All posts by Clifford Taylor

The Michael Bloomfield Story

Michael Bloomfield, blues guitar player

Bloomfield was born into a wealthy Chicago Jewish-American family. Bloomfield’s father, Harold Bloomfield, was born in Chicago in 1914. Harold’s father, Samuel Bloomfield, started Bloomfield Industries in the early 1930s. After Samuel passed away, Harold and his brother, Daniel, took over the company. Bloomfield’s mother, Dorothy Klein, was born in Chicago in 1918 and married Harold in 1940. She came from an artistic, musical family, working as an actress and a model before marrying Harold.[4]

Bloomfield’s family lived in various locations around Chicago before settling at 424 West Melrose Street on the North Side. When he was twelve his family moved to suburban Glencoe, Illinois, where he attended New Trier High School for two years. During this time, he began playing in local bands, and Bloomfield put together a group called the Hurricanes, named after Ohio rock band Johnny and the Hurricanes. New Trier High School expelled Bloomfield after his band performed a raucous rock and roll song at a 1959 school gathering. He attended Cornwall Academy in Massachusetts for one year and then returned to Chicago, where he spent his last year of education at a local YMCA school, Central YMCA High School.[5]

Bloomfield had attended a 1957 Chicago performance by blues singer Josh White, and began spending time in Chicago’s South Side blues clubs and playing guitar with such black bluesmen as Sleepy John EstesYank Rachell, and Little Brother Montgomery. He first sat in with a black blues band in 1959, when he performed with Luther “Guitar Junior” Johnson at a Chicago club called the Place. He performed with Howlin’ WolfMuddy Waters, and many other Chicago blues performers during the early 1960s. In 1962 he married Susan Smith.[4]

Writing in 2001, keyboardist, songwriter and record producer Al Kooper said Bloomfield’s talent “was instantly obvious to his mentors. They knew this was not just another white boy; this was someone who truly understood what the blues were all about.”[6] Among his early supporters were B.B. King, Muddy Waters, Bob Dylan and Buddy Guy. “Michael used to say, ‘It’s a natural. Black people suffer externally in this country. Jewish people suffer internally. The suffering’s the mutual fulcrum for the blues.'”[6]

In the early 1960s he met harmonica player and singer Paul Butterfield and guitarist Elvin Bishop, with whom he would later play in The Paul Butterfield Blues Band.[1] He also began friendships and professional associations with fellow Chicagoan Nick Gravenites and Bronx-born record producer Norman Dayron, who was attending the University of Chicago. He developed a friendship with blues singer Big Joe Williams. In 1963 Bloomfield and his two friends George Mitchell and Pete Welding ran a weekly blues showcase at the Fickle Pickle.[4] He subsequently built up his reputation in two Chicago clubs, Big John’s and Magoo’s. With help from his friend Joel Harlib, a Chicago photographer who became Bloomfield’s de facto manager, he became a Columbia Records recording artist. In early 1964 Harlib took an audition tape by Bloomfield to Columbia producer and talent scout John Hammond, who signed him to Columbia’s Epic Records label.

Bloomfield recorded a few sessions for Columbia in 1964 that remained unreleased until after his death. In early 1965 he joined the Paul Butterfield Blues Band, which included Elvin Bishop and keyboardist Mark Naftalin, along with drummer Sam Lay and bassist Jerome Arnold, who had previously worked in Howlin’ Wolf’s band. Elektra Records producer Paul Rothchild recorded the band in spring 1965, but the majority of the tracks were not released until the 1990s. However, one of the tracks Rothchild recorded during his first pass at producing the group, a Nick Gravenites song titled “Born in Chicago,” was included on the Elektra album Folksong ’65, which sold two hundred thousand copies when it was released in September 1965. “Born in Chicago” became an underground hit for the Butterfield Band. Their debut album, The Paul Butterfield Blues Band, was recorded in September and released the following month.

In June 1965, Bloomfield had recorded with Bob Dylan, whom he had met in 1963 at a Chicago club called the Bear. The club was bankrolled by future Dylan and Butterfield manager Albert Grossman, who would play a major part in Bloomfield’s career. Bloomfield’s Telecaster guitar licks were featured on Dylan’s “Like a Rolling Stone“, a single produced by Columbia Record’s Tom Wilson. Bloomfield would play on most of the tracks on Dylan’s 1965 Highway 61 Revisited album, and he appeared onstage with Dylan in July at the Newport Folk Festival, where Dylan used Bloomfield and the Butterfield Band—minus Paul Butterfield—along with keyboardists Al Kooper and Barry Goldberg.[1] The show marked Dylan’s first use of an electric band in a live performance, and Bloomfield’s playing on the songwriter’s “Maggie’s Farm” is considered a landmark electric-guitar performance. After the Newport Folk Festival ended, Bloomfield helped Dylan complete the sessions for Highway 61 Revisited, and Dylan asked Bloomfield to join his touring band. Bloomfield demurred, preferring to continue playing with the Butterfield Band.

After Sam Lay fell ill after a series of dates in November 1965, the Butterfield Band brought Chicago-born drummer Billy Davenport into the group. During the first part of 1966, the band played in California, and they recorded their second album, East-West, that summer. The record’s title track found the band exploring modal music, and it was based upon a song Gravenites and Bloomfield had been playing since 1965, “It’s About Time.”

Bloomfield played on recording sessions between 1965 and 1967. His guitar playing had a huge impact on San Francisco Bay Area musicians after playing with the Butterfield band at Bill Graham’s Fillmore in March 1966, San Francisco’s Avalon Ballroom and also in the Los Angeles area due to the storied two-week run at the Golden Bear in Long Beach. He became a mentor and inspiration for many guitarists, especially in the SF Bay Area. He did a 1965 date with Peter, Paul and Mary that resulted in a song called “The King of Names,” and he recorded in 1966 with pop group Chicago Loop, whose “When She Wants Good Lovin’ (My Baby Comes to Me)” made Billboard Magazines chart that year. He also played guitar on recordings by Chuck BerryMitch Ryder and James Cotton.

Bloomfield tired of the Butterfield Band’s rigorous touring schedule and, relocating to San Francisco, sought to create his own group. He formed the short-lived Electric Flag in 1967,[1] with two longtime Chicago collaborators, Barry Goldberg and vocalist Nick Gravenites. The band featured a horn section. The band’s rhythm section was composed of bassist Harvey Brooks and drummer Buddy Miles. Miles had previously played in Wilson Pickett‘s touring band, while Brooks had performed with Al Kooper in bands in New York City, and had played with both Kooper and Bloomfield on Bob Dylan‘s Highway 61 Revisited. The group’s first effort was the soundtrack for director-producer Roger Corman‘s 1967 movie, The Trip, which was recorded in the spring of that year.

The Electric Flag debuted at the 1967 Monterey Pop Festival and issued an album, A Long Time Comin’, in April 1968 on Columbia Records. Critics complimented the group’s distinctive, intriguing sound but found the record itself somewhat uneven. By that time, however, the band was already disintegrating; rivalries between members, shortsighted management, and heroin abuse all took their toll. Shortly after the release of that album, Bloomfield left his own band, with Gravenites, Goldberg, and bassist Harvey Brooks following.

Bloomfield also made an impact through his work with Al Kooper, who had played with Bloomfield on Dylan’s “Like a Rolling Stone“. Kooper had become an A&R man for Columbia Records, and Bloomfield and Kooper had played piano on Moby Grape‘s 1968 Grape Jam, an instrumental album that had been packaged with the group’s Wow collection.

“Why not do an entire jam album together?” Kooper remembered in 1998, writing the booklet notes for the Bloomfield anthology Don’t Say That I Ain’t Your Man: Essential Blues, 1964–1969. “At the time, most jazz albums were made using this modus operandi: pick a leader or two co-leaders, hire appropriate sidemen, pick some tunes, make some up and record an entire album on the fly in one or two days. Why not try and legitimize rock by adhering to these standards? In addition, as a fan, I was dissatisfied with Bloomfield’s recorded studio output up until then. It seemed that his studio work was inhibited and reined in, compared to his incendiary live performances. Could I put him in a studio setting where he could feel free to just burn like he did in live performances?”

The result was Super Session, a jam album that spotlighted Bloomfield’s guitar skills on one side.[1] Bloomfield, who suffered from insomnia, left the sessions after the first day. Guitarist Stephen Stills completed the album with Kooper. It received excellent reviews and became the best-selling album of Bloomfield’s career.[1] Its success led to a live sequel, The Live Adventures of Mike Bloomfield and Al Kooper, recorded over three nights at Fillmore West in September 1968.

Bloomfield continued with solo, session and back-up work from 1968 to 1980. He played guitar on Mother Earth‘s cover of Memphis Slim’s “Mother Earth,” a track from their 1968 Living with the Animals album, and on two albums by Texas-born soul singer Wayne Talbert. With Mark Naftalin, he produced the 1968 sessions for James Cotton’s 1968 album Cotton in Your Ears. He released his first solo album, It’s Not Killing Me, in 1969. Bloomfield also helped Janis Joplin assemble her Kozmic Blues Band (for the album I Got Dem Ol’ Kozmic Blues, Again Mama!) in 1969, co-wrote “Work Me, Lord” for the album, and played the guitar solo on Joplin’s blues composition “One Good Man.” Columbia released another 1969 album, a live concert jam, Live at Bill Graham’s Fillmore West, including Mark Naftalin, former Electric Flag bandmates Marcus Doubleday and Snooky Flowers, and a guest appearance by Taj Mahal. In the same year he reunited with Paul Butterfield and Sam Lay for the Chess Records album Fathers and Sons, featuring Muddy Waters and pianist Otis Spann. Bloomfield composed and recorded the soundtrack for the film Medium Cool, directed by his second cousin, Haskell Wexler. The film includes footage shot in Chicago during the 1968 Democratic National Convention. With Nick Gravenites, he produced blues guitarist Otis Rush‘s 1969 album Mourning in the Morning, recorded at FAME Studios in Muscle Shoals, Alabama with a band that included keyboardists Mark Naftalin and Barry Beckett, along with guitarist Duane Allman.

During 1970 Bloomfield gave up playing because of his heroin addiction:

…and I put the guitar down – didn’t touch it. Shooting junk made everything else unimportant, null and void, nolo contendere. My playing fell apart. I just didn’t want to play.[7]

He recorded his second solo album, Try It Before You Buy It, in 1973. Columbia rejected it; the complete version of the record would not appear until 1990. Also in 1973, he cut Triumvirate with Dr. John and guitarist and singer John Hammond Jr.[1] In 1974, he rejoined the Electric Flag for an album titled The Band Kept Playing. In 1975 he recorded an album with the group KGB. The group’s name is an acronym of the initials of singer and songwriter Ray KennedyBarry Goldberg and Bloomfield. The band also included Ric Grech and drummer Carmine Appice.[1] Grech and Bloomfield quit shortly after its release. As the record hit stores in 1976, Bloomfield told journalists that the group had been an ill-conceived moneymaking project. The album was not well received by critics,[1] but it did contain the standout track “Sail On, Sailor”. Its authorship was credited to “Wilson-Kennedy”, and had a bluesy, darker feel, along with Ray Kennedy’s original cocaine-related lyrics.[citation needed] In the same year, he performed with John Cale on Cale’s soundtrack for the film Caged Heat. In 1976 he recorded an instructional album for guitarists, If You Love These Blues, Play ‘Em as You Please, which was financed through Guitar Player magazine.[1]

In the 1970s Bloomfield played in local San Francisco Bay area clubs, including the Keystone Korner, and sat in with other bands. In 1977, Bloomfield was selected by Andy Warhol to do the soundtrack for the pop artist’s last film, Andy Warhol’s Bad[8] (also known as BAD). An unreleased single, “Andy’s Bad”,[9] was also produced for the project. During 1979–1981 he performed often with the King Perkoff Band, sometimes introducing them as the “Michael Bloomfield and Friends” outfit. Bloomfield recorded “Hustlin’ Queen”, written by John Isabeau and Perkoff in 1979. He toured Italy and Sweden with guitarist Woody Harris and cellist Maggie Edmondson in the summer of 1980. He sat in with Bob Dylan at San Francisco’s Warfield Theatre on November 15, 1980. Bloomfield played on Dylan’s “Like a Rolling Stone” and “The Groom’s Still Waiting at the Altar”.[10] He continued to play live dates, and his performance at San Francisco State College on February 7, 1981, would be his final appearance.

Although Bloomfield came from a wealthy family, he never inherited a large lump sum. He received annual income from a trust that had been set up by his paternal grandfather, which gave him $50,000 each year.

Bloomfield died in San Francisco on February 15, 1981.[11] He was found seated behind the wheel of his car, with all four doors locked.[12] According to police, an empty Valium bottle was found on the car seat, but no suicide note was found.[13] The medical examiner who performed the autopsy ruled the death accidental, though he was unable to determine a cause of death, because no drugs were found in Bloomfield’s system, and there were no signs of foul play.[14] Bloomfield’s last album, Cruisin’ for a Bruisin’, was released the day his death was announced.[1] His remains are interred in a crypt at Hillside Memorial Park Cemetery, in Culver City, near Los Angeles.

Bloomfield’s musical influences include Scotty MooreChuck BerryLittle RichardB.B. KingBig Joe WilliamsOtis RushAlbert KingFreddie King and Ray Charles.[15]

Bloomfield originally used a Fender Telecaster, though he had also used a Fender Duo-Sonic while recording for Columbia following his 1964 signing to the label. During his tenure with the Butterfield Blues Band he used that Tele on the first Butterfield Album and on their earliest tours in fall of 1965. By November he had swapped that guitar with International Submarine Band guitarist John Nuese for Nuese’s 1954 Gibson Les Paul Goldtop model, which he used for some of the East-West sessions and which he acquired in Boston.

In 1967, Bloomfield swapped the Goldtop with his friend repairman/musician Dan Erlewine for Dan’s 1959 Les Paul Standard and $100. The Les Paul Standard had proven unpopular in the late 1950s because it was deemed too heavy and too expensive by rock and roll guitarists. Gibson discontinued manufacturing the model in 1960. Bloomfield used the Les Paul Standard in the Electric Flag and on the Super Session album and concerts. He later switched between the Les Paul and the Telecaster, but his use of the Les Paul inspired other guitarists to use the model and spurred Gibson to reintroduce the Les Paul Standard in 1968.

Bloomfield eventually lost the guitar in Canada; Wolkin and Keenom’s biography revealed that a club owner kept the guitar as partial compensation after Bloomfield cut short a round of appearances. This turned out to be accurate and the gig in question was at the Cave in Vancouver, booked from Tue. Nov. 12th 1974, for five days, until Sat. the 16th. The band played the first night but the next day, Bloomfield boarded a plane and flew home to San Francisco with virtually no notice to the club, hotel, or band members; his friend Mark Naftalin found a note on a torn piece of paper in the hotel room that read, “bye bye, sorry”. Bloomfield’s two guitars had been left at the club and were retained by club owner Stan Grozina, who wanted compensation for lost revenues.

Unlike contemporaries such as Jimi Hendrix and Jeff Beck, Bloomfield rarely experimented with feedback and distortion, preferring a loud yet clean, almost chiming sound with a healthy amount of reverb and vibrato; this approach would strongly influence Jerry Garcia, who segued from a career in acoustic-based music to electric rock at the height of the Butterfield Band’s influence in 1965. One of his amplifiers of choice was a 1965 Fender Twin Reverb. His solos, like those of most blues guitarists, were based in the minor pentatonic scale and the blues scale. However, his liberal use of chromatic notes within the pentatonic framework and his periodic lines based on Indian and Eastern modes allowed a considerable degree of fluidity in his solos.

Gibson has since released a Michael Bloomfield Les Paul—replicating his 1959 Standard—in recognition of his impact on the blues genre, his role in the revived production of the guitar, and his influence on many other guitarists.[16] Because the actual guitar had been unaccounted for so many years, Gibson relied on hundreds of photographs provided by Bloomfield’s family to reproduce the guitar. The model comes in two configurations—a clean Vintage Original Specifications (VOS) version, with only Bloomfield’s mismatched volume and tone control knobs, missing toggle switch cover, and kidney-shaped tuners replacing the Gibson originals indicating its inspiration and a faithful, process-aged reproduction of the guitar as it was when Bloomfield played it last, complete with the finish smudge below the bridge and various nicks and smudges elsewhere around the body.

His influence among contemporary guitarists continues to be widely felt, primarily in the techniques of vibrato, natural sustain, and economy of notes. Guitarists such as Joe BonamassaArlen RothCarlos SantanaSlashJimmy VivinoChuck HammerEric JohnsonElliot EastonRobben FordJohn ScofieldJimmy HerringPhil Keaggy, and G.E. Smith remain essentially influenced by Bloomfield’s early recorded work.

Glass-Steagall Emergency Banking Act needs to be restored

Banking Act of 1933 (Glass-Steagall)

June 16, 1933

The Glass-Steagall Act effectively separated commercial banking from investment banking and created the Federal Deposit Insurance Corporation, among other things. It was one of the most widely debated legislative initiatives before being signed into law by President Franklin D. Roosevelt in June 1933.

President Roosevelt signs the Glass-Steagall Act alongside the bill"s co-sponsors, Senator Carter Glass and Representative Henry Steagall, and others.

Roosevelt Signing the Glass-Steagall Act (Photo: Bettmann/Bettmann/Getty Images)


by Julia MauesOffsite link, Federal Reserve Bank of St. Louis

The emergency legislation that was passed within days of President Franklin Roosevelt taking office in March 1933 was just the start of the process to restore confidence in the banking system. Congress saw the need for substantial reform of the banking system, which eventually came in the Banking Act of 1933, or the Glass-Steagall Act. The bill was designed “to provide for the safer and more effective use of the assets of banks, to regulate interbank control, to prevent the undue diversion of funds into speculative operations, and for other purposes.” The measure was sponsored by Sen. Carter Glass (D-VA) and Rep. Henry Steagall (D-AL). Glass, a former Treasury secretary, was the primary force behind the act. Steagall, then chairman of the House Banking and Currency Committee, agreed to support the act with Glass after an amendment was added to permit bank deposit insurance.1 On June 16, 1933, President Roosevelt signed the bill into law. Glass originally introduced his banking reform bill in January 1932. It received extensive critiques and comments from bankers, economists, and the Federal Reserve Board. It passed the Senate in February 1932, but the House adjourned before coming to a decision. It was one of the most widely discussed and debated legislative initiatives in 1932.

Some background: In the wake of the 1929 stock market crash and the subsequent Great Depression, Congress was concerned that commercial banking operations and the payments system were incurring losses from volatile equity markets. An important motivation for the act was the desire to restrict the use of bank credit for speculation and to direct bank credit into what Glass and others thought to be more productive uses, such as industry, commerce, and agriculture.

In response to these concerns, the main provisions of the Banking Act of 1933 effectively separated commercial banking from investment banking. Senator Glass was the driving force behind this provision. Basically, commercial banks, which took in deposits and made loans, were no longer allowed to underwrite or deal in securities, while investment banks, which underwrote and dealt in securities, were no longer allowed to have close connections to commercial banks, such as overlapping directorships or common ownership. Following the passage of the act, institutions were given a year to decide whether they would specialize in commercial or investment banking. Only 10 percent of commercial banks’ total income could stem from securities; however, an exception allowed commercial banks to underwrite government-issued bonds. The separation of commercial and investment banking was not controversial in 1933. There was a broad belief that separation would lead to a healthier financial system. It became more controversial over the years and in 1999 the Gramm-Leach-Bliley Act repealed the provisions of the Banking Act of 1933 that restricted affiliations between banks and securities firms.

The act also gave tighter regulation of national banks to the Federal Reserve System, requiring holding companies and other affiliates of state member banks to make three reports annually to their Federal Reserve Bank and to the Federal Reserve Board. Furthermore, bank holding companies that owned a majority of shares of any Federal Reserve member bank had to register with the Fed and obtain its permit to vote their shares in the selection of directors of any such member-bank subsidiary.

Another important provision of the act created the Federal Deposit Insurance CorporationOffsite link (FDIC), which insures bank deposits with a pool of money collected from banks. This provision was the most controversial at the time and drew veto threats from President Roosevelt. It was included at the insistence of Steagall, who had the interests of small rural banks in mind. Small rural banks and their representatives were the main proponents of deposit insurance. Opposition came from large banks that believed they would end up subsidizing small banks. Past attempts by states to instate deposit insurance had been unsuccessful because of moral hazard and also because local banks were not diversified. After the bank holiday, the public showed vast support for insurance, partly in the hope of recovering some of the losses and partly because many blamed Wall Street and big bankers for the Depression. Although Glass had opposed deposit insurance for years, he changed his mind and urged Roosevelt to accept it. A temporary fund became effective in January 1934, insuring deposits up to $2,500. The fund became permanent in July 1934 and the limit was raised to $5,000. This limit was raised numerous times over the years until reaching the current $250,000. All Federal Reserve member banks on or before July 1, 1934, were required to become stockholders of the FDIC by such date. No state bank was eligible for membership in the Federal Reserve System until it became a stockholder of the FDIC, and thereby became an insured institution, with required membership by national banks and voluntary membership by state banks. Deposit insurance is still viewed as a great success, although the problem of moral hazard and adverse selection came up again during banking failures of the 1980s. In response, Congress passed legislation that strengthened capital requirements and required banks with less capital to close.

The act had a large impact on the Federal Reserve. Notable provisions included the creation of the Federal Open Market Committee (FOMC) under Section 8. However, the 1933 FOMC did not include voting rights for the Federal Reserve Board, which was revised by the Banking Act of 1935 and amended again in 1942 to closely resemble the modern FOMC.

Prior to the passage of the act, there were no restrictions on the right of a bank officer of a member bank to borrow from that bank. Excessive loans to bank officers and directors became a concern to bank regulators. In response, the act prohibited Federal Reserve member bank loans to their executive officers and required the repayment of outstanding loans.

In addition, the act introduced what later became known as Regulation Q, which mandated that interest could not be paid on checking accounts and gave the Federal Reserve authority to establish ceilings on the interest that could be paid on other kinds of deposits. The view was that payment of interest on deposits led to “excessive” competition among banks, causing them to engage in unduly risky investment and lending policies so that they could earn enough income to pay the interest. The prohibition of interest-bearing demand accounts has been effectively repealed by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. Beginning July 21, 2011, financial institutions became allowed, but not required, to offer interest-bearing demand accounts.


Endnotes
  • 1Glass and Steagall also cosponsored the Banking Act of 1932, which was also commonly referred to as the Glass-Steagall Act prior to the passage of the Banking Act of 1933.
Bibliography

Federal Reserve Bank of St. Louis. “Banking Act of 1933.” June 16, 1933, https://fraser.stlouisfed.org/scribd/?item_id=15952&filepath=/docs/historical/ny%20circulars/1933_01248.pdfOffsite link.

Friedman, Milton and Anna J. Schwartz. A Monetary History of the United States 1867-1960. Princeton: Princeton University Press, 1963.

Meltzer, Allan. A History of the Federal Reserve Volume 1: 1913-1951. Chicago: University of Chicago Press, 2003.

Preston, Howard H. “The Banking Act of 1933.” The American Economic Review 23, no. 4 (December 1933): 585-607.

Shughart II, William. “A Public Choice Perspective of the Banking Act of 1933.” Cato Journal 7, no. 3 (Winter 1988).

Silber, William. “Why Did FDR’s Bank Holiday Succeed?” Federal Reserve Bank of New York Economic Policy Review, July 2009.

Wells, Donald. The Federal Reserve System: A History. Jefferson, NC: McFarland & Company, 2004.

White, Lawrence J. “The Gramm-Leach-Bliley Act of 1999: A Bridge Too Far? Or Not Far Enough?” Suffolk University Law Review 43, no. 4 (August 2010).


Emergency Banking Act of 1933

March 9, 1933

Signed by President Franklin D. Roosevelt on March 9, 1933, the legislation was aimed at restoring public confidence in the nation’s financial system after a weeklong bank holiday.

President Franklin Roosevelt signing the Emergency Banking Act

Roosevelt Signing the Emergency Banking Act (Photo: Bettmann/Bettmann/Getty Images)


by Stephen GreeneOffsite link, Federal Reserve Bank of St. Louis

“The emergency banking legislation passed by the Congress today is a most constructive step toward the solution of the financial and banking difficulties which have confronted the country. The extraordinary rapidity with which this legislation was enacted by the Congress heartens and encourages the country.”
– Secretary of the Treasury William Woodin, March 9, 1933

“I can assure you that it is safer to keep your money in a reopened bank than under the mattress.”
– President Franklin Roosevelt in his first Fireside Chat, March 12, 1933

Immediately after his inauguration in March 1933, President Franklin Roosevelt set out to rebuild confidence in the nation’s banking system. At the time, the Great Depression was crippling the US economy. Many people were withdrawing their money from banks and keeping it at home. In response, the new president called a special session of Congress the day after the inauguration and declared a four-day banking holiday that shut down the banking system, including the Federal Reserve. This action was followed a few days later by the passage of the Emergency Banking Act, which was intended to restore Americans’ confidence in banks when they reopened.

The legislation, which provided for the reopening of the banks as soon as examiners found them to be financially secure, was prepared by Treasury staff during Herbert Hoover’s administration and was introduced on March 9, 1933. It passed later that evening amid a chaotic scene on the floor of Congress. In fact, many in Congress did not even have an opportunity to read the legislation before a vote was called for.

Two photos; the image to the left shows New York’s deserted financial district during the bank holiday of March 1933, while the image to the right shows President Franklin Roosevelt giving a fireside chat to the American people.

NY Financial District and President Franklin Roosevelt Fireside Chat (Photo: Associated Press)

In his first Fireside Chat on March 12, 1933, Roosevelt explained the Emergency Banking Act as legislation that was “promptly and patriotically passed by the Congress … [that] gave authority to develop a program of rehabilitation of our banking facilities. … The new law allows the twelve Federal Reserve Banks to issue additional currency on good assets and thus the banks that reopen will be able to meet every legitimate call. The new currency is being sent out by the Bureau of Engraving and Printing to every part of the country.”

The Act, which also broadened the powers of the president during a banking crisis, was divided into five sections:

  • Title I expanded presidential authority during a banking crisis, including retroactive approval of the banking holiday and regulation of all banking functions, including “any transactions in foreign exchange, transfers of credit between or payments by banking institutions as defined by the President, and export, hoarding, melting, or earmarking of gold or silver coin.”
  • Title II gave the comptroller of the currency the power to restrict the operations of a bank with impaired assets and to appoint a conservator, who “shall take possession of the books, records, and assets of every description of such bank, and take such action as may be necessary to conserve the assets of such bank pending further disposition of its business.”
  • Title III allowed the secretary of the treasury to determine whether a bank needed additional funds to operate and “with the approval of the President request the Reconstruction Finance Corporation to subscribe to the preferred stock in such association, State bank or trust company, or to make loans secured by such stock as collateral.”
  • Title IV gave the Federal Reserve the flexibility to issue emergency currency—Federal Reserve Bank Notes—backed by any assets of a commercial bank.
  • Title V made the act effective.

In that Fireside Chat, Roosevelt announced that the next day, March 13, banks in the twelve Federal Reserve Bank cities would reopen. Then, on March 14, banks in cities with recognized clearing houses (about 250 cities) would reopen. On March 15, banks throughout the country that government examiners ensured were sound would reopen and resume business.

Roosevelt added one more boost of confidence: “Remember that no sound bank is a dollar worse off than it was when it closed its doors last week. Neither is any bank which may turn out not to be in a position for immediate opening.”

What would happen if bank customers again made a run on their deposits once the banks reopened? Policymakers knew it was critical for the Federal Reserve to back the reopened banks if runs were to occur. To ensure the Fed’s cooperation to lend freely to cash-strapped banks, Roosevelt promised to protect Reserve Banks against losses. In a telegram dated March 11, 1933, from Treasury Secretary William Woodin to New York Fed Governor George Harrison, Roosevelt said,

“It is inevitable that some losses may be made by the Federal Reserve banks in loans to their member banks. The country appreciates, however, that the 12 regional Federal Reserve Banks are operating entirely under Federal Law and the recent Emergency Bank Act greatly enlarges their powers to adapt their facilities to a national emergency. Therefore, there is definitely an obligation on the federal government to reimburse the 12 regional Federal Reserve Banks for losses which they may make on loans made under these emergency powers. I do not hesitate to assure you that I shall ask the Congress to indemnify any of the 12 Federal Reserve banks for such losses.”

Was the Emergency Banking Act a success? For the most part, it was. When banks reopened on March 13, it was common to see long lines of customers returning their stashed cash to their bank accounts. Currency held by the public had increased by $1.78 billion in the four weeks ending March 8. By the end of March, though, the public had redeposited about two-thirds of this cash.

Wall Street registered its approval, as well. On March 15, the first day of stock trading after the extended closure of Wall Street, the New York Stock Exchange recorded the largest one-day percentage price increase ever, with the Dow Jones Industrial Average gaining 8.26 points to close at 62.10; a gain of 15.34 percent.

Other legislation also helped make the financial landscape more solid, such as the Banking Act of 1932 and the Reconstruction Finance Corporation Act of 1932. The Emergency Banking Act of 1933 itself is regarded by many as helping to set the nation’s banking system right during the Great Depression.

The Emergency Banking Act also had a historic impact on the Federal Reserve. Title I greatly increased the president’s power to conduct monetary policy independent of the Federal Reserve System. Combined, Titles I and IV took the United States and Federal Reserve Notes off the gold standard, which created a new framework for monetary policy.1

Title III authorized the Reconstruction Finance Corporation (RFC) to provide capital to financial institutions. The capital injections by the RFC were similar to those under the TARP program in 2008, but they were not a model of the actions taken by the Fed in 2008-09. In neither episode did the Fed inject capital into banks; it only made loans.


Endnotes
  • 1The gold standard was partially restored by the Gold Reserve Act of 1934. The United States remained on the gold standard until 1971.
Bibliography

Federal Reserve Bank of St. Louis. “Documents and Statements Pertaining to the Banking Emergency, Presidential Proclamations, Federal Legislation, Executive Orders, Regulations, and Other Documents and Official Statements, Part 1, February 25 – March 31, 1833.” 1933, https://fraser.stlouisfed.org/scribd/?item_id=23564&filepath=/docs/historical/federal%20reserve%20history/bank_holiday/bank_emerg_pt1_19330225.pdfOffsite link.

History Matters, the U.S. Survey Course on the Web. “‘More Important Than Gold’: FDR’s First Fireside Chat.” Accessed September 30, 2013, http://historymatters.gmu.edu/d/5199/Offsite link.

Silber, William L. “Why Did FDR’s Bank Holiday Succeed?Offsite link” Federal Reserve Bank of New York Economic Policy Review, July 2009, 19-30.

You Are Here: Concept for spreading Audio Arts like Visual Arts

San Diego Central Library Art Gallery

You Are Here

Month/Day through Month/Day, 2018 | S. D. Central Library Gallery
Opening reception, noon – 2 pm, Saturday Month/Day

 

This exhibit celebrates the creative energy found within San Diego’s higher-education music departments, and brings that unique energy off the local school campuses to the public’s Central Library, downtown San Diego.

Based on the legacy model of On-Campus Exhibitions, this event gives the general public easy and FREE access to the audio and musical talents of local teaching-artists, and their emerging audio / music art students.

Display booths filled with audio music art technology, will put on view new works (Neo Opus) that are as diverse as the sound studio art practices at the schools of higher-education.  These works will exhibit:

  • Instructors and students working together in a variety of audio / musical methods and styles;
  • Including analogy and digital technology, incorporation.

The Exhibition Show includes XX instructors with XXX students representing XX schools of higher-education.  Some of the following instructors / schools who are scheduled to participate in “You Are Here” include:

 


Concept Source Material:

The World’s Land Owners are at War!

By JC Collins

The Crowns of the Beast and Our Spiritual Evolution

Sometimes I feel hopeless. The weight of our situation is so overwhelming that emotions overtake me and I suffer fleeting moments of despair. This is always brought on by the realization that we truly are born into a world of slavery. The beast system is all encompassing and has infiltrated all aspects of material and spiritual existence.

But there is hope, and when I remember this I spring back to life and feel empowered under the force of my own right-minded action and integrity.

In researching the history of the international monetary system and the rise and fall of empires, some interesting patterns begin to emerge. The full scope of human undertakings must be considered when compiling a true record of human history. All things are connected on multiple levels, and nothing stands in isolation to the total sum.

The series SDR and the New Bretton Woods which launched Philosophy of Metrics (POM) represented the first step towards full awareness about the machinations of world powers. Over the last four years we have covered a lot of ground and most of the predictions made have been accurate. Promoting understanding of the truth is not popular as the large majority of the disorganized masses have a natural aversion to the truth, and instead desire the false comfort of rumour and fantastical narratives which distract from the cruel reality around them. POM has continued researching and promoting full awareness about world powers and the incremental growth of readers around the world would suggest the hard work is achieving the outlined objectives.

This article is meant to bring together some of the different topics which we have covered. The SDR and monetary information is woven through it all. The first installment of what was meant to be an extended Antichrist series will be consolidated into this piece alongside the ongoing research about the double-headed eagle symbolism and World Adversarial Force. The esoteric themes represent the framework which holds it all together.

Perhaps we should categorize it all under the label “Law of Adversity”, for that is truly what we are learning about. The origins of modern law can be traced back to the Phoenician Empire. Versions of law were implemented from the very beginning of human history, but the Phoenician Empire organized and structured advanced systems of law which have evolved to become the complex legal frameworks which control the majority of the modern world.

Let’s take a quick look at some basics. Here in Canada all land is owned by the Crown. Now most Canadians think that the Crown is the Queen of England, but this is not the case. The British Royal Family serves a purpose and maintains their importance through serving the Crown in whatever capacity is required, as do other families and institutions.

Canadians (as well as Americans and citizens of most nations) are born and go about the business of getting an education and entering the workforce. The time and labor which is accumulated by each Canadian is likely to end up being paid to a bank for a mortgage on a property of some sort. This property can never be legally owned by the person who’s name is on the mortgage documents alongside the name of the banking institution. Even if the mortgage is completely paid in full, the person will still have to request that the banks named be removed from the land title.

But what no one ever really questions is the legal ownership status of the land as detailed on the title document. Here in Canada the terms Freehold Lease or Land Tenure are used. These legal terms mean that the person who spent half of their life, or more, paying a mortgage is now only leasing the land for free, and allowed tenure on the land which is in fact legally owned by the Crown. This legal land owning practice goes back to the Phoenicians and their implementation of systems of law to manage cultural and socioeconomic mandates for the purpose of controlling mass populations.

Legal names on government documents require all capitals. As an example, my legal corporate name is JARED COLLINS, and is required to be documented as such on all legal documents which serve as a contract between corporations. Contract law and corporate law are the frameworks which govern the world, and most people never stop to consider why they are instructed to use all CAPITALS when completing legal documents. The LEGAL you is a fabrication and serves to further enslave use under a system of perpetual taxation and wealth transference.

The purpose of this system is not about consolidating more wealth. It is about preventing the growth and consolidation of wealth outside of the system. This would be wealth which could be used to threaten the existence of the system from the outside. At times certain nations and small empires have been allowed to exist as long as they incorporated parts of the Beast system into their own internal frameworks.

Russia is a nation which has integrated aspects of the Beast system, but has not fully succumbed to the full force of the system itself. The Russian landmass accounts for 4.2 billion acres, which is 11% of the Earths total habitable land mass of 36.8 billion acres. This accounts for a huge Russian presence on the Eurasian continent.

Those who have been following the double-headed eagle articles will know that Russia is the one nation which has never been successfully conquered and enslaved by this outside system of legal influence. Throughout history empires such as Napoleons, as well as the Ottoman Empire, were used along with the German people in two world wars, to achieve the objective of invading and subjugating the Russian land mass. All failed, and the ongoing strategic moves by NATO and America, which constitute the Anglo-American establishment arm of the Crown, represent the continuation of this goal.

It is interesting that urban legend and some old prophecies tell us that both Napoleon and Hitler were previous antichrists as mentioned in the Book of Revelations. Both Napoleon and Hitler were used by powerful forces to attempt the invasion and subjugation of Russia. This comparison and pattern will be important as we move further into this material.

The Phoenicians also structured the governance of their empire around the concept of city states. In the modern world there are three city states which exist. They are the City of London, the Vatican, and Washington DC. I suspect that both Jerusalem and Hong Kong are being positioned for city state status also.

Located in the City of London, outside of banking and financial institutions, is the Crown Temple. The Crown Temple manages the systems of international law and is another corporation which is controlled by the Vatican.

The Vatican City itself, is the trustee of the Catholic Church, and is one of the most powerful and wealthiest organizations in the world. There is ample evidence and thought provoking cases made which support the thesis that the Catholic Church is the Beast and Antichrist from Revelations. Some of the evidence matches with our literal interpretations of the Bible and the Book of Revelations, such as:

  1. It exists as both a church and a city. The Vatican is both a church and a city state.
  2. It is seated upon seven mountains. The seven hills of Rome which the Vatican touches are Aventine, Caelian, Capitoline, Esquiline, Palatine, Quirinal, and Viminal.
  3. It is arrayed with purple and scarlet, as well as gold and precious stones. The church is pretty flashy with all the purple and red cloaks, and idols adorned with gold and gems. Not to mention that purple was one of the important colours of the Phoenician priest class.
  4. Asserts power over all the inhabitants of Earth. There is no doubt that the Catholic Church has immense power around the world.
  5. It arose within a densely populated region with cultural diversity. Europe could be accurately described this way.
  6. Eradicated other kingdoms and empires with its rise to power. The Catholic Church did wage war against existing empires in the region of Europe and the Mediterranean, including the Anglo-Saxons, the Vandals, the Visigoths, Heruli, Astrogoths, and Franks, plus others, but there is much more to this, as we will discover. It is interesting to note that there are no bloodlines which exist today which can be traced back to some of these kingdoms (Vandals, Visigoths and Heruli), as if “they were ripped out by the root”.
  7. The Beast makes war with the saints. The war and violence the Church has committed against the true Christians, such as the Cathars, and centuries later the Protestants, can not be denied. The Inquisition is a stain upon human history, and is estimated the Beast had killed over 100 million of the those who sought spiritual freedom and evolution.
  8. A single man acts and speaks for the whole. The Pope fills this role, and is the only spokesman for the entire Roman Catholic Church.
  9. The “sovereign” of this kingdom exalts himself above God. The Pope is called the Father and does in fact exalt himself above God. As a side note on this point, The Sovereign is also another name for the Crown. Pope Leo XIII wrote “We hold upon this Earth the place of God Almighty.”
  10. The name and number of the Beast is the name and number of a man, and this number is 666. The Pope’s “Crown” holds the inscription “Vicarius Filii Dei”. Translated from Latin this means “Vicar of the Son of God”. Vicar means “substitute”. So the Pope is the substitute for the Son of God upon the Earth. The numerical value of this Latin name is 666.
  11. The Antichrist speaks pompous words and blasphemies. The claims of the Pope to be God on Earth serves as the ultimate blasphemy. The Church also claims to be able to forgive sins. That doesn’t sound right to me.
  12. Changed the time and the law of God. The Catholic Church has modified the ten commandments, such as removing the 2nd commandment about idol worship, and along with changing the Sabbath from Saturday to Sunday, in fact reset the calendar to year zero 2017 years ago as a part of its efforts to hijack, halt and take control of the spiritual revolution which was taking place at the time. In addition, the Church created and implemented the Gregorian Calendar in the year 1582. It actually removed 10 days from existence. The Protestants resisted the new calendar and Ukraine and Russia never did use it.

Readers will note from other posts that the Protestant Reformation was started by the Knights Templar centuries before, who the Catholic Church arrested and murdered. The Templars used the double-headed eagle as its emblem, as did the Eastern Holy Roman Empire (not the Vatican) who supported and protected the Protestant Reformers. Russia and Ukraine have also use the double-headed eagle and supported the Eastern Holy Roman Empire.

It is clear from the above information that the Catholic Church is the best fit for the Beast and Antichrist. But there is so much more which needs to be considered. There is still the Dragon which gave the Beast its powers.

When it comes to owning land, the Church owns about 177 million acres. This amounts to around 0.5% of the total habitable land on Earth. It has other wealth, such as banks and other financial assets, along with gold and untold historical documents, but its not enough to suggest it alone has dominion over the whole Earth.

The Crown is referenced as owning 6.6 billion acres, which is 18% of the Earth. But the Crown in this regard is only referring to the land accumulated and owned by the British Empire. It doesn’t include the landmass of the United States, China, India, and Africa, all of which good cases can be made for ownership by the Crown. The fact that America, and each of the other regions use the system of international law which is managed by the Crown Temple in the City of London, would strongly suggest that the Crown, or Sovereign, would own those lands as well.

This would put Crown land ownership well over 50% of the Earth’s total habitable land mass.

We will explore that more in future articles.

Consider, the Beast that rises from the sea in Revelations represents the habitable land mass of the Earth. Empires and human weakness attempt to conquer and control this land. Is it possible that Russia is the only land mass which has not yet been conquered and subjugated by the Crown (Dragon), and as such, is the only nation (with perhaps Iran/Persia) which is preventing the full Beast/Antichrist system from being complete?

Russia makes up a huge part of the Eurasian continent. Eurasia has 80% of the worlds resources and contributes 80% to the global GDP. It also houses 85% of the worlds population. It can never be fully controlled as long as Russia is not completely subjugated. Russia has been, and continues to be, the great prize.

The Crown is not the British Empire. The British Royal Family are used by the Crown, much like other nations and people are used. It is my conclusion that the Crown is the reconstituted Phoenician Empire and its system of laws and city state governance structure. The Crown owns the vast majority of the world’s surface land and the people who dwell upon that land. All must be a part of the Beast system in order to participate in commerce and the purchase of goods.

Sounds familiar, right?

There is also building evidence that the Catholic Church was used to create the religion of Islam. It is probable that Islam was the tool used by the Crown (Phoenicians) to control the whole of the Middle East and its Arab peoples. Even the Seafaring People, who the Phoenicians used to invade and wage war against its enemies, evolved into the Jewish people of the modern world. The Hebrews, who absorbed much of the Babylonian religion, wandered without a homeland and were incorporated into the Phoenician forces as the mysteries Seafaring People of the Mediterranean.

Both the United Nations and the Catholic Church have called for there to be a new international monetary system, and the call for a world government is getting louder. The Pope is even working towards merging all religions into one and is openly promoting the tenets of Islam and worldwide liberalism and multiculturalism.

The Protestant Reformation was an attempt by the forces of right-mindedness to counter the Crown and its growing institutions in the world. The Crown went to work on a counter-reformation and began a centuries long campaign against Russia and those who supported right-minded action based on integrity and honour. This war continues today, and until the Russian land mass is successfully conquered there will always be a beachhead from which the battles can be fought.

All of the religions of the world suppress spiritual evolution. The Eastern religions still maintain some semblance of spiritual purpose, but the importing of these religions into the Western world is slowly corrupting them.

The ancient mystery schools also maintained the purpose and process of spiritual evolution, but these were corrupted a long time ago and little from within the esoteric and hermetic schools of the modern world should be trusted. The Crown has attempted to destroy the process of spiritual evolution in the material world. It wages war upon those who carry the double-headed eagle emblem, as the double-headed eagle represents the coming together of the material and spiritual bodies. Two become one.

It is interesting that it was the workers and craftsmen from Phoenician King Hiram of Tyre who assisted the Hebrews with the building of Solomons Temple in Jerusalem. Thousands of years later it was the Knights Templar (double-headed eagle) who excavated under the old temple and discovered something which forced the Catholic Church to turn on them.

Perhaps they discovered truth.

The divisions in this world begin within each one of us. It is the light and darkness which battle for control of our lives. We project this battle out into the material world. The adversity this battle creates encourages learning. We only learn through adversity. This is why no matter what the Dragon or Beast does, it will lose. The more of the world it controls, the more the people of the world are stricken with hardship and adversity. The more adversity, the more we learn how to spiritually evolve.

The World Adversarial Force is the Dragon. The Beast and Antichrist are its systems of governance and controls which manage and engineer the cultural and socioeconomics of the world. The Dragon exists within each one of us. It is the reptilian part of our evolution, just like we are part mineral, plant, and animal. We are also part reptile.

The Crown is the manifestation of the World Adversarial Force from within each one us. Those of us who have fallen victim to the narrative of one group or another controlling the whole of the world have been tricked to leave the trail of enlightenment and spiritual evolution.

Think on human weakness and the sin of greed. We want more of the material things and less of the spiritual. We need a balance of these two things in order for both matter and spirit to evolve together, and the Christ to return within each one us.

Monetary systems and the control of wealth is the greatest weapon used against us. It is why so many of us obsess on gold and currency.

Consider everything I have written here. The Pope wears the same headdress as the Phoenician priests. The Phoenician Empire is rising from the ashes of the mortal head would it suffered thousands of years ago. Its systems of law and governance cover the face of the Earth.

Now consider the cover from the Economist Magazine decades ago where it showed a Phoenix bird standing on a pile of burning dollars. Get ready for a world currency it said. The Phoenician Empire is coming back. But fear not. It has been destroyed on previous occasions and can be again. The Tower of Babel and the blasphemy of Nimrod against God ensured that the people were scattered across the face of the Earth and given different languages so they could never come together and scheme against God again.

But damn, didn’t we find a way.

A one world government and religion, along with a universal language app I’m sure, will not succeed either. Each of us are meant to walk the grail path and learn the Christ process of material and spiritual evolution. We are not a corporation. We are spiritual and material beings. Imbalances will not be allowed to continue towards one inevitable end. Both light and dark must exist in balance with one another.

Banks in the United States are becoming LESS SAFE, Again!

What I’m about to tell you isn’t some wild conspiracy. Or fake news. It’s raw fact, based on publicly available data from the US Federal Reserve.  This data shows a very simple but concerning trend:

Banks in the United States are becoming less safe. Again.

And they’re doing it on purpose. Again.

Few people ever give much thought to the safety and security of their bank.  After all, banks go out of their way to instill an overwhelming sense of confidence that they’re rock solid.

They spend tons of money on ornate lobbies in giant buildings. They buy the naming rights to football and baseball stadiums.  And hey, they’re insured by the government.

But it turns out that none of these elaborate distractions means anything when it comes to bank safety.

Safety is actually pretty easy to calculate.

Think about the business of banking– it’s simple. Banks take deposits, and then use that money to make loans and various investments.

For a bank, those deposits represent the amount of money they owe to their customers.

So obviously the total value of a bank’s loans and investments (i.e. its assets) should exceed its total deposits.

This is known as solvency. A solvent bank has SUBSTANTIALLY more assets than it owes in deposits.

That way, if a loan or investment goes bad, the bank will still be able to repay its depositors.

The other safety factor is liquidity, which basically means that, eventually the bank is going to have to give some of the money back.

Perhaps a depositor decides to initiate an electronic funds transfer to another bank… or makes a withdrawal at an ATM.

The bank should have sufficient cash on hand to be able to meet these needs.

Banks that lack proper liquidity can rapidly run into catastrophic problems, forcing them to fire sale assets in order to raise cash, which in turns could trigger a solvency crisis.

In both of these scenarios, solvency and liquidity, cash is king.

(Note that “cash” can mean both physical currency sitting in a vault, as well as a bank’s electronic deposits at Federal Reserve and other cash equivalents.)

For solvency, cash is about as risk-free as it gets.

Anything that a bank does with your money is going to carry some level of risk. Buying bonds. Car loans. Student loans. Business loans. Residential mortgages.

These all carry certain risk of default. Cash doesn’t.

So a bank with higher levels of cash will typically have much lower risk to its solvency.

Simultaneously, a bank with a strong cash position is also liquid, and hence more likely to be able to honor its customers’ transactional needs.

Bottom line, a safe, conservative bank maintains high levels of cash, especially relative to the total amount of deposits.

But that’s not happening in the Land of the Free.

How the Fractional Reserve Banking system and Federal Reserve work

The Federal Reserve’s most recent report on “Assets and Liabilities of Commercial Banks in the United States” published last Friday showed a continuing trend in the erosion of bank safety.

This is a weekly report, so there’s tons of data. And the trend goes back now at least 2.5 years.

Since late 2014, for example, Fed data show that total cash assets at US banks has been in steady decline, dropping roughly 25% over that period.

But at the same time, total deposits at the banks has actually increased around 15%.

So you can see the issue: cash is falling while deposits are increasing. This is the OPPOSITE of what a responsible bank should be doing.

A conservative bank seeks to INCREASE or at least MAINTAIN the level of cash it has on hand as a percentage of customer deposits.

Banks in the US have been doing the opposite– decreasing their cash holdings while deposits have been rising.

Proportionally, the aggregate cash-to-deposit ratio in the US has fallen by 32% since late 2014.

That’s a steep drop.

So what exactly have they been doing with that money, i.e. the money they should be holding in cash?

The truth is we’ll never know.

Banking is a giant black box. We are provided scant detail about what these people are actually doing with our money.

Sure, they’re making loans. But what loans? To whom? Are the borrowers creditworthy? Is there valuable, high-quality collateral? Does the interest rate make sense to compensate for the risk?

No one knows. Not even the banks themselves know.

When you have hundreds of billions (or even trillions) of dollars of assets on your books, it’s impossible to really know what you own.

So we’re basically all in the dark.

I’m not telling you this to suggest that there’s some major crisis looming or that you should yank all of your money out of the US banking system.

But it’s important to understand that banks are not as risk-free as they lead on.

This huge drop in the cash-to-deposit ratio is a conscious decision. It doesn’t happen by accident. Banks are choosing to hold less cash, i.e. be less safe.

(And the government which supposedly guarantees it all is itself insolvent to the tune of negative $60+ trillion. But that’s another story.)

Why take the chance? Why keep 100% of everything that you’ve ever earned locked up in a system that is actively making itself less safe…

… not to mention the industry’s uninterrupted history of fleecing its customers?

There are too many other alternatives out there.

You could consider transferring a portion of your savings overseas to a stronger, more conservative bank abroad.

Or you could become your own banker by holding some savings in physical cash in a safe at your home or a non-bank safety deposit box facility.

Cryptocurrency is an option (though you’ll have to stomach the extreme volatility for now).

Or even something as mundane as buying Amazon.com gift cards.

There are countless options to distance yourself from this system if you simply have the willingness to see the big picture.

Your Happiness Depends Upon Your Thoughts

 

“The happiness of your life depends upon the quality of your thoughts”.

 

Sometimes, for some  of us, the need for adversity in the world is a prerequisite for personal growth and development.  Therefore, the conscious effort to enhance the quality of our thoughts should be structured as a tool which can be used to manage adversity and maximize our personal growth potential.

Again, these are the words of Roman-Emperor Marcus Aurelius (121AD – 180AD) whose simple statement with immense impact, is  for those people who challenge themselves to consider it further:

The happiness of your life depends upon the quality of your thoughts.

As in times past, the world today is full of things and matters which cause much stress, confusing thoughts, and mixed emotions. Many people wander around in life, looking for answers and someone to make sense of it all for us. This is the base human need which governments and religions evolve from. It’s almost as if we are genetically hardwired to force someone else, or something else, to be responsible and accountable for our lives.

With that projection and externalization comes the inevitable shift-blaming:

  • “I’m unhappy because so and so did something mean to me.”
  • “My job is horrible because the company has no clue how to run a successful operation.”
  • “I’m not passing because my teacher sucks.”
  • “I’m poor because rich people are greedy.”
  • “I’m dying because corporations are putting poison in the food.”

We can come up with an endless list of such statements, and though some statements may be partially true based on evidence, each statement also suggests that the speaker is helpless to do anything about it, and consequently has accepted a state of victim hood.

There is a well-known phrase which says that if we don’t live our life based on our own plan, than we will be living it based on someone else’s plan. Another way of saying that is “plan your life or someone else will plan it for you.”

What we are experiencing in this existence and within this world is an overabundance of people who are allowing others to plan their life for them. This is the baseline for the master and slave dynamic. We are either a master or a slave to varying degrees. We can be our own master or a master to others. Equally so we can be our own slave or a slave to others. We can even be all of those things at the same time depending on environment and situation.

As an example, a rich person could serve as a type of master over a thousand men but could be a slave to his own weakness to greed and avarice. Likewise, a man could be master over his own inner thoughts and feelings but still be subjected to a master-type influence by things in his environment which are outside of his control.

The difference which Marcus Aurelius is drawing our attention to is that we have full control over our own thoughts and how we want to perceive that which we have control over and that which we don’t. We have full control over our own thoughts which when managed consistently can begin to alter and adjust those things which we originally perceived as being outside of our control.

The suggestion is that if we accept a state of victimhood the quality of our thoughts will always be negative and detrimental to our overall well-being. If we do not accept a state of victimhood, no matter the situation, and focus the quality of our thoughts on what we can control we will soon begin to realize that the area which we do control will grow larger and larger.

This is called re-framing our thoughts. We can even re-frame the thoughts of others. This takes us back to the master and slave dynamic and how someone else will plan our lives for us if we don’t plan it ourselves.

You need to focus the quality of your thoughts on your own frames and how to re-frame those frames which put you in a victim hood type mentality.

We are bombarded every waking minute of our lives with messages that are attempting to force outside frames upon us. We are never told this because than we would not accept the frames that are detrimental to us and beneficial to others.

The world is the way it is today because there are more people who are allowing “masters” to formulate plans and frames for them as opposed to being their own masters. It should also be considered that we are both our own master and slave while simultaneously being master and slave to others as well.

The statement about quality of thoughts by Marcus Aurelius is a great place to start this series on the Wisdom of the Ancients, as it provides us a common frame to begin the discussion. This series will be primarily focused on self-discovery and self-improvement. We explain and trend the things in the world which we feel matter but let’s also begin the process of understanding what we can do to promote and encourage change in the world.

You make me laugh, Don (Shafer: trumpet player, friend)

This is a voice message response from Maverick to Don Shafer (trumpet player) who had just sent Maverick a text saying: “Sounds like you need to play some blues.  I think you committed to the gig.”

That struck such a “funny-bone” with me, that I couldn’t stop hysterical laughing:

And, of course, last Father’s Day my dear friend, Taz, came by the property here in San Diego to pay a visit, and he got me laughing, real hard:

 

Situational Awareness

Situational Awareness:  is the ability to identify, process, and comprehend the critical elements of information about what is happening with regards to the mission. More simply, it’s knowing what is going on around you.

https://en.wikipedia.org/wiki/Situation_awareness

WHEREVER GREAT WEALTH EXISTS OR WHERE THERE IS A PROMISE OF IT…THERE WILL ALWAYS BE THOSE MOTIVATED TO INJECT THEMSELVES WITHIN ITS PROCESS FOR THEIR OWN PERSONAL GAIN AND AGENDA WITHOUT REGARD FOR THOSE THAT FALL PREY TO THEIR DECEPTION.

THIS IS NO MORE TRUE ANYWHERE THAN WITHIN THE DINAR COMMUNITY. A COMMUNITY WHERE A MAJORITY OF PARTICIPANTS HAVE NEVER BEEN TESTED WITH THESE DECEPTIONS FROM EVIL GENIUSES AND SOCIOPATHS WITH THE PRIMARY GOAL TO ENRICH THEMSELVES WITHOUT REGARD TO THE HUMAN DESTRUCTION AND DASHED DREAMS LEFT IN THE WAKE.

THESE EVIL GENIUSES MAY BELIEVE THEY ARE ENTITLED…MAYBE EVEN DIVINELY PERMITTED…TO TAKE FROM THE MEEK AND UNSOPHISTICATED. THEY ARE SELF ENCOURAGED TO PREY ON THE WEAK TO FEED AN UNDERLYING NEED TO FULFILL AN ARTIFICIAL AND EXAGGERATED EGO AND SENSE OF SUPERIORITY AND ENRICH THEMSELVES VIA THOSE ACTIONS.

I AM SADDENED, BUT NOT SURPRISED, THAT THEY EXIST OR THAT THEY WILL CONTINUE TO EXIST. THEY ARE SO CONSUMED IN COUNTER-PRODUCTIVE AND SELF SERVING PURPOSES THAT THEY WILL CONTINUE TO PREY ON THOSE WITH LIMITED CAPACITY, UNDERSTANDING, NAIVETE’ AND THEIR REAL OR IMAGINED DESPERATION ATTEMPTING TO ROB THEM OF ANY PROMISE THEY MAY HAVE TO IMPROVE THEIR LOT AND THAT OF THEIR FAMILIES.

WE HAVE LONG SURMISED THAT LONG-TERM WEALTH IS NOT PROMISED NOR INTENDED FOR ALL …EVEN UNDER THE MOST OPTIMISTIC RESULTS.

WE SEE WITH MORE EVIDENCE DAILY THAT WEALTH FOR MANY WILL DISAPPEAR DUE TO THE GULLIBILITY AND BLIND TRUST PLACED IN THOSE PERSONS WITH THE APPEARANCE OF AUTHORITY, TITLE, POSITION OR KNOWLEDGE AND THE RESULTING POOR CHOICES MADE TO FOLLOW THE DIRECTIONS OF THEM CAUSING THE EVENTUAL LOSSES OF ANY POTENTIAL REALIZED GAINS FROM THE EXCHANGE.

MANY OF US WILL ENJOY OUR PARTICIPATION IN THIS SPECULATIVE ADVENTURE BUT, AS THE PROPOSED STATISTICS FROM YEARS AGO SUGGEST….RETENTION OF THE NEW WEALTH WILL BE FLEETING FOR MANY.

THAT IS WHY WE DECIDED EARLY ON AND, HAVE MAINTAINED THE SINGULAR GOAL, TO EDUCATE OURSELVES AND THOSE THAT CAN SEE AND HEAR… SO THAT WE MAY DEFY THOSE PROJECTIONS AND STATISTICS; AT LEAST WITHIN THE SCOPE OF OUR MEMBERSHIP AND THE WIDER AUDIENCE THAT HAVE DILIGENTLY LISTENED AND STUDIED THE SUGGESTED MATERIALS AND HEEDED THE DIRECTIONS WE ENCOURAGED OVER THE YEARS.

AWARENESS, RESEARCH, VERIFICATION, DIVERSITY, PERSONAL RESPONSIBILITY AND, A STEADY APPLICATION OF ALL THE ABOVE, MUST BE EXECUTED NOW AND IN THE FUTURE TO REACH THE GOAL OF BEING THE STATISTICAL MINORITY OF THOSE THAT WILL RETAIN AND MAINTAIN THIS NEW WEALTH AND DEVELOP A STRONG FOUNDATION AND LEGACY FOR OUR FAMILIES AND ALL THOSE WE TOUCH THROUGHOUT TIME.

HANG IN THERE

Don’t Forsake Me

Sar hamamunah, sar hamamunah
Ginat agoz gum patah nah
Ginat agoz gum patah nah
Likrat yadidi umaherah

Don’t cast me away
When I start to fade
When my mind’s unmade
Don’t forsake me
When my strength has ebbed
Don’t forsake me.

I know the day will come,
I know the day will come
And all my life will be haze and spark
Don’t ever leave me in the dark.

Don’t cast me away
When I start to fade
When my mind’s unmade
Don’t forsake me
When my strength has ebbed
Don’t forsake me.
Oh, Oh, Oh,
Don’t cast me away

US by Paul Genova – The State of the Union

Friday, January 27, 2017

Mr. Paul Genova has been President and Chief Operating Officer of Wireless Telecom Group Inc. since June 30, 2016. Mr. Genova served as the Chief Executive Officer of Wireless Telecom Group Inc. from November 16, 2009 to June 30, 2016.

Source: http://aschaper1.blogspot.com/2017/01/us-by-paul-genova.html

I haven’t said too much about this election since the start….but this is how I feel.

I’m noticing that a lot of you aren’t graciously accepting the fact that your candidate lost. In fact you seem to be posting even more hateful things about those of us who voted for Trump.

Some of you are apparently “triggered” because you are posting how “sick” you feel about the results.

How did this happen you ask?

Well here is how it happened!

  • You created “us” when you attacked our freedom of speech.
  • You created “us” when you attacked our right to bear arms.
  • You created “us” when you attacked our Christian beliefs.
  • You created “us” when you constantly referred to us as racists.
  • You created “us” when you constantly called us xenophobic.
  • You created “us” when you told us to get on board or get out of the way.
  • You created “us” when you attacked our flag.
  • You created “us” when you took God out of our schools.
  • You created “us” when you confused women’s rights with feminism.
  • You created “us” when you began to emasculate men.
  • You created “us” when you decided to make our children soft.
  • You created “us” when you decided to vote for progressive ideals.
  • You created “us” when you attacked our way of life.
  • You created “us” when you decided to let our government get out of control.
  • You created “us” the silent majority.
  • You created “us” when you began murdering innocent law enforcement officers.
  • You created “us” when you lied and said we could keep our insurance plans and our doctors.
  • You created “us” when you allowed our jobs to continue to leave our country.
  • You created “us” when you took a knee, or stayed seated or didn’t remove your hat during our National Anthem.
  • You created “us” when you forced us to buy health care and then financially penalized us for not participating.

And, we became fed up and we pushed back and spoke up.

And we did it..
With ballots, not bullets
With ballots, not riots
With ballots, not looting
With ballots, not blocking traffic
With ballots, not fires,
except the one you started inside of “US”

“YOU” created “US”.

It’s just that simple.

Pass this on if you believe this represents most of “US”.

Related:

Donald Trump: Already Better Than Reagan

Global Currency Reset – IMF to be frank and candid with exchange rate analysis

President Trump’s Treasury Secretary, Mnuchin, tells the International Monetary Fund (IMF) that he expects a “frank and candid” exchange rate analysis. Frequent readers of my blog posts here, will not be surprised by this development.

Source: http://www.zerohedge.com/news/2017-02-21/mnuchin-tells-imf-he-expects-frank-and-candid-exchange-rate-analysis

With the Trump administration having gone radio silent in recent weeks on the issue of currency manipulation and whether it sees the dollar, or other currencies, as under- or over-valued, there was a notable if vague update from U.S. Treasury Secretary Steven Mnuchin who spoke to the IMF’s Managing Director Christine Lagarde on Tuesday and told her that he expects the IMF to provide “frank and candid” analysis of exchange rate policies.

There was no elaboration of what the apriori US stance was coming into the conversation.

The spokesperson said that in a phone call to Christine Lagarde, Steven Mnuchin emphasized the importance that the administration places on boosting economic growth and jobs in the United States, and looked forward to robust economic policy advice from the IMF regarding its member countries, and the objective of tackling global imbalances.

The readout from the a Treasury Spokesperson of Secretary Mnuchin’s Call with International Monetary Fund Managing Director Christine Lagarde is below:

WASHINGTON – U.S. Treasury Secretary Steven Mnuchin spoke by phone today with Christine Lagarde, Managing Director of the International Monetary Fund (IMF).

In his conversation with Madame Lagarde, Secretary Mnuchin welcomed the key role the IMF plays in promoting global economic growth and stability and in preventing and responding to economic crisis. He noted the importance the Administration places on boosting economic growth and jobs in the United States, and looked forward to robust IMF economic policy advice on its member countries and tackling global imbalances. Secretary Mnuchin also underscored his expectation that the IMF provide frank and candid analysis of the exchange rate policies of IMF member countries.
Needless to say, a full transcript of the conversation would have been far more useful for all those wondering if the dollar is set to continue its recent growth spurt or if Mnuchin hinted that Trump would be happier with a lower dollar going forward.

Uneducated Voters – a period of non-critical thinking and mob mentality

The obvious truth on cultural segregation and a changing political demographic

An ideal Republic demands an informed population which can serve as an electoral body of critical thinkers. Past educational programs within distinct societies and civilizations have been tasked with providing this body of critical thinkers.

As is the case in previous eras, civilizations which transition through various stages of socioeconomic development invariably pass through the obvious periods of enlightenment and heightened culture only to bottom out when civilization reverses and a period of non-critical thinking and mob mentality controls the mechanisms of governance and power.

There are many reasons for the predictability of such a cultural evolution and devolution.

One is the periods of decadence which serve to weaken the power structures and societal foundations. These periods of decadence are preceded by massive expansions of the money supply which inject excess capital into the domestic economies and lead to the waste associated with the onset of decadence.

This erosion and degeneration of cultural responsibility and accountability leads to even further fragmentation of Republic ideals as those who rise to positions of power and control within the governance and commerce frameworks begin to legislate socialist mandates.

These mandates are meant to warp the judicial and educational structures within the civilization for the purpose of establishing and maintaining a cultural segregation which promotes equality but in fact is attempting to encourage further division and redistribution to those at the top of the power structure.

Under such a methodology, sometimes planned and sometimes unplanned, all the civil and official institutions exist to serve the growing power structure. The educational system, once meant to produce a mass population of organized critical thinkers shifts to the far left of the cultural spectrum where it is focused primarily on producing a mass population of disorganized non-critical thinkers who are trained to operate the machinery and mechanisms of the governance and commerce structures but are never educated enough to threaten those at the top of the power structure itself.

This de facto caste type system continues to grow until a mass swell of critical thinkers within the disorganized masses are able to organize and begin the process of sovereign renewal throughout the multiple levels of commerce, education and politics.

It is as if the utter lack of critical thinking reaches a point where it actually sparks a new awareness and birth of critical thinking which then begins the process of rising and challenging the power structure.  One of the clear indicators that this transformation has begun is the weakening of the educational system which materializes through a growing division in the electoral body. We are experiencing such divisions and fragmentation now as the election of Donald Trump and the BREXIT vote in Great Britain would suggest.

In both cases the left power structure has hammered the point that it was predominately “uneducated voters” who moved against the existing framework and are attempting to overthrow those at the top. This slanderous attempt at cultural segregation is transparent in that it draws attention to the false promotion of equality which the power structure promotes.

The inevitable corruption and devolution of the educational system ensures that this mass body of “uneducated voters” will develop the critical thinking which is required in order to recognize the corruption and inherent degeneration of the existing framework.

Those who consider themselves to be “educated voters” are in fact conditioned and moulded to maintain and perpetuate the existing power structure. This is accomplished through refocusing the purpose of the educational system from building critical thinkers to such mundane and counter intuitive tasks as conforming and bending to cultural group think.

Those who have avoided the educational system for whatever reason – costs, no interest, not fitting in, etc.. – find themselves in the advantageous position of not having been subjected to the curriculum of mass socioeconomic and cultural engineering. This avoidance of the control integration points both allows and encourages the development of critical thinking as a direct response to the lack of critical thinking which will have reached epidemic proportions within the existing system.

This disenfranchised and disorganized mass begins to organize itself and use the gears and levers of the governance framework to take back control of the system. The once “educated” demographic begins to find itself faced with a mass population of electoral voters who have developed both critical thinking and the ability to recognize the inherent and degenerate characteristics of the collapsing and fragmenting system.

The ruling demographic of “educated” and non-critical thinking electoral voters find themselves confused and unable to understand why the cultural mechanisms of socialism and equality are now falling apart under the weight of the growing demographic of “uneducated” and critical thinking electoral voters. The contradiction between promoting cultural equality while granting special interest groups and pre-defined minority groups select privileges never occurs to them. This cultural segregation takes the form of special laws of exclusion and inclusion which is enforced upon another demographic as the opposite. Inclusion for one demographic means exclusion for another.

The culture begins to develop multi-tiered legal, educational, and business micro frameworks which isolate those “uneducated” masses who have not participated in the macro framework of social inclusion and non-critical thinking. The divide only grows broader from this point as the disorganized masses organize and critical thinking begins to be injected once again into the mechanisms of governance and power.

This will inevitably lead once again to the implementation of Republican ideals and the expansion of an electoral body of critical thinkers. The governance and power frameworks begin to focus once again on the application of a common law for all demographics and the reintroduction of educational, financial, monetary, and political sovereignty.

Paraprosdokians

First time I heard about Paraprosdokians, I liked them.

Paraprosdokian is a derivative of a Greek word, which means beyond expectation. It is a wordplay type of literary device. Its final part of a phrase or sentence is unexpected. Its unexpected or surprised shift in meaning appears at the end of a stanza, series, sentence or paragraph.  So, paraprosdokians are figures of speech in which the latter part of a sentence or phrase is surprising or unexpected and is frequently humorous.

(Winston Churchill loved them)

  1. Where there’s a will, I want to be in it.
  2. The last thing I want to do is hurt you … but it’s still on my list.
  3. Since light travels faster than sound, some people appear bright until you hear them speak.
  4. If I agreed with you, we’d both be wrong.
  5. We never really grow up — we only learn how to act in public.
  6. War does not determine who is right, only who is left.
  7. Knowledge is knowing a tomato is a fruit. Wisdom is not putting it in a fruit salad.
  8. To steal ideas from one person is plagiarism. To steal from many is research.
  9. I didn’t say it was your fault, I said I was blaming you.
  10. In filling out an application, where it says, “In case of emergency, notify… ” I answered ” a doctor.”
  11. Women will never be equal to men until they can walk down the street with a bald head and a beer gut, and still think they are sexy.
  12. You do not need a parachute to skydive. You only need a parachute to skydive twice.
  13. I used to be indecisive, but now I’m not so sure.
  14. To be sure of hitting the target, shoot first and call whatever you hit the target.
  15. Going to church doesn’t make you a Christian, any more than standing in a garage makes you a car.
  16. You’re never too old to learn something stupid.
  17. I’m supposed to respect my elders, but it’s getting harder and harder for me to find one now.  Sadly this is true!!!

So…..
Spread the laughter, share the cheer, let’s be happy, while we’re here.

It’s Not About President Trump: The New World Revolution from a Anthropologist Perspective

“Hillary is the Candidate of Yesterday – We Are the Movement of Tomorrow” ~ Donald J. Trump

Republican presidential candidate Donald Trump arrives to speak at a campaign rally, Wednesday, Sept. 21, 2016, in Toledo, Ohio. (AP Photo/ Evan Vucci)
Republican President Donald J. Trump

As these words are being w ritten, we all are in the middle of  election day American Presidential vote of 2016. The historic energy surrounding this event is evident to all who have been paying attention.  Those who haven’t can still acknowledge that something of interest and importance has been taking place in their peripheral.

The results will now determine the path forward not just America, but also for the world.  Trump’s statement “Hillary is the candidate of yesterday – we are the movement of tomorrow” was chosen as a method of penetrating the collective consciousness of the masses and make the mental shift towards the new and emerging world.

The message itself is reminiscent of the direction  that Clinton represents (and the establishment she affilliates with); the old political order and someone should have told her, and the shifting new American establishment, that this transformation was taking place.

It has never been considered by the alternative media that the international banking interests would use populist and nationalist movements to transform the world into a more consolidated and centralized system.  It was always assumed, and heavily promoted, that a one world governance framework would mean the loss of national sovereignty.  But one must consider the nature of sovereignty and national identity to begin with.

What is a nation?

The understanding principle in how the world is structured can be best interpreted by grasping the scalable nature which exists.  This scalable micro and macro bi-transitioning can be applied.  Let’s use the concept of nation as our baseline.  Within a nation the land is divided into states and provinces.  Within each of these there are counties and municipalities.  Each serves as corporations of some form or another, with tax revenue and a local governance framework, which is meant to produce a revenue stream and profit.

The land is also divided into farm sections.  These sections have been traditionally owned and operated by land owners, both small and large.  Each farm has its crop and herd of cattle, pigs, chickens, etc..  The animals on each farm do not understand that they serve the same purpose as the animals on other farms.  Each segmented parcel of farm land and municipal governance structure serves as the micro-framework within the larger national macro-framework.

As we shift our understanding above the baseline the nation becomes the micro-framework, just like the farm and municipality, while the larger international structure becomes the macro-framework.  All would appear to be operating independently from one another but connected through logistical and management processes.

Pride of ownership and participation at all levels throughout the governance architecture exists.  There is national pride which is evident in the Make America Great Again movement.  There is also pride and participation in the states and cities.  These levels below the national baseline are encouraged by sports teams and other methods of rallying the masses around a support structure.

This scalable control methodology provides us some valuable insights.  The need and purpose of intentional fragmentation provides important levers and gears for the operation of the larger macro machine.  As such, the idea that these engineered-fragments would be removed from the control grid and process would appear to be counter-intuitive.  In simple terms, national identity and perceived sovereignty serves a very unique and misunderstood purpose.

When Zbigniew Brzezinski made the “a universal awakening of mass political consciousness” statement back in 2012 it was interpreted by the alternative media as an expression of concern by the elite that the disorganized masses were awakening.  On the internet there little discussion that this “awakening” was being engineered with the use of the alternative media, and movements such as Anonymous, to re-position the mass consciousness and transform the world into a new governance framework.

For most people, it was always assumed that this governance framework would eliminate sovereignty and national identity.  It was never considered that the nationalist and populist movements which are now sweeping the globe would be the Trojan horse for international transformation.

The engineered threat to national sovereignty was a masterful design and the alternative media was created and slowly expanded to promote the reaction to this false-threat.  It would appear that the intention all along was to use the new modern nationalism to implement the new world governance structure.  The mass populations within each fragment would demand the new modern nationalism which was engineered to facilitate and accommodate the emerging global governance framework.

Confusion is removed from this methodology when we realize that the destruction of national sovereignty was never meant to be a part of the new world governance.  The best example of what is expressed here can be found in the potential solution to the Eurozone challenges.  The EU common market should be considered a test run for the larger macro global governance structure.

One of the lessons from this test run can be found in the use of a supra-sovereign currency.  Use of the euro created further imbalances in the EU.  More accurately, it amplified the deficiencies and imbalances which already existed in the system.  The contrast between the surplus members and the deficit members reacted in a specific manner to the use of the euro.  This provided valuable lessons and insight on how to restructure the larger macro international system.

The EU member nations could very well return to using their domestic currencies while continuing to use the euro to balance trade among themselves.  This would be the same principle which would be implemented internationally.

International_Monetary_Fund_logo

The supra-sovereign asset, such as the I.M.F.s Special Drawing Rights (SDR), can be used as the international reserve asset while nations continue to use their national currencies for domestic use.  National sovereignty can continue to be promoted while the pathways and processes of a larger international governance framework are constructed.  Much like the individual states and municipalities exist within the framework of their larger whole.

Since Trump announced his candidacy, his platform has been designed to transition America’s position from the unipolar dominance it has maintained for a long time (7 decades since Brenton Woods Conference 1944) to the more multilateral position which is meant to re-balance the international system.  It serves as only one aspect of the emerging governance framework and is being packaged as a new American nationalism.

The results of the election will be extremely telling of this process following the Trump landslide for the American Presidency.

Hillary is the Candidate of Yesterday – We Are the Movement of Tomorrow

And the alternative media is all on-board the Trump train.

Trump Represents the Organic Evolution and Organization of the Masses: Subprime Attack on the Weak

African Americans, Hispanics, Caucasians, Asians, and all Americans which make up the composition of the disorganized masses need to read and understand the following.

The existing political platforms which both the Democrats and Republicans have maintained and utilized for generations are no longer effective. In reality, the differences in the platforms are illusionary. The establishment has carefully crafted the perception of variation and choice, but the masses should consider both platforms to be a part of the same machinations used to divide and conquer, while transferring wealth from the bottom to the top.

The simple nature of wealth and wealth transference is never taught or discussed in school curriculums. The diametric system itself is designed to avoid self-exposure and prevents the development of an informed population. The masses are kept disorganized and in a state of confusion. The very nature of the system takes advantage of the human predisposition for externalization and division while promoting a false hope to fight the hopelessness it has created.

The core meaning of wealth, in the human context, is the accumulation of time and labor. Human beings spend their time working hard to improve their rate of survivability. The foraging of primitive man consumed the time and labor afforded during daylight hours. At night man had to hide from predators.

But with the advancement and evolution of spirit and mind, the nature of wealth shifted and the amount of time and labor which human beings were allotted in one lifetime expanded. Rates of survivability exploded and the ruling classes of the developing cultures were forced to manufacture methods of controlling the increasingly bored masses.

The agricultural revolutions served as both the means to free man from the everyday toil of foraging as well as the means to enslave and control him. The ruling elites used this advancement and consolidation of food production to control the distribution and pricing of food, which is the number one contributor of survivability.

These early generations of humanity did not understand that real wealth was the accumulation of their time and labor. The growth of frivolous entertainment and distraction industries took hold of the human imagination and the machinations of elitism took on a foggy un-realization in the minds of the disorganized masses.

Methods of funneling wealth and preventing the lower classes from accumulating their time and labor were developed. Banking, credit and labor systems began to be widely used and became even more complex and intrusive as the industrial revolution provided more freedom and escape from the chains of foraging.

The false prime status of the ruling class was contrasted with the false subprime status of those it meant to control and herd. Existing methods of ensuring wealth transference had to be maintained while new and more effective methods would have to be continuously developed and implemented to balance with the inevitable cultural evolution of the disorganized masses. This evolution would always represent a threat which would force the elites to maintain a pronounced vigilance and watchfulness.

The culture of the disorganized masses would therefore have to be engineered and maintained as a breathing living entity. This entity would ensure all organic improvements and cultural enrichments of the disorganized masses could be harnessed as negative diametric machinations which would contribute to the transference of wealth.

Human time and labor are dramatically different between the ruling elite classes and the disorganized masses. The large population mass are afflicted with hidden measures and tools to eat their time and drain their labor. These distractions and methods of transference are promoted by the same elitism which accumulates the wealth at the top. The fact that the disorganized masses are unable to make this observation is a testament to the effective nature and engineering of the machinations themselves.

The subprime crisis, and subsequent foreclosures, is a perfect example of these machinations. The transfer of wealth from the inner cities and poor neighborhoods in America was massive. This transfer is still continuing and the mass population has yet to fully awaken to the process. Subprime lending will morph into another machination and the disorganized masses will forever remain behind the eight ball because the educational curriculums which are forced into use will never teach and inform about the methods themselves.

The truth-speak of Donald Trump has injected the organic evolution of the disorganized masses with the energy the ruling establishment has forever attempted to dampen. Trump may be running as a Republican but the very nature of his campaign has taken on a new purpose. It is tearing away the illusion of the diametric and providing all with the alternative which has been long hidden.

trump-because-dual-party-not-workingAll American’s now have the opportunity to take back control of their nation and future. The establishment has declared all out cultural war on Donald Trump. The threat of his rise to power within the American establishment should be an indicator that we are witnessing history unfold in real time. Do not let the establishments’ methods of division continue for another moment. This division has been injected along the lines of race, religion, and class. All Americans and all people around the world should be welcoming the election of Trump to the highest office in one of the most powerful nations.

Unfortunately that will only be the beginning of the fight, as human nature will always externalize and self-destruct. What Trump leaves behind could develop into another ruling class which will create new and improved methods of wealth transference. But it’s worth the chance.

Rebalancing Global Currencies, Multilateral Global Banking, and New World Order fair to Emerging Nations

Some nations say: America Has Lost! This is about War, the Vietnamese dong, and the Eurasian Union

The recent statement by Philippine President Rodrigo Duterte regarding the countries relationship with the United States puts a fine point on the transition markers of the international monetary transformation. This point should now be considered the counter pivot to Obama’s Asian pivot and the first moment when China has fundamentally geopolitically gained the upper hand in the South China Sea.

Duterte was in China for a state visit. While there he said the following:

“In this venue, your honors, in this venue, I announce my separation from the United States. Both in military, not maybe social, but economics also. America has lost.”

The impact of saying this in front of 200 business people interested in new commercial alliances is one of the most profound and straight forward statements regarding the nature of the multilateral transformation. This should build confidence in other Asian nations to disconnect from the United States and align future geopolitical and socioeconomic strategies with China.

America has been busy projecting strength in regions around the world. In Eastern Europe it has taken the form of a NATO buildup along Russia’s borders. In the Middle East it has been injected into the Islamic groups, both terrorists and rebels, attempting to overthrow the Syrian government and re-take Iraq. In the South China Sea it has been expressed by maintaining a naval presence in opposition to the Chinese man-made islands. And in the East China Sea American power is justified by the tension between South Korea and North Korea.

hopeless-us-governmentIn all areas American power is being challenged by the emerging powers. The alliance between Russia, China, Iran, Syria, and growing to include India, the Philippine’s, and soon Vietnam and other ASEAN members, will be the final catalyst to force the American establishment to back down and align with the larger multilateral mandates.

The world will have to turn against the United States at the same time the existing American establishment is overthrown domestically. The ongoing election drama between Clinton and Trump is reflective of this internal power struggle. The international banking interest which now desire a multilateral framework, as opposed to a unipolar framework, are externally pushing back against the American establishment around the world. At the same time Trump is attempting to take control of the establishment’s power base internally.

How far the American establishment is willing to go in order to stay in control of a world which no longer wants its hand holding will have to be seen. At some point the power base supporting the America establishment will shift and the fragmentation process will take place. There is no doubt that the next few weeks and months represent a danger zone and a period of elevated risk.

The move by the Philippines will be the first among many such moves in the region. The larger Eurasian Union and ASEAN+3 mandates will override all American strategies and new trade agreements will be made.

Vietnam is one such nation which will eventually follow the Philippines and re-negotiate its relationship with the United States. They have openly expressed in the past the need to end the currency peg with the dollar and peg to the currency of their largest trading partner, which is China. They have also suggested that they could peg the dong to a basket of currencies. This could be a reference to the SDR but is more likely a reference to the Asian Currency Unit.

The whole region acts as an optimum currency area. Europe also serves as an optimum currency area, which provided the basis for the European Currency Unit, a currency basket which later became the euro currency.

As such, the optimum Asian area will develop an Asian Currency Unit. The Vietnamese dong will end the decade’s long peg to the US dollar and maintain multiple pegs with the Asian Currency Unit and the Chinese renminbi. This will begin the process of dong appreciation which will align with the larger ASEAN+3 trade agreements and geopolitical relationships.

DONG – History and Revaluation

The European Union will eventually join the Asian Union as members of the larger Eurasian Union. Each individual region will develop currency units which will be sequentially integrated within the larger macro currency baskets. The end objective is to consolidate piecemeal all regions and currencies in to the SDR basket. The SDR, decades from now, will be transformed into a true international currency.

This is the logical path forward on global economic and financial consolidation.

The statement “America has lost” is loaded with intrigue and intent. It is sending a message to both the American establishment and other nations around the world. The message is straight forward. The time is now to fight back against the American establishment. The first major transition point of the global transformation is about to take place. Please have a seat everyone. This is about to get interesting!

How the Establishment Media is Committing Suicide & Why Clinton Cannot Win

hillary-clinton-crazyWith each passing day the desperation coming from the establishment media in the west is becoming more obvious.  The constant hit pieces on Donald Trump roll from one to the other with little interruption. News is beginning to leak out that the orders to stop Trump from becoming president have been issued from the very top of the American establishment.

The ongoing WikiLeaks documents are taking a toll on the Clinton campaign and the response of the establishment is to hit back with fabricated stories and coming at Trump from every possible angle.  After the “pussy grabbing” video the establishment media pushed the script of Trump dropping out of the campaign.

This was a clear act of desperation.  If Clinton was truly ahead and Trump didn’t stand a chance of winning there would be no calls for him to drop out.  They need Donald to drop out for the simple fact that Clinton cannot win against him.

The other tactic included pushing the Republican establishment to force him off the ticket.  This has not gained traction either and Trump continues to steamroll forward to November 8th and victory.

Ever since Trump announced his candidacy, J.C. Collins has been suggesting that he represents the international banking interest.  These interests are now concerned with balancing the global monetary system and shifting some power away from the American establishment.  There is a segment of the American establishment which does not wish to willingly relinquish the power which they have had for almost a century.

The alignment between Trump and Russia is not a coincidence, or an accident.  Russia, alongside BRICS members China and India, are positioning geopolitically for this global realignment.  The US military movements in the world are reflective of the establishments desire to hang on to their control and hegemony.

This stubbornness and greediness has pushed the world to the brink of war.  The American establishment is beginning to crash into the wall of multilateral interests.  This is taking place in Eastern Europe, the Middle East, as well as the South China Sea.  This represents a multi-front war which the US cannot win.  Further acts of desperation could lead to nuclear exchanges.

Donald Trump has expressed his understanding of the situation and has openly suggested that Russia is not behind the Democratic email hacks.  The amount of western propaganda directed at Putin and Russia has reached insane levels.

A Russian government official stated today that the election of Trump means peace in the world and the election of Clinton will mean nuclear war.  Such a statement should not be taken lightly.  Especially taken with other events and news stories which are breaking, such as Russia calling home students of officials who are studying abroad and running nuclear drills in Moscow.

It has always been J.C. Collins contention that war will be avoided during this monetary transition.  But, we may go to the very brink before saner minds get control and pull us back from the edge of destruction.

There is no doubt that we are in the danger zone between now and the election.  Even after the election a Trump victory could be derailed if war breaks out.  Between now and January we are under increased risk of a larger war globally.

The establishment media is complicit in this movement towards war.  Their twisting and distortion of real world events is one of the greatest tragedies of the modern world.  The bias and misrepresentation has become so obvious that even the younger generations are waking to the fraud.

The availability of alternative news sources and social media have provided the masses another method of gaining access to knowledge.  This is not an accident. The internet serves as the base for this new source.  Interestingly enough, on the day that the new SDR basket currency became effective (including the Chinese currency), control of the internet passed from the American establishment to an international body represented within the United Nations.

The very tools which the American establishment have used on the international community to spread and maintain hegemony will now be used against it.  The international banking interest which have allowed the US to gain so much power implanted the means to take away that power within the very framework of the establishments’ construction.

The implicit bias being openly expressed and promoted by the establishment media will forever destroy the trust of the masses.  This will leave an opening which will be filled by new sources of information which will be provided by the international banking interests.  Seeds of this have already been planted.

Clinton represents the old American political world which is no longer required.  Trump represents the role which America will take on in the multilateral monetary framework.  Will the establishment recognize their position and act accordingly?  Or will it take a massive war to remove the American machine from the hegemonic halls of global power?

I would encourage readers to revisit the post titled Brexit – The New Modern-Nationalism is Global Governance.  Global government is shifting its image and will be repacked as a new modern-nationalism.  Don’t be fooled by the calls for America first.  The benefits to the American masses under the multilateral monetary system just so happen to align with those of the international banking interests.  These will be increased jobs and wealth.  This is what Trump is calling for.  The script playing out has been engineered over decades with nothing left to chance.

There will be no room in this new world for the bias media which represents the old US micro-establishment.

Taming the Creature from Jekyll Island: Ending Credit-Based National Currencies

burning-the-usdEver since reading G. Edward Griffin’s expose on the creation of the Federal Reserve I have been fascinated with the inner workings of the international monetary system. Though the Creature from Jekyll Island was more about the Federal Reserve, the eventual evolution of the USD as the primary reserve currency used in international trade added a whole new dimension to the covert Congressional shenanigans taking place on that particular Christmas Eve in 1913.

Since the inception of the central banking system back in the 1600’s fiat currencies have been expanding with few limitations. The expansion of debt even funded the industrial revolution and pushed human development to new heights. With that being said the expansion of debt, or more accurately the expansion of credit-based national currencies, will have to come to an end and be reversed at some foreseeable point in the future.

As recently reported by the International Monetary Fund, global debt now stands at an all-time high. This statement is somewhat redundant as the nature of credit-based national currencies, and the central bank system as a whole, is the continued expansion of debt. Each day the amount of global debt will always grow larger. Debt will only reverse when the system begins to change.

The best way to look at this is that all money in circulation has been issued through debt. Likewise, all money in circulation is reflective of the amount of credit-based national currency in circulation, as the currency itself is issued through debt/credit. As the amount of debt decreases so does the amount of currency in circulation.

As the new SDR multilateral framework expands and takes over from the existing USD unipolar based framework the amount of credit-based national currency will begin to decrease. This will take years and perhaps even decades.

The sovereign debt solutions which are being developed should be considered the first movements towards the ending of credit-based national currencies. Foreign exchange reserves will be exchanged and substituted for SDR. This will correlate with larger issuances of SDR based on increased quota amounts.

Initially the substitution process will appear to be the exchange of credit-based fiat currency with a representation of a basket of credit-based fiat currency, being the SDR. In that regards little will change. The fundamental change will take place as the amount of SDR which is allocated to each nation will be based on more than foreign reserve substitution.

In the coming years the amount of SDR allocated to member nations will not be based on the amount of credit-based national currency which exists. The amount of national currency which will be allowed to exist will be based on the amount of SDR allocation.

The future SDR allocations of each member nation will be measured on such factors and weightings as GDP, trade volume, existing reserves, population, and financial share in the world market. These metrics will help establish the amount of SDR allocated to each nation. This SDR allocation will determine the amount of national currency which can be put into circulation.

Eventually the amount of the SDR-based national currency in circulation will outnumber the amount of credit-based national currency in circulation and the fiat money described in The Creature from Jekyll Island will vanish into the monetary past. When this time comes all currency in circulation will be reflective of the factors and weightings stated above. These will not be fiat currency as they will be based on actual, real, and measurable fundamentals.

Perhaps in time gold and other precious metals and commodities will be added to the SDR as well.

What has been described here is the transformation of the International Currency System (ICS) which will be required to facilitate the macro transformation of the International Monetary System (IMS) on a whole. The transformation of both will be completed decades down the road when the SDR basket itself is transformed into the actual bancor global currency which was first suggested during the original Bretton Woods negotiations back in 1944.

The US Dollar Peg comes to an End

Money Base Growth, the Vietnamese dong, and No More QE

By JC Collins

100-dollars spread outEach week the monetary world is moving closer to a fundamental change. The lack of money base growth, or money based creation, being overall liquidity in the system, is beginning to deepen the global deflationary period which began in 2008, and hasn’t experienced a sustainable shift towards growth since.

This lack of money based creation is most profound in the developed G20 nations and will continue as long as the central banks of the other emerging nations maintain a currency peg to the US dollar. The fact that nations such as China, Vietnam, Kazakhstan, Angola, and Azerbaijan, among others, have devalued their domestic currencies against the USD in recent months and years, is a testament to the direction which the monetary world is shifting.

There are multiple methods of expanding the international money base. The main central banks could once again begin a quantitative easing program. Some central banks have in fact started these programs, but no real effect can be made until the Federal Reserve restarts a QE program, since most nations are connected to the USD through an exchange rate regime.

The obvious draw backs to QE programs is a loss of confidence in the dollar and further erosion of the ability to create domestic jobs in America. Something which will be high on the agenda this election cycle.

Another method of increasing money base growth would be for the monetary authorities in the US to willingly devalue the USD by 20% to 30% against the currencies of its major trading partners, and those nations maintaining dollar pegs. This is a sticky issue because though that is the desired outcome, the political will is likely lacking for such a drastic move, and the majority of the American population would understand the larger benefit of increased exports and job creation. It would be considered further weakening of America’s hegemonic position in the world.

The option with the greatest potential at this point in time is for the central banks of other nations, specifically the emerging nations, such as China, Vietnam, and others, to not just devalue their currencies against the dollar, but to actually end and de-peg their currencies from the USD.

China, and the others listed above, have begun this process by devaluing the existing peg, but this is only producing marginal results, as the dollar itself has been strengthening over the last few years.

The USD does not provide an optimum currency area for the rest of the world. As such, its use as the primary reserve currency and exchange rate mechanism is problematic and needs to end. The US monetary authorities, at this time, appear to be unwilling to devalue the dollar to the benefit of itself and the rest of the world.

The world is move around this road block, with some support from within the US system, and further devaluations and outright de-pegging from the USD will continue and pick up pace during the remainder of this year. The September 4th G20 meetings in China could mark the beginning of this time period. The effective date of the new SDR, which includes the Chinese renminbi, will be October 1, 2016. This will mark the next period of transition and will likely spark a renewed effort by emerging nations to devalue against the dollar and end pegs altogether.

East Asia, and Asia as a whole, provides an excellent optimum currency area, which could use the growing role of the renminbi as a new pegging mechanism which will provide fundamental money base creation.

Vietnam expressed a few years ago that they would need to end the dollar peg and peg the dong to the currency of their largest trading partner, China, or to a basket of currencies, which could be the SDR or a regional currency unit used by the ASEAN+3, which has yet to be announced. All would be supported by the expanding role of the renminbi as a reserve currency.

The dollar de-facto and unsustainable optimum currency area, abstract as it is, will be further eroded in the coming months. This by no means suggests that the dollar is dying or will crash. A modest depreciation of the dollar, such as the 20% to 30% suggested above, would be a positive for the American economy. Whether this depreciation is forced on the US or it is enacted willingly as official policy, means little at this point. The transition is happening and any additional devaluations by the emerging nations against the USD will only force the hand and eventually lead to the upward valuation of those currency as the monetary world rebalances from decades of dollar abuse and overuse.

Quantitative easing and other counterproductive monetary policies will not be enacted by the Federal Reserve. It would produce the opposite result of what the American monetary authorities are planning.

Sustainable money base creation can no longer be provided but the USD alone. That more than anything else, is the conclusive evidence that a shift is upon us. – JC

My Guitar Gently Weeps – Prince (2004)

While His Guitar Gently Weeps:
How Prince took over at the Rock and Roll Hall of Fame

It’s hard to know when we’re living in the good times.  It’s hard to know what you’re going to look back on and wish you could have been more present for.  Maybe it’s a family reunion that turns out to be the last, or a low-rent rendezvous with a sweetheart in another life.  Maybe it’ll be tonight when you get high and watch Prince’s Purple Rain.  You might look back and think, “My gosh, that was so good.”

So, I invite you to watch two minutes and 50 seconds of Prince’s life where more than 24 million people have watched him perform the Beatles’ “While My Guitar Gently Weeps” in honor of George Harrison.  His appearance alongside Tom Petty, Jeff Lynne, Steve Winwood and George’s son, Dhani, produces the kind of music alchemy that musicians like myself dream of when assembling a one-off band of music gypsies.

In my mind, there is no question that Prince was fully there the night of his induction into the Rock and Roll Hall of Fame (2004).  He clearly enjoyed his performance, and he knows his guitar solo is transcendent. It is truly electric!

“While My Guitar Gently Weeps” is a classic Beatle song, and watching Tom Petty and Jeff Lynne sing it with George’s son is nice.  But, to watch the full video brings into sharp contrast that with Prince, a true guitar-player-legend-performer is entering your life at the 3:24 mark, and does not exit until the end of the video.

3:24. Let’s consider that mark.  Prince has been onstage all along, but the video director has not featured him… yet.  Then Dhani Harrison smiles as he looks left, and Prince steps forward.  For the next 30 seconds, you’re in the Rock and Roll Hall of Fame normalcy zone.  Keep going.  Prince starts cooking on his guitar at 3:56.

4:01. Prince does this pinch-harmonic solo that lets you know the music is flat-out ON! While these kinds of solos  are almost always bad – if anyone else were playing over a Beatles’ song, it would be straight trash.  But this is Prince, so it’s incredible.  Then he heads into these bended notes that echo the original version’s solo.  It’s haunting and sweet and distinct.  With that behind him, Prince turns to Petty and Harrison and gives them a look.  It’s almost like he’s saying, “You have no idea what you’re in for.”  He’s right.

4:33.  He does this move with his guitar that looks like he’s reloading a shotgun.   You can find other guitar players who do it.  Bruce Springsteen did it during “Badlands” in concert.  Slash has done it in videos.  It’s a cool move if you are cool.  Prince is the coolest, so no one will ever look cooler doing it than this.

Now, That's Just Genius!
Tom Petty (left) and Dhani Harrison look on as Prince both honors and shreds George Harrison’s guitar solo while gracefully falling backward into the arms of a security guard.

4:39.  Every time I watch the next 10 seconds, I become full of inspiration.  This is how I see it:

  • Prince, mid-solo, turns to face Petty and Harrison and makes eye contact
  • Petty, for a moment, looks miffed.  Maybe not miffed, but not thrilled.  Then he breaks into a smile as he sees what’s about to happen.
  • A grinning Harrison suddenly becomes all of us.  He is watching Prince play the solo while falling backward toward the crowd and into the arms of a security guard.

The moment is everything you want from music – admiration, joy, fun, spontaneity.  Harrison, the kid, is alive while memorializing his father.

4:56.  During a lull, Prince gives Petty a look that tells us he knows exactly what he just did.

5:05.  Deep down in a finger-tappy, Van Halen—y section, Prince delivers some of history’s best guitar face.  He is feeling it because everyone is feeling it – and he is everyone.

5:15.  Prince took us up the mountains; now he’s going to walk us back down.  After nearly two minutes of blistering riffs that would make Steve Vai curl up and die, he enters cooldown mode with a few screaming single-note string bends, followed by weird Jonny Greenwood—style ascending harmonic chords that shouldn’t feel right but fit perfectly in the pocket.  They are pulling when everything else pushes.

5:45.  Petty, Lynne and Harrison come back in with the chorus.  Prince accents the proceedings with wailing notes, just to let you know he’s still in charge.

6:00.  Prince fires of a final flurry, and the band finishes in unison.

6:10.  Prince does the coolest thing I have ever seen anyone do – an outstanding stage exit.

In closing, he takes off his guitar, throws it into the sky, and struts offstage like the “skinny dude with the high voice” that he was and always will be.

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 inAmerica’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!

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!

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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.

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

I can do all things through Christ who strengtheneth me.
I can do all things in him that strengtheneth me.
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.]
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].
I can do all things through Christ which strengtheneth me.
I can endure all these things through the power of the one who gives me strength.
I can do all things through him who gives me power.
Christ gives me the strength to face anything.
I have strength for all things in him that gives me power.
I can-do all things by-means-of  the One strengthening me.
I can do all these things in him who strengtheneth me.
Christ is the one who gives me the strength I need to do whatever I must do.
I can do all things through him who strengthens me.
I can do all things through him who strengthens me.
I can do all things through ·Christ, because he [L the one who] gives me strength.
I am able to do all things through the help of Christ, which strengtheneth me.
I can do everything through Christ who strengthens me.
I have the strength to face all conditions by the power that Christ gives me.
I am able to do all things through Him who strengthens me.
I can do all things through Christ because he gives me strength.
I can do all things through him who strengthens me.
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.
I can do all things through Christ who strengthens me.
I can do all things through Christ which strengtheneth me.
I can do all things through Christ which strengtheneth me.
I am able to do all things by the one who strengthens me.
for I can do everything God asks me to with the help of Christ who gives me the strength and power.
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.
I can do all things because of Christ who strengthens me.
I can do all things through the one who strengthens me.
I can do everything through Christ who strengthens me.
I have the strength for everything through him who empowers me.
I can do all things through Him who strengthens me.
I can do all things through Christ, because he gives me strength.
I am able to do all things through the one who strengthens me.
I can do all this by the power of Christ. He gives me strength.
I can do all this through him who gives me strength.
I can do all this through him who gives me strength.
I can do all things through Christ who strengthens me.
I can do all things because Christ gives me the strength.
For I can do everything through Christ, who gives me strength.
I can do all things through him who strengthens me.
I can do all things through him who strengthens me.
I can do all things through him who strengthens me.
I can do all things through him who strengthens me.
I can do all things in the One giving me ko’ach.
I can do all things in him who strengthens me.
I can do all things in him who strengthens me.
I can be content in any and every situation through the Anointed One who is my power and strength.
I can do all things through Christ, who strengthens me.
I can do all things because Christ gives me strength.
I may all things in him that comforteth me.
For all things I have strength, in Christ’s strengthening me;

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

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

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

People Get Ready ~ Jeff Beck with Rod Stewart

People Get Ready

Song by Jeff Beck, Rod Stewart

jeff-beck-rod-stewart

(Chorus)
People get ready
There’s a train a-coming
You don’t need no baggage
You just get on board
All you need is faith
To hear the diesels humming
Don’t need no ticket
You just thank the Lord

(Verse 1)
People get ready
For the train to Jordan
Picking up passengers
From coast to coast
Faith is the key
Open the doors and board them
There’s room for all
Among the loved the most

(Verse 2)
There ain’t no room
For the hopeless sinner
Who would hurt all mankind
Justs to save his own
Have pity on those
Whose chances are thinner
Cause there’s no hiding place
From the Kingdom’s Throne

(Chorus)
So people get ready
For the train a-comin’
You don’t need no baggage
You just get on board
All you need is faith
To hear the diesels humming
Don’t need no ticket
You just thank, you just thank the Lord

Yeah
Oh
Yeah
Oh
I’m getting…

Why Steve Jobs Didn’t Let His Kids Use iPads

Source: http://nextshark.com/why-steve-jobs-didnt-let-his-kids-use-ipads-and-why-you-shouldnt-either/
If you fall within the Gen-Y era like us, chances are you’ve given a bunch of thought as to how you would raise your own children in this day and age (assuming you don’t have children already). Especially with technology, so much has changed since our childhoods in the 90s. Here’s one question: Would you introduce the technological wonder/heroin that is the iPod and iPad to your kids?

Steve Jobs wouldn’t, and for good reason too.

Steve-Jobs-and-family

In a Sunday article, New York Times reporter Nick Bilton said he once assumingly asked Jobs, “So your kids must love the iPad?”

Jobs responded: “They haven’t used it. We limit how much technology our kids use at home.” Especially in Silicon Valley, there is actually a trend of tech execs and engineers who shield their kids from technology. They even send their kids to non-tech schools like the Waldorf School in Los Altos, where computers aren’t found anywhere because they only focus on hands-on learning.

There is a quote that was highlighted in The Times by Chris Anderson, CEO of 3D Robotics and a father of five. He explains what drives those who work in tech to keep it from their kids.

“My kids accuse me and my wife of being fascists and overly concerned about tech, and they say that none of their friends have the same rules… That’s because we have seen the dangers of technology firsthand. I’ve seen it in myself, I don’t want to see that happen to my kids.”

If our current addictions to our iPhones and other tech is any indication, we may be setting up our children for incomplete, handicapped lives devoid of imagination, creativity and wonder when we hook them onto technology at an early age. We were the last generation to play outside precisely because we didn’t have smartphones and laptops. We learned from movement, hands-on interaction, and we absorbed information through books and socialization with other humans as opposed to a Google search.

Learning in different ways has helped us become more well-rounded individuals — so, should we be more worried that we are robbing our children of the ability to Snapchat and play “Candy Crush” all day if we don’t hand them a smartphone, or should we more worried that we would be robbing them of a healthier, less dependent development if we do hand them a smartphone? I think Steve Jobs had it right in regard to his kids.

So the next time you think about how you will raise your kids, you may want to (highly) consider not giving them whatever fancy tech we’ll have while they are growing up. Play outside with them and surround them with nature; they might hate you, but they will absolutely thank you for it later, because I’m willing to bet that’s exactly how many of us feel about it now that we are older

Zero To One ~ Peter Thiel

“EVERY MOMENT IN BUSINESS HAPPENS ONLY ONCE”.

The next Bill Gates will not build an operating system. The next Larry Page or Sergey Brin won’t make a search engine. And the next Mark Zuckerberg won’t create a social network.  If you are copying these guys, you aren’t learning from them.  It’s easier to copy a model than to make something new:  doing what we already know how to do takes the world from 1 to n, adding more of something familiar.

But every time we create something new, we go from 0 to 1. The act of creation is singular, as is the moment of creation, and the result is something fresh and strange.

Zero to One is about how to build companies that create new things. It draws on everything Peter Thiel has learned directly as a co-founder of PayPal and Palantir and then an investor in hundreds of startups, including Facebook and SpaceX.  The single most powerful pattern he has noticed is that successful people find value in unexpected places, and they do this by thinking about business from first principles instead of formulas.

Ask not, what would Mark do?  Ask: WHAT VALUABLE COMPANY IS NOBODY BUILDING? “– “Thiel starts from the bold premise that we live in an age of technological stagnation, even if we’re too distracted by our new mobile devices to notice.

Progress has stalled in every industry except computers, and globalization is hardly the revolution people think it is.  It’s true that the world can get marginally richer by building new copies of old inventions, making horizontal progress from “1 to n.”  But true innovators have nothing to copy.

The most valuable companies of the future will make vertical progress from “0 to 1,” creating entirely new industries and products that have never existed before.

Zero to One is about how to build these companies. Tomorrow’s champions will not win by competing ruthlessly in today’s marketplace.  They will escape competition altogether, because their businesses will be unique. In today’s post-internet bubble world, conventional wisdom dictates that all the good ideas are taken, and the economy becomes a tournament in which everyone competes to reach the top.

Zero to One shows how to quit the zero-sum tournament by finding an untapped market, creating a new product, and quickly scaling up a monopoly business that captures lasting value. Planning an escape from competition is essential for every business and every individual, not just for technology startups.  The greatest secret of the modern era is that there are still unique frontiers to explore and new problems to solve.


Seven Questions Every Startup Business Must Answer

Since 2012, many companies in the “CleanTech Industry” have crashed; gone out of business or filed for bankruptcy because they neglected one or more of the following seven questions:

  1. The Engineering Question

Can you create breakthrough technology instead of incremental improvements?

A great company should have proprietary technology an order of magnitude better than its nearest substitute.  Companies must strive for 10x better because merely incremental improvements often end up meaning no improvement at all for the consumer.  Only when your product / service is 10x better can you offer the customer transparent  superiority.

2.  The Timing Question (chapter 2)

Is now the right time to start your particular business?

Entering a slow-moving market can be a good strategy, but only if you have a definite and realistic plan to take it over.

3. The Monopoly Question (chapter 3)

Are you starting with a big share of a small market?

Exaggerating your business’s own uniqueness is an easy way to botch the monopoly question.  You can’t dominate a submarket if it’s fictional, and huge markets are highly competitive, not highly attainable.

4. The People Question (chapter 9 and 10)

Do you have the right team?

Never invest in a tech CEO that wears a suit.  The best sales is hidden.  There’s nothing wrong with a CEO who can sell, but if he actually looks like a salesman, he probably bad at sales and worse at tech.

5. The Distribution Question (chapter 11)

Do you have a way to not just create but deliver your product?

The world is not a laboratory: selling and delivering a product / service is at least as important as the product / service itself.  Technical challenges can be overcome successfully, but its the other obstacles that can not be overcome.

6. The Durability Question (chapter 6)

Will your market position be defensible 10 and 20 years into the future?

Every entrepreneur should plan to be the last mover in her particular market.  That starts with asking yourself: what will the world look like 10 and 20 years from now, and how will my business fit in?

7. The Secret Question (chapter 8)

Have you identified a unique opportunity that others don’t see?

Great companies have secrets: specific reasons for success that other people don’t see.


“Zero to One shows how to pursue them using the most important, most difficult, and most underrated skill in every job or industry: thinking for yourself”– Peter Thiel


Conclusion: Stagnation or Singularity?

If even the most farsighted founders cannot plan beyond the next 20 and 30 years, is there anything to say about the very distant future?  We don’t know anything specific, but we can make out the broad contours.  Philosopher Nick Bostrom describes four possible patterns for the future of humanity.

The ancients saw all of history as a never-ending alternation between prosperity and ruin.  Only recently have people dared to hope that we might permanently escape misfortune, and it’s still possible to wonder whether the stability we take for granted will last.

recurrent-collapse

However, we usually suppress out doubts.  Conventional wisdom seems to assume instead that the whole world will converge toward a plateau of development similar to the life of the richest countries today.  In this scenario, the future will look a lot like the present.

plateau

Given the interconnected geography of the contemporary world and the unprecedented destructive power of modern weaponry, it’s hard not to ask whether a large-scale social disaster could be contained were it to occur.  This what fuels our fears of the third possible scenario: a collapse so devastating that we won’t survive it.

Extinction

The last of the four possibilities is the hardest one to imagine: accelerating takeoff toward a much better future.  The end result of such a breakthrough could take a number of forms, but any one of them would be so different from the present as to defy description.

takeoff

Which of the four will it be?

Recurrent collapse seems unlikely: the knowledge underlying civilization is so widespread today that complete annihilation would be more probable than a long period of darkness followed by recovery.  However, in case of extinction, there is no human future of any kind to consider.

If we define the future as a time that looks different from the present, then most people aren’t expecting any future at all; instead, they expect coming decades to bring more globalization, convergence, and sameness.  In this scenario, poorer countries will catch up to richer countries, and the world as a whole will reach an economic plateau.  But even if a truly globalized plateau were possible, could it last?  In the best case, economic competition would be more intense than ever before for every single person and firm on the planet.

However, when you add competition to consume scarce resources, it’s hard to see how a global plateau could last indefinitely.  Without new techology to relieve competitive pressures, stagnation is likely to erupt into conflict.  In case of conflict on a global scale, stagnation collapses into extinction.

That leaves the fourth scenario, in which we create new technology to make a much better future.  The most dramatic version of this outcome is called the Singularity, an attempt to name the imagined result of new technologies so powerful as to transcend the current limits of our understanding.  Ray Kurzweil, the best-known Singularitarian, starts from Moore’s law and traces exponential growth trends in dozens of fields, confidently projecting a future of superhuman artificial intelligence.  According to Kurzweil, “the Singularity is near,” it’s inevitable, and all we have to do is prepare ourselves to accept it.

But no matter how many trends can be traced, the future won’t happen on its own.  What the Singularity would look like matters less than the stark choice we face today between the two most likely scenarios: nothing or something.  It’s up to us.  We cannot take for granted that the future will be better, and that means we need to work to create it today.

Whether we achieve the Singularity on a cosmic scale is perhaps less important than whether we seize the unique opportunities we have to do new things in our own working lives.  Everything important to us — the universe, the planet, the country, our company, your life, and this very moment — is singular.

Our task today is to find singular ways to create the new things that will make the future not just different, but better — to go from 0 to 1.  The essential first step is to think for yourself.  Only by seeing our world anew, as fresh and strange as it was to the ancients who saw it first, can we both re-create it and preserve it for the future.

I assumed you stole the car !

The light turned yellow at the intersection just in front of him.

He did the right thing and stopped at the crosswalk, even though he could have beaten the red light by accelerating through the intersection.

The tailgating woman behind him was furious and honked her horn, screaming in frustration, as she missed her chance to get through the intersection.

assumed-stolen-carAs she was still in mid-rant, she heard a tap on her window and looked up into the face of a very serious police officer.

The officer ordered her to exit her car with her hands up.

He took her to the police station where she was searched, fingerprinted, photographed and placed in a holding cell.

After a couple of hours, a policeman approached the cell and opened the door.

She was escorted back to the booking desk where the arresting officer was waiting with her personal effects.

He said, ”I’m very sorry for this mistake. You see, I pulled up behind your car while you were blowing your horn, giving the guy in front of you the finger and cursing at him.

I noticed the ‘What Would Jesus Do’ bumper sticker, the ‘Choose Life’ license plate holder, the ‘Follow Me to Sunday-School’ bumper sticker, and the chrome-plated Christian fish emblem on the trunk,

so naturally ……

I assumed you had stolen the car.”

Man Pushes Wife To Save Himself From A Sinking Ship. But The Reality Is …

Man Pushes Wife To Save Himself From A Sinking Cruise Ship.  But The Reality Is Priceless.

A teacher was tutoring a class of students when she relayed a story about a cruise ship capsized while at sea, and on the ship was a couple that managed to make their way to a lifeboat but realized there was only space for one. You’ll never guess what lesson they learned from the story.

sinking-cruise-shipA cruise ship met with an incident at sea. On the ship was a couple, after having made their way to the lifeboat, they realized that there was only space for one person left.

At this moment, the man pushed the woman behind him and jumped onto the lifeboat himself.

The lady stood on the sinking ship and shouted one sentence to her husband.

The teacher stopped and asked, “What do you think she shouted?”

Most of the students excitedly answered, “I hate you! I was blind!”

Now, the teacher noticed a boy who was silent throughout, she got him to answer and he replied, “Teacher, I believe she would have shouted – Take care of our child!”

The teacher was surprised, asking “Have you heard this story before?”

The boy shook his head, “Nope, but that was what my mom told my dad before she died to disease”.

The teacher lamented, “The answer is right”.

The cruise ship sunk. The man went home and brought up their daughter single-handedly.

Many years later after the death of the man, their daughter found his diary while tidying his belongings.

It turns out that when parents went onto the cruise ship, the mother was already diagnosed with a terminal illness. At the critical moment, the father rushed to the only chance of survival.

He wrote in his diary, “How I wished to sink to the bottom of the ocean with you, but for the sake of our daughter, I can only let you lie forever below the sea alone”.

The story is finished, the class was silent.

The teacher knows that the student has understood the moral of the story, that of the good and the evil in the world, there are many complications behind them which are hard to understand.

Which is why we should never only focus on the surface and judge others without understanding them first:

  • Those who like to pay the bill, do so not because they are loaded but because they value friendship above money.
  • Those who take the initiative at work, do so not because they are stupid but because they understand the concept of responsibility.
  • Those who apologize first after a fight, do so not because they are wrong but because they value the people around them.
  • Those who are willing to help you, do so not because they owe you anything but because they see you as a true friend.
  • Those who often text you, do so not because they have nothing better to do but because you are in their heart.

One day, all of us will get separated from each other; we will miss our conversations of everything and nothing; the dreams that we had.  Days will pass by, months, years, until this contact becomes rare.  One day our children will see our pictures and ask “Who are these people?” And we will smile with invisible tears because a heart is touched with a strong word and you will say: “It was with them that I had the best days of my life with.”

Forrest Gump dies and goes to Heaven

oh Dear…. The day finally arrived: Forrest Gump dies and goes to Heaven.
The day finally arrived: Forrest Gump dies and goes to Heaven.

He is at the Pearly Gates, met by St. Peter himself. St. Peter says,
“Well, Forrest, it’s certainly good to see you. We have heard a lot about you. I must inform you that the place is filling up fast, and we’ve been administering an entrance examination for everyone. The test is short and you have to pass before you can get into heaven.

1) What days of the week begin with the letter T?

2) How many seconds are there in a year?

3) What is God’s first name?”

Forrest says, “Well, the first one – how many days in the week begin
With the letter “T”?
That one’s easy.
That’d be Today and Tomorrow.”

The Saint’s eyes open wide and he exclaims!!
“Forrest, that’s not what I was thinking, but …..
I’ll give you credit for that answer.

“How about the second one?” asks St. Peter.
“How many seconds in a year?”

“Now that one’s harder,” says Forrest, “but I thunk and thunk and guess the only answer can be twelve.”

Astounded, St. Peter says, “Twelve? Twelve? Forrest, how in Heaven’s name could you come up with twelve seconds in a year?”

“Shucks, there’s gotta be twelve: January 2nd, February 2nd, March 2nd.”

“Hold it,” interrupts St. Peter. “I see where you’re going with this, and I’ll have to give you credit for that one, too. Let’s go on with the next and final question.”

“Can you tell me God’s first name?”

“Sure” Forrest replied, “IT”S ANDY.”

“Andy?!” exclaimed an exasperated and frustrated St. Peter. “Okay, I can understand how you came up with your answers to my first two questions, but just how in the world did you come up with the name of Andy as the first name of God?”

“That was the easiest one of all,” Forrest replied. “I learnt it from the song…

ANDY WALKS WITH ME,
ANDY TALKS WITH ME,
ANDY TELLS ME I AM HIS OWN.”

St. Peter opens the Pearly Gates and said:
“Run, Forrest, run.”

How Heavy Is Your Glass of Water?

A psychologist walked around a room while teaching stress management to an audience. As she raised a glass of water, everyone expected they’d be asked the “half empty or half full” question.  Instead, with a smile on her face, she inquired: “How heavy is this glass of water?”

Answers called out ranged from 8 oz. to 20 oz.

She replied, “The absolute weight doesn’t matter. It depends on how long I hold it. If I hold it for a minute, it’s not a problem. If I hold it for an hour, I’ll have an ache in my arm. If I hold it for a day, my arm will feel numb and paralyzed. In each case, the weight of the glass doesn’t change, but the longer I hold it, the heavier it becomes.”

She continued, “The stresses and worries in life are like that glass of water. Think about them for a while and nothing happens. Think about them a bit longer and they begin to hurt. And if you think about them all day long, you will feel paralyzed – incapable of doing anything.”

It’s important to remember to let go of your stresses. As early in the evening as you can, put all your burdens down. Don’t carry them through the evening and into the night.

Remember to put the glass down!

What to say to Nay-Sayers

So many folks just do not get what’s happening with Global Economic Changes and the break-up of the old regime Cabal. Too many Naysayers.

naysayer

These are the persons who say something will not work or is not possible. I chatted with two guys yesterday who deny, refuse, and oppose the idea that something like the old regime banking system should and will be humbled by open market, competitive alternatives such as the BRICS economic movement.

But to the Naysayers, after the changes take place the truth will be known, and there will be:

“Nothing Left To Say”

Music by Mint Condition.

Experts warn of foreign currency scam

By Jasen Lee, Deseret News
Published: Thursday, Jan. 2 2014 11:01 p.m. MST

A number of Utahns are buying what they think is undervalued foreign currency in hopes of having its value increase, offering a potential investment windfall. Unfortunately, it’s a long-running scam.

Charles Crowell, Bloomberg News

Summary

A number of Utahns are buying what they think is undervalued foreign currency in hopes of having its value increase, offering a potential investment windfall. Unfortunately, it’s a long-running scam.

“Some people won’t believe (it’s a scam), even when you tell them now. It’s just human nature (to want to) believe that there is a way that we can ‘have our ship come in’ and get rich quick.”

Keith Woodwell, director of the Utah Division of Securities

SALT LAKE CITY — A number of Utahns are buying what they think is undervalued foreign currency in hopes of having its value increase, offering a potential investment windfall.

Unfortunately, it’s a long-running scam perpetrated by dishonest investment brokers and online fraudsters.

Several years ago, Darren Marshall became aware of an investment opportunity in which he could buy Iraqi dinar currency on the long-term hope that he would reap high returns when the currency was “re-evaluated.”

The belief was that once the Iraq economy boomed and the currency was traded on the world market, those who purchased dinar previously could sell the bills on the open market and receive the newly inflated value.

The problem is such a scenario may never happen — something Marshall, a certified internal auditor by training, recognizes and readily admits.

“I think it’s ludicrous,” he said. “It’s a scam.”

Marshall, 42, of Salt Lake City, said he has read numerous online blogs that tout the legitimacy of the foreign currency speculation and describe it as “a high-risk investment.”

Despite that trepidation, Marshall said he has personally purchased $1,000 in Iraqi dinar on the chance he may eventually recoup his investment and maybe make a profit.

“I know it sounds crazy, but part of (the reason behind investing) was the enticing return rate,” he said.

Additionally, he said investing $1,000 was not so much that it would affect his lifestyle in any meaningful way.

“I had it to invest,” Marshall said, adding that he hopes he’ll be able to double his investment at some point.

For the past few years, people have been “investing” in Iraqi dinar, Vietnamese dong and a few other currencies in hopes that they will make it big when the monies are re-evaluated.

Unfortunately, it is a scam, explained Keith Woodwell, director of the Utah Division of Securities.

Woodwell said the fraud began years ago at the beginning of the Gulf War conflict in Kuwait and Iraq, initially involving members of the military and their families.

The misconception started because Kuwait’s dinar dropped during Operation Desert Storm, then, following the war, there was an oil boom and the currency increased dramatically, giving those who bought it huge returns.

The difference between the Kuwaiti currency situation and the Iraqi and Vietnamese currencies, Woodwell explained, is that Kuwait’s dinar was not inflated when it was worth less. It just organically increased in value when the country’s economy began to grow. The same cannot be said for other countries whose economies are inherently troubled, he said.

Today, unscrupulous brokers are again targeting investors by buying the foreign currencies in bulk and selling them at dramatic profits, Woodwell said. He attributes investor greed with prompting so many people to ignore economic logic and reason to risk their money on what he says is an obvious fraud.

“Some people won’t believe (it’s a scam), even when you tell them now,” he said. “It’s just human nature (to want to) believe that there is a way that we can ‘have our ship come in’ and get rich quick.”

Woodwell said some investors are not skeptical enough to question the legitimacy of some seemingly questionable investment opportunities, despite the red flags that may be present. While countries may decide to issue new currency when their economy begins to expand rapidly to avoid hyper-inflation, they basically exchange the old bills at the old value, so investors are typically left with devalued currency, he said.

“There has not been any kind of revaluation of the currency,” Woodwell said. “It’s happened in several countries in Africa (and Mexico) where they have had hyper-inflation.

“There is no conceivable way that people are going to make money off of this because they are buying the physical currency at an inflated rate to start with,” he explained. “So even if the currency (increases) a little bit because the economy goes up in that country, because you are buying it at an inflated exchange rate, you are not going to be able to sell it for what you bought it for.”

Businesses today are selling those currencies at huge markups over what is typically charged on the open market, said Scott Stone, senior vice president and foreign exchange manager for Zions Bank.

People will also buy them from banks, which is better because the exchange rate is less, but they will still never recoup their initial investment, Stone said.

“You should never buy paper bank note currency as an investment,” he said. “If it’s truly an investment, there are other ways to go about it than buying a stack of currency and putting in a shoebox under your bed and waiting for that currency to revalue.”