Hotel California or the Hotel Marriner Eccles June 11 2016
In 1977 the Eagles spoke to us about “Hotel California.” Lyrics are here.
A few lines from the song …
The lyrics remind me of the Federal Reserve. Call it the “Hotel Marriner Eccles.”
The above lines have been modified for the hypothetical “Hotel Marriner Eccles:”
- US national debt in 1913 was $3 billion, today it is over $19,000 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. Not viable in the long run….
- The debt will never be paid in today’s dollars, and debt cannot increase forever. Hence default – pick your poison!
- Outright default or default via inflation. Both will be painful.
- The economy is stagnant after about eight years of near zero interest rates … and more of the same will help?
- Who in their right mind, outside the Hotel Marriner Eccles, believes that any 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.
Because … “We are all prisoners of our own devices.”
From Michael E. Lewitt:
Like the Hotel California, the debt based currency system lives on, and we can never leave it. (without a traumatic reset)
Dishonest money – which can be created by politicians and bankers and is profitable for the financial elite – may look like heaven but it is HELL for all but the political and financial elite. They don’t want the scam to end and so, “We are all prisoners of our own devices.”
The econometric models that supposedly guide the Fed are reminiscent of that line: “Relax, said the chairman. We are programmed to receive. You can check out any time you like but you can never leave.”
“We are all prisoners of our own devices.” In the financial world, where actions eventually have consequences, debt is growing explosively, and our currencies are … shall we say … basically a fraud, issued by insolvent central banks and insolvent governments. There will be a reckoning. The reckoning will be less traumatic if we are prepared with:
- Gold and silver safely stored in a vault, instead of failing currencies.
- An understanding of the consequences of decades of bad monetary and fiscal policies.
- Hard assets instead of promises.
- Knowledge instead of sound-bites.
“We are all prisoners of our own devices.”
The Deviant Investor