The Government's only real power is derived from the money they have or can obtain or can manufacture. Money IS power, and greedy Governments can never have enough power so they NEED more money. Only a fiat currency provides the means for greedy Government to increse the money supply and their power exponentially via a few percentage points per year. The Federal Government's power is solely vested in their ability to keep demand for their fiat currency higher than the several percentage points of supply they manufacture year after year after year.
The most important items to keep the demand for dollars high:
1) Keep as many assets as possible (e.g. oil transactions) denominated in dollars. When this is successful, the Fed can get away with manufacturing A LOT MORE fiat currency worldwide.
2) De-monetize gold and silver, stop convertibility, so "the people" don't have a good choice for an alternate form of money.
3) Sell or lease out your central bank's gold and silver to keep the price of gold and silver down, so people are discouraged from owning gold and silver and thus encouraged to own the fiat.
4) Legal tender laws (e.g. all paychecks denominated in dollars)--again so "the people" don't have a choice.
5) Decrease the number of competing currencies in the world, such as merging all of the currencies of Europe. Less competition is always good for business. A World currency would be the most powerful, no competition and unlimited manufacture and ALL transactions denominated in this currency!!!
6) Vigorously attack counterfeiting and counterfeiters.
Today, the Feds are losing control of item 1). Look at the consequences to Saddam when in 2003, he took Oil Transactions in Iraq off of the dollar and switched to the Euro? That was a direct attack on the Fed's Power. Forget WMD's, no fly zones, Al Quaida, etc. Now Iran wants to go to the Euro also. Notice the WMD rhetoric has increased there for awhile now. No coincidence IMO. Russia also wants to go to the Euro, and notice that relations between Russia and the U.S. have been steadily deteriorating. |
