Category Archives: poverty

Ron Paul, The Fed, The End of an Empire

I was reading a story in the New York Times Magazine today and saw this in the comment section below. It succinctly sums up why we need a complete overhaul to our monetary system, before its too late.

We should all hope that Ron Paul is not only nominated, but elected President, for if not then this country is in for an extremely hard road ahead due to the pressing issue of the failing fiat monetary system. If Ron Paul is not elected then the next President, either Republican or more probably Democratic, will only continue allowing the Federal Reserve creating money out of debt until the entire system fails under the mounting pressure of an irreversible debt which will rapidly require far more service than the economy can continue to produce.

Dr. Paul is the only candidate that even brings up the issue of our failing monetary system.

Consider this: a person making $32,000 per year today has the equivalent purchasing power of $5,907.40 1970 dollars. So, the same person making $15.38 per hour today is equal to making $2.84 per hour in real purchasing power in 1970 dollars. It is not the price of goods and services that have risen so much, but the purchasing power of our dollar that has been so drastically reduced. Our standard of living has been effectively reduced through fiat money inflation.

Is there any wonder that poverty is becoming rampant? The government has no other choice but enforce minimum wages in order to keep the working poor at some level of subsistence. At the current $5.85 per hour a person has the same 1970 purchasing power of $1.08 per hour, at 40 hours per week that person is effectively making $43.20 per week to make ends meet.

What are we waiting on, to become serfs of the State?

The fiat system has a finite lifespan and will terminate due to the fact that every single fiat note is nothing more than a legal notification of a debt obligation carrying on top of that debt an interest obligation. It is simply mathematically impossible for such a system to maintain viability for an extended period of time before it collapses under the weight of the debt that both maintains it and must be serviced by it.

We will begin to notice that all the patches and band-aids the Federal Reserve slaps on the economy no longer do the trick as we approach the fiat systems lifespan termination point. Everything we now place our collective faith in regarding the economy and our financial futures are hinged upon a system that is failing like all fiat systems before it have. Every single Federal Reserve Note is borrowed into existence and the expansion of monetary circulation is in direct proportion to the underlying debt on which it was created however, on top of all that debt is the attachment of an interest obligation which only adds to the pressure and shortens the lifespan of the entire system. All your investments, your pensions, your 401ks, your savings, your insurance, government bonds, all government programs and all commerce is completely built upon a fiat monetary system that will terminate in the near future and there is absolutely nothing that the government or the Federal Reserve can do within that system to stop that collapse. It will take a complete scrapping of the entire system and only Dr. Ron Paul has an inkling of what it is going to take to accomplish such a transition.

By 2012 we will all wish that it was Ron Paul in the White House instead of the establishment darling candidate that is most likely going to “win” this election.

From  Republicae on January 21, 2008 3:09 PM in the story here.

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What a week this has been

I’m sure that by now, most of you are tired of hearing about my friend Bootsie. But this week has just been too stressful not to vent about it.

On Tuesday while I was at work, Bootsie called me and said she was out of food. She needed some food to tide her over until Wednesday the fifth when she would receive her food stamps.

So after work, I head over to her apartment. I was not prepared for what I would end up spending most of the next two days dealing with. Bootsie had been evicted from her apartment after some of the neighbors complained that she had multiple people living with her (several guys and a girl, all “homeless”).

When her landlord showed up that morning and found those other people in her apartment, he told Bootsie that he wanted her out. She had just paid her rent on the first, but for some reason told him that she’d move out if he gave her twenty dollars.

So when I show up that afternoon, she is locked out of her apartment. Twenty dollars richer, and crying on the porch.

Now it took me a day and a half before I found out what I believe to be the truth about what occurred that morning. I talked to her landlord, to all the people that were around when it happened, and to Bootsie. It took some detective work to get to the bottom of it.

Anyway, she refused to go to the women’s mission, and so Wednesday night, after trying unsuccessfully to find a place for her to stay that wasn’t the mission, I told her that’s where she was gonna have to go. But she wouldn’t. She absolutely refused.

Even though I told her she’d get arrested if she kept sleeping on the sidewalk at her old apartment.

Even though I told her it was dangerous.

 Even though I told her we’d try to get her in the housing projects down the street.

I was forced to let her walk away. It was hard. But I didn’t know what else to do.

The next morning, after a rather sleepless night, I decided to call adult protective services. I didn’t want Bootsie to go to jail.

I explained the situation and they sent a case worker out there. I met up with them yesterday afternoon and found out that someone that Bootsie knew had offered to let her stay with him until she found a place. The case worker is currently working to get her into a place she can afford.

I’ve been praying fervently that she gets in the high rise for disabled people. I don’t know how she’ll fair in the projects.

Peace, Freedom, Prosperity

There’s a coming economic crisis. Murry Sabrin explains

What a week!  The stock market took a dive to just over 13,000 on the Dow Jones Industrial Average from an all-time high of 14,000 less than a month ago.  The world’s major central banks flooded the financial system with tens of billions of dollars to prop up the banks and the mortgage market. 

Meanwhile, the unending wars in Afghanistan and Iraq continue to drain the U.S. military; the bills for the Bush-Cheney invasion of two nations that did not attack us or threaten to attack us are rocketing to the one trillion dollar mark.

In other words, we are witnessing the unfolding of the collapse of the welfare-warfare-fiat money complex that has ruled America since 1913, the year the Federal Reserve was created and the Sixteenth Amendment was added to the U.S. Constitution allowing the federal government to impose an income tax on the American people.

Of all the GOP and Democrat presidential candidates only Representative Ron Paul of Texas has been diagnosing correctly the shortcomings of the welfare-warfare-fiat money state.  In fact, last Friday on Larry Kudlow’s CNBC show Dr. Paul demonstrated once again why he is the only presidential candidate who understands how the Federal Reserve creates financial bubbles that always end in pain and suffering, especially for low and middle income Americans. 

Economist Murray Rothbard identified the losers in the inflation race:

Inflation…redistributes the wealth in favor of the first-comers and at the expense of the laggards in the race. And inflation is, in effect, a race—to see who can get the new money earliest. The latecomers—the ones stuck with the loss—are often called the “fixed income groups.” Ministers, teachers, people on salaries, lag notoriously behind other groups in acquiring the new money. Particular sufferers will be those depending on fixed money contracts—contracts made in the days before the inflationary rise in prices. Life insurance beneficiaries and annuitants, retired persons living off pensions, landlords with long term leases, bondholders and other creditors, those holding cash, all will bear the brunt of the inflation. They will be the ones who are “taxed.”

And who are the winners?  Wall Street banks, real estate speculators and others who are the initial recipients of easy money.

So, if we want to end the boom and bust cycle we need to restore sound money–gold and silver as the foundation of our monetary system, as proscribed the U.S. Constitution.  At the very least, the FED should stop creating money out of thin air.   But stopping the inflating of the nation’s currency would not sit well with the Wall Street crowd, because they are the prime beneficiaries of easy money.  In other words, halting inflation would drop real estate prices in the Hamptons, Aspen and other locations where the beneficiaries of inflation have bid up the price of houses and condos.  And forget about those end of year bonuses.  Under a sound monetary system, speculating in currency and other markets would be greatly diminished.

As a student of the Austrian School of Economics, Dr. Paul is familiar with the contributions of Ludwig von Mises, Murray Rothbard, Henry Hazlitt and dozens of others who advocated free markets and sound money.  Professor Mises spent his long academic career warning about the dangers of inflation, the printing of money by central bankers. 

Professor Mises long ago showed the relationship between war and inflation, a point Rep. Paul has reiterated throughout his campaign for the GOP presidential nomination.   

“Inflationism, however, is not an isolated phenomenon. It is only one piece in the total framework of politico-economic and socio-philosophical ideas of our time. Just as the sound money policy of gold standard advocates went hand in hand with liberalism, free trade, capitalism and peace, so is inflationism part and parcel of imperialism, militarism, protectionism, statism and socialism.”

Mises used liberalism in its original meaning, limited government, low taxes, and free trade.  The term has been hijacked in the 20th century by the proponents of big government. 

War, credit bubbles, runaway government spending, a bankrupt entitlement system, are the result of big government liberalism and neo-conservatism. 

Last Saturday, Rep. Paul clearly and passionately spoke the truth about these issues at the Iowa Straw poll conference center.  Coming in fifth place with just under 10 percent of the vote is a great achievement in his long shot campaign for the GOP presidential nomination. 

Once GOP voters realize where inflation and war are taking the country, they will rally around Ron Paul, the only candidate for peace, freedom and prosperity.

My Neighbor

I met Bootsie two days before my wedding. She had lost her cat and upon seeing my cat in the window, she thought maybe I’d picked hers up.

Bootsie lives two doors down in an apartment complex above a dilapidated electronics shop. She seemed really nice, she’s definitely old,  and I told her at our original meeting that if I saw her cat, I’d let her know.

This morning as I was heading out the door to work, she was walking by and asked if I’d seen her kitty. I said no, but I’d keep looking for it. She then asked if she could have a couple of dollars to go buy bologna and some bread at the store ’cause she was out of groceries. I didn’t have any cash, so I offered to drive her over to the store to pick up some things.  We picked her up enough food to last her and her husband a good week or two, and headed back home. I helped her taking the groceries upstairs and checked out her apartment. Its a studio with a kitchenette, about 350 square feet. It was kinda dirty, but not filthy, but it was obvious that she and her husband are struggling.

And she had a precious kitten that looked just like my cat. So I went inside and petted and played with it a bit, before I headed to work.

I think I’m gonna invite her over for dinner sometime… and keep checking up on her and her husband. They are too old to work, and I don’t know if they get social security or not, but they are obviously struggling, and I’ve never ever seen this woman out begging before.

If you think about it, say a prayer for Bootsie.

Should I Give to Beggars

Marginal Revolution weighs in in a vintage post.

Hat Tip Nashvillexy

The Plank In My Own Eye

In the circle of blogs that I frequent, there are frequent calls for social justice, from calls to redeem the structures that hold people in poverty to calls for vast government redistribution of wealth, as well as fingers of blame pointed at everyone from Republicans and racists (you mean they aren’t the same?) to Fundamentalist Christians and Capitalists.

And I will admit, while I don’t normally blame the same folks as many of my fellow bloggers, I often extend my index finger and open my mouth to criticize those who I believe desire to harm those they intend to help. We all do it. We love to pass the buck because it eases our guilt. When I see the homeless family walk by my apartment with their grocery cart filled with aluminum cans, I immediately think about how socialist policies end up hurting these people the most because they quelch job growth, leaving folks unemployed. Others may see the same homeless family and think to themselves, “if those awful rich people would just give more money away, or pay better wages, we wouldn’t have people walking the streets collecting aluminum cans in order to feed themselves.

But, when it really comes down to it, neither me, nor the unnamed liberal/socialist/democrat blaming others helps put food in the mouths of those people. When I sit down at the computer and write a blog post about how raising the minimum wage hurts the poorest of the poor, or when someone else posts about how these people just need the government to buy them a home, neither one of those options puts a roof over those peoples head, or tends to their wounds, or treats the disease that they have.

I think its time for us, and by us I mean Christian bloggers who have heard the call for social justice and peace, to stop talking and start doing.

Its easy to point the finger at someone else. Its easy to say that if they just changed the law, or if the greedy “rich” people (we’re all pretty rich in America, but we like to think that our household earnings are ok, while the guy making more is rich) just gave more money, that things would change.

We need to stop looking for blame and start doing. We need to stop spending other peoples money and give whatever we can as often as we can. If we really have faith in Christ, if we really believe that our mission is to bring good news to the poor, why the hell are we sitting on our asses when the least of these are walking right in front of us? What if we stopped wasting our time trying to find out whose fault it is that people are poor, and used that time to, you know, actually help them?

Maybe the prayer “thy kingdom come…” would become reality a little faster.

I don’t just hate John Edwards…

but its hard to ignore these stories. They just keep coming down the pipe. The guy, and his wife, are bad people

They use class warfare to try and win votes, but they will help the poor as long as they don’t have to see or talk to them. That disgusts me.

Elizabeth Edwards afraid of neighbor

She has never met `rabid Republican,’ but wouldn’t be nice

MIKE BAKER

Associated Press

Elizabeth Edwards says she is scared of the “rabid, rabid Republican” who owns property across the street from her Orange County home — and she doesn’t want her kids going near the gun-toting neighbor.Edwards, the wife of Democratic presidential candidate John Edwards, particularly recalls the time neighbor Monty Johnson brought out a gun while chasing workers investigating a right of way near his property. The Edwards family has yet to meet Johnson in person.

“I wouldn’t be nice to him, anyway,” Edwards said in an interview. “I don’t want my kids anywhere near some guy who, when he doesn’t like somebody, the first thing he does is pull a gun out. It scares the business out of me.”

But Johnson defended the occasion he brandished a gun, saying those on his land didn’t have the proper approval.

“I use the gun for protection, and I considered that an appropriate time,” Johnson said. “Sometimes you have to take drastic measures.”

Edwards views Johnson as a “rabid, rabid Republican” who refuses to clean up his “slummy” property just to spite her family, whose lavish 28,000-square-foot estate is nearby on 102 wooded acres.

Johnson, 55, acknowledges his Republican roots. But he takes offense to the suggestion he has purposefully left his property, including an old garage he leases for use as a car shop, in dilapidated condition.

Johnson said he has lived his entire life on the property, which he said his family purchased before the Great Depression. He said he’s spent a lot of money to try and fix up the 42-acre tract.

“I have to budget. I have to live within my means,” Johnson said. “I don’t have millions of dollars to fix the place.”

Johnson, who has posted a “Go Rudy Giuliani 2008” sign on a fence just 100 feet from the entrance to the Edwards’ driveway, has criticized Edwards for the scale of their nearby home. The property and home, which includes an indoor basketball court, an indoor handball court and an indoor pool, is valued at $5.3 million.

The Edwardses are still putting the final touches on the property, which they purchased in 2003.

“I thought he was supposed to be for the poor people,” Johnson said. “But does he ever socialize with any poor people? He doesn’t speak to me.”

Johnson said he has put his property on the market, in part blaming the high property taxes for his decision to leave. He also wants to move for another reason.

“I don’t want to live somewhere where someone’s always complaining about me,” he said.