ETERNAL VIGILANCE

How do you fix a Ponzi Scheme?

From Dave's New Freedom Blog

The fact is,... you can't. Ponzi schemes are crimes of fraud precisely because they cannot be made to work on a profitable basis. What can you do about a Ponzi scheme? The first thing is to recognize one when you see it, then simply don't participate. The second thing would be to go after the operators of such frauds and either exile them or jail them. I prefer exile as it reduces the cost of operating prisons.

That brings us to just one of our governments many ponzi schemes,...Social Security. It is all over the news, that George Delano is going to [negotiate] a fix, with congress, to solve the social security system problems. Don't kid yourself, this is just another attempt to raise government revenues under the guise of helping the people.

Social Security cannot be fixed. It is a criminal operation, run by criminals. There is talk of privatizing funds in the stock and bond markets.

Bad idea.

On average the stock market barely keeps up with inflation. Once brokerage fees, taxes and dollar devaluation is figured in, you are lucky if you break even. Also, in the stock market it is just like the regular marketplace, there are winners and there are losers. So some of those investing are going to realize even less than they would expect to under the current system.

What they will try to do is take more money from those who are working and payout less to those who are sucking the government teat. Sorry to be so brash, but 'thems is the facts'. There will be decreases in benefits. There will be increases in taxes (theft) used to fund the operators (criminals, ie. legislators and government agents). Those that insist on living off the spoils of government theft will have to look elsewhere for their livelyhood.

So what do we do?

The first thing to do is to stop paying in.

This would work out for both the employee and the employer. Currently, the money stolen from paychecks for the ponzi scheme is about 14%. 7% of that is lopped right off the employee's paycheck (check your paystub). The other 7% is paid by the employer, but is actually the employee's money (he could be paid that same money at no loss to the employer if it weren't being stolen by the government - this is the same with all payroll deductions).

Now the employee takes 10% of his pay and pops it into silver or gold or some other investment that he trusts to at least maintain it's value, if not grow, outright. It has cost the employee nothing to do that because he has agreed to keep 3% of the employer's contribution (it was actually his to begin with but he is feeling generous in his new found wealth and wants his employer to benefit as well) and let his employer keep the other 4%. The employee gets a 10% pay boost and the employer gets a 4%, per employee, cost cut.

The employee's take home is the same, but now he is building a nestegg. The employer is saving 4% per employee and now has the funds to invest in better equipment and tooling for the employees to do their jobs with. His company becomes more efficient and is also able to reduce its prices, making it a hit with his customers.

Everybody wins, except the thieves. They get one-way tickets to Afghanistan as part of the new government-employee exile program.

I like it. Now get out there and start sending any congressman, senator or president, who voted for or signed a budget that included any funding of the Ponzi scheme known as Social Security, to Afghanistan.

Now isn't that a nice Christmas bonus!!!

Editor's Note: And what should you do with your new raise?
Put it into Liberty Dollars to protect your wealth.
INFLATION AHEAD? Make more money while protecting what you have.