CCT

Confessions and Confusions of Treasury,

The March Hare Rules.

Natural-law copyright by Anthony Hargis

(Copyright notice: to lawfully reproduce all or part of this article, the following attribution must be included: “Natural-law copyright by Anthony Hargis, redressone.wordpress.com)

Alice in W

The federal government publishes ‘Financial Reports of the United States Government’ (frusg, or Report, hereafter) on an annual basis, as of September 30 of each year.  The latest available is the one for 2013.  It, like several before it, declares that “current government policies are unsustainable”.  It arrives at this conclusion with language and concepts designed to mislead any reader, from the casual reader to, it seems, the most experienced financial analysts.

There is much confusion to unravel: ‘What is a “present value” dollar… a “primary deficit (surplus, gap)”?  The frusg makes use of the Gross Domestic Product (GDP).  It supposedly measures gross production of the nation for a year; and is comprised of ten components.  At least two of those components represent a decrease of production, and are added to the level of production.  Government accountants make financial projections over the next 75 years; ‘Are they realistic… or pure nonsense?

As we make sense of the Report, we come up against the question, ‘Are all these confusions part of some kind of training exercise for a planned major shock to the financial system… on a global scale?’

Let us begin with a balance sheet published in the 2013 Report at page 17 (PDF):

CCT Table1Table 1 (Chart 1 in the Report): Balance Sheet, as published

(The following discussion will repeatedly refer to this balance sheet.  I suggest that you copy it, paste it to a new Word document, print it, and keep it by your side as you read the following. You can copy it by depressing the left button on your mouse and dragging it across the table; this will “select” the table; copy it (“control + C”); then paste it to a Word document.  Repeat for other tables.)

There are three things to notice about this “balance sheet”: 1) there are two currency units used in the amount column (“present value” dollars and “commonly used” dollars); 2) certain obligations of the government (social security et cetera) “are not considered liabilities on the balance sheet.” and 3) this “balance sheet” refers to the Gross Domestic Product – components of which are not what are commonly understood.

What’s more each of these three confusions has one or more sub-confusions attached to it: it will be an interesting examination.

This “balance sheet”, in other words, is practically a meaningless production – and hardly presents an accurate picture of the financial condition of the federal government.  So, we will try to unravel a few of these confusions one at a time.

One: we learn from footnote 4 (Line 15) that several lines are rendered in “present value” dollars; this, on page 14 of the Financial Report.

What are such “dollars”… and how are they derived? The government is kind enough to provide an answer (on page 53, fn2):

Present values recognize that a dollar paid or collected in the future is worth less than a dollar today, because a dollar today could be invested and earn interest.  To calculate a present value, future amounts are thus reduced using an assumed interest rate, and those reduced amounts are summed.  [Bold added.]

One of the confusions pertains to the use of “present value” dollars for projected liabilities (to be “paid”) and for projected revenue (to be “collected”). I can understand the concept of investing cash now (at interest) so it can be used later to pay a liability. But, how, and why, does one invest cash now so it can earn interest – and be discounted by interest – to derive a desired number in the future? What am I missing here?

More, by the word “reduced”, we understand that “present value” dollars are always less than “commonly used” dollars. I can understand why someone would want to deceive others by minimizing (that is, to “reduce”) future liabilities… but, what’s to be gained by minimizing future revenue?

Questions, questions, questions; and those relating to the “paid or collected” attributes of “present value” are probably irrelevant… apart from demonstrating their nonsense.

So, let us walk thru a derivation of a “present value” liability.  For example, suppose I had a liability of one thousand “commonly used” (cu) dollars one year from now.  How many such dollars would I have to invest at 5% to equal my liability in one year?  The equation is thus:

X pv dollars = 1,000 “cu” dollars divided by 1.05, or

X pv $ = 1,000 cu $/(1.05), or

X pv $ = 952.4

Thus, my liability of 1,000 of cu dollars converts to 952.4 pv dollars, assuming an interest rate of 5%.

If I had another identical liability two years out, the equation would look like this:

X pv $ = 1,000 cu $/1.052 (the 1.05 would be squared) or

 X pv $ = 907

By compounding 5% interest, this pv $907 would equal 1,000 cu dollars in two years.

Thus my total liabilities equal 2,000 cu dollars, or 1859 (952+907) pv dollars.

If I listed my obligations in pv dollars on a loan application, I’d probably be eligible for jail; but, since the government controls all prosecutorial offices, government bureaucrats can do so all they want with complete impunity… legal impunity, that is; facts of reality will eventually assert themselves.

Please notice: when measuring future money events with pv dollars, the pv amount is always less than the cu amount; and the conversion factor is derived by dividing the ‘commonly-used’ total by the ‘present-value’ total.

So, what is the conversion factor for PV dollars for purposes of the government’s balance sheet? Using their assumptions and formula, I derived a conversion factor of 1 to 8: one PV dollar = 8 cu dollars for “Sustainability Measures” and “Non-Interest Spending” (both calculated over a 75-year period).

The conversion factor for “Benefits for federal employees” is somewhat ambiguous. Assumptions here include 1) inflation, 2) annual pay increases, 3) and interest. Their assumption for annual pay increases was 3.25%; this seemed high to me so I also used 0.65%. The former yielded a conversion factor of 14.9 cu/pv; the latter, 9.0 cu/pv. We use the latter to adjust Line 10, which takes it from $6.5 trillion to $58.5 trillion.

What’s so remarkable about this number? It’s the amount of the unfunded liability for federal employees’ pension and disability checks – the amount of taxes needed to make such payments.

Currently, the federal government collects, with difficulty, some $2.5 trillion each year; the American economy won’t tolerate any additional taxes.  Should we say that an additional $58.5 trillion of taxes is uncollectible?  Remember this; we will come back for a visit later (in part 2).

This is one of many reasons why privately-employed persons can qualify for retirement checks of $1,500 per month while federal employees qualify at $4,500 to $5,500 per month – each with identical earnings histories (see my article, Is Social Security Shortchanging American Taxpayers?

This is one of many reasons why privately-employed persons can qualify for retirement checks of $1,500 per month while federal employees qualify at $4,500 to $5,500 per month – each with identical earnings histories.

By including these 2 units of currency in their “balance sheet”, government bureaucrats add, for example, fathoms and feet… oranges and fence posts – and expect us to not notice this violation of basic arithmetic.  Thus, when they add one fathom and one foot, they expect the public to believe the answer is “2 feet”.

When we correct this error, we get 7 feet, or 8 dollars.

This means we have to identify Line items in the government’s “balance sheet” that are rendered in pv dollars; and then construct a “balance sheet” to reflect these corrections.

CCT T2Table 2: Balance Sheet, corrected:

 This balance sheet sort of gives us a clue as to why the fiction of pv dollars was invented: People generally recognize that an organization with negative equity is a bankrupt: the larger the negative number, the more likely people will become alarmed, and demand heads to roll.  After all, who in their right mind would trust a gaggle of bankrupts, loaded with $350 trillion in liabilities and possessing less than $3 trillion in assets, to act as guardian of their rights and property?

Furthermore, how can an entity that falsifies data so grossly be trustee with anything?

We could take the time and space to demonstrate that such assets are grossly over-booked (market value somewhere between 0.25 and 1.0 trillion)… but we really don’t have time for such trifling matters.

Two: We notice that obligations related to Social Security are “not considered liabilities” of the federal government. (frusg, page 14, fn1)

This is puzzling. If they are not liabilities, why is the government making payments under social security legislation?

More: benefits for “Federal Employees and Veterans” (public workers) (Line 10, $6.5 trillion) are substantially identical to benefits for private workers: in both cases, workers “contribute” a fraction of their pay (matched by their employer) into a trust fund; when they retire all such employees expect to be paid a monthly retirement check for the rest of their lives.  There is one notable difference:  in the case of federal workers, most of them (hired after 1984) pay close to nothing (0.8%) into this trust fund; those hired before 1984 pay 7.0%.  These amounts cover small fractions of what would be necessary to completely fund their retirement system.  In total, bureaucrats and military pay 3% of full funding; taxpayers cover the rest, 97%. See, pages 25-6.

The unfunded dollar amount of their retirement system adds to $72 trillion, which I derived from their data, assumptions and formulas (page 37, link in above paragraph): their entire amount is paid by their employer (that is, tax payers).

One way or the other, the private worker gets shafted in many different directions: he pays for his own retirement funds and, thru taxes, he also pays for public workers’ monthly checks: both before and after their retirement. And then, with identical earnings histories, the privately-employed taxpayer qualifies for retirement checks of $1,500 per month; while the federal employee qualifies for $4,500 to $5,500 per month.

More, the privately-employed person must work until he reaches the age of 65; in the other, the public worker can retire after 5 years; after 20 years he can retire with monthly checks equal to 80%-100% of his last active pay check. For grunt bureaucrats, retirement checks can range from $4,000 to $6,000 a month; heads of departments (and judges) can draw $15,000 to $20,000 each month. All these facts apply to federal and state governments (cities and counties, special districts and states).

For one, the worker must work until he reaches the age of 65; in the other, the public worker can retire after 5 years; after 20 years he can retire with monthly checks equal to 80%-100% of his last active pay check.  For grunt bureaucrats, retirement checks can range from $4,000 to $6,000 a month; heads of departments (and judges) can draw $15,000 to $20,000 each month.  All these facts apply to federal and state governments (cities and counties, special districts and states).

One is considered a contractual obligation; the other, a mere “Social Responsibility”; which seems to be contrary to federal legislation that established Social Security; namely, the Federal Insurance Contributions Act (commonly referred to as FICA).  By using the word “Insurance”, the government conveys the idea that a particular kind of contract is involved; by using the word “Contributions”, the government conveys the idea that “voluntary” payments are involved; both convince taxpayers that they will receive retirement checks when they retire… at least until the government can plausibly decease private workers (thru continual doses of poisons known as prescription drugs, see, Turn Back the Clock) as quickly as possible after their retirement; or, more likely, to prevent an ugly slave uprising.

Three: Gross Domestic Product (GDP).  The last item on the “balance sheet” is listed as “non-interest net expenditures” (4 trillion pv dollars) as of the year 2088; that is, total government spending (in pv dollars) minus total tax collections (in pv dollars) from 2014 to 2088.

The government explains that this “budget gap” can be presented in terms of pv dollars or as a “budget gap” to GDP ratio.

Accordingly, the Report helps us with another chart that includes appropriate GDP ratios:

Sustainability Measures” (Line 25) (Net Expenditures for Social Security et cetera) over the next 75 years represent 4% of projected GDP for the year 2088;

Non-Interest Expenditures” (Line 26) over the next 75 years represent 0.4% of projected GDP for the year 2088.

There are lots of confusions here; and I’ll focus mainly on two of them (they should make others quite irrelevant).

First, what is the value of GDP used to derive these percentages? This question is generated by a fact listed on page 17 of the frusg. We find the answer in a footnote on page 164, rendered in five-point font:

“The 75-year present value of nominal GDP, which drives the calculations above is $1091.8 trillion starting in FY 2014…”

The first thing to notice about this quotation is the phrase, “present value of nominal GDP”. Earlier, we noticed that “present value” calculations were used for payments or receivables. The GDP is neither; it is an index, almost. Further, the word “nominal” is not defined in the frusg. For this we have to consult an ordinary dictionary:

(of money, income, or the like) measured in an amount rather than in real value. Nominal wages have risen 50%, but real are down because of inflation. Random House Dictionary, 2nd Ed., Unabridged.

[E]xisting in name only, not real or actual; virtually nothing; much below the actual value of a thing. Oxford Desk Dictionary, 2nd American Edition.

After we finish with this section, we will find the phrase in question as “existing in name (on paper) only”.

Let us pause for a few minutes to demonstrate why the formula given for reducing commonly-used (cu) dollars to present-value (pv) dollars does not work with the GDP.

First, cu dollars are reduced by an assumed interest rate, then such reduced numbers are summed; that is, added together.  Suppose the starting GDP is $15 trillion.  Its “present value” for the following year is $15/1.05, or 14.3; for the next year, the pv is 14.3/1.05, or 13.6.

Our next step is to sum these two results: 14.3 + 13.6 = 27.9.

Imagine that, by using formulas concocted by government bureaucrats we increase the GDP from $15 trillion one year to $27.9 trillion the next.

Why didn’t someone think of this sooner?  With an 80% increase of production in one year, we could feed the world, reduce poverty, and give every family on the globe a one-month ocean cruise.  Somebody should be horse-whipped for not thinking of this sooner.

Okay, back to reality: these government bureaucrats use two currency units to measure the GDP: the 2009 dollar and the current-year dollar. The former is supposedly used to track the GDP in real terms while the latter is probably used to pacify, or confuse, the public. My source for this and following data is an Excel spreadsheet published by the Bureau of Economic Analysis; and can be found with the web search, “bureau of economic analysis gdp chained 2009 dollars”; you may want to make a copy of it before it disappears.

There is an odd thing about the use of these “chained dollars”: in earlier years, they used 1999 dollars, then 2005 dollars, to track the GDP in “real” terms.  Every time they change the chain year, they adjust all figures for the GDP from 1929 onward.

Usually, the procedure for establishing a “real” measuring unit is to designate a fixed unit of measure and never change it.  If it is ever changed, all measurements based on it have to be changed; which usually leads to confusion, which defeats a major purpose of a fixed unit of measure: the avoidance of confusion.

After all, who would even think of changing the definition of a meter, a foot, an hour… er, apart from government bureaucrats, I mean?

For the year 2013, the government reported the GDP as $15.71 trillion (2009 dollars) and as $16.77 trillion (commonly used dollars).

The frusg includes a list of assumptions used to produce its projections; this list includes 1) assumed rates of increase for the “real” GDP (ranging between 2% and 2.3%), and 2) assumed rates of increase for Consumer Price Increases (CPI); 1.8% until 2020 and 2.8% thereafter.

By using these amounts and assumptions, I get a 2088-GDP of

$78 trillion for the “real” GDP (using 2009 dollars);

$125 trillion using CPI-adjusted dollars (that is, cu dollars) and

$212 trillion using assumed CPI’s plus 0.7 percentage point (to approximate an average of three different price indexes (CPI, Producer and International) used within the GDP).

Something seems to scream for attention here… let’s see… what could it… oh yes, numbers that I derived do not come close to the number ($1,091 trillion) used by the government.

Why would they use such a fantastic number?

There is another item we have to address.  The GDP purports to measure the productivity of the American economy.  It is composed of several components; all of which are represented as a measure of various kinds of productivity; but, in fact, they represent actions that subtract from productivity.  They are 1) investment, plant and software; and 2) government expenditures.

For example, in the case of “investment”, whether for business or residential, the money borrowed for such undertakings has been withdrawn from the market place, and is no longer available for use by anyone else.

The resources (labor and raw materials) consumed by the “investment” have been withdrawn from the market place, and are no longer available for use by anyone else.

In each case, the money or resources are treated as an expenditure and booked as an asset (receivable or structure et cetera) with the understanding that it will be collected or expensed over a period of 5-30 years. If the investor is successful, he will realize profits and pay interest in each of those following years: It is then that the investment will add production to the overall economy.

If the investor fails, thru accident or ineptitude, all money and resources involved will be lost forever.  The booking of the asset will then have to be reversed as a very big expense, or loss of capital.

Let us look at this from another perspective. The procedure regarding an investment or receivable is little more than a bookkeeping device to delay an expense (that is, a charge against revenue). Suppose that we have an “investment” of $100 million and that it is made by a corporation. Instead of charging it immediately against profit, we book it as an investment with a plan to gradually charge it against revenue that it might generate over the next 20 years.

If it should fail, we charge the full amount against revenue.  This would immediately reduce profit (of the investor or insurance company) by $80 million (assuming a tax rate of 20%).  The other $20 million would reduce government spending, increase government debt or any combination of the two.  Corporate profits (less taxes) and government spending are both components of the GDP.

Hence, the full amount would REDUCE GDP; hence, the initial “investment” is, in fact, a delayed REDUCTION of GDP until someone gradually converts the “investment” into revenue and profit.

In the case of government debt, it would REDUCE GDP in following years because such debt necessitates the imposition of taxes sometime in the future to redeem the debt; it is a means by which a generation of tax consumers financially cannibalizes following generations of tax payers.

In the case of government spending, a very large percentage of such represents labor and resources withdrawn from the market place never to be seen again.  We can use the Silver Dome in Pontiac, Michigan as an example: it was eventually sold for $585,000; it was constructed at a cost of $55,000,000 (probably the winning bid price) or $220,000,000 (probably includes over-runs), depending on the source.

The Bureau of Economic Analysis estimates that “Investment, plant and software” averages about 17% of GDP; government expenditures, 19%.  (See Journal of Economic Perspectives Volume 22, No. 2 – Spring 2008 – pages 193-216, 197; Taking the Pulse of the Economy: Measuring GDP’ BEA Publication.

Of course, the notion of measuring the “gross production” of the American economy is little more than a fool’s errand: for one, it is impossible for anyone to collect the necessary data in time for it to be useful: even if software was infallible, it might take fifteen years to collect such data; which would make it useless, except for historians – and then, who would pay them for their troubles? Another reason is that measuring “gross production” is equivalent to measuring the health of a company according to its gross revenue, to the exclusion of expenses and liabilities. Did I say fool’s errand?

For example, ‘Where did the revenue come from?’ Did it come from sales, or by issuing debt instruments. If by the latter, rational men would subtract the debt amount from production/revenue. If by the former, we would subtract expenses from sales and, if the net is positive, that would represent new production; if negative, a consumption of production.

This is what some company accountants do; those who follow the government’s example are subject to jail time… should be subject… that is.

If we applied these rational principles to an examination of the federal financial condition, we would find that the government possesses real assets (buildings, plant and commodities) with a real value of $0.5 to $1.0 trillion and liabilities in excess of $350 trillion.

That gives us an unprecedented bankrupt. This $350 trillion is an amount that the government supposedly owes lenders, suppliers or beneficiaries; and I suspect that most of them are absolutely certain they honestly stole such amounts… and that taxpayers are morally bound to pay full amounts of their “investments”.

The fact that a large fraction of such claims are impossible to collect – both practically and constitutionally – is of no concern to those “creditors” of the government. As far as they are concerned, if destruction of Western civilization is necessary to collect what they honestly stole, it will be done.

For those liabilities that may be constitutional, to collect them will require a duplication of what American Founders did.

The GDP, thus, is little more than a jumble of ingredients (various kinds of spending) thrown together to represent wishful thinking, of criminal and useless classes, and to depict such wishful thinking as positive contributions to the nation’s economy.

Again, ‘Why do they project a fantastic GDP for 2088, in amount and components?’

Ratios.

They are trying to minimize the appearance of projected deficits… of impossible levels of “sustainability”.  A table should help to see what they are doing.

SusMeasTable 3. Sustainability Measures as % of GDP.

In this table, Line 1 represents “Social Insurance Net Expenditures” (in 39.7 trillion pv dollars) as percentages of various GDP’s;

Line 2 represents “Non-Interest Net Expenditures” (in 4.0 trillion pv dollars) as percentages of various GDP’s.

Remember, these percentages are based on projections rendered in “present value” dollars.

The Report explains that, to eliminate the accumulated primary deficit of 4 trillion pv dollars, it must be “accomplished by invoking some combination of spending reductions and revenue increases that amount to 1.7 percent of GDP in every year over the 75-year projection period.” (frusg, 31)  That’s the amount if begun in 2014; it goes to 2.1% if begun in 2024; 2.6%, for 2036.

The 1.7 percentage is based on pv dollars; the GDP is not; so here we go adding apples and fence posts, again.

To get relatively non-corrupted ratios, we must multiply the pv dollars by 8 to get “commonly used” dollars.

The “1.7%” converts to 13.6%; the “0.4%”, to 3.2%; and so on.

Furthermore, we discuss ratios of GDP.  When increasing tax rates, we add the current ratio of taxation and the needed ratio of new taxes.  We do not multiply one by the other.

Thus, since current tax collections represent something like 17% of GDP, the amount needed to eliminate projected deficits would represent 13.6% of GDP. Add them together and we get new tax rates equal to 30.6% of GDP. This would only balance receipts with non-interest expenditures each year; it would do nothing about reducing outstanding government debt. What’s more, it allows no interest whatsoever to be paid on such debt; remember, we are dealing with “non-interest net expenditures”.

The government has historically tracked these ratios relentlessly; and has determined that a tax load of 17% is the limit of taxes possible without provoking a slave uprising.

Let’s look at another perspective.  All these deficit projections do not include payments for interest that would have to be paid on “debt held by the public” that is projected to increase from 72% of GDP for 2014 to 277% of GDP for 2088. (frusg 12)

Chart showing GDP ratios:

Chart F

Chart F (frusg, 30): “Chart F shows receipts, non-interest spending, and the difference – the primary deficit – expressed as a share of GDP (primary deficit-to-GDP ratio).”

Using the government’s projected GDP of $1,091 trillion, debt held by the public (277% of such GDP) will amount to $3,022 trillion in 2088.  It is now approximately $17 trillion.

Gee, how do they expect to get there if they pay no interest for 75 years?  If it doesn’t pay interest on its debt, no one will lend money to it.  The government is now in a condition where, without borrowing, it would wither and die inside of a week, maybe a month.

And, can a real GDP of $78 trillion support a public debt of $3,022 trillion… or inflation-adjusted GDPs of $125 trillion… $212 trillion?

Primary Deficit: this is another concept that deserves comment.  This is defined as “The difference between the receipts and non-interest spending shares of GDP (the primary deficit-to GDP ratio)…” (frusg, 11, 12)  That is, a primary deficit occurs when “non-interest” spending is greater than tax collections; a primary surplus occurs when collections are greater than “non-interest” spending; a primary gap is simply the difference.

More questions: ‘Why are bureaucrats focusing on receipts and expenditures as if interest payments were throw-away items?’

I will hazard a guess later.

And here the government goes from overstatement (regarding the 2088 GDP) to understatement.  After detailing the public debt’s rise from 72% to 277%, the government bureaucrats finish the paragraph with,

The continuous rise of the debt-to-GDP ratio after 2023 indicates that current policy is unsustainable. (frusg, 12)

It is worse than “unsustainable.”  Government debt is the process by which a generation of tax consumers financially cannibalizes following generations of tax payers.  There is enough such debt now on the books to cannibalize following generations of Americans to the end of time.

”Unsustainable”? No, it is civilization-destroying.  America is already destroyed… culturally, morally, economically… it can’t be saved.  Don’t even try; there’s hardly anyone, or anything worth saving.  By my estimate, perhaps 50% of those under the age of 15 might be worth saving; 25%, between ages 15 and 25; 5%, beyond 25.  Save yourself and, if you are inclined, devote energy and resources to those in the first age group.  Regarding other age groups, give them one chance, if they show no interest, leave them to their fate.

What are they doing?  Wall Street, munitions makers and the controlled media (education, organized sports, religion) never take actions on the spur of the moment.  Depending on the enormity of their operation (World Wars, 9/11, Mumbai massacre, bailout of 2008 and 2009, looting of central bank gold  et cetera), they may take 10 years from conception to execution of their operation.  In our case, English nobility, monarchy and privilege holders (assisted by the Nation of Death, see below) began their work, to return America to Obedience, shortly before the 1783 Treaty of Peace.

Fictions, deceits and fairy tales we have unraveled in this examination lead to the question, ’What great operation are they plotting?’ Their focus on “non-interest” expenditures is a major clue, I believe. Have I been examining a training exercise for a major operation, or shock, regarding the world’s financial system? And, what major factors did they overlook?

Fictions, deceits and fairy tales we have unraveled in this examination lead to the question, ’What great operation are they plotting?’  Their focus on “non-interest” expenditures is a major clue, I believe.  Have I been examining a training exercise for a major operation, or shock, regarding the world’s financial system?  And, what major factors did they overlook?

My answer will have to wait for an addendum (actually, Part 2).

Let me provide a clue as to what I expect.

Will Durant reported, in his History of Civilization, that the ancient world reached apexes of development, in every category of man’s activities (literature and engineering, medicine (actually, a science of health) and law, astronomy and mathematics et cetera) during the first century of the Current Era (commonly, AD).  From there, man’s struggle moved in retrograde motion until about the thirteenth or fourteenth centuries.  From that turning point, it took the world another 600 years to climb back to levels of achievement not seen for 1800 years.

Most people call these lost years the Dark Age, and that they lasted a thousand years.

Influences that brought on this Dark Age did not begin during the first century CE; they began many thousands of years before that period – and reached their goal in the time span mentioned… [it was perpetrated by] a “nation of death” now known as Judeo-Bolsheviks.

Had it not been for the Dark Age, what would be man’s condition today?  We could begin this speculation by comparing man’s condition as it was in America around the year 1850 (50 CE plus 1800) with his economic and technological condition today.  We should disregard man’s ethical condition today because there is too much evidence that this “nation of death” has dominated sleaze purveyors since time out of mind; and to compare one period of time with another, regarding his ethical condition, would merely compare contents of one garbage can with another.  So, how do we measure man’s achievement over the last 150 years?  Formerly, it took 4-6 months to travel from one coast of America to the other; today, a mere four hours.  It took the same 4-6 months to send a message from coast to coast; today, less than a second.

What does this mean?  If we could have rid mankind of the “nation of death” in the year 50 CE, men would have reached our level of economic and technological development by the year 200 CE – 1800 years ago.

Where would that put us today… traveling among the stars… with colonies on several planets thru-out the galaxy?  And, without the corrupting influence of this “nation of death”, could we have rid the planet of wars, poverty, hunger, sleaze, slavery.  The head spins with possibilities; and the heart breaks for the horrors men have suffered, and will suffer, during the long and dark night of death… the one in our past… and the one not thundering on the horizon

Who can calculate the price men have paid for lack of someone who would steer them away from the rocks and to safer waters? (Complete article.)

In prior ages, this Nation of Death (NoD) was able to plunder only living creditors before conducting a mass genocide against them; maybe a generation or two beyond them.  Even with this limitation, the NoD was able to arrest man’s development 2,000 to 2,500 years.  And every nation that fell to it has never risen above the level of a mass of rotting slaves.

The invention of central banking has tremendously increased the NoD’s capacity for destruction.  Thru the monetization of debt facilitated by central banking, this Nation of Death can now cannibalize generations of creditors yet unborn – seemingly to the end of time.  The measure of this cannibalism is the amount of governmental debt.  In the case of America, there is enough such debt and “Sustainability Measures” ($350 trillion) to financially cannibalize following generations of Americans to the end of time.

In other words, America can’t be saved; we should, instead save ideals won by the American Revolution.  This can be done by as little as 1%-2% of Americans who understand, and use, the law and procedures of redress.

Otherwise, we must prepare for another Dark Age; one that will last 5,000, 10,000… who knows how many years.

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Please take notice that all Comments will be moderated. Normally, I check in with this website once every 4-5 days. Currently, however, I’m dealing with two or three major issues that may cause my response time to take up to two weeks. In the meantime, please be patient. Thanks for visiting, ALH

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Turn Back the Clock.  Have I discovered the fountain of youth?  Men frequently declare that they would like to go back in time to re-live certain events or to take back unkind words.  Well, I can’t send men back in time; so, I haven’t invented a time machine.  But I can reduce one’s biological age to the condition one should have had as a teenager…  In my case, I’ve reduced my biological age by 50 or more years.  So, how can I prove or demonstrate this claim?  My primary exercise is hitting baseballs (go to YouTube, search for “1668-85”); I’ve had many former pro and college players tell me that, if I played competitive ball at the level of a major college, I would “wreck,” or “lead,” the league with a “.700 average”; that I’m a “hitting phenomenon”, among other comments.  Those who play college ball are about 20 years of age; I’m over 70.  This is what I have done despite a current living arrangement that prevents me from complying completely with my health regimen (the YouTube video (above) will lead you to a web page that explains my regimen).  Still, I’m looking forward to another fifty years with the health and physical condition of a near-professional athlete.  Thus, I fully expect, at the age of 120, to have the same or better condition…  If it comes to pass, I’ll have another 50 years.  It raises the question, ‘Will it ever stop?’  Check back in 50 years and I’ll let you know…  Better yet, maybe you, also, would like to give it a try.  Your age makes no difference: my regimen will benefit anyone, at any age: from a year before conception to elderly.  It is especially important for the young; for, if they do not get proper nutrients at proper times, they will not develop to their full potential…  No, I can’t erase those unwanted events or unkind words; but I can give you the strength and youthful condition to play another, and better, game.

Confessions and Confusions of Treasury,

Part 2

So, how did we go from an examination of the federal government’s annual report (in Part One) to the GDP, street gangs and drug cartels, the government’s, and China’s, role in arming, protecting and forming alliances with such gangs and cartels… and a dozen or so other items?  They all point to a conclusion that a vast operation is being perpetrated…  I began this Part 2 with the question, ‘What financial shock do Judeo-Bolsheviks plan?’  Do they plan to inflate the dollar to zero… push stocks to 300 times PE, then slam them to 5%-10% of highs… repudiate the federal debt… replace Federal Reserve bank notes with US Treasury bank notes…?’…  And, how do China’s ghost cities fit into this unprecedented operation?…  I would like to think that Americans could stop this horror; but, I don’t think it’s possible.  Americans are a conquered nation; not by ordinary warfare; but, by a lethargy induced my medication, an ignorance molded by indoctrination, and a corruption brought on by a mania for dope, foul language and perverted sex.  And, when will “they” pull the trigger…?  (Please read more: Part one and Part two)

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This (above image) is located in Zhengzhou, capital of Hanan; a ghost city  within a real city; complete with a penis-like structure rising in the center of it – an object of worship in the religion of Baal, an early version of Judaism.  (Image Source: Mysteryoftheiniquity.)

Locate or Establish an Assembly: The law and procedures of assemblies are almost totally unknown to all but a few Americans. The historical definition of an assembly is, ‘a group of private men who exercise sovereignty within a particular territory.’ First-Amendment assemblies were the engine that powered the American Revolution. They are what we need to day to turn the world right side up; to make munitions-makers, Judeo-Bolsheviks and their foot soldiers accountable for the billions of lives they have destroyed or ruined. And, don’t forget, there are tens of trillions of property floating around this globe they have plundered. That is, the work of recovery this booty will be well compensated. Before we can start this work, however, such assemblies must be established; and they must be provided with resources (skills, labor and money) needed to carry out this work – my role in this project is to function as a facilitator and a consultant. By money, I mean investments measured in dollars or gold, which, constitutionally, will be exempt from taxes and regulations.

Redress for Social Security Retirees: Probably the grievance that impacts the largest number of Americans is the topic of retirement checks issued by the Social Security Administration… [For many years, the SSA collected more than it paid to retirees, and the excess was “loaned” to the US Treasury; such debt now stands at $2.7 trillion… and it will never be returned to the SSA.  How are retirees to receive what was promised to them (as well as those yet to retire – some 130 million people in all)?  It] has been a major problem for many years; and the only solutions proposed so far have been raise taxes, cut government expenses or retiree checks, pile on more government debt or any combination thereof…  No one has suggested a more logical, and just, solution: namely, the recovery of the $9-$11 Trillion that went missing from DoD, HUD, SSA and other amounts from other agencies.

Since most of my articles run 5-35 pages, I thot it would be more time efficient to have one page to summarize each article with one paragraph.  Please visit.

Summaries of articles pertaining to “Editorials”.

Summaries of articles pertaining to “Financial” Grievances.

Summaries of articles pertaining to “Totalitarian” Grievances.

Cults of Totalitarianism: A common complaint of those who seek truth is that a large fraction of people “don’t want to hear the truth”.  As a general rule, most, or all, of them will die, or kill, rather than correct their self-destructive habits or beliefs… Each person in this “large fraction” is driven to this extreme precipice by a relentless battle with a conscience riddled with guilt (for crimes committed or a life wasted). His aim is to silence his conscience; toward this end, he, or she, will seek to control/destroy any action or word that might arouse his conscience; he will even destroy his own child for such end… One of the consequences of this policy is that such people will be led by no one but those who reinforce their policy of suppression… one who will tell them every lie they want to hear… With millions of people who seek such suppression on a personal basis, there is a very secure foundation for totalitarianism… These people control instruments of power across the globe; as far as they are concerned, if destruction of civilized society is necessary to secure rule by those who are driven by guilt (that is, by cutthroats and thieves)… if extermination of productive and thrifty classes is necessary, it shall be done… This article (Cults…) explains the psychological dynamics that drive men to self-destruction and points the way to a code of behavior proper for man’s nature.

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2 Responses to CCT

  1. Dwain Dibley says:

    Perhaps this will help:
    http://carl-random-thoughts.blogspot.com/
    It explains the difference between ‘money’ and ‘credit’.

    • When the ocean liner is sinking, it is not the time to dwell on proper placement of deck chairs.
      It is more relevant to discover what is happening and how to properly respond to it.
      Here, “what” is the imminent destruction of the American (and world) economy; “how” is by historically-proven methods of redress.

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