Guest Post: The Purpose Behind Engineered Economic Collapse

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By Giordano Bruno, of Neithercorp Press

The Purpose Behind Engineered Economic Collapse

“From now on, depressions will be scientifically created.” — Congressman Charles A. Lindbergh Sr. , 1913

Everyone loves money. Even people like myself who abhor the abuse of
money and commerce, who understand the fraudulent nature of the system
we live in, still work hard and save so that we might attain a sense of
stability within that system. Many people see money as a focal point to
their existence. But is it really money that they are after, or is it
something else entirely? In truth, money represents ‘security’ in the
minds of the masses. Money affords us the ability to survive, and the
more of it we have, the safer we all feel. Because we subconsciously
associate the extension of our very life with the variable health of the
economic structure in which we live, we tend to become unwitting
devotees to its continued existence, even if it is corrupt and condemned
to failure. We gullibly deny the system or the currency that supports
it is doomed to the contrary of all evidence because, even though it has
beaten us bloody, we have never known anything else.

In light of this entrenched way of perceiving things, especially in
the U.S., it is difficult enough to convince some people that the
economy is in fact not providing the security they desire, but is
actually destroying their future completely. To explain to them that
this is deliberate, that the economy is designed to self-destruct, that
is another prospect altogether.

Many people hit a proverbial wall on this issue because they simply
cannot fathom that certain groups of men (globalists and central
bankers) view money and economy in completely different terms than they
do. The average American lives within a tiny box when it comes to the
mechanics and motivations of finance. They think that their monetary
desires and drives are exactly the same as a globalist’s. But, what
they don’t realize is that the box they think in was BUILT by
globalists. This is why the actions of big banks and the decisions of
our mostly corporate establishment run government seem so insane in the
face of common sense. We try to rationalize their behavior as “idiocy”,
but the reality is that their goals are highly deliberate and so far
outside what we have been taught to expect that some of us lack a point
of reference. If you cannot see the endgame, you will not understand
the steps taken to reach it until it is too late.

In the past we have covered numerous instances in which global
bankers have admitted to fraud on a massive scale, fraud which is now
crushing our already fragile economy. We have covered the private
Federal Reserve and how it knowingly facilitated the creation of the
housing bubble, as well as how it is now inflating a Treasury bubble
which is soon to implode. We have covered Goldman Sachs and its efforts
to promote and sell toxic derivatives all over the world while at the
same time betting against those derivatives on the open market. We have
covered the manipulation of gold and silver markets by companies like
JP Morgan, which have recently been exposed by whistleblowers and GATA
investigations. And, most importantly, we have executed in-depth
analysis on the growing weakness of the U.S. dollar in preparation for
severe currency devaluation. These revelations raise questions, which
is natural, but they also illicit misconceptions and reckless knee-jerk
reactions, especially when broaching the fact that the illegal
strategies of international banks are part of a greater agenda.

Below, we will examine some of the most common narrow minded
responses to the issue of engineered economic collapse, as well as why
people think the way they do when the “semi-sacred” subject of money is
involved…

1. The economy is too complex to be controlled by just a handful of people…

This response often comes from people who make presumptions on
economics, rather than actually educating themselves on how the system
works. From the outside looking in, the world of finance appears
chaotic; a mixture of mathematical and legal standards swirling in a
void of mass psychology. Many Americans are either frightened off by
the seemingly complicated field of study, or they find it rather boring
and not worth their time. This, however, does not stop them from
assuming that they know how money works.

The problem is that just because a person participates in his economy
daily, it does not mean he has any understanding of how it operates.
Many watch television on a daily basis, but few have any idea how the
picture actually gets onto the screen, or how to fix a television once
it is broken. Sadly, our egocentric culture has led a substantial
portion of the public to imagine that they are experts on EVERYTHING,
and thus, true researchers in the fields of economics and globalism get
reactions like the one above constantly.

At bottom, once all the quasi-technical biz-babble used by mainstream
talking heads is removed from the equation, economics is rather simple.
Supply and Demand will always be at the center of any and every
economy, regardless of the political atmosphere it exists in. These two
fundamental factors can be manipulated to a point, by the creation of
artificial supply, or the conjuring of false demand. This is achieved
in many ways by global bankers, but primarily through domination of the
issuance of currency, the ability to change interest rates at will, as
well as the ability to inject or remove incredible sums of money from
any market.

A perfect example is the suppression of silver prices by JP Morgan:

http://www.zerohedge.com/article/whistleblower-exposes-jp-morgans-silver-manipulation-scheme

Gold and silver represent competing currencies to the fiat dollars
created by the Federal Reserve, and suppressing the value of these
commodities helps to ensure that the public will never see them as a
viable alternative to paper assets. JP Morgan, who along with other
international banks has the ability to throw around massive quantities
of capital wherever they please, suppresses the value of physical silver
by issuing paper securities for silver that doesn’t actually exist
(creating an artificially high supply), and naked short selling silver
markets to drive them lower (creating the false impression of low
demand).

Another good example of economic manipulation is the private Federal
Reserve’s strategy during the 90’s under Alan Greenspan to artificially
lower interest rates, allowing banks to issue credit at historical
levels for over a decade. Linked below is an article from Ron Paul’s
‘Texas Straight Talk’ dated March, 2007, before the housing market even
began its full swan-dive. In it, he discusses the Federal Reserve’s
direct role in the creation of the housing bubble:

http://www.house.gov/paul/tst/tst2007/tst031907.htm

Men like Ron Paul, Peter Schiff, Gerald Celente, Jim Rogers, and many
others were able to predict long before hand that the Federal Reserve’s
actions were creating an explosive mortgage and credit bubble, yet, we
are supposed to believe that the Federal Reserve had “no idea” that
their actions would result in a debt implosion?

Catherine Austen Fitts, former Assistant Secretary of Housing and
Commissioner of the U.S. Department of Housing and Urban Development
under the first Bush Administration stated conversely that the mortgage
bubble was absolutely not an accident, and that she had witnessed
outright and deliberate fraud on the part of the U.S. government and the
Federal Reserve Bank in creating the bubble. The fact that disturbed
her most, however, was her discovery that only a small handful of
international banks were responsible for the perpetuation of toxic
mortgage debt, not just in America, but around the world:

http://solari.com/blog/?p=2058

Goldman Sachs (one of the primary globalist banks involved in the
igniting of the debt crisis) was caught red-handed selling toxic
derivatives to investors and governments all over the planet while at
the same time betting against those derivatives on the market. Goldman
even bet against mortgage securities the bank itself created!

http://www.businessweek.com/news/2010-04-26/goldman-sachs-bet-against-its-own-deals-senate-s-levin-says.html

This is sort of similar to a car maker selling vehicles without brake
lines, then placing bets that their clients will crash and burn.
Essentially, it is blatant and sociopathic fraud! Goldman’s actions
directly contributed to credit collapses in numerous countries,
including Greece, and here in the U.S.

The idea that global banks can turn the economy on and off like a
light switch may be a stretch, but the vast majority of evidence shows
that they do have the ability to shift the direction of markets to a
point, as well as the ability to spur the growth of bubbles that
eventually lead to recessions, depressions, and beyond. In fact, if one
examines the U.S. economy from the inception of the Federal Reserve in
1913, they would find that the past century has been nothing but a
series of engineered equity bubbles designed to slowly hobble, but not
completely cripple, our financial system and our currency, at least,
until recently. Like a steam locomotive on a collision course with a
bottomless canyon, globalist banks can slow or speed up the pace of our
descent, but the final destination never changes.

Now that we have established that market collapses can be created by a
small handful of bankers and done knowingly, lets move on to the next
most common sheeple-like talking point.

2. Yes, international banks triggered the meltdown, but the
“greed of Capitalism” is truly to blame (i.e. Its all the Republican
Party’s fault)…

First off, if you’re parroting the fiscal debate points of two
dimensional socialist gatekeepers like Michael Moore, then you’re
already hopelessly lost in the mind warping hedge maze of the false
left/right paradigm. You should stay as far away as possible from adult
conversions on economics, especially if you plan on associating the
“greed” of capitalism and corporatism with the Republican Party alone.

News Flash! Barack Obama received far more in corporate campaign
donations (including donations from BP and Exxon) than McCain did. Both
Bush Jr. and Obama increased government spending to record levels
meaning Neo-Conservatives are in no way “conservative” (as a true
Republican is supposed to be). Obama has consistently surrounded
himself with banksters and corporate lobbyists, including various
hobgoblins from the bowels of Goldman Sachs. BOTH major parties are
owned and operated by global banks. This is a cold hard undeniable
truth of our political system. There is no way around it. Learn it,
accept it as reality, and stop trying to blame one side or the other for
problems that both sides created! If you cannot do this, your view of
our cultural state of affairs will always be horribly skewed and your
insights on our social problems will be utterly worthless.

While wannabe socialists desperately clamor to point fingers at the
free market ideology as the cause of all our ills, the fact is that none
of us have ever lived in a truly free market system. Since the
inception of the Federal Reserve in 1913, all markets and even our own
currency have become more and more vulnerable to manipulation by the
banking elite. We have lived our entire lives in a rigged market, not a
free market. To blame the very concept of Capitalism for our current
dire circumstances is not only naïve, it is dangerous. Globalists would
like nothing better than to promote the illusion that “too much
freedom” led us to this disaster, and that severe controls must be put
into place to ensure that it “never happens again”.

3. Global banks would never engineer the collapse of the U.S. economy or the Dollar. It makes them too much money…

This often heard song and dance ties in with the number two comment
above. Again, the assumption is that the globalists only do what they
do out of an “uncontrollable greed for money”. This perpetuates a
couple fallacies. First, it encourages the false belief that the end
concern for the Elite is the accumulation of riches. Central bankers
have the ability to PRINT all the money they want from thin air!
Remember, the Federal Reserve has never been subjected to a full audit,
meaning they could easily create billions if not trillions without any
oversight whatsoever. Greed for money, to them, is surely an absurd
notion. What they do want, more than anything else, is social power.
They want control over every living human being without question. All
other concerns are secondary.

The next fallacy underlying the above argument is the conjecture that
the U.S. economy is somehow indispensable to global banks. This is
simply not so. Where we see the economy as an extension of our culture
and ourselves, the Elites see financial systems as mere tools in the
pursuit of a greater goal: World Government. Imagine you are building a
house. Once your saw has fulfilled its intended role of cutting the
wood, do you cling to it, or do you throw it aside and pick up a hammer?
This is how globalists look at financial systems. They are perfectly
willing to cast off the U.S. economy like a snake shedding skin if it
brings them closer to attaining their ultimate aim.

The same goes for the Dollar. The Greenback may be the premier world
reserve currency now, but that can and likely will change very quickly
over the next couple years. The Dollar is a device that has outlived
its usefulness as far as global bankers are concerned. The IMF has on
several occasions made it clear that they eventually intend for the SDR
(Special Drawing Rights) to replace the Dollar as the world reserve
currency, and they have openly admitted that it will one day be
established as a global currency. IMF press releases make this
development sound far off and away, but SDR accumulations by countries
around the world have risen dramatically in the past year. This along
with other factors we will cover (namely China’s preparations to dump
their U.S. T-bond holdings) show that IMF actions indicate they are
preparing for a collapse of the Dollar now!

4. China would never dump U.S. Treasuries because it would hurt them as much as it hurts us…

The theory that China is somehow fused to the U.S. in a kind of
symbiotic seesaw relationship that can never be broken is so ingrained
among mainstream American financial analysts it simply will not die,
regardless of how much contradictory evidence you show them. It really
is like a mental disease which causes MSM pundits to go into involuntary
Tourettic convulsions every time you mention the words “Treasury bond
dump”. America and China are not conjoined twins, and one can survive
without the other. We have covered the China issue over and over again,
and I will not rehash all that evidence here. To lay it out simply:
China has re-engineered its economy towards consumption and importation
rather than relying on exports. The IMF has talked about this on many
occasions with apparent excitement:

http://www.imf.org/external/np/tr/2010/tr072910c.htm

China has also finalized the ASEAN trading bloc which has combined
export markets at least equal to that of the U.S. Meaning, China
already has another place to send its exports besides America.

Most importantly, China must increase their currency’s value if their
new consumer based system is to survive. Allowing the Yuan to rise
sharply in value will revitalize the buying power of the Chinese
populace making greater consumption possible. Indeed, China MUST dump
their Treasury holdings and pump up the Yuan if they are to hold their
economy together. And, the Federal Reserve has given China every reason
to turn its back on Treasuries through never ending liquidity
injections. This is not to say that a U.S. collapse will not affect
them, it would negatively affect the entire world. However, China has
positioned itself to survive, and perhaps even thrive with their
economic expansions into Africa, and their new financial agreements with
Germany.

Finally, the Chinese have been very forthcoming over the past week
about plans to drop Treasuries. China has dumped over 7.7% of their
U.S. T-Bond holdings since January, including the biggest T-bond dump on
record this month. They have openly admitted to a plan to diversify
away from the Dollar:

http://www.bloomberg.com/news/2010-08-17/china-cuts-long-term-treasury-holdings-by-most-ever-as-u-s-yields-decline.html

I’m always fascinated by those economists who vehemently deny China will
ever turn away from the U.S. Dollar while they are doing so right in
plain view. Are MSM analysts simply crazy? I don’t know, but it would
explain a lot…

5. Sure, bankers took advantage, but it’s really the American people’s fault for getting suckered…

Yes, a sizable portion of the American public can be gut wrenchingly
stupid. It hurts my head and my feelings to see people act so idiotic,
it really does. The problem with this argument though is that when it
is taken too far it becomes an attempt to divert blame away from the
criminals and place it on the victims. If you knowingly leave your
front door unlocked in a bad neighborhood and you find your home
ransacked the next day, then you are partly responsible. But, we cannot
forget that the neighborhood is “bad” in the first place because of the
criminals, not the people who don’t lock their doors.

Just because global banks can sucker the public doesn’t mean they
should, or that they cannot be judged for it. The crime ultimately
rests on those men who made the conscious effort to destroy this
country, and the blame rests with them as well. I see the attempt to
parlay the economic collapse into the lap of the American people very
often lately, especially from bankers who now claim that it’s the
American public’s fault entirely. Why? Because they will not spend
more, they will not take on more debt, they will not take on more risk,
and they will not believe hard enough in the recovery that never was.
Imagine a serial rapist behind a podium admonishing women for carrying
pepper spray. It’s eerily similar…

6. Ok, maybe the banks are causing a collapse, but to say the government is helping them is just crazy conspiracy theory…

Why is it that the Federal Reserve has never been fully audited? Why
is it that when Ron Paul tried to pass HR 1207 Federal Reserve
Transparency Bill, it was muddled in committees and then eventually
derailed? Why is it that banks like Goldman Sachs have been caught, yes
caught, setting the stage for an economic implosion in this country,
yet no government indictments have been formed to criminally prosecute
them? Why are these men still roaming free like locusts to continue
pillaging at will? Are we supposed to feel lucky that we get table
scraps like Bernie Madoff behind bars while the Federal Reserve commits
Ponzi fraud on a scale that dwarfs his?

Our government, both major parties, is owned lock stock and barrel.
This is why there are no satisfactory answers for the questions posed
above. Elements of the U.S. Government including almost every president
since 1912 have not only turned a blind eye to Globalist activities,
they have offered their full support to the bankers.

Nixon removed the Dollar from the gold standard in 1971 giving the
Fed free reign to print as much fiat as they wished without limitations.
In 1980 the Depository Institutions Deregulation and Monetary Control
Act was passed placing all banks essentially under the rules of the
Federal Reserve. The Glass-Steagall Act which kept investment banks and
depository banks separate was repealed under a Republican majority in
the Senate, and then finalized by Democratic President Bill Clinton in
1999. 30 years ago, banks that held your home mortgage were for the
most part required to keep that mortgage until it was finally paid.
But, a series of government decisions spanning that period and
influenced by global banks allowed for the “securitization” of
mortgages, leading to the creation of “derivatives”, which were then
used by corporate mobsters like Goldman Sachs to destroy our financial
system. Last, but certainly not least, both the Bush and Obama
Administrations pressured Congress into passing highly unpopular bailout
legislation which basically rewarded the same banks that created the
credit crisis with trillions in taxpayer dollars (yes, the bailouts are
now actually in the trillions, not billions). This led to the coining
of the term “too big to fail” (or “too big to jail”). Our Government
has been nothing but complicit in the banker takeover of this country.
To debate otherwise is to invite embarrassment.

I haven’t even scratched the surface of government involvement in the
collapse of our economy. Cases like the Savings and Loan crisis of the
1980’s led to serious prosecutions and jail time for more than 1100
criminal bankers, but this only caused the government to respond by
changing investigation rules to make it even more difficult to catch the
high level fraudsters in the act! Linked below is an interview between
Max Keiser and bank regulator Prof. William K Black who outlines our
government’s complicity in the breakdown of the country it is mandated
to protect:

http://www.youtube.com/watch?v=5Bf5Frx1lZk

Elites destroy cultures to make way for new philosophies; their
philosophies. Its not so much “conspiracy theory” as it is a widely
admitted methodology. Corporate globalists believe in global government
on their terms and they barely try to hide it. If someone thinks this
sounds “fantastical” then they haven’t been paying the slightest
attention. When one understands how Elites view economy, and realizes
their primary motivations, the fact that they purposely triggered a
collapse is perfectly logical. Nothing besides all out war inspires
more fear and desperation in a society than a financial upheaval. Such
elements on a mass scale allow changes in our collective psychology that
were never possible before. Most people tend to falter under such an
overwhelming threat and turn towards any authority (or fake authority)
to save them from harm. Some people scoff at this idea, but it is
likely they have never actually been in the wake of a real national
catastrophe before. Men, especially those who know little of
themselves, can change quickly in the face of calamity. The Elites
recognize this, engineer tragedy, then waltz into the aftermath to
merrily lord over the rubble.

Will their plan work? I think not, but I’m an optimist (no, really).
The pursuit of total control and total power seems rather infantile to
me, be it on an impressively psychotic level. Although, if we are made
to forget who the real enemy is, then I think they do have a chance at
success. That is how they have remained successful to this point. Only
now does the average man have such immense knowledge at his fingertips,
the knowledge to bring down a line despots and tyrants that have
reigned for centuries. If only the average man was not so easily
deterred by WMD’s (Weapons of Mass Distraction). The Elites will likely
ignite some wars, tempt us into in-fighting, and fabricate enemies like
Al Qaeda out of the ether. As the slogan goes, “Order Out Of Chaos”.
Whatever happens, our eyes must remain fixed on the root of the problem;
the bankers, and nothing else.

Globalists are not invincible, they are not untouchable, they are not
even all that brilliant. They are human, and they have made many
mistakes. The engineering of an economic meltdown really changes
nothing. Hired thugs, useful idiots, corrupt officials, even
hyperinflation, all tiny obstacles when considering the world we could
have if the Elites were finally made to face the reckoning they deserve.
Americans once took on the greatest empire on Earth. We once took a
feared king to task. Are a bunch of frothing corporate bankers really
so daunting? All that is needed is a principled movement with the will
to see justice done, and I believe we have that already.

You can contact Giordano Bruno at: giordano@neithercorp.us