Mind you, this train of thought started because of McNorman, and the Limbaugh article that is posted over there.

People are not going to wake up until the money they have isn’t worth the paper it is printed on, and suddenly we are where Germany was, which is hyperinflation. Economists who have followed the explosive growth of the US federal debt and the Federal Reserve’s reports on the money supply have been warning people for a while about the fact that this is a real possibility based upon the facts from history. This has provoked many investors to begin pegging stock prices according to the price of gold. Gold is already being held in portfolios, and linking ones holdings to the prices of other commodities is just one step away.

And so now, when the market goes up, gold goes up. When the market goes down, gold goes down. Some prognosticators such as Peter Schiff are now pronouncing publicly that gold will go to $5,000 as the markets begin to react to hyperinflation by adjusting their prices with the soaring prices of other goods and services. Nouriel Roubini pretty much backs him up on this prediction.

And then there is Obama, who is merely betting that he can weasel his way into a second term and hit the escape button before the proverbial substance hits the fan. After all, he is the quintessential politician, who makes Bill Clinton and Jimmy Carter look like they couldn’t beat their way out of a wet paper bag. Hell, Obama sold people the idea that you can literally rob from yourself in order to pay for something that you know you shouldn’t have in the first place. New car? No problem. Buy a house? Sure thing. Here. Here are some measly little tax credits. Now, enjoy being in debt … some more to the banks that I just gave all of your money to. Enjoy yourselves, suckas….

All joking aside, George Soros by the way is already coming out of hiding and leading the charge in creating the new world order, which as its centerpiece will be one global currency. The last holdout seems to be China, which has us by the cojones. The two sides squaring off in this high stakes game are those want a global fiat currency that they can control, which means that China is being dragged by these con artists into a game where they unilaterally give up their economic status in return for control by central banks and the markets. Obama is simply Soros’ pitchman (or vice versa?), who is destroying the US dollar so that the Chinese will be forced to let the yuan “float” or their US assets will self-destruct. The ones with the pitchforks and the torches who are saying no to all of this madness are people like bloggers and some, but not many politicians, and people like Limbaugh. In the middle are the ones who think they can outsmart both sides by simply hoarding gold. The thinking behind this is that if money becomes worthless, then gold can be exchanged for basic commodities.

What is driving this is an old school socio-economic philosophy, which believes the world is still uninformed and illiterate and thus unable to understand how fiat currency based economies become corrupt, and therefore ordinary people cannot grasp simple economic concepts. Ron Paul, for example, lends a lot to this pursuit. After all, doctors are notorious for not being competent when it comes to managing money. Something tells me he either chose the wrong profession, or that not all stereotypes are true.

And speaking of Obama, he is simply portraying the stereotypical black “can’t touch this” attitude, which is a way of marrying himself to the stereotype that of course had already been created for everyone by savvy PR folks a few generations ago. And if, say, you happen to have a lot of money and you understood how the game of world domination is played, then it is almost inevitable that the two would combine and there would be fireworks.

Remarkably, not one single serious issue has surfaced to the top and become of any major importance to the media because an issue such as the economy and the high stakes game that is being played can always be deflated or deflected by the almighty issue of race, gender, etc. Even if one does have an opinion, then it wouldn’t be important because it won’t ever see the light of day by the rule makers, the ones who set the “agenda” and so forth. The rest of us are left to be a loose fitting amalgamation of bloggers, talk radio enthusiasts, and political junkies. It’s beginning to catch on as economists begin to jump ship and join the ranks of others. Third party candidates are beginning to catch people’s attention. Things are definitely happening. It’s just that the MSM can’t bring itself to admit that they aren’t the ones making the news any more. In fact they weren’t making any news back then either.

Listen, if none of this stuff were ever proven to be true … when the history books are finally written and none of this ever happened that we sat around and discussed, then I would be happy about that. However, it is worth noting that the doomsday scenario that Rush is presenting is also shared by a lot of other people. Just look at his ratings. Through the roof. Some of the things he says are admittedly a bit out there, but by and large Limbaugh is expressing a lot of the frustration people who are students of history are having with a situation that seems eerily similar to the past.

However, after carefully examining what Limbaugh has to say, you do in fact have to say to yourself that the rest of us did know that the economy was in a tatters a long time ago. What’s more is that we knew that by doing the things that Obama is doing with respect to mushrooming the debt and the Fed printing money, this would lead to catastrophe.

The price of commodities is edging upward – the price of gas most notable among them. The stock market isn’t even immune to inflationary pressures. The only thing preventing it from going any higher perhaps is that since gold has become the new yardstick for measuring stock values, investors are torn between investing in either stocks or gold – or both.

Notwithstanding all the hype and conjecture and the ratings games being played by people like Limbaugh, the resounding consensus out there among economists is that inflation is going to become problematic sometime around the middle of next year. The focus of attention will be placed upon commodities at that point caused by under production because capital for private consumer-related goods and services will be crowded out by government spending and the service (interest) on the debt.

You can probably thank George Soros for this economic myopia. He is actually out there publicly making the case that the only way out of this is by China allowing its currency to be openly traded. Well gosh, of course. Soros after all is Obama’s de factor currency czar, who is trying to make the case to the Chinese to voluntarily put themselves at a disadvantage so as to further guarantee US imports from China. If they float the yuan, this whole thing might actually backfire, but Soros is betting that he can outsmart them, by manipulating their currency the same way he did for others. Now, what we have is an economic policy that really isn’t a policy. It’s more like a game of mutually assured destruction, where the players threaten one another with their fiat currency while the people who use it and depend on it for value every day are left helpless. But of course, Soros does promise everyone at least the proverbial crap sandwich of saving the planet and human rights. Big deal is what most people are saying at this point. They just want to ride this thing out until these scary people are gone.

Nonetheless, in the new world pecking order of information, Rush Limbaugh sits at the top of it where he directs all of his minions. The rest of us are either listening to him and others or are just bloggers and political junkies. But the truth is that no matter where you stand in the pecking order, the reality of the situation is what is driving people to become more financially conservative. It isn’t that conservatism is “on the ascendancy” as Limbaugh puts it, but rather that people are being forced to be more careful with money.

There will likely be one more bump in the road before this economic disaster finally reveals itself in all of its fullness, richness, and texture – to borrow a phrase from the shampoo and conditioner PR folks, replete with sexual innuendo of course. The key to surviving will be lowering debt, lowering costs, and maintaining income. Only those who are willing to negotiate will be left standing. This is not going to be easy because the formerly rich are not going to suspend their lifestyles at will. Folks like Ty Warner are going to take it hard, who is in default on four luxury hotel properties.

Limbaugh is simply making hay while the sun shines. He has an audience with a keen vested interest in this out of pure Darwinian survival instincts. The rest of us do to, except we all arrive at our conclusions in different ways, which are beginning to form a consensus. Interestingly, Obama is the only one who at least appears not to see that the compass is pointing away from what he had in store for the economy. However, this is another one of Limbaugh’s assertions, which is that Obama is purposefully destroying the US economy. In actuality, he probably doesn’t care one bit about the economy as long as his political friends get paid off. To him, the wreckage can be taken care of by others after he is long gone. To the rest of us, we have to be practical about these things and protect ourselves.

-TDN

This entry was posted on Sunday, November 1st, 2009 at 02:00 and is filed under Free Speech. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.