Deflation Made Simple (Part II)

A falsely vilified phenomenon (Entry 140)

Reading historical accounts of the formation of the Bank of England is like reading the 1619 Project, but inverted.

Whereas the 1619 Project is designed to rub our founding fathers’ nose in a human institution older than the stories of the Old Testament; historical accounts of the Bank of England are a glorification of counterfeit money and the Anglo-American empire that resulted from its introduction.

Whereas the 1619 Project seeks to diminish our nation’s founding and our proud republican and constitutional traditions; bank historians would have us believe that the economic progress that we know today could never have been achieved without the invention of central banks and statutory counterfeit.

Already we have shown that the Dutch commercial empire of the 17th century was built on sound money! What we have not shown is the likely role that plantation farming — with or without slaves — played in accelerating the economic growth to which the VOC contributed. Certainly the spice trade existed before the VOC was born, and certainly plantation farming made the spices of the Dutch East Indies more available. This said, the VOC was only one company among many Dutch companies — a company that had little to do with the trade between Lisbon, Portugal and Amsterdam and Amsterdam with the various Baltic port cities of Northern Europe.

The Dutch success was founded on trade. Slaves were just another commodity that could easily have been substituted with any other commodity desired along the world’s trade routes. Although surely a frank characterization of the crude way in which humans have treated other humans in the past; slavery is hardly the worst human treatment known to humankind. And, there is so much more to human economic development than the exploitation of one human by another.

We are being taught today that human effort expended in the market place is improperly rewarded, that vertically organized social structures are inherently exploitative, and that government theft is preferable over market competition. Rather than understanding the wondrous contribution that free markets and vertically organized firms have brought to humankind, we focus today on the shortcomings of the market place and corporate organization, as if these were failed social institutions that should be demolished, rather than reformed, and then be replaced with government control.

Our values have been perverted, as has our understanding of the role of money in the market place. And, it is high time that we acknowledge the degree to which the absence of sound money has corrupted the market role of money and society as a whole.

Indeed, the counterfeit currency created by our world’s central banks is destroying the very foundation of Western civilization, and if we do not come to our senses quickly, the devastation could be irreparable. Despite the best efforts of our current governments to separate and alienate us from one another with masks, jabs, and social distancing, we have never been more connected via rapid transport and instantaneous communication. Monetary corruption is across the board; it can be found in your own wallet. It is systemic.

Everyday our attention is diverted further and further away from the crucial moral role that money plays in a voluntary free market society. And, economics departments around the world are doing little or nothing to correct the matter. Rather, they have come to accept counterfeit currency as an immutable fact that cannot be denied or even reflected on as being corrupt. Even worse, many, better informed citizens are chasing after cryptocurrency, as if it were a solution to what has clearly gotten out of hand — as if, one counterfeit currency were the solution to another!

It were as if cheating and theft are better when they are performed by a democratically elected government or a tech savvy charlatan rather than by a common criminal. It were as if cheating and theft have become the new social norm for all of humankind.

Alas, there are many sources of human value and among these money is of great, if not primary importance. To believe that we can morally trade with counterfeit money should be instinctively repulsive to everyone. And, to believe that we have no other choice, but to accept the immoral character of our contemporary money supply is preposterous!

And finally, those who would preserve our free market traditions, but turn their backs to sound money, are just as corrupt as the currency with which they trade. Woke culture has not come into being because everything is OK. It has come into being because there is something fundamentally wrong!

Accordingly, until the unwoke awake to what is truly wrong with the contemporary market place, the woke will continue to increase in number and disaster will result. For, these latter do not understand the true source of the problem that they are trying so desperately to fix.

We have been seriously duped by those who control our money supply, and we must free ourselves from their ignominious deception. Are you still with me?

In liberty, or not at all,
Roddy A. Stegemann