Laying Off Every Fed Worker Wouldn’t Make A Dent in the Deficit

Hello fellow Vigilantes,

I am feeling chipper today.  I can’t say exactly why or how but thoughts are flowing with ease and I feel great.  I didn’t do anything out of the ordinary today or yesterday and this is the first time in weeks our stock portfolio has ticked down so I can’t find any reason for my zeal – not one that is obvious to me anyway.  I’ll just take it as being part of the energy and cycles of life – I was out and about today and everyone was smiling and happy.

Have you ever noticed how it seems some days that everyone is happy.  And there are other days where everyone seems to be in a rotten mood?  I’ve even asked other people, “Is it just me or is everyone in a good mood today?” just to make sure it isn’t some phsychological aberration that I am projecting onto others – but in most cases I find that other people are feeling what I am feeling too.

Well, whatever the case, I am feeling good, so lets talk about the current state of disrepair of the world’s nation states and fraudulent fiat currency ponzi schemes.

US Government Deficit

Do you wonder why the US dollar is collapsing and gold & silver are rocketing higher?  Stick with me for just a few more paragraphs and you will understand completely.

First, let’s start with the news that came across the internet today, “Government report $1.3 trillion deficit“.  Most calculators can’t even calculate numbers in the trillions but luckily the one supplied on Windows 7 can crunch numbers that big.  So, let’s just take a really quick at this number.

$1.3 trillion is $3.5 billion per day that the government is spending beyond the income it takes in through the theft of taxation.  $3.5 billion per day adds up to $106 billion per month.

So, I wondered, what if you laid off EVERY federal government employee, would that get rid of the deficit entirely?

According to Census.gov, for the month of March 2009 (the latest month it had data for), there are 3,836,544 federal government workers making a total of $17.5 billion for the month of March.

So, given that the US government is currently spending $106 billion per month more than it currently has AND the total of ALL federal employees salary adds up to $17.5 billion per month, even if the US government were to fire all 3.8 million employees they would still be in a deficit of $88.5 billion per month.

While we are greatly in favor of laying off every single one of the 3.8 million “workers” you can clearly see that it wouldn’t even make a dent in the deficit.

And that, friends, is why the US dollar is collapsing.

Bennie and the Feds

Meanwhile, Ben Bernanke, still living in his imaginary world, stated today that, “all else being equal, there would appear to be a case for further action.

Really Ben?  What is the case for further action, exactly?

Would someone please put their hand up at one of his congressional testimonies and ask him the following: “Can you show any proof whatsoever that at any point in history a central bank printing money has improved the economy?”.

I’ll answer that question for you, to make this quick.  The answer is no.  Of course not.  If it were the case then many of us would be speaking Shona today, the principle language of Zimbabwe, and reading books about “The Zimbabwe Miracle” and having our mothers and school teachers implore us to study up on Shona as “Zimbabwe is the future”.

Or, can someone please put up their hand at the next Congressional hearing and ask Ben if he believes in Keynesian economics.  And once he says yes, please read to him this Keynes quote:

“By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method they not only confiscate, but they confiscate arbitrarily; and, while the process impoverishes many, it actually enriches some…..Those to whom the system brings windfalls….become profiteers.?” – John Maynard Keynes

And then ask Ben, “Is this the inflation that you are speaking of that you are trying to increase currently?”

When he stammers, please have the police behind him to take him away for treason.

Just Own Gold

We are not too far away now from everyone waking up to reality.  It will happen within the next 5 years.  It could happen within the next 1-2 years.  But it will happen.

And when it happens people will all ask, “How could we have been so fooled by an obviously bankrupt and thieving system?”.

But the chart of gold has been telling the story ever since 2001.  You just need to listen.

Sure, we may be nearing a short term peak, as per the chart above.  But, what are you going to do, sell your gold for US dollars?  Are you crazy?  You must be some kind of “dollar bug” if you believe the dollar will even exist a few years from now.

There may be a time to sell gold.  But it is most certainly not now.  And it will NEVER be a time when it will be good to sell gold for US dollars.  We may reach a point where you can buy entire hotels and modern factories for a few ounces of gold.  That may make some sense.

But to sell gold to buy dollars now is ludicrous.

As we depart for the weekend, please note, full subscribers of The Dollar Vigilante will be receiving our next junior gold stock recommendation this weekend.  Subscribe now for only $25/month, with no obligation, to get insights into stocks that have, literally, 10,000%+ type potential as this movement back to gold as money turns into a mania.  We urge to subscribe with your US dollars now before they become worthless and we stop accepting them.

Join our community of dollar crash survivors and let’s try to have some fun during a time that will be very trying for many people whose eyes still aren’t open to the truth.

Have a great weekend,

Jeff Berwick

Chief Editor

 

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