We Deserve Corporatism, and Notes on Fed Income Taxes, & on Banking

Most Americans today appear to know very little History, Geography, American Government, & Logic, and pretty much zero about the Constitution.  Never mind knowledge of how Propaganda works, or anything at all about Corporatism, or the significance of gerrymandering, or how political candidates really are selected.  And worse, they don't see the relevance of any of it to their lives.  They don't care that they don't know.  But most of them know the really important stuff, such as when the new I-Phone will be coming out and whether or not it will be able to fry eggs, or perform some other mundane or silly function.  The whole situation is an utter disgrace...on all of us.

In this country, we deserve the Corporatist Clinton (both of them), the Corporatist Bush (any of them), the Corporatist Obama (the Fake Populist), and the Corporatist Trump (the doubly Fake Populist)... along with Global Private Rule.  We all deserve it all...because we all have let them (the Elites) get away with egregious, rampant Edward Bernays style Propaganda---the molding of the public mind---and with blatant violations of the U.S. Constitution.

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Notes on Fed Income Taxes & on Banking---

In 1946, the Chairman of the New York Fed Reserve, Beardsley Ruml, presented a paper to some auspicious group or another.  The thesis of his paper was this:  the idea of Fed Income Taxes for government revenue is obsolete.  I don't have the time or energy to explain his reasoning, so if you're interested, Google/Bing the topic.

I do have the time for this much.  A good deal of his reasoning was centered on the central planning of monetary issues by the Fed Reserve, and on the changing of the Gold Standard by FDR.  A fairly recent example of Ruml's thesis is as follows.  Between the times when Congress voted down the 2008 Bailout package for the Mega Banks and then fairly quickly afterward approved it (about $700 billion), the Fed Reserve felt it had to do something, so it made TRILLIONS OF DOLLARS available to the Big Boys in the form of loans at essentially zero percent interest.  Not one cent of those trillions was from taxes.  Nor was any of it from government "savings".  [There are no gov't savings; the National Debt is $20 trillion...an amount impossible to repay in full.]  The Fed simply added a bunch of digits to its balance sheet; it created the "money" out of thin air.  That's entirely possible with a fiat currency.

Banks do it every day.  For example, let's say you deposit $100 into your bank account.  Because of the obscenity known as fractional reserve banking, your bank is required to keep only $10 of that $100 on deposit.  It loans out the other $90 to someone else.  So now, you have $100 on your account and the other person has $90.  That's $190 from your $100..."money" created out of thin air.  This is all possible because only 3% of the "money" in circulation is actual paper or coin.  The rest of it is nothing but digits on a computer.  In a nutshell, that is our goofy "money" system.

The point of all this is:  Ruml was correct; Fed taxes (NOT State & Local taxes) are unnecessary for revenue.  That's especially true ever since Nixon took us completely off the Gold Standard in 1971.  The Fed Gov't never will "run out of money"; to get more, all it has to do is add digits to its balance sheet.  Some people counter this argument by saying that the Fed Reserve doesn't just add to its balance sheet; instead, it buys Bonds (T-Bills)...which means the Fed loans "money" to the Gov't.  Yes, it does that...but it doesn't hand over a wad of cash to the U.S. Treasury.  It simply adds digits to its balance sheet.

Without a Gold Standard to restrain spending, any Gov't with a fiat "money" system can "print" (97% of the currency never gets "printed") as much currency as it needs...and anytime it so desires.  Some people counter that argument by saying:  in such a scenario, people would lose confidence in the Dollar.  Hello!  All around the world, that's exactly what's happening right now.

Finally, during the Reagan Era, the Grace Commission did a two-year study and found that 100% of Fed Income Taxes goes toward paying the interest on our National Debt.  Not one cent goes for Gov't services.  And who gets those interest payments?  Primarily they go to Central Banks around the globe, other Mega Banks, and other Mega Corporations...the really Big Bond Holders.

Not only my opinion.  Be Well