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March 21, 2018 - Health Ranger - Mike Adams
12:21
The entire global money system is based on FAITH, not fundamentals
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Hello and welcome to this special counter-think episode of the Health Ranger Report.
I love the phrase counter-think and this segment in particular is going to challenge the way you think about things, challenge your beliefs, and hopefully get you to think in new ways about important subjects.
So let's start with The fact that the money system of our world is based not on economics but on faith.
And I mean in particular fiat currency systems.
So when we're looking at the US dollar, most sort of mainstream economists tend to talk about the dollar's strength or weakness in terms of economics.
Supply of the money supply, demand on the money supply, transactional velocity of money, and so on and so forth.
Quantitative easing, adding to the money supply.
That's all fine.
And there's nothing false in what they're saying, but...
The real thing that's propping up the fiat currency system today is not economics, but faith.
Faith, this is crucial to understand.
This is why the government has to engage in so much propaganda about the stock market and the money supply and the Federal Reserve and everything, and telling you your pension funds are going to be safe when, of course, they aren't.
Telling you the stock market's going to stay up perpetually when of course it isn't.
Why do they say these things?
The answer is because they have to prop up the faith.
You see, the faith is the only thing now that's keeping the market up It is faith that adds the perception of value to a market that has lost all of its true economic fundamentals.
You see, the fundamentals have vanished, and they really began to vanish in 2008.
In the too-big-to-fail bailouts of the big banksters when the fundamentals should have seen these companies crashing and going bankrupt.
But instead, no, instead, we, the United States government, decided to bail out these banksters with a newly created fiat currency.
Keep them on life support to prevent the collapse, which would have been a cascading collapse, and then start basing the entire system on faith, which means propaganda, of course.
The government has to push the propaganda so that people believe, so that people have an almost religious-like faith in the dollar.
Well, what is the dollar?
The dollar is nothing but a belief.
Whereas gold is real.
Gold is...
If you have a gold coin or a silver coin, that's real.
You can put it in your pocket.
You can barter it.
You can trade it.
You can melt it down and use it in an industrial process if you want.
It has a million different uses in our world.
Gold and silver, both.
They all have all kinds of uses.
You can use gold in dentistry, for example.
It's great for dentistry.
But paper money...
If the faith is gone, the paper money really isn't very useful.
You could use it as expedient toilet paper, perhaps, or light it on fire to heat your home, perhaps, use it at the fireplace.
Maybe there are things that you can do with paper money that might be useful, but paper money is not worth any more than the value of the paper.
In other words, If the green ink with the numbers on it didn't exist on the paper, the paper would still be worth the same amount.
I'm talking about in a post-currency collapse situation.
So the paper itself is the only value, not the numbers printed on the paper.
The numbers printed on the paper is what the government wants you to believe are real.
And that's why you have this belief that A $10 bill is only worth one-tenth of a $100 bill because they've printed more numbers on the $100 bill.
And you look at that and go, woo, more numbers, more zeros, in fact.
This is worth ten times as much.
And what makes it worth ten times as much is your shared delusion.
The fact that other people in society share your same delusion...
In other words, your faith in the money, that's what makes it worth something.
The fact that they are willing to accept it in trade for something in exchange, in a purchase.
For example, you could trade one $100 bill for two $50 bills.
Why?
Because other people share your delusion with That those pieces of paper have different values because of the numbers printed on them by a government that keeps printing more and more money, thereby debasing the money that already exists in circulation.
So, once you understand this idea that psychology is what's driving the...
The survival is probably the best way to say it.
The survival of the money supply.
Then you understand that the crash of the dollar is not going to happen as a monetary event or an economic event.
It's going to happen as a psychological event.
This is what I really wanted to get to here.
It took me five minutes to get to this point.
A lot of people are predicting market crashes, the collapse of the dollar, and I'm one of them.
I've talked about the coming market crash and the global debt collapse, actually, to be more precise.
And it is coming.
But as all these people talk about this, they tend to argue in terms of fundamentals.
They say, well, the...
The housing industry is collapsing.
The bond market is an overvalued bubble.
The commodities exchanges are this and that.
You know, we've broken through the support level of this.
We're in the third cycle of the whatever curve.
You know, they talk about fundamentals.
But I believe the real turning point is going to be a psychological turning point.
When will the dollar crash?
When people lose faith in it.
And it can happen overnight.
Just one event can cause that.
It can trigger that cascade of a loss of faith.
And then the fundamentals will follow the psychology.
You see, the fundamentals will then start to unravel very quickly.
In other words, the Dolly will collapse after the faith collapses.
Not necessarily the other way around.
So...
This is why, again, the government and the mainstream media, especially the financial media, are focused more on propping up the psychology rather than propping up the actual economic fundamentals.
Finding work and reducing the unemployment rate of Americans.
What they're really concerned about is reducing the perception of unemployment.
This is why they fudge the numbers.
And this is why they say, even though 94 millions, I believe, are currently not in the workforce, which means they have no job, the government says we are at, quote, full employment, which is totally absurd until you understand that they're focused on the faith.
They're trying to prop up the faith.
Once the faith is lost, the system collapses.
And that is what sets this apart from every system that you were probably taught if you took economics 101 in a college class somewhere.
And you were taught probably Keynesian economics, classic supply and demand curves, import-export, price-subsidy curves, whatever.
We were all taught the same stuff.
That stuff only works in a rational market.
So in other words, at this point, it is obsolete, or I shouldn't say it's obsolete.
It is irrelevant to the dynamic of what's happening today.
We are so far past those fundamentals, in other words, that we are in la-la land, like delusional economic land, where the delusions are now setting the rules of cause and effect in monetary policy.
This is why we have a Federal Reserve that has 0% interest rates for a very long period of time and is actually considering negative interest rates.
This is La La Land.
Fairytale Twilight Zone.
It doesn't make any economic sense.
It only makes sense when you understand that the system is driven by faith, which is perception and propaganda.
Now, this also explains why it's so difficult to predict when a market crash is going to occur.
And this is why many of us, including myself, we exercise caution when we're making such predictions.
We can say things, you'll often hear us say, well, we know the market's going to come down, we just don't know when.
You ever wonder why that is?
It's because the fundamentals should have crashed the market a long time ago.
And Gerald Salenti talks about this a lot.
He says, you know, it should have crashed in 2008, but they kicked the can down the road, he says, and they're delaying the crash, which means they're delaying the inevitable, but they're propping it up like, what's that movie, Weekend with Bernie's?
You know, they had to prop up the dead guy, make him look like he was still alive.
That's what they're doing with the global debt system.
But because the crash will happen based on a psychological shift and not a fundamental economic shift, you can't predict when it's going to happen.
The reason you can't predict it is because you can't accurately predict human psychology.
Human psychology has a massive fudge factor.
Human psychology is very difficult for anyone to predict.
Human psychology will blow away the algorithms of the economists, especially if they were trained on classic Keynesian economics.
The computer models just don't work.
The predictions just don't pan out because psychology is unpredictable.
And so in the same way that we now see viral memes spreading like wildfire across social media, like viral memes, and often they're completely fake too, like this story of this little girl running up to the Pope and handing him a note that says, you know, free all the illegal immigrants or whatever, and those memes spread across social media, but it was all staged, it was all planned, scripted, actually, elaborate theater.
So it was contrived, phony.
And yet it spread because the message was something that resonated with what people were thinking or feeling at that time, and they wanted to share that message with their friends, so it went viral.
Well, the collapse of faith in a system is also a viral type of event.
You can't predict which events in the media are going to go viral in advance.
Some of them do, some of them don't.
Some of them that you think should go viral don't go viral, and others that you never suspect would go viral do go viral.
That's human psychology.
You can't quite predict it.
So the loss of faith in the money in the monetary system or any fiat currency is an unpredictable, psychologically driven event that defies the normal rules and calculations and simulations of classic economic and monetary policy.
That is why no one can name the date.
So keep that in mind as events unfold.
We don't know the timing.
We just know it's going to happen sooner or later.
All right, stay with me.
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