Skip to content

Libertarianism’s main fault: Blaming the State while ignoring the Money Power

by on February 20, 2012
libertarians

“In all corners of the earth the words “Liberty, Equality, Fraternity” brought to our ranks, thanks to our blind agents, whole legions who bore our banners with enthusiasm. And all the time these words were canker-worms at work boring into the wellbeing of the goyim, putting an end everywhere to peace, quiet, solidarity and destroying all the foundations of the goyim States.”
Protocol 1

Among its many failings this one stands out: Libertarianism and Austrian Economics blame the State for everything, while ignoring the Money Power. By attacking Government, it covers the Money Power’s back to dominate the market through Monopoly Capitalism.

This is not to say that Government is not a problem. It is. We should not be naive about the Government’s ability to solve our problems. It can’t. The Government is not the Commonwealth.

In their own eyes, murdering the Czar was one of the Money Power’s greatest achievements. His despotism was a great example to them. Government Tyranny is a fact of history and getting rid of the Money Power would leave a power vacuum that Government would love very much to fill.

The fact alone that the Money Power managed to take control of every Government on the planet itself speaks volumes about the trust it deserves.

With the descent into an outright police state in the US and ever less friendly fascism in the EU, with ongoing mayhem in the Middle East and naked Imperial aggression now threatening Iran and World War 3 we are reminded every day of what the State is capable of.

But the problem with the Hate the State narrative is this:

A well known picture and a basic paradigm of the conspiracy. The Money Power sits on top! Of course it does, that’s what it’s all about.

And the Money Power rules through control of the Money Supply. This gives them all the wealth in the world and this they use for buying the all politicians and all the black budget projects and all they need to build World Government.

So why hack away at the State and declare that the main problem? What purpose would that serve, but to keep our eyes off the ones at the top?

The monetary situation
The monetary situation is, that the Money Power has forced Governments to surrender their currency monopoly to the semi private Central Banks of the Money Power.

Austrians blame the Government for the manipulation of volume, but everybody knows the Fed is not even a Government institution! The ECB is, but it is still totally controlled by the Money Power. So it is ridiculous to blame the State. The State itself is totally under the Money Power’s control, because it is so indebted. It needs the banks for cash and that’s why they’re totally subverted.

Austrian Economics itself of course suggests Gold as currency, but this does not take away control of the money supply away from the Money Power at all, as we have discussed time and again. A ‘free market’ for currencies in the Austrian sense of the word would still be wide open to manipulation of Volume, as the Money Power controls the flow of Gold in the market.

Populists in the US have always tried to wrest this control away from the Money Power. The war of independence was fought to regain the power to print money, as the British Crown was demanding tax payments in Gold. This struggle has been going on ever since, although after the Second World War there were only few who understood what was at stake.

Jefferson, Calhoun, Jackson, Lincoln, Bryant and of course JFK, who seems to have been awakening in the months before he was shot.

Today’s populists, like Ellen Brown, Bill Still and Dick Eastman, even though they don’t agree with each other’s solutions, have in common that they want the Government to create the money, in the service of the populace.

This means that they want the Government to take control of the money supply back from the Money Power.

Libertarians will always and forever sabotage this much needed and basic reform by saying it is ‘statist’. Or, of course, with the boring clincher ‘it’s fiat money, it’s bad, bad!’. Interest-free or not.

But the pyramid clearly shows that it would actually devolve power from the top to one level lower.

Government would create the money interest free, withholding vast sums of interest to the Money Power. Government would also not allow deflationary contractions.

It is true, that Governments have historically inflated the money supply, with negative consequences, but so has the Money Power itself. So Government money would solve the two biggest problems with our money: the business cycle and deflation and interest. While the inflation problem would probably not be bigger and in fact smaller than it is now: without interest on the money supply there is no intrinsic driver for the Money Supply to grow forever.

Conclusion
Liberty and Freedom are just wonderful slogans.

Liberty to do what? Freedom from what? For who? Careful analysis is necessary to answer these questions.

Government is not a panacea. We need to reevaluate thoroughly what role we see for it. If anything Austrianism has given us useful information about the negative implications of many Government interventions.

But claiming it is THE problem is simply wrong and flies in the face of everything the Truth Movement has uncovered over the last decade or so. Of what Populists have been fighting for for 250 years.

The Money Power has been clamoring for ‘Freedom’ for centuries. It is one of their favorite watch words.

It means freedom for them.

Thanks to their blind agents of Libertarianism, whole legions bear their banner with enthusiasm, an ounce of Gold in the pocket. And all the time this word was a canker-worm at work boring into the well-being of the goyim, putting an end everywhere to peace, quiet, solidarity and destroying all the foundations of the goyim States.

How the Money Power created Libertarianism and Austrian Economics
Top Ten Lies and Mistakes of Austrian Economics
The Goal of Monetary Reform

31 Comments
  1. Reblogged this on Jusd.

  2. The author is generally correct except where he commits the same error as Ron Paul & those of his ilk, blaming government for people’s actions. Government is not tantamount to a person. Yet, the author personifies government as if it is a person? To keep it simple, government is a system of administrating and creating laws. It is only as good or bad as the people running the government. We are used to corporate shills running government. What we need are good people, representing us, running government.

  3. Anthony Migchels wrote:

    “Among its many failings this one stands out: Libertarianism and Austrian Economics blame the State for everything, while ignoring the Money Power. By attacking Government, it covers the Money Power’s back to dominate the market through Monopoly Capitalism.”

    This is not a true statement because there is no Money Power. There is a only a Government-violence enforced Money Power.

    Who do you think raided the currency competition started by Bernard von NotHaus called the Liberty Dollar? Do you think it was a team of ten Mises Institute and Amish Mennonites and Libertarian intellectuals with guns? The Liberty Dollar Company was raided by about ten agents of The State (“The Government”) specifically the Federal Bureau of Investigation and the Secret Service.

    The Money Problem is not about materials used (Gold or something else) or profit (“interest”). The bedrock foundational issue is the existence and use of violence by The State to enforced a monopoly (hoarding an industry by a small group of people.)

    Bernie

    • To whom do you think the government is beholden — themselves? They don’t operate on a budget created by our paltry taxes but on the debt money the Central Bankers sell them at an unrepayble interest rate. Debtors are slaves to their creditors. Governments are literally owned by the central banks, the Fed and BIS, and do their bidding.

      Von Nothaus was jailed because he offered a form of currency that competed, however obliquely, with the currency offered by the central banks. They sent their errand boys, eg., the govt of the USA, to enforce with violence their no competition policy.

      The Money Problem has everything to do with interest on money lending. Without interest the central banks could not control the governments that they lend to. Governments cannot pay off their past debts and cannot continue to exist without more loans. The rollover cycle is inherently inescapable and ultimately consumes the populace as well. You’re right that it matters little whether the form is fiat or commodity. The banks can exploit either to their exclusive advantage as long as interest is permitted. The Libertarian role, once usorous fiat has run its ruinous course, is to keep everyone playing in their rigged casio by offering gold as a sound money alternative. .This is the game the central bankers have played throughout history. The difference is how they have an astroturf political(libertarians) and economic (austrians) movement to keep the sheep decieved.

      • “pm” wrote, “To whom do you think the government is beholden — themselves?”

        Yes. If the boss of an organization, whether it’s the Mafia or Mother Teresa Organization or any of the 436,987 (I made up that number) organizations that exist in the World, orders or asks one of its underlings or employees to rob a bank and kill bank employees while doing the crime then who is the evilest man? My argument is that the man who is “doing the doing” is by far the more evil man (very important concept.)
        A man can go out to the airport and stand beside a 747 jet and launch a paper airplane into the air. That is very doable. But what is IMPOSSIBLE is to now go to the real 747 jet and have the man launch it on it into the atmosphere with one arm exactly like he did with the paper airplane.

        In the bank robbery example above the employee can say to the bad boss, “No I refuse to be beholden to you, I refuse to commit a crime and harm other people and I quit my job, I am beholden to myself.” I know that people have been so dumbed down that mot people will say, “That’s impossible, for an employee to quit their job like this.” They think it’s impossible on the same level that launching a 747 with an arm is impossible. It is not impossible and there are many men and women who would do the right thing and not commit the crime and also quit their jobs. You are a liar for thinking it’s impossible for this to happen.

        So Alan Greenspan and Ben Bernake and Rothchild are actually very nice (less worse) people compared to the men who are “doing the doing.”

        The next level is to prosecute The State for unlawfully shutting down the Liberty Dollar Company. Does that mean we should go to Washington, DC and go to a building that has a brass sign that says “Government” on the cement wall at the entrance and arrest each of the ten brass letters on the wall? Is that what government is?

        No, it’s not. Government Agencies consist of real, live men and woman. So the ten (about) government workers who didn’t say no to their unlawful orders from the boss and quit their jobs are the evilest people in the world (because the crime of shutting down the “seed” of money/currency competition is going to “destroy” or negatively affect hundreds of millions of lives.

        The next level is to have a hero Internet researcher identify the ten Government Workers who “did the evil doing” (later on go after the other people involved like the prosecutor and judge and others) and publish their first, middle and last names and photos too. If Bernard von NotHaus or somebody he knows reads this maybe they would be in the best position to gather this information.

        The next level is to not use Government Agency courts to arrest, try and punish these people because Government Agencies are all on the same team and will unlawfully protect their criminals. So Common Law or God’s Law, or citizens’ Petit Grand Juries must be organized to take to trial the ten bad guys. I don’t know much about this but there’s something here:

        http://www.rightsandwrong.com.au/

        The next level is to enforce punishment on a guilty verdict for the ten people (somebody please do the research to discover the names of these ten Government Agency criminals.
        I know BVN if he reads this has the contacts to do it.) In this case the charge will be Treason and the punishment will be public hanging from a lamppost or tree and it will be televised and receive wide media coverage.

        Then go after the (less worse but still bad people) Prosecuter, Judge, Ben Bernanke, Alan Greenspan and many others.

        So “pm” who wrote the smarmy, smug, superiority complex, self-conceited sentence “To whom do you think the government is beholden — themselves?” didn’t even know after ten or twenty years of studying economics and the Money Problem didn’t even know that the man or woman who is “doing the doing” is BY FAR the evilest man in the world and most responsible for the crime situation under discussion, he didn’t know that ultimately people are “beholden to…………THEMSELVES (it is “impossible” he would argue), and he didn’t know that The State is not brass letters of the alphabet on a wall but real, live, breathing individuals who have a certain domain of free will (which includes the ability to quit a job, but not the ability to flap their arms and fly through the air off a five hundred foot high cliff and land safely.)

    • Don permalink

      opinion presented as fact.

      “”This is not a true statement because there is no Money Power. There is a only a Government-violence enforced Money Power.””

      What I want you to tell me, is which government forces the banks to own everything in the world? Which they do. Answer : All the governments do, because the governments are owned by money power. Didn’t read any more of your bunk because this clear lack of understanding says everything about you…

      Ignorance is knowledge in America. Clearly.

  4. Webster Tarpley first woke me up to the deflationary aspect of austrian economics and how their economic programs only perpetuated the status quo of the city of London oligarchs power under a guise of free market reform.

    Dr. Tarpley’s recent debate with Carla Howell, director of the national Libertarian Institute, is a classic illustration of what your article disabuses regarding the austrian school and libertarianism in general as a political movement. http://tarpley.net/ See “Reactionary Republicans and Wall Street Democrats Spell Doom for USA, but Austrian Libertarians and Maltusian Greens are the Distilled essence of what is wrong; Three fourths of the Americans demands a New Deal Alternative”

  5. David Jones permalink

    Good article

  6. Dave permalink

    All you’re really doing is attacking capitalism and promoting communism with different wording. The problem I find with conspiracy researchers is that rather than only researching the conspiracies that actually exist and stopping at that, you find the need to promote the notion that behind EVERYTHING lies a conspiracy. Nevermind that libertarianism is about ensuring the freedom people need to prosper economically and spiritually. That is proven to work by looking at the historical points in time when America had more freedom and all the prosperity and benefit for the common person that came as a result. The fact that you overlook those things, all the facts that the Austrian school teaches, in order to promote what is in this case a half-assed conspiracy theory puts you in the same category as the Marxists.

    • You’re missing out on the dialectic Dave.

      The Money Power owns both Communism and Capitalism. They are both monopolies.

    • Don permalink

      “The Swiss Federal Institute (SFI) in Zurich released a study entitled “The Network of Global Corporate Control” that proves a small consortiums of corporations – mainly banks – run the world. A mere 147 corporations which form a “super entity” have control 40% of the world’s wealth; which is the real economy. These mega-corporations are at the center of the global economy. The banks found to be most influential include:

      • Barclays
      • Goldman Sachs
      • JPMorgan Chase & Co
      • Vanguard Group
      • UBS
      • Deutsche Bank
      • Bank of New York Melon Corp
      • Morgan Stanley
      • Bank of America Corp
      • Société Générale

      Think it isn’t a conspiracy? Capitalism IS a conspiracy to promote inequality.

      /PS_cache/arxiv/pdf/1107/1107.5728v2.pdf

  7. Peter J. Ritter permalink

    You are spot on with that pyramid. But removing the top layer (even if all of them were sent to Pluto) would not remove the money problem. The new top layer, certain individuals in government, would now do the same the former top layer did, with or without interest. They would abuse the money power and entrench themselves with myriads of crooked schemes. Believing that would not happen is putting unwarranted trust in them. And you can be sure the individuals of the current top layer would not just fade away. Transferring the privilige to be parasites is not a solution. It is as idealistic and wrong headed as Libertarians promoting total absense of government. A minimal control function by a lean keeper of order will always be necessary to keep trouble makers at bay. Whether that function can be privatized or not is a separate question.
    The problem remains money. Simply because nobody seems to know anymore what money is. So let’s take a look at it.
    When people changed their nomadic life style to settle down to farm 12,000 years ago, they did something they had never done before. They produced surpluses. That which they produced, minus their own consumption. These surpluses were used to trade for the surpluses of others, i.e. surpluses were the original, albeit unwieldy, money.
    Surpluses tell us what money really is, the nature of money. The essence of money is that it is created by producers who combine labor and material into a marketable good. Money is made, produced, created, manufactured, fabricated, assembled, built, generated, grown, cultured, raised, etc. by people who bring into existence something of value that wasn’t there before. That is money. The only difference between barter goods and full fledged money is the degree of acceptability. Barter goods are wanted by a small number of people. Money is wanted by all.

    Nothing has ever changed the nature of money. Certainly not the practices of goldsmiths to print fake paper receipts for gold that never existed; and neither the banking practices that arose out of that nefarious fraud, fractional reserve banking. Paper money that is not 100% redeemable for a real good is not money. It is the instrument of some parasite to get something for nothing. Enabling a government to do precisely that is not a solution. It is removing Parasite A and replacing it with Parasite B. Governments have absolutely no business to print money, or even say what money is. Neither have banks. People – producers – create money, and they must be allowed to exchange their goods for anything they choose, without government interference or coercion.
    Gold must not be the only money precisely because the banksters have accumulated so much of it that they would control the money supply as easily as with paper money. Let there be paper money, but it must be 100% backed by any marketable, tangible good. That will remove the ability of the parasites to print money out of thin air. Then we are where we were 12,000 years ago, exchanging fair values. Get the parasites out of printing paper money. Let them produce something, whatever they want, and compete with other producers. Let the money printers work for a living like everybody else.
    That is the lasting solution.
    Quite simple, actually, this money thing, when one looks at it this way.

  8. One permalink

    Superb analysis.
    Thank you for thinking and writing as you do.
    You’ve opened my mind to new ideas.

    As for the trolls above, please don’t waste your time answering them.
    That’s their goal — to distract you from your work.

    • Thank you very much One!

  9. Jimbo permalink

    Libertarians, at the end of their ideological progression, want the “state to wither away”. Strange, but I recall Marxism stating, among other things, the same thing, the goal of the “state to wither away”, after some period of “adjustment” (it never happens). Both are unrealistic. Both are utopian, ideology driven world-views.

    Please see Frederick List and the American System (a 19th century U. S. political-economy theory) where the government did have a role, and, under that system import tariffs were a principle component. And, under the ‘American System’, first promoted by Alexander Hamilton (too bad, there is evidence he had links to European bankers) and continued through the 19th century by Lincoln, advocated by Heny Clay, and others, the United States became the strongest economy in the world.

    This is a fact.

    Libertarians believe in so-called “free trade”, but “free trade” promotes labor arbitrage, Arbitrage is the nearly simultaneous purchase of a good or asset in one market where the price is low, and sale of the same good or asset in another market where the price is higher. This creates an international ‘race to the bottom’ that the Money Power is uniquely situated to take full advantage of, thus, principally labor is devalued, causing purchasing power & demand to decrease.

    Libertarians want government to be only a “referee”, neutral in terms of outcome, but a totally free market almost invariably has the strong (or those willing to cheat, steal, and be morally ruthless) prevailing over the weak. The Money Power is strong in relationship to individuals (the Money Power has demonstrated, time and again, it is willing to “cheat, steal, and be morally ruthless” to conquer & dominate those that are will not “cheat, steal, and be morally ruthless” because of moral & ethical constraints. In other words, Libertarians, being utopians, ignore human nature, and, thus, in their ideological system, those that are willing to “cheat, steal, and be morally ruthless” rise to the top of the economic heap and end up oppressing others.

    Groups, by and large, will prevail over individuals, thus, the Money Power (a very powerful group) will prevail over individuals in the economic race.

    Yes, in the Libertarian system, monopoly capitalism ends up being the final result or simple cartel capitalism, which isn’t much different from monopoly capitalism in terms of the welfare of the individual.

    To preserve the Free Enterprise System, a competitive system of choice and individual initiative, you need government to be more than a neutral “referee”.

    • A little late, but to my mind this is in fact quite an eloquent formulation of the basic problem with the ‘free market’ ideology.

  10. Anarcho-Capitalist permalink

    “Fed is not even a Government institution! ”

    If that is the case, what was the purpose of the Federal Reserve Act of 1913?

    The one truism you are missing is that it is the state that sanctions the central bank, and does so using the business end of the barrel of gun. And granted, it is the money power that controls the state, but it is the state that does the dirty work for the money power.

    • “Fed is not even a Government institution! ”

      If that is the case, what was the purpose of the Federal Reserve Act of 1913?

      Read Mullins my friend. Or even Griffin, on this matter, just don’t believe him on the solution…..

      “The one truism you are missing is that it is the state that sanctions the central bank, and does so using the business end of the barrel of gun. And granted, it is the money power that controls the state, but it is the state that does the dirty work for the money power.”

      I think I can go along with this to a large extent: the article makes clear I’m pretty weary of the State.
      The Central Banks forced the State to sanction it, though.

    • Anarcho-Capitalist wrote:

      “The one truism you are missing is that it is the state that sanctions the central bank, and does so using the business end of the barrel of gun. And granted, it is the money power that controls the state, but it is the state that does the dirty work for the money power.”

      Excellent comment

    • The State sanctioned the demise of their own autonomy by taking usurous loans from the central banks. What happens when you go into debt to an institution to which you can never repay? Like John Perkins illustrates in his book, “Confessions of an Economic Hitman”, the banks take repayment in other forms, e.g., political control, real asset stripping ect.. The govt implements the policies the central banks want and enforces them or they go into recievership. We all know from the last series of fraudulent trillion dollar bailout that these threats work. That the banks have been allowed to write and rewrite, to avoid prosecution of current violations, laws governing banking clearly illustrates this ongoing control since 1913.

  11. Libertarians do not ignore money power. On the contrary. That’s why most of them support free banking and gold. You’re trolling again, Mr. Migchels.

    • No you are trolling, you promised not to come back.

      But since you are: spend some time reading the articles in Faux Economics.
      Please explain to me AFTER reading, how you believe Gold will discontinue the Money Power’s control of the Money Supply?

      • I did not say I would not come back. On a free money & banking market, people will have the power, not the Big Money Power.

        • again, you’re not reading. I dispelled that myth many times in several articles.

          I’m not doing it here again, before you know what you’re up against.

          You DID promise to not read my articles again.

  12. Reblogged this on Recovering Austrians.

Trackbacks & Pingbacks

  1. Libertarianism’s main fault: Blaming the State while ignoring the Money Power | LibertyBank
  2. “Katolickie” skrzydło libertarianizmu « Dziennik gajowego Maruchy
  3. Why Tom Woods is wrong about the Greenbackers | Real Currencies
  4. Ken Adachi and Ron Paul « Real Currencies
  5. Libertarianism is an Illuminati Ploy Run By Jews, (Updated) Uh, Also Jewish Controlled Jesuits Who Were Behind Communism, Who Are Dialectical Satanists Run By The Pope « …………….THE LIBERTARIAN – El Libertario ̵
  6. Responding to Gary North « Real Currencies

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Follow

Get every new post delivered to your Inbox.

Join 2,104 other followers

%d bloggers like this: