Dystopia is Spreading Across America

Dr. Patrick D. Huff and Dr. Kirk Marshall Clayton, Ph.D., Ed.D., Eds. Bethany Duarte, CRC Consulting, GPS-AG, Inc., Los Angeles, 2021.

Dr. Clayton and I are encouraged to summarize some of the socio-economic research, data, and survey findings presented in our team's recent publication titled Monetary Debasement, What's Behind the Wizard's Curtain? The Race to Replace the USD as a Global Currency, an inquiry into the moral hazards presently facing global leadership. ?

Some of our followers that reviewed the publication and attended our conferences found the research somewhat challenging to comprehend.?As a preface to the research presented, we state that the publication attempted to closely follow the structure of an empirical scientific study best suited for other scientists, researchers, and academics.?In fact, the purpose of the study was to contribute directly to this community by providing data and insights as evidence supporting the study's core hypothesis.?

This article attempts to address some of the questions raised by select senior-level executives, governmental interests, policy developers, the entertainment industry, and international scholars during our group’s private presentations.?These include but are not limited to:

1. How will the emerging economic phenomenon affect my finances?

2. Are we going to be hit with hyperinflation or deflation?

3. Is any of this connected to the government's current and proposed stimulus packages?

4. How is all this affecting the real estate market, particularly housing and the current housing crisis? ???

This 3,890-word article (a 15-minute read) discusses (1) the problem’s background; (2) what role supply and demand play in this phenomenon; (3) if this crisis is not driven by shortfalls, then what is driving it?; (4) what is the worry all about; (5) the dumping of a rapidly declining currency (USD); (6) the global currency reset; (7) the effect of the currency transition; (8) seeking a Safe Haven (hedging against a loss of wealth or redistribution); (9) what If the U.S. Congress approves increasing the debt ceiling?; (10) how will all this affect the new generation of nesters (potential homebuyers) in the U.S. over the next two decades?; (11) conclusions; and (12) recommendations.

1.0 Background

Our research indicates a likely source of the emerging housing crisis in the United States has its roots in several socio-economic plans intended to align the U.S. with what select groups of the global elite have determined the face of America should look like in the next 20 to 40 years.?This master plan has not been a closely held secret for several years now.?In fact, you can read all about it and the full adoption of the program by the U.S. under the title of Agenda 21 as published by the United Nations.[1]? Effectively, the plan is to urbanize the entire U.S. population, reversing or contracting the urban sprawl that commenced post-WWII. Urban and land use master planners of that era would be shocked to witness this redirection and concentration of the population.?In effect, the Agenda 21 project aims to consolidate the population into an environment and lifestyle that is an extension of the ones they are trained to accept on most of America's college campuses.?This master plan essentially provides guidelines towards the enforcement of high density shared living spaces integrated with multi-use facilities (commercial and retail space designed as integrated sub-components) to form a rigid and highly efficient self-contained community space with access to all basic human needs within walking distance.?

Sound good??

There is one problem that can be observed from a psychological standpoint.?These conditions do not fit well with the shifting needs, interests, and desires of highly creative people to fully express (enjoy) their unique individualism. Yet, the elite are promoting this approach to living to maximize their access and exclusive right of enjoyment to spaces that are free of what they commonly refer to as the undesirables.

Why has this happened? The answer lies in part with the desire to explain (clarify) to those baffled as to why the U.S. real estate and equities markets are behaving so abnormally (irrational). The data my team has collected infers this market phenomenon is not the result of a housing shortfall, an observation supported by the fact that some properties purchased or constructed in the United States remain largely vacant upon completion. The approach to real estate as a performing asset represents a new normal in real estate development, investment goals, and hedging against wealth loss during economic episodes of hyperinflation and deflationary trends in the west, particularly in the United States.

2.0 What Role Supply and Demand Plays in This Phenomenon

A shortfall in supply against demand does not drive this crisis. Instead, the rapid escalation of the cost of purchasing or renting a place to live is what is at play.?In short, the price of housing is outpacing the ability of the public to access it.?Worse yet, those that believe they are insulating themselves from this crisis think they are hedging these increases by selling at what they perceive to be top market prices.?However, our research shows this strategy is perhaps short-sided and narrow-focused when placed in the context of emerging patterns or trends.?[2]?

The problem is that present sellers in this market think this condition is temporary.?Additionally, many view their exit from the market as temporary, opting to buy or sell when the market space returns to more normal income-to-spending or earning ratios.?Our research reports that this strategy is perhaps flawed due to the actual forces acting on these markets that are global in both nature and scale.?

3.0 If Not Driven by a Shortfall, Then What is Driving It?

Access to affordable housing is the core issue, but what is driving the pricing up so high when the population in some areas of the country remains stable or is in decline??Why is this happening??

It is simple. The purchase of existing or new construction is being driven by the need to park United States dollars in one of a dwindling number of countries in the world that is open to accepting the currency (USD as a medium of exchange) based on its current and projected store of value over its long-term stability.

This crisis is rooted in and driven by the devaluation of U.S. currency following a pattern of strategic spending abroad (foreign aid, loans, and funded wars and regimes) over a hundred-plus-year period. The goal of spending abroad was to use currency and debt as a weapon to reshape the international environment to one that agrees with a small group of global elitists.?These measures also supported the expansion of U.S. ideologies (democratic regimes or dictatorships) and special governmental and corporate interests to gain access and control over resources, ultimately leading to the takeover and control of any number of opposing or vulnerable lesser sovereigns.??

4.0 What is the Worry All About??

If the U.S. does not raise the debt limit and subsequently default on its debt service, expect the inflow (return) of USDs to the country to increase at a rapid and extreme rate.??One of the ways this will be expressed in the U.S. market will be an immediate expansion in the pricing of real estate, which is essentially a durable good.?In this scenario, I would argue the price of housing in select markets will double every two years (period-over-period) for the next ten to fifteen years.

Our team has data that supports this prediction.?It can be found in volumes I and II of our monetary debasement study. In more exact terms, any properties in these zones currently priced at $800,000 can be expected to sell for $1,600,000 in 24 months from the original purchase date.

The housing crisis in the U.S. is focused on the potential losers during this economic episode.?Essentially, these people are those that are not current homeowners.

A more straightforward scenario used by global economists and non-western academics is the McDonald hamburger commodity price index.?This index helps quickly identify the actual value of a currency in the context of a standardized and commonly desirable commodity.?In this case, a McDonald’s hamburger is sold in many different countries under standardized production and material controls.?What is about to occur in the U.S. is a consumer price inversion where the cost and benefits of this product will exchange values.?In other words, the cost of the $6.50 hamburger in the United States in U.S. currency is going to increase to $8.50 or more. In contrast, the cost for the same product outside the U.S. will fall in non-western countries to the equivalent of $4.50 or below in their respective currencies.?When this occurs, it shows the true value of the USD has fallen against the true value of other foreign and more stable currencies (The Economist, Big Mac Index, 2020).?As the extreme difference between the two currencies is seen, the confidence associated with the upwardly spiraling currency diminishes.?

Most students of U.S. history are familiar with the runs on banks to retrieve depositor’s funds during the 1929 U.S. depression.?This crisis started somewhat slowly and then quickly shifted to outpace the ability of U.S. banks to secure sufficient cash (transfers) rapidly enough to cover the demands placed on them as depositors demanded the return of their funds held by the banks.?

Our research indicates that this is happening now with the value of the USD within the global market space.?Once a tipping point is reached, this phenomenon will make holding the USD as a stock of value riskier and more undesirable than holding the best and most stable alternative foreign currency.?What follows is the rapid dumping of the weaker, less stable currency in favor of exchanging it for the lower risk one in terms of tradable acceptance and loss of stored value.?

5.0 Dumping a Rapidly Declining Currency

After two years of research into the topic of socio-economic trends (global consensus) and the purchasing power of various forms and issuances of money (currency), our team found that since 1912, the United States has embarked on a path of creating and using foreign debt as a weapon to gain influence and control, if not dominance, over certain targeted sovereigns.?The strategy was complex and highly diverse toward eventually establishing a new world order.?This new order would reshape the global narrative, cultures, morals, ethics, and governing controls over populations (governments and corporations)?that were vulnerable, sufficiently under-resourced, or aligned with vulnerable partners or allies.?In many cases, scholars and socio-economic academics define these entities in the three-world theory as third-tier countries.?

USD Sustainable Value and Tradability Against Other Sovereign Currencies

Notes:?1. Other sovereign currencies depicted are those with lesser GDP to debt ratios.?2. Store of value in the scale represents currencies with acceptable trade of value risks that are stable. 3. The dashed lines represent projected trends over the next five to ten years. 4. The overlaid indexes indices indicates the degree of stability, value-to-earnings ratios (or true financial or tradable value), and desirability as a level of retained equity and acceptable risk.?

Interpretative:?As the volume of other stable and trusted sovereign currencies increase, the dominant global reserve currency (USD) will decline. As this occurs, the perceived value of the currency will also drop.?As illustrated, when these volumes become inverted (see the graphic intercept point above), this can be considered a tipping point for the rapid decline in the value and acceptability of the USD for trade and exchange. As the USD value declines to zero, other sovereign currencies will rise as the preferred indicator of value. ??

6.0 Effect of the Global Currency Reset

Put simply, should the predicted series of events that Huff’s team discovered in the course of completing their research continue to emerge along the path the data suggested, the value of the USD will become inverted as a store of value compared to other more stable sovereign currencies.?When this currency inversion occurs, it is expected, at one point, to be both rapid and deliberate.?Additionally, the data predicts that U.S. citizens will not be well prepared for this sudden and disruptive change.?For one, our study indicates U.S. citizens are doubtful this dramatic change will occur.?This belief is partially rooted in the fact that most U.S. citizens haven’t experienced a truly devastating economic collapse in their lifetime.?Adding fuel to this complacency is the belief that the U.S. is the strongest and greatest country globally.?In short, it is generally perceived by the U.S. population that this condition couldn’t occur in the U.S.

7.0 The Effect of the Global Currency Transition

Notes: The graph above indicates how the price of real estate (a U.S. durable good) continues to rise based on the perceived or real value of money within the context of the value of other global currencies.

Interpretative: Assuming an average California house is sold for $800,000 and paid for in USDs, over time, this value, when adjusted to a stronger and more stable (trusted) form of money, can fall to the equivalent of $100,000 as paid in an alternative currency. ?In this scenario, the property value could be interpreted as having been affected by a period of inflation (likely a period of interim stagflation) and ending by being subjected to a period of deflation.?The duration for an asset to pass through these economic cycles can be substantially prolonged (occurring over several years). ?

The prime determinate leading to this assumption of tradable values is based on the premise that as the USD declines in value against other stronger currencies, it will take less of the opposing currency to purchase the same goods by converting to a competing and more stable currency.?

8.0 Seeking a Safe Haven. Hedging Against a Loss of Wealth Loss or Redistribution

One of the socio-economic dynamics playing out in the global market space is storing or protecting accumulated wealth.?In the absence of trading in a currency with a justifiable store of value not subject to manipulation, significant changes in value, or speculation, those with large accumulations of wealth are seeking safe havens (hedges) to protect themselves against a rapidly declining dollar (USD) as compared to other sovereign currencies (digital or otherwise).??

9.0 What If the U.S. Congress Approves Increasing the Debt Ceiling?

The payments owed against the U.S. will be made; however, this will not make the more significant problem disappear.?The international community will likely perceive such an act as reckless and irresponsible.?As with many U.S. policies, the senior leadership views the best way to demonstrate their governing ability is to sweep the major underlying causes of the problem under the carpet instead of addressing their root causes.??

10.0 How will all this affect the new generation of nesters (potential homebuyers) in the U.S. over the next two decades?

Due to the tsunami of USDs being spent back into the U.S. economy by foreign interests and the currency’s accumulation in foreign reserves over the past hundred-plus years, it will take several years for these countries to deplete their holdings enough to charge off the remainder of their USD holdings as worthless.??

The graph below illustrates the build-up of foreign currency trade reserves in relationship to a slow reduction in the volume of USDs held by foreign countries as trading reserves for the past several decades.?

Notes:?The perception of a currency's value by sovereigns within the global trading community generally contributes to the actual value of a given currency.?In addition to several means of assessing the volume of any given money within a market space can and generally does tend to force its desirability and value downward.?The graph above indicates that the volume of the USD is increasing in the global currency space. Therefore, it is becoming less desirable as a holding in terms of its projected value. ?Another means of assessing a currency's value is by using a sovereign's gross domestic product (GDP) to debt as a metric.?

Two problems are occurring: 1. The U.S. continues to introduce the currency into the country and the global markets, thus increasing the total volume of USDs in the global market space; 2. As a result, the U.S. gross domestic product has dropped considerably against other emerging first, second, and third world countries.?

As depicted in the graph above, which assumes the present economic phenomenon will continue, the volumes of the two currency categories will cross at the point where the desirability, relative consumer purchasing power, and the degree of risk in terms of a potential store of value become inverted.

What does this mean??The research suggests that the increased cost of housing is being driven by the return of vast quantities of USD into the economy. It is presently valued as the most readily tradable for durable goods (e.g., real estate) in the United States.?As this continues to escalate, it will serve to inflate the cost of U.S. housing.?This does not mean the housing is increasing as based upon a true value basis.?These values cannot be supported when assessed using an income-to-value appraisement.?In fact, the present cost of housing in many select areas of the U.S. may not appraise for the values they are being sold.?

This economic observance is similar to what is going on in the U.S. equities market space, where few company stocks or bonds are being sold at far greater prices as determined when applying a reasonable price-to-earnings as a metric. The trading prices in both markets are far in excess of the true, calculated value of the equities being purchased.?

One difference is that the stock values will likely collapse and not significantly recover in value; however, the real estate market values will recover as adjusted during the currency transition or exchange to an alternative form of currency.

This transition, or currency reset,?will introduce a new form of currency (likely digital) into play and with wide acceptance once the USD hits the predicted tipping point for the conversion.?

11.0 Conclusions

Given the above information as supported in our publication, our responses to the key questions are the following.

Q. 1. How will the emerging economic phenomenon affect my finances?

A. It depends on how much an individual or organization has diversified its holdings (assets and investments). This may be considered an insufficient answer, but each plan for working through this storm will need to be tailored to the individual and the unique circumstances, needs, and desires at work. As observed from the study, it will be critical for individuals and organizations to increase their relevance and productivity as our society’s needs and required skills transition due to emerging technologies, cultural, and socio-economic transformations.?

Q. 2. Are we going to be hit with hyperinflation or deflation?

A. Our study indicates that the approaching economic phenomenon will likely present both.?The study offers evidence that the U.S. is already in an inflationary cycle. The information we have collected indicates this will continue until it can be defined as hyperinflation. The government is changing its national calculation methods to suppress the discovery and validation of these facts from market data; however, these changes are being observed by statisticians and socio-economic researchers.?Inflation is being observed in terms of corporate attempts to reduce the quantities of products that look or appear to be the same as previously sold while at the same time slowly increasing their pricing.?As usual, the government’s playbook for this is to get the corporations to go along with this deception, ensuring consumer price index watch groups stay distracted or quiet. Interestingly, the current pandemic and the government’s population control measures are being integrated into this manufactured phenomenon.?

Q. 3. Is any of this connected to the government’s current and proposed stimulus packages?

A. Yes. The government, corporations, and the elite owners of our primary organizational systems entered a period of economic stress or declining profitability before the 2008 financial collapse of the banking system. Our study indicates that since the fall of corporate profits and the hit on the elite’s earning, the government has struggled to find a way to institute a correction.?Clearly, these efforts have only led to an ongoing sequence of delay measures, with each round of additional currency expansion exceeding the previous one. As a result, these rounds are redoubling and ever-increasing in amount and demand.

So, what is the government’s plan now to support the elites’ program??Embark on yet another misinformation campaign.?

They will argue that inflation is good and healthy for you and the economy instead of admitting it is a form of unlawful tax. Amidst all of this is yet a more significant problem the government would prefer you not focus on.?While the U.S. government navigates through its economic woes, the rest of the global community, many of which were educated in its highest institutions, view its handling of these matters as dishonest or unethical, lacking moral character and transparency they can support. In short, many in the global community, including third-world fence setters that commonly side with whichever country offers them the most benefits, are decidedly committing to bond with the Far East Bloc. Put another way, the U.S. is rapidly losing world support, trust, and authority despite having one of the greatest military and industrial complexes ever assembled in history. This growing loss of trust and confidence in the United States in the global community is likely causal to the decline and abandonment of the USD as the dominant global reserve currency.

Q 4. How is all this affecting the real estate market, particularly housing and the current housing crisis? Then, asked in a slightly different way, what should America’s middle and lower class expect to experience as associated with the residential real estate market over the next several years???

A. If you are presently a homeowner, it may be wise to remain one.?Our research indicates that global currency markets will drive the price of U.S. housing up exponentially.?Due to the pressures these external forces will place on this market segment, the U.S. could see the price of real estate double or triple over the following few fiscal periods. Due to the nature of this economic climate, it may be unwise to consider your own home as a means of increasing your overall wealth. One would be wise to seek a trusted source or financial advisor before engaging in such an endeavor.?

Additionally, foreign investors are paying cash for the properties they are purchasing.?In addition, they are not concerned about the properties they are buying being occupied or throwing off any sort of income.?This is very similar to what has occurred in China, where entire cities have been constructed and sold as investments to the public.?Many of these cities remain substantially void of occupants and income returns as this article is published.

12.0 Recommendations: Minimizing the Effect on a New Generation of Nesters

Americans should endeavor to increase their knowledge and awareness to properly contextualize the array of socio-economic tactics and overall strategies being put in play.[3,4] These are being supported by the U.S. government’s aggressive activities, executive orders, media campaigns, and the compliance of its corporate partners during this pandemic episode. Americans should also investigate how this is being orchestrated and subsequently viewed as a new world order master plan that is failing in the view of other countries.[5,6]

These countries can no longer be compelled to support the U.S. false ideologies or its corrupt practices as presently viewed. In fact, the U.S. has now exhibited a long history of these immoral and unethical practices. It is not likely the world community will be willing to accept an apology for U.S. actions or believe it will change its course for the better in the future.

We remind our readers of the story about the frog and the scorpion attempting to cross a pond on the same lilly pad where the scorpion suggests the shared journey will be a safe one for the frog.

Unfortunately, the passage did not turn out well for the frog.

This article is submitted for the consideration of our readers, senior executives, policy developers, academics, and fellow researchers. ?A copy of the two-volume research publication referenced in this article can be purchased through Amazon publishing via this link, Books by Dr. Patrick D. Huff . All rights reserved and copyrighted by GPS-AG, Inc.

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[1] Agenda 21 is a comprehensive plan of action to be taken globally, nationally, and locally by organizations of the United Nations System, governments, and major groups in every area in which humans impact the environment. https://sustainabledevelopment.un.org/outcomedocuments/agenda21. Agenda 21 is a comprehensive plan of action to be taken globally, nationally, and locally by organizations of the United Nations System, Governments, and major groups in every area in which human impacts on the environment. https://sustainabledevelopment.un.org/outcomedocuments/agenda21.

The U.S. adoption of this plan was accomplished by executive order without the vote of the U.S. electorate.?To clarify, the United States is a signatory country to the UN’s Agenda 21. Because Agenda 21 is legally a non-binding statement of intent and not a treaty, the United States Senate did not hold a formal debate or vote on it.

[2] There is a race by investors to get in front of the current financial bubble and the pending collapse of the U.S. financial system. This class of investors is advocating making as much income as they can now while letting the social, intercultural, and economic components of U.S. society rest as a peripheral concern.

[3] Review Learning and Forgetting (Smith, F., 1998). The future powers-to-be (Western governments and their global corporate partners) have shown little regard for the pre and post effects on the baby-boomers and post-baby-boomers financial security and critical health care. This is due to the learning and forgetting that occurs as a part of human nature.?Our political and financial leaders take full advantage of this in their plans and tactics. Given this, many of our emerging leaders are trained to follow an approved script as directed by whoever is in charge with little foresight. The focus of this group is to reap as many dollars as they can that serve their own interests and desires. What follows is their intention to leave all others financially and intellectually bankrupt with little to no concern for their health, safety, and welfare.

[4] These conclusions and recommendations are conditionally referenced in the context of the observations extracted from the study’s country focus (the United States). Given this, the study observes that the U.S. does not operate in a socio-economic or political vacuum. Therefore, the research examined potential global influencers and event milestones as a means of metrics and progression analysis.

[5] The information contained in this article is intended to contribute to the scientific, research, and academic communities in order for them to better identify and estimate associated influencers and drivers of the stated phenomenon. Individuals seeking investment, financial, or wealth management advice should do so by contacting licensed?professionals in those areas.?

[6] This research considers a potential transition away from traditional Austrian School and modern (new) neo-Keynesian monetary theories and practices which seek to associate a currency (fiat) with some form of descriptive or prescriptive stores of value (physical, contractual, gross domestic product, or intellectual property). Specifically, the study assumes the possibility that the U.S. may attempt to engage in a massive monetary (economic) experient in order to impose a correction.?Modern Monetary Theory or Modern Money Theory (MMT) is a heterodox macroeconomic theory that describes currency as a public monopoly and that unemployment is evidence that a currency monopolist (hegemony in this case) is overly restricting the supply of the financial assets needed to pay taxes and satisfy previous debtor demands. MMT is opposed to the mainstream understanding and practice of macroeconomic theory and has been criticized by many mainstream economists. That said, it is entirely likely this extreme theory may be attempted in the U.S. as a means of again sidestepping its excessive national debt. The litmus test will be whether the international community will be willing to join in this experiment. Countries that have chosen to act more responsibly in association with balancing their budgets (with physical stores of value on hand) are not likely to accept the U.S. initiative as a means of resolving global debt, trade, and exchange.

MMT argues that governments create new money by using fiscal policy and that the primary risk once the economy reaches full employment is inflation, which can be addressed by gathering taxes to reduce the spending capacity of the private sector. MMT is debated with active dialogues about its theoretical integrity, the implications of the policy recommendations of its proponents, and the extent to which it is actually divergent from orthodox macroeconomics.