Wednesday, October 23, 2013

The Great Expansion

For those of us who sense the acceleration of many past predictions, we would do well to remember the lesson of Claudio Grass, and seek to understand fully how exponential growth overtakes both linear and cubic growth in any perpetual system such as the peculiar debt-based monetary and financial system of the dollar faction.

We say "peculiar" because since 1971 global systemic "aging debt" has been "settled" with the issuance of nothing more than "new and improved" debt - an oxymoron in Austrian terms, but a "miracle of advanced economies" in Keynesian terms, the fantasy world of "something from nothing, forever".

But leaving both schools of thought behind for a moment and purely observing the actions of monetary actors upon the world stage, we see the issuance of new debt, under the euphemistic guise of QE accelerating to new, unprecedented levels, even as the effort to maintain CREDIBILITY in the guise of "taper-talk" extends the timeline of the system.

This is done by alternating confidence-inspiring faith in debt along the stop loss triggers (as well as guided, paper- leveraged manipulation) against the practice of resourcing more legitimately issued debt, such as is accumulated through the earning of wages for example, and foolishly "lent" to banks in the form of checking and savings accounts.

The ongoing taper-talk is the life support of this system, as are all actions to preserve confidence in the debt, by buying it off with newly decorated "nominally better" terms. We see this in the European bail-outs, and the newer "bail-ins" which seek to lend an air of cooperative socialization (the German influence) to the salvation of debt. As if grabbing debt from one source instead of another legitimizes the process of settlement.

Elsewhere, deep in the background, and far from the mainstream fishbowl on display to the little people, the Roacheforque dynasty and its generational peers are indeed requiring a greater proportion of satisfaction in gold, as the new equity based system is being prepared by our global central bank (Roacheforque himself having been removed from the voting majority in the aftermath of that awful event) which is currently guiding the rebalancing of equity across the global economic landscape in order to properly reserve systemically important economies when the repricing of gold in FIAT terms takes place.

We have often been asked, in the parlor after Earl Grey and Swiss shortbreads, or in the smoking room, after Beef Wellington and Rothschild Armagnac, "When will the change take place"?

To which eyebrows of indifference are casually raised, and the response comes forth, "When the system demands it".

As debt exponentiates it cannot credibly continue to satisfy it's own issuance on the world stage, especially when systemic participants have already begun the process of change. But those who matter in this world must be positioned to take advantage of the new ways before the old ways can be be abandoned and the repackaging of old values for the modern age are welcomed.

We do feel the time is near, and that preparations have been properly managed to that end. Perhaps we should take a vote on it at the next gathering in Basel. But no matter. All in good time.

Wealth you see has the enormous capacity to bide TIME in quantities far more vast than the little people can afford as they run furiously upon the hamster wheels of credit. And as they expire breathless from one generation to the next, it is TIME which reveals all.


  1. Following the taper talk's swirling mists of words is like watching a tennis match where neither side really wants to win the volley. It has become laughingly transparent.

    But yet the teeny tiny fig leaf of mock debate over taper-or-not seems to be enough to cloak the fat, bloated, pasty emperor's tropic zone, and keep the Cable TV numbed public from realizing that indeed he no longer has any clothes.

    So here we are, with our rotund and expanding emperor sporting an ever more translucent leaf over his rapidly shrinking credibility.

    This simply can't go on much longer.


    PS. It has been said that the sun never sets on the Roacheforque dynasty.

    Well, at least now it has :D

  2. Ahhh Bimby,
    Nimble characterizations as we've come to expect and appreciate ... and may I add, the sun truly DOES never set upon the Roacheforque dynasty, for as rational thinking minds do sprinkle each corner of the planet, thus we find the Roacheforque domain: the dynasty of the mind.

    There we have staked our claim, and there you see the little people as our tenants in common ...

    1. The Bimby dynasty has a similar slogan:

      It's always five o'clock somewhere.