In 1977 the Eagles spoke to us about “Hotel California.” Lyrics
are here.
A few lines from the song …
“On a dark desert highway, cool wind in my hair…
Up ahead in the distance I saw a shimmering light…
Then I was thinking to myself this could be Heaven or this could be
Hell
Welcome to the Hotel California
Some dance to remember, some dance to forget
They’re living it up at the Hotel California
We are all just prisoners here of our own device
Relax, said the night man, We are programmed to receive,
You can check out any time you like but you can never leave.”
The lines have been rewritten to fit the Federal Reserve – the
hypothetical “Hotel Marriner Eccles:”
“On a dark digital highway, QE rewarding my pals
Up ahead in the distance I saw a burning pyre of debt
I was thinking to myself this should be Heaven but it’s Hell
Welcome to the Hotel Marriner Eccles
Some pontificate to remember, some lie to forget
They’re living it up at the Hotel Marriner Eccles
We are all just prisoners here of our own device
Relax, said the chairman. We are programmed to deceive
You can check out any time you like but you can never leave”
Thanks to the efforts of the Federal Reserve:
- US national debt in 1913 was $3 billion. Today it
exceeds $20,000 billion. There is no plan to reduce or eliminate debt.
- Money supply has grown similarly. Debt has grown far
more rapidly than the economy which must support the debt. This model is
not viable in the long-term.
- The debt will never be paid in today’s dollars, and debt
cannot increase forever.
- Hence the debt will default via outright repudiation or
default via inflation. Both will be painful.
- Who in their right mind believes that an economy can
solve an excess debt problem with more debt? The “powers-that-be” don’t
want the excess debt problem solved – THEY WANT MORE DEBT!
Like the Hotel California, the debt based currency system lives
on, and we can never (without a traumatic reset) leave it.
Dishonest money created by politicians and bankers is profitable for the
financial elite. It may look like heaven but it is HELL for
the poor and middle class. The elite want the economic skim to
continue. The rest of us must protect ourselves. Gold and silver come to
mind.
The econometric models that supposedly guide the Fed are reminiscent of
that edited line: “Relax, said the chairman. We are programmed to
deceive. You can check out any time you like but you can never leave.”
In the financial world, where actions eventually have consequences, debt
is growing explosively, fiat currencies are continually devalued and
currencies are issued by insolvent central banks and insolvent governments.
There will be a reckoning. The reckoning will be less traumatic if
we are prepared:
- Understand the consequences of decades of bad
monetary and fiscal policies.
- Trust hard assets instead of promises.
- Have gold and silver safely stored in a vault.
“We are all prisoners of our own devices.”
