The View From 1776

1929 Parallels

Central banks are not so wise or powerful as most people assume them to be.

Posted by .(JavaScript must be enabled to view this email address) on 09/21 at 09:25 PM
  1. I am seeing several articles on the Financial Sense website that echo these concerns. Not that they can't delay it but, that delay will make things worse, not better.

    http://www.financialsense.com/

    Notice the list of authors who's latest articles are linked to their names. Many of them are regulars on financial news shows warning about what may be coming.

    But, timing is more difficult than just labeling a policy as bad. In a nation and world this large and complex, it can take years for some things to play out while others can seem to happen in a heartbeat (like the 1929 crash) even though the events leading up to it happened over a period of years.

    We have been playing games with our currency for over 90 years. Ever since the creation of the Federal Reserve. Look at a chart sometime of inflation for 300 years in the U.S. and then look at it from 1930-1970 and then from 1970 to now. Remember 1971 was when we went totally off gold.

    It rises FDR's time and then becomes a ski slope up after that 1971 period after we left gold totally.
    Posted by JanPBurr  on  09/21  at  11:42 PM
  2. As a skeptic of the MSM (main stream media) drumbeat in our Country, I kept looking for the real 'news' besides the MoveOn ad regarding Gen. Petraeus, particularly since there was a weekend coming and what better time to drop the economic bombs?

    Thank you for continuing your efforts to shake some sense into us. I am becoming very depressed about the situation in my Country and thank you for your voice of reason.
    Posted by Melanie K. Wooten  on  09/22  at  06:14 PM
  3. What it seems like Thomas Brewton does with the articles he posts, including those from his church services, is supply us with a steady dose of "human nature."

    What is the greatest parallel to 1929? "Human nature," of course.

    Reading the Old Testament, how many times do we see a 1929 played out where the excesses of people "come home to roost?" Each time the people drifted away from not only God, but, sound common sense policies, they suffered in some way or another.

    It is said we have a depression about every 70 years in this nation. Since I don't know, I'll ask. Is that about how long it takes to so completely forget the mistakes of the past we become willing to repeat them? Or, is it just that after a "correction" it takes that long for bad policies to pile up and reach a peak in a "house of cards" that collapses when the first unexpected wind comes along.

    My prediction is that "given current trends," we will see in about 10 years a change few have even thought about.

    In about 10 years, our children or grandchildren, as they graduate from college will say, "Let,s see, my share of the unfunded liability to pay for the promises made to me that I won't get until I retire, is $400,000 (currently, by then, much higher). I can stay here and pay the other taxes needed for government and the $400,000 for promises they said I can't count on, or not even get them, or I can leave."

    "I can go where taxes are lower, crime rates are lower (like Singapore), social programs are paid for, national debt is very low, and economic opportunities are high."

    I can hear them say, "Why stay here and pay for the mistakes of the past when I can go someplace else and pay for opportunities of the future? Why pay for something I won't probably get in order to keep the people who made the mistakes funded in their retirement?"

    That isn't even a trickle yet (only 4 million expatriates, I believe) but, it will happen because it is human nature. The young didn't make the sacrifices, pay the taxes, work, etc. to create what we have now ruined.
    Posted by JanPBurr  on  09/22  at  06:55 PM
  4. The missing element in every human 'solution' is
    an accurate definition of the creature.

    The way we define 'human' determines our view of self,
    others, relationships, institutions, life, and future. Many
    problems in human experience are the result of false
    and inaccurate definitions of humankind premised
    in man-made religions and humanistic philosophies.

    Human knowledge is a fraction of the whole universe.
    The balance is a vast void of human ignorance. Human
    reason cannot fully function in such a void; thus, the
    intellect can rise no higher than the criteria by which it
    perceives and measures values.

    Humanism makes man his own standard of measure.
    However, as with all measuring systems, a standard
    must be greater than the value measured. Based on
    preponderant ignorance and an egocentric carnal
    nature, humanism demotes reason to the simpleton
    task of excuse-making in behalf of the rule of appe-
    tites, desires, feelings, emotions, and glands.

    Because man, hobbled in an ego-centric predicament,
    cannot invent criteria greater than himself, the humanist
    lacks a predictive capability. Without instinct or trans-
    cendent criteria, humanism cannot evaluate options with
    foresight and vision for progression and survival. Lack-
    ing foresight, man is blind to potential consequence and
    is unwittingly committed to mediocrity, collectivism,
    averages, and regression - and worse. Humanism is an
    unworthy worship.

    The void of human ignorance can easily be filled with
    a functional faith while not-so-patiently awaiting the
    foot-dragging growth of human knowledge and behav-
    ior. Faith, initiated by the Creator and revealed and
    validated in His Word, the Bible, brings a transcend-
    ent standard to man the choice-maker. Other philo-
    sophies and religions are man-made, humanism, and
    thereby lack what only the Bible has:

    1.Transcendent Criteria and
    2.Fulfilled Prophetic Validation.

    The vision of faith in God and His Word is survival
    equipment for today and the future. Only the Creator,
    who made us in His own image, is qualified to define
    us accurately.

    Human is earth's Choicemaker. Psalm 25:12 He is by
    nature and nature's God a creature of Choice - and of
    Criteria. Psalm 119:30,173 His unique and definitive
    characteristic is, and of Right ought to be, the natural
    foundation of his environments, institutions, and re-
    spectful relations to his fellow-man. Thus, he is orien-
    ted to a Freedom whose roots are in the Order of the universe.

    Each individual human being possesses a unique, highly
    developed, and sensitive perception of variety. Thus
    aware, man is endowed with a natural capability for enact-
    ing internal mental and external physical selectivity.
    Quantitative and qualitative choice-making thus lends
    itself as the superior basis of an active intelligence.

    Human is earth's Choicemaker. His title describes
    his definitive and typifying characteristic. Recall
    that his other features are but vehicles of experi-
    ence intent on the development of perceptive
    awareness and the following acts of decision and
    choice. Note that the products of man cannot define
    him for they are the fruit of the discerning choice-
    making process and include the cognition of self,
    the utility of experience, the development of value-
    measuring systems and language, and the accultur-
    ation of civilization.

    The arts and the sciences of man, as with his habits,
    customs, and traditions, are the creative harvest of
    his perceptive and selective powers. Creativity, the
    creative process, is a choice-making process. His
    articles, constructs, and commodities, however
    marvelous to behold, deserve neither awe nor idol-
    atry, for man, not his contrivance, is earth's own
    highest expression of the creative process.


    That human institution which is structured on the
    principle, "...all men are endowed by their Creator with
    ...Liberty...," is a system with its roots in the natural
    Order of the universe. The opponents of such a system are
    necessarily engaged in a losing contest with nature and
    nature's God. Biblical principles are still today the
    foundation under Western Civilization and the American
    way of life. To the advent of a new season we commend the
    present generation and the "multitudes in the valley of
    decision."

    Let us proclaim it. Behold!
    The Season of Generation-Choicemaker Joel 3:14 KJV

    I taught Fifth Grade for over 30 years. Those 10 year-olds knew better than today's adults that if you are going to keep a pet you'd better define it accurately before you take the responsibility.

    Gold-fish? Canary? Puppy-dog?

    Human being? PhD? Psalm 25:12 kjv

    semper fidelis
    vincit veritas

    P.S. Our greatest failure, after a sloppy definition of the creature, is the poor choice of Criteria.
    Posted by Jim Baxter  on  09/23  at  08:59 AM
  5. Remember too, that we have some who "prey" on others. That is their choice. They are the ones that take advantage of things like ignorance to give "teaser-rates" they know the borrower doesn't understand. They hope they will "get the house back," and make even more money. However, in each bubble, those who get in late, often get stuck too. As more and more started "flipping" homes, the bubble got too big and burst sticking all the late arrivals with homes worth less than the loan they made.

    That is just one example of "choice." It is also an example of how God can easily "burst somebody's bubble" when they aren't focused on His will. Or for the "non-believer," how human nature can burst your bubble. You may think you have figured out the perfect "get rich" scheme but, the unexpected can trip you up and cause you to fall and fall hard.

    The problem with most "get rich" schemes is that they "put all your eggs in one basket." Because you aren't diversified, you get hit even harder when it's "time to pay the piper." But, that "get rich" scheme has such allure, and man has such a false confidence in it, that human nature (greed) causes him to "risk all."

    What is "human nature?" The nature of man. What does the Bible say the nature of man is that he must constantly be aware of it, check it, balance it? Human nature brings empires down and yet, man often thinks he knows so much that he can "control the world" and make it do his will.

    "Black Swan," by Taleb, is a great book about how the unexpected has destroyed almost every politician's and economist's long term rosy projections of policies designed to have government control the risk and bad things in life. It may be a war, earthquake, volcano, flood, depression, drought, change of political trends, change of technology, etc., but, something unexpected always crops up.
    Posted by JanPBurr  on  09/23  at  10:03 AM
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