International intrigue

It is legitimate to wonder why the main stream international press and, in particular, the US press should not have picked up on the story of the two alleged Japanese nationals caught at the border between Italy and Switzerland with $134Billion in bearer bonds.

134Billion??? And the press doesn’t pick up on it?

Here is one of two original newspaper articles as they appeared in the Italian main stream press the day after the event (the other article was purblished by La Republica):

http://www.ilgiornale.it/a.pic1?ID=356715

Here is what Bloomberg had to say on June 12 a good four days after the event:

http://www.bloomberg.com/apps/news?pid=20601092&sid=aHumNo7stuQg#

Essentially, nothing! This is your typical page 16 story apparently.

Can I have a WTF?

If the bonds turn out to be counterfeits, the seizure would be nothing short of a bomb shell if for no other reason than the fact that the bonds appear to be of exceptionally high quality; quality that would be hard to replicate without the assistance of some powerful entities

If the bonds are real, the seizure would be nothing short of a f@#%&g bomb shell as the sheer amount is staggering and would rightly elicit questions of what the f%$@k is going on.

Either way, this story smells rotten but the main stream press doesn’t seem to think it matters.

Here’s the other thing.

Having read some of my past essays, you know by now that in making the deliberate choice of adopting a fiat monetary system, the perpetuation of government and the political process is predicated on the perpetuation of inflation. But inflation is exponential in nature. Thus constantly and aggressively priming inflation over several decades inevitably brings forward in time phenomenal quantities of indsutrial production capacity.

Once past the peak of the “beneficial” effects of inflation, that is, once the return on investment of the economic expansion fostered by inflation diminishes vis-a-vis the expansion of debt, inflation must accelerate exponentially. Thus so will production capacity. Evidence of this dynamic can be found anywhere in the world of industrial production. For example; this is the reason car dealers register unsold cars and then sell them on the gray market of foreign countries as “0 Km” second hand vehicles. This is also the reason you can easily buy genuine cigarettes at traffic lights at a fraction of the price of authorized dealers – these are genuine cigarettes sold by the manufacturer to non exclusive dealers in unregulated economies like Albania or Romania say, in the full knowledge that these stocks will make their way to regulated markets like Italy or France and be sold by unothorized retailers at a fraction of the cost.

And this is where it gets interesting.

Governments are not much different than you, me or a company.

In the absence of inflation, a government withers and dies. It is the vested interest of government to induce inflation in an economy. If you are the issuer of the world reserve currency, you have a vested interest in inducing inflation globally.

Once you are on the other side of peak beneficial effect of inflation and you are in the declining phase, you have a vested interest in closing an eye or two on how you can foster inflation. Closing an eye or two also includes tolerating a certain degree of “counterfeit” currency. This will be currency that will make use of official paper, official ink and official printing presses that have been supplied by the US Government ostensibly to allow friendly governments to print their own currencies (like the US did for Iran in the 50s for example – of course, the Iranian government changed since then but the printing press and the equipment were good for a very long time).

So, two Japanese looking characters are caught crossing from Italy into Switzerland with 134Billion US Dollars.

Is this part of trying to induce inflation by other means by the US Government? Likely we’ll never know. But this story smells rotten from a mile away starting by why these two idiots should try to cross at Chiasso which is one of the most controlled border crossings into Switzerland from Italy.

ONE HUNDRED THIRTY FOUR BILLION DOLLARS!!!!

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3 Responses to “International intrigue”

  1. Inflation, deflation, fiat money, currencies… « Exeis Says:

    […] this essay and this one , I explain some ways that inflation can be induced in the system and why. Essentially, as the […]

  2. Inflation, deflation, fiat money, currencies… « Guido’s temple of the absurd Says:

    […] this essay and this one , I explain some ways that inflation can be induced in the system and why. Essentially, as the […]

  3. guidoamm Says:

    Now Bloomberg shows up with this… along with some presumably official declarations that the bonds are fake… ???!!!!

    Fake?

    Who could be so stupid as to create a $500Million fake bond? Where did this person think the bond could be cashed-in without the purchaser checking it? This is not a $50 dollar bill we’re talking about. This is a Five Hundred Million Dollar US Bond… several of them…

    Whatever, here is the Bloomberg article…. juuuuust a few days late…

    http://www.bloomberg.com/apps/news?pid=20601039&sid=a62_boqkurbI

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