Rogue Events

March 7th, 2010

Technical traders, economists, and politicians make decisions on probability and THAT can be a problem.  Man’s reasoning does not account for the unexpected or it would be “expected”.  Our Heavenly Father has the benefit of knowing all things including rogue events, black swans, or tsunamis.  The last several days has been a reminder that unexpected events must be considered.  The Chilean earthquake and more recently a rogue wave hitting a cruise ship are a reminder we must remain vigilant and keep our ears open to what Our Heavenly Father is saying.  See:  http://cnmnewsnetwork.com/11866/cruise-ship-rogue-wave-are-a-bad-addition-to-any-cruise/

On the economic front, there are several “rogue waves” that could affect our financial well being:

Oil Price Spikes- The debate has just about ceased about peak oil.  Most agree that May of 2005 was the peak for conventional oil production.  The only question is how decline in oil production impact the daily price.  Expect price volatility.

Geo-political event- Iran and others are continuing to create a confrontational stance to keep the West from its aggressiveness.  As these countries grow in nuclear capability, they will be less likely to succumb to the pressure of Western leaders.

Ultra high deficit numbers- What happens when we wake up one day and the lenders decide to pull the plug on the borrowers?  Creditor nations will always choose what is in their best interest, not the other party’s.

Terrorist attacks- Terrorists feed on hate and anger.  As long as the Western countries continue to exploit the resources of third world countries, terrorists will seek ways to attack their enemies.  Until Love dissipates the rage and anger, you can be assured that terrorists will plan attacks hoping to cripple Western interests.

Once the rogue wave hit the cruise ship, the vacation was ended and passengers were sent home.  No matter how much analysis is done, there are events the human mind cannot anticipate.  Fortunately, Our Heavenly Father has the complete picture.  Jesus was able to calm the raging storm by revelation.  His ministry was based on Love.  Every action, every word, and every response were done out of Love.  It was not man’s idea of “love” but the real Love emanating out of Our Heavenly Father’s heart.

“Rogue events” will continue to confound mankind.  Man’s ego will continue to be exposed as a poor substitute for revelation from Above.  Instead of walking around as though we are entitled, we should have a humble heart of gratitude.  “Pride goes before destruction, And a haughty spirit before a fall.” Proverbs 16:18

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The Essence of Love

March 5th, 2010

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The Collapse of Complexity

March 4th, 2010

“Complex societies in the ancient world could collapse when the marginal costs of complexity got to the point where the returns on that complexity had vanished: basically, the cost of civilization got too high.” J. Tainter

Having been in the finance and technology arena for 37 years, I am convinced that we are moving toward a tipping point of diminishing returns on investment in complexity.  The output will be worth less than the input.  Our Heavenly Father imparted the word “simplify” to me a few years ago.  That tends to conflict with my expertise in technology… but Father knows best.

The average American has been in an accumulation phase for the last 60 years.  We have built bigger houses, rented offsite storage, added vacation homes, etc.  If each of us were to clean out all items we haven’t used in the last five years, we could probably outfit the population of Mexico with a complete “home” makeover.  Americans have been seeking happiness with “things” and have failed to fill the void with all the toys, trips, and events.  True peace only comes in the presence of Our Heavenly Father.  The Holy of Holies is a great example of simplicity for it was not a cluttered room filled with artifacts gathering dust.  Can you image moving all of your household goods 42 times in 40 years?  Less is more.

The U.S. Government has continued to grow to the point where the sheer weight of the infrastructure is sure to collapse.  The Bernie Madoff scheme was uncovered ten years ago but the SEC could not or would not understand the complexity of the scheme thus they did nothing to stop the scam.  The whistleblower approached them four times with the financial analysis proving Madoff to be a fraud.  The lawyers at the SEC did not understand the analysis and failed to act.  Complexity creates a mysterious and superior illusion that intimidates that average person.  This complexity makes the uneducated person reluctant to challenge the assumptions the complexity was built on.  Therefore, the complexity is perpetuated.  Who wants to read a 1,200 page healthcare bill?  If it’s 1,200 pages, it must be right!  Explain those credit default swaps to me again?

Technology and complexity have failed to win the war against terrorism.  Bin Laden is still out there.  The complex resources of the U.S. have not been able to locate this man for nearly a decade.  If he would just wear that shirt with a red bull’s eye, it would help.

Throwing technology  at the health problems of Americans has done little to improve the “quality” of life.  Ask any chemotherapy patient who lost her hair, vomited up blood after one treatment and spent the night in an emergency room.  Someone yell “Uncle”!  Introducing pharmaceutical toxins or radiation simply forces the body’s immune system to overload.  Technology to remove anything alien to a healthy body would be a better use of investment dollars.  The body is designed to heal itself.  Our Heavenly Father who loves us did not design our body to torture our souls.  Jesus did not become an expert on pharmaceuticals in His ministry.  Tell me again, what is Naproxen sodium?

Funding complexity ultimately forces the government to get creative with our money.  As complexity grows in an exponential fashion, the value of money declines in an inverse relationship.  When I was a kid, my parents owned a drive-in restaurant and we sold five hamburgers for $1.  Cokes were ten cents with the larger ones being twenty-five cents.  Now, those same Cokes are $2 at a restaurant.  We gave you an environmentally friendly paper cup whereas now it is plastic or Styrofoam.  The government can inflate faster than your wage can increase thus you always lose out on inflation.  Retaining value in your savings account is now most challenging.

The speed of collapse may be breathtaking.  The potential financial meltdown of 2008 proved that a “black swan” event can happen without notice, especially to the general public- you and me.  Our sole warning mechanism is our relationship with Our Heavenly Father who is the only one who fully and completely understands the risk of collapse as well as the day of catastrophe.  As we move closer in our relationship with Our Heavenly Father, we position our self to be prepared for anything life throws at us.  Time is short.

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Egocentric Living

March 2nd, 2010

Three aspects of egocentric living are: requirement of a “comfort zone”, constant affirmation, and a bubble of support.

The comfort zone is intended to protect the individual from any outside influence that might weaken the ego or the illusion the person is living under.  This illusion may be a religious doctrine, a philosophy, or protection from emotional pain suffered in the past.

How many times have we anchored our doctrine based on what man said concerning Scripture rather that studying the Scripture for ourselves?  We often think that successful people have all the revelation about Our Heavenly Father.  It is as though their success is attributed to a special anointing therefore every word that proceeds out of their mouth must be true.  We need no intermediary between us and Our Heavenly Father other than Jesus.  Yes, the fivefold ministry is to build us up but it was not put in place as a substitute for our relationship and fellowship with Our Heavenly Father.

Man’s philosophy usually contains some truth or no one would listen.  Often, philosophy is meant to provide answers to mysteries that have not yet been revealed by Our Heavenly Father.  Impatience to know and understand often cause a person to seek out a philosophy to fill the void.  Why not seek out the Creator of Heaven and earth rather than live with a philosophy of another person.

The comfort zone is sometimes surrounded with a wall of protection.  Some extreme emotional pain in the past is often the source of the wall.  Abuse of some type by a loved one can scar a person for life unless that person seeks Our Heavenly Father’s Love to mend the scar and forgive the culprit.  This wall supports the illusion that you will be protected from anyone wishing to hurt you.  However, it only serves to cover up your gifts and calling that are needed by others.  Jesus went to the Cross rather than build a wall of protection.  Paul and other apostles suffered much to bring forth the Gospel yet an isolated case of misuse or abuse can place a calling under a “basket” where no man can see.

A person requiring constant affirmation is filled with fear and uncertainty.  Love has not yet taken root or has been plucked up by some event that has shaken the foundational understanding of the person.  If a person is truly rooted and grounded in Love, fear departs.  There is nothing that can separate that person from Our Heavenly Father’s Love and he or she will not need reassurance from man.  When that Love is deep seated, peace prevails.

The ego builds a bubble of support.  As it develops, time, money, and resources all contribute to support the illusion that the ego wants to project.  It may be a title or an expensive car.  It may be clothes or massive amounts of cosmetic surgery.  On the other hand, it could be deprivation that brings attention to oneself.  The ego will perpetuate whatever illusion that will bring attention to the person and is known by the amount of energy it consumes.  The ego will do whatever is necessary to bring attention to itself.  Love gives, the ego consumes.  You can be around a person for a short time and determine whether they are a “giver” or a “taker”.  The ego will suck the life out of a person at all times.  On the other hand, the universe is waiting to empower the person who guides his life by Love and will provide the resources to perpetuate this reality.

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The Function of Gold

February 28th, 2010

Sometimes, it is best to get back to some foundational understanding about the current monetary system and where it went astray.  Man’s carnal desire to manipulate and control moved us off the gold standard.  The term “good as gold” was used for U.S. currency since you could exchange paper money for the equivalent value of gold bullion.  The problem for those in power, this fixed relationship kept them from manipulating the economy for their own interests.  Gold reserves can only increase about 2% per year from mining.

Gold has no liability attached to it.  What you see is what you get.  On the other hand, fiat currency has the liabilities of the issuing country attached to it.  If a country increases its money printing by 10% relative to the other countries around the world, their currency will be devalued by 10%.  So, if you live in that country, your savings loses 10% in purchasing power.  If you are a borrower, your debt will be paid back in cheaper currency.  Who are the largest borrowers?  The Federal Governments around the world.  Inflation is not measured by price increases but is defined as the increase in money supply.

Gold is anti-inflationary.  You cannot manipulate its value and you cannot increase its supply by the press of a button.  It provides a fixed measure of value and that is why it has been used time and time again as a nation’s currency.  It provides an inherent stability to the monetary system of the country and the globe.

The Genoa Conference of 1922 (April 10–May 19, 1922) was the cause of the Great Depression.  At this conference representatives of 34 countries convened to discuss the Gold Standard and decided to convert to a “Gold Exchange Standard” which effectively double the money supply.  We then had the bubble of the Roaring 20’s which burst, creating the Great Depression.

This was not enough.  The U.S. government decided to seize the gold held by the public and then immediately devalued the value of the U.S. Dollar.  Executive Order 6102 is an Executive Order signed on April 5, 1933 by U.S. President Franklin D. Roosevelt "forbidding the Hoarding of Gold Coin, Gold Bullion, and Gold Certificates" by U.S. citizens.  Executive Order 6102 required U.S. citizens to deliver on or before May 1, 1933 all but a small amount gold coin, gold bullion, and gold certificates owned by them to the Federal Reserve, in exchange for $20.67 per troy ounce. Under the Trading With the Enemy Act of October 6, 1917, as amended on March 9, 1933, violation of the order was punishable by fine up to $10,000 ($166,640 if adjusted for inflation as of 2008) or up to ten years in prison, or both.  Once the gold had been confiscated, the value of the Dollar was changed from $20.67 to $35.00 per ounce.  That’s inflation!  Notice how they used another law redefined to fit their purpose and justification for the confiscation.  There are enough laws on the books to just about do anything imaginable.

The price of gold held steady until France decided it wanted to convert its dollars to gold.  On August 15th, 1971, President Richard Nixon ended the Gold Exchange Standard.  This allowed those in power to exert greater control over the economy without regard to retaining “value” for the common man.  This exploitation has continued and allowed unfathomable amounts of money to be created by the issuance of debt and credit.

We are now in a currency bubble and when you are in the middle of a bubble, you don’t know it.  From the inside of the bubble, you don’t see the reflections of light (revelation) defining the bubble’s size.  Only after the bubble bursts does the size and impact get fully revealed.  Light travels about 6 trillion miles in one year.  I suspect Congress will begin to use the term “light years of debt” instead of $60-70 trillion.  Doesn’t 10 to 12 light years of debt sound smaller and less ominous? 

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Defending a Revelation

February 21st, 2010

One day you are minding your own business and Our Heavenly Father drops a revelation into your consciousness.  What do you do?  This revelation is going to change your life, your friends, your financial decisions, and your basic interaction with mankind.  This revelation may usher you out of your local church congregation.  It may impact your relationships that you have developed over decades.  Do you disregard the revelation so as to have minimal impact on your current life’s ambitions and dreams?

Our Creator knows us all too well.  HE gave us the revelation because HE equipped us before we were formed in the womb to embrace the revelation and carry it forward.  He knew at that time that the adversary in whatever form would test us with trials and temptations to validate our commitment to the revelation.  The Apostle Paul lived this reality.  He was at the top of his “game” when suddenly Jesus appeared and gave him a new revelation.  Uh oh!  First, Paul was blinded.

Acts 9:9   And he (Paul) was three days without sight, and neither did eat nor drink.

That made quite a statement to Paul.  Talk about a course correction, Paul’s life changed in a moment.  His training in the opposition’s camp was now going to be used to spread the revelation of the Gospel of Jesus Christ.  In the following passage, Paul gives an account of the cost of the revelation he received:

2 Corinthians 11:22-33

Are they Hebrews? So am I. Are they Israelites? So am I. Are they the seed of Abraham? So am I.

Are they ministers of Christ?–I speak as a fool–I am more: in labors more abundant, in stripes above measure, in prisons more frequently, in deaths often.

From the Jews five times I received forty stripes minus one.

Three times I was beaten with rods; once I was stoned; three times I was shipwrecked; a night and a day I have been in the deep;

in journeys often, in perils of waters, in perils of robbers, in perils of my own countrymen, in perils of the Gentiles, in perils in the city, in perils in the wilderness, in perils in the sea, in perils among false brethren;

in weariness and toil, in sleeplessness often, in hunger and thirst, in fastings often, in cold and nakedness–

besides the other things, what comes upon me daily: my deep concern for all the churches.

Who is weak, and I am not weak? Who is made to stumble, and I do not burn with indignation?

If I must boast, I will boast in the things which concern my infirmity.

The God and Father of our Lord Jesus Christ, who is blessed forever, knows that I am not lying.

In Damascus the governor, under Aretas the king, was guarding the city of the Damascenes with a garrison, desiring to arrest me;

but I was let down in a basket through a window in the wall, and escaped from his hands.

Over the last year, Our Heavenly Father led me to write a book titled “The Circumcised Heart of Love”.  For the most part, it was quiet while I wrote each chapter.  Once I was ready to prepare the book for publishing, the resistance came.  A blessed sister in Christ was to create the book cover and suddenly, roadblocks cropped up everywhere.  Emergency dentistry and a PC crashing arrived at her doorstep.  After several delays and some intercession, the cover was finished.  The next challenge was to get the book in a publishing format.  During this phase, we have had a number of challenging events to take my focus away from this step.  Within two weeks time, we have had 10-15 events that were various aspects of spiritual warfare.  Fortunately we don’t have a pet or it would have probably passed away during the last two weeks.  The warfare was designed to bring us into submission and despair so that this revelation would not be spread abroad.  Having dealt in spiritual warfare in the past, I was not particularly moved by all of the adversary’s attempts to disrupt the progress.  Am I saying that this book will impact millions?  No.  In fact, I may be the only one it impacts.  Having it published may be a waste of money.  However, just as Paul was led to the utter most parts of the earth and suffered greatly as he spread the Gospel, I am compelled to complete this project as a service to Our Heavenly Father.  I know the revelation needs to come forth and I am called to do my part in planting the seed, no matter how minor it may be.  Revelation is always accompanied by trials and testing so you might as well embrace them.

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Mortgage Crisis continues

February 16th, 2010

The following graph provides a stark reminder that the worst is ahead and not behind us:

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The sub-prime loans will wash out by December 21st, 2012.  Just in time for the Mayan celebration.  Continue the defensive posture necessary to weather the volatility ahead.  Washington has no incentive to provide the raw facts now facing legislators.  Managing perception is their only hope to keep the consumer from totally shutting down discretionary spending.  The following graph provides another view of the relative weakness of sovereign debt:

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The fact that the U.S. is even being considered of having vulnerability is new to many of us.  With the advent of the Internet, money will move away from vulnerability much quicker than in times past.  This will reduce the time frame in which a country arrives at a crisis level.  Years turn into months, months turn into days.  Be prepared for “suddenly”.

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Darkness of Understanding

February 14th, 2010

Ignorance is the state in which one lacks knowledge, is unaware of something or chooses to subjectively ignore information.  This is in contrast to light and revelation.  Darkness first appears in the 2nd verse of the Bible:

Genesis 1:2   And the earth was without form, and void; and darkness [was] upon the face of the deep. And the Spirit of God moved upon the face of the waters

Darkness is not the opposite of light, it is the absence of light, it is nothingness.  Light fills the void of understanding and in Scripture, light or revelation is key to progressing as a pleasing son of Our Heavenly Father.  When a person’s understanding is darkened, he or she is apt to exist in the subterfuge of illusion created in the mind.  This departure from reality can have dire consequences to the individual as well as the loved ones and community in general.  Darkness brings forth gluttony and rebellion.  Today gluttony is known as “addiction”.  Addiction takes on many forms and is best known as drug addiction related to alcohol and pharmaceuticals, and sex.  I would suggest that addiction would also include the quest for money and power and is found in all corners of society.  It is insidious by nature and is as subtle as the serpent itself.  ‘”Addicts” use misrepresentation, subtlety, and manipulation to feed their addiction.  This addiction is centered in the goat-like ego and causes double-mindedness and in turn, instability.  This instability will result in death and destruction thereby leaving in its wake grief and sorrow.

Rebellion is a blatant and defiant act of disobedience.  What always amazes me is when someone openly rejects the GOD of Heaven and Earth as though they have all the revelation and understanding above and beyond everyone else!  This is an act of exalting oneself above the Creator and is the formula for receiving an intense, corrective interview by Our Heavenly Father.  Sustained rebellion is not tolerated in the oneness of the universe that was created in the beginning by the Word of the Lord God Almighty.  King Saul was selected by Our Heavenly Father to rule Israel for a period of time.  However, he became blinded by his own power to the point of rebellion in his calling and anointing; also known as witchcraft:

1Samuel 15:23   For rebellion [is as] the sin of witchcraft, and stubbornness [is as] iniquity and idolatry. Because thou (King Saul) hast rejected the word of the LORD, he hath also rejected thee from [being] king

Rebellion to Divine authority evokes rejection and dismissal of your position or calling.  This is a serious issue for the fruitfulness mandate will be carried out by someone, somehow, but if you fail to bring forth fruit, you will be replaced by one who will.

In Deuteronomy 4:11, the mountain where Moses was to receive revelation from Our Heavenly Father was engulfed in “thick” darkness.  The people had spent the last few hundred years in bondage and had no revelation of Spiritual matters.  Thick darkness separated them from Our Heavenly Father, His Love, and His Law.  His Light was separated from them by thick darkness and they had the inability to see Him.  Only Moses would ascend the mountain and be engulfed in the light and revelation of Our Heavenly Father to the point where his face would shine as an outward sign of receiving the revelation of Our Heavenly Father.

Job 12:22   "He (Our Heavenly Father) reveals mysteries from the darkness And brings the deep darkness into light”

Our focus must be to have the darkness of our understanding replaced with the revelation of the Word of GOD.  Any other pursuit is temporal and will not fill the void where the darkness resides.  Addiction may provide temporary relief only to have its shackles strengthened.  The quest for power and authority even if it is the quest for being one of the “elect” can cause darkness to prevail, being ever so subtle.  Our focus should be reduced to the point of simply having a close relationship with Our Heavenly Father and at His good pleasure, he will exalt us into our calling.  In His Presence is Love and light and there is no darkness of understanding.  The following passage reveals the result of moving into “light” or revelation away from the “darkness of understanding”:

Psalm 112:1-10

PRAISE the LORD!

Blessed is the man who fears the LORD,

Who delights greatly in His commandments.

His descendants will be mighty on earth;

The generation of the upright will be blessed.

Wealth and riches will be in his house,

And his righteousness endures forever.

Unto the upright there arises light in the darkness;

He is gracious, and full of compassion, and righteous.

A good man deals graciously and lends;

He will guide his affairs with discretion.

Surely he will never be shaken;

The righteous will be in everlasting remembrance.

He will not be afraid of evil tidings;

His heart is steadfast, trusting in the LORD.

His heart is established;

He will not be afraid,

Until he sees his desire upon his enemies.

He has dispersed abroad,

He has given to the poor;

His righteousness endures forever;

His horn will be exalted with honor.

The wicked will see it and be grieved;

He will gnash his teeth and melt away;

The desire of the wicked shall perish.

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Arrogance and Ignorance

February 13th, 2010

There are $600 trillion worth of derivative contracts worldwide according to the Bank of International Settlements. In simple terms, derivatives are debt bets between two parties that are very hard to collect on.  According to the Office of the Comptroller of the Currency, the nation’s five largest commercial banks held 95 percent of the $291 trillion derivatives portfolio of the country’s 25 largest bank holding companies at the end of the first quarter. More than 90 percent of those derivatives were in unregulated trading.  See: http://www.huffingtonpost.com/sen-maria-cantwell/wall-street-has-a-gamblin_b_340252.html

Public pensions in the U.S.have a record $2 trillion deficit.  The U.S. debt load now at about $12 trillion will be at least $14.3 trillion by the end of the year.  This does not include unfunded liabilities in excess of $60 trillion.  Forty of the states are in fiscal deficits as well as municipalities within the states. 

Seven states of the forty are California, Florida, Illinois, Ohio, Michigan, North Carolina, and New Jersey. Each has a population above 8 million people and has had to borrow more than a billion dollars, so far, to pay unemployment insurance claims. Each state currently suffers with unemployment levels above 15% as measured by the U-6 measure for the States.  Also, each state is a large net importer of either oil, natural gas, electricity, or all three of these energy sources.  If you consider that true money is “production of human labor and resources”, these states will not fare well in the coming months.

Benjamin Graham’s (Bio) distinction between investment and speculation: investment is the discipline of buying any asset at a good price which protects you from an unknown future, buying with a margin of safety, while speculation, or trading, is the discipline of correctly predicting the future.  Speculation has taken over the markets.

Those in control promise to ‘fix the problem tomorrow’.  Finance ministers and central bankers are exhibiting the behavioral phenomenon of “overconfidence in their future self-control”.   Oscar Wilde said, “I can resist anything but temptation”.  Doing something you know you shouldn’t is easier if you can convince yourself that this will be the last time you indulge, that you won’t do it again.  So we convince ourselves that since we’ll be strong in the future, we can still indulge today thus we delude ourselves into thinking that we will take the more difficult path next time.  The current delusion of the debt problem becomes exponentially more complex when you add in the concept of dependence and addiction, not so much to a substance, but to an idea that we can always print more money.

Our Heavenly Father compels us to decide a direction TODAY, not tomorrow.  We live in the “now” and our actions today determine the direction or our lives.  All of this fiscal irresponsibility will produce death and destruction and the only question is how it will play out and affect each of us on the planet.  The arrogance and ignorance of those in charge believe their own “press”.  As they walk out their “god complex” in their minds filled with illusions of grandeur, the average person is placed in immediate peril without any knowledge or understanding.  Only by repentance will nations return to blessing and sustainable prosperity.

Joshua 24:15  And if it seem evil unto you to serve the LORD, choose you this day whom ye will serve; whether the gods which your fathers served that [were] on the other side of the flood, or the gods of the Amorites, in whose land ye dwell: but as for me and my house, we will serve the LORD.

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U.S. Ranked 16th on List

February 12th, 2010

Credit Suisse issued a report identifying those countries it determined to have the highest risks of default on their sovereign debts. Number 16 on the list was the United States, based primarily on its 2009 budget deficits and government debt.  In Scripture, 16 represents “Love”.  Does this mean that the rest of the world now loves us?

See abbreviated listing (click on picture for larger view):

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