The Dwindling Dollar

"...the borrower becomes the lender's slave."      

Prov 22:7   

God is in control.  

Everything happening in the world is because God is allowing it for His purposes.  

Scripture tells us how this world ends... with a one-world leader, a one-world government and a one-world economic system. By tying everyone together, one person will have total and complete control over everyone in the world. 

Thankfully God has promised Believers that we are not appointed to His coming wrath. Just as God rescued those who trusted God in the days of Noah, we too will be rescued. Luke 17:26-30 

 

The Bible also warns that those who do not trust the shed blood of Jesus will one day be caught completely off-guard by His removal of the living Believers, called the Rapture.  

The Bible also compares that future day with the day He shut the door on the ark. God says it will be "just like in the days of Noah." Jesus is our door out, there is no other way to safety. 

God ended the days of Noah abruptly and without warning. All but eight people on the earth ignored the warnings of God. One minute they were eating, drinking, planting, harvesting, building and marrying, the next minute God shut the door--it was too late to get on the rescue ark.  

Today, each of us is right where He wants us to be. As we patiently wait for the Rapture, we are to gladly serve the Lord in whatever He allows in our life. It is wonderful knowing this world is temporary and the best is yet to come.  

But while we wait, He does give us choices. And instructs us that a wise man has many counselors.  

         Without consultation, plans are frustrated, But  

         with many counselors they succeed. Prov. 15:22  

And we are also to be encouraging.  

      "encouraging one another; and all the more,  

        as you see the day drawing near." Heb 10:25 

Regardless if the Rapture is 2 minutes or 20 years away, we are to get information from more than one person and be encouraging... all while looking to the future. So don't forget that as you read the following, it is not meant to be discouraging, just info every Believer needs to know to make good decisions. 

Financial Facts

· Total tax revenues last year for the USA were about 2.1 trillion dollars.

· Total budgeted spending is about 3.8 trillion dollars.  

This means our Federal Government borrows  

43 cents of every dollar it spends each month!  

We are borrowing so much money each month that there aren't enough lenders in the world to lend us the money to keep us afloat, so we simply print more money (dubbed QE1, QE2, QE3, etc.).  

Obviously, pumping that much money (out of thin air) into the economy each year is highly inflationary. 

Our elected leaders, finally sensing ill winds, are trying to solve this problem. The "bi-partisan" plan is to "cut" 21 billion dollars in the first year of a 10-year deficit reducing plan and 42 billion the second year. 

Let's see, that's saving 21 billion dollars out of a 1.7 trillion dollar deficit.  

$1,700,000,000,000 

      -21,000,000,000 ("savings")

$1,679,000,000,000

That's only a .013% reduction in the 1.7 trillion deficit! Are they serious? 

While we are "cutting" 2.5 trillion over the next 10 years, we are on track to go at least another 7 trillion dollars in debt! What kind of debt reduction is that? In ten years we'll go from 14 trillion to 21 trillion dollars in debt! And that's assuming a low inflation rate! 

Bottom line is that we are still borrowing over 4 billion PER DAY! 

Oh please!    

How can they claim they are cutting or balancing the budget with a straight face? This is not going to end well! And Christians should not ignore the problem.  

Gold price, 1985 to present

The world has been catching on to our dollar dilemma. Look at the price of gold in the last 25 years. Trading in their paper for gold seems to make sense to a lot of people. 

Our dollar problems affect everything. Official unemployment is 9.2%, but actual unemployment is over 20%. The economy can't seem to get traction. Construction is in the tank. Most people  connected with commercial or residential real estate are getting killed.  

We're on pace to have 2 million homes foreclosed on this year. Worse, there are some 4.5 million homes in what's called the "shadow inventory" - people who are behind over 90 days in their house payments but still living in their houses... and over 2/3rds of those 4.5 million haven't made a payment in over 12 months!

Is the debasing of our dollar by design? It's the only thing that makes sense!

Think about it. Both the federal government and the Federal Reserve have said publicly that they're not interested in having a system-wide collapse which would bring major deflation (think "Great Depression"). So they're fighting, at any cost, with their only real weapon... the unlimited creation of new money.

A highly respected money manager put it this way:

"It was a devil's choice, but the choice has been made.  Extreme systemic interventions, and formal measures to debase the U.S. dollar through the effective unlimited creation of money to cover systemic needs and the government's obligations, pushed the timing of a systemic collapse-threatened in September 2008--several years into the future. The cost of instant salvation, though, was inflation."**  

Because the United States has obligated itself to liabilities well beyond its ability ever to pay off, we have no choice but to continue printing paper to cover the daily 4 billion dollar deficit.  

Inflation, officially under 4%, is actually closer to 10% and is climbing. We could be heading to a disaster of Biblical proportions... and most likely a new currency.  

Hyperinflation is not out of the picture by a long shot. That's where we're headed if we stay the course of our esteemed lawmakers... eventually to the point of a complete loss of confidence in the U.S. dollar.  The Fed seems to have primed the system for explosive money supply growth

Eventual systemic collapse is the direction we seem to be heading as the debt will continue to grow at over 1.5 trillion dollars a year! And this is AFTER we passed a debt reduction bill!   

          The naive believes everything, But the prudent  

           man considers his steps. Prov. 14:15  

 

This is not rocket science... facts are facts!