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Healthy Habits

Advice on Securing your Financial Future

The following is a guest post on a timely personal finance topic from Maria, a tech writer from the UK with a fondness for finance.  We encourage you to follow her on Twitter at @financeport for more debt reduction and personal finance tips and information.  Without further adieu:

Advice on Securing your Financial Future

Want to secure your financial future? Want to make your future goals brighter? want to save money?

The first step you need to take is to create a financial plan.  Having a financial plan will help you to save money and make decisions consciously and accurately.  It includes a list of your goals as well as a time frame, cost, anticipated rate of return, and the investment/savings method you will use to achieve the goal.

Secure your Financial Future
Secure your Financial Future

The formula that all the people should follow is “Bright Financial Future=Solid plan + Steady income.”

Create a Financial Plan:

In order to secure your future the first step is to have a financial plan where you put more interest in saving money.  In order to make decisions financially you should have some type of plan, no matter how basic.

Set Goals:

You will have a better chance of having money if you plan for the things you want to do in future. Long-term goals may require five to ten years to accomplish. For example your goal may be to start a family, save money for a child’s wedding, college tuition, or purchasing a home. Short term goals are the things you would like to do next week, today, or in a couple of years.  They may include getting marriage, changing jobs, taking a vacation, buying a car and so on.

Consider Investing:

In order to deliver regular interest payments you can count on, a savings account is a good start, but it will not generate enough interest to keep up with inflation. Investments in bonds and stocks have generally out performed inflation, but CDs and savings accounts have not. Investments in stocks and bonds contain more potential to earn profits than savings accounts do, they also have option to fall in value or generate a lower gain than you expected.

Other than government bonds, investments are never guaranteed in the sense if you loose money on investment you probably have no recourse. This is the biggest difference between insured bank accounts and investments.

Seek Advice:

Some people locate investments by searching the internet and reading magazines as a form of due diligence, others rely on the Advice of experts. A financial expert can help you select the investments that best fit your plan. Before selecting an investment expert, it is wise to conduct interviews with different licensed experts. This will help you to have knowledge on several types of services that are accessible to investors.

Start Saving Seriously:

Start by saving enough money to cover your urgent living expenses for many months. You should have easy access to your money in a savings account.  A savings account is generally insured for losses up to $250000 by the Federal Deposit Insurance Corporation (FDIC).

In any situation, if you are short of money and need an emergency loan, you can get a loan in order to secure those funds by purchasing Payment Protection Insurance (PPI).  PPI is an insurance policy which is purchased with loans and credit cards in order to secure those loans for the lender.

About the Author:

This article has been posted by Maria, a professional blogger who is writing articles on PPI claims and shows keen interest in finance. You can reach her on Twitter: @financeport

Bible Teaching, GSM, Jesus

TEACHING HOSEA

The following is yet another excerpt of a book which we have recently completed about teaching the Bible which focuses on some techniques that may be little known and are certainly seldom practiced today.  Here we present “Teaching Hosea,”  Enjoy!

Taken from “Hosea: A teacher’s guide for those who are lead to teach the book of Hosea”

TEACHING HOSEA

With these teaching tools in your tool belt, it is now time to approach Hosea.  The following sections are tools designed to acquaint you with the prophet and the world in which he lived.  It is by no means exhaustive and is no substitute for your own investigation on the subject.

Keep in mind that teaching the Word of God is not a journalistic exercise, nor is it similar to writing an academic paper.  As such, there are no formal rules with regards to citing your sources or using previous academic work to support your statements.  In fact, citing sources in an attempt to gain credibility with your class may have just the opposite effect.

The Word of God is its own authority, and you, who have humbly submitted yourself to guide the class through the Word of God, will speak on its authority to the degree that you allow the Holy Spirit to operate both in your life and in the class that you are guiding.

An 18th century Russian icon of the prophet Hosea located in the Iconostasis of Transfiguration church, Kizhi monastery, Karelia, Northern Russia, painted by an unidentified artist during the first quarter of the 18th century.

It will be obvious to all when you state an opinion that is purely your own, and you should not be afraid to speak into the class that which you are lead to say simply because you cannot find it cited somewhere else.  For what you are to speak is something new, and many may be healed by what you say at the Lord’s direction. Again I say, do not be afraid to speak it.

The setting and character development which will greatly enrich the class can and must be investigated both inside and outside of the Bible.  The Bible did not take place in a vacuum, and neither should your teaching of the Bible take place in a vacuum.  There is a wealth of information being discovered today which is serving to support the Biblical narrative as God’s creation bears witness to His Word.  It is your job as the teacher to investigate and bring what is required of this information to your class.

The balance of this book is a summary of my own investigation into Hosea, and I pray that it will supplement your own study of Hosea.  You are free to use of it what you deem appropriate for your specific audience.

Stay tuned for more teaching tips and purchase the book itself here.  Trust Jesus and stay fresh!

Bible Teaching, GSM, Jesus

The Bible Play – Getting to Know the People of the Bible

The following is another excerpt of a book which we have recently completed about teaching the Bible which focuses on some techniques that may be little known and are certainly seldom practiced today.  Here we present “Getting to Know the People of the Bible,” a wonderful way to deeply explore the Biblical text in a participatory Group setting.  Enjoy!

Taken from “Hosea: A teacher’s guide for those who are lead to teach the book of Hosea”

Getting to Know the People of the Bible

While reading the Bible is a great discipline, it is at least equally important that the Bible be understood through the eyes of the characters who are both explicitly and implicitly a part of the story. Many of the characters in the Bible are unnamed, such as the soldiers who guarded the tomb of Jesus.

While it is possible to read the Bible and focus on the main characters, there is a tremendous amount to be learned from a study of the Bible through the eyes of all of those who were actually present at the event.

How can this be accomplished? It is possible to read any number of commentaries, speak with pastors, friends, and read related histories with the goal of accomplishing a complete understanding of the event and the eternal truth that God is trying to teach.

However, there is a superior and much less time consuming way to intimately know the characters of the Bible. That is, to role play, or become them for a time, if you will, for yourself. This miracle can be accomplished by what we call a “Bible Play.”

The Bible Play is to be accomplished in a class or other type of group setting. The teacher or the group will decide which part of the Bible that they are to act for the play. This is usually done by the teacher, but in a smaller group can be done by prayerful consensus.

Once the part of the Bible to be explored has been decided, the teacher is to read the story once through, stopping each time a new character is introduced and acknowledging the character by name to the class. At this point, it is important to mention that characters can include animals and inanimate objects as well.

After the first reading, the teacher calls for a time of prayer, in which everyone, the teacher included, is to choose which character in that they are to become. The Holy Spirit will guide this process, for each person present has something unique to learn and be healed of in this exercise.

During the time of prayer, the Lord may reveal characters which are not explicitly mentioned in the Biblical text as being present as being there. This is completely valid as long as the group unanimously agrees to the inclusion of the up until now unmentioned character.

Once EVERYONE has a character (for none may be simply observers to this exercise), the teacher will identify the physical space in which the play will take place. The characters are to take their initial places in the physical space, collaborating with everyone in the group until there is agreement upon the basic starting places and areas for interactions amongst the characters as called for in the Biblical text. This does not have to be done in exhaustive detail, but there must be agreement as to the areas described to enable the interactions amongst characters in the Biblical text to occur.

If the story calls for two or more physical locations, such as Jonah on the boat, in the belly of the whale, and then in Nineveh, it is important to understand that these physical spaces should be completely separate from each other. You are not simply setting scenes on a stage, the entire Bible play and all involved must become alive.

After the characters and spaces are chosen, the play is to begin. Everyone must participate and there is no rehearsal. In the Bible there were no rehearsals, and to fully understand the character through the activity of the Bible play the events must be encountered naturally, without preparation or prior coordination other than the agreement as to spaces mentioned above.

An 18th century Russian icon of the prophet Hosea located in the Iconostasis of Transfiguration church, Kizhi monastery, Karelia, Northern Russia, painted by an unidentified artist during the first quarter of the 18th century.

The teacher or assigned narrator (which is also a valid and required character) begins to read the story and the action begins. If a character is to speak, the narrator may give the line to the character, but the person playing the character must speak it aloud. This detail is powerful and adds much to the play.

Once a character is completely done with their action, they may follow along with the narrator and watch what unfolds unless their character is specifically called to stay with the story. In many cases, the participant may find what their character did after the interaction called for by the Biblical text. This knowledge may be important and cannot be discounted. The participant is to be the character until the reading of the Biblical text is complete.

At this point it is important to mention that no one, not the teacher nor the narrator are to assume the role of a director, for it is the Holy Spirit who directs the play.

After the story is complete, all participants are to share what they learned about their character during the Bible Play. Much healing is accomplished by during this time of reflection.

The Bible Play is the best method by which to know the characters of the Bible, for during the play, they are truly there with us. There is cannot be accomplished any other way. One may read 1,000 books about Hosea but until you have actually seen, heard, or been him, you will never truly know him.

Stay tuned for more teaching tips and click here to purchase the book.  Trust Jesus and stay fresh!

Bible Teaching, GSM, Jesus

Setting

The following is another excerpt of a book which we have recently completed about teaching the Bible which focuses on some techniques that may be little known and are certainly seldom practiced today.  Here we present the all important element which we call the “Setting,” which, as you can imagine, is not what it seems.  Enjoy!

Taken from “Hosea: A teacher’s guide for those who are lead to teach the book of Hosea”

Setting

As we alluded to earlier, there is a power that is unleashed by simply reading the Word of God as if you have never read it before.  A key to this power being released is the teacher’s ability to bring the class into the setting of the Biblical text.

An 18th century Russian icon of the prophet Hosea located in the Iconostasis of Transfiguration church, Kizhi monastery, Karelia, Northern Russia, painted by an unidentified artist during the first quarter of the 18th century.

Setting, in this sense, is more than historical facts and data. It is more than an understanding of the people, places, economic, religious, and geopolitical circumstances which are present at the time the text is taking place in.  All of these are important elements of setting and can be aids to the class’s understanding of the text, however, for the Power of The Living God to be released into the room, something more is required.

The class must miraculously be transported to the time and place of Biblical account to be transformed.  The teacher guides the class to this place by humble submission to the power of God at work in the room.  In this place, all of the class’s previously formed conclusions about the Biblical text are shattered as they are transported to the place and time where the Biblical text takes place.  It is no longer a story or lesson, the room is alive as each person through supernatural selection assumes their place in the Biblical account as it is actually taking place around them.

Each person in the class is healed as the Spirit of The Living God teaches through each one of us as we experience the text as is written, not as it is interpreted by the teacher, but as it is spoken aloud to the class.

The teacher must balance elements of timing, relationship, and content as the healing presence of the Holy Spirit moves through the room.  The setting is given by The Lord and communicated through the teacher to bring healing as we open the Bible as if we have never opened it before.

Stay tuned for more teaching tips and purchase a copy of the book itself here.  Trust Jesus and stay fresh!

Economics, Mint Classics, The Mint

G7 Meet to Stop Yen’s Dramatic Rise and the BLS Calls BS on its Broad CPI Measure – A Mint Classic

Over the past year, the Bank of Japan has tried numerous times to Kamikaze its currency and has failed miserably.  As of the writing of this classic Mint, the USDJPY exchange stood at about 80:1.  Check today to see how the Bank of Japan has fared.
 
As for the other theme, if anyone still believes in the BLS’ headline inflation number, they probably work at the Federal Reserve and watch I-Pad prices for signs of inflation!

Enjoy!
 
3/18/2011 Portland, Oregon – Pop in your mints…
 
The G7 Central Bankers have called an emergency meeting to “do something” about the “skyrocketing Japanese Yen.”  This meeting is simply their latest attempt to combat reality.  The reality of the situation in Japan is that they are dealing with a catastrophe.  When one is dealing with a catastrophe, the next prudent step, after all of the immediate crises have been contained, is to take stock of the situation.  By taking stock, we mean that one takes note of what was lost and, more importantly, what one will need in order to restore things to an acceptable level of comfort.Comforts cost money.  In Japan, to replace these comforts the average person needs Yen.  They will either get this Yen by making a claim with their insurance company or selling assets to raise cash.  With damages of nearly $15 Trillion Yen (roughly 3% of Japan’s GDP) and counting you can imagine how the demand for Yen is, well, about to skyrocket.

 
The Japanese people are still dealing with the catastrophe.  Speculators in the currency markets are, as always, one step ahead of what must happen and are sapping liquidity, in terms of Yen, at a rapid pace.  This activity, taken at face value, will presumably wreak havoc for Japanese Government Bond prices, the prices of stocks traded on the Nikkei, and the US Dollar.
 
These three markets will crash if nature is allowed to take its course.  You see, in the tipsy turvy world of currencies, to buy a yen more often than not means that a US dollar, a JGB, or a stock listed on the Nikkei is sold on the other side of the trade.
 
The most sought after currency in the world, at least until the G7 meet tomorrow
 
The accelerated selling of dollars, as Jim Rogers points out, could cause the endgame scenario for the US currency to swiftly come upon the world.  Mr. Rogers goes so far as to call this a “Moment of Truth for the dollar.”
You can see the brief interview by clicking here.
 
Of course, as Mr. Rogers points out, it may be time to buy the dollar, if for some reason it is to survive as a top tier currency.  We have lived just long enough to know that anything is possible.
 
The G7 meeting today is VERY IMPORTANT.  It should not be, if only the world had not left the embrace of sound money 40 years ago, but unfortunately, it is.  For the G7 will essentially decide whether to keep the Dollar on life support or to pull the plug.
 
What will they do?
 
Meanwhile, the Bureau of Labor Statistics (BLS), the legion of bureaucrats who are charged with cranking out data in order to support FED policy, appears to be starting its own form of political protest against the loose dollar policies followed by the Federal Reserve.  After faithfully cranking out the core CPI, a key statistic here at The Mint, for years and watching it slowly become distorted into the puppet statistic that it now is, they came out with a data point in 2002 called the “Chained Consumer Price Index” which takes into account a rolling average of food and fuel costs, which the core CPI now blatantly ignores.
 
This index hit a record high in February, confirming what most average Americans already know:  It has never been more expensive to live in the Land of the Free.
 
Will we be Brave enough to return to sound money?  You, fellow taxpayer, can take a step in that direction with just a few simple keystrokes.  APMEX, our affiliate, is running a contest.  They are giving away one 1 oz gold eagle coin each month.  All you have to do to enter is register by clicking this link and filling in the blanks.  You can register to win once per month.  If you so desire, click here and Register at APMEX.com Today!
 
By definition, the black hole of debt will always grow at a more rapid pace than the worthless currency that is printed in an attempt to fill it.  If the black hole collapses (i.e. widespread default occurs), hyperinflation will occur quickly.  If currency becomes scarce, people will find another medium of exchange, likely gold and/or silver.
 
Either way, the world will be out of this mess before long, so hold on to your hats, it is bound to be a wild ride to the other side!
 
Stay Fresh!
 
 
 
P.S.  If you enjoy or at least tolerate The Mint please share us with your friends, family, and associates!
 
Key Indicators for Friday, March 18th, 2011
 
Economics, Mint Classics, Politics, The Mint

US Debt Ceiling Vote to Ignite Armageddon in Bond Markets? Key Indicators all Point to Inflation – A Mint Classic

Today we are taking a break en route to Bolivia.  Breathing in La Paz is hard enough, let alone attempting to dissect what is occurring in the World economy.  As such, we offer a look at things which we wrote about 14 short months ago which came to pass just 8 short months ago.  A much ignored number which is peculiar to America, the debt ceiling.
 
Today, the number is mostly ceremonial but it is important to remember that the US is likely to breach the $16.2 trillion symbolic limit in the near future.  Will we have  repeat of the events we described?  Enjoy!
 
1/18/2011 Portland, Oregon – Pop in your mints…
 
For some months now we have been wrestling with the notion that there will be a major collapse in the Bond Markets.  We have speculated as to the causes and possible effects in these chronicles, comparing the coming events to the battle of Armageddon, famously prophesied by John in the book of Revelation, Chapter 16.  Bondholders have been lured into a valley, and our guess is that they are about to get slaughtered.
 
When and how will this occur?  This is the subject of our speculation today.  Be forewarned, fellow Gambler, that we do not have any sort of inside information.  Rather, we rely on our own wild imagination and questionable powers of deduction.  Actual events may differ dramatically from what we imagine, and we pray that they will!
 
Our current speculation has its origin in digesting the reality of the upcoming Congressional vote as to whether or not to raise the debt ceiling.  In the past, this would barely have been news.  The government almost always, without fail, spends more money than it takes in. This is one of the few things that you can count on a democratically elected government to do.  To cover the deficit, the government must issue debt.  Since there is almost always a deficit and there is almost always interest to be paid on existing debt, the amount of debt owed by the government must always increase.  This is the basis of our current insane monetary system.
 
 But wait!  Along comes a group of Congressmen and women that either don’t understand the game or are unwilling to play along any longer.  They appear, at least from their rhetoric, to be set to vote AGAINST raising the debt ceiling (the total amount of debt that the US Government can officially borrow).  In theory, this would mean that Government expenditures would have to be immediately reduced by $1 Trillion, the projected deficit for current fiscal year, and further reduced to give them the ability to roll over the roughly $3 Trillion dollars worth of US Treasury debt that is set to mature in 2011, even assuming that it can be rolled over at 0% interest.  Both of these are plausible but highly unlikely scenarios.
 
 
As an aside, you can watch all of the dizzying US Debt statistics here.  We advise you to take some Dramamine beforehand.
 
However, a “NO” vote on raising the debt ceiling would make these highly unlikely scenarios not only likely but absolutely necessary.  A “NO” vote would likely trigger a sell-off not only in the US Treasury Debt Markets but also in every fixed income and equity market on the planet.  This sell-off would lead to an unprecedented amount of cash chasing around a finite number of real goods.  
 
In short, the end result of a “NO” vote would be a paralyzed Government and hyperinflation.
 
On the other hand, a “YES” vote is no picnic either.  Many of these Congressmen and women were around the last time they had to vote on a measure with such broad reaching financial implications.  Does the TARP Fiasco of 2008 ring a bell?
 
On the bright side, a “NO” vote would bring an abrupt end to the insanity of the present world monetary system.  A system that is based on debt, not real money, which causes the productive forces of mankind to cannibalize themselves.  After the initial shock, a “NO” vote would be a great thing for mankind.  Do today’s politicians have the backbone to do this?  Only time will tell, but here at The Mint, we believe that at this point a “NO” vote or a stall tactic (which is practically the same thing) may in fact be likely to occur this spring.  We are not alone in this boat, as back in November former Treasury Secretary Robert Rubin alluded to this vote as a possible “trigger“ for a “rout in the Treasury Market.”
 
While all signs in the Bond Markets point to an implosion, either this spring or at some unspecified date in the future, all of our Key Indicators here at The Mint are continuing to point to Inflation.  It is for this very reason that we observe them daily, to ensure that our hypothesis is correct.  These are the “cards” the we hold as gamblers.  Each one merits in depth study as to its economic significance but we will spare our fellow gamblers this depth for now and jump directly to the practical application. 
 
At the end of every Mint, we present the Key Indicators.  We encourage you to compare them with the Key Indicators from previous Mints.  If the Key Indicators are generally higher (with three exceptions) than they have been in the past, we expect inflation, maybe a lot of it.  If they are lower, we would expect deflation.  The magnitude of the inflation or deflation depends upon the magnitude of the changes in the numbers.
The three exceptions, of course, are the “FED Target Rate”, the “MINT Perceived Target Rate”, and the “Inflation Rate (CPI).”  In the case of these three indicators, if the number is lower than it has been in the past, we can expect inflation.  If they are higher, we would expect deflation.   
 
You may also click on each data point below for a link to its source to better perform trend analysis.
The timing of what is to come is a mystery.  Based on recent data, inflation is walking up the drive but still a ways from the door.  If we had to guess, we would expect inflation in full force by January 2012.  If Congress pulls the trigger with a “NO” vote this spring, it could arrive quite a bit sooner.
 
As Kenny Rogers wisely said, “Know when to walk away and know when to run!”
 
Stay Fresh!
 
 
 
 
P.S.  If you enjoy or at least tolerate The Mint please share us with your friends, family, and associates!
 
Key Indicators for Tuesday, January 18th, 2011
 
MINT Perceived Target Rate*:  4.5%
Unemployment Rate:  9.4%
Inflation Rate (CPI):  0.5%
Dow Jones Industrial Average:  11,787
M1 Monetary Base:  $1,954,500,000,000
M2 Monetary Base:  $8,881,000,000,000 (this numbers stands roughly $2 trillion higher today, about the same amount that the debt ceiling was ceremoniously increased back in August.  Coincidence?  we think not!)
GSM, Jesus

Everybody Has a Voice

The following is another excerpt of a book which we have recently completed about teaching the Bible which focuses on some techniques that may be little known and are certainly seldom practiced today.  Here we present two more, “Everybody has a voice,” and an additional note on preparation.  Enjoy!

Taken from “Hosea: A brief guide for those who are lead to teach the book of Hosea”

Everybody Has a Voice

The person who is teaching must recognize that they are not truly the teacher, per se, rather, that they are the intermediary who is delivering the Word of God afresh to minister to thirsty souls, amongst which they must find their own.  As such, it is important to ask open ended questions of the audience and to give everyone in the room an opportunity to respond.  It is equally important to understand that some questions do not have answers, in fact, the best questions tend to lead to further questions rather than answers.

And it is good.  Remember, as you are speaking the Word, the Holy Spirit is ministering about the room.  As the audience listens to the Word of God and the Holy Spirit is ministering, it becomes apparent that everyone in the room is a teacher and one person’s response to your question or comment may minister to another in the room without either of you being aware of it.  The healing that occurs when this take place is amazing, and should be expected to be a constant part of the class when the Holy Spirit is leading.

There are no set rules, but as the intermediary (read teacher), the person in charge of the class has the responsibility to maintain the classroom environment as holy.  If a question or comment carries on it can become more of a distraction than an aid to the healing that is taking place.

There is a fine line between teaching the Word of God and expressing one’s own opinions.  It will be clear when it has been crossed, as the teacher, you are responsible for discerning when it has been crossed and steering the class back to the Holy Place.

A Brief Note on Preparation

While we have provided a number of questions and historical background to facilitate the study, we encourage you to read the entire Biblical text which you will teach, in this case Hosea, at least five times before presenting it.  Each time, write down key questions which the Word begs the reader to answer.  We have provided space for you to do this on page 19, and it is expected that this space will not be adequate.

Some of these questions will simply appear verbatim in the Biblical text, as is often the case when Jesus is teaching.  Some of them will come to you through the Holy Spirit as you read and prepare.  All of these questions are valid, and the Holy Spirit will guide you as to which questions to ask.  Even simple questions such as, “what are you hearing?” or “what is happening out there, would anyone like to comment?” can lead to great healing amongst those in the class.

Stay tuned for more teaching tips and the release of the book itself here at The Mint.  Trust Jesus and stay fresh!

GSM, Jesus

Opening the Bible as if You have Never Read It Before

The following is an excerpt of a book which we have recently completed about teaching the Bible, focusing on some techniques that may be little known and are certainly seldom practiced today.  We pray that it will be a blessing to you and encourage you to open the Bible as if you have never read it before.  Enjoy!

Taken from “Hosea: A brief guide for those who are lead to teach the book of Hosea”

NOTES ON TEACHING

You do not need to be an expert to teach the Word of God.  In fact, some would argue that an advanced degree in a Seminary actually hinders your ability to teach.  Sound strange?  In our experience, we have found that a great majority of sermons and Bible studies tend to drive the audience to a somewhat premeditated conclusion.

There is generally nothing wrong with this.  From our childhood we are taught to structure our essays and messages concisely so that at the beginning, the audience knows what your talking points will be and what they are supposed to get out of it.

This approach may work well in academic circles and “how to” books, yet it is a complete and total disaster when employed in an attempt to teach the Words of the Living God.

Open the Bible as if You have Never Read It Before

The holiness and perfection of the Bible allow us to learn something new each time that we read it.

For this reason, we would like to encourage you and your audience, beginning with this study, to open the Bible as if they have never read it before.  Many Christians have preconceived notions and prejudices regarding the parts of the Bible which must be overcome for the Word of God to move in a new way in their lives.  Opening the Bible as if you have never read it before accomplishes this goal for most people.

Read Slowly: Let the Word Of God Resonate in the Room

Another necessity when teaching the Word of God is to read slowly.  When teaching the Word of God, it is important to both read aloud and to listen to your own voice.  Far from being ridiculous, slowly reading the Word of God accomplishes two important purposes.  First, it allows everyone in the audience both to hear and to meditate on the words.  Second, you will immediately notice that the spoken words themselves have a power which resonates throughout the room.

Hearing is a deeply spiritual exercise.  Listening to yourself as you read will generally ensure that you maintain the proper pace and that the Holy Spirit moves about the room, ministering to everyone as they simply listen, for the Word of God does not ever return void.

Sound interesting?  Stay tuned for more teaching tips and the release of the book itself here at The Mint.  Trust Jesus and stay fresh!

Monetary Theory, The Mint

Bernanke Sends the US Dollar on a Suicide Mission

2/7/2012 Portland, Oregon – Pop in your mints…

We have been cooking up a project here at The Mint and have been remiss in our faithful correspondence to you, fellow taxpayer.  For this, we offer you our humble apologies. 

With our mission partially accomplished, we are back in the saddle and riding the monetary range.  The days have been uncharacteristically sunny here in the Northwest, and it should come as no surprise that the outlook has cleared up, along with the skies.  While Europe remains in the dual grip of debt and cold, the US is once again tying its shoes and heading out to dance.

Official unemployment is down and inflation is nowhere to be seen according to the government.

Yes, fellow taxpayer, all signs indicate that a Keynesian socialized monetary system has saved the day.

Yet no matter what the official statistics say, there is something much more important occurring as we write, something that will adversely affect every person who is long the current US Dollar via holding the currency directly or indirectly via some vague promise to have the currency delivered in the future (Read:  Bonds, MBS, and any derivative of such).

The fateful occurrence is this:  The US Dollar is about to carry out its suicide mission.

Suicide mission?  Wouldn’t the Government inform us of something as important as the severe devaluation of the currency?

Yes and no.

Allow us to explain.  First and foremost, the Government, who, behind the banks in the Federal Reserve system, gain the most from a weak dollar, have a tremendous incentive to devalue the dollar as well as a tremendous incentive to hide this fact.

However, the truth can easily be deduced by simply observing what the stated Federal funds rate is at any given time and waiting approximately three years for the effects of that rate to hit main street.

39 months, to be exact, but here at The Mint there are no extra points given for accuracy.

Where were we, something about a suicide mission, ah yes…

Join us, fellow taxpayer, on a journey back to the lazy days of August and September of 2007.  The world could not have been brighter.  Everything seemed to be turning up roses, which in retrospect should have been the first sign of trouble.

 

"Benky" sends the US Dollar on its final quest

 

In early September, Ben Bernanke, the Chairman of the Federal Reserve, has just parked his avatar, “Benky” and logged off of World of Warcraft after completing a quest during his third day of “work” after a much undeserved vacation when the phone in his office rang.

“It’s time,” said the voice on the other end, and Bernanke slowly hung up the phone.  Nothing more needed to be said.

The Federal Reserve was finished; it was only a matter of time.  100 years of subtle confiscation was about to go into the history books, and it was time to execute the plans which had been laid for its chief agent, the US Dollar, to go out in spectacular fashion. 

Mr. Bernanke and his colleagues held a cursory open market meeting to say a tearful goodbye to the currency which they had been sworn to defend.  They then set in motion a series of rate cuts which to this day have not been reversed.

The US Dollar was off on its suicide mission.

It had been on many similar missions before, all with overwhelming success in what were increasingly high risk operations against multiple targets, and it had always returned to its home shores with the spoils of war in its train, stronger and more arrogant for the experience.

But this mission was unheard of.  Delving into short term interest rate depths never before attempted by a currency its size.  Infiltrating foreign bases and confiscating wealth on an unimaginable scale.  Only this time, it was not foreseen that it would return.  A bigger, stronger, and more efficient model was waiting in the wings to swoop in and bring the spoils, which the US Dollar was to so painstakingly confiscate, home.

The mission, as in the past, was to take three years.  Beginning at the FED, it would make a slow and steady descent through the short term funding markets and then plunge, in the span of 15 months, to the unexplored bottom.  There it would lurk, setting mines and nets for the next 39 months which would confiscate the wealth of not just individuals and corporations, but of nations and multinationals as well.

It would be a grand climax to an illustrious career.

For their part, Bernanke and his colleagues at the FED would provide all of the cover fire they could muster in order to give the US Dollar as much time as possible to carry out its terrible work.  In the end, however, there was little doubt that the currency would be found, tried, and executed during this tour of duty.

So certain was this fact, that neither provision nor measure was to be taken by anyone at the FED to rescue the US Dollar.  No further resources would be used in its rescue, save the empty words of Bernanke and his colleagues. 

The US Dollar’s orders were clear:  To remain at the ultimate depths of short term funding markets, laying as many traps as possible, until it expired in this effort.

It is a grim mission, to be sure, with a grim outcome for those who are long the US Dollar and, ultimately, for the dollar itself.

Circa February 7, 2011, it appears to the greater world that the US Dollar has descended to the 1% level, the exact level it had been perceived to be at on that fateful day in late summer of 2007 when Mr. Bernanke got the call.  For most people, it feels that all has returned to normal after four years of what can only be described as an economic nightmare.

Nothing could be further from the truth.

For in one short month, it will be clear that the US Dollar, rather than returning to base at the FED, as it has for nearly 100 years, has gone deeper and further into the pockets of the world than any currency has ever dared go before.

And it is about to pick each and every one of them.

If there was ever a time to own real assets instead of US Dollars, it is now.

Stay tuned and Trust Jesus.

Stay Fresh!

David Mint

Email: davidminteconomics@gmail.com

Key Indicators for February 7, 2012

Copper Price per Lb: $3.85
Oil Price per Barrel:  $98.55

Corn Price per Bushel:  $6.42
10 Yr US Treasury Bond:  1.99%
FED Target Rate:  0.11%  ON AUTOPILOT, THE FED IS DEAD!

Gold Price Per Ounce:  $1,742 PERMANENT UNCERTAINTY

MINT Perceived Target Rate*:  1.00% DROPPING LIKE A ROCK INTO MARCH!!!
Unemployment Rate:  8.3%
Inflation Rate (CPI):  0.0%
Dow Jones Industrial Average:  12,881

M1 Monetary Base:  $2,198,400,000,000 RED ALERT!!!  THE ANIMALS ARE LEAVING THE ZOO!!!
M2 Monetary Base:  $9,686,800,000,000 YIKES UP $1 Trillion in one year!!!!!!!

Economics, Freedom, Gold, Monetary Theory, Of Money and Metals, Silver, The Mint

Of Money and Metals, Part V – Free Money Refutes Gresham’s Law

1/31/2012 Portland, Oregon – Pop in your mints…

 

{Editor”s note: The following is the long awaited conclusion of the series “Of Money and Metals.”  Please click here to view the Part I,  Part II, Part III, and Part IV} 

 

Free money also renders null and void any arguments as to what constitutes good or bad money, for this determination will be made on a daily basis by producers and consumers rather than a monetary authority who is acting on mere theory with severely limited data.

 

Absent the government declaration of what is money and how much said “money” is worth, there is no longer bad money driving out good money, as Gresham’s Law so perceptively observes.  What remains, then, as the ultimate determinant of what is money and how much it is worth are the two parties to a transaction, who are generally in the best position to determine such matters.

 

“But this would destroy exchange as we know it!” comes the cry from apologists of legal tender laws.  “No one will know what anything is worth, let alone how to pay for it!”

 

On the contrary, the free operation of the money supply would, by necessity, cause everyone engaging in exchange to be acutely aware of both what constitutes money and how much it is worth.  It is legal tender laws which serve to pull the wool over everyone’s eyes as to the true value of money.

 

When seen through a different lens, that of the free operation of the money supply, the absurdity of legal tender laws becomes clear.  Commodity (free) money is unhindered by the artificial restraint of existing debts and is constrained only by the productive will of society.  Commodity (free) money is free to accurately reflect the price of goods and services in light of the perceived supply and productive capacity of both goods being exchanged, that being offered in exchange and that offered in payment as money.

 

Money, as most people instinctively understand it, is simply an ordinary good whose utility and value are greatly enhanced by its wide acceptance in trade.  If one strives to remove the “cost” of producing money, as Adam Smith so nobly aspired to do, it is clear that the best way to do this is to allow the good which is acting as money to be produced in the most efficient way by the greatest number of artisans as are necessary to fulfill the present demand for money.

 

But how would all of these artisans, blindly creating all of this commodity money, know when to stop producing were it not for legal tender laws?

 

Here, there is no risk of oversimplifying the answer, for the answer is painfully simple.  As persons competing in the free market who have chosen to produce money, they are likely to be the first to know when there is too much money in circulation, for their orders for new money will uncannily drop when the economy has enough money to function efficiently.

 

Further, any commodity that is only marginally used in the production of money will quickly and smoothly have its supply directed to other, more efficient uses as the incentive (realized margin) to use it as money is incrementally reduced as supply begins to overtake demand.  Each producer is therefore free to choose his or her exit point.

 

Take the case of copper.  If copper becomes monetized by the free will of the participants in the economy, it stands to reason that it could be demonetized by the same free market operation.  Should economic activity slow to the point where the pace of saving and exchange no longer calls for copper to assume a role as money, as copper is demonetized those holding copper will find it more efficient to melt the copper that they have in monetary form and sell it as a consumer good.

 

European Jeton from 1598 courtesy of Wikipedia.org

 

The process of demonetization is simply a matter or free choice when something occurring in nature is used as money.  It first moves to the fringes of use as money, as a Jeton or modern day casino chip is used in place of money.  In time, the material will be demonetized completely.

 

Debt, when used as money, enjoys no such elasticity.  By necessity, when debt is forced into a role as money, it causes an unnatural proliferation of credit, so that when the inverse of Gresham’s law begins to operate (good credits push bad credits out of circulation) the unnatural restriction on the money supply assures that even the best of credits will go bad, and the money supply along with them.

 

When debt is demonetized, usually by force, the result is more often than not a severe hyperinflation followed by war.

 

Legal tender laws, such as the modern laws which declare that debt is money, are futile at best and generally destructive.  They do, however, permit a small group to reap the monetary margin that the artificial monopoly on money creation allows them for at time.

 

Accepting that an inanimate object is no longer worth what one thought it was can be disappointing, but at least one still has said inanimate object.  In the case of debt, accepting that someone cannot deliver what they promised tends to create feelings of resentment and remorse which, depending upon the size of the failure, can lead to violence.

 

Soon, the world will learn that using debt as money is a dangerous violation of the very laws of nature.  As with any violation of natural law, the consequences may be withheld for a time, but they are never avoided.  The longer they are artificially withheld, the more swiftly and severely the consequences will be meted out when they can no longer be repressed.

 

For no man, or group of men, regardless of their number, clairvoyance, or special powers they profess to have, can suspend or accelerate the operation of natural law.  The Creator alone reserves that power for himself.

 

There is a perfect balance in God’s creation.  Yin and yang, male and female, mercy and justice, heat cold, money and debt.  Calling one extreme the by the name of other is futile and leads only to confusion and destruction.

 

It is only a matter of time.

 

Stay tuned and Trust Jesus.

 

Stay Fresh!

 

David Mint

Email: davidminteconomics@gmail.com

 

Key Indicators for January 31, 2012

 

Copper Price per Lb: $3.79
Oil Price per Barrel:  $98.48

Corn Price per Bushel:  $6.39  
10 Yr US Treasury Bond:  1.80%
FED Target Rate:  0.09%  ON AUTOPILOT, THE FED IS DEAD!

Gold Price Per Ounce:  $1,737 PERMANENT UNCERTAINTY

MINT Perceived Target Rate*:  1.50%
Unemployment Rate:  8.5%
Inflation Rate (CPI):  0.0%
Dow Jones Industrial Average:  12,633  

M1 Monetary Base:  $2,152,800,000,000 RED ALERT!!!  THE ANIMALS ARE LEAVING THE ZOO!!!
M2 Monetary Base:  $9,782,800,000,000 YIKES UP $1 Trillion in one year!!!!!!!

Economics, Monetary Theory, Of Money and Metals, The Mint

Of Money and Metals, Part I – Balance

Yin Yang - A picture of balance

1/17/2012 Portland, Oregon – Pop in your mints…

It is turning out to be an unusually dry winter here in Portland.  It is a refreshing break from the usual incessant pounding of rain which blesses this part of the world between November and May each year.  Perhaps we are just now getting back the lost months of June and July of 2011, as nature has a way of evening things out over time. 

We have observed that there is a perfect balance in God’s creation.  Some call it a yin and yang, male and female, mercy and justice, freedom and slavery, heat and cold.  For every extreme, there is a force which, given enough time, will work to counteract the excesses wrought by the seemingly uninhibited operation of its polar opposite.

It should come as no surprise, then, that in the economic sphere, debt and money fall into the same category of opposing natural forces.

Yes, debt and money are two completely different forces.  One takes from the future to provide for the present, the other takes from the past towards the same end. 

Simple, right?  Male, female, Yin, Yang, case closed.

Yet circa 2012, for some odd reason, there seems to be an abundance of debt and a dearth of money in the world.  The world as we know it is perilously out of balance.

How can this be?  Why are things so far out of balance?  In the interest of time, we will sum up what is otherwise a long and painful explanation in the following way.  Roughly 100 years ago, by decree of the financial authorities, debt was declared to be money.

Ever since then, man has lived in a state of economic confusion.  On one hand, He has seen an unprecedented level of technological advances and a resulting rise in his standard of living.  On the other hand, on net, he, or someone acting in his name, has borrowed an unprecedented amount of money from the future in order to achieve these advances and consequent rise in his living standards.

How is this possible?  Didn’t simply declaring debt is money relieve man of having to save?  After all, if everyone simply assents to accepting promises to pay in the future for goods or services delivered or performed today, haven’t we trumped the need for savings, the Yang, as it were?

More to the point, have the laws of nature with regards to money been permanently altered?

If only it were so.  Unfortunately, the longer man labors under the false assumption that debt is money, the greater the pain which will be incurred by mankind as nature unilaterally brings the earth into balance.

More to come…

Stay tuned and Trust Jesus.

Stay Fresh!

David Mint

Email: davidminteconomics@gmail.com

Key Indicators for January 17, 2012

Copper Price per Lb: $3.72
Oil Price per Barrel:  $100.75

Corn Price per Bushel:  $6.04  
10 Yr US Treasury Bond:  1.85%
FED Target Rate:  0.08%  ON AUTOPILOT, THE FED IS DEAD!

Gold Price Per Ounce:  $1,653 PERMANENT UNCERTAINTY

MINT Perceived Target Rate*:  1.50%
Unemployment Rate:  8.5%
Inflation Rate (CPI):  0.0%
Dow Jones Industrial Average:  12,485  

M1 Monetary Base:  $2,380,300,000,000 RED ALERT!!!  THE ANIMALS ARE LEAVING THE ZOO!!!
M2 Monetary Base:  $9,829,100,000,000 YIKES UP $1 Trillion in one year!!!!!!!

 

Events, Jesus, The Mint en Español

Bono de U2 Adorando y Predicando – U2’s Bono Worshiping and Preaching

A beautiful montage from U2 for this weekend.  The year of Jubilee is approaching.  Stay Fresh!

Un hermoso montaje de U2 para este fin de semana. El año del Jubileo se está acercando. Manténgase fresco!

Poetry, Spain

They told me a year had passed

We invite you to enjoy a bit of poetry about our time in Barcelona and Spain this Friday afternoon.  Have a great weekend and stay fresh!

They told me a year had passed

By David Mint

 

I sat on the terrace in Les Planes,

Staring blankly at the wooded hills

Beyond the train station

Pondering all that had occurred

 

I’d arrived in the dead of winter,

Without expectations,

Without plans,

completely unprepared

 

I’d resisted the change,

Defiant,

Trapped in my ways,

Until the day that I was broken

 

At the point of death,

I sat waiting at Sant Pau,

And soiled myself,

Shortly after I’d been called

L'hospital de Sant Pau

As I lay in the dungeon,

Of the modernist gem,

Life dripped back into my veins,

Yet only to a point

 

I arose,

A changed man,

A blank page,

Humbled

 

I was free to travel,

Learn,

Serve,

And to love

 

Free to explore,

 Llançà, Huesca

Contra Corriente, El Lokal, L’Estudi,

Les Heures, Ligonde

 

Yet it is the people,

The love,

The Spirit which we share,

That remains

 

I met my true love,

Now this dream will never end,

We march forward and do not look back

Two becoming one,

 

I sat on the terrace in Les Planes,

Staring blankly at the wooded hills

They told me a year had passed,

And I did not believe them

Freedom, Politics

“No sir, you may not have the body”

Habeas corpus. It is more than a latin term which means “you may have the body.”  It is more than a simple legal action where a lawyer may request that credible charges either be presented against the accused or that they be set free.

Respect for habeas corpus is what distinguishes a free society from a totalitarian regime.  Naturally, the United States of America, the great defender of freedom and liberator of the world guarantees habeas corpus to all of its citizens, right?

Wrong.  With the stroke of a pen on new year’s eve, President Obama snuffed out what remained of the great flame of freedom which founded this great country.

Habeas corpus, as an idea in English law, can be traced back to the Magna Carta in 1215.  In the words of what many consider to be the genesis of free society, the concept is spelled out in the following manner:

“(38) In future no official shall place a man on trial upon his own unsupported statement, without producing credible witnesses to the truth of it.

+ (39) No free man shall be seized or imprisoned, or stripped of his rights or possessions, or outlawed or exiled, or deprived of his standing in any other way, nor will we proceed with force against him, or send others to do so, except by the lawful judgement of his equals or by the law of the land.

+ (40) To no one will we sell, to no one deny or delay right or justice.”

The Magna Carta enshrines Habeas Corpus

It was later affirmed by an Act of the English Parliament in 1679 and reaffirmed in Amendment IV of the United States Constitution in 1791.  Some would say that the recognition of and adherence to this simple legal principle by a society or government is the very definition of human liberty.

Yet for the past 11 years, the United States of America has failed to observe habeas corpus in the name of fighting terror.  Beginning with the Authorization for Use of Military Force (AUMF) signed into law by George W. Bush shortly after the September 11th attacks and continuing with current President Obama’s signing of the 2012 National Defense Authorization Act, habeas corpus is now no longer guaranteed to US Citizens.

While there is much to be said for increased general vigilance in the wake of the atrocities which took place in New York on September 11, 2001, it is a national tragedy that the quest for increased security measures in response to these attacks has now paved the way for the threat of indefinite incarceration of every American citizen.

Benjamin Franklin best summed up the current state of affairs when he penned the following words back in 1759:

“Those who would give up essential liberty to purchase a little temporary safety deserve neither liberty nor safety.”

Liberty in America circa 2012 is in increasingly short supply, and the possibility exists that innocent citizens will not hear their lawyer or family claim the legal birth right of free men everywhere by asking “may I have the body?”

Do you feel any safer?