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Clifford Taylor Fleischbein has been in full-time self-employment since 1975 earning revenue as a entrepreneur consultant, with the most recent passage of twenty years generating income from On-demand services for Information technology consulting, Database Management, Marketing, Change Management, and Customer relationship management job projects.
Economy, Politics

DONG – History and Revaluation

WHY THE VIETNAMESE DONG WILL RESET

FEBRUARY 13, 2014
Economic Potential and Modernization
By JC Collins

Also see the post Vietnamese Dong and a Possible Currency Crisis

Vietnam Modernization

Vietnam has achieved a truly remarkable thing.  While being a dumping ground for U.S. dollar inflation and having its own currency consistently devalued, Vietnam has managed to produce one of the fastest economic expansions and modernizations in the history of the world.  It’s a model of modernization built upon the experience and lessons of China, Korea, and other Asian countries which developed before it.

The modernization of Europe and the Americas took centuries.  The modernization of China was achieved in approximately 50 years.  Compare that to the astonishing modernization which only began in Vietnam in the mid 1990’s.  In less than 20 years, the country has turned from a destitute population on the verge of starvation to an expanding middle class that is considered by all economic indicators to be the fastest such expansion in the world.

In true Confucian fashion, Vietnam utilized the tactics of economic warfare deployed against it as a tool of economic development.  The exchange rate of the dong was devalued on a continually basis to encourage use of the U.S. dollar within the country.  This ensured another market for the dollars inflation to be sent to avoid a hyper-inflation situation back home.

In addition, the Vietnamese understood the economic potential of their resources and trade capability.  The strategy was one of patience and long term gain for short term detriment.

Vietnam is much more than the story of an American war of aggression or gold theft.  For our purposes here, we will start our brief history with the Multilateral Co-Operation Agreement made between the NATO Countries (except Ireland) in January of 1950.  The purpose of this agreement was to control the type and level of trade between the western world and the communist world.

Vietnam War Victims

South Vietnam held the largest agricultural potential while the North held most of the heavy industry, such as coal, steel, tin, and phosphate fertilizer.  The full potential of the offshore oil and gas fields was still unknown.

There were many reasons for the western involvement in Vietnam which began many years before, with the French, and later America.  The threat of communism was a smoke screen for something else which we will not touch on here as the scale of it will only serve to dwarf this essay on currency revaluation.  There is also the Yamashita gold theft and recovery attempt which we touched on in America’s Karma and World War Two Gold Theft.  During the time period between WW2 and the dissolution of the Soviet Union on December 26, 1991, Vietnam depended on economic subsidies from the larger communist state.  When these subsidies ended, trade with the United States became very important for Vietnam.

Over the years there have been many variations of the dong currency with varying exchange rates.  The different forms of structure to the dong have been the following:

  1. Commercial Currency
  2. Non-Commercial Currency
  3. Official Rate
  4. Convertible Currency
  5. Effective Rate
  6. Auction Fixing (this structure becomes important in 1991)

It’s too much too breakdown and cover each currency type and its value fluctuations over the years so we will focus in on the important dates and valuations.

On December 18, 1971, after the U.S. dollar devaluation, the official exchange rate of the dong was 2.71 per 1 dollar.

On February 13, 1973, after another U.S. dollar devaluation, the official exchange rate was 2.44 per 1 dollar.

On May 3, 1978, a uniform dong was introduced at an exchange rate of 2.17 per 1 dollar.  It’s interesting to note that during this time period the dong to dollar exchange rate was maintained within a narrow margin while the SDR rate for the dong was allowed to fluctuate.  This SDR fluctuation was a foreshadowing of things yet to come in our present time.  See SDR’s and the New Bretton Woods.

On July 6, 1981 the exchange rate was VND 9.045 per 1 dollar.

On Sept 14, 1985, the State Bank of Vietnam was authorized to issue a new dong currency and withdraw the old ones from circulation.  One old dong got you 10 new dong. The new exchange rate was set at 15 dong to 1 dollar.

Devaluation of the dong continued throughout the 1980’s which was actually encouraging what little trade Vietnam participated in.

On March 13, 1989 the multiple currency structure as outlined above was ended and a unified currency structure was put in place.  The commercial dong and non-commercial dong were merged and the exchange rate was set at 4500 dong per 1 dollar.  This was 9 months before the Berlin Wall began its fall which lead to the eventual collapse of the Soviet Union.  Remember that Vietnam depended on subsidies from the U.S.S.R.  Perhaps this constitutes a slow transition from subsidies to light import and exports.

On August 30, 1991 there was put in place a method of foreign exchange auction, which was only allowed in U.S. dollars, to support banks and trade organizations helping economic interests needing such foreign exchanges.  This move created the inflation dumping grounds for the U.S. dollar.

The rate of the dong today is approximately 21,000 to 1 dollar.

Back in the year 1975 Vietnam wanted to exploit its rich agricultural and timber resources in the South and develop its coal production in the North, as well as producing oil and gas from its offshore fields.  Unfortunately for Vietnam they were under a trade embargo from the United States.  The Export Administration Act of 1969, amended in 1979, restricted the export and/or re-export of technology which originated in America.  The embargo was only on North Vietnam at first but was extended to the South in 1975.

Boeing B-52D

Post war Vietnam is one of only a handful of countries that did not experience a reconstruction boom after hostilities ended.  In fact, they experienced a drastic economic deterioration.  Through economic sanctions, a ban on imports to Vietnam produced a shortage of foreign exchange capital required for the reconstruction process.   Sanctions also lead to extremely high unemployment in the export industries and a reduced industrial capacity.

A similar ban on exports deprived the country of the essential commodities required for development and growth.  It also denied Vietnam access to foreign capital markets to raise funds for building factories and other industrial facilities.

Exports to communist countries were considered a violation of America’s strategic interest.  The embargo even blocked aid from the International Monetary Fund and the World Bank.  Vietnam, to its credit, did the only thing it could do by focusing on exporting natural resources and cheap labor to a handful of countries that stood in violation of the embargo.  This was a bare sustenance strategy by Vietnam which did not eliminate starvation and destitution in the country.

Throughout this time period Vietnam was subjected to typhoons, floods, and droughts which served to severely hinder its attempts at food grain production.  This weather caused considerable damage to Vietnam’s agricultural lands.

Vietnam Poor

It brings into question the use of weather manipulation weapons which may have been used against the country.  For those who doubt the reality of such weapons, I suggest you ask yourself why Defense Secretary William Cohen stated the existence of weather and earthquake causing weapons in his speech given at a 1997 Conference on Terrorism in Athens, GA.  I will leave this area to the reader for further exploration.

When the Cold War finally ended many American business interests wanted the sanctions lifted immediately so as to capitalize on the virgin market.  But the U.S. would not lift them.

But with the low exchange rate of the dong to dollar, other countries couldn’t resist the lure of doing business in Vietnam and making the windfall on the other end.  Countries that began investing in Vietnamese imports and exports were:

  1. Britain
  2. France
  3. Australia
  4. Belgium
  5. The Netherlands
  6. Sweden
  7. South Korea
  8. Taiwan
  9. Hong Kong
  10. Thailand
  11. Japan (unofficially)

It got to be that the United States was the only country that still imposed sanctions on Vietnam.  The U.S. dollar was being side stepped in trade by the above countries in areas such as:

  1. Oil
  2. Fishing
  3. Seafood Processing
  4. Textiles
  5. Garment Making
  6. Tourism
  7. Hotels
  8. Telecommunications

It wasn’t long before the United Stated used its influence and power within the International Monetary Fund to devalue the dong even further while lifting the sanctions.  The intent of this move was to ensure that Vietnam’s trade would be balanced in dollars and that the value of the dong would stay low encouraging the Vietnamese people to use the dollar instead of their own currency.  This is the blueprint for dollar inflation dumping throughout the world.

The sanctions themselves were lifted in stages:

  1. December, 1991, travel to Vietnam was allowed.
  2. October, 1992, allowed for telecommunication links with Vietnam, commercial sales for necessities, as well as lifting restrictions on non-profit organizations and authorized the signing of pre-embargo lifting contracts.  (read back door deals for American companies)

On January 27, 1994, the U.S. Senate voted to lift sanctions by a vote of 62 to 38.  Clinton officially ended the embargo on February 4, 1994.  The reason given was the 2238 MIA soldiers from the war.  This was an absurd position as Vietnam itself had over 100,000 missing in action and the country itself was left bombed and destitute.

On October 14, 1994, forex markets began trading the dong against 6 other currencies within a range set by the State Bank of Vietnam.  This in essence is the structure that the dong trades within today.

It was a combination of events that lead to the dropping of sanctions.  First the collapse of the Soviet Union created an opportunity for Vietnam to get off subsidies and begin real trade.  This process was painful but the end results lead to the rest of the world recognizing Vietnam’s true economic growth and development potential, which in turn forced America to lift the embargo for the purpose of ensuring that the dollar wasn’t left out of the trade balancing.

Vietnam in turn accepted the devaluations of the dong as a tactic to attract the foreign investment in its exports and imports.  Vietnam’s number one goal was development, modernization, and integration into the world economy.

Vietnam McDonalds

Today, Vietnam is one of the fastest growing economies in the world.  It has the fastest growing middle class and its GDP to debt ratio has been maintained within the 30% to 35% range for years.  Its oil and gas fields are being developed, it’s the second largest exporter of rice in the world, Samsung is moving its factories into the country, Starbucks is opening locations, and in fact McDonald’s just opened their first location in the country just last weekend.

The list of economic milestones for Vietnam is growing by the day.  The amount of U.S. dollars held in the country’s foreign reserves has been decreasing for the past few years and the import of gold is staggering.  As we presented previously, the Shanghai Gold Exchange through agreements with China will increase the gold holdings in many Asian countries by way of gold vault storage and trade agreements.  The Vietnamese government itself is making known its intent to monetize all the private gold in the country to support the value of the dong.

The hard working Vietnamese people will require a strong and stable currency to ensure reliable labor energy wealth storage.  It’s only a matter of time now before the I.M.F. 2010 Code of Reforms are passed through the U.S. Congress and the Executive Board of the I.M.F. is restructured to reflect the economic reality of the world today.  When this happens the dollar will lose its reserve currency status and the dong will be released from it peg.  When this happens I would suspect that the value of the dong, not officially recognized today as it has been stretched like elastics, due to the economic growth and develop, and will snap back to its true economic value, which is reflected in those very same growth and development indicators.

What will the rate be?  Based on the upcoming SDR composition and allocation system of the International Monetary Fund, who can say with any measure of reliability, there are too many factors which need to be considered and weighed against others factors.

There is one other area where Vietnam has far advanced on the United States.  And that is in limiting the rent seeking abilities of the small ruling elite within the country.  Trade and business between the provinces within Vietnam have been cleared of corruption for the most part and a system of contested politics is in place.  This system of contested politics is very real and not the side show circus of the western world’s political buffoonery.  At the end of 2013 Vietnam executed two of the top bankers in the country for corruption and crimes against the people.    – JC Collins

Also see:

SDR Supplemental:  VND or VNN?  IQD or IQN? 

The New Exchange Rate System – Posted Feb 19, 2014.

The American Dollar is Dumping Vietnam – Posted May 16, 2014.

Vietnam Seeks Dong Stability as Dollar Nears Collapse – Posted July 1, 2014.

A Global Currency Reset – Posted May 28, 2014.

7 THOUGHTS ON “WHY THE VIETNAMESE DONG WILL RESET”

  1. “At the end of 2013 Vietnam executed two of the top bankers in the country for corruption and crimes against the people.”

    Coming to a country near you.

  2. Very informative article. Please could you explain what you mean by ‘inflation dumping ground’ – excuse my ignorance. Also can you direct me to a website that explains what you allude to as the real reasons for the Vietnam. So enjoy your writing. Thank you

  3. The images you attach to this excellent article are haunting and are direct in revealing just some examples of Western aggression in its most egregious form. It’s time all of America honor Vietnam and its amazing and resilient people.

  4. Wow, great article, how can one be so evil, what a turn around for this country, this was really back against the wall. As humans we are not to let poverty take place, when we can help!

Music

Little Wing (Live: Steve Vai, Orianthi and Joe Satriani

Little Wing preformed by Steve Vai and Friends. Steve uses one of Jimi’s guitars that Frank Zappa gave to his son Dweezil who rebuilt the guitar years after Jimi set fire to the Fender Stratocaster at the 1968 Miami Rock Festival. Again I’m sorry for the poor quality video I’m not a professional. Its amazing to see the turnout to honor Cliff!! We will be praying for Cliff over the next few months!

Music

Metamorphosis – Iron Butterfly (1971)

Iron Butterfly 2012 (THE FINAL PERFORMANCE) with Original founding members (In a Gadda da Vida)

Lee Dorman, bassist for Iron Butterfly, died on Friday December 21, 2012 at the age of 70, the Associated Press reports. According to a spokesman for the Orange County Sheriff’s Department, Dorman was found dead in a vehicle on Friday morning and may have been on his way to a doctor’s appointment.

Dorman was born in St. Louis, Missouri, in 1942. He joined the Southern California-based Iron Butterfly for its second and best-known album, In-a-Gadda-Da-Vida, which was released in 1968. The 17-minute title track helped the album sell more than 30 million copies, and a three-minute version of the song became a Top 40 hit.

2012 In Memoriam: Musicians We Lost
During Iron Butterfly’s temporary break-up in the 1970s, Dorman and guitarist Larry Reinhardt formed the metal-jazz fusion band Captain Beyond, with Rod Evans from Deep Purple. The group released three albums and had a radio hit with the 1973 song “Sufficiently Breathless.”

Frugal Living, Meditation, Un-Classified

25 Little Known Facts About Forrest Gump.

Forrest Gump, made in 1994, is heartbreaking, odd, and beautiful. Breath taking performances by a stellar cast of actors guarantees this film to be a delight every time.

1/25. Bill Murray, John Travolta and Chevy Chase turned down the role of Forrest Gump. Travolta later admitted that passing on the role was a mistake.

2/25. Tom Hanks’ younger brother Jim Hanks doubled for him in many of his numerous running sequences.

3/25. Tom Hanks signed onto the film after an hour and a half of reading the script but agreed only to take the role if the film was historically accurate. He initially wanted to ease Forrest’s pronounced Southern accent, but was eventually persuaded by director Robert Zemeckis to portray the heavy accent stressed in the novel and patterned his accent after Michael Conner Humphreys (young Forrest) who actually talked that way.

 

 

4/25. Tom Hanks wasn’t paid for the film. Instead he took percentage points which ultimately netted him in the region of $40 million.


5/25. When Forrest gets up to talk at the Vietnam rally in Washington, the microphone plug is pulled and you cannot hear him. According to Tom Hanks, he says, “Sometimes when people go to Vietnam, they go home to their mommas without any legs. Sometimes they don’t go home at all. That’s a bad thing. That’s all I have to say about that.”


6/25. The line, “My name is Forrest Gump. People call me Forrest Gump,” was ad libbed by Tom Hanks while filming the scene. Director Robert Zemeckis liked it so much that he decided to keep it in

7/25. With every transition of Forrest’s age, one thing remains the same – in the first scene of each transition he wears a blue plaid shirt.

8/25. Forrest and Dan’s Shrimp Emporium “Bubba Gump”, is now a themed restaurant in 33 locations around the world in the U.S., Japan, China, Mexico, Malaysia, Philippines, Indonesia and the UK. There is one in Orlando, Florida, at the entrance to the Universal theme parks, at the Anaheim Gardenwalk in walking distance from Disneyland Park in Anaheim, California in the Los Angeles area and at Pleasure Pier in Galveston, Texas.

9/25. When Forrest first learns to play ping-pong in the infirmary, he is told the trick is to “keep his eye on the ball” by another soldier. After that moment, whenever he is shown playing ping-pong, he never blinks.

 

 

10/25. The actor who plays the reporter on the scene when Tom Hanks visits Washington DC after his tour in Vietnam was, himself, an actual tourist from Atlanta, Georgia. He happened to be on Capitol Hill that day with his wife, and was asked to read.


11/25. Many of the extras in the hippie scene were actors from the Maryland Renaissance Festival, since the casting director Ellen Lewis realized that would be a good source of performers with long hair.


12/25. Gary Sinise’s lower legs were wrapped in a special blue fabric that allowed them to be digitally removed later.

13/25. During the ping-pong matches, there was no ball; it was entirely CGI, animated to meet the actors’ paddles.

14/25. The running scene was inspired by an actual event. In 1982, Louis Michael Figueroa, aged 16, ran from New Jersey to San Francisco for the American Cancer Society, unknowingly inspiring a line for Forrest Gump’s famous run on the silver screen. “I just put one foot in front of the other,” it goes. “When I get tired I sleep. When I get hungry I eat. When I have to go to the bathroom, I go.”

15/25. The park bench that Tom Hanks sat on for much of the movie was located in historic Savannah, Georgia, at Chippewa Square. The fiberglass bench he sat on, since then, has been removed and placed into a museum to avoid being destroyed by bad weather, or possibly stolen. The church where the feather first falls was about 100 yards just down the street from the bench. To this day, the bench is held in the Savannah History Museum, Savannah, Georgia.

 

 

16/25. Gump’s Medal of Honor ceremony uses the footage of the actual ceremony for Sammy L. Davis, who was awarded the Medal of Honor on 19 November 1968 by President Lyndon Johnson for his actions in Vietnam a year earlier. Tom Hanks’ head was superimposed on Davis’ body.

17/25. When Lt. Dan Taylor first meets Forrest and Bubba in Vietnam, he says, “You must be my FNGs”. Generally speaking, this stands for “F*ckin’ New Guys”.

18/25. Every still picture of Forrest during this film shows Tom Hanks with his eyes closed.

19/25. Robin Wright was sick with a cold while shooting the nightclub scene. In spite of this, she was still able to perform her own singing during a non-stop twenty-four hour shoot in which she was nearly nude except for her guitar.

20/25. David Alan Grier, Ice Cube and Dave Chappelle turned down the role of Bubba. Cube refused to play someone with a disability and Chappelle thought the movie would bomb. Chappelle has since admitted to deeply regretting not taking the role.

21/25. Kurt Russell has said that he did the voice of Elvis Presley (uncredited) in the film, reprising his role from Elvis (1979).

22/25. The shrimp boat used in the film now resides in the moat surrounding the Planet Hollywood restaurant in Downtown Disney, at the Disney World Resort in Florida. Also, one of the ping-pong paddles used in the film is signed by Tom Hanks and hung up on one of the walls inside the restaurant.

 

 

23/25. On the day that Tom Hanks shot the football running scenes he had been suffering from influenza.

24/25. Sally Field is only ten years older than Tom Hanks.

25/25. When this film became wildly successful, talk of a sequel naturally arose. However, at the time, Tom Hanks adamantly refused to work in any sequel (and making the sequel with another actor was not a consideration).

Humor

Hiring KIOSK Ambassadors!

Now Hiring:

KIOSK AMBASSADORS!

Red Box kiosk ambassadersRedbox is looking for people who:
• Like movies and games
• Love sitting in one place for 8+ hours
• Enjoy a very, very small workspace

Requirements:
• Must be able to think “inside the box”
• Not afraid of the dark
• Skilled at stacking discs
• Yoga experience recommended

Get $1 OFF any rental
for the 1st night
with the promo code:

APRIL FOOLS

VALID ONLINE AND TODAY ONLY.

Humor, Meditation, Un-Classified

Age 75+ Long-Term Care Plan: Medicare – Part G – Nursing Home Alternative

Medicare – Part G – Nursing Home Plan
MediCare with Plan G (gun)

A zero premium, no deductible Long -Term Health Care Plan

If you are an older senior citizen (75 or older) who can no longer take care of yourself and need Long-Term Care, but the government says there is no nursing home care available for you, what can you do?

Opt for Medicare Part G.

Part G gives the older senior citizen (75 or older) a Gun (Part G) and one bullet. You are allowed to shoot one worthless politician. This means you will be sent to prison for the rest of your life where you will receive a roof over your head, central heating and air conditioning, three meals a day, cable TV, a library, and all the health care you need including dentures, glasses, hearing aids, new hip, knees, kidney, lungs, heart or sex change. They are all covered!

As an added bonus, your kids can come and visit you at least as often as they do now. Who will be paying for all of this? The same government that just told you they can’t afford to provide nursing home care for you.

This plan allows you to get rid of a useless politician, and as a prisoner you don’t have to pay any more income taxes!

Music

Spirit In The Sky

Norman Greenbaum

When I die and they lay me to rest
Gonna go to the place that’s the best
When I lay me down to die
Goin’ up to the spirit in the sky
Goin’ up to the spirit in the sky
That’s where I’m gonna go when I die
When I die and they lay me to rest
Gonna go to the place that’s the best

Prepare yourself you know it’s a must
Gotta have a friend in Jesus
So you know that when you die
He’s gonna recommend you
To the spirit in the sky
Gonna recommend you
To the spirit in the sky
That’s where you’re gonna go when you die
When you die and they lay you to rest
You’re gonna go to the place that’s the best

I’ve been a sinner Yes I’ve  sinned
But I got a friend in Jesus
So you know that when I die
He’s gonna set me up with
The spirit in the sky
Oh set me up with the spirit in the sky
That’s where I’m gonna go when I die
When I die and they lay me to rest
I’m gonna go to the place that’s the best
Go to the place that’s the best

Music

Money Is Coming To Me

Money is coming to me
Money is coming to me
Money keeps coming to me
Money is coming to me

Money is coming to me
Money keeps coming to me
Money is coming to me
Money keeps coming to me

Money is coming to me
I just feel it, and i believe
It’s coming to me now,
And I’m not worried about how, O’Yeah
Money, is coming to me,

The Universe is working for me,
I just feel it, and i believe
Is working for me now,
And I’m not worried about how, O’Yeah
Money, is coming to me,

More then enough to live,
More then enough to give,
More then enough to share,
Feel like it’s already here,

More then enough to shop,
More then enough to drop,
More then enough to save,
There’s plenty left over to give away.

Money is coming to me
I just feel it, and i believe
It’s coming to me now,
And I’m not worried about how, O’Yeah
Money, is coming to me,

The Universe is working for me,
I just feel it, and i believe
Is working for me now,
And I’m not worried about how, O’Yeah
Money is coming to me, well

More then enough to live,
More then enough to give,
More then enough to share,
Feel like it’s already here,

More then enough to shop,
More then enough to drop,
More then enough to save,
There’s plenty left over to give away.

Money is coming to me
I just feel it, and i believe
Is coming to me now,
And I’m not worried about how, O’Yeah
Money, is coming to me,

Come on,…come on, come on, come on,

I believe it
I just feel it, and i believe,
Is coming to me now,
And I’m not worried about how, O’Yeah
Money is coming to me

Come on,…come on, come on, come on,

I believe it, and I receive it,
And life is already here….

Economy

Reformed Monetary Policies for the 21st Century

Autonomous monetary policies cannot provide efficient means of directing the financial destiny of any nation.  The interconnectedness of the international financial and monetary systems are such that changes in one area will have a dramatic and sometimes negative reaction in another area.

The dynamic between America’s negative balance of payments and China’s huge trade surplus are signs of this relationship.  The large imbalances in the international framework from using the national currency of one nation as the global reserve asset has been the leading cause of poverty and ineffective income distribution worldwide.

The necessary reforms to address this global poverty and disparity Reformed-Monetary-Policyin income distribution could be considered multilateral monetary reforms.  These reforms are focused on three main areas, which are:

  1. Exchange Rate Adjustments
  2. Money Supply Adjustments
  3. Adjustments to Controls on Foreign Capital Flows

Foreign capital flows are the main mechanisms which transfer capital between trade deficits and trade surpluses.  The other two components are used in conjunction to determine the volume and pace of the third.

For any one nation to enact autonomous monetary policies would be counterproductive to the realities of the world today.  At any one time only two of the three areas above can remain autonomous.  This means that there will always be one monetary policy which cannot be autonomous and will remain connected to the larger macroeconomic multilateral framework.

It is this one area which will influence and force change on the others.

An example of this dynamic can be explained by considering the condition of interest parity.  Any nation which holds its domestic currency at a fixed exchange rate with an outside currency, or other exchange rate arrangement, while maintaining a balanced mobility of capital, will find that its interest rate policy will be decided through arbitrage activity.

This condition of interest parity functions across borders and prevents any one nation from maintaining autonomous monetary policies.  The recent interest rate increase by the Federal Reserve and its corresponding effects upon the international monetary system can be considered proof of this dynamic.

As such, it is impossible for any nation to maintain independence and autonomy on:

  1. Fixed Exchange Rates
  2. Money Supply Adjustments
  3. Unregulated International Flows of Financial Capital

Being that the United States dollar has held the title of international reserve unit of account since the end of WW2, it was problematic and inevitable that massive global imbalances would take place.  These imbalances have led to enhanced poverty around the world and caused inefficient income distribution between nations.

Not to mention the large trade deficit which America now holds, and the massive loss of domestic jobs.

Each nation can be interdependent in that its domestic fiscal policies are aligned to capitalize on the effective arrangement and implementation of macroeconomic monetary policies.  Such changes are good for the Unites States and other nations.  The toll which ineffective monetary policy has had on the US is obvious in the loss of factories and jobs, and the huge trade deficit.

This will change with adjustments to the international framework through the implementation of the three monetary policies described above:

  1. Exchange Rate Adjustments
  2. Money Supply Adjustments
  3. Adjustments to Controls on Foreign Capital Flows

Any analysis and prediction on domestic economies or the international economy must consider these larger monetary adjustments in order to be considered accurate or thorough.

The US political establishment understands that the dollar will need to depreciate and that this will bring back factories and jobs as American made goods become affordable once again.  This will boost domestic growth and lower the debt-to-GDP ratio.

Monetary policy reform is not just good for the United States.  It is meant to be good for all nations.  The transition from the unipolar dollar based framework to the multilateral monetary reform based framework will be volatile.  We have already experienced this over the last year or so, and will experience more yet before the transition is complete.

Understanding the dynamics of monetary reform is fundamental to understanding the transition itself.  – JC Collins

Source: http://philosophyofmetrics.com/just-what-is-monetary-policy-reform/

Related:

https://finance.yahoo.com/news/trump-says-global-currency-moves-cost-u-jobs-132155544–business.html

 

Meditation, Un-Classified

The Murphy Twins are Drunk Again

drunkagain

Two men were sitting next to each other at Murphy’s Pub in London.

After awhile, one bloke looks at the other and says, ‘I can’t help but think, from listening to you, that you’re from Ireland’

 The other bloke responds proudly, ‘Yes, that I am!’

 The first one says, ‘So am I! And where about from Ireland might you be?’

 The other bloke answers, ‘I’m from Dublin, I am.’

 The first one responds, ‘So am I!’

 ‘Mother Mary and begora. And what street did you live on in Dublin ?’

The other bloke says, ‘A lovely little area it was. I lived on McCleary Street in the old central part of town.’

The first one says, ‘Faith and it’s a small world. So did I! So did I! And to what school would you have been going?’

The other bloke answers, ‘Well now, I went to St. Mary’s, of course.’

The first one gets really excited and says, ‘And so did I. Tell me, what year did you graduate?’

The other bloke answers, ‘Well, now, let’s see. I graduated in 1964.’

The first one exclaims, ‘The Good Lord must be smiling down upon us! I can hardly believe our good luck at winding up in the same place tonight. Can you believe it, I graduated from St. Mary’s in 1964 my own self!’

About this time, Vicky walks up to the bar, sits down and orders a drink.

Brian, the barman, walks over to Vicky, shaking his head and mutters, ‘It’s going to be a long night tonight.’

Vicky asks, ‘Why do you say that, Brian?’

‘The Murphy twins are drunk again.’

Meditation, Un-Classified

Quickly Destroy Cancer Cells With Plant “Wormwood”

Plant “Wormwood” is capable of rapid destruction of cancer cells

Sunday February 28, 2016 – 20:30
Artemisia_annua_28022016.jpg

BAGHDAD (obelisk) – Scientists from the University of California discovered that wormwood (Artemisia) is capable of destroying 98 percent of the cancer cells in the body in just 16 hours.

This discovery made the experts are working on creating a medical preparation by which to eliminate the disease Completely cancer.

The experts discovered that wormwood produces a artemizinin where clinical tests have shown that a dose of this medication is enough to destroy 98 percent of cancer cells in the body within 16 hours.

In the opinion of scientists, when you add iron to 100 percent of this preparation will destroy cancer cells in the body and prevents the emergence of new cancer cells.

It should be noted that the use alone could eliminate 28 percent of the cancer cells in the body wormwood plant Holi, but when you add the iron component of the mix destroy all the cancer cells in the body. In addition to the tests showed that this plant does not affect healthy cells.

Artemizinin material used in the prevention of malaria, but scientists have proved that the plant wormwood Holi is very effective in the fight against cancer.

Holi wormwood plant Artemisia annua, a type of wormwood plants, fragrant essential oils and custom height ranges between 50 and 150 cm, and his papers Khamlih blade and Qnabath transparent and veins striking green.

Ozahrarh and continue in the months of July and August, and spread in various parts of the world.

http://translate.googleusercontent.com/translate_c?depth=1&ie=UTF8&rurl=translate.google.com&tl=en&u=http://www.akhbaar.org/home/2016/2/207785.html&usg=ALkJrhgxAbmG_wBOhAZFAHQzDK6aE12WOA
Music

1984 – No More Lonely Nights (Sir Paul McCartney) – Maverick married 2/14/1985

Give My Regards to Broad Street:
No More Lonely Nights

The critics hated this film and the public stayed away from it…too bad, I find it fascinating and Paul’s fans like me still love it….and the music was great as always.

Give My Regards to Broad Street (Part 1)

Give My Regards to Broad Street (Part 2)

Give My Regards to Broad Street (Part 3)

Give My Regards to Broad Street (Part 4)

Give My Regards to Broad Street (Part 5)

Give My Regards to Broad Street (Part 6)

Give My Regards to Broad Street (Part 7)

Give My Regards to Broad Street (Part 8)

Meditation

Italian Altar Boy Confession

Priest-and-young-boy-confession

‘Bless me Father, for I have sinned. I have been with a loose girl.’

The priest asks, ‘Is that you, little Dominic Savino?’

‘Yes, Father, it is.’

‘And who was the girl you were with?’

‘I can’t tell you, Father. I don’t want to ruin her reputation.’

“Well, Dominic, I’m sure to find out her name sooner or later so
you may as well tell me now. Was it Tina Minetti?’

‘I cannot say.’

‘Was it Teresa Mazzarelli?’

‘I’ll never tell. ‘

‘Was it Nina Capelli?’

‘I’m sorry, but I cannot name her.’

‘Was it Cathy Piriano?’

‘My lips are sealed.’

‘Was it Rosa DiAngelo, then?’

‘Please, Father, I cannot tell you.’

The priest sighs in frustration. ‘You’re very tight lipped, and I admire that.  But you have sinned and must atone.  You cannot be an altar boy for the next four months.  Now, you go and behave yourself.’

Joey walks back to his pew, and his friend Franco slides over and whispers, ‘What’d you get?’

Joey says: ‘Four months vacation and five good leads.’

 

A parable to meditate on
for our politically correct society

An old man, a boy and a donkey were going to town.

The boy rode on the donkey, and the old man walked.

As they went along they passed some people who remarked:

“What a shame, the old man is walking, the boy is riding.”

The man and boy thought maybe the critics were right, so they changed positions.

Later they passed some people who remarked:

“What a shame, he makes that little boy walk”.

So they decided they’d both walk.

Soon they passed some more people who remarked:

“They’re really stupid to walk when they have a decent donkey to ride.”

So they both decided to ride the donkey.

They passed some people who shamed them by saying:

“How awful to put such a load on a poor donkey.”

The boy and the man figured they were probably right, so they decide to carry the donkey.

As they crossed the bridge, they lost their grip on the donkey, the donkey fell into the river and drowned.

The moral of the story:

If you try to please everyone,
you might as well kiss your ass goodbye.

 

Have a nice day!

Economy, Meditation

The Federal Reserve System and 12+1 Symbolism

Fed-Reserve-seal“A Federal Reserve Bank is a regional bank of the Federal Reserve System, the central banking system of the United States. There are twelve in total, one for each of the twelve Federal Reserve Districts that were created by the Federal Reserve Act of 1913.”  – From Wikipedia

“The number twelve frequently occurs among ancient peoples, who in nearly every case had a pantheon consisting of twelve demigods and goddesses presided over by The Invincible One, who was Himself subject to the Incomprehensible All-Father.  This use of the number twelve is especially noted in the Jewish and Christian writings.  The twelve prophets, the twelve patriarchs, the twelve tribes, and the twelve Apostles – each group has a certain significance, for each refers to the Divine Duodecimo, or Twelvefold Deity, whose emanations are manifested in the tangible created Universe through twelve individualized channels.” 

-Manly P. Hall, The Secret Teachings of All Ages

In the ancient mysteries there is a ritualistic procession which describes the path from confusion and despair to enlightenment and exultation.  This process places the individual, or groupings of individuals, such as nations, on a journey of hardship and suffering, only to come out the other end liberated and illuminated.

It is perhaps symbolic of the birth into the material world and onset of suffering and confusion which ensues.  When the righteous path is followed through life the spirit is able to rise up out of the ashes of despair and ignorance, and become one with the universal power of creation.

Or so the story goes.

In the song Carry on Wayward Son, the band Kansas sings:

“Once I rose above the noise and confusion, just to get a glimpse beyond this illusion, I was soaring ever higher, but I flew too high.”

Patience with the process of initiation in this life is a key element of the journey itself.  When we reach too high, and too far, we falter and fall victim to the entrapments of the false self.  Most stumble through this life never realizing that life itself is an initiation.

When we come to understand, and accept the reality that life is an initiation, the pieces begin to fit and purposeful meaning fills our hearts and minds with a quiet wisdom which does not need to be spoken.

Borrowing from Thomas Armstrong and his Human Odyssey: Navigating the Twelve Stages of Life, we find that each of our lives can be segmented into the following categories:

  1. Pre-birth: Potential
  2. Birth: Hope
  3. Infancy (Ages 0 to 3): Vitality
  4. Early Childhood (Ages 3 to 6): Playfulness
  5. Middle Childhood (Ages 6 to 8): Imagination
  6. Late Childhood(Ages 9 to 11): Ingenuity
  7. Adolescence (Ages 12 to 20) : Passion and Rebellion
  8. Early Adulthood (Ages 20 to 35): Enterprise
  9. Midlife Ages (Ages 35 to 50): Contemplation and Seeking
  10. Mature Adulthood (ages 50 to 80): Benevolence
  11. Late Adulthood (Age 80+): Wisdom
  12. Death and Dying: Life and Knowing, otherwise Gnosis

The obvious and immediate pattern which jumps out at us is that each subsequent period in the procession becomes longer in duration, when measured in years, or orbits around the Sun.  Each period also becomes deeper and richer in experience. But only when we’re paying attention.

Whether Armstrong intended this as a structural component of his thesis is not known, but I would like to add my own thesis – that consciousness is not allegorically static, in that consciousness perceives each period within the same volume of space. Or each period takes up the same volume of conscious space as the period before and the period after.

Allow me to explain.

When we’re children the days pass as fast as a dragonfly.  But as we age the days, months, and years are perceived to be moving at an ever quicker pace.  Life speeds up and goes by faster and faster as we get older and older.

But is time really speeding up?  Or is this the way consciousness breaks down and perceives each of the twelve periods in a person’s life cycle procession?

The older we get the longer each period lasts in years.  But if consciousness can only perceive each period in the same volume of space, then it is conceivable that as each period becomes longer in years, consciousness will perceive that period in the same volume of space as the ones which came before it.  Thus, time appears to be speeding up.

The other obvious point which can be made from Armstrong’s life structure is that each of the twelve segments make up the one whole.  Each segment contributes to the completion of the Great Work.

This structure of twelve segments, or channels, making up the one whole, can be found throughout history and different cultures.  It is as if consciousness subliminally understands the meaning of this structure and we work it into all human frameworks and machinations.

Pythagorean philosophy considered the dodecahedron to be the foundation of the material world.  A dodecahedron is a twelve faced symmetrical geometric solid.  All twelve sides make up the one whole solid.

12-sided-dodecahedron

In order to accept that this concept of twelve plus one has real symbolic meaning, I offer the following:

  • Twelve Signs of the Zodiac (procession of the Sun)
  • Jesus and 12 disciples
  • King Arthur and the Twelve Knights of the Roundtable
  • Twelve tribes of Israel
  • Twelve apostles spreading the church
  • Twelve kings of Israel
  • Twelve old testament prophets
  • Twelve great patriarchs
  • Twelve judges of Israel
  • Twelve brothers of Joseph
  • Twelve knights of Charlemagne
  • Twelve followers of Quetzalcoatl
  • Twelve followers of Buddha
  • Twelve Bedesmen
  • Zeus and twelve Olympians
  • Pan and twelve Lupercal Priests
  • Romulus and twelve sons
  • Odin and his twelve holy and ineffable names
  • Alexander and his twelve Cheders
  • Twelve great adventures of Izubar of Ancient Babylon
  • Hercules and his twelve labours
  • Himmler and his twelve SS knights
  • Twelve Masonic signs of recognition
  • Twelve months of the year
  • Twelve hours of the day
  • Twelve hours of the night
  • Twelve inches in a foot
  • Twelve days of Christmas
  • Twelve grades in school
  • Twelve jurors
  • Twelve notes before the octave
  • Twelve in a dozen

There are endless more, but let’s not forget the twelve Knights Templar who escaped arrest in 1307 and made their way to Switzerland with the famed treasure.  Followed by twelve more, just like day follows night.

Each of the above stories are symbolic and allegorical tales which provide hints on the path and procession of our individual initiation in this life cycle – the completion of the Great Work. As such, each segment within the twelve has occult significance.  The word occult is loaded with misunderstanding, and should be considered a process of thought.  Each of the twelve segments creates a thought field.

In all cases the twelve are combined to make the one whole.  This whole is the 13th and purposeful dodecahedron, which is represented as the completion of a process and the attainment of the whole.  Hercules had to complete his twelve labours to ascend further.  King Arthur and the twelve knights went on a quest to find the Holy Grail. The Grail was said to have held the blood of Christ.  Christ and the twelve disciples describe a process which is meant to help us understand the ascent of consciousness and the completion of the cycle.

Like the Sun completing its cycle through the Zodiac.

After twelve hours of night the Sun rises.

Oh, I almost forgot, the Holy City has twelve foundations and twelve gates.  The Tree of Life bears twelve fruit.

Moving on.

The Federal Reserve (you thought I’d never get to it) is structured in the same allegorical and symbolic way which has been described above.  There are twelve Federal Reserve Districts with Federal Reserve Banks.  They are:

  1. Boston
  2. New York
  3. Philadelphia
  4. Cleveland
  5. Richmond
  6. Atlanta
  7. Chicago
  8. St. Louis
  9. Minneapolis
  10. Kansas City
  11. Dallas
  12. San Francisco

And of course all twelve make up the Federal Reserve itself.  Just like the Sun acts as the 13th culmination of the twelve with dominion over the whole Earth, the Federal Reserve has dominion over wealth accumulation.

In the picture which accompanies this post, we see the Federal Reserve Gold Symbol Seal embedded in the wall of the Federal Reserve Bank of Kansas.  This symbol shows a bird sitting above twelve stars.  We can assume that the twelve stars represent the twelve district banks and the bird represents the Federal Reserve System as a whole.

This close up picture of the seal gives us a better image of the stars and the bird.  The bird can be interpreted as the American eagle, but can just as easily be interpreted as the phoenix, the mystical bird which rises from the ashes of its previous self.  Regeneration.

Fed-Reserve-seal-12-stars

But that is not all it represents.  If it was all that innocuous than the above information would not exist.  The reality and frequency of twelve plus one throughout history and vastly different cultures is not a coincidence.

Manly P. Hall wrote in The Secret Destiny of America:

“Philosophy teaches that the completion of the great work of social regeneration must be accomplished not in society but in man himself.”

Do you see?

“Once I rose above the noise and confusion, just to get a glimpse beyond this illusion, I was soaring ever higher, but I flew too high.”

Economy

I Just Need An Exchange

Let us see if I’m getting these story lines, right:

  • Platinum’s integrity has been unquestionable, accurately reporting the completion of banks receipt of necessary codes for exchange,
  • Bruce is expecting to to do a celebration call on Tuesday night,
  • Iko says Monday night is the final push,
  • Martha says, “We’ll be in the bank this week,
  • MillionDay has outlined multiple articles, leaders, and activated laws that all imply we’re on the cusp of a rate change,
  • Poppy3 says we’re 5 months away from Economic reform being completed implying the RV/GCR is at any moment,
  • BGG has said that the rate change could be within 7-10 days,
  • not sure what Mountain Goat is saying because I stop reading as soon as I see, “and still no RV.”  But, I’m sure he knows more and is smarter than everyone else because he writes with an arrogance that only comes from predicting events that have already occurred,
  • KTFA/Frank 26 is also among the elite as he continually promotes his intel by passive agressively pointing out that, “his team is not like other teams.”
  • Dr. Clark AKA. Mountain Goat’s alter ego is saying…well who cares what he is saying, because his intel is based largely on validating Mountain Goat which seems to be a creation of his need to feel appreciated, which is truly genious and in line with the superiority complex seen in the Goat’s posts.

12776442All news seems to point to an eminent revaluation of world currencies, economic indicators seem to reveal a definitive need for such action, ships are reported to be moving out of Iran (which I believe is good) Iran’s currency saw a 33% rise this past week, China’s doing…stuff, that I think leads us to a GCR, Awake in 3D says 800 numbers won’t be posted on websites, but will be available on conference calls, and Prime Minister Abadi made an announcement that may have implied Iraq is moving to an International/Marke/Global economy.

Meanwhile, according to Rayren, (Bless his heart) banks seem to think we’ll be exchanging “this week”, for the past several weeks, and Dalred said, this past weekend was our last weekend (of waiting for the RV I’m assuming).

  • Oil is above $32,
  • Dow opened down,
  • Shanghai closed up,
  • Chinese are infusing Billions into the market,( which means something) various astrological, numerological, spiritual, and religous prophetic predictors are aligned to indicate massive changes,
  • aliens are our ancestors and secretly controling the Earth,
  • and United States government is an illegal corporation/shadow government, that is being taken out of control by the real Republic of the United States which will free us all from the bondage of public slavery created by illusionary debt.

In addition, massive humanitarian efforts are about to be launched world wide as soon as funds are released from the bonds, or the GCR, or the Elders, or the “Powers that Be.” These claims are backed by declarations made by the UN to “abolish poverty” in the next 15 years, various actions by the Chinese government to forgive massive amounts of debt, and lengthy discussion by world leaders to create new peaceful environments.

New technologies which have been held back until this time will soon be released for the good of all mankind, and everything we ever suspected about corrupt politicians has been drastically underestimated.

This combination of events all leading us to a spiritual awakening of a new global reality where “good” people, or at least people with good intentions will be the new “One Percenters” with the awesome responsibility of reshaping the world into a Utopia of abundance rather than a fake depiction of lack and starvation.

Like you, I desire to believe it.   All of it, cautiously.  After all, it is just too ridiculous to be contrived from the minds of mortal men.

So, I am ready to do my part.  And once my family is taken care of, I’ll gladly pay-it-forward (PIF).   I’ll dedicate my life to the service, testimony, and manifestation of the highest good in Jesus name.  And, I’ll do it with all humility, knowing how little I really know.

But first, I just need to exchange.

Un-Classified

Post Modern F-idiots: What Happens If You Pay With a Two-Dollar Bill ?

The following is a true story. It amused the hell out of me while it was happening. I hope it isn’t one of those “had to be there” things, but the world today just has too many Fricken Idiots for my liking.

On my way home from the second job I’ve taken to get my mind off the lawsuit I’ve had with my sister, I stopped at Taco Bell for a quick bite to eat. In my billfold was a $50 bill and a $2 bill. That was all the cash I had on me.   So, I figured that with a $2 bill, I could get something to eat and not worry about people getting twisted over my purchase.  Boy — was I wrong:

two-dollar-bill

Me: “Hi, I’d like one regular plain burrito please, to go.”

Server: “Is that it?”

Me: “Yep.”

Server: “That’ll be $1.04.. eat here?”

Me: “No thanks, it’s “TO-GO” [I hate effort duplication]

At this point I open my billfold and hand him the $2 bill. He looks at it kind of funny and . . .

Server: “Uh, hang on a sec, I’ll be right back.”

He goes to talk to his manager, who is still within earshot. The following conversation occurs between the two of them:

Server: “Hey, you ever see a $2 bill?”

Manager: “No. A what?”

Server: “A $2 bill. This guy just gave it to me.”

Manager: “Ask for something else, THERE’S NO SUCH THING AS A $2 BILL.”

Server: “Yeah, thought so.”

He comes back to me and says:

Server: “We don’t take these. Do you have anything else?”

Me: “Just this fifty. You don’t take $2 bills? Why?”

Server: “I don’t know.”

Me: “See here where it says legal tender?”

Server: “Yeah.”

Me: “So, shouldn’t you take it?”

Server: “Well, hang on a sec.”

He goes back to his manager who is watching me like I’m going to shoplift.

Server: “He says I have to take it.”

Manager: “Doesn’t he have anything else?”

Server: “Yeah, a fifty. I’ll get it and you can open the safe and get change.”

Manager: “I’M NOT OPENING THE SAFE WITH HIM IN HERE.” [My emphasis]

Server: “What should I do?”

Manager: “Tell him to come back later when he has REAL money.”

Server: “I can’t tell him that, you tell him.”

Manager: “Just tell him.”

Server: “No way, this is weird, I’m going in back.”

The manager approaches me and says:

Manager: “Sorry, we don’t take big bills this time of night.” [It was 7-p.m. and this particular Taco Bell in Sacramento is in a well lighted indoor mall with 100 other stores all open.]

Me: “Well, here’s a two.”

Manager: “We don’t take those either.”

Me: “Why the hell not?”

Manager: “I think you know why.”

Me: “No really, tell me, why?”

Manager: “Please leave before I call mall security.”

Me: “Excuse me?”

Manager: “Please leave before I call mall security.”

Me: “What the hell for?”

Manager: “Please, sir.”

Me: “Uh, go ahead, call them.”

Manager: “Would you please just leave?”

Me: “No.”

Manager: “Fine, have it your way then.”

Me: “No, that’s Burger King’s catch-phrase, isn’t it?”

At this point he BACKS away from me and calls mall security on the phone around the corner.  I have two people STARING at me from the dining area, and I begin laughing out loud, just for effect.  A few minutes later this 45 year old-ish guy comes in and says [at the other end of counter, in a whisper]:

Security: “Yeah, Mike, what’s up?”

Manager: “This guy is trying to give me some [pause] funny money.”

Security: “Really? What?”

Manager: “Get this, a two dollar bill.”

Security: “Why would a guy fake a $2 bill?” [Incredulous]

Manager: “I don’t know? He’s kinda weird. Says the only other thing he has is a fifty.”

Security: “So, the fifty’s fake?”

Manager: “NO, the $2 is.”

Security: “Why would he fake a $2 bill?”

Manager: “I don’t know. Can you talk to him, and get him out of here?”

Security: “Yeah…”

Security guard walks over to me and says:

Security: “Mike here tells me you have some fake bills you’re trying to use.”

Me: “Uh, no.”

Security: “Lemme see ’em.”

Me: “Why?”

Security: “Do you want me to get the cops in here?”

At this point I was ready to say, “SURE, PLEASE,” but I wanted to eat, so I said:

“I’m just trying to buy a burrito and pay for it with this $2 bill.”

I put the bill up near his face, and he flinches like I was taking a swing at him. He takes the bill, turns it over a few times in his hands, and says..

Security: “Mike, what’s wrong with this bill?”

Manager: “It’s fake.”

Security: “It doesn’t look fake to me.”

Manager: “But it’s a $2 bill.”

Security: “Yeah?”

Manager: “Well, there’s no such thing, is there?”

The security guard and I both looked at him like he was a Fricken  idiot, and it dawned on the guy that he had no clue. (LOL)

So, I got my burrito for FREE and he threw in a small drink and those cinnamon things, too.   I think I’ll go get a whole stack of $2 bills just to see what happens when I try to buy stuff! (LOL).

If I got the right group of people, I could probably end up in jail but at least I’d get free food. (LOL)

Meditation

Reflections on Pearl Harbor

“Reflections on Pearl Harbor” by Admiral Chester Nimitz.

Sunday, December 7th, 1941–Admiral Chester Nimitz was attending a concert in Washington D.C. He was paged and told there was a phone call for him. When he answered the phone, it was President Franklin Delano Roosevelt on the phone. He told Admiral Nimitz that he (Nimitz) would now be the Commander of the Pacific Fleet.

Admiral Nimitz flew to Hawaii to assume command of the Pacific Fleet.  He landed at Pearl Harbor on Christmas Eve, 1941. There was such a spirit of despair, dejection and defeat–you would have thought the Japanese had already won the war.

On Christmas Day, 1941, Adm. Nimitz was given a boat tour of the destruction wrought on Pearl Harbor by the Japanese. Big sunken battleships and navy vessels cluttered the waters everywhere you looked. As the tour boat returned to dock, the young helmsman of the boat asked, “Well Admiral, what do you think after seeing all this destruction?” Admiral Nimitz’s reply shocked everyone within the sound of his voice.

Admiral Nimitz said, “The Japanese made three of the biggest mistakes an attack force could ever make, or God was taking care of America. Which do you think it was?”

Shocked and surprised, the young helmsman asked, “What do mean by saying the Japanese made the three biggest mistakes an attack force ever made?”

Nimitz explained..

Mistake number one: The Japanese attacked on Sunday morning. Nine out of every ten crewmen of those ships were ashore on leave. If those same ships had been lured to sea and been sunk–we would have lost 38,000 men instead of 3,800.

Mistake number two: When the Japanese saw all those battleships lined in a row, they got so carried away sinking those battleships, they never once bombed our dry docks opposite those ships. If they had destroyed our dry docks, we would have had to tow every one of those ships to America to be repaired. As it is now, the ships are in shallow water and can be raised. One tug can pull them over to the dry docks, and we can have them repaired and at sea by the time we could have towed them to America. And I already have crews ashore anxious to man those ships.

Mistake number three: Every drop of fuel in the Pacific theater of war is in top of the ground storage tanks five miles away over that hill. One attack plane could have strafed those tanks and destroyed our fuel supply. That is why I say the Japanese made three of the biggest mistakes an attack force could make or God was taking care of America.

In jest, one might suggest that because Admiral Nimitz was a Texan, born and raised in Fredericksburg, Texas — he was a born optimist. But any way you look at it–Admiral Nimitz was able to see a silver lining in a situation and circumstance where
everyone else saw only despair and defeatism.

President Roosevelt had chosen the right man for the right job. We desperately needed a leader that could see silver linings in the midst of the clouds of dejection, despair and defeat.

There is a reason that our national motto is, IN GOD WE TRUST.

Economy

Questions and Answers regarding I.M.F. 2015 SDR Review and inclusion of Chinese renminbi (RMB) currency

Q and A on 2015 SDR Review

November 30, 2015

IMF’s Executive Board Completes Review of SDR Basket, Includes Chinese Renminbi

The Executive Board of the International Monetary Fund (IMF) today completed the regular five-yearly review of the basket of currencies that make up the Special Drawing Right (SDR). A key focus of the Board review was whether the Chinese renminbi (RMB) met the existing criteria to be included in the basket. The Board today decided that the RMB met all existing criteria and, effective October 1, 2016 the RMB is determined to be a freely usable currency and will be included in the SDR basket as a fifth currency, along with the U.S. dollar, the euro, the Japanese yen and the British pound. Launching the new SDR basket on October 1, 2016 will provide sufficient lead time for the Fund, its members and other SDR users to adjust to these changes.

At the conclusion of the meeting, Ms. Christine Lagarde, Managing Director of the IMF, stated:

“The Executive Board’s decision to include the RMB in the SDR basket is an important milestone in the integration of the Chinese economy into the global financial system. It is also a recognition of the progress that the Chinese authorities have made in the past years in reforming China’s monetary and financial systems. The continuation and deepening of these efforts will bring about a more robust international monetary and financial system, which in turn will support the growth and stability of China and the global economy.”

The value of the SDR will be based on a weighted average of the values of the basket of currencies comprising the U.S. dollar, euro, the Chinese renminbi, Japanese yen, and British pound. The inclusion of the RMB will enhance the attractiveness of the SDR by diversifying the basket and making it more representative of the world’s major currencies. The SDR interest rate will continue to be determined as a weighted average of the interest rates on short-term financial instruments in the markets of the currencies in the SDR basket. Authorities of all currencies represented in the SDR basket, which now includes the Chinese authorities, are expected to maintain a policy framework that facilitates operations for the IMF, its membership and other SDR users in their currencies. The paper presented to the Board will be released soon.

Q1. What is the SDR?

The Special Drawing Right (SDR) is an international reserve asset, created by the IMF in 1969 to supplement its member countries’ official reserves. Its value is currently based on a basket of four major currencies (U.S. dollar, euro, Japanese yen, and pound sterling). The basket will be expanded to include the Chinese renminbi (RMB) as the fifth currency, starting on October 1, 2016 once the new basket of currencies takes effect.

SDRs are allocated to IMF members from time to time, based on each country’s quota in the Fund. A total of 204.1 billion SDRs have been allocated to date, most recently in 2009 when SDR 182.6 billion was allocated.

The SDR is neither a currency, nor a claim on the IMF. Rather, it is a potential claim on the freely usable currencies of IMF members. Holders of SDRs can obtain these currencies in exchange for their SDRs in two ways: first, through the arrangement of voluntary exchanges between members; and second, by the IMF designating members with strong external positions to purchase SDRs from members with weak external positions.

In addition to its role as a supplementary reserve asset, the SDR serves as the unit of account of the IMF and some other international organizations. It is also used in the IMF’s financing arrangements with its member countries.

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Q2. What does an SDR review typically cover?

The composition of the SDR basket is typically reviewed every five years by the Executive Board to enhance the attractiveness of the SDR as a reserve asset. These reviews cover the key elements of the method of valuation of the SDR and seek to ensure that the valuation reflects the relative importance of currencies in the global trading and financial system. This includes the criteria used in selecting SDR basket currencies, the number of currencies in the basket, and the methodology for determining currency weights. The financial instruments comprising the SDR interest rate basket are also covered.

In the review concluded in November 2015, the Executive Board decided that the Chinese renminbi is determined to be a freely usable currency, effective October 1, 2016, and will then be included in the SDR basket as a fifth currency, along with the U.S. dollar, euro, Japanese yen and pound sterling. The weighting formula was also revised to address longstanding shortcomings.

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Q3. What are the criteria for SDR basket inclusion?

The current criteria for inclusion were adopted by the IMF’s Executive Board in 2000. They established that the SDR basket comprises the four (expanded to five, effective October 1, 2016) currencies that are issued by members or monetary unions whose exports had the largest value over a five-year period, and have been determined by the IMF to be “freely usable”.

The export criterion, which acts as a “gateway,” aims to ensure that currencies that qualify for the basket are those issued by members or monetary unions that play a central role in the global economy. This criterion has been part of the SDR valuation methodology since the 1970s.

The requirement for currencies in the SDR basket to also be freely usable was incorporated in 2000 to allow the currency selection criteria to formally reflect the importance of financial transactions.

The Decision adopted by the Board at the 2015 SDR Review reconfirmed the existing two substantive criteria (exports and freely usable) while expanding the size of the basket from 4 to 5 currencies effective on October 1, 2016. In doing so, the Board considered that a five-currency basket would be both more stable and more representative, while the administrative burden of a larger basket would be manageable.

Q4.How do you define a freely usable currency?

A “freely usable” currency is defined in the IMF’s Articles of Agreement as a member’s currency that the Fund determines is, in fact, widely used to make payments for international transactions, and is widely traded in the principal exchange markets.

The concept of a freely usable currency concerns the actual international use and trading of currencies, and is different from whether a currency is either freely floating or fully convertible.

A currency can be widely used and widely traded even if it is subject to some capital account restrictions (in the past, currencies such as the pound sterling and Japanese yen were determined freely usable when some capital account restrictions were in place). On the other hand, a currency that is fully convertible may not necessarily be widely used and widely traded.

The freely usable concept plays a central role in the IMF’s financial operations. In particular, members receiving Fund financial assistance have the right to receive such assistance in a freely usable currency. Indeed, IMF lending operations are, in practice, conducted in freely usable currencies or SDRs, and in the latter case, borrowing members have the right to exchange SDRs into freely usable currencies. In the financial operations context, the freely usable concept seeks to ensure that a member can use the currency received from the IMF either directly or indirectly (by exchanging it into another currency without disadvantage) to address a balance of payments financing need.

Q5. What was the focus and outcome of the 2015 SDR review?

The IMF recently concluded the quinquennial review of the SDR currency basket. As China continues to meet the export criterion for SDR inclusion, the review focused on assessing whether the Chinese renminbi (RMB) could be determined to be a freely usable currency, which is the other criterion for inclusion in the basket. This criterion requires an Executive Board determination that the currency is, in fact, widely used to make payments for international transactions and widely traded in the principal exchange markets.

The Executive Board at its meeting on November 30, 2015 decided that, effective October 1, 2016, the Chinese renminbi is determined to be a freely usable currency and will be included in the SDR basket, as a fifth currency, along with the U.S. dollar, euro, Japanese yen and pound sterling. The weights of the currencies in the SDR basket were also revised in line with a new weighting formula based on the value of the issuers’ exports, the amount of reserves denominated in the respective currencies that were held by other members of the IMF, foreign exchange turnover, and international bank liabilities and international debt securities denominated in the respective currencies.

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Q6. Why did the IMF staff recommend the inclusion of the Chinese renminbi into the SDR basket of currencies?

Increasing international use and trading. Since the last SDR review in 2010, the use of the Chinese renminbi (RMB) in international payments has risen substantially. In addition, RMB activity in foreign exchange markets covering two of the three major trading time zones has increased significantly and can accommodate transactions of the magnitude involved in IMF operations. This provided, in the judgment of staff, a basis for the RMB to be considered “widely used” to make payments for international transactions and “widely traded” in the principal exchange markets.

Operational considerations. While operational issues are not formal requirements for SDR inclusion, staff’s assessment that the IMF, its members, and other SDR users are now able to conduct operations in RMB without substantial impediments means there are reasonable assurances that IMF related operations can be conducted smoothly. This is the direct result of recent reforms implemented by the authorities, principally their decision to grant full access for official reserve managers and their agents to the onshore fixed-income and foreign exchange markets. The authorities have also undertaken key reforms to advance their broader agenda to support the international use of the RMB and strengthen macro-financial stability, such as full liberalization of domestic interest rates, steps toward a more market-determined exchange rate, and implementation of a new cross-border interbank payment system.

Complementary steps to enhance data disclosure. While data disclosure is not a formal criterion for a currency’s inclusion in the SDR basket, issuers of these currencies generally meet high transparency standards. The authorities have recently taken very welcome steps to increase data disclosure and enhance their commitment to multilateral data initiatives.

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Q7. Why did the Board support the inclusion of the Chinese renminbi in the SDR basket?

The decision on whether the RMB should be determined a freely usable currency and included in the SDR basket rested with the IMF’s Executive Board. Since there are no pre-set thresholds or benchmarks, the decision ultimately required policy judgment by the Executive Board, framed by the definition of freely usable under the IMF’s Articles of Agreement and informed by quantitative indicators.

The report prepared by staff provided a rigorous technical assessment with a clear recommendation in order to inform Executive Directors.

The Board endorsed staff’s analysis and recommendation to determine the Chinese renminbi freely usable and include it in the SDR basket, as a fifth currency, along with the U.S. dollar, euro, Japanese yen and pound sterling, effective October 1, 2016.

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Q8. When will the Chinese renminbi be officially included into the SDR basket?

The new basket including the Chinese renminbi will take effect on October 1, 2016.

The Executive Board previously extended the current basket to end-September 2016 in response to feedback from SDR users. The decision reflected the desire to avoid changes in the basket at the end of the calendar year (when trading volumes are low), facilitate the continued smooth functioning of SDR-related operations amid a higher than-usual level of uncertainty generated by the ongoing SDR review, and to allow sufficient lead time to adjust in the event that a new currency is added to the SDR basket.

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Q9. Why will the Chinese renminbi only become freely usable on October 1, 2016?

The Chinese renminbi (RMB) has met all conditions and operational requirements for being determined freely usable and to be added in the SDR basket. However, if the Fund’s determination of free usability was to become effective as of the date of the review (November 30, 2015), it would allow the immediate use of the RMB as a freely usable currency in Fund financial transactions, when the Fund and its members are not yet operationally ready. The delayed inclusion of the RMB in the SDR basket also allows SDR users time to adjust their operations. Therefore, the Fund’s determination of the RMB as a freely usable currency and the RMB’s inclusion in the SDR basket will only come into effect on October 1, 2016.

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Q10. Why has the weighting formula been changed and what are the major changes?

The Executive Board has long recognized the shortcomings of the previous method for determining currency weights in the SDR basket, in particular, the relatively low weight and narrow scope of financial variables, and the endogenous weighting of flows (exports) and stocks (reserves).

At the conclusion of the 2010 SDR Basket review, Directors welcomed a work program that would, among others, consider the relative roles of trade and financial indicators.

The new formula endorsed by the Board is one of the two alternatives presented in the 2010 Review and expands the share and representativeness of the financial variables and moves away from the endogenous weights implied by the old formula. In the new formula, exports and the financial variable are given equal weight and the coverage of the financial indicator has been expanded to better capture different financial transactions.

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Q11. What are the new weights of each currency in the SDR basket?

Under the new formula, the respective weights of the SDR currencies are: 41.73% for the U.S. dollar; 30.93% for euro; 10.92% for the Chinese renminbi; 8.33% for the Japanese yen; and 8.09% for the pound sterling. This basket of currencies will take effect on October 1, 2016.

After these weights are used on September 30, 2016 to establish the new fixed amounts of currencies that comprise the SDR basket, the share of each currency in the valuation of the SDR on any particular day going forward will depend on the exchange rates prevailing on that day.

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Q12. What are the implications of the inclusion of the RMB into the SDR basket for the SDR itself and for the IMF operations?

The inclusion of the Chinese renminbi (RMB) is the first major change to the SDR basket composition since 1980 when the basket size was reduced from 16 to 5 currencies (also, in 1999, the euro replaced the Deutsche mark and the French franc).

The RMB’s inclusion will enhance the attractiveness of the SDR as an international reserve asset. It diversifies the basket and makes its composition more representative of the world’s major currencies.

Operationally, the inclusion of the RMB into the SDR basket means that an RMB instrument will be included in the calculation of the SDR interest rate, along with changes to the procedures for exchange of currency between China and the Fund. It will also impact the conduct of future Fund transactions which can be carried out in RMB once the determination of the RMB as a freely usable currency becomes effective on October 1, 2016.

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Q13. How will the Chinese renminbi’s inclusion impact the global monetary system and the financial system in general?

Put into a broader context, the inclusion of the Chinese renminbi (RMB) in the SDR basket could be seen as an important milestone in the process of China’s global financial integration. It also recognizes and reinforces China’s continuing reform progress.

As this integration continues and further deepens, and is paralleled in other emerging market economies, it could bring about a more robust international monetary and financial system, which in turn would support the growth and stability of the global economy.

The RMB’s inclusion will also enhance the attractiveness of the SDR as an international reserve asset, as it diversifies the basket and makes its composition more representative of the world’s major currencies.

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Q14. What are the implications of the inclusion of the Chinese renminbi into the SDR basket of currencies for the renminbi and for China?

The inclusion recognizes a significant increase in the internationalization of the Chinese renminbi (RMB) in recent years, underpinned by policy reforms to achieve China’s transition to an increasingly open and market-based economy.

Inclusion in the basket will also support the already increasing use and trading of the RMB internationally.

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Q15. What are the implications of the RMB’s inclusion in the SDR interest rate basket?

The RMB will be added to the basket on October 1, 2016, and its impact on the SDR interest rate will depend on the rates prevailing at that time. This effect is uncertain; nevertheless, since the interest rates in China are currently above the other rates in the SDR interest rate basket, it is likely that the SDR interest rate would rise when the RMB is included in the basket.

The various effects of a likely higher SDR interest rate on Fund borrowers, creditors, and the Fund’s own income position will be considered in the context of the next review of the Fund’s income position that is scheduled for April 2016

 

Meditation, Music

All Things Are Possible

“If you Knew you could not fail, what would you try today?”

ALL THINGS ARE POSSIBLE

Almighty God, my redeemer
My hiding place, my safe refuge
No other name like Jesus
No power can stand against You

My feet are planted on this Rock
And I will not be shaken
My hope it comes from You alone
My Lord and my salvation

Your praise is always on my lips
Your word is living in my heart
And I will praise You with a new song,
My soul will bless You Lord

You fill my life with greater joy
Yes, I delight myself in You
And I will praise You with a new song
My soul will bless You, Lord

My feet are planted on this Rock
And I will not be shaken
My hope it comes from You alone
My Lord and my salvation

Your praise is always on my lips
Your word is living in my heart
And I will praise You with a new song,
My soul will bless You Lord

You fill my life with greater joy
Yes, I delight myself in You
And I will praise You with a new song
My soul will bless You, Lord

When I am weak, you make me strong
When I’m poor, I know I’m rich
For in the power of Your Name

All things are possible
All things are possible
All things are possible
All things are possible

Your praise is always on my lips
Your word is living in my heart
And I will praise You with a new song
My soul will bless You Lord

You fill my life with greater joy
Yes, I delight myself in You
And I will praise You with a new song
My soul will bless You, Lord

When I am weak, you make me strong
When I’m poor, I know I’m rich
For in the power of Your Name

All things are possible
All things are possible
All things are possible
All things are possible

Philippians 4:13

KJ21
I can do all things through Christ who strengtheneth me.
ASV
I can do all things in him that strengtheneth me.
AMP
I can do all things [which He has called me to do] through Him who strengthens and empowers me [to fulfill His purpose—I am self-sufficient in Christ’s sufficiency; I am ready for anything and equal to anything through Him who infuses me with inner strength and confident peace.]
AMPC
I have strength for all things in Christ Who empowers me [I am ready for anything and equal to anything through Him Who infuses inner strength into me; I am self-sufficient in Christ’s sufficiency].
BRG
I can do all things through Christ which strengtheneth me.
CEB
I can endure all these things through the power of the one who gives me strength.
CJB
I can do all things through him who gives me power.
CEV
Christ gives me the strength to face anything.
DARBY
I have strength for all things in him that gives me power.
DLNT
I can-do all things by-means-of  the One strengthening me.
DRA
I can do all these things in him who strengtheneth me.
ERV
Christ is the one who gives me the strength I need to do whatever I must do.
ESV
I can do all things through him who strengthens me.
ESVUK
I can do all things through him who strengthens me.
EXB
I can do all things through ·Christ, because he [L the one who] gives me strength.
GNV
I am able to do all things through the help of Christ, which strengtheneth me.
GW
I can do everything through Christ who strengthens me.
GNT
I have the strength to face all conditions by the power that Christ gives me.
HCSB
I am able to do all things through Him who strengthens me.
ICB
I can do all things through Christ because he gives me strength.
ISV
I can do all things through him who strengthens me.
PHILLIPS
It has been a great joy to me that after all this time you have shown such interest in my welfare. I don’t mean that you had forgotten me, but up till now you had no opportunity of expressing your concern. Nor do I mean that I have been in actual need, for I have learned to be content, whatever the circumstances may be. I know now how to live when things are difficult and I know how to live when things are prosperous. In general and in particular I have learned the secret of facing either poverty or plenty. I am ready for anything through the strength of the one who lives within me.
JUB
I can do all things through Christ who strengthens me.
KJV
I can do all things through Christ which strengtheneth me.
AKJV
I can do all things through Christ which strengtheneth me.
LEB
I am able to do all things by the one who strengthens me.
TLB
for I can do everything God asks me to with the help of Christ who gives me the strength and power.
MSG
I’m glad in God, far happier than you would ever guess—happy that you’re again showing such strong concern for me. Not that you ever quit praying and thinking about me. You just had no chance to show it. Actually, I don’t have a sense of needing anything personally. I’ve learned by now to be quite content whatever my circumstances. I’m just as happy with little as with much, with much as with little. I’ve found the recipe for being happy whether full or hungry, hands full or hands empty. Whatever I have, wherever I am, I can make it through anything in the One who makes me who I am. I don’t mean that your help didn’t mean a lot to me—it did. It was a beautiful thing that you came alongside me in my troubles.
MEV
I can do all things because of Christ who strengthens me.
MOUNCE
I can do all things through the one who strengthens me.
NOG
I can do everything through Christ who strengthens me.
NABRE
I have the strength for everything through him who empowers me.
NASB
I can do all things through Him who strengthens me.
NCV
I can do all things through Christ, because he gives me strength.
NET
I am able to do all things through the one who strengthens me.
NIRV
I can do all this by the power of Christ. He gives me strength.
NIV
I can do all this through him who gives me strength.
NIVUK
I can do all this through him who gives me strength.
NKJV
I can do all things through Christ who strengthens me.
NLV
I can do all things because Christ gives me the strength.
NLT
For I can do everything through Christ, who gives me strength.
NRSV
I can do all things through him who strengthens me.
NRSVA
I can do all things through him who strengthens me.
NRSVACE
I can do all things through him who strengthens me.
NRSVCE
I can do all things through him who strengthens me.
OJB
I can do all things in the One giving me ko’ach.
RSV
I can do all things in him who strengthens me.
RSVCE
I can do all things in him who strengthens me.
VOICE
I can be content in any and every situation through the Anointed One who is my power and strength.
WEB
I can do all things through Christ, who strengthens me.
WE
I can do all things because Christ gives me strength.
WYC
I may all things in him that comforteth me.
YLT
For all things I have strength, in Christ’s strengthening me;
Economy

The Federal Reserve, Explained in One Math Equation

JamesRickards

James G. Rickards is the editor of Strategic Intelligence,the newest newsletter from Agora Financial. He is an American lawyer, economist, and investment banker with 35 years of experience working in capital markets on Wall Street. He is the author of The New York Times bestsellersCurrency Wars and The Death of Money. Jim also serves as Chief Economist for West Shore Group.

  • The fatal conceit of central bankers…
  • A hair-raising admission you weren’t meant to hear…
  • Then James G. Rickards reveals the idiotic mathematical mumbo jumbo Janet Yellen relies on to set Fed policy…

Central banks operate under the false belief that they can fine-tune economies. If things get too hot (inflation), they dial down the thermostat. If things get too cool (deflation), they dial it up.

But reality is quite different…

The economy is not a linear system that can be adjusted like a thermostat.  It’s a complex dynamic system, more like a nuclear reactor.  Once it starts to melt down, no amount of playing with the controls can stop it.

The world is sinking into recession, dragged down by sagging growth in China.  Meanwhile, central banks are fiddling with the thermostats by printing money.

James Rickards has had private conversations with central bankers for years in which they admitted they had no idea what they were doing. They have described monetary policy to me as an “experiment” (their word, not mine). They didn’t use the phrase “guinea pig,” but that’s how they treat investors.

But until now, He has never heard a Fed official admit this in public. At this point, the whole charade is too obvious to deny. Reuters has a story on a central banker speaking on the record admitting they are making up policy on the fly. And don’t really understand how the economy works today.

Today, Jim Rickards reiterates his forecast — Janet Yellen will not raise rates this year. I said that categorically in late 2014. It wasn’t a wild guess. And he is not making a wild guess this year, either. Read on below for the math that backs up his forecast…

The one equation that shows why Yellen won’t raise rates: [S2=S1(1-S1)r]…

Yellen’s (Federal Reserve Board) Feedback Loop

What is popularly called a “feedback loop” is technically known to applied mathematicians as a recursive function. In plain English, the output of an equation becomes the input for the next iteration of the same equation.

Running numerous iterations of the same equation with computers, “numerous” can mean millions of times. And when computers produce graphical representations of the outputs, one gains insights into the nature of the process represented by the equation.

Some graphs move to a value and stay there forever, what complexity theorists call a “fixed point attractor.” Some graphs are utterly chaotic.

Some others replicate almost mystical patterns at increasing and decreasing scale, such as the famous scale-invariant Mandelbrot set, shown below.

JamesRickards-Mandelbrot-Graph

Each graph reveals a different dynamic.

A simple, but useful version of this is the equation S2 = S1 (1 – S1) r.

If you set values of S1 = 0.75, and r = 0.1 and solve for S2, the result is 0.01875.

Next, take this value for S2, and plug it into the right hand side of the equation in place of S1. Then solve it again to get S3.

Repeat the process (each output = next input), and you’ll observe an interesting phenomenon.

The graph of the outputs moves to zero and stays there forever. There is no escape from the feedback loop. Zero is the fixed-point attractor.

While mathematics can be an end in itself, one purpose is to provide models of real-world dynamics in ways that help one understand those dynamics. Recursive functions (a basic tool of complexity theory) are useful if one sees capital markets and economic processes as complex dynamic systems.

In fact, capital markets pass the four tests of complex systems — diverse agents, connectivity, interaction, and adaptive behavior — with flying colors. Complexity theory is a far more useful way to understand capital markets than the obsolete, and ultimately harmful stochastic equilibrium models in use for the past eighty years.

Those stochastic equilibrium models assume complete markets — a grossly false assumption — and are unable to account for the extremely nonlinear dynamics of economic phenomena. Willem Buiter of the London School of Economics has described this type of macroeconomic modeling as “a privately and socially costly waste of time and resources” that “may have set back by decades serious investigations of aggregate economic behavior and economic policy-relevant understanding.”

What does this mathematical digression have to do with Federal Reserve interest rate policy? The issue is whether the Fed, by intervening in markets to a greater extent than ever, has created a feedback loop between itself and the markets from which there is no escape.

The Fed policy rate has been stuck at zero for seven years. For the past two-and-one-half years, the Fed has expressed its desire to raise rates. But “desire” is not analysis, it’s wishful thinking. Analysis reveals that whenever the Fed talks tough on rates, the dollar strengthens, the U.S. imports deflation, exports slow, the economy weakens, and the Fed is ultimately deterred from pulling the trigger on a rate hike.

Then the Fed goes dovish. This happened in September 2013 when Bernanke shocked markets by not starting the taper.

It happened again in September 2015 when Yellen shocked markets by not raising rates. This surprise was followed by a dovish press conference, more dovish minutes, and super-dovish speeches by Fed Governors Lael Brainard and Dan Tarullo.

Markets then rallied in anticipation of continued zero rate policy. This stabilization caused the Fed to go hawkish again. You get the idea. Wash, rinse and repeat.

Based on the October employment report, market expectations of a rate hike in December are at the highest level since the “taper tantrum” of May 2013. Now it’s November. Fed officials are reading the market rallies as an all-clear sign and are signaling that the rate hike is back on the table. But markets (at least for the moment) have had a different reaction from a few months back.

The dollar is still strong, and emerging markets are still in the doldrums.

They’re reading the new Fed hawkishness as a sign of economic strength and bidding up stocks even with cheap money while it lasts. The dollar is still strong, and emerging markets are still in the doldrums.  A December rate hike might be a done deal in a linear system where good news is followed by good news in ways easy to extrapolate into a predictable outcome.

Yet, in complex systems with recursive functions, good news on employment can turn into the bad news of a strong dollar, imported deflation, slower exports, etc. in ways we’ve seen before. That’s the feedback loop at work. In fact, the strong October employment report finds little confirmation in other data. On balance, recession indicators still have the upper hand.

Can the Fed break out of this feedback loop just by raising rates without regard to economic fundamentals? Not really. Raising rates into weakness will amplify the weakness, and force the Fed to cut rates in 2016. It’s back to zero with greater amplitude.

Central banks operate in the false belief that they can “fine tune” economies. If things get too hot (inflation), they dial down the thermostat. If things get too cool (deflation), they dial it up. The reality is different. The economy is not a linear system that can be adjusted with a thermostat. It’s a complex dynamic system, more like a nuclear reactor. Once it starts to meltdown, no amount of playing with the controls can stop it. A global recession has begun and central banks are fiddling with the thermostats by printing money.

James Rickards has had private conversations with central bankers for years in which they admitted they had no idea what they were doing. They have described monetary policy to me as an “experiment” (their word, not mine). They didn’t use the phrase “guinea pig” but that’s how they treat investors.

The only way out of this systemic feedback loop is to alter the system. This cannot be done with monetary policy. A structural problem requires structural solutions. These involve fiscal, and regulatory policies within the purview of the White House and Congress. Given the current political dysfunction in the United States, there is no prospect of that.

Perhaps Yellen will raise rates in December. But I doubt it.

Her equilibrium models tell her one thing.  But the complexity models used by James Rickards tells another.

Meditation, Un-Classified

Humor: do the math using 18 and 54

A Husband Admits to His Wife That He’s Cheating. Her Response Had Me …

This is a letter exchange between a husband and wife. It is an interesting story that should really get you chuckling once you reach the second letter. Find out how this awesome lady responded to her husband’s disgusting and totally disrespectful letter.

She was probably hurt at first after reading that insensitive letter but instead of bursting into tears and feeling helpless, check out her brilliant answer, it was totally perfect!

A 54 year old husband wrote this letter to his wife and left it on the dining room table:

wife-to-husband-letter-1of2

To My Dear Wife,

You will surely understand that I have certain needs that you, being 54 years old, can no longer satisfy.

I am very happy with you and I value you as a good wife. Therefore, after reading this letter, I hope that you will not wrongly interpret the fact that I will be spending the evening with my 18-year-old secretary at the Comfort Inn Hotel.

Please don’t be upset — I shall be home before midnight.

When the man came home late that night, he found a letter on the dining room table.

wife-to-husband-letter-2of2

My Dear Husband,

I received your letter and thank you for your honesty about my being 54 years old.

I would like to take this opportunity to remind you that you are also 54 years old. As you know, I am a math teacher at our local college.

I would like to inform you that while you read this, I will be at the Hotel Fiesta with Michael, one of my students, who is also the assistant tennis coach. He is young, virile, and, like your secretary, is 18 years old.

As a successful businessman who has an excellent knowledge of math, you will understand that we are in the same situation, although with one small difference — 18 goes into 54 a lot more times than 54 goes into 18.

Don’t wait up. I will not be home until sometime tomorrow.

Anthropology, Politics, Religion

Psalm 49 – David – For the director of music. Of the Sons of Korah. A psalm.

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Psalm 49 – David – For the director of music. Of the Sons of Korah. A psalm.

1 Hear this, all you peoples;
listen, all who live in this world,
2 both low and high,
rich and poor alike:
3 My mouth will speak words of wisdom;
the meditation of my heart will give you understanding.
4 I will turn my ear to a proverb;
with the harp I will expound my riddle:

Jesus-is-the-way

5 Why should I fear when evil days come,
when wicked deceivers surround me—
6 those who trust in their wealth
and boast of their great riches?
7 No one can redeem the life of another
or give to God a ransom for them—
8 the ransom for a life is costly,
no payment is ever enough—
9 so that they should live on forever
and not see decay.
10 For all can see that the wise die,
that the foolish and the senseless also perish,
leaving their wealth to others.
11 Their tombs will remain their houses forever,
their dwellings for endless generations,
though they had named lands after themselves.

12 People, despite their wealth, do not endure;
they are like the beasts that perish.

13 This is the fate of those who trust in themselves,
and of their followers, who approve their sayings.
14 They are like sheep and are destined to die;
death will be their shepherd
(but the upright will prevail over them in the morning).
Their forms will decay in the grave,
far from their princely mansions.
15 But God will redeem me from the realm of the dead;
he will surely take me to himself.
16 Do not be overawed when others grow rich,
when the splendor of their houses increases;
17 for they will take nothing with them when they die,
their splendor will not descend with them.
18 Though while they live they count themselves blessed—
and people praise you when you prosper—
19 they will join those who have gone before them,
who will never again see the light of life.

20 People who have wealth but lack understanding
are like the beasts that perish.

__________________
“Whoever you CHOOSE to obey, that’s whose servant you become” – Universal Law

Meditation

This Is What Happens When You Massage This Point On Your Ear

shnmnDr. Mark Sandomirsky is making waves in the medical community. The doctor has begun to recommend to his patients an unlikely treatment to relieve stress. It’s a simple technique that is proving to be effective.

Many people experience stress for a variety of reasons. Stress can even manifest as physical pain in different parts of the body. Of course, if you have some rough emotional things happening, don’t keep it all in. Let it out. This actually helps a lot. Reflexology can help as well.

There is an accupressure point on your ear that relieves stress like no other. The Chinese call it Shen Men, or “The Gate of Heaven.” They believe that putting pressure on this point brings celestial energy to your whole body. It improves your health, decreases stress, and boosts energy.

Some believe this pressure point helps relieve addiction and inflammation too.

Dr. Sandomirsky advises that you use a q-tip to gently massage the Shen Men point. Breathe deeply while you do. Then listen to your body.

When you inhale, look left. When you exhale, look right. This will quickly begin to calm your body.

It’s an interesting technique. Next time you’re feeling very stressed, give it a try.

Music

Jaz Coleman – musician

In 1978 Coleman founded Killing Joke with drummer Paul Ferguson in Notting Hill, United Kingdom. The pair then recruited guitarist Geordie Walker and bassist Martin Glover (aka Youth). The group released their first single in October 1979 and their first eponymous album was released in 1980. Coleman contributed lead vocals and keyboards to the band’s songs, which are categorized as post-punk, and the music later inspired the industrial rock and metal genres.

Coleman once quit Killing Joke temporarily following a gig in 1982—the day after, he travelled to Iceland and announced his intention to become a classical composer. Ten years of studying and ongoing Killing Joke involvement later, he commenced conducting and worked with some of the world’s leading orchestras. Conductor Klaus Tennstedt described him as a “new Mahler”.

In 1995 Coleman released his first of three albums of symphonic rock music: Us and Them: Symphonic Pink Floyd, which peaked at number one in the Billboard Magazine Top Classical Crossover Albums chart, and Kashmir: Symphonic Led Zeppelin were both written and produced by Coleman with Peter Scholes conducting the London Philharmonic Orchestra. On 8 June 2007, Coleman collaborated with over 150 youth musicians in the Contemporary Youth Orchestra, based in Cleveland, Ohio, USA to perform the entirety of Kashmir: Symphonic Led Zeppelin along with additional orchestrations of Led Zeppelin’s music.

In 1999 he produced and arranged an album of Doors material for orchestra, performed by classical musicians including Nigel Kennedy and the Prague Symphony Orchestra, called Riders on the Storm: The Doors Concerto (CD released in 2000). He has worked with the New Zealand Symphony Orchestra, who have issued a CD of his Symphony No. 1 “Idavoll” with the Auckland Philharmonia Orchestra, and as composer in residence to the Prague Symphony Orchestra.

https://youtu.be/G4p2_fk6zHw
Music

The Sons of Camplin – Loosen Up Naturally

Being a Rock-n-Roll-Band guitar player since 1966, I got turned on to THE SONS at a concert they played outdoors at Diablo Valley College (Pleasant Hill / Concord, CA) the summer of 1971. I bought and still have most of the Sons LPs. I will forever by grateful and influenced in my music by these musicians. What an awesome blend of instrument sounds and incredible grooves! The story line in the songs mean a lot to me. Thank you Sons of Champlin. God bless you, Bill !

Sons of Champlin
Recorded Live: 10/4/1975 – Winterland (San Francisco, CA)

More The Sons of Champlin at Music Vault: http://www.musicvault.com
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Setlist:
0:00:00 – Slippery When It’s Wet
0:04:33 – Saved By The Grace Of Your Love
0:08:54 – For A While
0:13:46 – There Goes Your All Night
0:16:57 – Like To Get To Know You
0:23:49 – We Can Make It
0:28:45 – Lookout
0:33:08 – Turn On Your Lovelight / Drum Solo / Gold Mine
0:44:11 – Freedom / Get High

Personnel:
Bill Champlin – guitar, keyboards, lead vocals
Terry Haggerty – guitar, vocals
Geoff Palmer – keyboards, vocals
Dave Schallock – bass, vocals
James Preston – drums, percussion
Phil Wood – trumpet
Michael Andreas- sax
Steve Frediani – sax

Economy, Un-Classified

Free Candy Bar over Free 10 oz Silver Bar

People Choose Free Candy Bar over Free 10 oz Silver Bar (Worth $150) in Experiment

Media analyst Mark Dice offers random people their choice of a Hershey chocolate bar or a 10 oz silver bar (Worth $150) in an experiment. You have to see what happened next!

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Economy, Frugal Living

Usain Bolt has got nothing on Leonidas of Rhodos.

Usain Bolt has got nothingUsain-Bolt-olympic-runner
on Leonidas of Rhodos

Born nearly 2,000 years ago, Leonidas holds the record as the greatest sprinter of all time, winning more Olympic titles than anyone else in human history.

Leonidas-of-RhodosAt four straight Olympic games, Leonidas dominated all three sprinting events– the Stadion (roughly 200 meters), Diaulos (roughly 400 meters), and the bizarre Hoplitodromos– a 400 meter dash carrying 50 pounds of military gear.

Bear in mind that he competed at a time when there was only a prize for first place. Second place was first loser.

(And they didn’t hand out medals to all the kids just for participating.)

As such, Leonidas was a legend in his own time and was decorated accordingly.

Just like today, in fact, many ancient Greek athletes were rewarded by their city-states for an Olympic victory.

In Athens, the government would award prize money that was equivalent to about 500 sheep.

This was a highly coveted back then; livestock was considered a symbol of wealth and power, so a vast flock of sheep in Ancient Greece may have been the Maserati of its day.

I was particularly interested when I read this because I own some sheep in Chile; they cost the equivalent of about fifty to sixty US dollars in the marketplace.

It’s roughly the same price in the United States for young lamb and slaughter ewes (female sheep) based on USDA data.

But what really floored me was when I found out that the United States Olympic Committee hands out $25,000 in prize money to gold medal winners– roughly the amount necessary to buy a flock of 500 sheep today.

So over 2,000 years later, the prize money for champions is more or less the same.

Now, let’s consider which of these two is more valuable: $25,000 worth of sheep, or $25,000 worth of fiat money (paper currency).

Fiat money sits in a bank account earning a yield of 0.5%.

(Or if you’re really unlucky, you might even have the privilege of paying your bank interest like they do here in parts of Europe.)

Sheep, on the other hand, yield… more sheep.

Depending on breed, the typical conception rate for sheep is between 65% to 95%, with a gestation period of about 5 months.

So a herd can expand dramatically in a typical breeding season, producing meat, milk, and wool along the way.

Fiat money produces nothing. At least, not for you.

It remains in the hands of the bank where they make the most bonehead financial decisions with it, parking it whatever risky investment fad gets them the biggest annual bonus.

They’ll further act as unpaid agents of the government, freezing you out of your own savings in a heartbeat.

And if you request to withdraw your own money, they treat you like a criminal terrorist.

Now, I’m not trying to convince you to empty your bank account and go buy a flock of sheep.

The point is that productive assets stand the test of time. Paper currency does not.

Always remember that history is inflationary. And while there may be some aberrant years, holding cash will gradually erode your savings.

It’s imperative to make smart, long-term financial decisions. Seek stores of value that can stand the test of time.

In fairness, that’s easier said than done in an environment where every conventional asset class is in a bubble.

Stocks are at all-time highs. Bonds are at all-time highs (earning negative yields in some cases). Banks are perilously illiquid. Many real estate markets are frothy once again.

So it’s a tall order to find safety and stability– at least, within conventional finance.

Outside the mainstream, though, there are plenty of compelling options.

An heirloom Patek Phillipe wristwatch will likely be a much better store of value to pass on to your grandkids than the usual gift of a US government savings bond.

Productive real estate (including agriculture) can also be a much better alternative than letting money sit in a bank account. It’s like gold, with yield. And the added benefit of providing a place to stay, or even food on the table.

Privately held businesses can also be a great option as they can often be purchased at very low multiples on their earnings, generating instant yields of 40% or more.

And even though most stock are hovering at bubble levels, there are some deep value options available where you can buy shares of a well-managed, profitable business for less than the value of its net assets.

Frugal Living

What Happens to Meat When You Grill It?

Here’s What Happens to Steak When You Grill It

By Dr. Mercola

Eighty percent of US households own a grill or smoker, and 97 percent of grill owners have used it in the past year.  It’s safe to say Americans love to grill, particularly on holidays like the Fourth of July, Memorial Day, and Labor Day, but also year-round (60 percent of grillers do so all year).

As for why Americans adore grilling, the Hearth, Patio & Barbecue Association (HPBA) said the top reasons include its good taste and convenience.  Many also find it personally satisfying to grill outdoors while others find it a great way to entertain and spend time at home.

Grilled-Meat-What-Happens-to-the-meat-when-grilledWhat Happens to Meat When You Grill It?

If you’ve ever wondered about the science behind grilled meat, check out TIME’s video, above.  It starts out with an explanation of what makes red meat red, and contrary to popular belief, it isn’t blood.

The red liquid is actually a mixture of water and a protein called myoglobin, whose purpose is to help ship oxygen to muscle cells. Myoglobin is deeply pigmented, which is why the more myoglobin a meat contains, the darker (or redder) the meat will be.

The level of myoglobin in meat is what ultimately dictates whether it will be “red,” “dark,” or “white.” The muscles in red meat are used for standing, walking, and other frequent activity, and they’re made up of slow-twitch muscle fibers. Red meats’ high levels of myoglobin make it red or dark in color.

The color changes that occur as meat is cooked are also due to myoglobin. In red meat, myoglobin changes from red to tan and grayish brown as it is heated. As reported by The New York Times, this color change also has to do with moisture, which is why well-done meat that’s turned gray-brown is often dry:

“Oxygenated myoglobin is red, but when its structure is changed by heat or by other molecules, it changes color. That’s why redness in cooked meat signifies juiciness: As meat cooks, the heat causes the other meat proteins to coagulate and squeeze out their moisture.
Myoglobin stays unchanged and red as the meat juices flow, then turns from red to gray-brown as the release of moisture ends and the meat becomes dry.”

The Maillard Reaction is also involved. This occurs due to a chemical reaction between amino acids and sugars in the meat, which results in browning as well as the flavor of cooked meat.

You can further alter the flavor of the meat depending on whether you use a gas or charcoal grill. Compounds from the charcoal, woodchips, and smoke they create will permeate the meat, adding a more “authentic” grilled flavor.

Why Grilling Isn’t the Healthiest Choice for Cooking Your Meat

Grilling is, unfortunately, not one of the healthiest ways to cook your meat. Cooking at high temperatures, such as occurs during grilling, leads to the creation of toxic chemicals such as heterocyclic amines (HCAs), which are linked to cancer.

Avoiding charring your meat can help to some extent, as the blackened section is the worst in terms of HCAs, but it will not completely eliminate your risk. For instance, when fat drips onto the heat source, causing excess smoke, the smoke surrounds your food.

Along with adding that “flame-grilled” flavor to your meat, it can transfer cancer-causing polycyclic aromatic hydrocarbons (PAHs)as well. Both HCAs and PAHs are mutagenic, which means they cause changes in DNA that may increase cancer risk and have been found to cause cancer in animals.

So just how much of a cancer risk are you really taking when you eat grilled meat?  Scientists have estimated the average cancer risk due to heterocyclic amine exposure ranges from 1 per 10,000 for the average person to more than 1 per 50 for those ingesting large amounts of well-done muscle meats (beef, pork, fish, poultry), especially flame-grilled chicken.

Other research shows:

  • People who regularly eat well-done meat cooked at high temperatures have a 60 percent greater risk of pancreatic cancer
  • A diet high in HCAs has been linked to tumors in the breast, colon, liver, skin, lung, prostate, and other organs in animals
  • Animals fed PAHs developed leukemia and tumors of the gastrointestinal tract and lungs
Avoid Barbecue Sauce, Marinate Your Steak in Beer Instead

Not ready to give up grilling? At least resist smothering your steak in barbecue sauce. Such sauces, which are traditionally made with sugar and tomatoes, have been found to cause a significant increase in chemical formation – “doubling and even tripling” levels of HCAs after 15 minutes of cooking.

A far better option is to marinate the steak in beer. When researchers marinated pork loin steaks in beer for four hours, then grilled it to well-done on a charcoal grill, it lead to significantly lower amounts of PAHs in the meat.  The darker, presumably more antioxidant-rich beer, had the best effect. Specifically, compared to non-marinated pork loin:

  • A pale lager marinade (pilsner) reduced the formation of PAHs by 36.5 percent
  • A non-alcoholic pilsner marinade reduced formation by 25 percent
  • A black beer marinade (a dark lager) reduced PAHs by 68 percent

Past research also showed that marinating steak in red wine or beer for six hours before cooking cut levels of two types of HCAs by up to 90 percent.  Beer was also efficient at reducing a third type of HCA, cutting levels significantly in just four hours. In this study, the meat was pan-fried, not grilled, a method also known to create toxic byproducts.

Spices Are Your Friend When Grilling

You probably wouldn’t dream of throwing meat on the grill before applying your favorite spice rub, and this is a very good thing. Aside from adding flavor, spices and other marinades (such as vinegar and olive oil) can significantly cut back on the number of toxic cooking byproducts produced.

In one study, adding a spice blend to burgers reduced the level of malondialdehyde, a chemical marker for oxidation, in the meat by 71 percent and levels in participants’ urine by 49 percent.

Marinating steaks in a mixture of oil, water, and vinegar (without spices) was also effective at decreasing HCAs, as are commercial marinades. Each significantly decreased HCAs, as follows:

  • The Caribbean mixture decreased total HCA content by 88 percent
  • The herb marinade decreased HCAs by 72 percent
  • The Southwest marinade decreased HCAs by 57 percent

Since most store-bought marinades are far from healthy (they typically contain corn syrup, MSG, and other additives), I highly recommend making your own at home.  Fortunately, there are beneficial marinade ingredients available that will suit virtually everyone’s tastes.  For instance, the following ingredients have all been shown to be effective at lowering HCAs in various meats. Depending on your preference, you can add them in directly to the meat (such as in hamburgers), via marinade or using a dry rub:

  • Cherries, Dried plums, Apples, Garlic
  • Virgin olive oil, Teriyaki marinade, Turmeric, Onions
  • Rosemary, Grape seed extracts, Cider vinegar, Mustard
  • Lemon juice, Cloves, Cinnamon, Oregano
  • Black pepper, Paprika, Ginger
  • Make Your Steak Grass-Fed

Just as important as cooking method is choosing a high-quality source for your meat. I’ve often said that the differences between organic, pastured beef and that from animals raised in concentrated animal feeding operations (CAFOs) is so great that you’re really talking about two completely different animals (and the same applies to other animal meats, and animal products, such as dairy and eggs). The natural diet for ruminant animals, such as cattle, is plain grass. When left to their own devices, cattle will not graze on corn or soybeans.

Just as in humans, poor gut health in animals promotes disease. This radically altered diet also affects the nutritional composition of the meat. For example, when raised on a grass-only diet, levels of conjugated linoleic acid (CLA) are three to five times higher in the meat compared to CAFO beef. CLA has been found to have a wide array of important health benefits, from fighting cancer to decreasing insulin resistance and improving body composition.

Grass-fed beef also tends to be leaner, and have higher levels of vitamins and minerals such as calcium, magnesium, and potassium. It also has a healthier ratio of omega-6 to omega-3 fats. Unless labeled as grass-fed, virtually all the meat you buy in the grocery store is CAFO beef, and tests have revealed that nearly half of the meat sold in US stores is contaminated with pathogenic bacteria — including antibiotic-resistant strains.

Grass-fed beef is not associated with this high frequency of contamination, and their living conditions have everything to do with this improved safety. Currently, meat in supermarkets will be labeled 100% grass-fed if it came from pasture, but if it contains no label it’s probably CAFO-raised. Ideally, look for a reputable source of grass-fed beef from a local farm or food coop near you.

If You’re Going to Grill, This Can Make It Safer

As reported in the Natural Medicine Journal, eating a diet rich in vegetables (especially spinach and cruciferous varieties) and fermented foods will help to neutralize the negative effects of HCAs and other cooking byproducts.

So if you eat grilled food, be sure you’re eating plenty of vegetables and fermented foods as well… and if you drink alcohol, feel free to have an occasional beer along with it. It turns out the yeast beer contains may also help mitigate HCA toxicity, especially when consumed in close proximity in time to when the grilled meat is eaten.  Further, while I do recommend limiting the amount of grilled foods you consume, if you’re going to grill the following tips can help to cut down on the cooking toxins created:

  • You can reduce the amount of PAHs when you grill by not cooking fatty meats and by trimming the fat off before you grill.
  • When grilling, cook your food with indirect heat, such as on a rack rather than directly on the coals. Cooking on a cedar plank is also helpful.
  • Always avoid charring your meat (and don’t eat the black or brown parts).
  • Cook meat partially before putting it on the grill, or cook smaller pieces of meat, which take less time to cook, and therefore give HCAs less time to form.
  • You can reduce the amount of another cooking byproduct, advanced glycation end products (AGEs), in your food by using an acidic marinade that contains lemon juice or vinegar.
  • Marinating meats before grilling or broiling them can reduce HCAs (according to some experts by 90 percent or more). However, only use natural ingredients for marinades and keep the coating thin to avoid charring.
  • Flip your burgers often, as this will help cut down on HCAs.
  • Add blueberries, cherries, garlic, or spices to your burgers, as they can also help prevent the formation of HCAs.
  • Adjust your cooking temperature, even when using your oven. Increasing oven temperature from 392 degrees F to 482 degrees F may triple the amount of HCAs created in beef.
  • Avoid grilling hot dogs, bratwurst, and other processed meats, as these seem to be among the worst offenders.
  • If grilling chicken, remove the skin prior to cooking, and don’t eat the skin if you do cook it, as it has the highest HCA content.
  • Only grill high-quality, organic and grass-fed meats.
  • Cook the meat as little as possible – rare or medium-rare at the absolute most. You can also quickly sear the meat on both sides, leaving the inside mostly raw. This gives the illusion that you’re eating cooked meat, with many of the benefits of raw.

Remember, with HCAs, the longer the cooking time and the higher the heat, the more HCAs.

Meditation

HOW Emotionally Intelligent People Cope With Toxic People

Source: http://www.inc.com/drew-hendricks/8-ways-emotionally-intelligent-people-deal-with-toxic-people.html

8 Ways Emotionally Intelligent People Deal With Toxic People

Toxic people poison those around them, and gain satisfaction from creating disorganization and a stressful atmosphere.

Life is stressful enough for most of us. Allowing a toxic individual to ravage your immediate environment can cause havoc in your mental well-being, which can lead to physical challenges.

A bad state of mind not only affects your physical well-being but How-To-Deal-With-Toxic-People-300x225makes it difficult for you to respond calmly under pressure. Ninety percent of top performers are skilled at managing their emotions, so your ability to perform effectively can be affected if you do not adopt strategies that will allow you to deal with toxic people.

1. Successful People Establish Boundaries

There is a fine line between being friendly and allowing somebody to lead you down a path that jeopardizes your ability to remain effective. Successful people understand this and do not allow the toxic among them to take charge, but rather choose to set effective boundaries.

2. No One Limits Their Joy

How much do the words of those around you affect your state of mind? Successful people have mastered the ability to ensure that the negative remarks of others do not affect their strong sense of accomplishment. Toxic people like to break you down with rude, hurtful comments, and gain satisfaction from watching you fall apart.

Learn to react less to the opinions of others, especially those you know do not have your well-being at heart.

3. They Have Mastered the Art of Rising Above

From a seminar session by John Rampton when he was on stage at the 2014 TC Disrupt, we learn that:

“By mastering the act of rising above, successful people are able to remain rational and calm in the presence of the irrational and chaotic. They master rising above the rest, no matter what the circumstance.”

4. They Are Solution Focused

Do you spend more time focused on the negative person and how they affect your life than on achieving your goals? If so, then you have a problem. Instead of focusing on the negative, focus on your goals.

5. They Understand the Importance of Support

Reach out to your mentors, chances are, they have experienced what you are going through. There is a good chance that co-workers, team members, even family and friends have useful tips to help you get by. The emotionally intelligent understand how to tap into their resources to get through the challenges of working with toxic people.

6. They Are Aware

Self-awareness is important, because it involves knowing what it takes to push your buttons in order to prevent it from happening. Lack of emotional control is a great way to empower the toxic people in your life.

7. Forget-Me-Nots

Being forgiving comes with being emotionally intelligent. It allows you to remain unburdened by the mistakes of others and to have peace of mind. But being forgiving does not mean forgetting whom you can and cannot trust. It just means you stop wasting mental energy on those you cannot trust.

8. They Store Their Energy for Better Opportunities

As I have mentioned several times, the toxic thrive on chaos, and will do anything to have the ability to take you down to their level. Learning to understand your limits will help you to stay away from dangerous situations. Choose your battles wisely, and conserve your energy for bigger and better things.

Final Thoughts

Those we look up to as being the “bigger person” or as being able to conduct themselves in the most challenging of situations do not have a magic solution in their back pockets, but they have worked hard to become emotionally intelligent people. What are some of the challenges you have experienced with toxic people?

Related Reading:

How Successful People Handle Toxic People

Related articles
Meditation

Truly a Match Made in Heaven, After the Funeral

Mom-is-deadAn unmarried daughter was sobbing at her Mom’s funeral, but she did not expect to encounter this because funerals are a somber moment, aren’t they?

It’s hard to imagine a situation where you would find a funeral light and funny, but maybe it’s something like that when you need to keep your perspective on more important things in life.

Consumed by my loss, I didn’t notice the hardness of the pew where I sat. I was at the funeral of my dearest friend, my mother. She finally had lost her long battle with cancer.

The hurt was so intense; I found it hard to breathe at times. Always supportive, mother clapped loudest at my school plays, held a box of tissue while listening to my first heartbreak, comforted me at my father’s death, encouraged me in college, and prayed for me my entire life. When mother’s illness was diagnosed, my sister had a new baby and my brother had recently married his childhood sweetheart, so it fell on me, the 27 year old middle child with no entanglements to take care of her.

I felt it an honor. “What now?” I asked sitting in church. My life stretched out before me as an empty abyss. My brother sat stoically with his face toward the cross while clutching his wife’s hand. My sister sat slumped against her husband’s shoulder, his arms around her as she cradled their child.

All so deeply grieving, no one noticed I sat alone. My place had been with our mother, preparing her meals, helping her walk, taking her to the doctor, seeing to her medication.

Now she was gone. My work was finished, and I was alone. I heard a door open and slam shut at the back of the church. Quick steps hurried along the carpeted floor. An exasperated young man looked around briefly and then sat next to me. He folded his hands and placed them on his lap. His eyes were brimming with tears. He began to sniffle, “I’m late,” he explained, though no explanation was necessary.

After several eulogies, he leaned over and commented, “Why do they keep calling Mary by the name of Margaret?”

“Because that was her name, Margaret. Never Mary. No one called her Mary”, I whispered. I wondered why this person couldn’t have sat on the other side of the church. He interrupted my grieving with his tears and fidgeting. Who was this stranger anyway?

“No, that isn’t correct,” he insisted, as several people glanced over at us whispering, “Her name is Mary, Mary Peters. That isn’t who this is? Isn’t this the Lutheran church?”

“No, the Lutheran church is across the street, I believe you’re at the wrong funeral, sir.” The solemnness of the occasion mixed with realization of the man’s mistake bubbled up inside me and came out as laughter. I cupped my hands over my face hoping it would be interpreted as sobs. The creaking pew gave me away. Sharp looks from other mourners only made the situation seem more hilarious.

I peeked at the bewildered, misguided man seated beside me. He was laughing too, as he glanced around deciding it was too late for an uneventful exit. I imagined my mother laughing. At the final Amen, we darted out a door and into the parking lot. “I do believe we’ll be the talk of the town,” he smiled.

He said his name was Rick and since he had missed his aunt’s funeral, he asked me out for a cup of coffee. That afternoon began a lifelong journey for me with this man who attended the wrong funeral, but was in the right place.

A year after our meeting, we were married at a country church where he was the assistant pastor. This time we both arrived at the same church, right on time. In my time of sorrow, he gave me laughter. In place of loneliness, I now have love. This last month June past and  we celebrated our twenty second anniversary.  Whenever anyone asks us how we met, Rick tells them “Her mother and my Aunt Mary introduced us, and it’s truly a match made in Heaven.”