So………….the inability of our elected representatives to come to some sort of agreement on the budget negotiations has caused the process to come grinding to a halt, thus thrusting the nation into the throws of a US Government Shutdown.

The stage has been set for the next act of the kabuki theatre that we call the US Government. The two party system pits the two sides of the aisle against each other, pointing fingers, calling each other names and placing blame on the other side. All of this drama for sake of giving the public the idea that they can fall in line behind one team or the other and actually have a choice.

This back and forth bickering is about as genuine as professional wrestling. They really know how put on a nice show and go at each other with everything they’ve got!
Is anyone really still buying any of this?

All of this theatre and drama serves the same purpose. That purpose is not what is best for the American people. It is all about political brinksmanship to score points and appease constituents until eventually concessions are made and they all fall into line as they are supposed to. They are all part of the establishment and are quite comfortable with the status quo. The average member of congress has a much higher net worth than they had at the time they first entered the hallowed halls. (secret- they serve their largest donors)

Those few new members who have arrived to make a real difference with the support of the Tea Party movement for example, are now being painted as fringe extremists. Imagine being fiscally conservative now makes you an extremist. The establishment loves such buzzwords. Labels make it so much easier to paint people into groups. Supporting such extremist ideals can land you on the DHS list of “potential terrorists” but this is the subject for another post all it’s own.  

Government Shutdown

So we find ourselves at the impasse of a Government Shutdown. Let’s take a closer look at what this actually means.

Most parts of the government are still actually funded and functioning. The parts of the government that are actually shutting down are those parts of the government that will have the most noticeable and emotional impact and inconvenience on average everyday Americans. For example the US Department of Agriculture is tightening its special Supplemental Nutrition Program for Women Infants and Children (WIC). The government is shutting down the social services that benefit the most fragile citizens the most to convince Americans that this is the worst thing that can happen. They need to convince people that we need the government running to take care of us.

What is not being affected whatsoever is the military complex and the war machine. We still have money available for the CIA’s covert training programs for the Syrian rebels (Al Qaeda). The president has waived a ban on giving aid to regimes that use child soldiers. We are still spending money on foreign aid. The Department of Defense awarded 94 new contracts worth a combined total of $5 billion the day before the government shutdown. And of course the $2 billion NSA Utah Data Center is still open.

Scare Tactics

Politicians like to scare people into going along with their plans. This makes people believe that the politicians are actually working in their interests.

We are all being threatened again with that boogeyman of terrorist attacks if our security is weakened due to a government shutdown. This threat is the strongest they have at their disposal to corral people right back into line.

The president also threatens that if the debt limit is not raised the government will not be able to send out Social Security checks to seniors, he is scaring them into thinking  that the  limit must be raised for their benefit. Perhaps they’ll even call their representatives and urge them to make it happen. This particular scare tactic has a crucial flaw.

Money for the Social Security checks is supposed to be in the Social Security Trust Fund. This money has been taken out of people’s paychecks for years and deposited into the trust fund. It is not the government’s money, It belongs to the people. It is the people’s money entrusted to the government. A government shutdown should have no impact on Social Security payments as the government should not need to borrow more money to make such payouts. Unless of course those monies are not where they should be. Where is the money? Will the government admit that they “borrowed” money from the Social Security Trust fund and used it for other purposes?
Does it sound like a Ponzi scheme to you?

The Real Questions

In order to keep everything running and this is what they will all be working very hard to convince us of, we need Congress to raise the debt limit so we can borrow yet even more money and plunge us and future generations even deeper into debt.

The real question we should be asking is why are we even debating raising the debt limit and going deeper into debt when the Constitution authorizes Congress to issue its own interest-free currency. Under Article 1 section 8, Congress has the authority to create and issue the currency and regulate its value. Why did Congress hand over this authority to a private central bank?

Why is the government borrowing its currency (created out of thin air) at interest from a private central bank? The Federal Reserve system is not the system this great country was founded upon, in fact it was the economic model our founding fathers fought a revolution to be freed from.

“The refusal of King George III to allow the colonies to operate an honest money system, which freed the ordinary man from the clutches of the money manipulators was probably the prime cause of the revolution.”

Benjamin Franklin

When you start asking these questions and poking around for real answers, you will find yourself less gullible to fall for the theatrics of these bad actors who claim to be your elected representatives. These clowns may as well be juggling on unicycles. If they were, this entire scam might be more evident and people might actually start to stand up against it. For now it appears most are fooled.


The Rest of the Story

It seems that what the government has accomplished with this shutdown is this:
a scapegoat.

The facts of the matter are, for five years now (and much much longer) the mainstream media in collusion with the government has been selling us the story of an economic recovery. Through manipulated statistics and selective reporting we have been sold what is in fact an illusion. The best metaphor is indeed a cliche but in fact The Matrix. We’ll tackle this idea in another post.

The reality of the situation is this: the entire globe is in economic turmoil. All of the nations of the western world are deep in debt to the central banks, Europe is in far worse shape than the TV tells us.

The only reason the US seems better off is because the US Dollar has the standing as the World’s Reserve Currency and The Fed can Print money.  The US has been abusing its role as the World’s Reserve Currency since WWII and has been living way beyond its means. The jig was basically up when Nixon took us of the gold standard due to our over-spending and made the dollar a truly fiat currency. A fiat currency is not backed by anything tangible, such as real money-Gold but rather full-faith and credit of the government.

This has been the American Way. Living on credit, borrowed money. This is how our generation has been raised and indoctrinated. There was a time when one would work, save and then make purchases. For the purpose of condensing this post into a Cliff’s Notes presentation, we”ll keep it simple: America has been living on credit.  (we’ll break this down in depth in a post)

Unfortunately, the world has been waking up to the scam. Plans are already in motion to replace the dollar as the world’s reserve currency. Also, unfortunately, it seems most Americans have no idea.

World reserve currency status on average lasts about 40 years. After WWII the Dollar replaced the British Pound Sterling and has been the world’s reserve for close to 70 years now. The US and the western central bankers know the clock is ticking.

SInce Nixon closed the Gold window, what has been giving the US Dollar its credibility has been its status as the “petro-dollar” Simply put, Saudi Arabia and other middle-eastern oil producing countries had their arms twisted into agreeing that their oil would be sold in transactions only settled with US dollars. Countries that have bucked this system have been Iraq, Libya, Syria, Iran……..Do you notice a pattern?

As noted in previous posts, China, Russia and several other nations have been making bilateral agreements to settle international trade in currencies other than the Dollar. This is a real threat to the Dollar’s standing as the World’ Reserve Currency. Also, these same countries have been accumulating gold and other hard assets (at suppressed price levels). On a side note- in another post we will focus on the idea of manipulation in all markets. This idea leads to the conclusion that there are no more free markets. The price of Gold is being held down.  Allowing it to rise as would fundamentally be the case in these times of central bank money-printing would signal a weakness in the Dollar and other fiat currencies.

The US and Western Central Banks know that a systemic economic reset is on the way. This is why they were all too ready to invade Syria to make their way into the prize, Iran who sits on approximately 25% of the region’s oil reserves. Nations of the world are positioning themselves for what is coming.  With their failure to proceed with letting the missiles fly in Syria, the US is keeping the door open to Military intervention. They will eventually find a reason to go in. We’ll also delve into false-flags in subsequent posts.

While our government is well aware of all of this and they know that the jig is eventually going to be up, they have been working very hard to paint the illusion that the economy is getting on solid footing and gaining traction. They know this is not the case. They also do not want to be blamed for what is coming. This  Government Shutdown gives them another potential scapegoat at which they can point the finger of blame.

It is up to all Americans to be vigilant and not be fooled by the propaganda. We need to hold our politicians accountable. After all it is up to we the people to make sure they are serving the interests of we the people.

Related Posts:

On The 100th Anniversary Of The Income Tax

Woodrow Wilson signed the Income Tax into law one hundred years ago. As direct taxation of Americans was prohibited by the Constitution, a constitutional amendment was necessary before what would become the Revenue Act of 1913 could be legally imposed. The income tax, and the enabling amendment, were sold to the voters as necessary for a tax on rich people that would mean lower taxes and cheaper goods (due to lowered tariffs) for everyone else.

Only one percent of the population was subject to the tax then, and the tax rate was one percent.

The voters need not worry, they were told, because regular people would never ever pay the income tax.

Post contains very nice infoGraphic:
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Congress At Work: Reid On Boehner: “He’s A Coward”, Boehner Responds: “Bullshit”

If one wants to see what it looks like when the Federal Reserve has enabled the US government to become completely irrelevant in a world in which fiscal policy is completely meaningless and all that matters is how high the S&P500 is on any given day courtesy of trillions in monetary policy injections stimulating “confidence” and the wealth effect, then look no further than this article by Politico recapping the bad blood in Congress among the four feuding leaders.

The Shutdown Political Game: Inflict Maximum Pain To Score Cheap Points

Here is the politicos’ government shutdown game in a nutshell: inflict maximum pain on the rest of us to score cheap points with partisans.

The amount of money needed to keep the National Parks open is such a tiny slice of the Federal budget that it doesn’t even register. Planned a trip of a lifetime to a National Park? Sorry, buddy–the whole game is making life as miserable as possible so we will be driven to partisan cheering for one side or the other.

Please recall that every politico in Washington D.C. has known when the budget and debt ceiling would reach criticality. Yet they did nothing. We all know the two-party system of governance is broken, and that both parties are equally responsible. Yet what do we do? We continue to elect the incumbents who failed to change the political culture.

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Training Al-Qaeda To Be More Efficient Killers Is Now An Essential Function Of The US Government

The US government is shut down, which means only essential spending is permitted. So what does the US government, or rather its Central Intelligence Agency decide to spend precious, mission-critical taxpayer money on? Why arming the Qatari-supported Al-Qaeda “rebels” in Syria of course.

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Non-Manufacturing ISM Tumbles, Worst Print Since June, Employment Index Has Biggest Drop Since 2009

While last month’s Non-manufacturing ISM print, and yesterday’s Mfg ISM set the stage for a blowout expectation in today’s September Non-Manufacturing ISM update, nobody expected a tumble from 58.6 to 54.4, resulting in the biggest miss in the index since April 2011, the lowest print since June 2013 and even the ISM’s Nieves reporting that there has been “significant slowing.”

The leading Business Activity index cratered from 62.2 to 55.1 confirming the August spike was merely an a mirage, but what’s worse is that the all important Employment Index (and remember: Services are far more important to the US economy than manufacturing) tumbled from 57.0 to 52.7, the lowest print since May, and biggest one month drop since March 2009!

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