Removing our Software from Cnet

Software downloaders beware: Cnet is now bundling its own installer software without publishers’ permission, in violation of many publishers’ redistribution policies.

As a result, we are joining many other software publishers in removing our software from Cnet.

We have sent the following letter to Cnet in regards to their recent unauthorized bundling:

Dear Cnet.com,

It has come to our attention that Cnet is now bundling their own software with our software, without our permission, on the download.com website.

The problem is discussed in more detail by other software authors at the following URL: http://seclists.org/nmap-hackers/2011/5

The installer given to some users is now Cnet’s proprietary downloader instead of our installer. This causes us concern, because it can be confusing to some of our users and may cause us unwanted support hassles going forward.

If our software cannot be distributed in its original form (as it was uploaded by us to Cnet), we would like to request the removal of all of our products from all of Cnet’s websites as soon as possible. If that does not happen within a reasonable time, we will be required to seek legal action for copyright infringement and violation of our license agreement.

Sincerely,
Dan Tohatan
Dacris Software Inc.

Waking Up – An Assertive Declaration

I am human.

I am good. I know I can be good. I like good. So I choose to be good. I seek not to harm others.

But I know that I am capable of all range of action, from the cruelest of evil to the greatest of good.

All potential. All that has ever been. All that will ever be. Everything that everyone has ever done, I am.

I have needs.

I have instinctive drives to fulfill these needs.

I acknowledge these needs and my natural tendency to want to fulfill them.

I have emotions and feelings.

I acknowledge these feelings and emotions and my natural tendency to seek good feelings and avoid bad feelings.

I choose to act rationally toward the greatest good, rather than by expedient influence from these feelings, emotions, or other irrational natural tendencies, even if it means that I, at times, must suffer.

I recognize that I can make errors.

I seek truth. Objective truth makes me less prone to making errors. Therefore, I choose to be good. I choose to seek truth.

I live by the firm conviction that ignorance is not bliss. Ignorance is harm and cruelty.

I have a responsibility to educate myself by becoming aware of what can be deemed objective reality – that which anyone can independently verify through observation.

I have no control over you or the world around me. Those are the cards I have been dealt. It’s all a game. It’s just for fun.

Perfection is the only thing in the world that is unachievable.

Time is running out.

One day, I will die.

A Personal Commentary on Where the World is Going

I’ll start with a quick bio. The story so far. My life, as it relates to history…

The Story…So Far

I was born in a small town in Romania just before the collapse of the Berlin Wall. Everyone had a job, everyone had a house, everyone had money, but there was nothing to buy. Everyone lived in deep austerity, anxious for some kind of rebellion against the dictator.

Then 1989 came. Revolution. The free market. I went to school. I left Romania and came to Canada. At the time, America and particularly the United States of America, was seen as a beacon for the developing world – a role model that the rest of the world would soon inevitably follow.

I went to school in Canada. I learned English, and I started to learn something else. I started to learn programming. At the age of 11, I was already writing my own DOS games. I loved DOS and everything that it provided – a simple API, 256-color VGA graphics, sound, and so on. I soon outgrew my first PC – a 386 – and moved on to a Pentium II, for which I picked the components myself, at the age of 11. An achievement I only now appreciate.

Once I gained an appreciation of Moore’s Law, I ventured into hardware and performance testing. At the age of 12, I created my first real commercial application: Dacris Benchmarks. I started selling it online and quickly made over $10,000 from it. It was a simpler time. It was a time when almost nobody knew anything about computers or the Internet. I was the “computer whiz” kid. I never knew just how much power I had.

Along came September 11, 2001. I was 14 at the time. I still remember that day vividly, and how my teacher kept telling us to “read between the lines.” Now I know exactly what that meant. Sure enough, the world after 9/11 was gripped by fear. Fear that the economy wouldn’t recover. Fear that the ‘terrorists’ would strike again.

But I kept moving along with my stuff. Then something began to happen. In 2002, my sales began to fall, dramatically. The world was changing but I didn’t know how yet. I was only 15. But I sensed that something fundamental had changed. Now, looking back, I can see how 2002 was the first year (since 1979) in which precious metals started rising.

Then, in 2003, as I progressed in high school I learned about outsourcing. I started learning about how American manufacturing jobs moved overseas in the 1980s and 1990s, but that the services industry was supposedly immune. But at the same time, outsourcing of technology jobs (IT) became a worrying trend, for me especially, since I was going to go into the work force soon, as a programmer.

I went to the University of Waterloo, starting in 2004. I started working as part of my co-op degree program in software engineering. I have to say 2004 was very different. For one thing, everything cost a lot less. Gas, food, books, tuition, etc. I started working full-time every 8 months, for 4 month terms. In my first two terms in 2005 and early 2006, everything was moving smoothly. The US was in ‘recovery’ and Canada was also doing well economically. I didn’t really care either because I had almost no savings.

In 2006, I started to save my money. I used a savings account and was fascinated by the idea that I could earn interest, while doing nothing, on money I choose to save. At the time, the interest rate I was earning was pretty high. It was over 3%, sometimes as high as 3.75%. So I kept saving. I lived with my parents during my work terms, so I was able to save close to 90% of my income by not going out, by not partying, by not buying useless stuff.

I was able to save so much that I actually paid for my 3rd and 4th year tuition entirely on my own. By the last term, I was entirely living off of my own money. I had accumulated close to $15,000 in savings by the end of 2006.

Then 2007 came. The year 2007 was a turning point in world history, as I look back on it now. In March of 2007, I started doing some investigative journalism into how the world operates. I wanted to pull apart the social machine and look into how it is engineered. That was the beginning of my ‘awakening’. In 2006 I already started to suspect something was wrong. I did not want to be the 9 to 5 wage slave if I could help it. I did not want to live in ignorance.

At the time, in late 2006, there was already a battle brewing between those who kept saying that ignorance is bliss and those who started to question everything and develop critical thinking. I chose to be on the side of the critical thinkers.

In 2007, I began to find out about the Bilderberg group, Bohemian Grove, Alex Jones, David Icke, and a whole host of people who would by most be considered to be “conspiracy buffs.” Then I started to study the financial system. I wanted to know how it is that traders can make so much money so quickly. In May of 2007, I began to look at the stock market. I wanted to potentially buy some stocks. Then I soon realized by June that the US stock market was ripe for a collapse. It had been going up for several years in a row with no downturn. So I reasoned, as a contrarian investor, that the stock market was due for a correction. So I stayed out.

In October 2007, that correction happened. I started following the news and in August, there was already talk of a “credit crunch”, a “credit crisis.” Indeed, “credit crisis” is exactly what the right term for that condition, which persists to this day, is. Credit is about belief. As more and more people wake up and credit (belief) vanishes, the credit system (which is based on belief) begins to malfunction. It begins to lock up and have spasms of volatility. Makes sense.

A curious thing started in late 2007: prices for things started going up. Food, gas, oil, etc. By early 2008, I watched as oil hit its record high of $147 per barrel. Then I heard Lindsey Williams on YouTube predict the collapse of oil down to $50 a barrel. Sure enough, in August, 2008, oil began to collapse and went all the way down to $37 a barrel!

I started my blog in 2007 and began to make market predictions, most of which turned out to be stunningly accurate. I called the crash in commodities of 2008. I called the bottom of March 2009. Amazing how much money I could’ve made if I had traded on that advice. But I didn’t. I didn’t have enough money to make any meaningful profits.

In the fall of 2008, the company I was working at decided to have a hiring freeze until at least March, 2009, starting in October, 2008. That was pretty scary because I would have liked a full time job there after graduation in 2009. It was also scary that a Canadian company could just all-out stop hiring people on the mere rumor of a potential economic downturn in the United States. That kind of awoke me to how fragile our jobs are, and how much control the corporate bosses (the directors) have over our jobs.

At the time (October, 2008), things were very scary. It was a panic. Stocks sold off, commodities sold off, everything sold off. The US dollar gained. Everyone thought deflation would hit in a big way. Banks would fail, unemployment would rise, something had to be done! It was like a financial 9/11. Read between the lines. Now you know better. It was a crisis created by the big banks so that they would get government money (our money) by threatening to implode the system (too big to fail). It was the beginning of a hostage crisis – a hostile standoff – between us (and our governments) and the big banks. The big banks started holding the governments hostage. They asserted their power and showed who really runs the show.

In the fall of 2009, I started seriously looking for work. After going through a few permanent jobs I decided that “permanent” was not something I could believe in (because no permanent position is permanent) so I decided to work as a contractor instead. I already knew about the outsourcing, about the loss of benefits, long hours, and the destruction of retirement in the US. I saw it starting to happen in Canada too. So I decided, no way, this is not a fair deal for an employee.

As an employee in 2009, I calculated that I would have been making $19.00 per hour (after tax, accounting for extra hours). That was less than my co-op pay! I mean, why don’t I just go back to being a co-op student? No. I became a contractor. I realize now just how valuable that work as a contractor has been to my own personal development. I have a business. I am now the proud director of this business. I am now even in a position to start hiring people. None of that would have been true if I had sheepishly gone into the permanent employee game like everyone else.

I also understood at that time just how fearful and dumbed down the whole population is. If people are willing to take jobs on such horrible terms, then they must be extremely fearful. They are afraid of something. In 2010, I began to study the financial system. I learned about the Federal Reserve, debt-based fiat money, and all the rest of it. I also learned about globalization and the push (by corporate directors) to move everyone into a sort of slavery around the world through global wage arbitrage and the removal of national sovereignty (and hence the destruction of democracy).

Then, in 2011, I, too, became fearful. Seeing the incredible magnitude of what we were facing left me with an enormous sense of fear. But I then became afraid of being afraid. We have nothing to fear but fear itself. That is what has driven us into this corner as a species. We have allowed fear to bring us to the precipice of a global tyrannical dictatorship (by the corporate directors) where we have no democracy, no rights, nothing. Just obedient workers (as George Carlin puts it).

Having read “the 4 hour work week” in 2010, I know how being assertive and having knowledge can give you enormous benefits in this world of fear and ignorance. The 4 hour work week is possible. All you need to change is your attitude towards fear. But long story short, Timothy Ferriss (author of the 4-hour work week) is the pioneer of the new economy that will emerge globally (even in the OECD countries) starting in 2012. And this brings me to the wrap-up of this segment.

The enormous level of global change that has happened in the last 10-15 years is staggering. The world is now waking up faster than ever, because when you lose your job and you have useful skills, you know something is wrong. The financial system is now getting in the way of the real economy. But there’s a much better way forward.

So here we go…

I intend to be the Henry Ford of our generation. Not necessarily (or not just) an inventor. A businessman, sure. An entrepreneur, absolutely. A critical thinker, yes. An investigative journalist and a trainer, absolutely.

Fundamentally, someone who can help individuals realize their own potential. Someone who sees a win-win in a situation and has the courage to go for that instead of the convenient alternatives which are many. This is who I aspire to be. Who I am now is a mere fraction of that. But this is now my mission.

Système D: The Way Forward for the World

It is November, 2011. Occupy Wall Street is probably on the news somewhere. The global anarchy revolution has begun. We are now challenging the legal structure of the world, having exposed the illegitimacy of the governments that have created that structure. Occupy Wall Street is about one thing only: justice. They see the hypocrisy of our world and they don’t like it. I’ve been blogging about it for some time. I began to understand this hypocrisy in 2001 with the 9/11 attacks.

The way forward in 2012 is one based on natural rights and freedom, including free markets. Those who have had enough of the hypocrisy will begin to construct the most trustworthy kind of environment for business: a true free market.

Welcome to Système D. This is the free market that the bankers tried to suppress. It is a totally “shadow” deregulated system of person-to-person business relationships. As Gerald Celente says, when people have nothing left to lose, and they have lost everything, they lose it! Why obey immoral laws? Why leave your house if you’ve been foreclosed on? Why shut down your business because you won’t pay IRS (internal racket service) taxes? If your elected representatives have given you nothing but injustice, then it’s time to fight back. One way to do that is to stop cooperating with the system, as I said many times before. Stop obeying immoral laws. Stop complying with thugs who invade your home without a warrant and call themselves “police.”

No more. The entrepreneurs of the world are being left with no choice but to move to Système D, which is almost as big as the GDP of the United States now. It is 15% of the world’s GDP! Note – this figure does not include “illegal actions that fit the characteristics of classical crimes like burglary, robbery, drug dealing, etc.”

Again, it is up to each of us to realize what is moral and what is not. Killing people in a war or as part of a gang so that you can feed your own kids is not moral. Peaceful integration is moral. Deception and hypocrisy is not moral. Mutual win-win partnerships are. Morality is what constitutes justice. Not arbitrary laws by government officials who are intimidated by banks to pass those laws.

Contrary to what you’ve been told, morality is not relative. It is objective. Not subjective. There is a win-win, an objective win-win, in everything. Maximizing that win-win is what is moral. Everything else is illusion. Love is nothing more than the mutual maximization of win-win. We need to extend love to all who live on this planet.

Resolution: Personal Rights Declaration

Every person has a right to assure his or her own existence on this planet. This fundamental right must be respected in all actions. If it is not respected, that is injustice. Nothing is more fundamental than this.

As the great Dr. Martin Luther King, Jr. puts it, “injustice anywhere is a threat to justice everywhere.”

New Blog: Truth In Silver

I am happy to announce the launch of my new baby (blog) Truth in Silver.

Truth in Silver will be focused on identifying investment strategies and trends for an increasingly dark and uncertain future.

I believe I now have sufficient knowledge to help others in their journey to discover the truth and invest in sound money.

So, without further adieu, I give you Truth in Silver.

Also, I am aware of the duplicate content I have created. I will be deleting duplicate posts on dacris.com and redirecting to truthinsilver.com over the coming weeks.

See you at www.truthinsilver.com!

How to Change Banking – A Guide for Bank Transfer Day

Framework for Effective Global Action Against Banking Corruption

If you are in a country other than the US and want to participate in the banking boycott – the November 5th Bank Transfer Day – here’s what you should do:

1. If your bank does trading and investment as well as regular banking, do your best to close the account and move to a strict savings & loan bank (savings and loans only) or to a credit union. It is a conflict of interest and a danger to public welfare for any single corporation to handle insured bank accounts and play in the derivatives and stock markets (run a brokerage), and make loans in the form of mortgages, all at the same time. This is what leads to “too big to fail” and this is what Glass-Steagall was meant to prevent.

2. If you do not own physical gold or silver, take the time to purchase some, either from the bank or from a trusted bullion dealer. You should convert about 20% of your cash assets into physical metals. Set up an automatic transfer from your paycheque directly into physical metals.

As for me, I am Canadian and all of the “big five” banks in my country run brokerage (trading) operations as well as regular banking. I see this as a danger to the stability of the banking system as a whole, regardless of what regulations may be in place. No single institution should have that much power, and that many responsibilities. People are far too complacent with these “too big to fail” financial conglomerates. Let them speculate if that’s what they wish to do (although I think that needs to stop as well), but we all need to tell them loud & clear: “not with my money.”

We also have to realize that political action is required. You cannot simply change things by moving your money. The big banks own and operate entire ATM networks, transaction processing systems, etc. They license their systems to the smaller banks. You won’t be able to fully escape their grip even if you switch. Remember: they issue and control the very currency in which your salary is paid! They have monopoly over that currency via the central bank. The only way to fully escape the grip of these banks is to use alternative currencies (bitcoin, silver) and get politically active in order to set up a true public banking infrastructure, one that is not controlled by what is in effect a monopoly formed by a few enormous corporations.

Real change will only come when we break free of the private central bank model and embrace a public decentralized banking system run by the people. This is where government action is needed: a banking system is as important to a country’s infrastructure as its railroads, schools, and other public infrastructure. So why should it be in the hands of a private cartel?

Or, if we do not want the government to take on this task, then we should allow competition in the private sector by dismantling the quasi-governmental central bank (Federal Reserve, Bank of ____, etc.) and by breaking up the big banks that deal with government-insured assets or loans (like mortgages insured by CMHC / Fannie / Freddie or like deposits insured by CDIC / FDIC).

If something is government-insured, then it cannot be handled by the private sector as it creates moral hazard – it eliminates downside risk. So either nationalize the banking system and treat it as essential public infrastructure, or let capitalism work by getting the government out of insuring loans or deposits. Let small banks compete with the big banks on an equal playing field. Abolish the central bank and the insurance of private deposits and loans by the government.

To businesses wishing to make a difference:

  • Publicly offer your customers the “silver alternative,” where customers can purchase credits by depositing physical silver. Price your products or services competitively so that the “silver alternative” is cheaper compared to fiat. So, for example, a pair of shoes could cost $75.00 in fiat or 1.5 ounces of silver (equivalent to $52.50) and let the customer decide.
  • The same “silver alternative” needs to be offered to your suppliers, with equivalent incentives for them to adopt it. So, for example, if you pay $2500.00 a month to a supplier of shoes, offer 85 oz of silver per month instead. That amounts to $2975.00 in fiat terms – a clear benefit to the supplier.

If you are an employee wishing to make a difference:

  • Offer the “silver alternative” to your employer. Offer to work for less in fiat terms if you are paid in silver. So, for instance, instead of making $12.00 an hour, you would make 0.25 oz of silver per hour.

Things that will happen as a result of such changes:

  • Accounting will become more difficult, because you’ll have to convert things constantly. This is where action would be needed on a political level to change laws to denominate things in silver weights rather than fiat dollar amounts.
  • Fiat will lose value rapidly if enough transactions start happening in alternative currencies. This will cause the other currencies to appear to gain value, relative to fiat, thus driving more people into those currencies. It would also ease the debt burden on everyone.
  • The big banks and to some extent the government will crack down severely on those who implement the “silver alternative” by calling them any number of things including “terrorists.” Intimidation will be applied. They will accuse people of “conspiracy” and “treason.” They will demonize people publicly and hold show trials designed to intimidate the population. This is why we need a mass movement. Only if enough people are made aware and choose to act simultaneously will intimidation no longer be effective. Educate all you know about this.

I have 100% conviction that these methods, if applied, will work to bring about a fairer distribution of wealth and an end to “too big to fail.”

Summary

- Move your money from the big institutions to smaller, local institutions
- Convert 20% of your pay into gold and/or silver automatically
- Use silver and alternative currencies
- Spread this message

Second Dark Age Begins

Downfall of the USA

The USA has been the Roman Empire of our times. It has managed, through military force, to dominate nearly every country on Earth.

Yet, its moment of greatest perceived power (now) is also the moment of the beginning of its downfall.

The downfall will last 200 years and in that time the world will necessarily go into a dark age – an age where institutions will be less and less trusted, where people will fend for themselves.

All you have to do to see the new dark age beginning is go to http://www.reddit.com/r/conspiracy/ or see all the other previously “conspiracy” communities that were fringe for a very long time, now gaining momentum and credibility.

Global Anarchy

Note: By “anarchy” here I strictly mean disconnection from “official” institutions. I also make no value judgements. I do not judge “anarchy” as being something “good” or “evil.” I just see it as inevitable at this point, and rising, for at least 200 years.

The collapse of the United States empire implies a green light given to anarchy around the world. We’re now seeing it in the results of the ever-so-promising Arab spring now turned American fall (American fall => Fall of U.S.A?).

We’re seeing it in Greece where all-out genocide is being waged through the last desperate imperial blow of the EU. The Greeks are now literally fighting for their lives.

When about 15% of people “wake up” to the real structure of control, and the structure of control becomes ineffective in pacifying those people, because it has nothing to offer but empty promises, that is how a dark age begins.

We’re now at that point. Critical mass = 15%. Global Revolution is that point.

October 15, 2011 will be recognized as the beginning of the end for what is traditionally called “Western Civilization” (really the Anglo-American empire) and the beginning of the descent into global anarchy. October 15, 2011 is when critical mass was reached.

We cannot reverse this trend, because it has been building for years. About two generations (in the US) are now no longer trusting of their government and public institutions.

It has emerged from the steady education afforded to people by the Internet. The Zeitgeist movie was a great example of how a greater level of awareness can lead people to question established institutions and thus lean more and more toward anarchy.

So. Whether you like it or not, the second dark age is here. An age of clash between increasingly desperate and outdated official institutions and increasingly more educated and aware citizens. The clash will persist as long as these citizens are disenfranchised. The clash will persist as long as their views are still in the minority.

Unfortunately, the planet also has plans of its own. So while we’ll be busy fighting increasingly corrupt governments, the planet will throw at us new challenges – climate change, soil contamination and depletion, degradation of aquifers, oil depletion, sea level rise, new diseases, and many others.

We are now 7 billion. Our institutions were created in a time when there were fewer than 2 billion. Our institutions, namely capitalism, are all geared toward growth – infinite exponential growth. We have been lucky enough to grow so far without having to battle against natural limits.

We have now reached the natural limits of our growth. From this point on, the rate of growth of the population will rapidly subside and reverse. Within 50 years, I see the world’s population being less than 4 billion. Mostly because of lower fertility. By the end of the century – 3 billion or less. We will peak somewhere around 8 billion.

The planet is the primary driver of our inevitable decline. Its carrying capacity is declining now. This means whereas the planet could support maybe 5 billion before, it can support maybe 3 billion now, and rapidly declining. This is because we are depleting aquifers, contaminating soil, driving fisheries into extinction, destroying forests and other important habitats, depleting non-renewable natural resources like oil and coal, blowing up nuclear reactors, creating massive oil spills, and so on.

Unfortunately, our institutions are not capable of dealing with this problem. They were, as I said, founded on infinite exponential growth when that model still seemed viable. They will fight to the death to defend this system.

But now we need a cyclic stability model. Problem is, the financial system by its very nature is unstable, because without growth it simply collapses in an ever-accelerating self-destructive debt spiral.

The financial system failed in 2008. It has not been reformed yet. It will take hundreds of years for the institutional reform to take place. It always does. Look at the Roman Empire circa 250 AD when it started failing. It will take at least 50 years to re-establish the sound basis for money in the world: gold and silver.

It took 200 years just to recognize that the Roman Empire had failed! The official collapse date is given as 476 AD. It actually failed around 235 AD, when hyperinflation started to occur. It failed because the military was over-extended, the spending was out of control, and the currency had been debased. Same conditions as in the US now.

The other reason why 200 years has to do with the fact that it will take about 200 years for the heavily-contaminated and eroded soil in the US to start to recover, provided that all intensive mono-culture Roundup-powered genetically-modified agricultural operations in the US are ended right now. No chance of that happening.

We are in for increased crop failures, shortages of essential commodities caused mainly by political and supply chain instability (riots, revolutions, strikes, etc.), possibly destructive wars, and all manner of rapid transformational changes that very few are actually prepared for.

The world will split off into tribes – plural cultures again – to try to re-discover how to live in a relative state of stability with nature. The whole system of global control is extremely fragile at this point. It is at your strongest perceived point when you are in fact the weakest.

US treasury bonds will begin to sell off rapidly. Bank runs are coming on November 5th. This will probably spark a national bank holiday. Reform attempts will be made. They will fail. Just like the EFSF will ultimately fail. Our institutions are no longer capable of producing the kind of reform we need. The process of discovery, the process of figuring out just what kind of system makes sense from this point on, will take hundreds of years. Many generations.

Occupy Wall Street is literally the beginning of a new civilization within a larger civilization that is now marching toward self-destruction. These reactionary movements will not subside. They will only grow stronger. When people become aware of how the system operates, how it is heading toward its own destruction, and how absurd the institutional responses are to their problems, they will quickly figure out that the only way to really change anything is to take back personal control over everything, and to re-organize at the tribal level (small groups) with like-minded people with new goals in mind, goals that are not self-destructive.

1901 Teddy Roosevelt State of the Union

Source: http://www.theodore-roosevelt.com/trspeeches.html

Here are some excerpts I think you’ll find relevant…

Emphasis added in bold

“There is a widespread conviction in the minds of the American people that the great corporations known as trusts are in certain of their features and tendencies hurtful to the general welfare. … It is based upon sincere conviction that combination and concentration should be, not prohibited, but supervised and within reasonable limits controlled; and in my judgment this conviction is right.

It is no limitation upon property rights or freedom of contract to require that when men receive from Government the privilege of doing business under corporate form, which frees them from individual responsibility, and enables them to call into their enterprises the capital of the public, they shall do so upon absolutely truthful representations as to the value of the property in which the capital is to be invested. Corporations engaged in interstate commerce should be regulated if they are found to exercise a license working to the public injury. It should be as much the aim of those who seek for social- betterment to rid the business world of crimes of cunning as to rid the entire body politic of crimes of violence. Great corporations exist only because they are created and safeguarded by our institutions; and it is therefore our right and our duty to see that they work in harmony with these institutions.

The first essential in determining how to deal with the great industrial combinations is knowledge of the facts–publicity. In the interest of the public, the Government should have the right to inspect and examine the workings of the great corporations engaged in interstate business. Publicity is the only sure remedy which we can now invoke. What further remedies are needed in the way of governmental regulation, or taxation, can only be determined after publicity has been obtained, by process of law, and in the course of administration. The first requisite is knowledge, full and complete–knowledge which may be made public to the world.

Artificial bodies, such as corporations and joint stock or other associations, depending upon any statutory law for their existence or privileges, should be subject to proper governmental supervision, and full and accurate information as to their operations should be made public regularly at reasonable intervals.

The large corporations, commonly called trusts, though organized in one State, always do business in many States, often doing very little business in the State where they are incorporated. There is utter lack of uniformity in the State laws about them; and as no State has any exclusive interest in or power over their acts, it has in practice proved impossible to get adequate regulation through State action. Therefore, in the interest of the whole people, the Nation should, without interfering with the power of the States in the matter itself, also assume power of supervision and regulation over all corporations doing an interstate business. This is especially true where the corporation derives a portion of its wealth from the existence of some monopolistic element or tendency in its business. There would be no hardship in such supervision; banks are subject to it, and in their case it is now accepted as a simple matter of course. Indeed, it is probable that supervision of corporations by the National Government need not go so far as is now the case with the supervision exercised over them by so conservative a State as Massachusetts, in order to produce excellent results.

When the Constitution was adopted, at the end of the eighteenth century, no human wisdom could foretell the sweeping changes, alike in industrial and political conditions, which were to take place by the beginning of the twentieth century. At that time it was accepted as a matter of course that the several States were the proper authorities to regulate, so far as was then necessary, the comparatively insignificant and strictly localized corporate bodies of the day. The conditions are now wholly different and wholly different action is called for. I believe that a law can be framed which will enable the National Government to exercise control along the lines above indicated; profiting by the experience gained through the passage and administration of the Interstate-Commerce Act. If, however, the judgment of the Congress is that it lacks the constitutional power to pass such an act, then a constitutional amendment should be submitted to confer the power.

With the sole exception of the farming interest, no one matter is of such vital moment to our whole people as the welfare of the wage-workers. If the farmer and the wage-worker are well off, it is absolutely certain that all others will be well off too. It is therefore a matter for hearty congratulation that on the whole wages are higher to-day in the United States than ever before in our history, and far higher than in any other country. The standard of living is also higher than ever before. Every effort of legislator and administrator should be bent to secure the permanency of this condition of things and its improvement wherever possible. Not only must our labor be protected by the tariff, but it should also be protected so far as it is possible from the presence in this country of any laborers brought over by contract, or of those who, coming freely, yet represent a standard of living so depressed that they can undersell our men in the labor market and drag them to a lower level. I regard it as necessary, with this end in view, to re-enact immediately the law excluding Chinese laborers and to strengthen it wherever necessary in order to make its enforcement entirely effective.

The National Government should demand the highest quality of service from its employees; and in return it should be a good employer. If possible legislation should be passed, in connection with the Interstate Commerce Law, which will render effective the efforts of different States to do away with the competition of convict contract labor in the open labor market. So far as practicable under the conditions of Government work, provision should be made to render the enforcement of the eight-hour law easy and certain. In all industries carried on directly or indirectly for the United States Government women and children should be protected from excessive hours of labor, from night work, and from work under unsanitary conditions. The Government should provide in its contracts that all work should be done under “fair” conditions, and in addition to setting a high standard should uphold it by proper inspection, extending if necessary to the subcontractors. The Government should forbid all night work for women and children, as well as excessive overtime. For the District of Columbia a good factory law should be passed; and, as a powerful indirect aid to such laws, provision should be made to turn the inhabited alleys, the existence of which is a reproach to our Capital city, into minor streets, where the inhabitants can live under conditions favorable to health and morals.

The most vital problem with which this country, and for that matter the whole civilized world, has to deal, is the problem which has for one side the betterment of social conditions, moral and physical, in large cities, and for another side the effort to deal with that tangle of far-reaching questions which we group together when we speak of “labor.” The chief factor in the success of each man–wage-worker, farmer, and capitalist alike–must ever be the sum total of his own individual qualities and abilities. Second only to this comes the power of acting in combination or association with others. Very great good has been and will be accomplished by associations or unions of wage-workers, when managed with forethought, and when they combine insistence upon their own rights with law-abiding respect for the rights of others. The display of these qualities in such bodies is a duty to the nation no less than to the associations themselves. Finally, there must also in many cases be action by the Government in order to safeguard the rights and interests of all. Under our Constitution there is much more scope for such action by the State and the municipality than by the nation. But on points such as those touched on above the National Government can act.

Reciprocity must be treated as the handmaiden of protection. Our first duty is to see that the protection granted by the tariff in every case where it is needed is maintained, and that reciprocity be sought for so far as it can safely be done without injury to our home industries. Just how far this is must be determined according to the individual case, remembering always that every application of our tariff policy to meet our shifting national needs must be conditioned upon the cardinal fact that the duties must never be reduced below the point that will cover the difference between the labor cost here and abroad. The well-being of the wage-worker is a prime consideration of our entire policy of economic legislation.

Subject to this proviso of the proper protection necessary to our industrial well-being at home, the principle of reciprocity must command our hearty support. The phenomenal growth of our export trade emphasizes the urgency of the need for wider markets and for a liberal policy in dealing with foreign nations. Whatever is merely petty and vexatious in the way of trade restrictions should be avoided. The customers to whom we dispose of our surplus products in the long run, directly or indirectly, purchase those surplus products by giving us something in return. Their ability to purchase our products should as far as possible be secured by so arranging our tariff as to enable us to take from them those products which we can use without harm to our own industries and labor, or the use of which will be of marked benefit to us.

The Act of March 14, 1900, intended unequivocally to establish gold as the standard money and to maintain at a parity therewith all forms of money medium in use with us, has been shown to be timely and judicious. The price of our Government bonds in the world’s market, when compared with the price of similar obligations issued by other nations, is a flattering tribute to our public credit. This condition it is evidently desirable to maintain.

In many respects the National Banking Law furnishes sufficient liberty for the proper exercise of the banking function; but there seems to be need of better safeguards against the deranging influence of commercial crises and financial panics. Moreover, the currency of the country should be made responsive to the demands of our domestic trade and commerce.

The collections from duties on imports and internal taxes continue to exceed the ordinary expenditures of the Government, thanks mainly to the reduced army expenditures. The utmost care should be taken not to reduce the revenues so that there will be any possibility of a deficit; but, after providing against any such contingency, means should be adopted which will bring the revenues more nearly within the limit of our actual needs. In his report to the Congress the Secretary of the Treasury considers all these questions at length, and I ask your attention to the report and recommendations.

I call special attention to the need of strict economy in expenditures. The fact that our national needs forbid us to be niggardly in providing whatever is actually necessary to our well-being, should make us doubly careful to husband our national resources, as each of us husbands his private resources, by scrupulous avoidance of anything like wasteful or reckless expenditure. Only by avoidance of spending money on what is needless or unjustifiable can we legitimately keep our income to the point required to meet our needs that are genuine.”

I Rest My Case

“Trust-buster” Teddy would now certainly be one of the 99%. We can all take a great deal of inspiration and knowledge from his first State of the Union address. A lot of the issues the US is dealing with now are issues that he understood and knew how to address.

Compare and contrast the incredible differences between Theodore Roosevelt (a Republican!) and any Republican today, except for Ron Paul.

I rest my case. Theodore Roosevelt was a genius. He coined the term “square deal,” long before the other Roosevelt (FDR) ever thought of the term “New Deal.”

Furthermore, I rest my case that the politician closest to Theodore Roosevelt today is Ron Paul. He is for reducing military expenditures. He is for establishing a gold standard. He is for limited government and responsible spending. He is for auditing the Fed (publicity for the trusts). He is for ending the Fed (busting the trusts).

The one thing I haven’t heard Ron Paul talk about much is unions and issues regarding labor. I do think, however, that he believes strongly in defending American industry and I know he is against so-called “free trade.”

Bottom line – Americans might want to look to Theodore Roosevelt for ideas and solutions that have worked in the past.

I know that, as an investor, I would have been delighted to invest in the United States of 1901. They had a strong currency, a limited government and military, a sound economy, and enormous levels of public credit.

US Downturn Will Last 200 Years

Contrast the policies, facts, and opinions of those times (1901) to today. It’s the complete opposite. USA has squandered all public credit. It has a weak currency, a failing government, a collapsing economy, and an enormously oversized and over-extended military.

The USA must necessarily default now. Just like Greece. It will not meet its obligations. The default will be messy. It will be similar to the Roman Empire default of about 250 AD. It will take 200 years for the US to recover fully from its collapse. At that point, it will be a profoundly changed nation, split into many different states. There will be general recognition then that the US was an empire in the 20th century and that it collapsed around 2012.

What will happen to the rest of the world as the US goes down remains to be seen. But judging from the past (the transition into the dark ages), we’re likely to see break-ups of unions around the world, and a shift toward an anarchist, dark, profoundly distrustful world. Also keep in mind that the US has a very large shadow government that is involved in all sorts of covert experiments with extremely dangerous technology.

Should the US go into collapse (and it will), strange things will start to happen. We may see more whistleblowers. We may see more in-fighting among the different shadow government factions. We may see strange, suppressed technologies emerge into the public arena. But we may also see increased violence and possibly even use of weapons of mass destruction. It’s all in the realm of possibility, even probability. Might be a good time to find a bunker near you. And I only say this half-jokingly.

Dismantle the Too Big to Fail

The Core Issue of Occupy Wall Street:

Too Big to Fail = Dangerous to All

Too big to fail = Any person or institution having so much wealth or income that they are capable of holding the government hostage (not saying that they will, but just that they have that ability), i.e. controlling government policy by threatening to implode the economy.

Corporations are largely responsible for this. And you might say, “well many large corporations are publicly owned.” Yes. But what does that mean? Think about it. It means money talks. The more shares you own of a public corporation, the more impact you have on electing its board of directors. When it comes to corporate governance, it is undeniable that money talks.

So, those with the most money control the corporations. Who are those with the most money? They are the people most intimately connected to the Federal Reserve: Goldman Sachs, JP Morgan Chase, and other large financial institutions.

So, make no mistake, the major financial institutions and hedge funds control the corporations. But at this point the distinction is pointless. The rich (the top 1%) have control of these corporations, whether they be financial or non-financial.

The corporations control the governments by holding them hostage as I described (threatening to cut off services, threatening to cut funding to politicians, putting private security forces a.k.a. police onto the streets, etc.). They control global economic policy through trading. This means they control prices of all goods. See Enron scandal to learn how that was done with electrical utility pricing.

So here’s the global chain of control:

Directors of Private Finance Companies (i.e. those with the most wealth) -> Public Financial Institutions -> Public Corporations -> Governments

The individuals with the most wealth are key to this whole scheme. They (the “1%”) are the majority shareholders in public financial institutions, who are majority shareholders in the public corporations.

Recently, the global system of corporate control was revealed by NewScientist, showing the top financial institutions and corporations that run the whole “capitalist” system. Here are the top 20…

Top 20 Global Corporations

1. Barclays plc
2. Capital Group Companies Inc
3. FMR Corporation
4. AXA
5. State Street Corporation
6. JP Morgan Chase & Co
7. Legal & General Group plc
8. Vanguard Group Inc
9. UBS AG
10. Merrill Lynch & Co Inc
11. Wellington Management Co LLP
12. Deutsche Bank AG
13. Franklin Resources Inc
14. Credit Suisse Group
15. Walton Enterprises LLC
16. Bank of New York Mellon Corp
17. Natixis
18. Goldman Sachs Group Inc
19. T Rowe Price Group Inc
20. Legg Mason Inc

You can see that most (> 90%) are financial institutions / hedge funds. This confirms what Max Keiser has to say about “hedge funds running the world.”

So now to see who actually runs the world, all you have to do is look at who the chairman of the board of directors is on each one of these institutions. Needless to say they are all extremely wealthy individuals.

But what’s more striking is, if you research these people you’ll find that many actually hold positions on multiple boards for multiple corporations at the same time! That just goes to show you how small the world of the world directors really is. I used to have an estimate of 10,000 maybe 15,000 in my head of how many actually have policy influence over the world and its economy. Now, I must say that it’s probably fewer than 5000. The rest are public patsies. They are put there to give the illusion of plurality.

Most of the chairmen of the top 20 corporations (30% according to my research) are members of the CFR, board members on the Federal Reserve banks, tied to the Rothschild or Rockefeller families, or are members of prominent conservation groups like Conservation International.

It is a policy of mine to not name names, out of respect for individual privacy. However, I can say that these people are public. Their names are documented on Wikipedia and the you can find corporate governance structure of the top companies on sites like Forbes or Google Finance.

It Doesn’t Matter Who is in Charge. The System is the Real Problem

The system is the real problem. Not the individuals who benefit from it. The problem is the present structure of corporate governance, where the majority shareholder has the upper hand in electing the board of directors of these corporations. It should not be the majority shareholders. It should be the people.

Let me summarize it quickly.

For any corporation that is vital to national security (e.g. Wal-Mart, Goldman Sachs, etc.) as determined by whether or not it can hold the population or its elected government hostage, whether or not it is considered “too big to fail”, it should:

  • Be dismantled, into enough separate corporations that they will no longer be dangerous to the public.
  • Have a chairman of the board who is elected by the people, in a public election campaign similar to how we currently elect our political representatives, where campaigning is not allowed, and where the individual’s political agenda is made clear.
  • Its decisions should be subjected to public scrutiny, in the same way that the decisions of a democratically-elected representative are subject to public scrutiny.

In addition, each corporation cannot be allowed to grow to be too big to fail. In order to do that, we must tax the top. We must establish a special tax bracket for all public and private corporations whose market cap exceeds 0.1% of GDP (about $14 billion in the US). The tax rate on profits at that level should be 100%. So we will then have a clear limit on what is “too big.” Additionally, we need to tax all individual income that exceeds 100X minimum wage (about $800/hr or $1.5 million per year) at 80% or more. Again, most will not make this much income so we will only be taxing the incredibly rich – the too big of the world.

In addition, we must also push for heavy taxation of financial transactions, especially derivatives trades. Ideally, we should ban derivatives altogether. All trades need to be taxed. Tax trading. We should not allow more than 10 tax-free transactions per individual per day. That is more than enough. More than that is speculation, wasting society’s time and resources, and needs to be taxed at a high enough rate to be quite punishing to the individual. We’re talking about a 2% tax on each transaction. Additionally, the US needs to institute a national sales tax of at least 10% per transaction. These taxes will have the effect of preventing “too big” corporations from emerging, and leveling the playing field, since small businesses would pay far less in transaction taxes than large businesses.

In fact, we should establish tax credits for the small businesses so that they can prosper and compete freely. In Canada, the HST (national sales tax) is imposed mostly on the larger businesses and small businesses often get credits from the government. Again, this is not about handouts. It’s about leveling the playing field because you have to realize that the bigger you are, the more politically powerful you are. Therefore, there is an inherent unfairness in capitalism built in. The proper role of government in any capitalist system should be to reduce this unfairness and balance the market in favor of small businesses and individuals.

Bottom line: Capitalism is OK if you’re small. It is dangerous to the public if you’re too big.

Summary of Solutions

  • Dismantle the “too big to fail”
  • Tax the top
  • Tax trading

Note – people can only implement these when they have their governments back. Therefore, we first need to push for understanding of the issue – that a few (5,000 or so) individuals who are incredibly wealthy hold governments hostage through their corporations. They have enormous (dangerous) levels of influence over society and therefore need to be taxed 100% so we can recover the control that now sits in their hands.

Canada = The Last Bubble

It is my belief now that all of the Canadians who are bashing the Occupy movements are hypocrites.

Could it be that they are too afraid to speak out for fear of losing their jobs just at the point when they have record amounts of debt and almost no savings?

We face the same kind of collapse that has happened in the US, Greece, Spain and other countries around the world, because we have the same fundamental economic problem: too much debt, and no savings.

According to a study by the CGA (Certified General Accountants), “The debt-to-income ratio reached a new record high of 146.9 per cent in the first quarter of 2011.”

That means for a typical Toronto household earning $90,000 per year, the debt level is $132,210. The ratio of debt to income is now more than at any point in recent Canadian history!

In fact, Canadian debt-to-income ratios are, according to the Canadian Centre for Policy Alternatives (CCPA), the worst out of all 20 OECD nations!

I Smell a Bubble!

You know it’s a bubble when hypocrisy is at its peak. When people tell you, “oh we have it good” and “it [depression] can’t possibly happen here.” Or, “this time it’s different.” Or “it’s different because we’re Canada.”

This is the height of hypocrisy and we are now essentially at the peak of the Canadian debt bubble. We are now USA in 2005. The same arrogant attitude of “we’re #1″ just before the implosion.

More Sobering Stats

Canada’s household savings rate is now (“now” = August, 2010) at the lowest since the 1930s!

That’s right. Canadians now only save $2.80 out of every $100 in income that they earn.

Thank you very much, Mr. Carney! Thank you for blowing up a bubble that’s now bigger than Greenspan could ever dream of!

Now even retirees have to go into debt! You know what that means. More competition for jobs. Retirees will now have to enter the work force. Or, they may choose to sell assets. Maybe sell that investment property in Muskoka. More unemployment. More property sales. That leads to lower property prices.

Ignorance is Now Dangerous

Canadians, I am warning you: Your ignorance is now dangerous. Dangerous not only to you, but to me! Because I’ll be the one footing the bill for your $500 billion bailout that will be needed when it all comes tumbling down (and it will).

Canada = The Last Bubble

We are the last bubble. I know. Crazy. I must be crazy. Everyone will keep telling me “it can’t happen here” without any facts to back them up. Go nuts. I know I’m right.

I’ve called the stock market bottom of 2009.

I called the enormous precious metals correction of 2008.

I’m calling for a Canadian housing market collapse in 2012-2013 just like the US in 2007, but possibly even worse. Because the interest rates have been lower for a longer time, and because there is a much bigger sense that “it can’t happen here”, I think the Canadian bubble collapse will probably be more disastrous than the US one.

We are the last bubble.

Solutions: Runaway Debt Spiral

If you’ve seen the documentary “Money as Debt” you will know what I’m talking about. There is a big problem in our society, because money is now simply debt. It is nothing but debt. If there is no debt, there is no money. This is a serious problem that needs to be fixed. Here’s how to fix it.

The Problem: Runaway Debt

The US dollar is now, like other fiat currencies, legal tender. This means that it is acceptable payment for all debts, public and private.

But what is a dollar? A dollar is the certificate of a debt having been issued. If I have $1, that simply means there is $1 worth of debt somewhere. Now, check out the insanity of all this: if, by legal tender law, debt is payable in fiat money (i.e. certificates for debt), that is, fiat money is considered acceptable payment for all debts, then debt is payable by the issuance of more debt. Or rather, the issuance of new debt is treated as payment for old debt.

So the fiat monetary system can only survive by the perpetual issuance of new debt. This is what leads to the debt spiral, and it leads to the problem that total outstanding debt must continue to grow in order to pay off older debt. The problem is compounded (pun intended) by the fact that on all debt issued, there is an interest rate charged. This means the more debt there is in circulation, the more interest will be collected, leading to faster and faster issuance of debt. Ultimately, this whole thing must collapse and result in bankruptcy, when there isn’t enough income to pay the interest on all of the accumulated debt.

The Solution: Make Gold or Silver the Only Legitimate Form of Debt Repayment

The solution is to take away the legal tender status of paper, either by law or de-facto. In the de-facto method, you simply refuse to recognize the legitimacy of paper as having any value, and you choose instead to deal (transact) exclusively in gold or silver.

Transact exclusively in gold or silver.

What does this mean?

Work for gold. Instead of working for cash, work for gold (or silver).

Rent for gold. Instead of paying cash to your landlord, pay gold.

Do all business in gold or silver.

If even 0.01% of people do this, it will cause the fiat system to completely collapse through hyperinflation, thus wiping away all of their fiat debts.

So you see, the solution is simple. Use gold and silver instead of paper for all financial transactions.

People will object to this saying, “it’s inconvenient.” That’s probably the main deterrent. But, we can somewhat fix that by establishing an online gold or silver exchange. That is, a place where you can turn your physical gold into digital gold credits, and your digital gold credits into physical gold.

The exchange has to be trustworthy. This means all your bullion needs to remain yours at all times, even in the digital world. No one should have the right to invest or lend your bullion without your explicit permission. GoldMoney is a trustworthy online bullion exchange that is exactly like what I described.

So we have in place all of the elements. All that needs to happen is for people to wake up and start choosing gold or silver over paper.