regionalization of currencies.
Some experts suggest that, "under the Bretton
Woods system, the Federal Reserve acted as the world's central bank.
This gave America enormous leverage
over economic policies of its principal trading partners". Other analysts add
that developing nations are susceptible to exploitation mainly because they
have no independent monetary system, using the U.S. dollar instead. This feeds the fractional reserve banking
system, operated by the U.S., Canada, Europe, and Japan
(imperial-centers-of-capital). Developing nations pay
heavily for this service through market interest rates and because banking
profits and property ownership immigrate to financial centers elsewhere. According to J.W. Smith, "Currency
is only the representation of wealth produced by combining land (resources),
labor, and industrial capital". He claims that no country is free when
another country has such leverage over its entire economy. But by combining their resources, Smith says
developing nations have all three of these foundations of wealth: By peripheral nations
using the currency of an imperial center as its trading currency, the imperial
center can actually print money to own industry within those periphery
countries. In contrast, by forming
regional trading blocs and printing their own trading currency, the developing
world has all four requirements for production; resources, labor, industrial
capital, and finance capital. The wealth produced provides the value to back
the created and circulating money. Smith further explains
that developed countries need resources from the developing world as much as
developing countries need finance capital and technology from the developed
world. Aside from superior military
power of the imperial centers, the undeveloped world actually has superior
bargaining leverage. With their own trading
currencies, developing countries can barter their resources to the developed world
in trade for the latest industrial technologies. Barter avoids "hard money
monopolization" and the unequal trades between weak and strong nations
that result. Smith suggests that
barter was how Germany resolved many financial difficulties "put in place
to strangle her", and that "World Wars I and II settled that trade
dispute". He claims that their
intentions of exclusive entitlement are clearly exposed when the imperial
centers must resort to military force to prevent such barters and maintain
monopoly control of others' resources. In sum, let there be no mistaking; The modern-day collaborative cartel of
Global Central Bankers are collectively far more powerful than the individual Governments
whom they are assigned to represent and respectively finance - and as such -
they currently possess the pinnacle of infinite powers sufficient to quietly
RULE THE WORLD in no uncertain terms
We get what we
vote, hold to account for, and demand from our public servants/stewards Understandably, a growing number of Americans
are utterly perplexed as to why one of America’s finest Senior Republican
candidates for president - Congressman Ron Paul–
has yet to be vindicated, and comprehensively recognized by mainstream media forcing
widespread debate and exhaustive public discourse, for his strident, visionary,
and unequivocally accurate DAY-ONE judgments, assessments, and foreknowledge of
cause, effect, and practical remedy to the innumerable matters of crisis and
urgency, which currently threaten the present and future State of our Union.
Joseph Russo |
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