Servias Ministries Blog

For those interested in attending an Internet Conference this weekend, I will be speaking live from my office at the center of the universe- Bethany.  I will start at 2PM Eastern, 1PM Central Time.  They have allowed two hours but I don’t think that I will need near the time slice.  If you want to attend via the Internet, follow the instructions contained in http://www.gods-kingdom-ministries.org/weblog/WebPosting.cfm?LogID=3497

I will be talking about Unity153, Servias Ministries, Biblical Economics, EDS, and of course….. Love.  This is an excellent venue since I don’t have to hop on a plane and travel to Canada,  eh!

On September 12th, the German High Court will decide whether the European Stability Mechanism (ESM) is unconstitutional to German Law.  ESM would transfer German sovereignty to the EU in Brussels.  This decision will have huge implications.  If the High Court decides that the ESM is unconstitutional, the Euro could collapse in weeks.  However, if the Court agrees with the ESM the path is cleared for a European Central Bank to function just like the Federal Reserve Bank.

If you want to track economic activity, you can look at shipping demand.  Pallet manufacturing in the U.S. used to be a primary indicator of economic health.  As distributors ordered more goods from manufacturers, new pallets of goods would be loaded into tractor trailers for shipment.  When the pallet manufacturing went down, you could expect a slowdown in shipments.

As the global manufacturing model became more predominant, the shipping container traffic provided a better view of economic health.  International shippers are in trouble.  Margins are at bare bones levels.  Banks no longer want to finance ships.  Demand out of the U.S. is down 7%.  The oldest shipping line in the world went into liquidation last week.  Now where is that recovery everyone’s been talking about?

See: http://www.telegraph.co.uk/finance/newsbysector/transport/9473476/World-shipping-crisis-threatens-German-dominance-as-Greeks-win-long-game.html

The Internet has allowed experts around the world to publish their opinions for all to read, hear, or view.  What a wealth on knowledge and information!  You can gain knowledge and skill by researching facts, tips, and how-to videos.  The problem is that we need two other facets to round out our life: wisdom and understanding.

I am amazed how people will listen to a wealthy person expounding on a topic where the wealthy person has little or no understanding.  If you became wealthy by building widgets, why should I place any credibility on your speech about global warming?  There is this belief among the masses that a wealthy person must have been “anointed” with understanding in all areas of life.  Wrong!  That person was good at one or two things and applied his skills along with Heaven’s willingness to allow his actions to bring forth wealth.

Over the years we find errors in the logic of experts.  Their formulas for success no longer work.  Their success was only achieved in a short window in time.  The young Bill Gates of Microsoft tried to sell his Windows operating system to IBM for about $70,000.  He needed the money.  IBM passed on the deal and Gates went on to be a billionaire.  He was fortunate they failed to see the potential.  How brilliant was that attempt to sell the one asset that would make you rich?

As for me, I prefer to get my understanding and wisdom from above.  What better source of wisdom and understanding than the One who created Heaven and earth:

Jeremiah 33:25-26 This is what the LORD says: ‘If I have not established my covenant with day and night and the fixed laws of heaven and earth, then I will reject the descendants of Jacob and David my servant and will not choose one of his sons to rule over the descendants of Abraham, Isaac and Jacob. For I will restore their fortunes and have compassion on them.’"

Our Heavenly Father confirmed HIS Covenant with the descendants of Jacob and David.  HIS Covenant with me is as sure as the fixed laws of heaven and earth, day and night.  I trust HIS Word, HIS precepts, HIS Law, and most of all, HIS Love.  Who can compare to the Creator?  Why do men go to and fro looking for the next big thing when you simply can go to your prayer closet and find what you ought to be focused on?  When we truly trust in the LORD with all of our being, we know that we have the wisdom and understanding to guide us through this life.  Does it get any better than that?

In the 1980’s, the Savings & Loan bailout was $150 Billion.

The Enron Era/Dot-Com Losses were $7 Trillion at the end of the 1990’s.

The 2008 Mortgage Bust was $11 Trillion (Household Sector only).

All three of these events had fraud at the core.  The American people are increasing in their lawless conduct and the associated collapses are gaining intensity.  You can see the parallel of this in the Book of Judges.  The people become lawless, they repent, Our Heavenly Father sends a deliverer and returns the land back to normal.  This lasts for short period of time and the cycle starts all over.  The one difference is that deliverance is delayed a little longer each time.

What will trigger the next collapse?  It is like an avalanche waiting to happen.  There will be something to spook the markets and there will be a rush to the exits.  The first guy out will save his principal and feel good about himself.  The next guy will lose a little principal but feel relieved that he is out.  The rest of the herd will suffer losses and begin to sell “grandma’s jewelry” to make margin calls.  That is when it goes systemic.  All paper assets will be at risk when the next collapse occurs.  The Fed will respond by opening the spigots and pouring as much new money into the system in hopes of fighting the landslide.  Which side would you bet on?

If there is no downside to fraud, it will continue and intensify.  The consequences will be dire.

The Olympic Games just concluded with a program of virtual bliss.  At the end of the games everyone felt wonderful.  The flame went out and Brazil now prepares for the 2016 games.  Michael Phelps became the most decorated Olympian ever.  His commercial value will help fund his foundation for kids.  People will buy products and services with the subtle illusion that they will participate in some small way in his success.

Central planners use the collective imagination to sway the population in a certain direction.  They are able to promote regime changes, political power changes in “democracies”, and overall lifestyle preferences.  The global population is growing on an exponential basis but the fossil energy has reached its peak production.  Large financial institutions are deemed to be solvent only by accounting magic as the world focuses on the reunion of the Spice Girls in the closing ceremony.

There is nothing wrong with imagination unless you promote the illusions it paints versus the opposing reality we must all face.  The financial derivatives are still weapons of mass destruction, peak oil has caused my gasoline costs up, and the 2012 extreme heat will force my food costs up.  But look on the bright side,  I have 20 “likes” by others of the picture I posted on Facebook.  Now you tell me… what is most important?  The virtualization of relationships by using technology will further erode our ability to respond to the realities ahead.  Technology as a tool is a great enhancement to our quality of life but it does not replace the base need of face time we need as individuals.

A recent auto dealer commercial suggested that you could have up to $15,000 in negative equity in your current vehicle and would still be able to replace it with a new car.  The lure of a new car is an illusion that will surely not end well for the borrower.  Finance your education because you are assured of a higher paying job with a degree.  A $200,000 debt note for an art major just does not make sense.  Lowering interest rates so people can buy larger houses with greater insurance, taxes, and energy costs is such an injustice to their cashflow future.

Our Heavenly Father blinds the eyes of the population who have moved into judgment.  The lawlessness of the land is unbelievable.  Lying is sanctioned at all levels.  Financial institutions can enslave borrowers without any threat of punishment.  The Federal Reserve can lie about what they did since it is for the “greater good”.  Red lights at intersections are just a suggestion to stop.  Watch out!  Even going to a movie can be hazardous to your health.

What will happen when the Overcomers are given a full measure of the word of Knowledge?  Truth will sweep away the refuge of lies.  When the false gods are removed from the land with extreme prejudice there will be some pain and suffering.  The collective imagination will move toward a collective reality.  People will have to grow up and accept accountability for their lawless actions.  It could be ugly!

I wrote my first computer program in 1971 using 80 column punch cards.  Many of you have never heard of punch cards.  Forty-one years later and the same fundamentals still apply to writing software- you are only as good as your weakest programmer.  Programs are more complex and databases are much larger. 2.5 megabyte disk drives were standard back then.  Storage space was at a premium.  Now disk capacity is cheap, memory is cheap, but errors still occur.

The latest financial exposure is at Knight Capital Group.  A software glitch caused a $440 million loss, or so they say.  Did one single line of code wipe out nearly a half a billion bucks?  Possibly.  Do you think this is the only bad piece of software code out there?  What about the recent double posting of debits for mortgage payments in Great Britain?  Maybe now you can understand why I don’t pay bills online.  Do I really want a third party putting what little cash I have at risk?  The system presses us to go cashless and checkless.  It is to their benefit, not mine.  A check is a tangible contract and is much easier to track than a few bits in a vast computer network created by a debit card.

Do you have most of your stocks in a brokerage account?  If so, third parties can expose you to risk.  That is why I have most of our stocks in certificate form or in direct registration.  As the following article shows, things can go south inside of a week: http://www.reuters.com/article/2012/08/02/us-knightcapital-loss-idUSBRE8710PG20120802

Global risks can increase as quickly.  You have once again been warned.