For many people, it is hard to come to terms with the fact that we may all have been living in a world of illusion. When people live their lives in delusion for any reason, it is always hard to come back to the world of reality. It is therefore necessary to outline some of the main reasons why the Western world is living a life of such delusion.
The great 'FIAT' (Latin for Let it be) paper money experiment Reality has now been in existence for approximately 40 years, since President Nixon removed the dollar from the' Gold Standard'. From that moment, all other nations of the world began to use paper money backed only by government promises. These government promises meant that after the 2008 world financial crisis, all future liabilities for the failure of banks and some trans-global corporations began to be met by the taxes of the people. This system has continued to impoverish the majority whilst enriching the few. Inflation is the unseen confiscation of people's hard earned savings as stated by Keynsian Economist Lord Maynard Keynes
The second illusion that we are living under concerns the great Welfare State system. Introduced in 1909, promises were made to future generations which began a ' cradle to the grave' support mentality. It was perfectly reasonable to assume that the provision of a pension for men at the age of 74 would be easily met, since the average life expectancy of a man at that time was only 48 years old
The Reality is this this promise is the equivalent to offering similar pensions to people when they reach age 115. From this point in time the door was opened to what would become the most costly government provision of all time. Promises have now been made by continuous governments who know only too well the winning 'election power' of the welfare state system. No one understands, however, how the promises to maintain the level of pensions and other benefits can be fulfilled in a world where countries are now drowning in unprecedented levels of debt.
The Reality is that since 2008, the level of the national debt in Western nations has increased dramatically, despite the political hype suggesting that it is being slowly reduced. In the UK, the level has reached £1.5 trillion and we now have the second largest amount of debt. In the United States of America, the level of the National Debt has risen to over $18 trillion and this has risen from a figure of $5 trillion since the year 2000. After seven years of continuously printing trillions of dollars/pounds/yen/euros etc, a policy that will continue, the interest payments on these debt levels will consume ever increasing levels of GDP and with considerable amounts of interest flowing back into the hands of private bankers, this leaves ever less money to maintain the country's finances.
The Welfare State Reality
It is evident that all major banking institutions and sovereign governments are now only surviving in this sea of debt by money printing (quantitative easing) and there is no way that any government can change direction without major political unrest. Any number of major events, financial or otherwise could trigger a world monetary collapse because of the ' derivatives' and ' fractional reserve' systems that could unleash a tsunami of repercussions across the world.
The Reality is that to cope with any impending debt implosions to come in the Western banking system through bank failures, new procedures have recently been implemented by the Bank of England and the United States Federal reserve that include the whole of Europe and Australia as well. A document is available which explains that governments will no longer 'bailout' the 'too big to fail' banks ( which may, on the face of it seem a good thing to the ordinary taxpayer) but it is not readily appreciated that debts will now need to be met by the bank's creditors. The problem is that the unsecured creditors will in future include ordinary deposit holders, who will also now be at risk of having their savings confiscated.
The Reality of 'Bail Ins'
The first signs of confiscation have already been witnessed in Cyprus, where thousands of ordinary citizens saw their savings disappear. This new phenomenon is now known as the 'Bail In' and we now have to face the facts that trans-global companies, in unison with Central Banks, have the power to control governments and manipulate free markets and are clearly involved in doing so. The wealth of the middle classes in the Western world is now being transferred to the rich through the power of corrupt monetary system and it is gathering momentum. Tactics of fear and insecurity are generally used by governments, together with laws relating to terrorism and money-laundering as an excuse for the money supply to have to be constantly increased, often through warmongering to keep the system going.
We are also witnessing constant new laws being implemented which reduce personal freedom, almost unnoticed by most people. The major issue everyone needs to be fully aware of is that our freedom is under major threat and that we have a flawed system of democracy.