Coins

Burst of the Fiat Currency Bubble

The reality of the worlds economy has been obscured by a perceptual illusion. Fiat currency has value based on perception, it can only function with proper detail level management and controls. All elements in the system must be well understood, integrated and provide summary data for analysis.

The most obvious thing is that the banking and monetary systems have flaws in their foundation, the base design of fiat currency related to interest.

The market has gotten so big and complex that the flaws are effectively hidden, while the effects of the flaws can no longer be hidden or fixed with a artificial fix or Band-Aid, the wound does not heal. Inflation could be considered a measure of theft or system leakage.

 

When reality meets the illusion of mismanaged fiat currency the bubble will burst and what was perceived to have value will be seen for the truth.

The Market place is also a casino where the house and certain players with privileged knowledge or the ability to influence events have an advantage over most of the other players.

The resulting detrimental effects of the flaws have gotten much bigger and more ominous. The resulting conditions caused by the flaws are further exacerbated because it is integrated with other systems that are flawed. Artificial correction is used to bring the appearance of balance.

Furthermore is there is this great assumption that there is a need for every able bodied person to work 40 hours a week. The 40 hour work week is based not on reality but an illusion and an artificial economy that has grown to support it. Technology has reduced the amount of labor required to provide the basic needs of humanity yet this savings has never bean realized by the labor force.

Those in charge of managing the worlds monetary system have been very negligent perhaps they were blinded by greed?

The fact is the needs, not necessarily the wants, that existed years ago and yesterday for food, shelter, transportation, communication and energy do not change. In other words accounting for these value transactions is not going away tomorrow, yet I understand that the managers of the monetary system will be unable to support these transactions properly?

Of course it could just be a clever way to convert symbolic intangible units into tangible assets and may result in one of the largest transfers in wealth.

There is one word to describe it all BOGUS.

 

The good thing is the economic participants are all connected and communicating and some of them are smart, so this time it is going to be different, the fictions will not survive being subjected to collective scrutiny.

Recession, Depression, and Inflation are three of the biggest frauds ever perpetuated on the general public.

All the money spent and invested on actual war produces nothing of value and the Iraq conflict has resulted in a very large devaluation of currency.

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