How the U.S. Economy Could Prosper Again
While the main purpose of our organization is to help prepare Americans for the upcoming hyperinflationary crisis that will soon destroy our country, we believe it is important for us to begin sharing our ideas as to how the U.S. economy could one day prosper again.
Some people, especially those who work on Wall Street at firms like Goldman Sachs that benefited from the U.S. government's bailouts, might think our economy is already prospering today.
The reality is, the U.S. economy is going through its last dose of stimulus before it overdoses and brings the entire financial system to a halt.
In order for our country to have a chance of prospering, we need the market place and financial system to truly be free. Americans need the ability to walk into any U.S. bank across the country and have an option of storing their pay check in U.S. dollars, Canadian dollars, Australian dollars, Euros, Yen, or any other currency in existence.
There should be no foreign currency transaction fees, it should be as simple as filling out a deposit slip and checking off what percentages of your pay check you want to be deposited in each currency. If you don't want a currency but instead you want real money, you should be able to store your money at any U.S. bank in gold and silver.
You should also be able to withdraw any amount of any foreign currency, as well as physical gold and silver, at any time from your bank with no questions asked.
Yes, if Americans weren't forced to hold U.S. dollars, the currency would likely collapse, but it's going to collapse anyway. At least this would impose discipline on U.S. politicians and the Federal Reserve. It would also allow Americans to easily diversify away from the U.S. dollar so that when it does collapse, they wouldn't get hurt as badly.
China looks to be already taking steps in this direction by offering their citizens an opportunity to purchase silver bullion at banks.
While China may technically still be a communist nation, they are working to make their economy more free than the U.S., while the U.S. is moving towards socialism and fascism.
There is no possible way we can salvage the U.S. financial system, it needs to be completely revamped.
Current attempts to prop up our fiat based monetary system will only prolong the pain and suffering we must endure in order to pay for the bills incurred during the past decade. Countless changes to our financial system need to be made, but they all don't need to be made at once.
China is moving away from the U.S. dollar one step at a time. Besides beginning to offer silver to their citizens, China recently announced plans to issue Yuan-denominated bonds and they are now discussing with Arab states the possibility of trading oil using a new basket of currencies.
If America is to become a great nation once again, we should eliminate income taxes on gold. It's insane for Americans to have to pay an income tax when selling gold for a profit, when those who profit on gold actually aren't profiting at all, they are simply protecting their wealth from confiscation by inflation. Rising gold prices are only a function of the U.S. dollar losing its purchasing power.
It's bad enough Americans with dollars will soon get wiped out, why should those who protect themselves by purchasing gold and silver also have to pay for inflation through taxation. Our guess is, not only will the U.S. government not eliminate income taxes on gold, they might implement new taxes for those who hold gold and force Americans to pay taxes as gold rises in nominal value.
U.S. citizens should be allowed to opt out of Social Security, Medicare and Medicaid. We believe it is immoral and unconstitutional to force Americans to participate in a ponzi scheme.
The only Americans benefiting from Social Security are those who got in at the beginning and are receiving benefits right now. Those who are paying into Social Security today, are likely to never receive any benefits in the future.
The Social Security fund has no money and the government will have to print the money needed to pay future retirees. While the government claims to increase Social Security benefits each year to make up for inflation, they adjust it based on the CPI index which greatly understates inflation. But even adjusting it based on the CPI index will lead to a downward spiral of the U.S. dollar.
Remember, when you print money and the currency loses its value, the act of printing more money at an exponential rate in order to make up for the decline in purchasing power, is what always leads to hyperinflation.
No longer should high schools be used to brainwash students into getting hundreds of thousands of dollars into debt to attend a college which teaches them Keynesian economics. It is the Keynesian economics that is preached in 99% of the colleges in our nation, which teaches students that government spending can stimulate an economy and artificially low interest rates are the key to getting an economy out of recession.
Austrian economics should be a required course in all high schools. That way, instead of students wasting hundreds of thousands of dollars for a worthless college degree, they would be more inclined to invest that money into gold and silver in order to build a real savings that can be used to start a business in the future. Today, with the power of the Internet (for free), you can teach yourself the knowledge you need to become successful in any business in any industry.
If we start out with these small steps, we could then move towards eliminating the Federal Reserve, returning to a gold standard, and building the factories needed to produce real products that we can export to the rest of the world. However, unless we vote out the people in power in Washington today, we will continue to engage in unnecessary wars, wasteful bailouts and stimulus plans, reckless deficit spending and endless money printing that will lead to hyperinflation and the U.S. becoming a third world nation.
- national inflation association
october 13, 2009
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i have already converted to a significant position in canadian dollars. |
