Expect Government Crackdowns In A ‘Global Depression’

This article was first published in 2020.

For those professing a preference for one type of government over another, anugly reality is they all cut from the same cloth. Whether we are talking about Democracy, Communism, Socialism, or Fascism the strong link they share is one of dominance and a desire to control. While seen as vastly different systems with distinct goals, each is rooted in the promise people should sacrifice as needed for “the greater good.” The main flaw in a democracy is that it allows a simple majority to force their desires upon others. This is why our forefathers set checks and balances in the Constitution, however, even these do not guarantee freedom will remain. 

Today, the burden of risk and the amount of “skin in the game” is not equally shared by all of society. Over time our financial system and institutions have been corrupted by crony capitalism and a political system that panders to the masses by exchanging favors for baubles. It could be argued that those in power don’t have to take away our freedom by force if we are willing to surrender it or trade it for a few paid weeks off work. Nor do they have to be fair in how they go about this if they simply get a majority of the populace to go along with their plan.

The suspicion governments are self-serving creatures is apparent in the old school British imperial definition of “commerce” which used free trade as a cover for the military dominance of weak nations. Those put in a position of being exploited often saw this as simply a ruse promoted by those wishing to abuse them. In short, opening borders and turning off protectionism simply makes it easier to rob countries of their wealth. America, a wayward child of England, has been accused of following this same path.

In a 2020 article a case was made that the world was headed towards an economic crisis due to several factors. The problem is that such a scenario encompasses all aspects of life, from food and energy, to supply chains, geopolitics, and possibly even war. This article is an effort to offer up some ideas on how governments might respond to such an event based on current trends and some of the events that have occurred during the covid-19 pandemic. If we accept the idea that governments are self-serving and that a huge majority of the people suffer during an economic depression, we should expect frictions to develop as the populace seeks solutions to ease their pain. 

Sadly, governments across the world have overreached and crushed the rights of individuals during the pandemic. People have been denied the ability to travel, locked in their homes, followed by drones, and even been jailed. This may have been just a taste of what we might expect if governments are put under pressure to perform. Many people have pointed to the fact that in the past “war has been the go-to answer” often used to take our eyes off of problems. Hopefully, that will not be the case, however, many of the other options possible in the age of almost total surveillance do not seem much better. 

It is wise to remember that when all is said and done, those in power will not be kind to us but they will rapidly throw us under the bus without a thought. Silencing dissidents or those that protest or disagree by limiting free speech is only a start. Lock-downs and curfews take on a whole new meaning when harshly enforced. They can include things like house arrest, cutting power, links to the internet and communication, and even water to areas where unrest gets out of hand. You can expect governments to remove anything that gives us the power to control our fate.

The topic of our future and culture always circles back to and is directly linked to the issue of jobs vanishing as automation and an army of robots march into our workplace. This can result in a future that takes on a very grim dystopian appearance. The fear of being replaced by a robot or seeing your job being outsourced or eliminated is on the rise. Do not be surprised if in the end those displaced from the job market are only given enough to ensure they remain docile and behave. If and when this becomes an issue conflict and violence will arise.

While some people credit Rahm Emanuel with the saying, Winston Churchill was the first to say, “Never let a good crisis go to waste.” He said it in the mid-1940s as we were approaching the end of World War II, and history indicates those in government have taken heed. The one thing we can count on is that when things crumble, the old, “we should have done more” or the “it would have been far worse” lines always flow forth from those in charge. Under this logic, we should be prepared to be subjected to massive abuse by those with strong agendas.  

Possibly, one of the most dire threats we face flows from the combination of big tech and those in pursuit of the highly touted one-world agenda. This brings together a slew of organizations, governments, companies, wealthy, individuals, and bankers with the goal of expanding their power. The gathering in Davos of the World Economic Forum is not for our benefit but more for plutocrats like Facebook’s Mark Zuckerberg and Amazon’s Jeff Bezos that desire to “break the world” with their ruthless agendas to bring more political power into their hands. Recently a great deal of attention has been given to some of the ideas and vision the WEF has floated. One of the most powerful became visible when WEF public relations released a video entitled: “8 Predictions for the World in 2030. Its 2030 agenda offers a telling glimpse into what the technocratic elite has in store for the rest of us. It promotes the idea that  by 2030 “You will own nothing. And you’ll be happy. 

How do you begin to fight or turn back a force that has even incorporated and leveraged the ever-present smartphone as an ultra-powerful surveillance device? By developing programs to organize phone data so that it provides real-time intelligence on every citizen, and using it to guide and influence our actions the power of the state has been deeply enhanced. The digital age has made it far easier for government to seize our computers and records to shape a case against anyone by massaging the data as they see fit. The reason we hear so little criticism of these actions from our government may be that we are next in line to have our freedom culled. Governments are not the friend of the average man. Orwell wrote about how governments could take on a life of their own and criticized totalitarianism throughout his writings.

Totalitarianism, the most extreme and complete form of authoritarianism is a political concept that defines a mode of government, which prohibits opposition parties, restricts individual opposition to the state and its claims, and exercises an extremely high degree of control over public and private life. Political power in totalitarian states is generally pushed by those on the far left or right with strong agendas and an all-encompassing propaganda campaign, which is disseminated through mass media. Signs of its growth are often marked by political repression, growing control over the economy, restriction of speech, and mass surveillance.

Of course, a huge step in individuals losing control over their lives would be the adoption of a single world currency.Those in charge of our financial machinery have indicated to the public their desire for more power. This means creating a truly global centralized economic system and a highly controlled world currency framework dominated by a select cult of banking oligarchs. This would, in effect makes the rest of the human race their slaves. The banking elites are positioning themselves to avoid blame for a disaster in which all fiat currencies fall in value by selling us on an elaborate recovery con-game which includes converting to a new worldwide currency. Remember, this is conceived and perpetuated by those with the most to gain. 

For years the IMF has been discussing replacing the dollar with the SDR as the world reserve currency. It would require governments to borrow from the world central banking authority, rather than printing currency to finance their infrastructure programs. With governments floating the idea of going cashless and to digital currencies, this would give them even greater control over our lives. To be clear, the elites are positioned and merely waiting for a geopolitical disaster or catastrophe so overwhelming that when the time arrives they can portray themselves as our saviors by carrying out this plan. 

This is all part of the New World Order and globalization idea pushed by many of the rich elite and world leaders. It contends that larger, more cooperative governments under one financial unit will benefit us all. The fact is Americans have a great deal to lose if the dollar is dethroned and declines in value. Those who will be crucified are the middle-class Americans whose wealth is locked into or are holding long-term USD bonds thinking they are a safe investment.  To Americans, the fate of dollar-dominated assets and their value when the dust finally settles should be a huge concern but most Americans fail to grasp the implications. 

The transition to a world currency would take a far greater toll on paper assets than tangible goods. While recognizing the flaws of the dollar and our current system I have come to believe the other fiat currencies such as the euro and yen hold even less merit. This includes cryptocurrencies such as bitcoin. Regardless, in the end, we should expect to be told and not given an option as to what is coming. If events unfold in the way those promoting a one-world currency hope, they will be able to portray cleaning up a financial mess as a blessing. The truth is, they will benefit greatly from putting a dagger in the heart of freedom. This is not written to frighten or as a prediction of doom but to dampen any illusions those at the top value those below them.

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What Happens if an Event Such as Nuclear War, EMP, or Plague Takes Our Society Back Beyond the Early 1900s 

It’s one or two years after an EMP attack and you are safely tucked away in your retreat somewhere in the middle of nowhere.  Your storage foods have mostly been used and your high tech electronics is useless.   The really bad stuff is mostly past.  Now it’s try to stay fed and alive and pray that civilization as you know it is coming back.  You’re going to have to work your environment to live.  Ever wonder what life might be like?  What would it really be like to have no running water, electricity, sewer, newspaper or Internet?  No supermarket or fire department close at hand?

I have a good imagination but I decided to talk to someone who would know first hand what it was like: my mother.  She grew up on a homestead in the middle of Montana during the 1920s and 1930s.  It was a two room Cottonwood cabin with the nearest neighbor three miles away.  She was oldest at 9, so she was in charge of her brother and sister.  This was her reality; I feel there are lessons here for the rest of us.

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There was a Majestic stove that used wood and coal.  The first person up at four thirty A.M., usually her father, would start the fire for breakfast.  It was a comforting start to the day but your feet would get cold when you got out of bed. 

A crosscut saw and axe was used to cut wood for the stove and after that experience, you got pretty stingy with the firewood because you know what it takes to replace it.  The old timers say that it warms you when you cut it, when you split it, and again when you burn it.  The homes that were typical on homesteads and ranches of the era were smaller with lower ceilings than modern houses just so they could be heated easier.  The saw and axe were not tools to try hurrying with.  You set a steady pace and maintained it.  A man in a hurry with an axe may loose some toes or worse.  One side effect of the saw and axe use is that you are continuously hungry and will consume a huge amount of food.
Lights in the cabin were old fashioned kerosene lamps.  It was the kid’s job to trim the wicks, clean the chimneys and refill the reservoirs. 

The privy was downhill from the house next to the corral and there was no toilet paper.  Old newspaper, catalogs or magazines were used and in the summer a pan of barely warm water was there for hygiene.  During a dark night, blizzard, or brown out from a dust storm, you followed the corral poles-no flashlights.

There were two springs close to the house that ran clear, clean, and cold water.  The one right next to it was a “soft” water spring.  It was great for washing clothes and felt smooth, almost slick, on your skin.  If you drank from it, it would clean you out just as effectively as it cleaned clothes.  Not all clean water is equal.

The second spring was a half mile from the cabin and it was cold, clear, and tasted wonderful.  The spring itself was deep – an eight foot corral pole never hit bottom- and flowed through the year.  It was from here that the kids would fill two barrels on a heavy duty sled with water for the house and the animals.  They would lead the old white horse that was hitched to the sledge back to the buildings and distribute the water for people and animals.  In the summer, they made two trips in the morning and maybe a third in the evening.  In the winter, one trip in the morning and one in the evening.  They did this alone.

Breakfast was a big meal because they’re going to be working hard.  Usually there would be homemade sausage, eggs and either cornmeal mush or oatmeal.  More food was prepared than what was going to be eaten right then.  The extra food was left on the table under a dish towel and eaten as wanted during the day.  When evening meal was cooked, any leftovers were reheated.  The oatmeal or the mush was sliced and fried for supper.  It was served with butter, syrup, honey or molasses. 

The homemade sausage was from a quarter or half a hog.  The grinder was a small kitchen grinder that clamped on the edge of a table and everybody took turns cranking.  When all the hog had been ground, the sausage mix was added and kneaded in by hand.  Then it was immediately fried into patties.  The patties were placed, layer by layer, into a stone crock and covered with the rendered sausage grease.   The patties were reheated as needed.  The grease was used for gravies as well as re-cooking the patties.  Occasionally a fresh slice of bread would be slathered with a layer of sausage grease and a large slice of fresh onion would top it off for quick sandwich.  Nothing was wasted.
Some of their protein came from dried fish or beef.  Usually this had to be soaked to remove the excess salt or lye.  Then it was boiled.  Leftovers would go into hash, fish patties, or potato cakes.

Beans?  There was almost always a pot of beans on the stove in the winter time.
Chickens and a couple of milk cows provided needed food to balance the larder.  They could not have supported a growing family without these two resources.
The kitchen garden ran mostly to root crops.  Onion, turnip, rutabaga, potato and radishes grew under chicken wire.  Rhubarb was canned for use as a winter tonic to stave off scurvy.  Lettuce, corn, and other above ground crops suffered from deer, rats, and gumbo clay soil. Surprisingly, cabbage did well.  The winter squash didn’t do much, only 2 or 3 gourds.  Grasshoppers were controlled by the chickens and turkeys.  There was endless hoeing.

Washing clothes required heating water on the stove, pouring it into three galvanized wash tubs-one for the homemade lye soap and scrub board, the other two for rinsing.  Clothes were rinsed and wrung out by hand, then hung on a wire to dry in the air.  Your hands became red and raw, your arms and shoulders sore beyond belief by the end of the wash.  Wet clothing, especially wool, is heavy and the gray scum from the soap was hard to get out of the clothes.

Personal baths were in a galvanized wash tub screened by a sheet.  In the winter it was difficult to haul, heat and handle the water so baths weren’t done often.  Most people would do sponge baths. 

Everybody worked including the kids.  There were always more chores to be done than time in the day.  It wasn’t just this one family; it was the neighbors as well.  You were judged first and foremost by your work ethic and then your honesty.  This was critical because if you were found wanting in either department, the extra jobs that might pay cash money, a quarter of beef, hog or mutton would not be available.  Further, the cooperation with your neighbors was the only assurance that if you needed help, you would get help.  Nobody in the community could get by strictly on their own.  A few tried.  When they left, nobody missed them.
You didn’t have to like someone to cooperate and work with him or her.

Several times a year people would get together for organized activities: barn raising, butcher bee, harvest, roofing, dance, or picnics.  There were lots of picnics, usually in a creek bottom with cottonwoods for shade or sometimes at the church.  Always, the women would have tables groaning with food, full coffee pots and, if they were lucky, maybe some lemonade. (Lemons were expensive and scarce)  After the work (even for picnics, there was usually a project to be done first) came the socializing.  Many times people would bring bedding and sleep out overnight, returning home the next day.

A half dozen families would get together for a butcher bee in the cold days of late fall.  Cows were slaughtered first, then pigs, mutton, and finally chickens.  Blood from some of the animals was collected in milk pails, kept warm on a stove to halt coagulation and salt added.  Then it was canned for later use in blood dumplings, sausage or pudding.  The hides were salted for later tanning; the feathers from the fowl were held for cleaning and used in pillows or mattresses.  The skinned quarters of the animals would be dipped into cold salt brine and hung to finish cooling out so they could be taken home safely for processing.  Nothing went to waste.

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The most feared occurrence in the area was fire.  If it got started, it wasn’t going out until it burned itself out.  People could and did loose everything.
The most used weapon was the .22 single shot Winchester with .22 shorts.  It was used to take the heads off pheasant, quail, rabbit and ducks.  If you held low, the low powered round didn’t tear up the meat.  The shooters, usually the kids, quickly learned sight picture and trigger control although they never heard those terms.  If you took five rounds of ammunition, you better bring back the ammunition or a critter for the pot for each round expended. It was also a lot quieter and less expensive [in those days] than the .22 Long Rifle cartridges.

If you are trying to maintain a low profile, the odor of freshly baked bread can be detected in excess of three miles on a calm day.  Especially by kids.
Twice a year the cabin was emptied of everything.  The walls, floors, and ceilings were scrubbed with lye soap and a bristle brush.  All the belongings were also cleaned before they came back into the house.  This was pest control and it was needed until DDT became available.  Bedbugs, lice, ticks and other creepy crawlies were a fact of life and were controlled by brute force.  Failure to do so left you in misery and maybe ill.

Foods were stored in bug proof containers.  The most popular was fifteen pound metal coffee cans with tight lids.  These were for day to day use in the kitchen.  (I still have one. It’s a family heirloom.)  The next were barrels to hold the bulk foods like flour, sugar, corn meal, and rice.  Everything was sealed or the vermin would get to it.  There was always at least one, preferably two, months of food on hand.  If the fall cash allowed, they would stock up for the entire winter before the first snowfall.

The closest thing to a cooler was a metal box in the kitchen floor.  It had a very tight lid and was used to store milk, eggs and butter for a day or two. Butter was heavily salted on the outside to keep it from going rancid or melting.  Buttermilk, cottage cheese and regular cheese was made from raw milk after collecting for a day or two.  The box was relatively cool in the summer and did not freeze in the winter.

Mice and rats love humanity because we keep our environment warm and tend to be sloppy with food they like.  Snakes love rats and mice so they were always around.  If the kids were going to play outside, they would police the area with a hoe and a shovel.  After killing and disposing of the rattlesnakes- there was always at least one-then they could play for a while in reasonable safety.

The mice and rats were controlled by traps, rocks from sling shots, cats and coyotes.  The cats had a hard and usually short life because of the coyotes.  The coyotes were barely controlled and seemed to be able to smell firearms at a distance.  There were people who hunted the never-ending numbers for the bounty.

After chores were done, kid’s active imagination was used in their play.  They didn’t have a lot of toys.  There were a couple of dolls for the girls, a pocket knife and some marbles for the boy, and a whole lot of empty to fill.  Their father’s beef calves were pretty gentle by the time they were sold at market – the kids rode them regularly.  (Not a much fat on those calves but a lot of muscle.)  They would look for arrow heads, lizards, and wild flowers.  Chokecherry, buffalo berry, gooseberry and currants were picked for jelly and syrups.  Sometimes the kids made chokecherry wine.

On a hot summer day in the afternoon, the shade on the east side of the house was treasured and the east wind, if it came, even more so.
Adults hated hailstorms because of the destruction, kids loved them because they could collect the hail and make ice cream.
Childbirth was usually handled at a neighbor’s house with a midwife if you were lucky.  If you got sick you were treated with ginger tea, honey, chicken soup or sulphur and molasses.  Castor oil was used regularly as well.  Wounds were cleaned with soap and disinfected with whisky.  Mustard based poultices were often used for a variety of ills.  Turpentine, mustard and lard was one that was applied to the chest for pneumonia or a hacking cough.

Contact with the outside world was an occasional trip to town for supplies using a wagon and team.  A battery operated radio was used very sparingly in the evenings.  A rechargeable car battery was used for power.  School was a six mile walk one way and you brought your own lunch.  One school teacher regularly put potatoes on the stove to bake and shared them with the kids.  She was very well thought of by the kids and the parents.

These people were used to a limited amount of social interaction.  They were used to no television, radio, or outside entertainment. They were used to having only three or four books.  A fiddler or guitar player for a picnic or a dance was a wonderful thing to be enjoyed.  Church was a social occasion as well as religious.
The church ladies and their butter and egg money allowed most rural churches to be built and to prosper.  The men were required to do the heavy work but the ladies made it come together.  The civilizing of the west sprang from these roots.  Some of those ladies had spines of steel.  They needed it.

That’s a partial story of the homestead years.  People were very independent, stubborn and strong but still needed the community and access to the technology of the outside world for salt, sugar, flour, spices, chicken feed, cloth, kerosene for the lights and of course, coffee. There are many more things I could list.  Could they have found an alternative if something was unavailable?  Maybe.  How would you get salt or nitrates in Montana without importing?  Does anyone know how to make kerosene?  Coffee would be valued like gold.  Roasted grain or chicory just didn’t cut it.

I don’t want to discourage people trying to prepare but rather to point out that generalized and practical knowledge along with a cooperative community is still needed for long term survival. Whatever shortcomings you may have, if you are part of a community, it is much more likely to be covered.  The described community in this article was at least twenty to thirty miles across and included many farms and ranches as well as the town.  Who your neighbors are, what type of people they are, and your relationship to them is one of the more important things to consider.

Were there fights, disagreements and other unpleasantness?  Absolutely.  Some of it was handled by neighbors, a minister or the sheriff.  Some bad feelings lasted a lifetime.  There were some people that were really bad by any standard and they were either the sheriff’s problem or they got sorted out by one of their prospective victims.
These homesteaders had a rough life but they felt they had a great life and their way of life was shared by everyone they knew.  They never went hungry, had great daylong picnics with the neighbors, and knew everyone personally within twenty miles.  Every bit of pleasure or joy was treasured like a jewel since it was usually found in a sea of hard work.  They worked hard, played hard and loved well.  In our cushy life, we have many more “things” and “conveniences” than they ever did, but we lack the connection they had with their environment and community. 

The biggest concern for our future: What happens if an event such as a solar flare, EMP, or a plague takes our society farther back than the early 1900s by wiping out our technology base.  Consider the relatively bucolic scene just described and then add in some true post-apocalyptic hard cases.  Some of the science fiction stories suddenly get much more realistic and scary.  A comment out of a Star Trek scene comes to mind “In the fight between good and evil, good must be very, very good.”
Consider what kind of supplies might not be available at any cost just because there is no longer a manufacturing base or because there is no supply chain.  In the 1900s they had the railroads as a lifeline from the industrial east.
 
How long would it take us to rebuild the tools for recovery to the early 1900 levels?

One of the greatest advantages we have is access to a huge amount of information about our world, how things work and everything in our lives. We need to be smart enough to learn/understand as much as possible and store references for all the rest.  Some of us don’t sleep well at night as we are well aware of how fragile our society and technological infrastructure is.  Trying to live the homesteader’s life would be very painful for most of us.  I would prefer not to.  I hope and pray it doesn’t ever come to that.


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The 2008 Financial Crisis and Its Aftermath

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Let’s make one thing clear. Lenders were never required by government programs to lend out more than the house was worth. That’s a myth that keeps being perpetuated.

In fact, by 2006, banks, mortage brokers and investment firms made more money from making sub-prime loans than they did from making traditional loans. That’s where our problem starts.

The modern mortgage bond was developed in the 1980s to take advantage of a market for such securities that was created by the U.S. government but was by 2000 largely operated as a private enterprise. Among these was the Federal Home Mortgage Corporation or “Freddie Mac”. Investment banks like Solomon Brothers would buy bundles of mortgages from a bank for cash, then turn them into a series of securities with various interest rates and risk possibilities and then sell them to pension funds and hedge funds. Mortgage bonds paid slightly higher returns than government bonds but, because they were backed by Freddie Mac, they were seen as the equivalent of government bonds from a risk perspective.

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However, by the early 2000s the mortgage bond market was pretty saturated – just about everyone who wanted a mortgage had one. Mortgage bonds were very lucrative for investment banks and they made a lot of money off of them, more than they did from corporate bonds or underwriting stock issues. The question was how to grow the market.

Sub-prime lending was the answer, but this posed some problems. Sub-prime loans had a higher default rate and, as such, mortgage bonds based on this type of mortgage was seen as riskier, which made them harder to sell. They did offer higher interest rates, but they were not attractive to institutional investors, which was the big market.

Now, I spoke before about breaking the bonds up into different series of securities, so the investments banks dialed up this practice to 11. Each bundle of mortages would be turned into a series of (usually) three sets of securities called “tranches”. The first tranch would pay the lowest interest rate, but the holders of this tranch got first crack at the cash flow. The second tranch would pay a higher rate, but only after the first tranch was paid. The third tranch would pay the highest rate, but only after the first two were paid out.

The next step was to get the bonds “rated”. There are two “ratings agencies”, Standard & Poors and Moody’s. Long story short, the rating agencies earned fees from the brokers selling the bonds, not the buyers buying them, they would work with brokers to earn the investment grade rating (“A”) and they used a model for risk that assumed each individual mortgage would perform independently of every other mortgage. “A” grade was sold to institutional investors, “B” grade to hedge funds and the investment banks generally kept the “C” grade – no one would buy those.

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In order to create more mortgage bonds, investment banks would encourage lenders to just get people to sign on the dotted line. These sub-prime mortgages were sold aggresively to people who didn’t have mortgages, either new buyers, investment buyers, or even people who had no mortgage on their existing home and needed some cash. Even if you came in with a request for a regular mortgage, a broker might push you over to a sub-prime product. Say you came in trying to buy a $200,000 house with a 10% down payment. You would instead be sold a $220,000 mortgage with a low “teaser” rate that reset in 2 years but had a lower monthly payment up front. You were told that (1) your property would go up and (2) there would be no problem re-financing your mortgage when the payments went up.

Next, some bond holders knew mortgage bonds were a bit risky so investment banks sold them insurance in case the bonds defaulted, a “credit default swap”. You paid a premium and, if the bond defaulted, you would swap the bond for the insurance amount. These had to be “underwritten” as the investment banks didn’t have the capital to pay off possible losses, so they went to big insurance companies and offered them a large share of the premium income if they would just agree to pay off any bonds that defaulted. As the insurance company saw these bonds as “A” rated, they figured they would never have to pay off.

By 2006, pretty much every possible mortgage had been sold and the market for new mortgages dried up. No problem. The investment banks just sold more credit default swaps and used that cash flow to create new bonds.

But in the second quarter of 2007, many of those mortgages with teaser rates came due. People started defaulting on the loans. The credit rating model figured defaults would be scattered, but instead on most bonds they tended to be concentrated – everyone defaulting at once.

With bonds defaulting, investors became wary of new bonds, so lenders couldn’t sell their mortgages to investment banks. They had used that money to lend out even more money and those loans started defaulting too, only this time the lenders were on the hook.

When the bonds defaulted, the credit default swaps started to be redeemed. Even before this, as the values fell, the insurance companies had to start selling assets at fire sale prices to provide collateral.

Investment banks that had heavily invested in the “C” tranches and had sold more credit default swaps were soon running out of money. Lehman Brothers defaulted on short term loans on money markets, which put money markets into a rare negative equity situation.

So:

  • People defaulting on mortgages they can’t afford and not being able to refinance. Thousands of properties in default.
  • Mortgage bonds defaulting because people aren’t making payment. This means mutual funds are going down and pension funds are in a cash crunch.
  • Bonds being redeemed for credit default swaps and, because banks sold more default swaps than there were mortgage bonds, the insurance companies are now holding more defaulted mortgage bonds than there were mortgages.
  • Property values, which were inflated by easy loans and high liquidity, start to collapse, putting many home owners (even ones with conventional loans) under water.
  • Because of the uncertainty in the money markets due to the bad paper there, legitimate companies like auto makers and credit card companies that borrowed heavily on money markets can’t borrow new money and instead are being asked for cash to cover their existing notes.

As such, the government had to step in and provide money to keep things orderly. They provided money to insurance companies. They took an equity share of auto companies. They set up funds to refinance mortgages in default.

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Global Consequences of the Great Depression and Causes

The Great Depression of 1929 stands as one of the most significant economic crises in modern history, casting a long shadow over the global financial landscape. Sparked by a catastrophic stock market crash in October, this era of intense economic turmoil led to widespread unemployment, poverty, and social unrest. In the United States, millions lost their jobs, homes, and savings, forcing families to confront an uncertain and often dire future. This article delves into the factors that precipitated the Great Depression, its profound impact on American society, the government responses that shaped economic policy, and the global ramifications of this devastating crisis. By understanding these aspects, we can glean valuable lessons that inform current economic practices and prepare us for future economic challenges.

The Causes of the Great Depression

The Great Depression did not arise in a vacuum; it was the result of a confluence of several factors that had been brewing throughout the 1920s. To fully understand the causes of the Great Depression, it is essential to look at the economic environment of the 1920s, commonly referred to as the “Roaring Twenties.” This period was marked by significant economic growth, technological advances, and an unprecedented rise in consumer culture. However, this prosperity was built on shaky foundations, and cracks were starting to appear.

One of the primary catalysts for the Great Depression was the rampant speculation in the stock market. During the late 1920s, an increasing number of Americans began investing in stocks, often borrowing money to purchase shares in hopes of quick profit. This speculative bubble was characterized by inflated stock prices that did not reflect the actual value of the companies. The euphoria surrounding stock investments created an unsustainable market driven by the belief that prices would continue to rise indefinitely. Unfortunately, this led to an inevitable collapse when the bubble burst in October 1929, resulting in a dramatic stock market crash that sent shockwaves throughout the economy.

Bank failures also played a crucial role in deepening the economic crisis. With the collapse of the stock market, many banks faced immense financial pressure as their clients rushed to withdraw their savings, fearing for their financial security. The banking system, which had become over-leveraged during the boom years, was unable to withstand the sudden surge of withdrawals. By 1933, approximately 9,000 banks had failed, wiping out billions in savings and further destabilizing the economy. The loss of confidence in the banking system exacerbated the financial crisis, leaving consumers with little access to credit and diminishing their ability to spend, which in turn led to decreased production and even more layoffs.

International trade issues also contributed to the economic downturn. In an attempt to protect American industries, the U.S. government enacted the Smoot-Hawley Tariff in 1930, which raised tariffs on hundreds of imported goods. Although the intention was to bolster the domestic economy, the result was a significant decrease in international trade. Other nations retaliated by imposing tariffs on American goods, leading to a cascading effect of reduced trade volumes and increased economic isolationism. The combination of these protective measures further deepened the global economic crisis, proving counterproductive to the very goals they sought to achieve.

Additionally, economic disparities and the concentration of wealth in the hands of a few created an unstable economic environment. While the upper echelons of society reaped the benefits of the booming economy, a significant portion of the population struggled to make ends meet. This disparity in wealth led to reduced consumer spending, which is a vital component for economic growth. Without a robust consumer base, businesses struggled to maintain production levels, leading to layoffs and further economic contraction.

In summary, the causes of the Great Depression were multifaceted and interconnected. The speculative practices of the stock market, bank failures, international trade barriers, and growing economic inequality all played significant roles in leading the world into one of its darkest economic periods. By examining these causes, we can draw lessons not only about financial prudence but also about the importance of a balanced economic system that supports all citizens, rather than a select few.

The Impact of the Great Depression on Society

The ramifications of the Great Depression extended far beyond economic collapse; they reshaped the social fabric of the United States. As unemployment soared, many families faced dire financial straits. By 1933, unemployment rates had skyrocketed to approximately 25%, leaving millions of Americans without jobs and many more struggling to survive on meager means. This widespread financial despair led to significant social challenges, including increased rates of homelessness, malnutrition, and mental health issues.

The plight of the unemployed was visible in cities and towns across the nation. Shantytowns, often referred to as “Hoovervilles” after President Herbert Hoover, sprang up as displaced families sought shelter in makeshift huts. These communities became symbols of the suffering and hardship endured during this era. Families often found themselves living in extreme poverty, with many children going hungry or forced to drop out of school to support their families. The loss of a stable home environment had long-lasting effects on the health and education of these children, many of whom would experience generational poverty as a result.

Furthermore, the Great Depression had a profound effect on the American psyche. The sense of insecurity and hopelessness permeated society, as people grappled with the loss of their dreams and aspirations. The stress of financial instability contributed to a rise in mental health issues, including anxiety and depression. Families were torn apart by financial difficulties, with some individuals resorting to desperate measures, including theft or begging. The collective trauma experienced during this period would leave scars that echoed throughout psychological studies and societal dynamics in subsequent decades.

Social movements also began to emerge in response to the crises created by the Great Depression. Workers organized strikes and protests, demanding fair wages and better working conditions. Labor unions became more prominent as workers sought to protect their rights in an increasingly volatile job market. For many, invoking the power of collective bargaining became a means of survival. This surge in labor activism ultimately contributed to significant changes in labor laws and workers’ rights in the years that followed.

The Great Depression also prompted shifts in public attitudes toward government intervention in the economy. Prior to this period, many believed in a laissez-faire approach, where the government primarily took a hands-off stance regarding economic affairs. However, the scale of the crisis led many to advocate for a more active role for the government in providing support for those in need. This shift in public opinion laid the groundwork for future social safety nets and government programs that aimed to assist those facing economic hardship.

In conclusion, the impact of the Great Depression on society was profound and multifaceted. The economic collapse not only led to widespread unemployment and poverty but also altered the way individuals viewed work, government, and their place within society. The lessons learned during this tumultuous time continue to resonate today, emphasizing the importance of social safety nets, economic equality, and the resilience of the human spirit in the face of adversity.

the food lines during the great depression
The food lines were a very usual image during the Great Depression time.

The Government response to Great Depression and how policies changed

In the wake of the Great Depression, the U.S. government faced intense pressure to respond to the profound economic crisis that had gripped the nation. Under the leadership of President Franklin D. Roosevelt, who took office in March 1933, the government implemented a series of sweeping reforms and policies collectively known as the New Deal. These initiatives aimed to provide immediate relief to the unemployed, to stimulate economic recovery, and to implement lasting reforms to prevent future economic collapses.

One of the cornerstone programs of the New Deal was the Civilian Conservation Corps (CCC), established in 1933. This program aimed to provide jobs for young men while simultaneously addressing environmental conservation efforts. Participants in the CCC worked on projects ranging from reforestation to building parks and trails, enabling them to support their families while also contributing to national recovery efforts. By the time the program came to an end, millions of young men had benefited from the CCC, gaining work experience and developing skills that would serve them for a lifetime.

Another critical aspect of the New Deal was the creation of the Public Works Administration (PWA), which aimed to stimulate the economy by investing in large-scale public works projects. The PWA funded the construction of infrastructure such as schools, hospitals, and bridges, creating jobs for thousands and laying the groundwork for future economic growth. These projects not only provided immediate employment but also contributed to long-term improvements in public services and infrastructure.

The Federal Emergency Relief Administration (FERA) was also established to provide financial assistance to states for direct relief programs. This initiative allowed states to distribute funds to those most in need, ensuring that the most vulnerable populations received support in a timely manner. FERA marked a significant shift in government policy toward direct intervention in alleviating poverty and provided a model for future entitlement programs.

In addition to these relief programs, the New Deal included regulatory reforms aimed at stabilizing the financial system. The Glass-Steagall Act of 1933 separated commercial banking from investment banking, creating a barrier to limit risky financial practices that had contributed to the economic collapse. The establishment of the Securities and Exchange Commission (SEC) sought to regulate the stock market and protect investors from fraudulent practices, restoring public confidence in the financial system.

Furthermore, the New Deal brought about reforms in labor rights with the passage of the National Labor Relations Act (Wagner Act) in 1935. This legislation guaranteed the rights of workers to organize, join unions, and engage in collective bargaining. This marked a significant shift in labor relations, as it provided a legal framework for workers to negotiate better wages and working conditions. The act resulted in a surge of union membership and empowered workers in their fight for labor rights.

The New Deal also included social welfare programs, such as the Social Security Act of 1935, which established a social safety net for the elderly, unemployed, and disabled. By providing financial support to vulnerable populations, the Social Security Act marked a significant transformation in the government’s role in economic security, providing a foundation for the modern welfare state.

While the New Deal faced criticism from various quarters, including conservative politicians and those who argued it expanded government power too far, the overall response to the Great Depression reflected a paradigm shift in how the government perceived its role in the economy. The efforts initiated under the New Deal laid the foundation for a more interventionist government and contributed to the eventual recovery from the Great Depression.

In conclusion, the government’s response to the Great Depression through the New Deal was multifaceted and transformative. Through a series of innovative programs and policies, the government sought to address the immediate needs of a struggling population while implementing reforms to safeguard against future economic crises. The legacy of the New Deal continues to shape discussions around economic policy and the role of government intervention, highlighting the importance of adaptable responses in times of crisis.

Global consequences of the Great Depression and Responses

The Great Depression was not confined to the United States; its effects resonated around the globe, reshaping economies, societies, and international relations. As countries struggled with the fallout from the economic crisis, they faced unique challenges that often led to varying responses and policies.

In Europe, the Great Depression had a devastating impact on economies already teetering on the brink following the devastation of World War I. Nations like Germany, which were grappling with the reparations imposed by the Treaty of Versailles, experienced severe economic distress. Hyperinflation, massive unemployment, and social unrest became commonplace as economic instability eroded confidence in democratic governments. The dire economic circumstances contributed to the rise of extremist political movements, most notably the ascent of Adolf Hitler and the Nazi Party. Hitler’s regime leveraged the economic despair to promote its agenda, which included aggressive nationalism and expansionist policies.

In the United Kingdom, the depression catalyzed significant political and economic changes. While initially, the British government adopted a hands-off approach, the rising levels of unemployment and growing public discontent eventually compelled leaders to take action. The Labour Party, which gained power in the 1929 elections, aimed to address the crisis through public works programs and unemployment relief. However, the severity of the depression led to the eventual formation of a National Government coalition in 1931, prioritizing economic recovery over socialist reforms and implementing austerity measures that included cuts to public spending.

Countries in Latin America experienced backlash as well, particularly in relation to global trade patterns. Many nations were heavily reliant on exports of agricultural products, which suffered from the drop in demand during the depression. This economic hardship led to political instability, with some countries experiencing military coups as leaders exploited the social and economic unrest. For example, in Brazil, Getúlio Vargas rose to power in 1930 amid the tumult and initiated sweeping reforms to promote industrialization, which were partially in response to the weaknesses exposed by the Great Depression.

In response to the economic calamity, some nations adopted increasingly protectionist policies, including high tariffs and import quotas. This drive for economic self-sufficiency often stifled international cooperation and trade, leading to an era of economic isolationism. Protectionism, exemplified by the Smoot-Hawley Tariff in the United States, not only exacerbated domestic economic problems but also fueled tensions between nations as retaliatory measures took hold.

While the depression compelled some nations to pursue isolationist policies, it also drove others to collaborate on economic recovery efforts. The establishment of agreements like the London Economic Conference in 1933 reflected the recognition of the need for coordinated international action to combat the crisis. Unfortunately, the conference failed to produce meaningful results as countries prioritized their national interests over global cooperation.

The global consequences of the Great Depression also led to significant shifts in economic thought. Many countries began to explore Keynesian economic principles, which advocated for increased government intervention to stimulate demand during economic downturns. John Maynard Keynes, an influential economist, argued that governments should increase spending during periods of recession to boost consumption and promote recovery, contradicting prevailing economic philosophies that emphasized balanced budgets and limited government involvement.

In summary, the Great Depression reverberated across the globe, resulting in significant economic, political, and social fallout. While some nations descended into turmoil, others sought to rebuild and adapt in response to the crisis. The diverse responses to the Great Depression underscored the interconnectedness of the world economy and highlighted the importance of international cooperation in addressing complex challenges’ a lesson that continues to resonate in current global economic discussions.

The Lasting Lessons for nations and economies

The Great Depression left an indelible mark on economic policy and societal norms, shaping the way governments and institutions approach economic challenges to this day. Several lessons can be gleaned from this tumultuous period, providing valuable insights for contemporary policymakers and economists.

One of the most critical lessons is the importance of timely and effective government intervention in times of economic crisis. The initial laissez-faire approach taken during the early stages of the Great Depression led to a catastrophic decline in economic conditions and widespread suffering. The eventual recognition of the need for government action’s exemplified by the New Deal‘s demonstrated that proactive measures could mitigate the consequences of an economic downturn and support recovery efforts. Today, many governments recognize the necessity of employing fiscal and monetary policies to stimulate the economy during recessions, showing the enduring influence of lessons learned from the Great Depression.

Another vital takeaway is the need for strong regulatory frameworks to maintain financial stability. The lack of oversight in the financial sector contributed significantly to the events leading up to the Great Depression, resulting in risky practices and rampant speculation. In the aftermath, reforms such as the Glass-Steagall Act and the establishment of regulatory bodies like the SEC were implemented to stabilize the financial system. Modern economies continue to grapple with the balance between regulation and free-market principles, underscoring the importance of a robust regulatory framework to safeguard against financial crises.

The Great Depression also highlighted the dangers of economic inequality. The concentration of wealth in the hands of a few individuals contributed to volatility and limited the purchasing power of the broader population. Economists and policymakers today increasingly recognize that equitable economic growth benefits society as a whole and contributes to overall stability. Ensuring that wealth is distributed more evenly can create a more resilient economy, capable of withstanding fluctuations and crises.

Furthermore, the importance of social safety nets became apparent during the Great Depression. As millions suffered from unemployment and poverty, the need for government-supported programs to assist vulnerable populations became clear. Modern social safety nets, such as unemployment insurance and food assistance programs, are grounded in the lessons learned from this historical event. These programs are critical to providing a measure of economic security and stability in times of hardship, ensuring that individuals and families are not left to navigate crises alone.

Lastly, the Great Depression emphasized the interconnectedness of global economies. The ripple effects of the economic collapse demonstrated that no nation operates in isolation. Today’s policymakers must consider the impact of global trade, investment, and economic policies, understanding that collaboration and dialogue across nations are necessary to prevent similar crises from arising. Organizations like the International Monetary Fund and the World Bank have emerged in part to facilitate international cooperation and provide support to countries facing economic challenges.

In conclusion, the lasting lessons of the Great Depression continue to shape economic thought and policy today. The undeniable impact of government intervention, the necessity of regulatory frameworks, the importance of addressing economic inequality, the need for social safety nets, and the recognition of global interconnectedness are all crucial insights drawn from this period of crisis. As economies face new challenges in the 21st century, these lessons remain relevant, guiding policymakers to foster resilience and stability in the face of economic uncertainty.

Conclusion

The Great Depression of 1929 serves as a stark reminder of the fragility of economic systems and the profound impact of financial crises on society. The confluence of factors that led to this catastrophic event, including stock market speculation, bank failures, and economic inequality, created a perfect storm that devastated millions of lives. The social, economic, and political repercussions of the Great Depression reshaped the American landscape, paving the way for government intervention and regulatory reforms that continue to influence economic policy today.

From the establishment of the New Deal programs to the global responses that shape modern economic thought, the lessons learned during the Great Depression are invaluable. The importance of timely governmental intervention, the need for robust regulatory frameworks, the significance of addressing economic inequality, and the necessity of social safety nets cannot be overstated. Furthermore, the crisis highlighted the interconnectedness of the global economy, underscoring the importance of collaboration and communication among nations.

As we navigate the complexities of today’s economic landscape, drawing on the experiences of the past can inform our approach to future crises. The resilience of societies in the face of adversity, coupled with the commitment to enacting meaningful reforms, can contribute to a more stable and equitable economic environment. The Great Depression reminds us that while economic challenges may arise, our responses can lay the groundwork for a more sustainable future for generations to come.

For more about the Great Depression check also our article The Great Depression of 1929: A Global Economic Catastrophe (2025 update) or watch the video below.

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How a Barter System Could Sustain Communities During a Supply Chain Collapse

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One of the oldest forms of commerce in human society is the barter system, and it was considered the norm for a majority of human existence before the advent of currency. While it is not used as our primary method of obtaining goods and services in today’s modern society it is still alive and well in small ways through smaller groups of people, small towns, and in less developed areas of the world.

For those of us living in developed areas we rely on the supply chain to get us the goods we need, and in exchange for the currency we make while working we have access to everything we need. What happens if there is a failure in that supply chain? How do people and communities ensure they have the resources they need? The answer lies in reviving the barter systems of old and working together for the benefit of not only ourselves, but the community around us.

Before we get into how the barter system can help us, let’s take a look at how our modern supply chain works, how fragile it really is, and the many events that can lead to the collapse of the system that ensures we have access to our resources.

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How The Supply Chain Works

A supply chain is defined as the network of all individuals, organizations, resources, activities, and technology involved in the creation and sale of a product. It encompasses everything from the delivery of source materials from the supplier to the manufacturer to its eventual delivery to the end user. As you can imagine, there are a lot of moving parts to make any one final product available for purchase. The steps go something like this:

  • Planning the inventory and manufacturing processes to ensure that supply and demand are adequately balanced.
  • Manufacturing or sourcing the materials needed to create the final product.
  • Assembling parts and testing the product.
  • Packaging the product for shipment or holding it in inventory until a later date.
  • Transporting and delivering the finished product to the distributor, retailer, or consumer.

Take any one step or resource out of this chain, and the chain breaks. Supply chains are complex and deeply rooted in the very existence of our society. The more we evolve into a society that relies on same- or next-day delivery, the more important the supply chain becomes. Unfortunately, that also makes us almost completely dependent on supply chains to function correctly. 

The Fragile Nature of the Supply Chain

The problem is that our supply chain is extremely fragile. The United States has learned to run on a “just-in-time” delivery system. We see it at home with our daily Amazon deliveries, sometimes arriving the same day we order them. What some might not realize is that most big-box stores operate the same way. When you walk into a Walmart around 8 p.m. on a Tuesday night and see aisles full of pallets of assorted goods waiting to be stocked, it’s because those items were ordered the night before and are ready to go on the shelves 24 hours later.

The problem with a just-in-time system is that the smallest crack in the system can instantly start to create issues. Let’s look at that from the first point in the supply chains. Raw materials. If a farmer has a drought and can’t grow wheat, how many different products does that impact the back end of our supply chain? 

image of empty grocery shelves during a supply chain collapse

Above: Empty shelves during a supply chain collapse.

Supply Chain Failures

So, what can cause a failure in the supply chain? Just about anything. Some of the more common causes in recent years are natural disasters. We’ve been seeing a lot of weather anomalies in regions not typically known for them, such as wildfires in Canada or massive flooding from hurricanes like Katrina in 2005 or Helene in 2024.

What about snowstorms producing so much snow that travel becomes impossible? Remember the storms in the early ‘90s that pummeled the East Coast? Or the “snowpocalypse” in Texas in 2022 that essentially shut down the state because they weren’t equipped to handle such weather? What about the time an Evergreen ship got stuck in the Suez Canal in March of 2021? On March 28, at least 369 ships were queuing to pass through the canal, stranding an estimated US$9.6 billion worth of trade.

Those numbers affected the global supply chain. These are some of the more extreme examples, but this trickles all the way down to the most local level. What happens if your local pharmacy doesn’t get their delivery on time because for any number of reasons like the transport truck broke down or the warehouse lost power and now you can’t get a medication that is vital to your survival?

In some situations, roads can become impassable, infrastructure can be damaged, personnel can be impacted and the supply chain quickly decays. It’s important to note that when weather impacts a specific region, it can sometimes take months or even years for things to return to normal. 

What about issues with the workforce? A large union strike like we saw with the UPS drivers in 2023 or the International Longshoremen’s Association in 2024 or a global pandemic like we saw in 2020 can quickly cripple the people who keep the supply chain moving. Any adult today lived through the pandemic. That was unlike anything we’ve ever seen before, and we hope never to see again, but it can’t be ruled out.

It was the worst shock our supply chain has ever faced. The global economy essentially stopped, and our day-to-day lives changed drastically. Some aspects will never go back to the way they were before. Then there’s the possibility of cyberattacks or interference from a foreign country. Remember the ransomware attack on the Colonial Pipeline in 2021? These are just a few examples of what can cripple our supply chain and economy. 

How a Barter System Could Fill the Gaps 

So how do we stay ahead of these issues? What can we do to combat the vulnerabilities of a just-in-time delivery system? One answer might be to take a deeper look at a barter system. A barter system uses direct trade for goods, a practice that dates back to around 6000 BC with Mesopotamian tribes. Ancient people traded food, spices, and weapons.

In the Middle Ages, Europeans traveled across the globe to barter crafts and furs in exchange for silks and perfumes. By the time Colonial America emerged, people exchanged musket balls, deer skins, and wheat. While money eventually replaced the barter system, bartering has never truly disappeared and remains a viable system today. It may be worth revisiting more seriously. 

Benefits of Barter in Times of Crisis 

In the collapse of regular society and supply chains, it seems natural to revert to this tried-and-true system. Whether it’s a long-term or short-term problem, it’s in your interest to prepare for this before you need it. What do you have to offer? Skills, resources, or goods—what can you trade for the things you and your family need? Here are some ideas: 

  • Food and Water: Trading food products for essential services. Do you grow anything? Can you produce clean, safe drinking water? Do you have a stockpile of preserved goods? 
  • Skills and Labor: Offering skilled services (carpentry, plumbing, medical care) in exchange for tangible goods or other services. 
  • Craftsmanship and Homemade Goods: Woodworkers, tailors, and artisans exchanging handmade items for other necessities.
  • Energy and Utilities: Trading energy resources like firewood, solar-powered batteries, or fuel for essential goods. 

Bartering also offers flexibility in situations where currency loses its value. For example, in the Weimar Republic in post-World War I Germany, hyperinflation rendered money practically worthless, and citizens turned to barter for everyday needs.

Similarly, Venezuela’s currency collapse has prompted the use of bartering for food and medical supplies. This highlights the adaptability and sustainability of barter when money itself becomes unstable. 

It is also important to consider your location. While rural areas may have more access to resources like land and firewood, urban communities might adapt differently to bartering, especially with limited space.

For example, specialized skills like repair services, urban farming, or water filtration might be highly valuable in city environments. Consider building a library of skills rather than relying solely on stockpiling physical items you might not have space to store. 

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Modern Examples of Barter Systems 

Bartering isn’t just a historical relic, it’s alive and well today. In Greece, which faced a severe economic crisis in the 2010s, bartering networks popped up across the country, allowing people to exchange services like teaching or home repairs for food and clothing. Similarly, in the wake of the COVID-19 pandemic, some communities turned to online barter platforms where users exchanged goods like household items or skills such as tutoring in return for essential supplies. 

As I maintain and add to my preps, I’m starting to look at things more specifically from a barter standpoint. I need to stockpile what my family needs, but also items others may find valuable. For example, I’ve invested in a still. A still can be used for a variety of purposes: making distilled beverages, essential oils, clean drinking water, and even certain medicines.

All these products can be useful to me and valuable to others for barter. I’ve also been investing in my skills. Welding, mechanics, and construction are areas that come easily to me but might be foreign to others. These skills could be valuable in a barter system. 

Challenges and Risks of Bartering 

Does currency have a place in a barter system? Absolutely, but it might not look the same. Currency could be made up of precious metals, similar to our first coins, or even bullets—how many .22L rounds would equal a “dollar”? Establishing value is one of the challenges of a barter system. Determining equal value between goods and services can be difficult.

Would you stitch up a leg wound for a loaf of bread? How many chickens is a running motorcycle worth? Perishability is another factor to consider, as some goods like food can spoil and may not be suitable for long-term bartering.

If you are proficient in food preservation maybe you can take tomatoes that would normally only last a few weeks and jar them, so they are shelf stable almost indefinitely. Additionally, bartering tends to work best in tight-knit or local communities where trust and mutual understanding are high.

Modern technology offers digital and modern adaptations to bartering. Peer-to-peer barter apps and digital platforms like social media groups or local online forums facilitate trade in real-time. Facebook Marketplace already serves as a place where people can network and barter. However, in a grid-down situation, these digital options may not be available.

Taking Action to Build Barter Systems Now 

What steps can you take to implement a barter system in your community? First, identify your resources and skills. Encourage individuals and families to assess what they can offer. Next, set up physical or digital places where people can meet and discuss potential trades. Barter markets or swap events can foster community participation.

Establishing barter meetups now would allow your community to get used to the system and feel comfortable with the concepts. It may also be important to develop a loose set of guidelines to ensure fairness, safety, and efficiency. Doing this now, before a crisis occurs, can be hugely beneficial to you, your family, and your community. It’s always easier to have a system in place before disaster strikes than to implement it afterward.

Bartering might not be the be-all and end-all of survival strategies, but it fits into a larger strategy for self-reliance and resilience. Bartering alone may not solve all problems, so complementing it with other preparedness measures like learning how to grow food, purify water, or generate energy independently can help you become more self-reliant overall. 

I’m a firm believer that a rising tide raises all ships, and while it’s important to build a strong community of like-minded and capable people, that journey starts in your own home. Making you and your family as prepared as possible is just the beginning.

The goal should be to create a network of self-reliant individuals, each with something valuable to offer. Bartering can be a key part of that larger picture of resilience, but it’s the combination of preparation, skill-building, and resource management that ultimately sustains communities when the unexpected occurs.

Final Thoughts 

In the end, having a system like barter in place doesn’t just help ensure access to vital goods and services during a crisis—it fosters a sense of connection and cooperation. When the grid goes down or supply chains collapse, people will naturally turn to one another for support. Being prepared for that moment, both individually and as a community, could make all the difference.

The sooner we begin these conversations and take action, the better equipped we will be to face whatever challenges the future might hold. Whether through learning new skills, gathering valuable resources, or building trust in local networks, we have the opportunity to strengthen our communities and enhance our overall resilience, starting right now.

Quick Reference to Common Barter Goods

Stockpiling goods, the ability to grow or raise your own food, and having some basic skills can put you in a great position during any emergency situation that results in a collapse of the supply chain. Having some extra stock and the willingness to lend your skills to others can enable you to barter with others in the community and not only survive but thrive!

Here are some commonly barterable goods and services with some examples in each category. This far from an exhaustive list, but should be enough to get your wheels turning:

  • Canned Food: Vegetables, Meat, and Tuna Fish.
  • Dried Food: Rice, beans, and pasta.
  • Clean Water: Bottled water and filtration systems.
  • Baby Supplies: Diapers, clothing, and shelf stable formula.
  • Weather Related Gear: Raincoats, winter clothing, and umbrellas.
  • Building Materials: Plaster, Paint, and lumber.
  • Hygiene Items: Toothpaste, soap, and deodorant.
  • Batteries: AA, AAA, C, and D cell.
  • Precious Metals: Silver and gold coins.
  • Footwear: Sneakers, work boots, and weather specific footwear
  • Fresh Produce and Meat: Grow produce and Raise Livestock.
  • Tools: Hammers, saw blades, screw drivers, and cutting tools.
  • Hardware: Screws, nails, and washers.
  • Comfort Items: Blankets, pillows, games, books, and liquor.
  • Common Medication: Tylenol, Advil, cold medication, and allergy relief.
  • First Aid Supplies: Bandages, Sutures, disinfectants, and gauze.

Barter Skills

  • Automotive Repair Skills
  • Cooking Skills
  • Sewing and Tailoring
  • “Handyman” and Maintenance Skills
  • Plumbing, Construction, and Building Skills
  • Medical and First Aid Skills
  • Teaching and Education Skills
  • Crafting Skills
  • Foraging Skills
  • Farming and Livestock Skills
  • Pest animal and Wildlife Management Skills
  • Electronic Device Repair Skills
  • Home Cleaning Skills
  • Child Rearing and Supervision Skills
  • Landscaping Skills
  • Gunsmithing Skills
  • Metalworking Skills

Featured Barter Items: Ammunition and Firearms Parts

Ammunition is a vital resource that is often overlooked when it comes to bartering. Firearms give us the ability to defend our homes and loved ones, as well as allow us to put food on the table if we live in a rural area and have hunting skills. Unfortunately, they are pretty ineffective without ammunition or if common wear and tear parts deteriorate due to lack of maintenance or heavy use.

Keeping a good stock of commonly used ammunition can not only ensure you will not run out, it can also provide you a very in demand commodity that less prepared individuals will be seeking to provide them with a sense of security and a means of feeding themselves and their loved ones. Companies like Black Hills Ammunition can keep you well-stocked on high-quality handgun ammo and top of the line self defense and hunting rifle rounds.

When it comes to Firearms, parts will wear out through time and use. This is especially prevalent with one of the most commonly owned platforms, the AR. one of the primary advantages of the AR platform is the ability to easily maintain, repair, and replace nearly every part with just a few simple tools.

It is expected that parts like buffers, springs, firing pins, bolt carrier groups, charging handles, optics, and even barrels will need to be replaced with extended use. Having a good stock of high quality parts like the ones found at Bravo Company Manufacturing will keep your AR platform operating at peak performance for years, and provide you with ultra high value bartering items during an extended supply chain crisis.

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The Best Places In America to Go During An Apocalypse! (This Article Illustrates Each Place With A Detailed Image)

Where is the best place to live in the US during and after the apocalypse?

While trying to figure out the answer, I’ve looked inside of prepping blogs to find a consensus for the criteria known to be essential for any place to survive in during the wake of such an event. That is, any event that can potentially destabilize society to the point of no return to normal any time soon. It will be important for you to have whatever supplies you need ready ahead of time before you travel to your destination. So start getting ready.

That being said, the criteria for the best area to survive in can be broken into three categories:

1. Human factors, 2. Natural factors, and 3. Economic factors

Human Factors:

  • Low population density (40 people per sq. mile or less)
  • Distance to major/minor cities (50+ miles away)
  • Distance to military bases (50+ miles away)
  • Distance to nuclear power plants (100+ miles away)
  • Distance to interstate highways
  • Low poverty rate
  • Low violent crime rate

Natural Factors:

  • Easy access to fresh water
  • Abundance of wild game
  • Low natural disaster risk
  • Dense forest cover
  • Adequate soil textures
  • Adequate rainfall
  • Low drought risk

Economic Factors:

  • Higher job growth
  • High abundance of non-renewable natural resources available for extraction (coal, oil, natural gas, metals and minerals, lumber, etc.
  • Higher educated citizens

Now that we know what to look for, I’ll narrow down a map of the U.S. by one category at a time using other maps I have compiled. The “Orange” counties are those disqualified, which will then become and remain dark gray when the next factor is applied. For simplicity reasons, we’ll focus on the continental U.S. But before starting I will say that the state of Hawaii is probably a fairly safe place to be considering its isolation, moderate climate, and the Polynesians have managed living there by themselves for millennia.

The first most important thing is population density or lack of it. This is common sense since you don’t wanna be around massive numbers of unprepared people when SHTF. Ideally anywhere under 40 people per square mile is best. The blue shaded counties are where to go.

Next is proximity to major and minor cities. A distance of at least 50 miles away is best.

Stay out of counties that contain Interstate highways as the most desperate people will use them traveling in search of resources.

We are now isolated from any major threats from large populations and groups of people. But, there is still the possibility of martial law being put into effect. So it’s best to keep our distance from military bases.

And nuclear reactors, in case of meltdowns occuring during grid failures.

The last places to “watch out” from are areas with already high poverty and crime rates. When they no longer can depend on Uncle Sam for their existence, it will get ugly. Avoiding these areas may potentially eliminate our options in the Southern states but I would like to keep them open for now for climate reasons. We’ll use a 25% poverty rate limit for the south and 20% everywhere else. (The south includes WV, southern MO, and eastern half of OK and TX)

I won’t make any exception for violent crime rates. Those will be applied evenly across the board. Lighter counties are safer.

We are now looking at a map of what are probably the “safest” counties in the United States. But now that the potential for human threat is minimized, we must figure out where is the best place to settle down based on what resources there will be available. The most important thing is easy access to fresh water always within close proximity.

Next in my opinion is wild game abundance, which you need for food during winters and harsh growing seasons, and for protein in general.

You wanna be safe from natural disasters such as tornadoes and hurricanes. Given recent events I think it’s safe to eliminate the lone county remaining in Florida.

This is a potentially controversial assumption, but the amount of forest cover over an area may be a good indicator for how much local resources there will be for us to utilize for our way of life. Everything from ecosystems that support wild game and edible plants to having plentiful amounts of lumber if needed (especially in the winter). Forests are just as useful as farmland. At least 25% forest cover is beneficial.

We need to grow food. This requires a number of things. Most important of them are good soil textures and rainfall. Drought-prone areas must be avoided. Warm climate isn’t necessary and depending on your environment you can expect to have different lengths of growing seasons. I will subtract all these variables all at once from the next map.

The best soil textures are ones with a close to even mixture of sand, silt, and clay, together known as loam. This mixture holds nutrients best. Anywhere on the scale from sandy loam to clay loam will work for most vegetables, fruits, wheat, nuts, and other produce.

This map is just for reference. Knowing your plant hardiness zones is key to scheduling your growing seasons with which types of produce you can expect to grow based on the average climate of your zone. Generally speaking, your options get wider the more south you go with more varieties of produce able to grow in warmer climates. There is also the potential for yielding not just one but two or more crop yields in a year with longer growing seasons in warm climates.

Rain should be 20 inches or more a year. So anything from dark green (40″+) all the way to light orange (20″) is good. Of course avoid regions that most often experience drought.

With all agricultural factors considered, this is what’s left on the map.

A variety of choices are left spanning different parts of the US. These are places that have everything we “need” to survive. You can perhaps at this point choose to pick whichever is closest to where you currently live. It is arguable that depending on the nature of the apocalyptic event the local economy may or may not make a difference on your quality of life. But let’s see where factoring it leads us.

A strong local economy in a rural area can indicate the presence of a stable natural resource based economy be it agriculture, mining, logging, etc. These resources can potentially be very important for the economic growth of the area and in the rebuilding of other economies through the exporting of these resources. It’s best to pick the areas with current stable job growth with high natural resource reserves.

Areas with 2.5%+ job growth with heavy natural resource reserves and industries:

The culture of where you live can be rather important. To borrow from one commenter, “You need a community. No matter how much of a bad ass you are you have to sleep sometime. It is great to consider things like natural resources and growing conditions, but you also need people with the knowledge to put those attributes to work for the community.” Areas with a high concentration of college graduates can indicate the presence of a college or of other skilled service providers which can potentially contribute to the needs of a community in areas such as healthcare, engineering, agriculture, etc. Areas with a population of at least 20% college graduates would be good.

We have 5 finalists:

Archuleta Co., CO

Hinsdale Co., CO

San Juan Co., CO

Hubbard Co., MN

Highland Co., VA

At this point, let’s eliminate by comparing.

For extra isolation, eliminate Highland County, VA.

For better access to water, rain, and wild game, eliminate Archuleta County, CO.

For a place with less poverty and crime, stay out of San Juan County, CO.

At this point the decision for me comes down to the potential for future economic growth and a population that is more wilderness survival conscious, which leaves us our winner….

Hinsdale County, Colorado

I welcome any suggestions from you for additions, corrections, or edits to help accurately improve the results I have found and will perhaps make updates to everything based on them in the future.

I want to present you one of the most interesting sites, where you will see new articles daily! www.321gold.com

“Collapse of American Society”

American society isn’t going to “collapse” in the sense of bad zombie movies. But it is going to decline in world power and influence if it keeps on spending money that it doesn’t have on wars that it can’t win. Right now the United States puts a ridiculous amount of its discretionary spending into the military, while allowing its infrastructure and education systems to continue to decline.

Prosperity comes from the middle class buying things. They can only buy things if they have jobs. They can only have jobs if American corporations use their profits to create jobs. But if they are allowed to continue sending jobs overseas, then there won’t be enough employed people to do the buying that sustains the economy. So one cause of American decline will be the continued exporting of jobs, especially blue-collar manufacturing jobs. Once Detroit was a capital of industry and now it’s a ghost town.

Attention: The US is Facing The BIGGEST Threat Of The Century!

So pay chose attention because this video will change your life forever for the good!

The seizure of the legislatures by the neo-liberals, and the resulting efforts to “run universities like a business” are crushing the life out of higher education. Only departments that “make money” will be funded, meaning those that do basic research — the source of future jobs — are not. We’ll have way too many business administration majors, bean-counters who make nothing, and nowhere near enough teachers and engineers and scientists.

The clamps on childhood education are even worse. America soared when it dumped money into education after Sputnik. Then came Reaganomics, deregulation of the markets, and persistent efforts to close down the Department of Education by the Right, and now we have schools advertising junk food to children on their cafeteria trays in order to make up the shortfall. They’re overwhelmed with inspections and league tables and No Child Left Behind, but they’re chronically underfunded.

Undereducated people don’t get good jobs, and they require more in social services than they pay in taxes. Well-educated people ensure that their children are well-educated also, and they use fewer social services. Education is really cheap compared to a cruise missile, and it’s an investment that saves money in the long run. The cruise missile just blows up and has to be replaced by another one.

It is also imperative that we get big money out of politics. Citizens United was a disaster. Lobbyists write the laws in such a way that they ensure the people they represent don’t pay their fair share. The wealthy squirrel it away offshore. Google pretends to be an Irish company even though we all know it’s located in California.

In short, I think the long decline of the United States will be caused by:

  • Ruinously expensive foreign wars.
  • Failure to invest in the people and institutions of America, especially education.
  • Companies that are allowed to hide their profits overseas and export jobs overseas, evading both their civic duty to employ people and to pay their taxes.
  • A corrupt electoral process that ensures that our representatives are more beholden to their donors than to the electorate, of which the Citizens United ruling is by far the most egregious example.

The most shocking article can be found below.

Watch this video below to find out the great secrets hidden by the government.

I want to present you one of the most interesting sites, where you will see new articles daily! www.321gold.com

The Dynasty That Changed the World

Today we will address a key period in modern history, leading up to 1913, the year in which two very important events occurred that still profoundly affect our lives. We will continue to observe how the history of world domination continues. Let’s remember that the fourth part ended with the assassination of President Garfield in 1881, who stated that whoever controls the amount of money in the country has absolute control over industry and commerce. By understanding that the system can be easily manipulated by a few powerful men, it is explained how periods of inflation and depression originate. In only 100 days, the control of financial power, especially by the Rothschilds, in decision-making that affects the entire economy became evident.

The influence is exerted in different spheres. First, through the control of money and its issuance. In England and the United States, they attempted to control money, succeeding in having it considered debt. Simultaneously, the concentration of the money supply allows the Rosicrucians to expand their political influence, by buying governments, financing debts, placing descendants in key positions, and infiltrating powerful political organizations.

We saw that economic and financial power experiences remarkable growth, investing in the main sources of global production, such as energy and military resources. We also observed their intention to control educational systems, infiltrating universities through scholarship programs, and their process of dominating the media to influence public opinion and silence the opposition. If we jump ahead to the present day, we will better understand what happened in 2021, when the False Dissidence, groups financed by them, sprung up like mushrooms in every country, aligning with the official positions of governments. These groups defended the S protein, hydrogel, and other elements, denying any scientific evidence that contradicted the predominant narrative and omitting discoveries related to graphene oxide. We know who was behind all this manipulation; this type of control has been ongoing for many decades. This process continues to intensify, as they accumulate greater economic, political, and social capacity, expanding their control in different spheres of society.

We recall that they began financing the tunnel that would connect France and England. In 1883, after excavating 6,000 meters, the project was stopped because the British government considered it a threat to its security. The work remained unfinished and was resumed decades later, achieving its current operation.

In 1885, Nathaniel Rothschild, son of Lionel de Rothschild, becomes the first Jewish member of the House of Lords and obtains the title of Lord Rothschild. You remember that they already had another member in the House of Lords, and this gradually extends their political power, allowing them inside each of the chambers to influence the formulation of laws, making agreements, in short, everything that can be done from a lobby exercised within the parliament itself.

In 1886, the French Rothschild bank obtains large quantities of oil deposits in Russia and forms the Caspian and Black Sea Petroleum Company, which quickly becomes the world’s second-largest oil producer. I want you to understand that if we still depend on oil today, it is not because there are no alternative energies for your vehicle to run without contaminating and at much lower cost, but because it is part of a project of world domination that allows them to make all of society dependent on their own production, abusively setting prices, controlling supply, and so on.

Within this process of economic growth, in 1887, the opium trafficker in China, Edward Albert Sassoon, marries Aline Caroline de Rothschild, the granddaughter of Jacob (James) Mayer Rothschild. Aline Caroline’s father, Gustave, along with his brother, Alphonse, take charge of the French branch of the Rothschilds after the death of their father Jacob.

The Rothschilds finance the merger of the Kimberley diamond mines in South Africa, and subsequently become the main shareholders of this company, De Beers, as well as of the precious stone mines in Africa and India. Currently, they possess almost exclusive control over these activities, consolidating a dominance that has significant strategic and economic value worldwide due to the importance of this production.

In 1891, the leader of the British Labour Party, one of the two main political parties, makes the following declaration on the subject of the Rothschilds:

“This team of bloodsuckers has been the cause of incalculable damage and misery in Europe during the current century, and has amassed its prodigious wealth mainly by fostering wars between states that should never have fought. Whenever there is trouble in Europe, wherever rumors of war circulate and the minds of men are dismayed by the fear of change and calamity, you can be sure that a hooked-nosed Rothschild is up to his games somewhere near the region of disturbance.”

We already know that wars were fostered and financed through the groups of the different Rothschild groups.

In the 19th century, the options for communicating and disseminating the actions and power of the Rothschilds were very limited, restricted to a small press, little-known books, and emerging media. Therefore, it was crucial for them to control any criticism, denunciation, or version that could reveal the truth and challenge the official story.

Comments like those made by the aforementioned British Labour leader concern the Rothschilds and at the end of the 19th century, they buy the Reuters agency to have a certain control over the media. The official world, as is customary, will deny this fact, but the Rothschilds appear on this statue. This statue celebrates Reuters’ mission as an independent news agency and highlights its founding in 1851.

It can be read as follows:

FOUNDED THE WORLD NEWS ORGANISATION THAT BEARS HIS NAME IN NO. 1 ROYAL EXCHANGE BUILDINGS IN THE CITY OF LONDON, NEAR THIS SITE, ON 14 OCTOBER 1851.

THE SUPPLY OF INFORMATION TO THE WORLD’S TRADERS IN SECURITIES, COMMODITIES AND CURRENCIES WAS THEN AND IS NOW THE MAINSPRING OF REUTERS ACTIVITIES & THE GUARANTEE OF THE FOUNDER’S AIMS OF ACCURACY, RAPIDITY AND RELIABILITY.

NEWS SERVICES BASED ON THOSE PRINCIPLES NOW GO TO NEWSPAPERS, RADIO & TELEVISION NETWORKS & GOVERNMENTS THROUGHOUT THE WORLD. REUTERS HAS FAITHFULLY CONTINUED THE WORK BEGUN HERE.

TO ATTEST THIS & TO HONOUR PAUL JULIUS REUTER THIS MEMORIAL WAS SET HERE BY REUTERS TO MARK THE 125TH ANNIVERSARY OF REUTERS FOUNDATION & INAUGURATED BY EDMUND L. DE ROTHSCHILD, TD 18.10.76.

For decades, the media has fallen under the ownership of a few corporations that, through their editorial control, have created a socially engineered construct that represents a manufactured version of reality. To maintain this artificial illusion, the media implements a program of censorship of all important news and events and replaces the truth with lies, distortions, distractions, and omissions. The media thus creates a false version of reality to keep the public docile and controlled.

To say that Rothschild did not invest at all in the British East India Company, Associated Press or Reuters would be dishonest and naive. We have talked about this before and we know for certain that 96% of the main media outlets in the world — including large news channels, agencies like Reuters, influential magazines like Life and other far-reaching media — are owned by a small group of families linked to the Rothschilds. This figure demonstrates how most of the information flow is controlled and manipulated. The logic of this concentration is clear: currently, most media are under absolute control, which allows them to filter, modify or censor information at will, spreading what they want and silencing what is inconvenient for them.

In 1895, Edmond James de Rothschild, youngest son of Jacob Mayer Rothschild, visited Palestine. This event marked the beginning of a process that deeply impacts our lives, as we are on the eve of the Third World War, whose epicenter will be the Middle East. Rothschild financed the creation of the first Jewish colonies in Palestine, with the long-term goal of establishing a Jewish State supported by the Rothschilds. These colonies did not arise from religious inspiration, but as part of a strategic plan.

In 1897, the Rothschilds founded the Zionist Congress to promote Zionism, a political movement born with the grand political objective of relocating all Jews to a singularly Jewish nation-state. It is a political movement, not a religious or ethnic movement. They organized their first meeting in Munich, but due to opposition from local Jews, who lived in peace in their countries, they had to move it to Basel, Switzerland, on August 29. The meeting was secret and is well documented. The meeting is presided over by the Ashkenazi Jew, Theodor Herzl, who would declare in his diaries:

“It is essential that the sufferings of the Jews, which are beginning to worsen, help in the realization of our plans. I have an excellent idea. I will induce the anti-Semites to liquidate Jewish wealth. Thus, anti-Semitic Jews will help us reinforce the persecution and oppression of the Jews. Anti-Semites will be our best friends.”

Herzl is subsequently elected President of the Zionist Organization, which adopts “The shield of the red hexagram of the Rothschilds,” as the Zionist flag that 51 years later will end up being the flag of Israel. Why was no other symbol used? It is evident who financed everything; an Illuminati symbol was used.

Edward Henry Harryman becomes at that time director of the Union Pacific Rail Road, a very important train line in the United States, and also takes control of the Southern Pacific railway line, and all these acquisitions were financed by the Rothschilds as part of their dominance and their economic growth. And in 1898 Ferdinand de Rothschild dies.

In 1901, the Jews of the colonies established in Palestine by Edmund Rothschild send a delegation to request the following from him:

“If you want to preserve the Yishuv (the Jewish settlement) first take your hands off it, and once and for all allow the settlers to have the possibility to correct themselves what is necessary to correct.”

Edmond James de Rothschild becomes very angry about this and says:

“I created the Yishuv, all by myself. Therefore no man, neither settlers nor organizations have the right to interfere with my plans.”

And again, these are historical documents that anyone can confirm. You understand that the creation of these Jewish colonies seemed to have the main objective of uniting the Israeli diaspora, but in reality, it responded to a secondary plan which, in turn, was the true main purpose, hidden behind the scenes. When these Jewish settlers established themselves there, they soon realized that the apparent intention of offering them freedom to live in peace was nothing more than a facade, since those who had financed the project actually maintained political control.

In 1902 Philip de Rothschild is born, thus consolidating the continuity of the dynasty. Three years later, in 1905, a Rothschild-affiliated group backed Zionist Jews led by Georgi Gapon Apolon in an attempt to overthrow the Tsar of Russia with a communist coup. It is important to remember that one of the Rothschilds’ objectives in Russia was to control the country to facilitate the establishment of a communist and socialist system, as mentioned in previous chapters of this series about the dynasty. However, this plan failed, and the Rothschilds were forced to flee Russia, seeking refuge in Germany.

And it is interesting what the Jewish Encyclopedia in volume 2, on page 497, states:

“It is a curious sequel to the attempt to create a Catholic competitor to the Rothschilds when in reality the latter are the guardians of the papal treasury.”

You remember that we discussed how the Rothschilds already managed the finances of the Vatican and it was not logical for them to create a Catholic competitor in Russia, which was Orthodox. Sometimes it is difficult to understand history, but in reality, they sought to generate an antinomy, an opposition to capitalism, to provoke wars, as happened years later. Furthermore, they faced Russian resistance, which refused to enable the Central Bank, key to their plan for world hegemony, all in function of the final goal: a global government.

In 1906, the Rothschilds state that due to increasing instability in the region and growing competition from the Rockefellers (the Rockefeller family are descendants of the Rothschilds through a maternal line), owners of Standard Oil, they sell their Caspian and Black Sea Petroleum Company to Royal Dutch and Shell. This is another example of how the Rothschilds try to hide their true wealth.

In 1907 Jacob Schiff Rothschild, head of Kuhn, Loeb and Co., (remember that this person had been placed there in the United States to generate the necessary situational scheme to reinstall the Central Bank whose concession they had lost some decades earlier), in a speech before the New York Chamber of Commerce warns:

“Unless we have a Central Bank with adequate control of credit resources, this country will suffer the most serious and far-reaching financial panic in its history.”

Suddenly, America finds itself in the center of another typical financial crisis designed in the Rothschild factory, which, as usual, ruins the lives of millions of innocent people throughout America, and the Rothschilds earn billions. Did you know that in 1907 a financial panic occurred in the US that arose out of nowhere, almost like magic? The way they manage these crises is through the control of money and loans. If they stop renewing or cancel a financing, you automatically run out of funds and backing.

In 1909 Jacob Schiff founds the National Association for the Advancement of Colored People (NAACP). This is done to incite black people to become irritated, loot, and adopt other forms of disorder, in order to provoke a break between the white and black communities. The Jewish historian, Howard Sachar, states the following in his book, “A History of the Jews in America”:

“In 1914, Professor Emeritus Joel Spingarn of Columbia University became president of the NAACP and recruited Jewish leaders such as Jacob Schiff, Jacob Billikopf, and Rabbi Stephen Wise to its board.”

Other Ashkenazi Jewish co-founders were Julius Rosenthal, Lillian Wald, and Rabbi Emil G. Hirsch. It was not until 1920 that the NAACP named its first black president, James Weldon Johnson.

This was designed to create a politically managed alliance, which would incite the black community to riot, loot, and promote disorder and rebellion. Although slavery was abolished, its effects persisted, justifying the resistance of the oppressed. The objective was to divide the white and black communities, in line with the Illuminati plan to divide and conquer. The institution did not seek the development of black people, but to encourage their rebellion, which differs from the progress that could be achieved through policies and laws favored by influences such as the Rothschilds. In reality, their aim was to generate conflicts to destabilize society, control through weapons, influence, and oppressive laws, and thus advance a scheme of total control.

Speaking of Schiff, a key figure in modern history, as he was the main architect of the institutions created in the early years of the 20th century, especially the US Central Bank. In 1912Truth Magazine described him as: “the head of Kun Love and Co, a private bank representing the interests of the Rothschilds across the Atlantic.” He was considered a financial strategist and the true finance minister of the impersonal power of Standard Oil, collaborating with Harryman, Gul, and Rockefeller in railroads, consolidating his influence in the US railway and financial sector. A man with real, financial, and political power, of enormous influence.

And here we will conclude this fifth part with two absolutely central events in the history of humanity, one of them for its economic consequences and the other for its political consequences that describe the way international Zionism proceeds.

In 1913, the following occurred: On March 4, Woodrow Wilson is elected 28th President of the United States. Shortly after accepting the position, he receives a visit at the White House from the Ashkenazi Jew, Samuel Untermyer, of the law firm, Guggenheim, Untermyer, and Marshall, who attempts to blackmail him for the sum of $40,000 in relation to an affair Wilson had while he was a professor at Princeton University, with the wife of a fellow professor. President Wilson does not have the money, Untermyer voluntarily offers to pay the $40,000 out of his pocket to the woman Wilson had the affair with, on the condition that Wilson promises to appoint the first vacancy on the Supreme Court of the United States to a candidate recommended by Untermyer to President Wilson. Wilson accepted the blackmail and the agreement, promising to fulfill his promise. Let us remember that this was precisely one of the objectives of the Illuminati; they used this type of element to blackmail and dominate even the President of the United States himself.

Jacob Schiff founded the Anti-Defamation League (ADL) in the US, one of the most influential institutions in the country. Its objective is to discredit those who question the Rothschilds or the Jews, labeling them as anti-Semites. Every time someone criticizes Jews or Zionism, they are quickly labeled as anti-Semites. Although this is less evident in other countries, in the US the ADL has great power to limit freedom of expression and generate hatred. Its denunciations deeply affect the official narrative, causing those who criticize Jews to be automatically branded as anti-Semites throughout the world. Like the league for the advancement of black people, this was created as one more necessary tool to control public opinion and avoid the denunciation of the atrocities they committed.

We come to the central fact that explains what is happening in our modern times, and that is the creation of the Third definitive bank of the United States in 1913. Curiously, the same year the ADL and the league for the advancement of black people were founded, they also created the last and current Central Bank of the United States, the Federal Reserve.

Congressman Charles Lindbergh declares after the approval of the Federal Reserve Act on December 23:

“The Act establishes the most gigantic trust on earth. When the President signs this bill, the invisible government of the monetary power will be legalized……. The greatest crime of all time will be perpetrated by this banking and currency bill.”

The Federal Reserve, which many believe is a public bank backed by the US government, is actually a private entity that has never been audited or published its balance sheets. The dollar you have in hand is not backed by gold or the government; it is simply paper printed by a printing press that, instead of charging for the printing, lends that money to the US government for its circulation, generating a huge amount of money without backing or control. The Fed prints money at will, lends it at interest, and finances various institutions without limits or transparency, which reveals enormous and unregulated power.

In the next chapter of this series, we will get closer to our time so that you can appreciate how many events were driven and defined by them. You will see how all these events fit together perfectly and logically with what is currently happening.

I want to present you one of the most interesting sites, where you will see new articles daily! www.321gold.com

The Most Important Lessons Learned Surviving The Great Depression

First take a look at one of the most shocking videos in the world! This video actually shows us what the secret of the Trump family is related to their expressive health!!! –FULL VIDEO HERE

Starting in the year 1929, the United States fell and fell hard. This event in history was infamously coined “The Great Depression”.

It became known as the worst US economic disaster of modern times. With the full burden of it landing squarely on the shoulders of the American working class who struggled to survive the great depression.

In fact, some didn’t survive. Many died.

But everyone suffered. And every American life touched by this tragedy was never quite the same.

The Great Depression brought the prosperous American empire to its knees. Money and industry dried up almost overnight, along with the nation’s food resources.

It was the worst of times to be an American.

In reality, the probability of a similar economic disaster shaking this nation again is not as low as you might imagine.

Sure, there are new checks and balances – “safety valves” to ensure that the US stock market can’t crash as fast. But even as recently as 2008, America’s economy was badly shaken and sank once again via The Great Recession.

But the truth of the matter is Wall Street and big banks never actually learn the lessons of the past. And with Fed holding interest rates at or near zero (at the time this article was published), the government’s bag of tricks is running on empty.

The next economic fall could match or exceed that of The Great Depression.

History often repeats itself, and the best way to avoid past suffering is to learn from the mistakes of our forbearers – and try to prepare ourselves for harder times yet to come.

As Edmund Burke once famously quoted,” Those who don’t know history are doomed to repeat it.”

The most shocking video can be found below:

The 12 Most Important Lessons Learned Surviving The Great Depression


Lesson 1 – “Job Security” Is A Dangerous Myth

The stock market is just a numerical representation of reality. When it crashes, it’s the underlying businesses that make up the stock exchange that struggle to perform.

And once a crash starts, it’s difficult to stop. When fear turns into all-out panic people, stop spending, which leads to lower business profits, which pushes stock prices even lower, which then leads to even less spending.

Economic depression is a vicious cycle, where businesses are not selling their inventories because people are not buying.

All businesses will immediately start downsizing their staff of employees to help offset their future drop in revenues.

The weaker businesses will find that massive layoffs are not enough. They can’t keep the doors open, and everyone who worked for them is out of a job.

This downward cycle ushered in the era of The Great Depression.

Unemployment rates skyrocketed. The unemployed masses spent their remaining savings on only the bare essentials (i.e. food, rent) until even those dollars ran out.

After that, many were left with shanty towns and food lines as their only remaining options.

So even if you think your job is secure, are you 100% certain?

Lets image that your company does survive but to do so must layoff a few employees from each department. How can you be certain you won’t be among those few?

If you’re a relatively young employee, you might be let go because hey “you’ll land on your feet”. If you’re a more seasoned employee, cutting your salary will make a bigger difference to a struggling business’s bottom line.

You can’t assume how these things will shake out…

In stable times, people like to talk about their “job security”. They fool themselves into believing that their job or their industry can weather any storm. It’s a suckers bet.

Instead, you should assume that you could lose your job in an instant and live, plan and prepare accordingly.

Lesson  2 – Self-Defense Matters In Tough Times

As times got tougher, people got more desperate. People who could not afford to feed themselves or their families forced to more extreme means of providing or risk starvation.

Organized crime took off like a rocket ship. The mobs in New York and California became some of the wealthiest organizations in the country because of their control of the liquor smuggling operations.

Desperate times call for desperate measures surviving The Great Depression. A father or mother with starving children will abandon their morals and steal from others.

You should assume your resources will come under attack. Especially if you’ve stockpiled food, vital supplies, and resources others want. Get prepared to protect what’s yours.

Lesson 3 – Diversify Your Skill Set

Many of the previous well-off families were forced into lives of extreme poverty. As the cushy jobs vanished and monetary assets tanked, people who had no real useful skills suffered the most.

Previously wealthy parents, watched in horror as their children died of starvation or illnesses they could not afford to fight off.

Mothers and fathers died by sacrificing their own needs for their children. Leaving their children alone, to fend for themselves.

When times get tough, you’ll need to figure out how to scratch out a living. Learn how to provide an essential service to others and trade or barter for it.

Figure out how to secure critical resources and turn those into necessary goods or services. It’s best if you acquire those self-reliant survival skills today. If you wait, it may be too late.

Lesson 4 – You Must Stay Mentally Prepared

Brothers and sisters, lovers and friends were subject to extreme suffering and (as the name of the era implies) depression.

Many folks were simply not equipped to handle the cultural shift from prosperity to poverty – or chose not to – and opted to take their own lives.

If you want to be a rock in a sea of misery, you need to sharpen your mind. The best way to do this is through the philosophy of Stoicism.

One aspect of Stoicism promotes the practice self-deprivation during good times to mentally prepare you for bad times.

One such example is fasting for a week. To experience the sensation of extreme hunger and understand that while uncomfortable in the short term, it’s survivable.

A second example would be to sleep for a week on a cold hard floor and not in a soft, comfortable bed. This practice will help strengthen your resolve and spirit should that ever become your actual reality.

Not only will this practice give you more appreciation for the good things you have in your life today, but also provide mental preparations when life’s circumstances take a turn for the worst.

Lesson 5 – You Need Strong Family Bonds

Marriage rates early on in the Great Depression plummeted mostly because single men could not afford to support themselves, let alone a family. So proposals dried up and became something of a rarity from 1929 to 1934.

Surprisingly, divorce rates throughout the era decreased!

However, this has been attributed to spousal abandonment. Men did not have the means to legally leave their wives. So while formal divorce rates were low, abandonment rates during the Great Depression were at an all-time high.

The Great Depression brought about a lot of “poor man’s divorces”, and a surplus of single ladies.

If you want to stay with your spouse through such trying times, then focus on strengthening your bonds of love, trust, and communication today.

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Lesson 6 – Honest Work Can Be Hard To Find

Single or abandoned women experience especially hard times.

Being a woman in that era made it harder to get work. And if work could be found they rarely got paid a decent wage. Making women exponentially more vulnerable to moral compromises. Which lead to rising rates of prostitution across the US.

Many women who could not find honest work turned to “the oldest profession in history.” It was a desperate means for surviving The Great Depression.

Again, having some active and useful skills can help to avoid the toughest of compromises. Sewing, gardening, seed saving, farming, butchering, etc.

Lesson 7 – Vices Were In High Demand

Rates of alcoholism escalated despite the prohibition laws that were enforced in the US at this time.  Most of the available booze was either expensive imports, diluted imports, or homebrewed hooch. All of which have their shortcomings and most of which were controlled by the mob, or independent bootleggers.

Neither of whom were good folks to owe money. And amazingly, regardless of all that, the number of alcoholic Americans rose steadily throughout the Depression.

When times are tough a lot of people peer down the bottom of a bottle looking for answers.

So if you happen to have a stockpile of these highly desirable vices you can sell or trade them at a nice profit to help keep your loved ones safe.

Lesson 8 – Stretching Your Dollars

Many Americans switched from more expensive cigars to smoking cigarettes, which were significantly cheaper. Not that one or the other is better for you, but its proves an interesting trend.

In trying times, people make certain compromises. They can no longer afford luxury for luxuries sake. They downgrade to cheaper options while surviving The Great Depression, in an attempt to stretch what little was left.

Learning how to effectively stretch your dollars today can help prepare for you tough times ahead. Eliminating unnecessary food and energy waste. Limiting the number of miles you drive your car. Bottom line: Living an efficient life.

All these ideas will help you keep more of your hard-earned dollars today and make them last longer tomorrow.

Lesson 9 – Diets and Health Suffered

Obviously, preventative health care was not high on anyone’s priority list, so the general health of the American population, from 1930 to 1933 suffered greatly. No one bothered going to the doctor unless it was a serious emergency.

Doctors cost money, as does medicine and dental work. Instead, money was allocated to short-term essentials such as food, rent, and clothes – the important stuff.

While I never advocate skipping doctor or dentist visits, you can help keep visit costs low with good personal hygiene.

Keep a well supplied and updated medical kit in your home at all times. Continue regular dental hygiene and eat a balanced diet. These actions will help keep your immune system in good working order.

Plan on stockpiling essential health-related supplies (like survival antibiotics) and then smartly rationing them during hard times.

Lesson 10 – Mass Migration Was Common

Mass migration physically rearranged and shuffled the demographics of America like a professional blackjack dealer.

The Great Depression an era of movement and vagrancy, a time where jobs were sought out by adventurers who train hopped from one town to the next, or walked the roads and hitchhiked when they could.

Caravan loads of migrants moved westward, from the east towards a new life in California. John Steinbeck described the migrations impeccably well in his 1939 novel Grapes of Wrath:

“And then the dispossessed were drawn west–from Kansas, Oklahoma, Texas, New Mexico; from Nevada and Arkansas, families, tribes, dusted out, tractored out. Car-loads, caravans, homeless and hungry; twenty thousand and fifty thousand and a hundred thousand and two hundred thousand.

They streamed over the mountains, hungry and restless–restless as ants, scurrying to find work to do–to lift, to push, to pick, to cut–anything, any burden to bear, for food. The kids are hungry. We got no place to live. Like ants scurrying for work, for food, and most of all for land.”

When local prospects are nil, you must move to survive. If you would prefer to avoid such a fate, then focus on your family’s self-reliance. If you can thrive where you are, then you’ll have no reason to join the masses.

Lesson 11 – Creative Art Is A Silver Lining

People went to more movies during the Great Depression. Americans went to at least one movie a week on average (often, more). It was a way to escape from the sad realities of life during the Great Depression for an hour or two.

It was a chance to laugh with other people, get excited, frightened, angry or sad with a crowd of strangers and friends – cinema during the Depression was a flickering, dancing light in a very dark corner of time.

There were a lot of classic films that came out of the Depression. Movies like Frankenstein, It Happened One Night, Gone With The Wind, King Kong, The Wizard of Oz, and Dracula.

There were also a lot of great works of literary art as a result of the Depression.

Some of the most impactful photography came from this era as well, like Dorothea Lange, Walker Evans, Arthur Rothstein, Ben Shahn, John Vachon, Russel Lee, and Gordon Parks are among some of the most recognizable Great Depression photographers.

However, symphonic music, which was in high fashion throughout the 20’s, suffered severely from the depression. Paying for symphony tickets was largely out of the question, getting dressed up was a superfluous endeavor, and besides all of that, advancements in Radio Tech meant that most music lovers could get different stations right in their living room.

The one positive product of tragic events, intense situations, and weird history like that of surviving The Great Depression is the art that it invariably bears.

War, natural disaster, economic meltdown, famine, genocide and anything else so gruesomely depraved will always inspire the creative soul.

Lesson 12 – Self-Reliance Is Key

The biggest hurdle of the Great Depression was a simple one: lives changed drastically – and they changed fast. Americans went from the lavish roaring twenties, where elegance and jazzy splendor perfused the nation, to scrubbing out a meager existence.

Those who survived it were never the same. They reused more. They shopped for bargains, not luxuries. They fully understood that a trip to the grocery store may be the last for a very long time.

That’s the biggest lesson learned from surviving the Great Depression: Self-Reliance skills are essential to getting you through the harsh times. The survival skills that our modern world has since lost. It’s time we discover them again.

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What Caused the Stock Market to Crash?

A stock market fall can occur as a result of a large disastrous event, an economic crisis, or the bursting of a long-term speculative bubble. Reactionary public fear in response to a stock market fall can also be a key cause, prompting panic selling that further depresses prices.

  • A stock market crash is a sudden or severe drop in overall share prices, usually within a day.
  • Stock market crashes can be due to economic or natural disasters, speculation, or investor panic.
  • Investors can prepare for stock market crashes by diversifying portfolios and shifting to CDs or bonds.

The stock market is constantly moving, with prices of individual equities rising and falling throughout the trading day. Whenever the majority of them or a representative group of them, called a stock market index takes an especially large dive, a panicked cry often arises: “The stock market has crashed!”

Stock market crashes are certainly scary. Equities across the board decline in value. Investors lose enormous sums of money on paper, anyway. But what causes them? And what are the aftereffects?

Here is a closer look at what a stock market crash is and what you need to know before one impacts your portfolio.

What causes a stock market crash?

Historically, stock market crashes often occur after a long period of economic and market growth. Confidence in the economy, steady stock gains, and low unemployment are all drivers of bull markets, as these sustained rallies are known. As more and more stocks are purchased, prices go up both for individual equities and the stock indexes themselves.

But in the world of securities, prices can’t keep rising indefinitely, and bull markets can only last for so long. Sometimes it’s a general shift in sentiment, as in 1929, but usually, some precipitating event occurs.

Numerous things can cause a stock market to crash, including:

  • Panic: This is one of the most common contributing factors to a crash. Stockholders who fear the value of their investments are in danger of dropping will sell their shares to protect their money. As prices begin to drop, the fear spreads, more sales ensue, and this can lead to a crash. Anything from a major player in the market having financial trouble to fears about the impact specific legislation may have can cause scores of investors to panic and sell off stock.
  • Natural or man-made disasters: These can include all sorts of catastrophes, from floods to wars to pandemics. Case in point: the coronavirus-induced crash of March 2020. As the realization of the spread of COVID-19 began to take hold, the economic outlook for the US and countries worldwide began to look grim. While countries announced travel limitations, mandatory business shutdowns, and quarantines, consumers stocked up on essential supplies causing shortages, companies began protecting profit margins through layoffs and furloughs, and investors started selling off stocks.
  • Excessive leverage: When things are going well, leverage (a.k.a. “borrowed money”) can seem like an excellent tool. For example, if I buy 1,00,000 worth of stock and it rises by 20%, I made 20,000. If I borrow an additional 1,00,000 and bought 2,00,000 worth of the same stock, I’d make 40,000 doubling my profits.

On the other hand, when things move against you, leverage can be downright dangerous. Let’s say that my same 1,00,000 stock investment dropped by 50%. It would sting, but I’d still have 50,000. If I had borrowed an additional 1,00,000, a 50% drop would wipe me out completely.

Excessive leverage can create a downward spiral in stocks when things turn sour. As prices drop, firms and investors with lots of leverage are forced to sell, which in turn drives prices down even further. The most notable occasion was the Crash of 1929, in which excessive purchasing of stocks on margin played a major role.

  • Interest rates and inflation: Generally speaking, rising interest rates are a negative catalyst for stocks and the economy in general.

This is especially true for income-focused stocks, such as real estate investment trusts (REITs). Investors buy these stocks specifically for their dividend yields, and rising market interest rates put downward pressure on these stocks. As a simplified illustration, if a 10-year Treasury note yields 3% and a certain REIT yields 5%, it may seem worth the extra risk to income-seeking investors to choose the REIT.

On the other hand, if the 10-year Treasury’s yield spikes to 4%, the REIT’s dividend will (roughly) need to rise proportionally to attract investors. And lower stock prices translate to higher dividend yields, on a percentage basis.

From an economic standpoint, higher interest rates mean higher borrowing costs, which tends to slow down purchasing activity, which can in turn cause stocks to dive. So, if the 30-year mortgage rate were to spike to, say, 6%, it could dramatically slow down the housing market and cause homebuilder stocks to take a hit.

  • Political risks: While nobody has a crystal ball that can predict the future, it’s a safe bet that the stock market wouldn’t like it much if the U.S. went to war with, say, North Korea.

Markets like stability and wars, and political risk represent the exact opposite. For instance, the Dow Jones Industrial Average dropped by more than 7% during the first trading session following the Sept. 11, 2001, terror attacks, as the uncertainty surrounding the attacks and the next moves spooked investors.

  • Tax changes: The recent Tax Cuts and Jobs Act should certainly have the effect of higher corporate earnings and is likely to be a generally positive catalyst for the market.

On the other hand, tax increases can have the opposite effect. One potential way to fix the Social Security funding problem would be to raise payroll taxes on employees and employers. There are several ways this could happen, but this would mean lower paychecks for workers and higher expenses for employers, and could certainly be a negative catalyst.

The same could be said if short-term capital gains taxes or dividends lose their favorable treatment, if the corporate income tax is raised in the future, or if any other significant tax hikes occur. This isn’t likely to happen while the Republican Party is in power, but it’s certainly possible in the future.

  • Economic crises: A problem in industry or one section of the economy often has a ripple effect. One example is the subprime mortgage crisis of 2007-2008. Earlier in the decade, deregulation in the banking industry had led to an increase in mortgages to high-risk borrowers. When these borrowers began defaulting on payments, home prices dropped, and the housing market collapsed. Many of the now-worthless mortgages had been packaged and sold off to institutional investors who in turn lost billions. Big firms began to fold, and from Sept. 19 to Oct. 10, the Dow Jones Industrial Index declined 3,600 points.
  • Speculation: When you have people and companies investing in a sector in the hopes that an asset or security will grow or based on future performance expectations, you have speculation that often creates a bubble. If the performance disappoints, and the hype doesn’t live up to reality, the bubble bursts, and a mass sell-off occurs.

What happens when a stock market crashes?

There are many definitions of what a stock market crash is. Some categorize a crash strictly as a stock market or a stock market index (a representative sampling of stocks) losing more than 10% of its value in a single day. Others provide a more general view, simply stating that a crash is a significant or dramatic loss in the stock market’s value, and the prices of shares overall, usually within a short period.

Any way you look at it, a stock market crash happens when confidence and value placed in publicly traded assets go down, causing investors to sell their positions, and move away from active investing, and toward keeping their money in cash, or the equivalent.

The impact of a crash can vary as well. Sometimes, it’s limited. For example, on Oct. 19, 1987, after five years in a strong bull market, the Dow Jones Industrial Average (DJIA) and S&P 500 both dropped more than 20%, following markets throughout Asia and across Europe. The crash was short and markets quickly recovered. Within a few days, the DJIA regained more than 43% of the points it lost and within nearly two years the market had recovered almost 100%.

At other times, the effects are widespread and longer-lasting. The most notorious example is the Crash of 1929. Stock prices dropped first on Oct. 24th, briefly rallied, and then went into free fall on Oct. 28-29. Ultimately, the market lost 85% of its value. Though not the sole cause, this crash was one of the contributing factors to the Great Depression, the worst economic period in American history, lasting nearly 10 years.

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