This fits in with PART I. It is from a Stansberry Research article. Not my own but very fitting in the sense that 1) it is difficult for people to think of the need to protect themselves and 2) further reasons why someone should take action:
"As you go about your everyday life, it's easy to forget how big the economic problems we face really are… and how desperate our political leaders have become to safeguard the existing system.
That's because of human psychology. It's called the "normalcy bias." It explains why, if you don't heat up the water too fast, the "frog" never jumps out of the pot before it starts to boil. People (the frogs) have a hard time believing that tomorrow won't be a lot like today. It can be almost impossible to open your mind enough to think about how the world might look a year from now… or five years from now… if there's a serious economic crisis.
......the largest, most systematically important banks in the world: Mitsubishi UFJ (MTU), Deutsche Bank (DB), and Citigroup (C). Their share prices are down 72%, 83%, and 90% over the past 10 years.
How is that possible?
I'd like for you to ask yourself two simple questions: First, if you believe that everything in the world's economy is basically fine and operating normally… how could the three most important banks in the world all be falling apart? Ask a reasonably well-read and knowledgeable person – like your broker, or the friend you always talk with about investments – what the 10-year return has been on the three largest banks in free-market capitalism. I guarantee they won't come anywhere close to the correct answer.
That's normalcy bias in action. People constantly disregard any facts or data points that don't match their underlying assumptions, especially when those data points would disrupt a long-held belief or worldview. Let me say this as plainly as I can: If our global financial system were working normally, the returns on these major, immensely important piles of capital would at least be positive.
Here's the second question I want you to think about carefully: How far will these banks have to fall before you think seriously about taking all of your savings out of the banking system? If these banks fail, the system will fail. And how much faster will you make the decision to pull your cash if these banks begin charging you to hold your cash in their bankrupt vaults?
So what happens when suddenly, for no discernable reason at all, everyone decides to stop pretending otherwise?
When that happens, the authorities will have three choices. They can…
1. Inflate away the bad debt by devaluing the currency and propping up the banking system with newly printed money and trade surpluses. That's the International Monetary Fund's playbook. It's what Japan has tried to do for 30 years. And it seems like that's what America and Europe are going to try now, too. Or…
2. Write off the bad loans, shut down the bad banks, and suffer a severe (but short) crisis. That's the sound-money option. (Nobody does that anymore, because depositors in the bad would banks lose everything… and they vote.) Or…
3. Simply repudiate a lot of the debt and stiff the creditors, like Russia did in 1998 and Iceland did in 2008. (That option works best if you have foreign creditors… like Argentina did in 2002.)
.....................and especially commodities—are likely to explode on the upside as people panic into them to get out of depreciating dollars in general and bonds in particular. Real estate will be—next to bonds—the most devastated single area of the economy because no one will lend money long term. And real estate is built on the mortgage market, which will vanish."
I reference a lot of supplements in my guidebook and even touch on some within this site. I never took the medical communities recommended pharmaceutical drugs for my condition so I did not have to worry about interactions. But for some people that is not the case. If you are taking Supplements and Drugs then you must be aware of possible side effects.
Some combinations can put your health at risk
“Many supplements, including herbal remedies, vitamins, and minerals, can cause dangerous side effects when combined with drugs,” says Marvin M. Lipman, M.D., Consumer Reports’ chief medical adviser.
Of course always check with the doctor or pharmacist but here is a website that lists some interactions:
I thought the following bit from again the "Dear and Glorious Physician" novel is quite applicable to the United States today even though the original edition was written in 1959 and applies to the Roman Empire. The similarities are that the United States used to be a Republic. A lot of people forget this in spite of it being in our Pledge of Allegiance....."I pledge allegiance to the flag of the United States of America, and to the REPUBLIC, for which it stands...." Out there in plain view.
I quote the book chapter here: "You misunderstand me, Priscus. I know that it was inevitable that Rome become what she is. Republics decay into democracies, and democracies degenerate into dictatorships. That fact is immutable. When there is equality - and democracies bring equality - the people become faceless, they lose power and initiative, they lose pride and independence, they lose their splendor. Republics are masculine, and so they beget the sciences and arts; they are prideful, heroic, and virile. They emphasize God and glorify Him. But Rome has decayed into a confused democracy, and has acquired traits such as materialism, greed, the lust for power, and expediency."
There is more but that is all I am up to typing for the day. This was a wet your whistle type of day. Maybe you will research more on this topic yourself later.
"Dear and Glorious Physician" is a novel about Saint Luke by my favorite author....Taylor Caldwell. It is an informative and entertaining read.
But I would like to bring up the Foreword by Taylor Caldwell here because well...I just liked it and wanted to share: "This book is only indirectly about Our Lord. No love, no historical book, can convey the story of His life as well as the Holy Bible. So the story of Lucanus, or St. Luke, is the story of every man's pilgrimage through despair and life-darkness, through suffering and anguish, through bitterness and sorrow, through doubt and cynicism \, through rebellion and hopelessness to the feet and the understanding of God. This search for God and the final revelation are the only meaning in life for men. Without this search and revelation man lives only as an animal, without comfort and wisdom, and his life is futile, no matter his station or power or birth."
Peace of Mind is soooooo important to your health. I can't stress this enough. Peace of Mind is more valuable than Gold. But Gold is a way to have that peace of mind at least financially speaking. Prayer and Trust in God is another way. The same way house insurance gives peace of mind so does Gold/Silver give peace of mind financially.
I have been an advocate of diversifying oneself financially for many years and not in the sense that most financial advisors think. I am talking about diversifying oneself in case of country risk. How does one do this? Through alternative currencies. And two of those are Gold and Silver or even currencies from another country. Gold is more expensive in terms of dollars so depending on your finances Silver may have to be an alternative. It is the poor mans Gold. View both of these as a form of insurance. How much should one have? I cannot talk about this. I am not a financial advisor and I believe it would be illegal for me to give such advise. I am bringing the topic up for my Dear Readers awareness discussion with their financial advisor or further research.
If one studies other countries that have been in a currency crisis before they can see a pattern. And that pattern always leads to capital controls. A few countries have recently started negative interests rates. This seems insane to me but it is happening. Will it happen to the USA? It could. There are already discussions of doing away with the $100 bill. These are red flags to be aware and take note. If negative interests rates become too erroneous people will naturally want to move their cash elsewhere. This would have to be stopped by the powers that be as a run on the banks is not a good thing.
Regardless capital controls have already started many years ago and are becoming more stringent with each passing year. Why? Because as a government gets in trouble it attempts to prevent capital from fleeing the country. It's own nature is to save itself. Sometimes it confiscates that capital. Look recently at Cypress or for the USA in the 1930s with FDR. Look at what has happened before in Argentina and Chile where the money was devalued almost overnight. The bank accounts are typically frozen and then the people wake up with a new currency worth a good percentage less than before. It has happened before so it can happen again.
Many of the laws to enact capital controls are under the guise of the war on drugs or war on terrorism. Take for instance the $10,000 rule. Don't leave the country with over this amount or you could become an instant felon. Why? It's your money isn't it. A drug dealer or terrorist would easily avoid this by purchasing diamonds, or gold jewelry or even a Picasso Painting if they want to transport large quantities of wealth. They are not stupid but apparently the public is. The real reason to have capital controls such as this is to keep the average person from extracting their money and moving it to safety. Or how about the FATCA laws that were passed? Good luck opening a foreign bank or brokerage account now with that law.
BELOW IS A GOOD ARTICLE ON THE LAWS THAT ARE BEING INTRODUCED MORE AND MORE EACH DAY FROM INTERNATIONAL LAW
The More Corrupt the State, the More Numerous the Laws
"Today, I’m going to share one of the most important things I’ve learned traveling around the world: There’s a crucial difference between committing a real crime and breaking the law.
I’ve seen it firsthand in the Middle East as well as many other places.
The difference is huge and few people understand it.
While laws vary dramatically across countries, almost every country in the world universally considers real crimes immoral. A real crime involves harm or the threat of harm to person or property. Think murder, theft, or arson.
Virtually every government prohibits real crimes. Most also prohibit a lot of other things…
When someone breaks the law, it’s often not a real crime at all. He may have merely violated a particular government’s law without threatening or harming anyone or anything.
Keep in mind that the idea of a victimless crime is an oxymoron. If there is no victim, there is no real crime.
Insulting the Dear Leader in North Korea, being a woman who’s driving a car in Saudi Arabia, or possessing certain plants in the U.S. government all violate laws. But none of these activities harm or threaten people or property. They’re not real crimes. They simply violate the laws of certain governments.
Of course, I am not suggesting that anyone break the law anywhere, even if it wouldn’t harm people or property. As a practical matter, it’s foolhardy to violate any government’s laws while you’re within its reach. That is, unless you prefer the lifestyle of an outlaw or a martyr.
It would be risky to disparage the Dear Leader while in North Korea, or to possess an unapproved plant in the U.S., and so forth.
Distinguishing between real crimes (i.e., harming or threatening to harm people or property) and breaking the law is critical to your personal freedom. The next step is for you to minimize your exposure to arbitrary, make-believe “crimes” invented by your home government.
You can do this by diversifying internationally. That means moving some of your savings abroad in the form of physical gold to a safe jurisdiction, owning real estate in another country, opening foreign bank/brokerage accounts, and obtaining a second passport, among other things. Taking these steps will significantly dilute the power bureaucrats in your home country have over you.
This is what this publication is all about: maximizing your personal freedom and worldwide financial opportunities.
The more laws, regulations, and edicts your home government subjects you to, the more important it is to diversify internationally.
This problem is particularly obvious in the U.S., where every level of government is continually passing more laws…especially the federal government. There are so many vague, overly broad federal laws criminalizing mundane activities that it’s impossible for anyone to be 100% compliant.
Many people think felonies only consist of major crimes like robbery and murder. But that isn’t true. An ever-expanding mountain of laws and regulations has criminalized even the most mundane activities.
It’s not as hard to commit a felony as you might think. Many victimless “crimes” are felonies.
A study by civil liberty lawyer Harvey Silverglate found that the average American inadvertently commits three felonies a day.
Today, there are thousands of federal crimes, and the number is constantly increasing. It brings to mind the words of the great Roman historian Tacitus: “The more corrupt the state, the more numerous the laws.”
Here’s what Doug Casey says.
Corruption can be defined as the taking of bribes of one type or another by officials in order to allow subjects to avoid taxes or regulations. Political corruption doesn't, therefore, occur in totally free markets simply because there's no taxation or regulation to avoid. Inevitably, and completely predictably, the more taxed and regulated a society is, the more necessarily corrupt it is.
Today in the U.S., the government won’t necessarily go after you if you break a law. After all, most everyone has technically broken some law. Instead, the government decides whom to go after and chooses which laws to enforce. A creative prosecutor can always find some crime to charge you with if he looks hard enough.
This doesn’t sound like the land of freedom and opportunity. It sounds like an out-of-control government.
If you think it’s bad now, just wait until American politicians get even more financially desperate. Like most governments in financial trouble, we think the U.S. will keep choosing the easy option…money printing on a massive scale.
This is a huge threat to your financial security. Politicians are playing with fire and inviting a currency catastrophe. The socio-political consequences are likely to be even more severe than the financial ones.
This is a big reason why we think everyone should own some gold. Gold is the ultimate form of wealth insurance. It has preserved wealth through every kind of crisis imaginable. It will preserve wealth during the next crisis, too.
But, if you want to be truly “crisis-proof”, there is much more you can do..."
So what is going on? This sounds like an Oceans 11 sequel. How can such a huge bank heist happen without the majority of people knowing about it? Such a caper would surely make the news. Not so fast. First many people do not realize or have much knowledge about our financial system. If you haven't heard the term Petro Dollar then you may be one of those that doesn't know. News of this heist could very well lead to a further lack of faith in the system so hence perhaps the lack of reporting on it.
Here is the gist from Zero Hedge as one source (note: always verify your information from more than one source):
"Bangladesh is not pleased with the NY Fed.
One Friday in early February, hackers who had apparently been stalking the Bangladesh central bank for at least two weeks bombarded the Fed with requests for transfers of nearly $1 billion from the country's FX reserves.
The good news: the vast majority of that total was not transferred. The bad news: $100 million of it was and of that $100 million, more than $80 million is still missing.
For those who missed the story, you can review it in all its James Bond-ish glory in the four posts linked below, but here is a brief summary of what happened to the $81 million: 1) it was transferred to four accounts at the Jupiter Street, Makati City, branch of Rizal Commercial Banking Corp (RCBC) in the Philippines, 2) $470,000 in cash went into the branch manager's trunk and the rest went to a possibly forged (but possibly not) account registered to one William Go, 3) the money was transferred to an FX broker called Philrem, 4) $50 million was split between two casinos and the remaining $31 was delivered to a "Weikang Xu" in cash."
I am blogging about it here as I feel what happens in the mind shows up in the body. And Finances cause a great deal of strife in the mind. So I want to provide some of the knowledge I have so that you can prepare yourself for what may be a Financial storm cloud on the horizon. I believe at some point the current system is bound to fail. That doesn't mean I think the dollar is going away or anything like that. What I do think is that there will have to be a reset. America is great because of our Dollars World Reserve Currency. It is why we are a Super Power. This could very well be in jeopardy. However, being the World Reserve Currency this is a very slow moving ship to destruction. It has been on course for years. I think the monetary system will be reset. It has happened before so it can happen again. In subsequent posts I will expand on my thoughts regarding this matter.
It is too complicated to detail in a Blog the inner workings of our Financial System. Plus it has already been done with in depth analysis. And as I like to say, why re-create the wheel. For that I leave you the excellent book entitled "The Creature from Jekyll Island" by G. Edward Griffin. Our system is not designed for the benefits of the people. That is my opinion and that of the book as well. However, the complexity of the system makes it difficult for the majority to see or grasp. A cannot see the trees due to the forest type scenario. Whenever something is designed to be complicated it is usually designed to deceive. And oh what a wicked web we weave when at first we deceive (or something like that from the Shakespeare play).
Martin Luther King Jr. said "Life's most persistent and urgent question is, 'What are you doing for others?'"