The Global Economy is DEFLATING, But Will CENTRAL BANK Interest rates come down? Let’s Talk About Price Controls and Fiscal Policies – November 25, 2023

If the world were on a Gold Standard, economics would be less complicated, especially now with modern technology and information flowing so readily. Sure, ignorance is bliss, and people could ignore the obvious if they wanted to, but the fact would be that technology would be forcing prices downward, which would likely equate to an economy the opposite of what we have now.

If prices were retreating, we’d be leaning more towards an anarcho-capitalist existence in which it would be abundantly obvious, that the government and public servants, in general, COULD only exist in SPECIFIC areas of the economy. Instead of seeking to grow government, the opposite would be happening; humanity would be looking to slice regulations and government and potentially even replace PAID government workers with volunteers.

You might be saying to yourself, that sounds crazy, but that’s because you’re not comprehending that the money is SUPPOSED to be a store of value, meaning that if you were working for money, the things you buy which are in abundance now, would likely be DECREASING in price.

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Meaning that the money in your pocket under a GOLD standard, would be buying more stuff than you could even fathon in modern times. What tends to happen when there’s an abundance is that QUALITY skyrockets; what is quality? Quality is longevity, meaning that you’d potentially purchase less stuff because the stuff you own is HOLDING its value because it was made with such high quality.

Now, if you’ve ben around RICH MINDED people, the last thing these people want to do is STEAL from you, in fact the opposite will happen, they’ll likely try to make you feel comfortable by DONATING something to you.

It’s actually the government why a lot of people are NOT charitable, I personally stopped giving to certain charities, because even charities have POLITICAL agendas now. Why do charities have political agendas? Because a lot of charities whether via subsidies or the beneficiaries of regulations, align their charities with political ideologies.

So those of us who would otherwise be charitable opt NOT to be charitable. Furthermore, taxes, because the government can legally scrutinize how a person spends their money, charitable people have to be careful about how they spend their money.

All of this GOVERNMENT FORCE is the result of PRICE CONTROLS. One of the biggest Left Wing movements in the history of the Western World were the PRICE CONTROLS movements.

Labor unions, believers in labor unions saw the writings on the wall that their jobs would be replaced, and so they mobilized to have job PROTECTIONS. The labor union movement was actually a movement to REDEFINE PROPERTY RIGHTS.

That factory doesn’t belong to the owner; it belongs to his employees; the owner didn’t build it, the employees did, and therefore, the employees are ENTITLED to extort the owner. Now, when translating this using NUMBERS, it equates to PRICE CONTROLS; wages are nothing more than a fancy word for PRICES, and once LABOR has a non-deflationary price, you’re guaranteeing prices will go up, and this in case people who don’t understand is why people like myself under these conditions DO NOT want a government gold standard.

This redefining of LAWS is an indication to me that Western democracy is still in a very delicate phase, and if we’re in this delicate phase, I conclude that the U.S. dollar fiat monetary standard, for the foreseeable future, is the likely default medium of exchange.

With that said, we learn from Jeff Snider that the Eurodollar has a mind of its own and therefore, the U.S. federal deficit doesn’t matter much to the outside world. What does matter, however, is the profitability of PRIVATE BANKS and private lending institutions, whose behavior will depend on economic activity.

With that understanding, it’s a known fact that a lot of countries are heavily dependent on trade with the U.S., and by trade, being that most U.S. citizens are in debt, a lot of countries are dependent on U.S. CONSUMERS.

Before you start imagining that the U.S. consumers have a free lunch, you have to remember the U.S. PRIVATE SECTOR, which keeps this all together, and the willingness of politicians to make operating in the private sector a  pain in the ass.

I’m definitely not a fan of Donald Trump’s economic policies, but you have to comprehend why Donald Trump’s economy boomed while Joe Biden’s economy has been a BUST. Under Joe Biden, he has put a lot of regulations on the private sector.

Donald Trump was still for price controls, which also included TARIFFS; however, Donald Trump did not bombard the U.S. private sector with ADDITIONAL regulations.

A huge part of Joe Biden’s presidency is his adherence to multiple lobbyist groups that seek to eliminate their competition via regulations on the economy. One of the largest lobbyist BLOCS in the Biden administration is the ESG lobbyists.

ESG stands for Environmental, Social, and Governance; that entire MOVEMENT is expensive, as it requires a large government to implement corporate welfare, and the beneficiaries of this corporate welfare also have to adhere to the ever-evolving social WELFARE needs of its employees and customers.

This equates to higher prices, and if the central bank’s job is to take inflation, that will be almost impossible as social demands will continue to increase as these ideologues find more and more ways to fight climate change.

A reminder that these additional price controls and regulations will be on top of PRIOR regulations and prior price controls, so there’s the compounding effect that sounds like higher interest rates to me.

Now, if you’re a believer in a new modern monetary system to adhere to the new demands of this new massive government expansion, I have to remind you that money is nothing more than a medium of exchange.

If the central bank or the government has no debt on its balance sheets, it won’t matter if the economy itself is regulated NIGHTMARE. Let’s talk about Communist Cuba; it’s always funny when people claim that the U.S. embargo is why Cuba is poor; that’s utter nonsense; Cuba is poor because the Cuban government created an economic and financial nightmare for Cuban business people.

If the government has no restraints, it can DECREE that any money made by means the government doesn’t like is ILLEGAL, and once the government makes something illegal or puts a lot of regulations around it, fewer people will seek to TEST the law.

So, in Cuba, for example, you get fewer people willing to be entrepreneurial because being a business person in Cuba is a LIABILITY. God forbid you become a successful businessperson in Cuba; you’ll be thought of as a THIEF.

Cuba’s economic policies have nothing to do with MONEY; their economic policies revolve around keeping POWER centralized. The markets see a no-win situation in Cuba, so there’s no demand for the Cuban Peso.

So if Central Bank Digital currencies are viewed as a BENEFIT purely for the government, or even if Central Bank digital currencies issue paper currency that may have an expiry date or a paper currency that gets REJECTED by the general public, you create a host of other problems.

The acceptance of U.S. dollars in modern times revolves around PRIVACY, value, and autonomy. There are some who imagine that paper money fuels criminal activity, but Bitcoin has already proven that DIGITAL money can fuel criminal activity; worse still are tyrannical politicians, many of whom are criminals themselves. Inflation is a form of criminality, and the root cause of inflation in a fiat monetary system is the GOVERNMENT.

Gold speculators can’t be blamed for inflation anymore because gold doesn’t back the money supply. In modern times, the entire economy revolves around FISCAL policies, and bad fiscal policies are the root causes of inflation.

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So if the central banks lower interest rates while the economy is deflating and prices are going up? What does that mean exactly? That clearly means that the root cause of inflation is the FEDERAL PUBLIC SECTORS of the Government.

Interesting times ahead!