Towards the end of the inflationary dynamic, the state has a vested interest in disregarding the law.
If you’ve read my rants prior to this one, you know that my pet peeve is the monetary system. And although you may sympathize or even agree with my position, what very few of you will agree to is that the monetary system does not only affect the economy but also our social structure and the way we live our lives.
If towards the end of the inflationary cycle you agree that in order to maintain a positive inflationary trajectory government must disregard the law, I am almost sure you may have a harder time still understanding how unconstitutional behavior in matters of terrorism relate to inflation.
Excerpts from the article:
“Yesterday, the Second Circuit — by a vote of 7-4 — agreed with the government and dismissed Arar’s case in its entirety. It held that even if the government violated Arar’s Constitutional rights as well as statutes banning participation in torture, he still has no right to sue for what was done to him. Why? Because “providing a damages remedy against senior officials who implement an extraordinary rendition policy would enmesh the courts ineluctably in an assessment of the validity of the rationale of that policy and its implementation in this particular case, matters that directly affect significant diplomatic and national security concerns” (p. 39). In other words, government officials are free to do anything they want in the national security context — even violate the law and purposely cause someone to be tortured — and courts should honor and defer to their actions by refusing to scrutinize them.”
“Reflecting the type of people who fill our judiciary, the judges in the majority also invented the most morally depraved bureaucratic requirements for Arar to proceed with his case and then claimed he had failed to meet them. Arar did not, for instance, have the names of the individuals who detained and abused him at JFK, which the majority said he must have. As Judge Sack in dissent said of that requirement: it “means government miscreants may avoid  liability altogether through the simple expedient of wearing hoods while inflicting injury” (p. 27; emphasis added).”
One of the keys to being able to ride roughshod over standing laws is the ability to escape scrutiny and/or the ability to escape prosecution. The end of the inflationary cycle must inevitably bring about a hardening of the institutions related to security and, gradually, to a militarization of civic institutions such as the police. As that is happening, the state also needs to make sure that whatever standing laws may exist in the land, they may not be brought to bear upon the administration.
Inflation as a deliberate policy is pernicious.
The only reason the government of a nation chooses a fiat monetary system is to have the ability to push inflation (creation of credit and money) faster than underlying economic activity.
Fiat money is a fantastic construct that would allow for fine tuning of the economy and mitigation of the effects of the natural ebb and flow of economic activity.
However, in a democratic context as incumbent administrations necessarily follow one another in the seat of power, fiat money can lead nowhere other than to the permanent expansion of inflation. It could not be otherwise because even assuming that economic conditions should call for reduced spending, no administration would accept to willingly decrease its budget.
The idea to make the central bank independent is supposed to facilitate just that process. As the guardian of interest rates and the fabricators of the currency, the central bank (the Fed in the USA) should act independently and manipulate interest rates according to economic activity.
However, that has never been the case. For whatever reason, central banks are not independent. The Fed certainly isn’t and as the US$ is the global reserve currency, by extension, neither are the other central banks. Certainly not the ones that matter.
Tags: arar vs ashcroft, bankruptcy, boondoggle, constitution, constitutional rights, credit, crisis, debt, deflation, fascism, federal reserve, fiat money, fraud, implosion, inflation, politics, revolution, scandal, unemployment, war, white collar crime