~ Busy beavers have been busy ending the cash flow.
A lot of theory has been written over the years explaining how money works (it doesn’t) and about “cash flow management” and how savings and investment create a better life for all. It’s all BS.
If one had to choose which would come first, the end of history or the end of money, I bet a full 99% of everyone would accurately predict “the end of money”. It’s not that they could predict why or how or even when (exactly), but based on life experience “they” would know that something was going on that was terribly wrong and that when you get (daily) less for what costs (daily) more then at some point (soon) money will be worth nothing as it will acquire nothing regardless of how much of it you have.
In such circumstances an intelligent person would dump all their money as fast as they could, exchanging the cash for something with greater weight or usefullness than paper printed with holograms and fancy ink. The “bottom line” is that money must “flow” to be useful and when it stops flowing because of cash consolidation (too much money in too few hands) then the whole idea of money seizes up and cash stops being King and and the cash kings are soon reduced to pawns or paupers or something worse than being just dead.
In the process every entity and institution that is dependent upon cash and cash flow soon seizes up, shuts down, goes underwater or otherwise enters demise, which means “fail”. So the end times (of money) is characterized by seemingly wild and irrational spending AND the hoarding of cash as though the green stuff actually had a future. In this environment debt and cash are equal, they both can “buy things”, all moral compunction about ever paying either back is lost as everyone realizes that all money is just “debt” and having money is not evidence that anyone will ever honor it by parting with ANYTHING of value. Oh my.
Things change very fast in this danger zone. Fixed value items, like food and water and electricity remain the most fluid and stable. Optional and discretionary items don’t stand a chance. One day donuts or bangles may be the latest fad, the next day they are too expensive and are soon gone. “Just in time” manufacturing needs just a moment to change direction and send the product message “kill”. Consumer “demand” can create nothing when all real manufacturers are used to and expect to “make a killing”.
In this scenario almost all cash spent ends up in the hands of the richest, being the hands where the money will “do” actually the absolute least good. The rich are always the most conservative, don’t need the money, and are the most cautious about parting with the money that they have unless they KNOW that they will make MORE MONEY before they even think of spending it. Money in the hands of the rich is like DEAD MONEY, its stopped revolving, doesn’t have a heartbeat, and already has rigor mortis setting in.
The good thing about this end times process is that with each passing day there is noticeably less money in the publics pocket and that means that the pace of money contraction can only increase and will probably start increasing DRAMATICALLY. Ask the cops, they DO LOVE the DRAMA!
The three signs of a collapsing society are (1) loss of trust in government, (2) loss of trust in businesses, (3) loss of trust in things. The cause of (1) is “big government, too big to fail”. The cause of (2) is “big business, with too little real competition”. The cause of (3) is a society hellbent on a consumption that far exceeds any real need. After the collapse life returns to something based on “simple”. Simply put, it means that only those who can do something both basic and useful have a future, the money part is NOT a part of the equation.
So take your money out of the banks by November 5th (or earlier, or later). Save it or spend it. Give the greenbacks back to Caesar, retire the debt, cancel the loan – get something for the hours of labor you put in when you exchanged all that hard work for “just a piece of paper”. It’s like a game of musical chairs, too much money and not enough products to make it meaningful – someone (many) will have to lose.
2011.10.28 – 04:13.