Debt Deflation: “The Adjustment To Reality Is Likely More Violent Than Anything Seen In The ’70s”
The theme of this article is debt deflation. How likely is it that the downturn in broad money supply will continue, and if so, why? And what are the consequences?
The major central banks have increasingly resorted to interest rate management as their principal means of demand management. Yet history shows little correlation between managed interest rates and the growth of credit, which is represented by broad money statistics.
It can only be concluded that central banks have finally lost control over interest rates, and that they are now being driven by the contraction of commercial bank credit. The great unwind of the credit bubble, which was four decades in the making, is being driven by a growing fear of lending risk among bankers, exacerbated by the recent failures of a few significant banks. For bankers, it is no longer a time for greed, but for fear and a reduction of their debt obligations.
~~~~~~~~~~~~~~~~~~~~
In case you missed it, the title of this article comes from the graphic above. There is an important point that the author missed: the only way out of this economic collapse is war. Unfortunately, this war will not consist of small skirmishes or proxy wars. This war may well be a nuclear conflagration in which the United States will lose.
I have often stated the hope is not a strategy. People that I have asked concerning a world war usually respond with “we have weapons that you don’t know about”. Not only is this a misplaced hope, it is based on no facts. While the rest of the world that is aligning against us has been building and surpassing our military in both manpower, equipment and technology, our “leaders” have been funding gender fluid propaganda, protecting their brown shirts (Antifa) and transurrectionists, poisoning our people and military with mRNA “vaccines” and attacking free speech as misinformation. Their roosters have now come home and we are the ones who will pay the price for their treason, immorality, greed and enslavement.
No one has all of the answers but we can still prepare. Food, seeds, fertilizer, precious metals and tools are all more valuable than fiat dollars sitting in a bank collection 0.01% interest. Place your trust in the Lord with all of your heart and listen to the examples that He has laid out in the Bible concerning preparations and charity.
David DeGerolamo
Do I hear an, AMEN!
Most important prep a good relationship with your Creator.
The last paragraph is excellent, but I would add Trusted Friends are often more valued than all the physical preps you can have.
Ecclesiastes 4 : …11Again, if two lie down together, they will keep warm; but how can one keep warm alone? 12And though one may be overpowered, two can resist. Moreover, a cord of three strands is not quickly broken.
God is the 3rd strand.
Agreed, I have built up a core of friends over the past 17 years. They may not always think as do I; but they and I have always been of mutual benefit.
Thank you
Agreed 95%…5% God helps us get rid of the evil ones
And this is why the WEF’S sole purpose was to get the mentally handicapped Criminal Marxist pro home globo pedophile to finish line with massive voter fraud so the work of the clintons the bushes and Obongo the homo globalist began. There is one great consolation here, when the dollar goes fully of the rail and no nation wants it, this puts our leaders and the entire corrupted bureaucracy in a predicament. they won’t be able to take bribes, take hush money, steal our tax dollars from overseas and get kickbacks like they have all been doing for years and being sent into their own offshore bank accounts with no one watching them, so they believe. this all goes away when the petrol dollar is officially gone, and the government criminals will all pay the price very heavily for their sedition against their nation and constitution.
God will not be mocked like they have all been doing, the wicked set snares for the people of God continually, but this time around God will make them fall into that same snare they set for us.
I’m confused Phil. Of what subtle pleasure (in German Schadenfreude) is that the thieves and politicians (but I repeat myself) is worth anything to the folks who will LOSE their Lifes work in Retirement Accounts and such?
The scum of CONgress (spelling intentional) has already transferred much of their wealth outside the US Dollar. THEY KNOW what they are Doing in destroying the US Dollar.
God is not mocked but God’s time frame isn’t Man’s timeframe.
Proverbs 24:17-18 NIV
Do not gloat when your enemy falls; when they stumble, do not let your heart rejoice, or the LORD will see and disapprove and turn his wrath away from them.
As Proverbs 23: 3 A prudent person foresees danger and takes precautions. The simpleton goes blindly on and suffers the consequences.
It might be useful to read what happened in Weimar Germany when they destroyed the German Mark with hyperinflation. A wise person might find lessons how to protect their families in that story.
45060880-When-Money-Dies.pdf (thirdparadigm.org)
Protect your family and trusted friends. In times of trouble, they are more valuable than Gold.
I have to admit that When Money Dies is long winded almost Victorian in nature.
However just reading chapter 2 will cover the basics of what happened to the Citizens of Germany.
Coming SOON to a Town or City near you.
Tempus Fugit
My wife and in-laws, lived through the Wiemar inflation and communism, I still have a 50,000,000 DM note printed on one side.
It is sure to get ugly, get rid of most of your money and buy real things!
Tempus fugit!
Yep, Lawnmore in late Weimar Germany they “Saved Money” by printing only ONE side of their multi-million-mark bills.
But just think! Modern Marvels with E-dollars they can save even MOAR money by eliminating Dirty Nasty Ole Cash…
“Controlled Demolition” (Yeah, like ANYTHING this bunch of chimpanzees has EVER gone to their Plan) of the economy to force us into a Chinese Social Credit and E-Dollars.
Trusted friends will again be wealth, just like in the time of Soloman.
Iam old enough and most likely older than you are of what occurred in Fascist nazi Germany. Did your family come from there or fascist Italy at the time, most likely not so you might want to speak with other people who knew other people who lived thru that lie and debauchery that Hitler’s Germany brought down on Europe, as well as Italy and on our family. you were not there, and do you have firsthand knowledge of what happened and how bad it truly was. do you even know the brutality of what occurred and how many of my family members were brutally murdered? Then my family along with other folks began fighting back at every turn to take their weapons from them and their equipment as well, to let them feel the pain they inflicted on innocent people. I do agree with you about the scum of our leaders in congress as well as the bureaucracy who are destroying our nation, but you do not know or understand what war truly is until you talk with kin who knew people who lived thru this. As for our economy this was all staged implosion on our dollar to destroy the sovereignty of the U.S. and make us subservient to that nazi Jew Schwab ( A RothchIld Whore in their family tree) who controls the wicked WEF as well as the WHO.
The wicked are always spinning snares for Gods elected to fall into just as in the days of King David, but God uses those same traps and lets the enemy fall into their snare they set for us and that is the point we are at now. this nation is going down, but there are many folks I still know that are going to do what is right and try to stand firm in the face of aggression, anything else in my eyes is treason.
Picked a bad week to give up quaaludes.
Love it.