Posted: October 29th, 2010 by Militant Libertarian
Our age is retrospective. It builds the sepulchres of the fathers. It writes biographies, histories, and criticism. The foregoing generations beheld God and nature face to face; we, through their eyes. Why should not we also enjoy an original relation to the universe? Why should not we have the a poetry and philosophy of insight and not of tradition, and a religion by revelation to us, and not the history of theirs? Embosomed for a season in nature, whose floods of life stream around and through us, and invite us, by the powers they supply, to action proportioned to nature, why should we grope among the dry bones of the past, or put the living generation into masquerade out of its faded wardrobe? The sun shines today also. There is more wool and flax in the fields. There are new lands, new men, new thoughts. Let us demand out own works and laws and worship.
– Ralph Waldo Emerson, Nature
I believe we have finally breached the tipping point in the socio-political landscape of the United States of America. There will be no going back from here. Everyone on all levels of society including the elites must make a choice. Will you stand for real reform and an end of the feudalistic rule of the oligarchs and their paid-off puppets that line the streets of Washington D.C., or will you keep your mouth shut and play the old and dying game in the context of a completely different cultural environment?
While many will disagree with what I am about to say, I believe the oligarchs and the Federal Reserve have already lost.
This will not be clear to the vast majority at this time because the powerful institutions that dominate and rob us will continue to fight for survival but the wind is already blowing in a different direction and cannot be reversed. The smart elites are starting to see this and are hedging their bets. The dumb or stubborn ones may want to start looking at countries with non-extradition treaties or start blowing the whistle on someone above them and fast. The window of opportunity to make the choice is closely quickly. “I was just following orders” will not cut it when the dollar collapses and Disneyland shuts down. There have not been any major arrests and people have seemingly gotten away with all their frauds and crimes. This too will change and 2011 will represent a change in trend in this regard. We have entered the terminal phase of this ponzi scheme economy and those responsible for its creation and its continued support at the expense of the vast majority of the populace will see their foul deeds rise to the surface.
Earlier this year I wrote two piece that I think are worth re-reading and I have attached links to them. The first was “A Time to Speak Out”http://www.zerohedge.com/article/time-speak-out and the second was the “The Elites Have Lost the Right to Rule”http://www.zerohedge.com/article/elites-have-lost-right-rule. When I wrote these articles many of the themes addressed were completely out of the mainstream, yet in an amazingly brief period of time many of the frustrations I voiced are now popping up everywhere I look. It’s strange and rewarding to see the topics I and countless others have been discussing on the “fringe” break into the light of day. Now that these concepts are out there is no stopping the avalanche that is about to hit the oligarchs smack in the face. As Gandhi said “An error does not become truth by reason of multiplied propagation, nor does truth become error because nobody sees it.”
This brings me to discuss what I think is one of the most important letters from an elite I have seen in 2010. I am referring to Bill Gross’ most recent piece. Now when I say he is an “elite” I am not saying he is part of some vast conspiracy to turn us further into serfs. What I mean is he is one of the most fabulously wealthy people in America. He also happens to have made his fortune in the financial services industry and runs the country’s largest bond fund. This is a person that has every reason and incentive to play nice with the other elites and their corrupt institutions at the top of which lies the Federal Reserve banking cartel. What he did in his latest letter was far from “playing ball.” Here are some of the notable quotes and the entire letter can be found herehttp://www.pimco.com/Pages/RunTurkeyRun.aspx.
“Was it relevant in 2004 that John Kerry was or was not an admirable “swift boat” commander? Will the absence of a mosque within several hundred yards of Ground Zero solve our deficit crisis? Is Christine O’Donnell really a witch? Did Meg Whitman employ an illegal maid? Who cares! We are being conned, folks; Democrats and Republicans alike.”
“Perhaps, as a vocal contingent suggests, our paper-based foundation of wealth deserves to be buried, making a fresh start from admittedly lower levels. The Fed, on Wednesday, however, will decide that it is better to keep the patient on life support with an adrenaline injection and a following morphine drip than to risk its demise and ultimate rebirth in another form.”
“Check writing in the trillions is not a bondholder’s friend; it is in fact inflationary, and, if truth be told, somewhat of a Ponzi scheme. Public debt, actually, has always had a Ponzi-like characteristic.”
“The Fed, in effect, is telling the markets not to worry about our fiscal deficits, it will be the buyer of first and perhaps last resort. There is no need – as with Charles Ponzi – to find an increasing amount of future gullibles, they will just write the check themselves. I ask you: Has there ever been a Ponzi scheme so brazen? There has not.”
Ok, so what is Bill Gross up to you ask? I will give you my two cents. This guy is not as fabulously wealthy as he is for being a dope (although this cannot be said for a lot of people in this industry that are merely financial engineers that would become extinct overnight without 0% interest rates but that’s another story). Bill Gross sees the writing on the wall. He see the winds of change and is hedging his bets. He is throwing out a carrot to those that criticize the completely corrupt and ponzi scheme economy and financial system we have today which benefits only those that speculate on the taxpayers dime. We could end this fake and destructive economy by ending the Fed in its current form (at the very least everything they do must be transparent) and restoring the rule of law. He attacks the false left/right paradigm and rightly points out that both the Democrat and Republican establishment have sold out the people to line their own pockets. In the second quote he actually explores the notion that “our paper-based foundation of wealth deserves to be buried.” Then finally he points out what many others have but almost no one is the mainstream ever admits. The U.S. government is running a giant ponzi scheme with regard to its debt. Hmmm do you want to own gold or treasuries?
Truth be told, what Bill Gross did in this letter is to create the ultimate hedge for himself. He didn’t say these things earlier when they were just as true as they are today and certainly must have been clear to someone of his intelligence. He said it now. He said it now because he can see the writing on the wall. The important thing is not that he ultimately defends what the Fed is doing (which he unfortunately does) but that he felt the need to hedge himself and distance himself from the system. As he writes in the final paragraph, “We haven’t been around for 35+ years and not figured out a way to avoid the November axe. We are a survivor and our clients are not going to be Turkeys on a platter.” Indeed, the axe is going to fall on the oligarchs and if you don’t want to be a turkey on a platter you had better choose sides and fast. As the great Ralph Waldo Emerson wrote in his 1836 essay Nature, “There are new lands, new men, new thoughts. Let us demand out own works and laws and worship.” Well said sir, well said.