The Hegelian dialectic comprises three dialectical stages of development: a thesis, giving rise to the reaction called an antithesis, which contradicts the thesis, and is then resolved by the synthesis. It is used in modern times as a means for so called experts to sway or pacify public opinion through the deception of compromise.
The Federal Reserve is a private Bank that is not subject to any United States government oversight. To expand credit, force the stock market to rise, and cause high prices (inflation) the Federal Reserve lowers interest rates. To shrink credit, lower the stock market, and lower prices (deflation) the Federal Reserve raises the interest rate. These interest rates are referred to as the discount rate and are simply the amount the Federal Reserve charges banks to borrow reserves at the so called “discount window.”
All of this terminology is to ensure the average person is deceived into thinking this is for expert consideration only. This is why we will pour some cold clarifying non-fluoridated water on this grand deception to allow current events to reveal our near future. What we need to understand immediately is the Federal Reserve swings this great pendulum back and forth –causing the modern “business cycle.” It is also important to understand savvy investors make money on a declining market if invested accordingly; either way they win and we the people lose.
This brings us to current public Hegelian brainwashing campaign emanating from the depths of the Federal Reserve. The Chairman of the Federal Reserve Benny Bernanke deploys his henchmen to make public statements; one member comes forward and states the Thesis.
HEGELIAN PHASE ONE: THESIS
Boston Federal Reserve President Eric Rosengren exclaims the Federal Reserve should move to boost weak economic growth, trim high unemployment, and push down borrowing costs through further monetary policy accommodation. Since this is not easily understood by the public, he throws in a few terms people can understand and fear. President Eric dressed in his genius suit goes on to explain if Europe’s debt crisis worsens and United States legislators fail to reach a budget agreement the domestic economy may go over a fiscal cliff.
Let’s take a minute to translate this deceptive thesis. First, when he says move to boost weak economic growth he means print more money to expand the money supply. That is, to keep interest rates low to encourage banks to borrow and lend more and consequently businesses to borrow more. Trimming unemployment is a piece of vanishing candy he lays in the trap to make it all sound good, what he means is that businesses flush with cash will hire more people.
The truth is businesses that borrow more money do not necessarily go out and hire more workers. What is certain is that as each dollar that is pumped into the system reduces the value of all existing dollars. Inflation which is nothing more than rising prices is a hidden tax on everyone. In stark contradiction to Eric’s assertions these higher prices include wages (the price of an employee), therefore as wages increase businesses consider hiring risky and, generally, fewer workers. So, the general public is being told the Federal Reserve is “accommodating” us and “trimming” unemployment to save us all from going over an “economic cliff,” when in truth they are creating more money, inflation, injecting more risk into the economy and forgoing any responsibility to future generations.
We are expected to accept this expert advice or we are doomed to be unemployed and run off a cliff. Putting this fantastic carnival deception aside we can see the thesis has been introduced. Chairman Benny deploys a few more henchmen to make contradictory public statements that promote the Anti-Thesis.
HEGELIAN PHASE TWO: ANTI-THESIS
Head of the New York Federal Reserve William Dudley contradicts his peer and exclaims the Federal Reserve should not move to ease monetary policy despite the dim unemployment rate. He goes on to enlighten us mere mortals by suggesting as long as the United States economy continues to grow and use economic resources at a meaningful pace the costs of pumping more money into the money supply may exceed the benefits.
Then his sidekick, Dallas Federal Reserve President Richard Fisher, gets his back by suggesting the best way to boost jobs is for Congress to clarify tax policy and government spending. Dick Fisher then states the anti-thesis clearly by arguing the Federal Reserve has already done too much and he fails to see what would be accomplished by further accommodation. Paving the way for a compromise or synthesis, that is intended to pacify the public under the guise that both sides have been considered.
To translate, Boston Eric said we need more money (thesis) in the money supply to avoid unemployment and the proverbial cliff. New York Billy and Dallas Dick have told us we don’t need more money (anti-thesis) even though we should all still be scared of unemployment and our dysfunctional Congressmen who are certainly to blame for all of this. So, now we can see these genius gentlemen have considered both sides, while mutually playing the fear card by telling us the result of inaction is our collective unemployment and cliff diving economy.
HEGELIAN PHASE THREE: SYNTHESIS
The soft landing of the synthesis is now desired by us all. Sarcastically we should profess – please we beg you self-appointed elites to provide us all more employment, please we beg that you don’t push us serfs off the economic cliff, please print more money, please accommodate, please save us all. So the synthesis is offered as our saving grace and is summed up by the fear monger leader of our so called “Federal” Reserve Chairman Benny Bernanke.
Benny has warned our Congressional representatives through his minions that scheduled tax rises and spending cuts could spell trouble for the labor market. Benny’s international banker cohorts remind us that the European debt crises may require our Federal Reserve to “act.” Benny has stated publicly that the door to further “accommodation” and “easing” must remain open should the economic outlook worsen.
To translate for Benny, since he speaks in financial economic tongues, he is saying he plans to print more money when the time is right. Perhaps after his handlers install the new American President or perhaps after they pull the string on Greece and Spain. But for sure we should all understand the synthesis means expanding the money supply. So despite all the push and pull of the Hegelian Dialectic being deployed to pacify public opinion and discontent, the result will be a false sense of relief from the cliff and the continuation of business as usual.
Business as usual means higher prices, stagnant employment, inflated stock valuations, increased banker wealth, continued legislative control and the expansion of the new world order social program. The flip-side of this business as usual coin is recession and/or depression. Either way the Federal Reserve operates at the public’s expense and should be abolished in favor of one-hundred percent reserves and United States issued money. The answers lie in Milton Friedman’s Monetary Reform Act; everyone reading this article should research, read, and demand the Monetary Reform Act be enacted.
Article written by Chris Martin
May 31, 2012