Ray Dalio is the founder of Bridgewater Associates and an avid currency historian. His research finds that a monetary policy of cheap money with near zero interest rates, while printing money to pay bills, will lead to the failure of a currency. The United States has been living these disastrous policies for years, and as a result the dollar has no value.
In 2010 Fed Chairman Bernanke announced plans to engage in Quantitative Easing. QE allows the central banks to fill their coffers with cash, cash that is created out of thin air, and has no value. This cash is used to purchase assets from commercial banks. The hope being that the banks would lend it out at low interest rates to the community and businesses thus stimulating economy. The policy of QE needed to be voted on by the 12 member banks that make up the Fed. Thomas Hoenig, the Fed president from the bank in Kansas City voted, “Respectfully no” Mr. Hoenig predicted that this easy money would create demand for stocks, bonds, real estate, corporate debt and commodities, effectively driving up prices by creating artificial value. He said this would create asset bubbles. It would deepen income inequality, enrich the largest banks, and lock the Fed into a currency creation quagmire. The initial cash dump in 2010 was 600 billion, the Fed has since dumped nearly 9 trillion useless dollars into the economy.
In 2019, pre-Covid, we were 20 trillion in debt. To actually accrue this kind of debt in times of stability represents a lifestyle decision. In my opinion this decision grew inefficient bureaucracies, enriched corporations and made a few individuals exceedingly wealthy, and left us with an enormous mess on our hands. Misters Dalio and Hoenig warn that these destructive policy combinations are not sustainable and suggest that there will be a day of reckoning. If things take the traditional route the entities that created and benefitted from these disastrous policies are going to walk away unfazed, unpunished, and massively rewarded. “We The People” will get absolutely hammered. We’ll lose our job’s, homes, pensions, marriages, and dignity. I say Enough! We’re not taking the traditional route this time. As 270 million good citizens we wield an enormous amount of power, but only if we stand together. This is a time to stop pointing fingers, stop whining and stop bitching. Whether we’re facing doomsday or not, there needs to be a lifestyle change, a lifestyle “We” impose upon them for our survival. We will not tolerate their absurdly inefficient and bloated bureaucracies. A tax code that is idiotic in its blatant dishonesty and waste. Our representatives are transparently corrupt because they don’t fear us, in fact they have complete contempt for us. I can’t stress to you enough, just how great “We” are. Funny, generous, creative and so darn smart. Our ranks are filled with extraordinary people and while it may seem daunting, together we can right this despicable injustice. We need to address this mess of “Their” making. We will not tolerate their belligerence, arrogance and their complete indifference to the damage they have caused us, and this is what our motivation is. Our philosophy, attitude, plan of action, solution, and gathering place is Normal normalparty.org “We are all we have.”