Sunday, June 1, 2008

Mogambo Rants................


Fiat Ruination

There are, as I understand it, police reports that people two freaking blocks away dialed 911 in a panic because they heard my screaming and crying in terror when I saw what was going on in the banks and at the Federal Reserve.
First off, Total Fed Credit was up about $5 billion last week, which is, in the parlance, "goodly sized!", which makes me howl in dismay because this is the ultimate source of fiat money! Total Fed Credit is the legendary stuff from which fiat money springs… From the bowels of the banks, in whose bowels this credit first appeared (thanks to the Fed depositing it there from their bowels!), and which was turned into some multiple of this $5 billion credit when someone borrowed some huge, unbelievable multiple (fractional reserve banking at its finest!) of this $5 billion increase in TFC from the aforementioned banks.
That is the situation in a nutshell, and if you are suddenly cold with fear and you feel a scream of terror rising in your chest at the obvious fraud, then congratulations! This means that you are achieving Total Mogambo Enlightenment (TME), which means you now understand the significance of the seeming overuse of the word "bowels" in the preceding paragraph, and now you are appropriately disgusted at the repellent true nature of fiat money.
One of the benefits of TME is that there are no real bowels involved at all (unlike when raising children or pets), nor any fees or dues to pay, except for the price of your very soul and sanity, because now you begin to comprehend the terrifying enormity of what happens to a country so completely idiotic that they ignore their own Constitution's Article 1, Section 10 requirement that only silver and gold coin can be made a tender in payment of debt, and instead, use the One Damned Thing (ODT) that the Founding Fathers and everybody else feared above all others, namely a fiat currency!
A damned silly piece of paper or electronic fluff that can be increased, without limit, at the mere caprice of an authority figure, which is the ODT we didn't want because this inevitable increase in the supply of fiat money leads to increases in prices, and history is FULL of the ugliness of what happens when people can no longer afford food because their money is rendered worthless! It's a killer-diller!
As the solid foundation of your True Mogambo Enlightenment (TME), you have the fact that not once in the 4,000-year history of man and money has this "fiat money" crap NOT led to total ruination. Not once. Not even close.
And then, as your TME skills grow and develop, you will become evermore horrified, evermore paranoid, evermore suspicious and hateful, when you read things like how the Non-Borrowed Reserves in the banks hit a new record in disgusting banking infamy; they now have to report a staggering negative $111.8 billion in Non-Borrowed Reserves!
The brain explodes; "What? Total Reserves in the banks are the same lousy $42 billion that they have always laughably been for the freaking last decade or so, but now Non-Borrowed Reserves are a negative $111.8 billion? Gaaaahhhh! It makes no sense! Don't make me crap in my pants out of horror!"
Of course, it will just keep getting weirder, and you will crap in your pants at the horror of the economic mistakes being made, and your TME skills will grow stronger until one day you find yourself gobbling heart medication by the handful at the mere sight of a fact like, well, how last week the Fed itself sold another $17 billion of its stash of government debt.
Interestingly, the Federal Reserve has now sold over one-third of its stash, taking their remaining stranglehold on us, through our money, down to $502 billion, waaAAAaaaay off from the $790 billion they had in August, 2007, and even down from their $713 billion in March, just two months ago! Panic mode!
And as you quickly blossom into a full-fledged Junior Mogambo Ranger (JMR) after about two minutes of TME, you will be outraged and personally insulted that only you, of all the people around you - people that you now regard with contempt and loathing - see the awful significance of how inflation in prices is the thing that is going to destroy this country, which it will because the demonic Alan Greenspan and the Fed has destroyed our country by creating so much money and credit for so many, many years, which produced, first, inflation in the prices of stocks and the prices of bonds, which everyone loved, and then inflation in the size of government, which everyone loved, then inflation in the prices of houses, which everyone loved, and now inflation in commodities like food and energy, which nobody loves, and now nobody likes you because you remind them of me, and they all hate me, and I hate them back because they are stupid and they elected people to Congress who have destroyed us.
And though you will, thanks to the True Mogambo Enlightenment (TME) side of you, foresee many, many horrors that will inflict the dollar, and thus the country, and be sorely afraid, you will also know that the answer to your own financial salvation, and verily the salvation of a country, is to own gold. And you will.
It's the Greedy Mogambo Side (GMS) of you that makes you think that the only thing better than financial salvation is having lots and lots of financial salvation, and that path lies in owning lots and lots of gold and silver. Me, too! Whee!

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