Secret Squirrel Investigates The Really Worthless I.O.U. That Money Is.

Did you realize that banknotes are just I.O.U.’s, but they won’t

let us print up our own I.O.U.’s but then we’re using I.O.U.’s but they’re somebody elses, and we’re given these I.O.U.’s to use but

are never really paid? An IOU (abbreviated from the phrase “I owe

you”) is usually an informal document acknowledging debt. An IOU differs from a promissory note in that an IOU is not a negotiable

instrument and does not specify repayment terms such as the time of repayment. IOU’s usually specify the debtor, the amount owed, and sometimes the creditor. Which means all we really have and hold are debts,as a direct result.But the definition says that money

extinguishes all debt. IOU currency would put Greece in line to

quit the Euro……….which is in itself an IOU currency…but it

is being made worthless by more printing of it, whilst the USA

prints up more and more of it’s I.O.U. currency and so it increase

in value because it is U.S.A. currency, you see…no Euro nor Greek I.O.U. currency. A company’s IOU is counted as an asset on the balance sheet because another party owes that company money or goods.

 

When banks make loans, they create money. This is because

money is really just an IOU,so money is just an I.O.U. and the

banks are rolling in it. Now, government, such as the U.S.

government, when it wants money for The System, it prints up a

Treasury Certificate, which is ALSO, an I.O.U. promising to pay the

Treasury Department, whatever, whenever,however, IF it ever can,

the Treasury Department then prints up the money which is in fact

just I.O.U.’s.The government must create and then SPEND its dollars in order for the private citizens to earn the dollars they need to pay their taxes.

 

So, if government doesn’t need your tax dollars in order to spend,

does government tax at all?It is based on the insight that the

government DOES, in fact, need to collect taxes, but the “taxes” it

collects are not your “tax dollars.” Taxes drive money—in other

words, private citizens are willing to provide goods and services

to the government in exchange for government’s paper dollars

because they NEED those dollars (government I.O.U.s) to pay their future taxes. A paper dollar, printed by the sovereign U.S.

government, is nothing more—and nothing OTHER than—a tax I.O.U. which states, in effect: “The sovereign U.S. government owes the bearer one dollar of tax credit on the day taxes are due.”Because of this I.O.U. pledge, the government is able to use the paper dollar, in the MEANTIME, to purchase real goods and services from private citizens and businesses. The citizens and businesses are willing to exchange their real goods and services for the paper dollars because they will NEED the I.O.U.s (dollars) to present to the government on “tax-day”. When the government collects “tax dollars” it is NOT collecting something it “needs” but, instead, is simply collecting back (or cancelling) its own I.O.U.s (The ACTUAL taxes are the real goods and services it had prevIOUsly received in return for those I.O.U.s). A paper dollar is a tax I.O.U., what is a Treasury bond?

 

The common understanding is that Treasury bonds represent a “debt” which the government must “repay” in the future. But look how our new perspective requires that view to shift:a private citizen “buys” a Treasury bond. What takes place? The citizen exchanges say a hundred paper tax I.O.U.s for another piece of paper (the Treasury bond) which is…what? It is another government tax I.O.U. pledging to pay, at a specified time in the future, a hundred and SEVEN paper tax I.O.U.s (the original hundred plus 7 percent interest.) What is unique in this transaction is that, while it appears the government is in “debt” to the citizen, what it “owes” the citizen is nothing more than its own promise to accept these I.O.U.s (dollars) as tax payments.

 

In short, money as such is entirely worthless,just so much printed

paper, to promise payment of something or other,which does in fact not really exist at all as such……For some reason they system

has broken down in Europe, the Euro becoming and being regarded as worthless, which is in fact a reality, it is as worthless as the other currencies in Europe are or were, and the only currency solidly worth something and regarded as something is the American dollar, an I.O.U. based entirely on Treasury Certificates, which are I.O.U.’s which permit the printing of more I.O.U.’s and also Treasury Bonds which people buy with their I.O.U.’s and are a form of the Treasury Department collecting I.O.U’s such that it has something to show for it all. So what’s the problem with the Euro nations, they can’t seem to print up enough to satisfy demands…are there sufficient presses available to print up the I.O.U. money papers. What thence is the problem that makes Euro money paper worthless compared with the U.S.A. printed up I.O.U. money papers?

 

Or is it then that the I.O.U. money papers printed up in certain

locations are thought of being worth something or other much more than those printed up in their local area? So there we have it, the I.O.U. money converted to nothing or less than nothing or something depending if it’s regarded as being worth something or other of which we know not what,depending on where it is printed up. At least so it seems.

 

Secret Squirrel,

MRL,MP,(Dunny On The Wold),

Minister For Re-Deranged Re-Engineering.

Secret Squirrel Re-Discovers The World Of Playing Card Currency

Yes,Secret Squirrel has rediscovered the world Of playing card
currency,as it was in the old days, and as it can be and in some
cases, still is, today, and on in to the future.Squirrel saw the headline…….

Urban explorers find $1MILLION-worth of collectible sports cards
inside an abandoned factory in Detroit

In the Daily Mail, at…..

http://www.dailymail.co.uk/news/article-3198656/The-ultimate-swap-shop-Urban-explorers-1MILLION-worth-collectible-sports-cards-inside-abandoned-factory-Detroit.html

So immediately Squirrel thought…Strike! No, not another tube
strike is called for. BUT, STRIKE! Whilst the iron is hot! Yes, it
suddenly occurred to Squirrel, CARD CURRENCY so as it was in the old days, so can it be in the new days, the days of now,of today, and of the days on in to the Future!Interesting the America of today, Her….err HIS Majesty,the French one, in the old days, used to pay soldiers,particularly in New France, or what they thought and called New France, the area of North America they regarded as belonging to them, they,the French. in short it WAS currency, in………playing cards you know.

Card money was in use in New France in the seventeenth and
eighteenth centuries. So, Card money is a type of fiat money printed on plain cardboard or playing cards, which was used at times as currency in several colonies and countries (including Dutch Guiana, New France, and France) from the 17th century to the early 19th century. Where introduced, it was often followed by high rates of inflation, all issues of card money “could not be called unqualified success[es]”, as they were capable of solving budget deficits but eventually were overproduced, leading to inflation. In order to prepare playing cards or plain cardboard for use as currency, the medium had to be given a denomination, a seal, a serial number, and appropriate signatures. In New France, this meant an embossed fleur-de-lis (it is noted that the french also used the fleur-de-lis as the symbol for The Whore, and branded some with it as,public, Whores) and the signatures of the intendant, governor, and treasurer. In Dutch Guiana, meanwhile, the form these validations took varied between issue.

Card money was generally issued, at least initially, in emergency
situations. It could be backed by other currencies, such as Bills of
Exchange, or be without guarantee. Initially, card money was issued in three different denominations, in the form of singular playing cards bearing the intendants arms and signature. It was backed by the private promise of redemption, and readily accepted. However, due to its widespread monetary use, a significant amount of card money failed to be submitted for reimbursement and remained circulating. This meant that the government was able to increase its expenses. As a result, card money was used as currency in Canada intermittently for the remainder of the French regime.

As a financial tool, card money played a significant role as a means of exchange. Despite the worries of French officials, colonial authorities were successful in arguing that card money served as a financial medium in Canada just as coinage did in France. An economic substitute to the dangerous transfer of specie across the Atlantic, card money allowed France to benefit, since the King did not have the obligation to send coinage to Canada, which would have risked loss either from the sea or from enemies.

In the fall of 1685, once the first issue of card money had been
redeemed, Jacques Demeulles wrote of his experiment in a report to the home government: No person has refused [the card money], and so good has been the effect that by this means the troops have lived as usual. Problems arose as cards began to be over-issued in order compensate for the failing economy in France,in short, the over printing of the currency,and any cards were not being returned for redemption each year,due to banking as it were.hoarding for a rainey day…saving as it were, nor were they always redeemable when they should have been….In the America of today, we see it STILL in effect, the Americans are absolutely fabulously crazy for it, different cards,(different denominations), having differing and massive values..

The new found trove of the American cards, are While only estimated to be individually worth between minimally 99 cents and $5.99, the collective haul of hundreds of cases would potentially fetch millions if ever put on the market,so hence minimally valued they’re superior, and to some worth yet even greater sums. So you see, equal too and in greater value than, the existing U.S. dollar!!

Hmm……playing cards as currency…….playing cards ARE
currency……….AND they’re worth far more than the US
dollar…..seems with respect to playing cards..the USA dollar, the
mighty dollar, has gone the way of the lira………..worth noting
in future trade deals/payments to Americans……..payment in
playing cards will do, BUT watch just exactly how many playing
cards….no sense in over paying you know….meanwhile I’m off to
see the President, I just have to know how many playing cards it
will take to buy Manhattan Island off of’em………

Secret Squirrel,
MRL,MP,Dunny On The Wold,
Minister For Re-Deranged Re-Engineering.

Secret Squirrel Proposes The Choco Bar As Currency.

Secret Squirrel has come upon chocolate, become fascinated by it, in more ways than one, besides liking it.Chocolate has quite an interesting history, not that we’ll go in to ALL of it, be we will touch base with some of it.

In France, chocolate was a state monopoly.
According to legend, the French court’s love of chocolate was sealed when its new, self-confessed chocoholic queen, Anne of Austria (daughter of King Philip III of Spain), married Louis XIII in 1615(She and he were 11 at the time).Chocolate became an instant status symbol, and by decree, no one but members of the French aristocracy were allowed to drink it.

In England, anyone with money could drink chocolate.
The first chocolate house opened in London in 1657. Like coffee shops, which became popular much later, chocolate houses were places to enjoy a hot drink, discuss politics, socialize, and gamble.Many chocolate houses admitted only men. Others were open to anyone who could afford the entrance fee.

In countries like Ghana and Ivory Coast, people rarely eat chocolate because it is worth more to them as a trade product than as a food.

Well Candy is dandy, and at times even yet money……….here consider…….In the decades after WWII, Italy had some serious money problems: bills with so many zeros they make your eyes swim. And small change? It was just too crazy. The smallest bill was 500 lira. 5 lira coins and 10 lira coins, valued at less than a penny, were hardly worth the trouble, but many kinds of purchases ended up with these small amounts in play. The mint couldn’t keep enough coins in circulation to meet the need for small shops. So most of the time, when you went to buy groceries or
a pack of kleenex or a newspaper, you’d pay with a bill and get your change in, well, stuff. I got bandaids once, and a pencil another time. But the most popular alternative was candy.

This seemed quaint and charming to me at the time,  a happy traveler just passing through. But there were problems. Because it turns out that although the shop can give you candy as change, they are unlikely to accept candy as credit toward the purchase of something else.  Modern economies depend on MONEY as a single currency of exchange in every direction. Candy just doesn’t do.

Well, Italy solved its problem when everybody joined the Union and the Euro took the place of their desperate currency in 2002.  But it turns out that the candy money problem pops up in other places as well.

For example: in Indonesia, a recent study revealed that 10 percent of the country’s retailers are giving change in candy. This has evidently been a long standing problem. In  July, the retailers association agreed to stop doing the candy thing, and use only coins. The government promised to make more coins so no one would have the excuse of coin shortage. But still, the candy rules the cash
register. The shop keepers claim they are charged a 1 percent premium by the banks for stocking change, so they prefer using candy.

Now take note that when the Euro replaced the franc on 1 January 1999, the franc was worth less than an eighth of its original 1960 value.The price of chocolate, and candy bars, has steadily risen, never declined.28 Jan 2008 – Price of Hershey’s candy bars going up 13% … The price increase, effective immediately, boosts wholesale prices by 13 percent on standard The Hershey Company says it is raising
wholesale prices by 9.7% on most of its candy products.
26 Nov 2009 – That means that nearly half of the price increase in candy bars has come in just three years, for about a 24% increase in price per year.The price has never ever fallen you know, just increased.

Now ponder this out,1 euro = 1.2771 Canadian dollars….1.28 US dollars….1.24 Aussie dollars………….so what with tax………a choco bar is a taxed euro,really at the present, say Canadian rate of $1.50 as found in the candy bar machine, consistant with all candy bars,of any variety and any size, therefor, the euro could be replaced by the much more useful candy bar exchange system………….say the choco bar.In short the simple solution to end the world debt crisis is to a
form of a currency candy bar.

“Currently, we are printing euros just as fast as we can,” an EU spokesman said. “That lowers the value of the euro and reduces prices on our exports, so we can be more competitive on the world market.” And so too is everyone else in the world, and this lowers the value of the currency itself, and the currency against other currencies, each and evry one in turn and aginst the other.In short currencies are unstable, and keep falling in value, subject to inflationary trends, and overprintings and whatever have you and we. Well consider this, I have mentioned, that candy bars never fall in value, rather the rise in value, currencies fall, and they may rise, but bbasicly candy bar prices remain stable, or, rise,never fall.In short they themselves have their upward valuation affected by inflation such that they simply rise in value, never fall in value, the currencies fall in value against the choco bar you know. An economic fact,and indisputable economic fact.And plainly and simply, it doesn’t matter how many choco bars are manufactured by any and ALL companies, and marketed, their price does NOT fall, it remains constant OR RISES…….NEVER FALLS IN VALUE!! Now that’s bang for the buck, solid bang,constant bang, unfailing bang,unyielding bang,undeclining in value bang!The economics of it is utterly indestructable!

Now picture this, the use of the choco bar as a global currency standard! Yes, it can be used as an exchange currency,indeed even today, and even yet need really not be stored, you see the idea of the exchange is really an utter and complete artificiality, in reality, but the bars themselves do exist.

In short say convert the value of a lira sale to choco bars in value, say at the going rate, then,doing an uneccesary physical transfer(we can substitute a litteral artificial on paper only transfer), convert from the choco bar value to whatever ,say ,dollars.You see.it works, the choco is an exchange currency quite simply, and existing real and tangible exchange currency which never declines in
value,only rises. The deal is done, exchange is made, no problems!How different this is from the US dollar which has been used in the past, but noadays is being frowned on as a simple fiat currency, paper print up. Well the Americans can print up their currency whilly nilly and not have problems, but not it seems the Europeans.Clearly we need a new transfer currency FOR ALL and I SAY FOR ALL. The choco bar is to be used as a base exchange currency!! Indeed nodoby can complain about how many choco bars exist, or are.manufactured,the US dollar is manufactured too, so who are they to complain.It works, across so many levels! Indeed should nations decide, they could conceivably have candy bar holdings in
tangible storage facilities, but these would require some refrigeration, or the facility held in a neutral site bank of convienience, say Greenland…BUT in terms of the artificiality of currency transactions in the first place, the existing stocks spread out in every nation’s vending machines can and would simply do. Unquestionably.

There you have it, the Euro as a choco bar, the dollar as a choco bar, the Drachma as a choco bar,indeed all the world’s varied currencies converted to the choco bar,for the purposes of exchange, and yet everyone would have a choco bar currency exchange rate of equal value!! Problem solved! The choco bar as currency.The world economy is saved! Saved by Secret Squirrel!

Secret Squirrel,
MRL,MP,(Dunny On The Wold),
Minister For Re-Deranged Re-Engineering.

Secret Squirrel On National Debts,Money, And Gold.

Secret Squirrel is pondering national debts, and working with the national debts, in short, Squirrel has embarked on philosophical economic considerations of things of economics which are as they are, and may not seem to be as they are but they
are, and what they should be, yet aren’t,and even yet might not yet be.To be or not to be,that is the question,economically strong is the completion of it.The United Sates,formerly regarded as being the humungous heavily muscled King Kong of the economies of the world, through the power of the ever almighty printed up fiat paper and ink based currency, has now been found to be some form of strange miniature but seemingly economically possibly killable midget monkey.Of sorts. You see whilst America has debt problems,most major nations,but not all, have been revealed as having massive debt problems,also. In the same vein as America, almost also bankrupt,and as America probably morally so as well, the other major nations are Ireland (94.2% debt versus gdp), Iceland (123.8%), Greece (144%), Spain (63.4%),Italy (118.1%) .Curiously though, lets examine America, which though it prints up money whilly nilly seemed to be in an internal position of not ,at least almost not, being ALLOWED, by it’s Congress,to print up more currency for itself to run.It’s national debt is placed at 58% of it’s GDP, but this is far below the
% GDP debts of many European countries, and those regarded as being stronger economies.America’s is 58% of GDP,yet they had a massive crisis.Why ever did they have a humungous crisis, and not those other nations yet more of a crisis.

Well,through it all the massively indebted nation of  Canada remained undisturbed at a colossal 84% debt versus gdp, the UK is quiet at 76.5% and so too is France at 83.5%,and Germany at 78%.So,technically,if fiat money printing was linked to debt, the Americans should not be in any kind of a particular problem at all,concerning the per centage of GDP relationship, but strangely it was. What does it all mean?

Well let’s confuse the issue by examining things as they are. Now the Australia national debt is at a paltry 22% of it’s GDP,shall we say they’re THE best of what we can call the Old Order,Old Economic Guard,nations. Now with canada at a whopping 84% debt of gdp,if dollars are equating, shouldn’t Australia be allowed to further increase it’s “debt” to the Canadian level, and increase dollar values out by 4 times……….great spending spree that’d be for them, and deserved as well,or conversely, shouldn’t then a Canadian dollar be 25 cents versus the Australia(or increase  to 4 dollars canadian equating to 1 dollar Australian.Well clearly Canada is an utterly inept and economically incompetent failure versus Australia.Wouldn’t it be better for the Canadians if Britain gave Canada to the Australians to regulate,run,rule etc…life could be ever so much better……….!!!!!!!!!!Mind you it would still have winter.Now with the UK debt 76.5 % of gdp, and per capita productivity taken in to account,the Aussies rank above UK, and Uk also above Canada like per person per capita debts of respectively,41,39,31 thousands in terms of per capita debt ownership of the individual citizen, not that any citizen would wish to, nor does wish to,own his or her share of their national debt generated by governments regarded generally as being aliens of some sorts to them.So what is a dollar worth?It’s not based on any value of gold or any other precious metal. It’s not based on a national debt as percentage of GDP system………obviously it cannot be else all of the above concerning Australia.
Now the USA is at 58% of the GDP debt.

Let’s continue in the same vein.So the Aussie dollar ought to be worth 2us dollars to the Aussie dollar……..the UK dollar value(even if pounds), 1 Aussie dollar worth 3.50 uk dollar values.But it isn’t so is it.Well such is this thing of economics and finances.Now we find the US WANTS the Aussies to raise the value of their dollar versus the US dollar.They claim that by having a lower dollar value versus the Australians they force others to buy more from them,America, and the Aussies more,particularly, from whatever including America.But if the Aussie dollar was higher and got more dollars, the Aussies should be getting more bang for their buck in America, as in the car values in America say.Imagine a $18,000 car average
value, would be and should be accepted in exchange for said car 9000 Aussie bucks, BUT they want 18000 US bucks which at present is at par (or a touch higher cent of two aussie favor)as in equal value.But,they, the Americans, would not give the Aussies 2 US dollars in exchange for 1 Australian dollar,so the Aussies can’t spend what they don’t have but are entitled to,since when they want it to have it and use it, the Americans won’t give it to them. Anyway you look at it,things are confusing,and the Aussies are getting the short end of things.

Things are getting more yet confusing.Imagine now they,the Americans, want to go back to the gold standard.What of things of gold?Under a gold standard, paper notes are convertible into pre-set, fixed quantities of gold.

The gold standard is a monetary system in which the standard economic unit of account is a fixed mass of gold. There are distinct kinds of gold standard. First, the gold specie standard is a system in which the monetary unit is associated with
circulating gold coins, or with the unit of value defined in terms of one particular circulating gold coin in conjunction with subsidiary coinage made from a lesser valuable metal.

Similarly, the gold exchange standard typically involves the circulation of only coins made of silver or other metals, but where the authorities guarantee a fixed exchange rate with another country that is on the gold standard. This creates a de facto gold standard, in that the value of the silver coins has a fixed external value in terms of gold that is independent of the inherent silver value. Finally, the gold bullion standard is a system in which gold coins do not circulate, but in which the authorities have agreed to sell gold bullion on demand at a fixed price in exchange for the circulating currency.The total amount of gold that has ever been mined has been estimated at around 142,000 metric tons. This is less than the value of circulating money in the U.S. alone, where more than $8.3 trillion is in circulation or in deposit (M2 deposits). Therefore, a return to the gold standard, if also combined with a mandated end to fractional reserve banking, would result in a significant increase in the current value of gold, which may limit its use in current applications.economic recessions can be largely mitigated by increasing money supply during economic downturns. Following a gold standard would mean that the amount of money would be determined by the supply of gold, and hence monetary policy could no longer be used to stabilize the economy in times of economic recessionMonetary policy would essentially be determined by the rate of gold production. Fluctuations in the amount of gold that is mined could cause inflation if there is an increase, or deflation if there is a decrease.

In 2001, Malaysian Prime Minister Mahathir bin Mohamad proposed a new currency that would be used initially for international trade among Muslim nations. The currency he proposed was called the Islamic gold dinar and it was defined as 4.25 grams of pure (24-carat) gold. Mahathir Mohamad promoted the concept on the basis of its economic merits as a stable unit of account and also as a political symbol to create greater unity between Islamic nations. The purported purpose of this move would be to reduce dependence on the United States dollar as a reserve currency, and to establish a non-debt-backed currency in accord with Islamic
law against the charging of interest. However, to date, Mahathir’s proposed unified gold-dinar currency has failed to take hold.But present holdings in Muslim nations total 1328.3 Tonnes, or US 18Billion.This is interesting, it would be a workable
economy within the global economy, respting on participating nations having faith in their currency,their exchange standard.It magnifies and exposes the concept of the global economy and problem of the day. This idea of his should work,it is a mdoel of a workable economy, and economy in the world as it was, but isn’t,it is the gold standard value economy.

The United States used gold as the basis for valuing the U.S. dollar successfully for roughly 180 years before President Richard Nixon embarked upon an experiment to end the practice in the 1970s that has contributed to a number of woes that the country is suffering from now.By restoring the gold standard, the United States would shift away from “less responsible policies” and toward a stronger dollar and a stronger America, he said.  “If the dollar was as good as gold, other countries would want to buy it.” Forbes believe the US will return to the gold standard within 5 years.But here we have the starnge term…..buy the dollar……with what, gold they no longer have having cleared out their reserves…..some haven’t noitcably the arab countries where it has been cherished and believed in from the beginning of time…but others cleared it out, almost entirely,So,now everybody has to go back to the gold standard?Most nations just spent their time getting away from the gold standard and getting rid of their gold.  Why this sudden urge to go back to the gold standard?

Well, let’s look at the tables…….

Top 10 Nations by Gold reserves :(tonnes)

Country           Dec-09      Mar-09     % of reserves
United States     8113.5     8113.5       68.7
Germany            3407.6     3412.6       64.6
Italy                  2451.8     2451.80    63.4
France               2435.4     2487.10    64.2
China                 1054.0  1054.00       1.5
Switzerland         1040.10 1040.10       28.8
Japan                   765.2     765.2       2.4
Netherlands           612.5     612.5       51.7
Russia                  607.7     523.7        4.7
India                    557.7     357.7        6.4
All other               26780     26349     10.2
Total                 47825.5     47167.2
http://asiancorrespondent.com/29378/top-10-nations-by-gold-reserves/

Well,US holds the maximum gold reserves in the world. At the end of Dec 2009 the US has 8113.5 metric tons of gold in its foreign reserves. 68.7% of America’s foreign reserves are in the form of gold – highest by any country in the world. China on the other hand holds a mere 1.5% of its reserves in Gold. It is a big fan of green back and holds close to $2.5 trillion in foreign exchange, most of it in USD.Australia only holds about 8%,or 79.7tonnes, Canada 2% 3.4tonnes…hardly anything at all really,UK 312.2 tonnes.Europe,less Uk holds 13681 tonnes total,184 billion US.

But there is another stranger side of the coin as it were…let’s talk a walk on the wild side, let’s follow the left hand path, let’s see what’s on the dark side…that of things sinister…..

2009

Rank     Country/Region     Gold production (kilograms)

1                 China                  320,000
2                 Australia              210,000
3                 South Africa         210,000
4                 United States       205,000
5                  Russia                205,000
6                   Peru                 180,000
7                   Indonesia          140,000
8                  Canada              95,000
9                    Ghana              90,000
10                 Uzbekistan         80,000

Now to give an idea of production per year,let’s exmine Australia’s production.Now with gold at (per Kilo) $56,496.90, given Australian output at 210,000 kilos per annum, this equals in US Dollars, $11,864,394,000 which is 11.864 billion, or .118
trillion.Now One tonne is equal to 1000kg.So Australia’s production is 210 tonnes per annum.It would take Australia, keeping all of it’s own production, 38 years to equal America’s present 8113.5 tonnes of reserves.Australia is a have, a very big have, so too are other seemingly poorer nations, but what then of the have nots?

The United States is in great field position,pretty much all round and about,massive debts or not,and their debt isn’t the most massive in the world,Japan is at 225% of it’s gdp take note, and plugging along quite nicely,thank you, in spite of it
all,facing no economic crisis what so ever,strangely enough.Yet the US debt,who’s dollar is used as a world exchange currency,the world standard currency, has a debt of 14 trillion,at 58% of gdp, the Japanese at 225% of their GDP have a debt ot 9.8 trillion US dollars,the UK has a debt of 9.12 trillion but their is vastly less of it’s gdp,only 76.5% of it’s gdp to be exact.

China is also in really good field position, the best really within the world,in either case, debt based,fiat money based or gold based economy, but all the other nations with high gold reserves, aren’t gold producers.What of the gold producers, would the Australian’s then have to produce gold to give to the US for US dollars? But what of the non gold producing nations.

Obviously then the gold producing nations become the king nations of the new economic order over night.Indeed yes,why should they or do they have to sell gold at all, and for how much as well, in exchange for what and what ever also as well. Why shouldn’t they not keep their own massively produced gold?Just look at Australia, South Africa, Russia, Peru, Indonesia, the economic colossus they would thence become, and should be,even yet today,but curiously aren’t.

Obviously things are very very peculiar in the world of today, the world of money………..

ABBA

“Money Money Money”

I work all night, I work all day, to pay the bills I have to pay
Ain’t it sad
And still there never seems to be a single penny left for me
That’s too bad
In my dreams I have a plan
If I got me a wealthy man
I wouldn’t have to work at all, I’d fool around and have a ball…

Money, money, money
Must be funny
In the rich man’s world
Money, money, money
Always sunny
In the rich man’s world
Aha-ahaaa
All the things I could do
If I had a little money
It’s a rich man’s world

A man like that is hard to find but I can’t get him off my mind
Ain’t it sad
And if he happens to be free I bet he wouldn’t fancy me
That’s too bad
So I must leave, I’ll have to go
To Las Vegas or Monaco
And win a fortune in a game, my life will never be the same…

Money, money, money
Must be funny
In the rich man’s world
Money, money, money
Always sunny
In the rich man’s world
Aha-ahaaa
All the things I could do
If I had a little money
It’s a rich man’s world

Money, money, money
Must be funny
In the rich man’s world
Money, money, money
Always sunny
In the rich man’s world
Aha-ahaaa
All the things I could do
If I had a little money
It’s a rich man’s world

It’s a rich man’s world

Secret Squirrel Ponders Mechanisms That Generate A National Debt.

Secret Squirrel ponders the mystery,the illusion of this thing called an economy,the life blood of nations,this thing which generates a vast national debt that each nation simply cannot pay off, a national debt that is as illusionary as the sanctity of that thing called the dollar,that visible invisible piece of paper which nations print up to drive their economy,pay their bills,oil the machinery of capitalism,communism,socialism,that thing called money which nations simply never have enough of no matter how much of it they print,a fact they have just woken up to.

Yes,America has awoken to the fact that it is spending money it does not have, they the citizens have woken up to that, government has woken itself up to that fact, and almost didn’t vote yes to print up more money to cover its previous debts INTEREST PAYMENTS,on money it had earlier printed up and spent………..err………spent in America? Who would notice that? It seems America has been spending all over, all over the rest of the world, in similar fashion to the other nations of the world who are also in massive debt.Yes indeed, they’re all spending money they don’t have, and printing it up whilly nilly as well.As a matter of fact why just weeks before the American realization of debt came, Obama, it’s President, was out and about yelling and screaming about other nations who were in danger of default on their debts, thundering,blundering ever louder than before, at Spain,Ireland,Italy,et cetera and especially at Greece, who somehow all managed to resolve their crisis, then suddenly Obama stepped in it, his own near default debt crisis.Sad is it not.

So in America it,the national debt, is set at $39,000 per person….THE NATIONAL DEBT…..a debt they claim is impossible to pay off………why? well there seem to be so many in America who can’t and won’t come up with their 39,000 for the US government to give to the US government, to clear the national debt.why, because no doubt this figure includes the illegal Mexicans.We need them, you need them, turf them out and the numbers of people counted drop, and so then your share of the national debt rises, so, if there are MORE illegal immigrants, your share of the national debt will drop accordingly,so what if we move in to America all of the Mexicans, this’d be  another 107,431,230, and YOUR national debt would drop by one quarter, (1.4),to  a lower $30,000 approx. On the other hand we’re only looking at a paltry $9000 drop, so maybe it’s best to leave the Mexicans where they are,and we’d best get Obama to get the ones already in the USA,to send them back.

In the UK population 62,435,709,the national debt is 13,000 pounds per person…now the population of India,which once belonged to England you
know, is 1,210,193,422 , 19.3830332 times that of the UK, so divided by 19 is 643 pounds, give or take so, by readmitting them,the Indians,declaring them to be British,I know,yes, but we must have a use for them at the immediate moment, adding the figures, dividing reduces the national debt per person to that paltry sum,we then turf’em out again, and leave them with their debts to be paid,by whatever means they can or can’t,not our problem really, and we have only a debt of 643 pounds per person, 40 146 160 887, 40.1billion or .401 trillion, a vast
reduction………..technique I,Squirrel,call debt transference and India is a convenience so we’ve made a convenience of them to conveniently reduce our debts,the debts of the UK…………..The reabsorbed India could be left as is,where it is.THEN we then simply declare them once more self ruling.Turf’em, and their share of the debt remains THEIR responsibility.We must do this before the Americans find out,you see,India’s population is 4 times that of America, if American absorbed India, that would add that amount of people to pay the
national debt and so the debt would divide per person,much easier to pay off,and be about say $9000 per person. So, the Americans could pay off their share, and,turfing them in like fashion,could leave the turfed Indians to pay their share off.Interesting system of reducing national debt, spreading it around somewhat more, thinning it out as it were, but alas and alack, merely wishful thinking.

So what is debt,besides being a huge global worrying amusement?It’s stated that the USA has a national debt that is 58% of it’s gdp,mind you that’s far less than Canada’s which is a colossal 84%, but then Australia seems to be best managed at only 22%.China’s national debt  is at 17.5% but can it be in such a good field position when it owns the US debt,meaning it owns noting, just IOU’s on paper, really.

Interesting,the nations have no money, America has no money, but must print up money to pay off the interest on it’s debts,and must print up money to operate internally.So, the nation has no money, but we see oil companies making vast profits, other companies making vast profits, and buying up foreign companies world wide,they have money, and the governmnet of America wouldn’t allow them to operate if they had no money.Indeed the US even increased it’s debts massively in the last years financing, on printed up money, their foreign wars of acquisition of
the arab oil lands, for the oil companies to make more profits.Curious.That’s what it does, what they all do, print up money as they need it…no cause for alarm then, only when they threaten not to.Globally it’s all really just a giant monopoly game,where each nation gets to add more monopoly money for it to loose(or spend), where ever and on whatever,with no cause for concern unless certain privileged members of the game complain about it at any given time.

So National debt, national debt, all the focus is on national debt.There’s more to things than just the NAtional Debt,you know, There are internal debts,within nations,that occur. Take for example,the United States, made up of individual states,and we see,that yet, obviously, there is not one single state that does not have ever increasing debts of their own,as Schwartzenegger showed us by massively increasing California’s debt such that everbody noticed this element of things.Let’s have a look at America’s state debts……….

State .. Total State Debt

.Nebraska .. 30,542,523              14%
.Wyoming .. 45,718,680              6%
.South Dakota .. 222,592,942
.North Dakota .. 230,276,464
.Iowa .. 237,620,624
.Montana .. 381,220,699
.Vermont .. 430,257,920               17%
.Alaska .. 601,385,253
.New Hampshire .. 695,401,875
.Idaho .. 792,995,913
.Maine .. 979,497,643
.Arkansas .. 1,083,543,750
.Utah .. 1,244,703,684
.Tennessee .. 1,467,027,182
.Colorado .. 1,708,414,320
.Delaware .. 1,883,539,616
.Oklahoma .. 1,884,082,550
.Rhode Island .. 1,908,414,708
.West Virginia .. 1,910,765,850
.Nevada .. 2,286,268,525
.New Mexico .. 2,801,481,374
.Indiana .. 3,095,940,466
.Kansas .. 3,281,021,508
.Alabama .. 3,748,131,568
.Missouri .. 4,011,678,600
.South Carolina .. 4,100,556,558
.Mississippi .. 4,363,050,088
.Minnesota .. 4,560,541,324
.Hawaii .. 4,759,779,150
.Louisiana .. 5,228,776,464
.Arizona .. 5,322,792,846
.Oregon .. 6,144,005,142
.Virginia .. 6,164,185,380
.Kentucky .. 6,371,944,901
.Michigan .. 7,636,810,882
.North Carolina .. 7,804,895,488
.Wisconsin .. 8,080,672,046
.Maryland .. 8,589,113,346
.Georgia .. 9,671,943,624
.Ohio .. 11,104,024,490
.Pennsylvania .. 11,974,528,650
.Texas .. 12,886,797,040
.Washington .. 13,908,174,965
.Connecticut .. 15,797,113,120
.Florida .. 20,669,835,435
.Illinois .. 24,232,837,693
.Massachusetts .. 28,504,076,601
.New Jersey .. 31,530,722,919
.New York .. 57,080,584,213
.California .. 66,715,803,520            19%
Grand Total .. 420,166,090,122 (.420 trillion)

(Interesting,this is not a huge figure,basically half of Australia’s national debt total,whatever is the United States government spending on?)

The debt figures are in dollars, and the % is a percentage of the GDP debt they themselves have,so states vary in percentage of GDP debt from a low of a mere 6%, to a high of 19%. So these figures each must be added to the national debt,as they do not figure in to the national debt calculation.Wyoming at a population of 532981 has a debt of 4107 per person,the lowest state debt, and the highest is California at 9977 per its population of 37824187.California gets 79 billion from the US government,which is only 40% of what it spends …….so where does the rest come from???Money has to come from somewhere.It is now mathematically impossible for the U.S. government to pay off the U.S. national debt.

You see, the truth is that the U.S. government now owes more dollars than actually exists. If the U.S. government went out today and took every single penny from every single American bank, business and taxpayer, they still would not be able to pay off the national debt. And if they did that, obviously American society would stop functioning because nobody would have any money to buy or sell anything.In short, it’s only so much “money” which exists only on paper.It doesn’t exist.So why doesn’t it exist?It is because the American financial system is based on something called fractional reserve banking.

When you go to your local bank and deposit $100, they do not keep your $100 in the bank.  Instead, they keep only a small fraction of your money there at the bank and they lend out the rest to someone else.  Then, if that person deposits the money that was just borrowed at the same bank, that bank can loan out most of that money once again.  In this way, the amount of “money” quickly gets multiplied.  But in reality, only $100 actually exists.The truth is that banks are freer today to dramatically “multiply” the amounts deposited with them than ever before.

But all of this “multiplied” money is only on paper – it doesn’t actually exist.The system works because we do not all run down to the bank and demand all of our money at the same time.

According to the New York Federal Reserve Bank, fractional reserve banking can be explained this way….

“If the reserve requirement is 10%, for example, a bank that receives a $100 deposit may lend out $90 of that deposit. If the borrower then writes a check to someone who deposits the $90, the bank receiving that deposit can lend out $81. As the process continues, the banking system can expand the initial deposit of $100 into a maximum of $1,000 of money ($100+$90+81+$72.90+…=$1,000).”

A Ponzi scheme is a fraudulent investment operation that pays returns to separate investors, not from any actual profit earned by the organization, but from their own money or money paid by subsequent investors. The Ponzi scheme usually entices new investors by offering returns other investments cannot guarantee, in the form of short-term returns that are either abnormally high or unusually consistent. The
perpetuation of the returns that a Ponzi scheme advertises and pays requires an ever-increasing flow of money from investors to keep the scheme going.And so too does the banking system.

Nations handling their debts with respect to other nations are really using a pyramid scheme,a non-sustainable business model that involves promising participants payment, services or ideals,which in all reality,they all cannot really make.So much of the “money” out there today is basically made up out of thin air.Again,the banking system works because we do not all run down to the bank and demand all of our money at the same time.The global system works because nobody dares to demand their held debts in actual payment,else it all collapses just as it is a house of cards.Nations are,in fact then, paper tigers,running a huge global pyramid scheme,with banking systems which are in fact vast ponzi schemes.None of it should work, but it does, it’s the system.

MRL,Do Things Ever Change,And Is Change Good For All That Matter

Secret Squirrel has noted that we are always said to be voting for change,we vote for change.We are always told to vote for change,done at election time it is,supposedly,time for change,time to change. And so, supposedly, we vote for ch..ch…chh..chh..changes.But in Britain there hasn’t really been any,there never really is any,just the same old,same old. Canada voted for change, and the changed the $1 paper bill to a coin. They voted for change again, and then the $2 paper bill was changed to coin. Now Canada is to vote for change again. Would seem the $5 bill is due to be changed, to 5$ coin.Is change good? Well, not if it’s Canadian money, I prefer pounds,US Dollars, etc.

Is change ever all it’s cracked up to be? Is change good? Not necessarily. We are now forced to carry change in our pockets as there’s no room in our wallets for all that change, and you know what that change promises, a pocket full of mumbles. Soon we will have been carried back to ancient times when people were forced to carry their change in sacks. On seeing so many large and full sacks, the ruler then changed the taxes,to get mos of their change. Things changed then and People were then carrying far less change,money lessened, since the rulers would not change the taxation to reduced levels,the only change in taxes being increases or added taxes, and so things stagnated when there was less, creating the stagnant economy,and people would no longer buy their meat but go out to hunt the stag,so necessary now to their livelihood.

But is change all that good? Too much change is a problem, too much change is a very weighty matter, which brings things like holes in pockets, and so we have less change when some of the change is lost.The government wishes change, change brought about by removing our pence. Well I won’t drop my pence for them, nay, they’re all men in government,of sorts, at any rate. But they’re intent on taking our pence,leaving us without our pence. Well, they just won’t,and don’t change do they? Well, if we’re to keep our pence, we’ll just have to throw the present government out,else things won’t change, but we all know that who ever replaces them will do what ever they wish and so there really won’t be any change at all.Indeed politicians are always confusing people by frequently changing their minds,and then things will simply go loopy until election time arrives and we have to change things once more.Time may change things, but they can’t change time.Do things ever really change, does change ever really change things?It’s oft been said, that things will never change,politics certainly have never changed.
Oh well, I’m off to change for bed, at least it’s timely as I’ve changed the setting over to Savings Time.Things will never really change.

Secret Squirrel,
MRL,(MP,Dunny On The Wold),
Minister For Re-Deranged Re-Engineering.