Monday, January 11, 2021

👉The Middle Class Will Be Wiped Out By the Inflation Tax - This is How to Preserve Your Wealth !!

👉The Middle Class Will Be Wiped Out By the Inflation Tax - This is How to Preserve Your Wealth !! Inflation is already here, just look at stock and housing prices. January will finish off what's left of the middle class and get rid of all small businesses . The FED will use the pandemic as the excuse just like they did with the housing bubble for the previous implosion. The fed created this bubble with ultra low rates and has no way out. If rates are raised; the stock market and housing bust will create another financial crisis bigger than anything we have seen. Might be a good time to short banks. Welcome to the wild world of QE to Infinity! Debt doesn't matter, in fact, it's the new money. Keep printing, keep giving out cheap loans, keep propping up the markets, hand out free money, keep credit scores high, and keep people buying, at all costs. That has been working, but for how much longer? And what does it look like when it all comes crashing down? No way it goes on forever... Every record has an end; make sure you have a chair when the music stops. QE and zero interest rates require full employment to work. In that environment, everyone works until they can't or until they die. Most of the QE goes to the upper 1%. Assets grow in price, which is the method for the skim. The wealth skimmed then sits in piles. For them, it's all about acquisition and ownership. Not about actually spending cash to improve their lives. Another billion added to the pile adds no benefit. Open borders bring low wages into the mix. Unlimited money printing combined with low wages and a microscopic velocity of money creates no inflation and a competition for dollars among the 99%. QE works in Japan for this reason. But ...... the pandemic brings unemployment into the mix. Big unemployment. Goods and services are created by employment. Unemployment means there are fewer things to buy with all the extra cash coming out of the Fed fire hose. Unlimited cash chasing too few goods and services ...... What does Econ 101 say about that???? The real unknown is how a low velocity of money combined with unlimited money printing and high unemployment affects inflation, or hyper-inflation. The FED is the root cause for wealth inequality. The wealthy people are their own banks. Low interest rates encourages the poor to take on debt because it’s an illusion, it’s free money to use. we need a major rate reset where rates return to the 5-7% range. The money is going to the already rich, who already have everything, so maybe they buy another Ferrari or two for their wife/son/daughter/nanny/mistress but that only promotes the luxury companies (Chanel, Ferrari, Hermes, Patek Philippe, Yacht building firms etc) that have very little to do with the economy of billions of people. Welcome back to The Atlantis Report. You are here for your daily dose of the truth, the whole truth, and nothing but the truth. Please take a second to hit the like button, hit the subscribe button, and don't forget to also hit the notification bell. There are a number of factors which keeps stock markets inflated.Exceptionally low interest rates (lowers the discount rate, raising the price of an asset), Federal Reserve liquidity, lack of alternatives, etc. Nonetheless, this isn't a normal forward looking scenario. Forward looking would surely predict lower profit and cash flows. But Federal Reserve purchases of corporate bonds is another thing entirely. The incentive at many companies may be to sell more bonds (why not? The Fed has guaranteed a buyer at lowe interest rates), and then use the proceeds to buy my firm's stock. If I have stock options, I make money. It's a great country if you are wealthy! There is too much money in the hands of people that don't need it, and don't use it. The easiest option is to park it in inflated stocks. This is simply inflation, but in equities. It's the mature trickle-down theory fertilized by ever morelavish gifts from legistlators. It's really a problem, and it's the raining theory throughout the world. It's great for develping nations, like China, but it is hard on working americans . It's also great for day-trades and trading in general. It is easy to move money from those who toss it around carelessly into one's own account. Government debt in the US has increased by more than $4 trillion this year, which adds up to $12,800 per person. The Fed holds the paper on nearly every debt, which is the only thing of value that they have .The dollar is worthless, why would anyone care? Relative to the rest of the world, if the US had an honest money system, those around the world would want to hold and transact in that currency as well, making it the Reserve currency. The financial history of this nation (until the antics beginning in 2009) is that Fed Funds equal or exceed inflation. Why was that policy in play for 95 years? To protect the holders of dollars from the impact of inflation. Now, however, the game is to STEAL from the holders of dollars to pump the stock market. This is done by making stocks the "only place to put your money". They have denied fixed income as a strategy. BUT.....when inflation grinds and pounds the working families of this nation, the turmoil created will force the Fed to finally deal with this tax called inflation, a tax implemented not by Congress but unelected Central Bankers who are insulated from inflation, like most government workers, by inflation protected pensions. But what about the rest of us? The financial community are the wolves circling the sheep paddock. Inside the paddock, the FED is doing the equivalent of over-feeding the sheep. From the wolf's view point, it can see the feed being brought to the paddock. The wolf will also know the day when the sheep will go unfed. What will the sheep do when, a few days later hunger sets in. Heyday for the wolves. A diet of fat sheep. Both the FED and ECB have been trying to create inflation off and on for 10 years supposedly through QE and have not succeeded but the ECB did end up destroying banks, pensions and bond markets while the FED just destroyed pensions ;so why does anyone believe they will do it this time. The only inflation we see in the real economy is cost-push inflation and not demand inflation which they have been trying to create which has been caused by the massive lockdowns which has destroyed whole supply chains with shortages and price increases especially food which is spreading to other sectors like electronic parts. The FED is doing QE because it is deflationary and moves rates lower with their hope the long bond moves to zero bound, banks will then lend and create liquidity and borrowers will borrow and the public will buy "stuff" and this will increase the velocity of money and they magically get their 2% inflation. Good luck with that. Since commercial banks are the only ones who can create money out of thin air by lending and they are not or not lending enough since more lockdowns are here, more business closures, more job losses and more loan losses for banks. No liquidity is being created. Even if banks do lend and the public borrows, they must buy "stuff" and not pay down debt or borrow to just survive as this does not cause demand inflation and enough to increase the velocity of money. The money multiplier and the velocity of money are falling. The FRED data shows about everything is in deflation mode from the US exporting deflation, trading partners are exporting deflation to us, real estate lending is in deflation mode, consumers are paying down debt which is capital destruction which is deflationary, and it goes on. As the lockdowns spread and more job losses and business failures, how in the hell does the FED or any bank forecaster think that there would be demand inflation with all this going on? Who is going to buy this ""stuff"? That $600 check is going to make everyone whole with millions thousands behind on bills, facing evictions, repossessions and the latest stimulus like the rest is only temporary and the day of reckoning is coming and all this must and will come to a head and that is when all hell breaks loose. QE is the FED taking assets and their corresponding income streams from banks, banks simply have their reserves credited which the FED still owes for these as they are liabilities on their balance sheet along with an asset, banks can only use these as collateral to borrow from the FED, from other banks or used to buy treasuries as collateral. Banks must use their own liquidity to buy the assets for QE, ($120 billion month), they are not lending or lending enough liquidity to offset what liquidity is taken out of the real economy from the FED and buy those paying down debt which is capital destruction which means the FED is creating Monetary Deflation as liquidity dries up along with credit. How in the hell is that inflationary or how is that creating demand inflation? Cost-push inflation is here which is not caused by the FED increasing the velocity of money but economic destruction by lockdowns. Banks know this and are simply covering for the lockdowns and its destruction of the economy and capital. The FED cannot force banks to lend nor can the FED cause the velocity of money to increase to create demand inflation and the last 10 years proves it both them and the ECB! QE is not adding liquidity to the real economy but removing it with banks simply having reserves credited but this never enters the real economy but stays in the Federal Reserve System which is banks, primary dealers and the FED. QE is deflationary pushing rates down with the hope banks will then lend, the public will borrow, the public will buy stuff and enough to increase the velocity and then inflation. The increase in M1 money supply is caused by banks lending which is contracting,(lending), the public moving M2 assets, (savings, CDs under $100,000, retail money market securities, etc) to cash to survive, M2 is increasing from the public, (large financial firms, Institutional Funds, etc) converting assets that then show up in M2 or M1 if cash all causing these two money supply categories to increase giving the illusion that the FED is creating money out of thin air.But all of this except what was created by bank lending was already in the system and just converted and then moved which then shows up in the two most common indicators that the public uses to follow the money supply .But they do not indicate if the increase was from another money supply category or di the FED really create money out if thin air! The way the Fed measures inflation is bogus, nothing like what the worker experiences. We are well past 2% already. Inflation of money takes 18 months to get to main street. That means even the 9 - 2019 print fest hasn't arrived yet. Just wait for that 03 -2020 3 trillion madness to arrive. It is off the scales. never before tried territory. And they are talking about even more. That 18 month lag is deadly. When inflation comes the politicians will be blaming everybody but the Fed for the inflation. They surely will do something stupidly misdirected to try to fix it. Instead of handing out inflated money to everyone, start up the public works programs, like what we had back during the Great Depression, and pay people to work on public work projects, like roads, railroads, airports, hospitals (we have a critical need for them now), improve health care, communication systems, affordable housing, revitalize the rural areas, revitalize businesses, rebuild our schools, recycling materials, demolishing the shanty towns to clean up the nation, etc.,. It would do a lot from the standpoint of giving a lot of our unemployed people jobs, giving them something to be proud about, improve the nation's infrastructure, actually producing something for trade, and to keep our dollar from hyperinflating. The U.S. did it back in the 1930's and the Chinese did it over the last 30 years. In each case, it worked! We need it again. This was The Atlantis Report. Please Like. Share. Leave me a comment. Subscribe. And please take some time to subscribe to my backup channels; I do upload videos there too. You'll find the links in the description box. You will also find a PayPal link if you want to make a donation. Thank you wholeheartedly to all those of you who have already donated. And Thanks for your valuable feedback.Stay safe and healthy friends! The Financial Armageddon Economic Collapse Blog tracks trends and forecasts , futurists , visionaries , free investigative journalists , researchers , Whistelblowers , truthers and many more

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“Control oil and you control nations; control food and you control the people.” Henry Kissinger


once a standing army is established, in any country, the people lose their liberty.”
George Mason

“Military men are dumb, stupid animals to be used as pawns for foreign policy.”
Henry Kissinger

“If you are an ordinary person, then you can prepare yourself for war by moving to the countryside and building a farm, but you must take guns with you, as the hordes of starving will be roaming. Also, even though the elite will have their safe havens and specialist shelters, they must be just as careful during the war as the ordinary civilians, because their shelters can still be compromised.”
Henry Kissinger

"We don't let them have ideas. Why would we let them have guns?" Joseph Stalin

The people who cast the votes decide nothing. The people who count the votes decide everything.
Joseph Stalin

Governments keep a lot of secrets from their people . . .
Why aren't the people in return allowed to keep secrets
from the government?

PHILIP ZIMMERMAN, DER SPIEGEL

“Some call it Communism, I call it Judaism.”

Rabbi Stephen Weiss

“Anti-Communism is Anti-Semitism.”
Jewish Voice, July - August 1941

Taxing People is Punishing Success
UNKNOWN

There's the rich, the poor, and the tax payers...also known as the middle class. Robert Kiyosaki

The Tax you pay is The Bill for Staying Stupid

Stefan Molyneux


“The modern banking system manufactures money out of nothing. The process is, perhaps, the most astounding piece of sleight of hand that was ever invented. Banks can in fact inflate, mint and un-mint the modern ledger-entry currency.” Major L L B Angus

The few who understand the system will either be so interested in its profits or so dependent on its favours that there will be no opposition from that class, while on the other hand, the great body of the people mentally incapable of comprehending the tremendous advantage that capital derives from the system will bear its burdens without complaint and perhaps without even suspecting that the system is inimical to their interests.
The Rothschild Bros

"Debts must be collected, bonds and mortgages must be foreclosed as rapidly as possible. When, through a process of law, the common people lose their homes they will become more docile and more easily governed through the influence of the strong arm of government, applied by a central power of wealth under control of leading financiers.

This truth is well known among our principal men now engaged in forming an imperialism of Capital to govern the world.

By dividing the voters through the political party system, we can get them to expend their energies in fighting over questions of no importance. Thus by discreet action we can secure for ourselves what has been so well planned and so successfully accomplished."

USA Banker's Magazine, August 25 1924


Cutting Tax Rates stimulates Economic Growth creates more Profit , more Jobs and therefore The Treasury ends up with more Tax Money
UNKNOWN

Taxation is legalized Theft
UNKNOWN

"The Objective of the Bank is not the control of a conflict , it's the control of the debt that a conflict produces . The real value of a conflict , the true value is in the debt that it creates . You control the debt , you control everything . this is THE VERY ESSENCE OF THE BANKING INDUSTRY , to make us all , whether we be nations or individuals , SLAVES TO DEBT " An UNKNOWN Banker

Patriotism is the last refuge... to which the scoundrel clings .... Steal a little and they throw you in jail ..steal a lot and they make you king ....

Bob Dylan


"Corporations are stealing billions in tax breaks, while the confused, screwed citizenry turn on each other. International corporations have no national allegiance, they care only for profit." Robert Reich


There is NO political answer to a spiritual problem!
Steve Quayle


Po
litical Correctness is a Political Stand Point that does not allow Political Opposition , This is actually The Definition of Dictatorship
Gilad Atzmon

The modern definition of racist is someone who is winning an argument with a liberal
Peter Brimelow


When People lose everything and have nothing left to lose , They Lose It !

GERALD CELENTE

Your Greatest Teacher is Your Last Mistake
DAVID ICKE

The one who Controls the Education System , Controls Perception
UNKNOWN

"The world will not be destroyed by those who do evil, but by those who watch them without doing anything."

Albert Einstein

In The Left Nothing is Right & in The Right nothing is Left
UNKNOWN


No man escapes when freedom fails; The best men rot in filthy jails. And those that cried 'Appease! Appease!' Are hanged by those they tried to please
UNKNOWN

Freedom is not Free
UNKNOWN

Don't Steal The Government Hates The Competition

Ron Paul

"Buy The Rumor , Sell The Fact " Peter Schiff


You can love your Country and not your Government

Jesse Ventura


" The Government Works for ME , I do not answer to them They Answer to ME "
Glenn Beck

"Tyranny will Come to Your Door in a Uniform "
Alex Jones

"The Government is not The Solution to our Problems , The Government is The Problem "

Ronald Reagan


"The price good men pay for indifference to public affairs is to be ruled by evil men." Plato


The world is a tragedy to those that feel, and a comedy to those that think...Beppe Grillo

"The people should not fear the government for it is the government who should fear the people" UNKNOWN

"If You are looking for solutions to the world's problems , look in the Mirror , You Are The Solution , You have the power as a human being on this planet " UNKNOWN

"They don't control us , We empower them " UNKNOWN

"Serial Killers do on a Small Scale What Governments do on a large one..."

Serial Killer Richard Ramirez

There is a Class War going on in America, & unfortunately, my class is winning." Warren Buffet

"When the people fear their government, there is tyranny; when the government fears the people, there is liberty."

Thomas Jefferson

"College is a waste of Money"
Albert Einstein

Schools manufacture people who think that they're smart but they're not.
Robert Kiyosaki

Education is what you learn after you leave School
Robert Kiyosaki

" ‏Schools were designed to create employees for the big corporations."
Robert Kiyosaki


"If a law is unjust, a man is not only right to disobey, he is obligated to do so" Thomas Jefferson

Dissent is the highest form of patriotism
Thomas Jefferson

“True education makes you feel stupid. It makes you realize you have so much more to learn.” Robert Kiyosaki


"One day your life will flash before your eyes. Make sure it's worth watching." - Gerard Way

"Aspire not to have More but to be More "
UNKNOWN

The losers in life think they have all the answers. They can’t learn because they’re too busy telling everyone what they know.
Robert T. Kiyosaki ‏

"Failure is simply the opportunity to begin again. -This time more intelligently." Henry Ford

What You Own Owns You
UNKNOWN

If you expect the government to solve your problems, you have a problem. Robert Kiyosaki

"Those who give up their liberty for more security neither deserve liberty nor security." Benjamin Franklin

"None are more hopelessly enslaved than those who falsely believe they are free.” -
Johann Wolfgang von Goethe

"Always trust someone who is seeking the truth , never trust someone who found it" Jordan Maxwell

Be The Change you want to see in The World
UNKNOWN

Failure inspires winners but defeats losers
Robert Kiyosaki ‏

“If you are planning for a year, sow rice; if you are planning for a decade, plant trees; if you are planning for a lifetime, educate people” A Chinese Proverb

"First they came for the Socialists, and I did not speak out--
Because I was not a Socialist.

Then they came for the Trade Unionists, and I did not speak out--
Because I was not a Trade Unionist.
Then they came for the Jews, and I did not speak out--
Because I was not a Jew.
Then they came for me--and there was no one left to speak for me." UNKNOWN