Financialization = Theft = Cultural Genocide
Someone recently noted that “capitalism” was just a word invented to make usury sound respectable. The observation appears to be 100% correct. Herein, I use minimum wage and average income levels juxtaposed against the prices of houses to demonstrate the shifting of wealth from you to them. I’ve covered this before, but the Wall Street Journal recently reported some new numbers and I had a conversation with a Boomer last week about how little he was paid back in the day and how all these $15/hour bums need to shut up.
Minimum Wage = $0.75
Ave. Annual Income = $6,850
Ave. Home Price = $9,075
Minimum Wage = $7.25
Ave. Annual Income = $34,103
Ave. Home Price = $350,000
Many of you can just see it all in the bare numbers…
Using the CPI’s rigged system, the increase from $0.75 to $7.25 is roughly proportionate. This, of course, ignores that all other prices have radically increased. I’m about to show that the vaunted $15 minimum wage is reasonable and, in fact, a low-ball offer. First, again using the CPI calculator, rigged as it is, the old annual average income of $6,850 should be worth $69,063 today. It isn’t, with the new average literally half the old in terms of purchasing power. This, again, despite radical increases in all other major price categories. (You’re being robbed).
As I noted at TPC back in February, if the minimum wage had remained tethered to a silver Dollar standard, then the current minimum would be approximately $28 per hour. Keep that number in mind.
For five generations or more, homeownership has been sold as the end-all, be-all of American existence. Thus, I will use the real changed prices for houses as a metric for hypothetical changed prices of labor.
$350,000 divided by $9,075 equals an increase in cost by the approximate factor of 38.5. Multiplying $0.75 by 38.5 renders a should-be 2021 minimum wage of $28.87. Interesting, no? It’s almost like hard currency stabilizes prices and secures value or something. Now for the really fun part! Multiplying $6,850 by 38.5 equals a should-be 2021 average annual income of … $263,725. That’s 7.73 times the current average. (You. Are. Being. Robbed).
Boomers, bankers, and other retards will never ever get this. $0.75 or $1.40 or whatever they were paid for their first job is forever fixed in their minds. The meteoric rise from $9,075 to $350,000 is just a natural thing, probably due to how great and clever Boomers are. But, there is a distinct reason for these disparities. They are the dreadful combination of women and foreigners more than doubling the workforce, the total collapse of any value held by our fiat currency, and by an economy completely built on fake debt (i.e. the financialization of the economy).
Gresham’s Law: Bad money drives out good.
Lovett’s Law: Financialization drives wealth from the host to the leeches.
All major purchases (all purchases, really) are conducted via some form of finance. The dichotomy involves what one pays for versus what one is paid. Things people purchase – houses, cars, education, medical care, etc. – have all increased dramatically in price, in terms both real and relative. The price of labor, what one is paid by someone else, has dropped precipitously. The effect has been a massive transfer of productive value from the common people to a small group of international criminals. The “money” they create and loan is merely created and loaned; there is no effort required, no cost to them. They just conjure it up. The return, with usurious interest, requires years and years of hard labor to repay. They accumulate. We waste.
Someone with a basic understanding of the rigged GDP or monetary base numbers might rightly suspect that there isn’t enough fiat around, even with the recent spate of printing, to cover an appropriate increase in wages. There was plenty of fiat funny money previously and, in fact, there happens to be plenty floating around at present. But it just so happens, apparently for no reason whatsoever, that it all magically ends up in the hands of the criminals who control the fiat printing presses. They use their windfall, always received on the leading curve of inflation, to acquire real assets. (See BlackRock’s national house buying spree among many other examples). In the past fifty years, they have thus stolen over $50 Trillion from the people and the general working economy.
Boomer: These changes explain why your GI Generation father could own a house and support the whole family with one salary and why your only child and his unmarried partner scramble to work a total of four or five jobs but still can’t afford premium feed for their fur baby.
One more time: You are being robbed. The robbery is but one part of the cultural genocide in the United States that has been unfolding and accelerating for about a century. That phenomenon, and where it is probably going, might be the subject of another column soon.
After the war, I recommend a few economic changes. A hard metallic standard permanently backing the currency. Total dissolution and repudiation of the fake debts. Dealing in fiat and usury as capital felonies. A few more.