Insolvency

Wikipedia gives us, the following insight:

"The most common solvent in everyday life is water."

That said, we could say that to be “insolvent” is to be without water, or without sufficient water to meet the need.

From here it is but a short jump to think of things in terms of “liquidity.” The problem with illiquidity, (insolvency) is that indebtedness is like a desert. The rain just disappears into the sand.

Because Federal Reserve money is clouded with debt, no amount of rain from that source can every take away our thirst. What is needed now is real water, real liquidity, not debt liquidity. As the old song says:

What the world needs now, is love sweet love,
that’s the only thing that there’s just too little of...

Returning once more to our last entry:

"THE END FROM THE BEGINNING"

There I am reminded, “never the less I have this against you, you have left your first love, remember the height from which you have fallen, lest I come and take away your candle stick...” Perhaps in this case, that might be the Statue of Liberty or, at least her torch. Perhaps you have already noticed how dark things have become.

The thing that gives new or “first” love its power is the chemistry, the solvency, the liquidity.

That liquidity is still available, but not from the Fed.