People will NEVER learn

**Panzerfaust** · 09-30-2008, 07:48 PM

People will NEVER ever come to their senses, I am convinced of this now. Absolutely no hope for the American people. The Elite have won..we might as well just bow down and die on our knees.

http://www.youtube.com/watch?v=TlgByE1jDRA

And over a year ago (see below) and as in years before that, he tries and tries to tell them. By all means, don't listen, for if you do that wouldn't be good for the Federal Reserve and the World Banking System now would it.

Almost a year ago:

Sound Money

by Ron Paul

Statement Before the Joint Economic Committee, November 8, 2007

Mr. Chairman, our economy finds itself in a precarious state. Oil prices are rising, gold is nearing all-time highs, and the dollar is nearing all-time lows. The root of this crisis, as with past financial and economic crises, results from federal government intervention into the economy, not to anything endemic to the market, nor to the actions of market participants.

The collapse of the housing market has served as a catalyst for the economy's latest bust. For years the federal government has made it one of its prime aims to encourage homeownership among people who otherwise would not be able to afford homes. Various federal mortgage programs through the FHA, Fannie Mae, and Freddie Mac have distorted the normal workings of the housing market.

The implicit government backing of Fannie Mae and Freddie Mac provides investors an incentive to provide funds to Fannie and Freddie that otherwise would have been put to use in other sectors of the economy. It was this flood of investor capital that helped to fuel the housing bubble.

Legislation such as the Zero Downpayment Act and the misnamed American Dream Downpayment Act made it possible for people who could not afford down payments on houses to receive assistance from the federal government, or even to pay no down payment at all, courtesy of the taxpayers. The requirement of a down payment has always helped to ascertain the ability of a buyer to pay off a mortgage. It requires the buyer to show hard work and thrift, the ability to delay present consumption in order to make a larger acquisition in the future.

When this requirement is minimized or eliminated, you introduce a new class of homebuyers, people who are unable to budget and save for the purchase of a home, or who should wait for a few years until they have saved enough to purchase a home. Federal policies have encouraged investors, lenders, and brokers to cater to these people, so it is no surprise that market actors came up with ever more sophisticated means of bringing these people into the real estate market.

Finally, the Federal Reserve's loose monetary policy and lowering of interest rates were a major spur to the housing boom. Low interest rates influence marginal buyers, those who are sitting on the fence, and encourage them to take on a mortgage that they otherwise would not. Even when interest rates are raised, no one expects them to stay high for long, as there is always pressure from politicians and investors to keep rates low, as no one wants the cheap credit to end.

Thinking that interest rates will cycle from low to higher, back to low, lenders begin to offer adjustable rate mortgages, 2/28's, 3/27's, and other sophisticated mortgages that may trap many unsavvy buyers. Buyers go short, lenders go long, and many people have been burned as a result.

It is time that the federal government get out of the housing business. Through our interventionist legislation we have caused the boom and bust, and any attempts at reform that fail to address the causes of our current problem will only sow the seeds for the next bubble.

Well the bubble burst, we all see it now. But did you listen to Ron Paul a year ago when he said this? Or is he just that Conspiracy Theorist nut job? Name calling is all they (Media) have against the true FACTS! You speak out against the Federal Reserve, the Fiat currency that is the dollar, the nation building, the Empire we are building world wide, the central banking philosophy....you are called a nut, a conspiracy theorist...a quack...

They may call him and us that, I call us Patriots!

I could ****ing cry

Why lord...why do we as humans never learn from our past? Why do we continue down the wrong path? Why are we so flawed? Give me the strength to make it through the times ahead.

**warchild** · 09-30-2008, 07:52 PM

damn

**Panzerfaust** · 09-30-2008, 07:54 PM

Many of us have tried to tell people the value of gold and why it is important that it dicate the supply of money in circulation.

Now with this "crisis", you have many people running off and buying Gold.

But these are the same people that say the Gold standard makes no sense....boy but when times get rough and that fiat currency starts diving, they sure run to that Gold for some reason.

Another thing has really popped up on my radar is the other Cnetral Banks of the world. Sure, I knew they existed but to see them coming more out in the open asking that America puch this $700 BILLION deal. It really has solidified the fact that they are all working together (Central Banks) as a one world system. Why else would a bank in Europe be telling the US Federal Reserve to push for this $700 BILLION package? Why else would they insist America "fix" the global economic crisis. And here I thought this was an "American" economic crisis..... hmmmmm makes you wonder doesn't it? Well....doesn't it?