The Dangers of Keynesian Economics.

Posted on February 1, 2010 - 1 month ago

Most people may not know but the base behind the World's current economic system was designed by a gentleman named John Maynard Keynes. Forgetting the fact I consider this man an enemy to the people let's get to the facts. The base of Keynesian Economics is "monetary policy actions by the central bank and fiscal policy actions by the government to stabilize output over the business cycle." [via Wikipedia]. Let's take a look at that for a minute, we see terms like "central bank" and "government to stabilize", all terms that remove power from the citizens and place it ever so easily in the hands of the government. John Keynes believed that all money should be controlled by one central money house or bank, and that the central bank, with government regulation has a say as to what money means, and what money is worth. In one fail swoop he has removed vital market forces and prevented the free market from working. So why is this bad?

Under a Keynesian Economy government has the power to decide value and print money. The natural forces of the free market cannot operate because they are being blocked, chained up if you will. The government and it's central bank decide what a dollar is, what a penny is, and how much they are "worth". Ignoring market forces like supply and demand and commodity based currency they now have a monopoly over money. We are trained from day one to believe that $0.25 is a shiny circle object called a "quarter" and that entitles you to 25 individual reddish brown circles called "pennies". We are trained to believe the value of a quarter is twenty five cents. This could not be further from the truth. Think for a moment, what are you holding in your hand? You are holding a metal, and metal is a commodity. A commodity is valued for whatever reason and therefore has a price. The price of a specific metal depends on the demand and availability. So while most of us might be trained to look at a quarter and say "oh look, twenty five cents!" I look at a quarter and say "oh look, I wonder if its a 1932-1964 quarter?" Again, so what?

The final "so what" and the crux of my argument is this. From 1932-1964 the central bank and the US Mint made quarters out of silver (as they should!). They pressed the coins and stamped $0.25 on them. So the invented and government controlled Keynesian value will lead you to believe that this quarter no matter what the market says, is worth $0.25 cents. However the truth of the matter is silver is worth something. It is a commodity! The true value of a quarter from 1932-64 is in fact $2.93! Why? Because you have $2.93 worth of silver in your hands if you melt it down. So because of central planning and government controlling money through the central bank you can't even get a stick of gum for a quarter in a Keynesian system! However the truth to the matter is you can actually afford gum and a soda! Are we beginning to see the problem with our global economic system? To prevent people from obtaining real worth the government has phased out silver and gold from our currency and in its place we have zinc, copper, and nickel. Very abundant metals that have little value. Taking this into consideration, the average quarter you have in your pants pocket is actually worth about $0.04 cents! That's right, you have something marked "25 cents" and its true value is a little over .4 cents. How can this be legal? Isn't that fraud? These are the evils of inflation and non commodity based currency. Beyond that aren't we now destroying the value of something we are paying for? I think so!

And lest we forget paper? What is a dollar really worth? After all its really just a rectangular piece of paper made up of cotton and linen. So what is that much cotton and linen worth? The average citizen believes it to be 100 pennies for $1 dollar. I'll tell you the truth though.. it's 6 cents. That's right 6 cents, that much paper is valued at just 6 cents! Makes you think right? And these same papers have values like $20, $50, and $100 on them. The SAME piece of paper valued at just $0.06! Yet because of Keynesianism we don't deal in real values dictated by the market, we deal in fantasy. Artificial interest rates and the uncontrolled printing of money plagues us everyday. This is beginning to sound like a form of counterfeiting. As a matter of fact that is exactly what it is.

Until we bring back a commodity based currency and eliminate things like hyper-inflation, made up values, and prices we are doomed to watch our country and economy destroy itself. We will continue this boom and bust business cycle and only watch as prices skyrocket. The more you have of something the less valuable it is by nature. Ask eastern European countries of the 1920's and 30's. Ask Zimbabwe! All of these countries printed money out of control with no backing or value and soon all it was good for was kindling to sustain fires to keep warm. You must have a check on the value of money and that check must be a commodity valued by the people. Gold, silver, copper, iron, whatever the case it must equal the amount of cash in circulation. It is because of the instability and uncertainty that we see gold and silver prices shooting to the moon and it is my prediction that they will rise even higher. These metals have value, fiat money printed at an uncontrolled rate and given value by central planners cannot hold these same values by nature.

And this is just ANOTHER reason to end the Federal Reserve.

Getting "Fed" Up With Fedor? Signing with UFC?

Posted on July 29, 2009 -7 months ago

In the world of MMA the name Fedor Emilianenko needs no introduction. The man is and has been the top ranked heavyweight fighter throughout the world. His dominance extends through atleast three companies and his undefeated streak leaves every challenger wondering if they will be able to stand a chance. So why then do people question Fedor's dominance? Why is it that a man who has gone undefeated for his last 26 fights is being doubted. The reason, Fedor has not stepped up to the plate and entered the #1 MMA organization in the world, The Ultimate Fighting Championship.

Fedor and the UFC has a checkered past. Nearly every meeting has ended in no deal being agreed upon, and relationships more strained. Just when there seems to be light at the end of the tunnel some new rogue element enters the picture and the deal is subsequently blown. If it's not Fedor's manager then it is M1 Global (the current organization Fedor is signed to) and if it's not M1 then it seems to be something awkward like agreement to appear for interviews and promotional work. The biggest hurdle seems to be M1. A self proclaimed world wide promotion company that feels it has the right to demand co-promotion with the UFC for an exclusive Fedor fight. So UFC does all of this work for the last decade or more to establish itself as the premier fighting organization, and M1 shows up and thinks it should be allowed to ride UFC's coat tails because they have an exclusive contract with one fighter? Where is that proper? So then, what does this have anything to do with a man who has not lost a fight in over 8 years? Everything. The best fighter in the world should know enough to know he should be fighting for the best company in the business.

Fedor is and has been ranked the number 1 heavyweight fighter in the world. His dominance in Pride is unquestioned but since Pride's purchase by UFC parent company Zuffa, Fedor has really not had a challenging fight. Not to say the fights are easy, however they are not world class. His track record since Pride's purchase include a few UFC rejects, some gimmick matches against giants, and his most difficult challenges stemming from ex UFC champions way past their prime. Fedor simply has not fought a man of his caliber since 2005. Critics and fans have a right to question if this man is THE best fighter in the world if he does not fight the best challengers to his crown.

I am one of Fedor's biggest fans. I will defend him until the bitter end. However, if Fedor does not step up to the plate and fight world class athletes, his claims to be the best in the world do not hold water. Fighters like Randy Couture and Brock Lesnar are foaming at the mouth to get a piece of the world's best. To protect his legacy and his credibility he must bend for contractual purposes and enter the octagon. If Fedor does not answer all challengers he simply cannot retain the title of #1. Love him or hate him a fighter like Brock Lesnar who will only get better from this point on will in fact give Fedor a run for his money. Time will only tell if Fedor puts aside these minuscule details and answers the cries of his fans and silences his critics once and for all. I believe he will, I believe he is the greatest fighter of all time. But I also believe he is surrounded by a team with too much to say. The only one who seems to want to push Fedor to enter the UFC ring is his brother Aleks. Perhaps he should listen. The Last Emperor has an obligation to defend his throne.

Small Update: Here is a list of things the UFC offered Fedor in their latest contract. Fedor will NEVER see 5 million a fight with any other organization.

• The UFC offered Fedor a 6 fight, 30 million dollar contract. That's 5 mil a fight
• The UFC offered Fedor an immediate title shot
• Lesnar/Fedor would be the biggest PPV in MMA history, the UFC offered M-1 Global a cut of the PPV on top of Fedor's purse.
• Fedor was free to wear as many M-1 logoed items as he wished.
• The UFC also relented on allowing Fedor to compete in combat sambo.

Apparently, for good or bad, M-1 refuses to sign a deal unless the UFC agrees to co-promote.

The only problem with The Twilight Zone. A quick fan perspective.

Posted on July 5, 2009 -8 months ago

During the fourth of July it is a tradition to catch as much Twilight Zone as possible. I love all of the episodes, cheesy or not. However if there is one thing I can't stand it's the episodes shot on video tape. For example episode "Twenty Two"

 I guess as an experiment to try and save money CBS decided to shoot 6 episodes on VHS. The problem with this is when the episodes air they are without depth. The show looks bland and has the same feel as a crappy soap opera. Film even then had its deep definition.

 I included some screen caps but I doubt you can tell when it's captured as an image. In any event atleast I got to type a long post with an iPhone. This was more of a test than anything but please feel free to share in my fanboy-ness and comment with your favorite Twlight Zone episode.