July 17, 2008

Ron Paul on Fox Business talking about inflation as the greatest tax.

America's counting on you Ron Paul.

No more Mr. nice guy.

The Revolution needs a leader.

Step it up. START SHOUTING.

28 comments:

eric in vegas said...

Why do you have to be such a downer Keith? Wells Fargo pushed all the worthless 2nd mortgages they hold to the next quarter so they could fake their earnings and save the market today! Inflation doesn't matter unless you leave the US!

Anonymous said...

Keefer,

Re: the 2nd video.

Don't you find it a wee bit ironic that you castigating the sheeple in other posts yet all the people shouting from their windows are exibiting classic sheeple mentality and behavior? (I.E. open the window and see what everyone else is doing).

Remember when contrarian goes mainstream then it's no longer contrarian.

-Mike

Anonymous said...

Mike....you're a moron....go watch Network, and will all be clear....

GET YOUR FOA LOAN TODAY said...

LIFE'S LESSONS FROM THE REIC AND THE FED...

2007: YOU'VE ONLY LOST MONEY ON YOUR HOUSE OR STOCKS IF YOU SELL...

2008: INFLATION ONLY MATTERS IF YOU LEAVE THE UNITED STATES...

DOPES!!!

Anonymous said...

We need more headliners; Ron Paul never changed, the times did. Don't expect him to change now. Get the Schiffs of the world, the Don Harrolds, etc. out there.

We need a broad based movement.

Andrew from Russia (CPI 15.5% YoY) said...

If inflation is the greatest tax, then deflation is... an economic stimulus?

cobra2411 said...

Ron Paul is an ass.

Sorry, I used to like the guy but once you pay attention you loose respect for the guy. He's in a position to stop alot of what's going on right now or at least try, yet he hasn't lifted a finger.

I was at the July 10th hearing on financial systemic risk and when he was in the room he looked bored and like it was a chore to be there. He was in and out and as soon as he spoke he was gone. Did he drill Bernanke and Paulson? No, he rambled on and on and then ran out of time.

Also I've spoken to a couple of his constituents and his office has asked that they do NOT send faxes into his office. WTF? You work for the people and you don't want to hear what they have to say?? And no, these faxes weren't bs stuff, they were important questions that Mr. Paul should have addressed.

It's sad he's an ass; I really hoped he'd be someone I could have voted for, but no way in hell I support him now... I'm probably just going to write in "none of the above" when I vote.

Skaven said...

Inflation is so 2005. We have been inflating like crazy for the past 15 years, accelerated of course since 2001. We have now reached or almost reached maximum inflation, and deflation is kicking in.

No one is borrowing money, so no new money is coming into the system (regardless of the Fed interest rate - money cannot be waved into existence unless someone requests it).

There are only two inflationary components left, the falling dollar (which means inflation HERE, but not elsewhere) and oil, which will drop once demand destruction kicks in (already happening).

Inflation sucks, I love Ron Paul, and he's right. But wake up, people. Helicopter Ben is trying to avoid a 1929 DEFLATIONARY collapse, which is inevitable. What comes up must go down. You can't have a period of inflation like this one without the deflation.

Get out of all asset classes, cash is king (just not dollars). Only hold gold if you cannot get to another foreign currency.

/end rant

Anonymous said...

Thank you - that was great. Forget all of you ignorant people who can't do simple math.

Anonymous said...

cobra2411,

your the ass!

Charles said...

I've lost ALL respect for Ron Paul. He could be on the top of the Libertarian ticket with Bob Barr as VP and poll probably 20$ plus nationally.

The ADD media desperate for a summer story would be fawning over him and he AND Barr would be getting a ridiculous amount on face time on the networks!

Instead he moseyed back down to Texas...

And where did the cash from all those Money bombs go?!?

LibVet said...

"Don't you find it a wee bit ironic that you castigating the sheeple in other posts yet all the people shouting from their windows are exibiting classic sheeple mentality and behavior?"

Mike, those are not real people. It's a movie, a work of fiction.

Reality said...

"Helicopter Ben is trying to avoid a 1929 DEFLATIONARY collapse . . .
Get out of all asset classes, cash is king (just not dollars)."

Agree with you on the last point. Although, most people would call an episode like the Weimar Republic's hyperinflationary deflation as hyperinflation (i.e. not deflation, even though German assets went down in price in terms of gold and therefore the gold linked US dollar at that time, as the prices in German Marks went up a tillion fold).

Anonymous said...

Inflation favors earners rather than stored wealth.

Inflation is also the flattest tax.

Inflation eliminates debt.

Inflation isn't the end of the world; the destruction of the manufacturing base is.

Overpopulation is.

Dwindling resources is.

Inflation that would get MY generation out of collosal debt and restore manufacturing to America, I'M ALL FOR IT!

Anonymous said...

Skaven,

Inflation is a massive monster across Asia and I suspect Europe as well. Year over year prices in Thailand are 12%. Remember food and energy prices are global and in poorer countries these consume a much higher percentage of the average family budget.

So I agree with Keith's earlier comments on deflation of big assets but inflation in other areas.

-Mike

k.w. - Southern Ca. said...

That's very unfortunate to hear.

If he runs his daily business like many US doctors's run their medical practice, then I've also lost respect for him.


cobra2411 said...
Ron Paul is an ass.

Sorry, I used to like the guy but once you pay attention you loose respect for the guy. He's in a position to stop alot of what's going on right now or at least try, yet he hasn't lifted a finger.

I was at the July 10th hearing on financial systemic risk and when he was in the room he looked bored and like it was a chore to be there. He was in and out and as soon as he spoke he was gone. Did he drill Bernanke and Paulson? No, he rambled on and on and then ran out of time.

Also I've spoken to a couple of his constituents and his office has asked that they do NOT send faxes into his office. WTF? You work for the people and you don't want to hear what they have to say?? And no, these faxes weren't bs stuff, they were important questions that Mr. Paul should have addressed.

It's sad he's an ass; I really hoped he'd be someone I could have voted for, but no way in hell I support him now... I'm probably just going to write in "none of the above" when I vote.

Reality said...

"If inflation is the greatest tax, then deflation is... an economic stimulus?"

No. Deflation is a tax on debtors who previously took out a debt based on the rate of inflation at that time. It's a little like, too much rain is bad, but if after you plant a different crop according to the new and elevated rain fall level, a lack of rain can be just as disasterous to you now. The ones with a direct inside link to the money creation wins both ways . . . wouldn't you wish the big guy in the sky would dole out rain according to what you have planted? That's exactly what central banking does for the big bankers with those periodical bailout programs. In the process, they screw up everyone else . . . as banks make money by trading risks with counterparties. Monetary stability is an economic stimulus.

HOUSE2008 said...

That's exactly what central banking does for the big bankers with those periodical bailout programs.

Well put Reality. Never really understood deflation. But what make me steaming mad are those folks who lost money that wasn't "insured" over the 100K mark. They did nothing wrong but put their money in the bank to save as so many people point out here on this blog. Cash is king. Yet Ben can find the money to bail out Bear Stearns, Countrywide, ect & allow the CEO to keep THEIR money/bonuses while they flew their company into the ground. What the #%$&. So you get an MBA in marketing run a company into the ground while wiping out shareholder & the pension funds of workers (United, Enron) & they get to KEEP their salaries?

Anonymous said...

Ding Ding Ding

Reality's post is on the money. I'd also add that with inflation the first people who get the money (institutions with access to the discount window and the military industrial complex) make out the best. The people holding dollars or expectations of making a fixed amount of dollars get screwed as the money is diluted. They are the bagholders left holding the big empty bag.

-Mike

Mike Hunt said...

"Mike, those are not real people. It's a movie, a work of fiction."

Libvet,

Obviously it's fiction. However you must find it amusing to note the sheeple like approach to arousing the masses.

I still think that the following quote is clever:

"Remember when contrarian goes mainstream then it's no longer contrarian."

Something to think about when investing and understanding mass psychology.

-Mike

ERF! said...

This hurts but RP is a faker too. He blew his chnace to kill Ben and now its over. I bought in to it all looking for change. But all he has to give are long speaches and no action. I am going to return his book. We need fighters not talkers!

Anonymous said...

Shut up Keith! You sell out. go smoke Obama's poll!

John S said...

"Helicopter Ben is trying to avoid a 1929 DEFLATIONARY collapse..."

I'm unclear why deflation is bad, especially since I have a lot of cash and no debt. With inflation a loaf of bread could reach $1,000 by the end of Obama's first term, but my employer isn't going to raise my salary. With deflation, I could theoretically retire on $100,000.

cobra2411 said...

Anonymous 4:13, sorry I made your vag sore... I'll go easier next time...

Anonymous said...

there is no deflation. credit is going down, but goods prices are not going down.

credit and money are not the same thing. They are only similar in those things you have to borrow money for, like cars and houses.

Chris said...

"Inflation eliminates debt"
______________________________


Wrong!!!

Inflation only eliminates debt if wages go up... Which they are not.


When you have inflation without wage increases you have destruction of the middle class. (That is what is happening now)

Anonymous said...

Anonymous said...
Inflation favors earners rather than stored wealth.
Inflation is also the flattest tax.
Inflation eliminates debt.
Inflation isn't the end of the world; the destruction of the manufacturing base is.
Overpopulation is.
Dwindling resources is.
Inflation that would get MY generation out of collosal debt and restore manufacturing to America, I'M ALL FOR IT!


That post pretty much sums up everything that's wrong with America.

You're envious of the "rich," i.e. anybody who has more than you.

You have no clue how taxes work or their relative effects on those taxed.

You think debt can just be "wished" away.

You have a clue that the loss of manufacturing is key, but I suspect it's more your Marxist leanings than any fundamental understanding of economics.

You think over-population is the problem. OK, maybe you're a fascist.

And as long as corrupt money-creation shrinks your debt, then the world is A-OK. The Chinese, Japanese, Russians, and other countries to whom the 21st century will ultimately belong will be teaching your debt-burdened children and grandchildren a few lessons in who's the boss.

Anonymous said...

"With deflation, I could theoretically retire on $100,000."

Absolutely, also, a true deflation wipes out people's dreams of a good life so frugality becomes the norm than in speculating on the latest and greatest hedging strategy.

A true inflationary environment will turn everyone into a silver/gold speculator and then you'll have a loss in the confidence of the treasury, that's anarchy.

With deflation, PMs still hold value since they're a type of money, see silver '33 to '38, $0.25/oz to 0.75/oz, it retained its store of value as it was illegal to own gold. Whereas commodities like Copper and Zinc didn't do well.