If you’re like most people in the United States, you’re working 60 or more hours a week and taking home less spending power. In addition to the past decade of wage stagnation, prices of goods and services necessary to sustain life have continued rising. Although the inflation rate is under 2%, consumers’ ability to purchase has decreased over time specifically because of what is now called “quantative easing”. That’s where the Federal Reserve prints money and lends it to banks for them to decide whether or not to lend it to business and individuals. This injection of money into the system is intended to stimulate the economy to return to prosperity. When the money is used for long term investment, reinvigorating enthusiasm and hope, this process can indeed be like a shot of adrenalin to a shock victim.
The reason we can print unlimited supply of dollars is because we no longer use gold or other uniform standard by which to establish value. It’s like pledging a drawing of your home as collateral for the loan. The drawing, while looking good on paper, is worth what the holder thinks its worth. If you happen to be a famous artist, you can command big bucks for throwing paint on a canvass. But if you are like most of us, no matter how talented you are, after two weeks on the fridge, the drawing of your house is fit for the recycle bin. This is called the fiat money system.
Gen-Ray Records just released a music video to explain and entertain. Watch "Fiat Greed" HERE.
The reason we can print unlimited supply of dollars is because we no longer use gold or other uniform standard by which to establish value. It’s like pledging a drawing of your home as collateral for the loan. The drawing, while looking good on paper, is worth what the holder thinks its worth. If you happen to be a famous artist, you can command big bucks for throwing paint on a canvass. But if you are like most of us, no matter how talented you are, after two weeks on the fridge, the drawing of your house is fit for the recycle bin. This is called the fiat money system.
Gen-Ray Records just released a music video to explain and entertain. Watch "Fiat Greed" HERE.