The Red Fed

The Federal Reserve does not have a capitalistic bone in its entire body.  The Fed, led by Chairman Ben Bernanke, is circumventing capitalism by slashing the interest rates to near zero and by injecting trillions of dollars into the economy.

My book, “The Red Fed,” is coming out in 2013.  It examines the Federal Reserve and shows how the Fed has moved from supporting capitalism to providing monetary support to socialism and communism.  This book is a sequel to my first book, “A Warrior for All Times,” which is coming out this year.

The Fed has promoted socialism by purchasing mortgage-backed securities, Treasury issuance, and other assets.  Some have called this printing money out of thin air, but what it does is give the executive branch more leeway for borrowing and spending in its socialistic programs.

The result has been high inflation and a weakened dollar.  The former purpose of the central bank was to preserve the integrity of currency by controlling inflation and letting the economy guide itself.  In other words, the Fed was supposed to support capitalism by dealing with occasional panics.  Interest rates generally are increased to slow down inflation.  The Fed, with its fraudulent purpose, has no desire to stop inflation, thus interest rates hover near zero.  The Fed’s new world goal is to promote a world economy supported by socialistic and communistic governments.

Steve Forbes, Forbes magazine editor and former presidential candidate, called Bernanke a “terrible central banker,” trying so hard to guide the economy that he has lost sight of his primary role, which is to control inflation, keep the economy healthy, and let the economy guide itself.

Bernanke’s low interest rate is allowing inflation to heat up.  The resulting increased prices of gasoline alone are having an effect on our economy.  The actual inflation rate is hidden from the American people.  The spark of inflation could ignite into a major gasoline fire that could engulf and consume our entire economy.

Martin Feldstein, former Reagan economic adviser and Harvard professor of economics, indicated that the printing of money or “quantitative easing,” which creates a large volume of reserves also creates a risk for inflation.

Feldstein stated, “Traditionally, the volume of bank deposits that constitute the broad money supply has increased in proportion to the amount of reserves that the commercial banks had available.”   He continued, “Increases in the stock of money have generally led, over multiyear periods, to increases in the price level.”

“Therefore, faster growth of reserves led to faster growth of the money supply – and on to a higher rate of inflation.”  He concluded, “The Fed in effect controlled – or sometimes failed to control – inflation by irritating the rate of growth of reserves.”

Retirement in 2050?

What will retirement look like in 2050?  I wrote a futuristic movie script about this very subject.

The following shows the plot of the screenplay.

My generation will be dead.  The middle class will be dead.  Social Security, Medicare, and Medicaid probably will be dead.  Will the economic landscape look anything like today?  Probably not.

Taxes on estates, income, real estate, personal property, sales, gasoline, state income, and municipal income will all increase to such an extent that most of people’s income will go to taxes.  Gasoline prices will escalate, causing all other consumer costs to increase accordingly.  Inflation will reduce the value of the dollar.  Printing more currency will further reduce the value of the dollar.

There will be no stock market since the government had to take it over after its crash.  There will be no IRAs or savings accounts because most banks will be closed and people will need every penny just to pay for necessary items.  Malls and businesses will be closed because non-food and non-essential items will be rarely sold in stores.

There will be three classes:  (1) government rulers and the elite, (2) government workers, and (3) the  poor.  World leaders will form a totalitarian block that controls everything, consisting of:  (1) the Americas, (2) the Eur-Af-Asia, and (3) the Islands.  Anybody disagreeing with this united totalitarian system will be killed.  Anybody over 50 disappears and is never seen again.

In effect, there will be no retirement.  You will work until you die or you disappear, whichever comes first.

Does this sound surrealistic?  It was good fodder for my science-fiction movie.  Does it sound similar to “A Brave New World” or “1984″?

Moral of this movie:  only intelligent people rising up and refusing to accept “Big Brother” government and it fraudulent purpose can prevent this from happening.

Highway Robbery

It’s highway robbery!  Today, Americans are excited when the price of regular gasoline is under four dollars a gallon.  We have been conditioned into seeing the prices swing wildly up and down, sometimes without corresponding justifications in the market.

Oil & gas companies and service stations only minimally compete against each other and raise the prices when they want.  The energy companies drop the prices when citizens voice their outrage, and we are temporarily comforted.  But it’s still highway robbery! Continue reading

I’m excited about my first book!

This is the book cover for my first book, coming out in November 2012.  The book is about Col. John Boyd, a famous jet pilot, whose unique approach to thinking can be employed for traditional wars like the First Battle of Manassas and for non-traditional wars like the War against Terrorism.  Hopefully, this book will challenge you and make you think differently. Continue reading