Politics is Already Dead

submitted by jwithrow.politics is already dead

Journal of a Wayward Philosopher
Politics is Already Dead

October 14, 2015
Hot Springs, VA

The S&P closed out today at $1,994. Gold closed up at $1,187 per ounce. Oil closed at $46.59 per barrel, and the 10-year Treasury rate closed at 1.98%. Bitcoin is trading around $252 per BTC today. My attention is currently focused heavily on the gold sector in the equities market. Many gold stocks were beat up and left for dead, having fallen 90% from their previous high. This sector has steadily traded higher over the past few weeks, including a brief pull-back, potentially indicating the gold sector has formed a bottom. Has the next gold stock bull cycle begun? It could be a big one.

Dear Journal,

Little Maddie celebrates her first birthday next week! Wife Rachel has been hard at work planning the party. She has been very busy picking out decorations, sending out invitations, putting together a food menu, picking out outfits (Madison’s and her own), getting her hair cut, wrapping gifts, cleaning the house, ordering her husband to clean the house, and acquiring all necessary items from the store. I notice a twinkle in Rachel’s eye as she talks about the birthday celebration with excitement. Madison couldn’t care less.

With wife Rachel in frantic planning mode, I take the time to savor the onset of Autumn here in the mountains of Virginia. As the leaves slowly transform into majestic shades of yellow, orange, and red, I casually work to stack wood in the garage and get kindling ready for winter. I sit and enjoy a Harvest Pumpkin Brew as the early Autumn breeze gently blows fallen leaves down the gravel driveway. Soon we will take Maddie to the pumpkin patch, and we will purchase apples from the local orchard to make Apple Cider. What a glorious season!

In my previous journal entry, I suggested that technological advancements were rendering many established institutions obsolete. I want to build on that suggestion from a slightly different angle today. Continue reading “Politics is Already Dead”

Awareness Rising

submitted by jwithrow.awareness

Journal of a Wayward Philosopher
Awareness Rising

September 25, 2015
Emerald Isle, NC

The S&P closed out Thursday at $1,932. Gold closed at $1,153 per ounce. Oil closed at $44.91 per barrel, and the 10-year Treasury rate closed at 2.14%. Bitcoin is trading around $236 per BTC today.

Dear Journal,

Little Maddie took her first unassisted steps this week. Your editor was quietly observing from the glider as she crawled around the back deck, carefully inspecting each nook and cranny in the wood. Suddenly, without warning, her little head popped up and she looked directly at me. There was a strange twinkle in her eyes that I had not seen before. It was almost as though she had just experienced a moment of infinite intelligence, but before I could reckon on it she stood up completely unassisted for the first time and took two steps before easing to her knees. She popped right back up and took three more steps before easing back down to her knees again. Then she looked up at me and laughed hysterically.

I had never before experienced the feeling of unbridled joy that overcame me in that moment.

Later, with Madison calmly napping, I had time to internalize the moment and bask in the joy. As I watched my little angel sleeping peacefully, a strange thought came to me.

If you are going to have highs, know you will also have lows. There are no ordinary moments.

I decided then to cherish every single moment with my little girl. Even when she wants me to read Brown Bear, Brown Bear, What Do You See to her for the thirteenth time. Even when she is screaming at me from the car seat because she is tired of being couped up. I will cherish it all.

Though I vow to cherish each moment of little Madison’s childhood, I am filled with hope and optimism for her future. I marvel at the opportunities that lay in front of her, and the rest of her generation. Generation Next is the first generation in centuries to arrive on this planet precisely as technological advancement is coalescing with a rising Awareness of human potential. Continue reading “Awareness Rising”

Why the U.S. Faces a Currency Crisis

submitted by jwithrow.currency crisis

Journal of a Wayward Philosopher
Why the U.S. Faces a Currency Crisis

September 11, 2015
Hot Springs, VA

The S&P closed out Thursday at $1,952. Gold closed at $1,109 per ounce. Oil closed at $45.92 per barrel, and the 10-year Treasury rate closed at 2.22%. Bitcoin is trading around $239 per BTC today.

Dear Journal,

Little Maddie is now on the verge of becoming a toddler. She has mastered the art of the crawl and the leveraged stand-up. Walking is the next frontier, and she knows it. To aid Madison in her quest, wife Rachel bought her a plastic toy that doubles as an obnoxious farm animal noise making machine and a child’s walker. Somewhat to my surprise, Madison instantly knew what to do – she pulled herself up on the handles and walked six steps using the contraption to achieve balance.

It was an exciting moment for a first-time dad, but the philosopher’s mind has a tendency to wander and I couldn’t help but envision the future. What happens when, in fifty years perhaps, little Madison buys her mother a walker? Will Rachel instantly understand the intricacies of its function as her daughter once did fifty years prior? Time shall tell.

Moving on to the wonderful world of finance and economics… all of the focus is currently on the Federal Reserve. Having beaten interest rates down to zero and left them for dead for six years in an effort to prevent the market economy from liquidating the cronies, the Fed has recently been talking tough about raising rates. Some say the Fed will follow-through and raise rates next week. Others say by the end of the year. Still others say they can’t raise rates without torpedoing the debt markets. My suspicion is that the economy has become so dependent upon low interest rates that any interest rate hike would be minuscule and nothing but an effort to save face. Continue reading “Why the U.S. Faces a Currency Crisis”

The Great Opportunity for Free Markets

submitted by jwithrow.Free Market

Journal of a Wayward Philosopher
The Great Opportunity

August 26, 2015
Hot Springs, VA

The S&P closed out Tuesday at $1,873. Gold closed at $1,138 per ounce. Oil closed out at $39.31 per barrel, and the 10-year Treasury rate closed at 2.00%. Bitcoin is trading around $229 per BTC today.

Dear Journal,

My last entry suggested that the centralized nation-state model looks to have peaked in the 20th century. I speculated that troubling macroeconomic trends related to government interventions will lead to a “Great Reset” sooner or later – probably sooner – as these massive nation-states are forced to ramp up the printing presses in attempts to service all of their debt and unfunded liabilities.

Today I would like to point out that we are approaching a crossroads and there is a tremendous opportunity for the growth of free markets and prosperity if we can shed the 20th century paradigm of centralization. A great golden age for civilization is staring us right in the face, but few have noticed. Why? Because we have placed too much emphasis on politicians, presidents, elections, and democracy and too little emphasis on individual self-empowerment.

For starters, consider the following advancements: indoor plumbing and electricity, refrigeration, cooking appliances, heating & air systems, local and long-distance transportation, local and long-distance communication, and access to information. Each of these items were non-existent, scarce, or unreliable just one hundred short years ago. Additionally, roughly 40% of the U.S. population was involved in agriculture in the year 1900 in order to produce enough food to meet demand. Today that number is around 2% and food is more available than ever. Fresh fruits and vegetables are available at the grocery store year-round. Also, thanks to technological development, oil and gas are now more abundant and cheaper than ever. This has reduced the costs of production and distribution significantly, and it has created competition for the oil cartels and monopolies that have had a strangle-hold on the industry for decades. Continue reading “The Great Opportunity for Free Markets”

Disintermediate the State

submitted by jwithrow.disintermediate the state

Journal of a Wayward Philosopher
Disintermediate the State

July 15, 2015
Hot Springs, VA

The S&P closed out Tuesday at $2,109. Gold closed at $1,155 per ounce. Oil checked out above $53 per barrel, and the 10-year Treasury rate closed at 2.399%. Bitcoin is trading around $293 per BTC.

Dear Journal,

The Greek banks are still closed as I write to you today. Let’s revisit the timeline real quick:

Saturday, June 27: The head of the government’s coalition ally in Greece advised “Citizens should not be scared, there is no blackmail. The banks won’t shut, the ATMs will (have cash). All this is exaggeration.”

Sunday, June 28: Prime Minister Alexis Tsipras announced that Greek banks would be closed until Monday, July 6. “The bank deposits of the Greek people are fully secure”, he added.

Sunday, July 5: The national referendum on the EU’s proposed bail-out is held. Greek citizens vote “no” emphatically.

Monday, July 15: Prime Minister Alexis Tsipras conceded to a bail-out agreement with the EU consisting of terms very similar to the bail-out Greek citizens voted against ten days prior.

Wednesday, July 15: Greek banks are still closed and there has been talk of a 30% haircut on all deposit accounts in excess of €8,000.

As we can clearly see, the Greek people have been mislead and lied to throughout this entire process. The Greek political class threw the people a bone with the referendum on July 5 to ease some of the discontent and then they proceeded to ignore the results of the referendum entirely. Those of us familiar with laissez-faire philosophy are not surprised by this in the least. Such is the nature of the relationship that exists between governments and citizens everywhere. Continue reading “Disintermediate the State”

Who is John Galt?

submitted by jwithrow.Who is John Galt?

Journal of a Wayward Philosopher
Who Is John Galt?

May 21, 2015
Topsail Island, NC

The S&P closed out Wednesday at $2,125. Gold closed at $1,209 per ounce. Oil checked out at $58 per barrel. The 10-year Treasury rate closed at 2.25%, and bitcoin is trading around $234 per BTC.

Dear Journal,

It has been two months since my previous entry… sorry about that. Little Madison is now seven months old and much of your editor’s time has been spent learning about life from her.

It is simply amazing to watch an infant’s development. One day she is completely immobile and then all of a sudden she is sitting up on her own. Then she is picking up her toys and banging them together. Then she is rolling from her back to her belly and back again while stretching to reach for a toy that is just out of her grasp. And those blue eyes shine with intelligence, curiosity, and love the entire time.

The first thing Madison does when she wakes up in the morning is smile a smile that lights up the room. She is so happy simply to have the opportunity to be here for another day. It’s a shame we adults do not often have that same outlook.

Along with learning from my daughter, I have also spent considerable time over the past two months preparing for the next step of my liberation plan.

As my bio states, I began a transformational journey a few years back in which I walked away from corporate America and moved to the mountains of rural Virginia. Somehow I managed to get wife Rachel to go along with this plan… I think wine must have been strategically involved in the negotiations.

The idea was to purchase a property with a little bit of land in a rural area with a low cost of living to create a higher overall quality of life with less exposure to the fragile monetary system as captained by the Federal Reserve which will one day explode and drastically reduce the quality of life for many Americans.

No one knows when this fraudulent monetary system will crash and burn but I have no doubt that the day is coming. You just can’t create trillions of dollars from thin air and then spend them like they are real money and expect this to work indefinitely. It is a basic principle of the Universe that all actions have opposing reactions in some capacity. Try as they might, the Ivy Leaguers at the Federal Reserve do not have the power to alter reality. They only have the power to kick the can down the road.

Many people are beginning to wake up to this central banking fraud that began in America in 1913 and really ramped up in 1971, and the initial reaction is to push for reform. Some want better people running the system. Others want rules-based policy. Still others want to transfer monetary authority from the Fed back to Congress. Those of us who study Austrian Economics say the answer is to let the free market reign and End the Fed altogether – in a responsible manner if possible.

Alas, the consequences of this reckless monetary policy are now unavoidable whether or not any real change actually occurs. The Federal Reserve’s credit expansion is exponential in nature, as I touched on back in January. More and more credit must be created from nothing just to keep the system afloat. The system teeters on the edge every time the credit slows. One day the system will fall and those who are most dependent upon easy credit, monetary expansion, and the government programs they finance will be in a very unfortunate situation. This is true of individuals dependent upon government programs and it is true of the industries that benefit most from this fraudulent monetary system. The social welfare system, the military-industrial complex, and the financial system will all be decimated as benefits evaporate and jobs go up in smoke. What does the economy look like if social welfare programs, including Social Security, dissipate just as the financial sector freezes up?

As bleak as this is, there are individual solutions available. For me, the solution began with a question: Who is John Galt?

The idea behind my personal exodus from corporate America in a major financial center stemmed from “Atlas Shrugged” by Ayn Rand. Though I fundamentally do not care for Rand’s “Objectivist” philosophy, her portrayal of John Galt in Atlas Shrugged really resonated with me.

A budding engineer in corporate America, John Galt began to see the corrupt political system for what it really was – naked force used against the population for the benefit of the politically connected. Rather than exhaust his energy fighting the corrupt system, John sidestepped it. He moved to a remote location and focused his creative energies on building a better system and he invited others of like mind to join him in this effort.

This idea jumped off the page (and screen) at me. We are all conditioned to fundamentally accept the current system as permanent and necessary therefore any dissent is directed towards either reforming or capturing the system via a political party. This has led to conflict, often violent, throughout modern history as opposing groups vie for political power.

John Galt had the wisdom to reject the use of force as a means of social order so he simply withdrew his consent from the system entirely. He didn’t try to fight the system. He didn’t try to change the system from within. He didn’t organize mass protests against the system. He worked to make the system obsolete by demonstrating a better way of engaging with others in society.

While “Atlas Shrugged” focused on big business tycoons, modern technology today can empower every individual to walk away from the System without necessarily sacrificing their quality of life. I am publishing this journal entry from the beach in Topsail Island, NC but it will be read by people in other parts of the U.S. as well as in other countries. That is a very powerful concept which is unprecedented in history. The internet enables individuals to trade goods, services, and information with anyone, anywhere, at any time. One can even use apolitical digital currency such as Bitcoin to facilitate these transactions. This opens up a whole new world for the enterprising individual!

We are currently at a crossroads where the old ways are transitioning into the new. We do not want to discard the valuable wisdom gained over the past century but we do want to move away from a system that treats individuals like milk cows.

Such a societal transformation can only be done on the individual level; it cannot be forced upon others. The Republicans thought they were leading a revolution back towards limited government in the 80’s when they got Ronald Reagan elected. Instead, deficits and debt skyrocketed under Reagan and the military-industrial complex managed to capture the Republican Party. Likewise, the Democrats thought they were leading a progressive revolution towards egalitarianism and transparency when they got Barack Obama elected in 2008. Instead, the Obama administration has expanded the wealth gap even further by catering to the special interests while being the least transparent administration in history – a very impressive feat considering George W. Bush had just set that record himself over the prior eight years.

The point is, the System is not going to reform or restrain itself. It is going to continue to engorge itself on the American middle class until it blows up. I don’t fault anyone who truly seeks to change the system via the political process, but I am convinced it cannot be done in any meaningful way. The political system can be used effectively as an educational platform, as Ron Paul demonstrated, but not as a tool to structurally restrain the System.

So, to come full circle, I advanced one more step in my personal liberation plan last Friday as I worked my final day as a W-2 employee. Then I took the next logical step – I took my family to the beach.

Next week I will expand upon how I was able to resign from my job and leave the rat race in the rear-view mirror.

Until then the Carolina coast calls…

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Joe Withrow
Wayward Philosopher

For more of Joe’s thoughts on the “Great Reset” and the paradigm shift currently in motion please read “The Individual is Rising” which is available at http://www.theindividualisrising.com/. The book is also available on Amazon in both paperback and Kindle editions.

Individual Solutions: Building Home Resiliency

submitted by jwithrow.home resiliency

Journal of a Wayward Philosopher
Individual Solutions: Building Home Resiliency

February 13, 2015
Hot Springs, VA

The S&P opened at $2,089 today. Gold is checking in at $1,229 per ounce. Oil is floating around $53 per barrel. Bitcoin is priced at $237 per BTC, and the 10-year Treasury rate opened at 2.01% today.

Yesterday we examined the massive credit expansion that has been ongoing for four decades now and we noted that Austrian Economics tells us this won’t end well. We discussed building financial resiliency via a logical asset allocation model as an individual solution to the economic problems we face. But there is more to life than just personal finance.

Home resiliency is about building a self-reliant homestead, no matter the size. This entails having secure shelter with back-up energy sources and access to a reasonable supply of food, water, and basic necessities. The greater your home resiliency, the less you have to worry about external factors; be they natural disasters, financial disruptions, or simple power outages.

We are not talking about doomsday bunkers or expensive power generators; we are talking about simple and reasonable emergency back-up preparations. This is considered weird and looked down upon in modern society today but that is a recent phenomenon. The spirit of self-reliance and rugged individualism permeated American culture from the colonial days on up to the turn of the 20th century.

We see home resiliency simply as a matter of getting back to our individualist roots but it is especially important given current macroeconomic trends as we discussed yesterday. The eventual mass liquidation of debt and malinvestment resulting from four decades of fiat-fueled credit expansion will inevitably lead to disruptions within the financial system. Who knows what other dislocations this will cause in daily life? It would be far better to weather such a storm from within the comforts of your own home with adequate food, water, and energy than to risk being dependent upon external factors for these necessities.

Here are a few ideas to get you started:

Water Resiliency

  • Store as much bottled water as you can. The rule of thumb is that households require one gallon of water per day for each member of the family.
  • Exposure to sunlight will cause problems for water over time so either store water in opaque containers or away from sunlight if possible.
  • It is advisable to employ a ‘rotating’ system whereby you drink your stored water and replace it constantly as you go while maintaining adequate storage.
  • Consider a gravity water filter. These systems fit on your kitchen counter and are capable of filtering water from any source into clean drinking water. We recommend Doulton’s Big Berkey system with ceramic filters, but there are other quality systems available also.
  • Consider setting up a system to catch rain water. Rain water can be used to bathe, water plants, or to filter through your gravity water filter system for drinking.
  • Food Resiliency

  • Maintain a deep pantry. Analyze what you are currently eating and keep two or three times as much in the pantry and freezer. Replace meals consistently so your pantry does not diminish.
  • Supplement your pantry with items possessing a long shelf life like canned goods, beans and rice.
  • Consider investing in pre-packaged food specifically designed for storage. Many of these foods have a shelf life of up to 25 years and are surprisingly appetizing. Some long-term storage items are even certified organic and certified GMO free.
  • Consider planting a small vegetable garden, fruit trees, and/or nut trees depending on your location. Supplementing meals with home grown food is a great way to cut expenses and maintain health.
  • If you do plant vegetables or fruit trees it may be worthwhile to take up canning to store your own food for future consumption.
  • Consider investing in alternative cooking/water boiling sources. Propane grills are a popular option – just be sure to keep an extra propane tank or two on hand.
  • Consider investing in a solar compatible power source. These systems consist of batteries and solar panels. The batteries can be charged via a standard wall outlet or by the solar panels. Any household item can be powered for a period of time by simply plugging it into an inverter which is powered by the batteries. This is a great way to run your refrigerator during a power outage. A portable generator large enough to run the refrigerator/freezer, a few lights and a power strip to charge phones and laptop computers might also be a good option to consider.
  • Seek out local food vendors in your area – butchers, meat markets, farmer’s markets, etc. These are places where you can buy local food that is not as dependent upon the corporate ‘just in time’ process. Not only will this food not be as affected by macro disruptions, but it is also more nutritious as it has not gone through intensive corporate processing.
  • Basic Necessities

  • Make sure you have several alternate heating sources – wood-burning fireplace/stove, propane heater, kerosene heater, etc.
  • Stock up on candles for lighting the home during power outages and consider purchasing a few LED lanterns or oil lamps for lighting as well.
  • Keep a generous supply of lighters and matches on hand.
  • Keep several flashlights handy and maintain a supply of batteries.
  • Store several first aid kits and any medicines your family relies on.
  • Store extra paper towels, toilet paper, soap, toothpaste, dental floss, hand sanitizer, saline, contacts, and any other household item you use frequently.
  • Taking these simple actions will increase your home resiliency immensely. Once these action items are implemented you will:

  • Have drinking water stored for a reasonable period of time.
  • Have the ability to purify water from external sources.
  • Have a deep pantry and the ability to run your fridge/freezer for periods of time during power outages.
  • Have long term food stored away for use if your deep pantry were to be exhausted.
  • Have access to home grown vegetables, fruits, and/or nuts to supplement food storage.
  • Have access to several modern cooking sources in the event of a power outage.
  • Have alternate heating and lighting sources for use in the event of a power outage.
  • Have sufficient household items and cosmetics stored for use if needed.
  • Taking simple steps to build home resiliency does not require a change in lifestyle, and it does not require a tremendous financial commitment. Recent history shows that the majority of people in a given population are nearly 0% self-sufficient and thus experience unfortunate anxiety and discomfort when a major disaster occurs. History also shows that major disasters do occur periodically no matter where you live. It is far better to prepare ahead of time than to be one of the unsuspecting victims who find themselves completely incapable of coping with a disaster in a self-sufficient manner.

    Home resiliency is another individual solution that can help mitigate collective problems. Pair home resiliency with a resilient financial portfolio as we discussed yesterday and you will be more self-reliant than 99% of the population. Then you will be free from worry to focus on those things in life that truly matter.

    More to come,

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    Joe Withrow
    Wayward Philosopher

    For more of Joe’s thoughts on the “Great Reset” and the paradigm shift underway please read “The Individual is Rising” which is available at http://www.theindividualisrising.com/. The book is also available on Amazon in both paperback and Kindle editions.