| Notes | Book |
Historically, fiat currencies like those in use throughout the world today don't last more than a few decades. The US dollar is particularly weak today and seems vulnerable to collapse. The United States Federal Reserve Bank is charged with keeping that from happening, but since the Fed was created, the dollar has lost 95 percent of its value. And that is according to government figures widely believed to underestimate the effects of inflation.
Here, I want to explore the regional effects of a collapse of the Federal reserve, which would probably happen through hyperinflation as in Germany, Zimbabwe, or many other times and places.
Currently the policies of the Fed heavily favor certain regions of the USA over others. There's a reason why everything is cheaper in the east of the country than the west, and that reason is the Fed. The Bankster friends of the Fed are concentrated in the east. They get the newly printed fiat money first, and by the time it filters down to the western colonial regions of the empire, inflation has taken its toll.
So when the Fed collapses, economic disruption is going to be centered in the east. There will be painful adjustments to be made all across the country, but it will be worse for the people who have benefited the most from fiat money printing. The epicenter, of course, will be New York City and Washington DC.
Fiat money printing distorts an economy, and it distorts worse where the fiat money is released into the economy. For the last three decades, political and economic power has increasingly shifted to the east. Reagan was elected in 1980, and he was the last president from the west, unless you include Texas in the west, which I am not inclined to do. In any case, compare prices in California with those in Texas, and you can see that Texas benefits from the Fed while California suffers. When the Fed goes, political and economic power will shift to the West.
People in the distant parts of the empire benefit less from the favors of the establishment; therefore they are less dependent on federal handouts. Their economies are more robust and flexible and will be better prepared to survive the coming economic shocks.
The force and fraud that sustain the empire are an economic disaster. Crime really does not pay well over the long term. When the reckoning comes it will hit the worst criminals hardest.