EXPONENTIAL GROWTH The Mathmatics of our Society

Exponential growth:

OK, here is a question for you. No fair asking the resident math boffin. You have a bacteria that doubles every minute. You put him in test tube of bacterial food. The size of the test tube is such that in exactly one hour (60minutes) the bacteria will have eaten up all the food and the test tube will be full of bacteria.

Question. At what minute from 0 to 60 will the tube be half full of bacteria, half full of food. What would your average bacteria say about the prospects of his culture at that moment. How close are they to disaster (no more food).

at 59 minutes....

  ($14 TRILLION..Talking in Quadrillions now, what a few extra Zero's eh?)

I would submit that our society, specifically our Economy has been on an exponential curve, just as Computer speeds double every 2 years under Moores Law, our Leaders are producing Paper and Electronic Money in a simillar 'Doubling' the latest Obama Budget is the last straw to many people the World over who have their eyes open.

1.4 Trillion in extra Debt. Now the US Debt added is equal to102% of Income.

The USA are not the only ones in the race to destruction of the remaining value of a Euro, Yen, British Pound, even Yuan. The West is in the last phase of an experiment, Nixon took the US $ completely off the Gold Standard in 1977. Being the Worlds Reserve Currency made certain that everyone else follows suit.

Since 1977 the depreciation of your currency has been a form of Taxation, real Wages have remained in a flat line for 40 years almost. The best years of real quality of life were in the Post War Years. One person could support a family while the other balanced with Childcare etc. By 1980 all this was a fable, like "Leave it to Beaver" or Dick Van Dyke, we laugh at it now but for most people in Western Society's the years 1950 to 1975 approximately life was pretty good. In fact your Life Expectancy now is lower than then.

Antibiotics worked! Dozens of these "New" Diseases like ADHD,Parkinson's, MS, and many other Cancers / Nervous System related disease did not exist or were confined to a far smaller percentage. Between the Fluoride in your Water, the Mercury in Injections, the Barium & Aluminum Chem-trails and the Artificial Sweeteners all for our benefit.  In an Urban Society saturated with Electromagnetic Radiation. Is it any wonder we see so many people with exotic illness or struck with the ones that were rare, but now common.

If they knew so much about Fluoride in the late 1940's I would like to see the Scientific Papers that prove it. No proof at all now we know its Toxic along with all the other chemicals in the food chain.

Back to Exponetial numbers, when you see a graph going from a soft curve to an almost vertical spike you have Exponential function. The Time axis is short while the number axis is high. Like the Bugs in the Test Tube we do not see the consequences until the 59th Minute. Up to the 58th there was still 50% left.

The USDX / US$ would be far lower if other countries were not racing the Money Machines also. To get a close idea of the true value you can compare it to Gold. In 10 years its gone from 1/300 of an Ounce to 1/ 1400th of Value. A better indicator is to read a Newspaper from 1970 and compare the prices. In those days the curve was relatively flat, the Time Axis was longer between each doubling of the amount of Paper to Commodity.

                                      "IN GOLD COIN"

In 2011 the Elites continue their personal protection plans, they have cashed out Shares and Govt Bonds and have been increasingly converting them to Commodities or other Tangable assetts. The selling of Shares by Insiders has increased every month for the past 6 I have followwed. Sell 3000 Shares; Buy 1 Ratio.

They know the whole stucture could collapse and probably from a force outside of their control. If they can keep control we can expect a Coregraphed Event and your Bank will close for the next few days. Fridays are prefered , nifty memorable dates like 7/7, 9/11 or 10/11, or 8/8 they love Elevens. 11am on 11 Nov 1918. Why not 6AM and save a few thousand lives.

I expect the aim point is in 2012, I hope I have another year to keep preperations moving; I have Water Filtration, Stored Food, Tangable Investments. Paper Money should not be kept wasted in a Bank, its value is depreciating and you will probably loose it all.


LOOSE IT ALL...Have a look at the charts of Paper Money printing, Money without backing is an experiment, it occupies a 40 year slice of thousands of years. Since the Enlightenment  500 years ago we have never had a system based on IOU's no matter how fancy. The $2 Australian Coin is 98% Copper, Copper is $4.50 a Kilo. The 1966 .50 Cent coin is worth $12 at the moment, (Silver is still moving up /  $33 at moment)

A Kilo of Bannana's is $5 thanks to Queenslands Cyclones, as will a lot of other foods and everything else as the 50% 60% 100% increases in Global Commodities works down the system after its been through the Speculators and Retail Mark Up add the rising price of Oil $103 a Barrel thats Brent Crude. Ignor WTI figures they apply to a very small part of the US Market.

The CIA directed riots started over food, a Man earning $2 a day has to spend 40% to 60% of income on food the familly meal looks smaller, Pride and then the gwaring pain of hunger will push people, they become Pawns of Vultures who will point them into a Machine Gun.

                                    "Let them eat Lead"

The Riots are not freedom rally's. Eat first, Democracy later.

25 nations have deliberately slashed the values of their currencies

We have had pure "Fiat" Money since 1971 when Nixon took America off the Gold Standard, enabling the Boom Bust cycles that have enabled the Super Rich to exit the door first and taking the profits; before 'Joe Sixpack' has a chance to get out of falling markets.

Now the action is in trading and debasing currency in order to shave Billions of the top as they circle the planet manipulating the money we use and have an almost reigious belief in its value.

Take out a paper note and have a look at it. Its Paper and its only value exists in the shadow world of Global Banking. Japan is probably the most exposed to a disaster of a proportion that will start the Domminoes falling. Without a Gold or other 'Real' asset behind it, that paper money is simply paper. If I tried to exchange an ounce of Silver for $22 (USD) what would you say ? 

Simply put the value of the number in your Saving Account is more real to you than an equivelent amount of Gold. Its built into the mind from a very young age; the reality is very different. A bout of Inflation of 7% would evaporate the value of your money in less than 10 years it would be worthless. Inflation is a Tax you are forced to pay, the only way around it we are told is invest it in a Bank, Stock or Bond. 

In the next few years there will be a 'Run' on the US Dollar, a prelude to this will probably be the upcoming crisis in Japan. Japan is in debt to the tune of 200% of GDP. In other words they are Bankrupt as is the UK and the United States. 

Who falls first? My bet is Japan, the article below is from King World News. As with anything important to your survival you should research for yourself and get some Insurance. Gold has a long way up yet to go. As currency becomes visible for what it is (Worthless Paper) the race for hard assets will be on. The 40 year experiment with funny money is nearly over and its a disaster. 

September 28, 2010

By Ben Davies, CEO of Hinde Capital

September 28 (King World News) - Tinker, Tailor, Soldier, Sailor, Rich Man, Poor Man, Beggar Man........Thief 

“Within a single week 25 nations have deliberately slashed the values of their currencies.   Nothing quite comparable with this has ever happened before in the history of the world.   This world monetary earthquake will carry many lessons.”

Globally GDP has been anaemic since the crisis first arose in 2007.  The inevitable conclusion of most countries today is that the best way to extricate themselves from the current mess is to shift effective demand away from imports onto domestically produced goods.   The preferred method is competitive currency devaluations.   

Unfortunately this is not possible for all, and leads to friction as countries effectively steal other nations output to bolster their own.   Plato and Aristotle referred to this as 'overgrazing', the ‘tragedy of the commons’.  Nothing changes.   This always leads to heightened tensions and conditions of capital controls and other protectionist behaviour such as punitive tariffs and quotas on imports often prevail.   Friedman's flat world aside - it is already happening. 

To maintain the last decade of prosperity (illusion) countries are systematically hell bent on exporting themselves to economic health.   This is a zero sum game.  Not all countries can export at the same time by definition that the global balance of payments will not then balance.   For one winner there is a loser.   The implication on import prices is dramatic.   Inflation is imported or exported depending on your view point around the world.   Let's rephrase 'inflation' - global citizens will experience a rise in the value of goods due to creation of more money used to devalue their currency.   

The pursuit of mercantilist traditions may help alleviate the collapse in output for some, and the ensuing rise in goods prices may help government reduce the value of their debts; but at what costs? Increased international tensions and let's not forget the internal social unrest that is accompanied by citizens whose wages have not kept abreast of these rising prices.   

As the traditional English folk tune rhymes Tinker, Tailor, Soldier, Sailor, Rich Man, Poor Man, Beggar Man........Thief.   Rich or poor, you beg from your neighbour there is no two ways about it in the world of current accounts - you are a thief.   

It is politically more savoury to expropriate the output from another country, unfortunately this will be at the loss of the majority.

Within a single week 25 nations have deliberately slashed the values of their currencies.   Nothing quite comparable with this has ever happened before in the history of the world.   This world monetary earthquake will carry many lessons.

Henry Hazlitt 1948 wrote this in a book "From Bretton Woods to World Inflation", which predicted the inevitable collapse of this fixed exchange rate mechanism.   It was a compilation of his editorials from both his time at the New York Times and Newsweek, which ridiculed the prevailing economic Keynesian thinking to great effect.   A brilliant journalist, economists and liberal philosopher, this man intuitively understood the pernicious nature of the Bretton Woods fixed exchange rate arranged in 1944. 

Murmurings of such 'beggar-thy-neighbour' currency devaluations have once again sprung up amongst the financial literati and rightly so.   Better late than never.   The truth be told is that we have been living in a highly unstable world even more so than under BW I.   The dollar pegs, primarily the Asian renminbi dollar semi-fixed exchange rate, what most refer to as Bretton Woods II, have (arguably) been responsible for the financial friction we observe today. 

The RMB and US dollar are constantly colliding into each other. The clashing of these two tectonic currency plates has just begun to accelerate at an alarming rate.   Ironically the move to greater currency flexibility on the part of the RMB against the dollar stands ready to produce the almighty mother of seismic monetary events - the collapse of the fiat currency system.   The implications for government bonds, equities and real assets are profound.   Are we being overly sensational? We don't think so.