Last Updated: Mar 25th, 2013 - 16:46:15 Newsletters : 2009 Newsletters : 13 February 2009 Thought for the Day Tempus fugit and here we are charging full tilt into a new year. A very challenging year and unfortunately we are having to reduce our efforts to suit the level of financial support we receive. Our newsletters will now be produced every fortnight instead of every week. Never mind - the show goes on. Interestingly we are getting greater interest then ever in our web site, and new readers continue to join up. The disaster that we have been predicting is now here. Many people have still to experience any downgrade on living standards but some are struggling to keep their families fed. Labour's determination to bring back socialism and big government was a disaster - as predicted. Now our straightened circumstances will force a correction. Government income, our taxes, will plummet and the government will transfer its increasing costs onto future generations. It will do this by increasing borrowing and printing new money which will lead to the next bout of inflation and away we all go again. What we can't predict is the timing. Probably it will be long and slow before the next boom starts rocking. In the meantime we await the arrival of National's plans for increasing productivity with bated breath. Feb 13, 2009, 10:37 Newsletters : 2009 Newsletters : 13 February 2009 Russia's Biggest Bank Notes Surging Demand For Gold Banks around the world are struggling with the consequences of operating a fiat money system and people are moving into gold. This transformation may save the world money system! Feb 12, 2009, 21:47 Newsletters : 2009 Newsletters : 13 February 2009 Bank of England Pledges to Cover Country With Cash King Says UK in Deep Recession, Pledges More Easing Things have moved a long way in a short time. Now we have the Governor of the Bank of England explaining to reporters that he is about to print some more money. It won't be long now and the ordinary person in the street will start to understand just what this means! Then the fun will start!! Feb 12, 2009, 14:51 Newsletters : 2009 Newsletters : 13 February 2009 $550 Billion Disappeared in "Electronic Run On the Banks" At 2 minutes, 20 seconds into this C-Span video clip, Rep. Paul Kanjorski of Pennsylvania explains how the Federal Reserve told Congress members about a "tremendous draw-down of money market accounts in the United States, to the tune of $550 billion dollars." According to Kanjorski, this electronic transfer occurred over the period of an hour or two. It showed no sign of stopping and the Fed was worried that $5 Trillion could have disappeared and killed the banking system. Listen to Representative Paul Kanjorski tell the real story. Now think of the ramifications! No amount of regulation can stop this from happening again at some time in the future as long as we rely on paper currency for our money. [ Visit Website ] Feb 12, 2009, 11:28 Newsletters : 2009 Newsletters : 13 February 2009 Bond Market Calls Fed's Bluff as World Economy Falls Apart Ambrose is tempted into expressing his personal opinion. I find it quite alarming: "Let me stress, I was wearing my reporter's hat, not expressing an opinion. My own view, sadly, is that there is no hope at all of stabilizing the world economy on current policies." Feb 10, 2009, 13:10 Newsletters : 2009 Newsletters : 13 February 2009 A High Growth - Low Welfare State The Hon Sir Roger Douglas, ACT New Zealand tells it like it is: "My speech to Orewa Rotary concentrates on two of eight points I outlined on November 26. Implementing those eight points would see New Zealand move more quickly out of the recession," Sir Roger said. "To win public acceptance, National must show how each policy will improve opportunities for the entire country while protecting society's most vulnerable. To gain the electorate's trust, reform must demonstrate sound judgement about what's happening and how people's personal interests will be affected: what are the policy's costs? Why and how will it work? "We need to move away from PR phrases that can mean all things to all people - the style without substance that Labour was notorious for. The Government must show it has the ability to make tough decisions and to restore investor confidence. "This requires a continuation of consistent reform to make the economy internationally competitive while also providing economic and employment growth. Where that confidence is lacking, New Zealand will not get the money it needs. "The uncertainties Labour created have damaged our credibility. Investors' belief that we will indulge in poorly-targeted intervention has built risk premiums into interest rates and investment decisions, slowing our economic recovery and prolonging the recession. "Further, the public must realise the damage that could result from spend-thrift responses in lieu of substantial reform. "Although not to blame for today's problems, National must act decisively in order to gain public confidence. It's time to quit fiddling with cents and start looking at dollars; we must shift our focus from the short-term and start looking at the big picture," Sir Roger said. Read his full speech to the Rotary Club of Orewa by clicking on the title. Feb 9, 2009, 17:00 Newsletters : 2009 Newsletters : 13 February 2009 Inflation Specter Has Some Investors Pining For Gold As we have been discussing for some time now, current economic thinking and the ability for politicians to print unlimited amounts of money, is leading us into trouble. Now the journalists of the world are starting to write about this topic. Political leaders, bankers and their economists will become very afraid that this publicity will lead us even faster into the economic death spiral that they are so desperately trying to avoid. Who can we believe in all this confusion? Feb 9, 2009, 11:45 Newsletters : 2009 Newsletters : 13 February 2009 Quote for the Month At a lunch at the Bank of England, just ten days before his death in 1946, John Maynard Keynes remarked: "I find myself more and more relying for a solution of our problems on the invisible hand which I tried to eject from economic thinking twenty years ago." Jan 30, 2009, 10:50