Make Cash King

The pyramiding of Federal Reserve Deposits isn'treducing their payrolls and consumption while
working. The one thing that is under the exclusivemunicipalities and state governments are too
control of Federal Reserve Chairman Ben Bernanke iscowardly to make the same sacrifices as their
doing very little to motivate banks to lend to oneconstituents.
another at the rate required. Basically, there's anIf the global money supply is to be legitimately
ocean of electronic money out there that is notexpanded without further debasement, then the only
trickling down through the banking sector and as asolution should be immediate and severe slashing of
result, not being spent by businesses and consumers.government spending. Let people spend their own
The money supply has been split between twomoney. Eliminate corporate subsidies. Eliminate all arts
entities; one is paper cash (Federal Reserve Notes) -funding and eliminate every barrier to international
collateralized by Treasuries bills, Federal Agencytrade and investment to compensate for companies
securities and gold -which is being hoarded by people,who will be hurt by the corporate subsidy
banks, and governments alike. The second ismoratorium. Do it!
electronic cash (Federal Reserve Deposits) pyramidedIf this monetary deflation continues, it will lead to a
by the FR's fractional reserves structure- which isdevaluation and eventual demonetization of the
essentially collateralized by the bank borrowers' noteselectronic money backed by the FR.
and activated by a click of Bernanke's mouse.The money supply is indeed abundant but hoarded
Many are blaming the pervading problem on banks'by governments and bloated corporate and social
hoarding this electronic money (credit) - yet statisticsentitlement programs.
show that there are significant decreases in demandAs this plan is implemented, the flood gates for
for this credit. The problem is trust in the marketsforeign investment must be opened and allowed to
and consumers focused on debt reduction, notcirculate without conditions.
expansion. Also, the intermittent rocket rallies we'veWe don't need to financial engineer our way through
witnessed in the financial markets are the work ofthis crisis, we need to slash spending and allow the
speculators, not true investors. They seem to be themarket to spend its own cash, whether its
only ones spending this credit while businesses andcorporations, small businesses or laborers.
consumers are saying no thank you. They are