Discussion

Great explanation, thank you Robert. It always amazes me that when the oil price goes up, it effects the petrol price, which in turn ups the price of transportation, which in effect ups the price of food...etc...etc...etc, but when the oil price goes down, the rest doesn`t follow suite????! Is the oil price part of this equation or is it an animal on it`s own?

Knowing that they are the chief causes of people financially struggling are clear. Exspecially when you throw in the effects to the Fed. Res. & U.S. Treasury.

We all better get some knowledge & wisdom so that we can save ourselves.

Robert,
Good talking with you the other day. The book is looking good.

That brief section on Taxes needs work.

This line in particular "Now the rich could put their hands in our pockets via taxes permanently." was so jarring and unrelated to the rest of the paragraph which is more a history lesson.

I think, and I might be wrong as I am still trying to understand this Jekyll Island Monster, you need some way to transition "Income tax moves money from our pockets, putting it into the hands of politicians. Politicians who have been elected in most part due to large contributions from the rich, and redeem the favor with Public Works projects and Military Spending. Paid for with Debt."

Okay maybe its a bit harsh, but I think you get the idea, and it transitions nicely like the next paragraph on Debt to Inflation.

Robert,
Yesterday I was sitting in my HTML Class watching a video about the history of the Internet and how the concept of moving packets of info from one location on the web to another came about. The video illustrated how the men at MIT used white mice trying to find their way out of a maze as an example of the Info Super-Highway. However, now that I'm reading your question here concerning the three forces I realize taxes, debt, & inflation are the high walls of the maze that could be compared to the RAT Race if we are looking at them from a mouse's perspective.

Ivan

Dear Robert,

Thank you for the opportunity to read and participate in this prior to publishing.

Do the "rich" benefit from inflation because what they purchase with the money immediately is of value, or is the benefit of the "rich" the fact itself: they have immediate use of the funds prior to inflation?

Best regards,
Jennifer

Debt is incurred with borrowed money.
Borrowed money has to be repaid with interest.
Interest increases the cost of the purchase.

Inflation means that an object tomorrow costs more than today.
On the contrary, an object purchased today it becomes cheaper in relative terms tomorrow. Eg a $100 object is purchased by a person with an income of $10 - a multiple of 10. In 1 year, the income rises to $11 - the object is now only 9 times income, although the same object has risen by a similar amount to $110.

The relationship between debt interest and inflation?
It is their relative difference that matters.
If debt is interest is 5% and inflation is 10%, then the borrowed money is increasing at a rate of 5% while the cost is reducing the value of the borrowed money in relative terms by 10% - a net gain of 5%.

If debt interest is higher than inflation then the borrower is going backwards.

An individual who makes 100,000 dollars annually at their job will pay 40% of that in taxes and 30% of that in interest. Taxes go to the government/banks/Fed Res. The rest is for that individual to spend as they wish.

In this part more explanation are required, it will be a good idea to put some comun examples like what is the effects of this forces in the interest rates and the prices of food you have to buy. In order to now why at the end we are going to pay more. Thanks.

Excellent job on the explanation.
It may have an even greater impact if people understand how the Federal Reserve, our Government, and the Banks stand to benefit from diluting and weakening our dollar. They all hopped in bed together due to their symbiotic relationship which looks like this - The government covertly gets a never ending spending account. The Federal Reserve prints money out of thin air and then loans that money with interest to our banks and government, with the burden of payment ultimately falling on the tax payer. On The back end our banks are performing exponential dollar dilution through fractional banking practices, which is how they grow their empires.

Robert,
The people behind the face if the FRS system were all brilliant men of financial wisdom and experience in evolution of the human mass mind. This is why the could say " If I can control the finances of a country, I can control the people and the direction of that nation" This is what the have done and their latest shanagians starting with 911 right up to the recent G20 summit, is throwing their power in our faces. people watch history happening before their very eyes but are too blind to see what is realy happening. it was a koo for the establishment with a brown puppet master for the queen bee. They use these 3 forces for absolute control. regards gc