Greece is the word
Greece is the word – for things many people may not want to admit or talk about. Squeaky wheels may get grease to keep them quiet, but squeak or squawk too much about “money” in Greece (or Poland) and getting “greased” may mean (permanent) “liquidation”. Be especially wary of those whose principle interest is the interest on “their” principal. If you have the “foggiest” idea of what I’m talking about, be careful when, where, and with whom you fly….
Greece is bankrupt – meaning they are unable (and unwilling) to repay other countries what they “owe” (in U.S. dollars). Although un-backed by anything of value (like gold, silver, or copper) since 1971, (U.S.) Federal Reserve (Dollar) Notes remain the global “reserve” – against which all other countries’ national fiat “currencies” float. Today, temperatures and tempers are getting hotter. Greece is not the only “economy” not “floating”.
That Greece is essentially a financial protectorate is no surprise considering that the “Bilderberg” group met in there last year. This year they meet in Spain – which also has a shaky economy (and may also soon end up like Greece). Next year, they will probably meet in North America. Both the Euro and the U.S. Dollar are experiencing “difficulties” – and the economies of those who use these currencies cannot help but follow.
It’s surprising how few people (including apparently economists, investors, and foreign exchange traders) seem to know about, let alone pay attention to, the Bank of International Settlements – and/or indications about what to expect in the future as a result of their decisions.
Consumer costs will increase as currencies (and more islands and coasts around the world) slowly sink under water. Although it is hardly a secret, few people seem to know that the United States of America has been (officially, legally, and financially) bankrupt since 1933 – and has been both discharging and exponentially increasing its (Chapter 11/national) debt ever since. Most other countries are also not nearly as sovereign, secure, or solvent as they presume or pretend to be.
While gold is still the standard for many things, silver has far more uses – as well as increasingly greater demand and “worth” (as the supply diminishes). Unlike gold, silver tends to be “consumed” and “lost”.
Poland is one of the few countries that still have “active” (registered) silver mines. Many countries with gold, silver, or other “reserves” desire to issue new (paper) currency – backed by their precious metals. Instead of China or Russia making the expected move that would force all countries and banks to follow, Greece and Poland apparently thought they could (create their own mutually beneficial arrangement). Unfortunately, the President of Poland (along with many members of the Polish military, political, and religious elite) just died (in a plane “mishap”) – even after being warned. The timing and circumstances are more than coincidental. The joint venture between Greece and Poland probably died (in Russia), too.
Money can “buy” many things – but seldom enough life to resist or reform the current banking system). U.S. President John F. Kennedy also lost his life (and apparently his mind in 1963 – when his brain was lost during autopsy after his assassination – in the assassin-nation!) before he could abolish the Federal Reserve Bank and return control of U.S. finances to the Federal Government rather than paying interest to a private bank for every fiat (dollar) note printed.
Film lovers often forget that Leonardo DiCaprio and Kate Winslet were not on the real Titanic when it sank in 1912 – but an unprecedented number of the world’s most wealthy (including the American elite who opposed the formation of a central bank) were. Soon after (they were out of the way), the Federal Reserve Bank (that is neither really “Federal” nor even part of the government, and hardly rich in actual “reserves”) and a centralized national “fractional” reserve banking system was created in 1913 (and with it, a 1929 stock market crash and Depression so Great that no profitable retail drug could help). By 1933, the United States Congress declared bankruptcy. Gold was nationalized, confiscated, and made illegal to own as an individual (until 1975). A new world war ensued (in 1939), and (by 1944) the Federal Reserve Bank’s U.S. Dollar Note became the sole “backing” and “reserve” of world currencies against which all others were measured and exchanged.
The U.S. Mint is currently attempting to popularize their new(est) dollar coins (probably because they cost less to produce than the paper dollar) – but most Americans are not willing to exchange their beloved one dollar Federal Reserve Note for them. The one dollar Federal Reserve Note is the only denomination of American (paper) currency that has not yet been redesigned. There are at least three versions of all other denominations of FRNs still in circulation. You may even have one or more ($5, $10, or $20 note) of each different design in your wallet. Like the commemorative quarters with different states on the back, few people now know what the “money” they use on a daily is “supposed” to look like anymore. It probably doesn’t really matter – since fiat paper in circulation is not really even “worth” what the issuing banks and governments claim, but only what someone will exchange (in products, services, information, or whatever else people pay for). Other world fiat currencies are no different – but often more colorful. European Union Euros are considered “worth” more than U.S., Canadian, or Australian Dollars. Mexican Pesos are considered to be “worth” less – at least in “foreign exchange”. One Euro gets you 16 Mexican Pesos; one U.S. Dollar gets only 12.
There is really only one (major) bank in Mexico still owned by Mexicans (rather than by “foreigners”) – Banorte. Although many banks in Mexico are not exactly “exchange friendly”, Banorte decided last year to no longer accept (or even convert) payments or deposits in U.S. currency. Any customer cash, check, or credit transaction not in Pesos must go elsewhere (to be converted and exchanged into “free floating” Pesos first). You can still “grease” your way on the street and most “busy-ness” with American “money”, but at least one (Mexican) bank no longer considers it to have any value or desirability.
Bahrain, Qatar, Saudi Arabia, and various other nations around the “Gulf” claim they aren’t serious about un-pegging their currencies from the U.S. Dollar, but they’d much rather conduct financial transactions and accepts payment(s) in silver, gold, or Dinars than American fiat currency.
Life may soon be “different” in many ways (for everyone) as (other) countries around the world re-evaluate what they consider their financial system and status. LIFE is time, but time is NOT money.
What are YOU willing to exchange for “money”?
© 2010, Oren Pardes. All rights reserved.
Tags: Bank of International Settlements, banking, Bankruptcy, Bilderberg Group, Currency, Dollars, Greece, life, Money, Poland, Reserves, Silver, time
