In today’s Episode I Define the Economy, Explain the Federal Reserve Bank, Explain inflation and the cause, I discuss the option for smart money, and our debt
Housekeeping:
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I have a book: “The Honey and The Bee”
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Prepper Podcast Call-In line: (978) KNOWS-IT or (978) 566-9748
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Winner of the Colt Tactical Survival Knife is Greg from TN
Discussion:
Call from Joe of Missouri: Wood pellet stove vs wood stove
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Wood Stove Pro’s
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Eats almost anything solid that is flammable (wood based)
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No moving parts other than the door and the damper
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Does not require electricity
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You can cook on the top if its large enough
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Pellet Stove Pro’s
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Wood Stove Con’s
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You have to empty the ashes on a regular basis
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You have to feed it wood on a semi regular basis
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Takes work to start the fire
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Pellet Stove Con’s
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Takes electricity to work
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Pellets are pricey compared to cord wood
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Many moving parts to break down
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Expensive 600 vs 2000
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Why not use a rocket mass heater
Money
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Money is a means of exchange for goods and services
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The common agreement that money has worth is what make it so
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Money has been used in many different forms
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Cattle
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Gold
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Silver
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Paper Money
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Digital Currency
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Most people think money is gold backed
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Fiat Currency- value because government declared it so
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Ours is Debt backed – Every Dollar you spend is backed by debt
This is how the Economy is run
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Banks loan money that they don’t have
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Where do the banks get the money
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Where Does the Fed get the money
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U.S. Monetary Aggregate Transparency:
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M0: Cash and Coins… FederalReserve Notes, US Notes, Coins
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M1: M0 + Deposits… Demand Deposits, Travelers Checks, Other Deposits
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M2: M1 + Savings… Saving Accs, Money Market Accs, MM Mutual Funds, CDs under 100k.
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M3: M2 + All other CDs (large deposits, institutional MM Mutual Fund balances), Deposits of Eurodollars, and Repurchase agreements
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M4: M3 + Commercial Paper + Treasury Bills
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2006 Treasury stopped Publishing the M3 components except inst. MMMF

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So every dollar spent by the Government is created by the Mint through the Fed and is another debt backed dollar on the market
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Now the Government has to pay the fed interest on all that debt, just like we do.
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The government is taxing us to pay their debt interest!
Resources:
Clever Survivalist Blog related Survival Guide Posts:
- Economic Failure, Federal Reserve, Money Supply
- gross domestic product, definition of gross domestic product, gdp, new components, artificial economy
- global economic collapse, economic collapse, 2008 financial crisis, effects of the great depression, great depression