This page has been archived and commenting is disabled.
The Hidden Motives Behind The Federal Reserve Taper
Submitted by Brandon Smith of Alt Market
The Hidden Motives Behind The Federal Reserve Taper
"The powers of financial capitalism had (a) far-reaching aim, nothing less than to create a world system of financial control in private hands able to dominate the political system of each country and the economy of the world as a whole. This system was to be controlled in a feudalist fashion by the central banks of the world acting in concert, by secret agreements arrived at in frequent meetings and conferences. The apex of the systems was to be the Bank for International Settlements in Basel, Switzerland; a private bank owned and controlled by the world's central banks which were themselves private corporations. Each central bank... sought to dominate its government by its ability to control Treasury loans, to manipulate foreign exchanges, to influence the level of economic activity in the country, and to influence cooperative politicians by subsequent economic rewards in the business world." - Carroll Quigley, member of the Council on Foreign Relations
If one wishes to truly understand the actions behind private Federal Reserve policy, one must come to terms with a fundamental reality – everything the Fed does it does for a reason, and the most apparent reasons are not always the primary reasons. If you think that the Fed simply acts on impulsive stupidity or hubris, then you haven't a clue what is going on. If you think the Fed only does what it does in order to hide the numerous negative aspects of our current economy, then you only know half the story. If you think the Fed does not have a plan, then you are sorely mistaken...
Central Bankers and their political proponents espouse a globalist ideology, meaning, they are internationalists in their orientation and motivations. They do not have loyalties to any particular country. They do not take an oath to any particular constitution. They do not have empathy for any particular culture or social experiment. They have their own subculture, with their own “values”, and their own social hierarchy. They are a kind of “tribe” or “sect”; a cult,if you will, that views itself as superior to all others. This means that when the central bankers that run the Fed act, they only act with the intention to support and promote globalization, not the best interests of America and Americans.
The process of globalization REQUIRES the dissolution of the U.S. economy as it exists today. Period. There is no way around it. America can no longer remain a superpower in the face of what globalists call “harmonization”. The dollar can no longer maintain its petro-currency status or its world reserve status if total centralization under a new global currency is to be achieved. Globalists believe that America must be sacrificed on the altar of “progress”, and diminished into a mere enclave, a feudal colony of a greater global system. The globalists at the Fed are no different.
Once this driving philosophy is understood, the final conclusion is obvious – the Fed exists to destroy the U.S. financial system and the U.S. currency mechanism. That is what they are here for.
This is why the dollar has lost 98% of its value since the Fed was established in 1913. This is why the Fed deliberately engineered the derivatives bubble crisis through the implementation of artificially low interest rates. This is why their response to the crisis was to create yet another massive bubble in stocks and bonds through QE stimulus. This is why the Fed is cutting stimulus today.
How does the taper play into the long running program of dollar destruction and globalization? Let's take a look...
The Multifaceted Taper Strategy
In my article 'Is The Fed Ready To Cut America's Fiat Life Support', and my article 'Expect Devastating Global Economic Changes In 2014', I predicted that a Fed taper was highly likely. Central banks almost always implant policy shift rumors into the mainstream media a few months before they implement them. They did this for TARP, for QE1, QE2, QE3, and the Taper. In fact, the Fed spent the better part of the past quarter conditioning investors to the idea of stimulus cuts, so I was not at all surprised when they followed through.
The Fed has, of course, now announced a $10 billion QE reduction just in time for Christmas and the 100th anniversary of the privately run institution. In the past, I have pointed out the tendency of central banks to enforce detrimental policy changes while the government, the economy and/or the bank itself is in the midst of a major transition. The Fed's taper announcement comes just in time for the end of Ben Bernanke's term as chairman, and the expected nomination of Janet Yellen.
This is done, I believe, because it provides an opportunity to divert blame for a crisis event they know is on the horizon. If attention is ever focused on the Fed specifically for a market downturn or bond disaster triggered by the ever present dollar bubble, Yellen can simply blame the QE policies of Bernanke (who will be long gone), while promising that her “new” policies will surely repair the damage. This placates the public and buys the central bankers time to do even MORE damage.
The taper itself is not just a “head fake”, however. It is a far more complex action. Tapering provides a method of psychologically distancing the Federal Reserve from the consequences of market movements. The banksters are essentially proclaiming to the public that their work is done, they have saved the economy, and now they are moving on, be it only $10 billion at a time. Whatever happens from here on is “not their fault”.
Most alternative analysts expected no taper of QE, and for good reason. While the mainstream touts the propaganda of economic recovery, independent financial experts understand that little to nothing was actually accomplished by the bailouts. Virtually no stimulus was absorbed in a localized way by mainstreet business. Real unemployment counting U-6 measurements still stands at around 20%. Real estate markets and home prices have a received a small boost, which at first glance appears positive until one examines who is actually buying; namely big banks and international investment firms snapping up properties only to reissue them on the market as rentals:
http://dealbook.nytimes.com/2013/06/03/behind-the-rise-in-house-prices-wall-street-buyers/?_r=0
U.S. holiday retail sales and annual retail sales have been the weakest since 2009:
The only thing that QE ultimately accomplished was a spectacular rise in stocks through direct manipulation, which Fed agents like Alan Greenspan and Richard Fisher now openly admit to. The problem is, while gamblers in equities proudly boast about the Fed induced bull run in the Dow and how much money they have made, they remain oblivious to the underlying cost of the charade. Market investors have been enriched, yes, but little do they know that stock legitimacy is about to be sacrificed.
The price to earnings ratio of stocks (the market value of stocks versus what they SHOULD be valued according to the actual earnings of the companies listed) in the S&P 500 today stands at around 15, which is the highest it has been since before the 2008 market crash. Mainstream economists attempt to dismiss the issue by using a 15 year average while claiming that the P/E ratio in 2013 is mild compared to the tech bubble of the late 90's. What they don't seem to grasp is that the market of the past four to five years is an entirely different animal compared to 15 years ago.
Stocks in general have received considerable support through purchases by Fed bolstered banks and the Fed itself, creating an atmosphere of artificial demand for equities using QE fiat injections. Though no full audit of the bailouts exists (TARP is the only measure audited so far), it is projected that the banking sector alone has garnered tens of trillions in Fed fiat, which they have used to bolster their otherwise debt ridden holdings. It is only logical to expect that this capital tsunami has been used by numerous companies as a way to present false earnings. Goldman Sachs, JP Morgan, and Morgan Stanley all reported substantial profits for 2009 while at the same time reporting massive liabilities caused by the derivatives crash so that they could collect on the bailout bonanza.
So which one is it? Are companies making profits, or are they wallowing in insurmountable debt while presenting government stimulus as a form of profit?
What the Fed and corporate banks have done is create a market in which neither earnings, nor stock values can be trusted. The fact that the P/E ratio is higher than it has been since 2008 despite this manipulation should concern anyone with any sense.
Worst of all, the Fed's monetization of U.S. Treasury debt has only expanded while foreign investment in long term debt has contracted. With our official national debt growing by at least $1 trillion per year, our country cannot continue to function without an ever increasing amount of foreign investment, or, Federal Reserve printing. The Fed cannot make cuts to QE if our system is to survive (if you want to call it survival), the Fed must expand QE forever, or at least until the dollar implodes due to hyperinflation.
So then, why has the taper been introduced at all? No one wants it. The government shouldn't want it. Investors certainly don't want it. Our economy is utterly dependent on the opposite. What purpose does it serve?
The assumption has always been that the Fed wants to keep the system afloat. I submit that things have changed. I submit that the Fed no longer wishes to prop up our fiscal structure, or at least, no longer wishes to be seen as propping it up. I submit that the Fed is not pursuing dollar destruction through standard hyperinflation, but rather, they are preparing the U.S. for default, which also will result in currency implosion.
The Taper Parallels
"It must not be felt that the heads of the world's chief central banks were themselves substantive powers in world finance. They were not. Rather they were the technicians and agents of the dominant investment bankers of their own countries, who had raised them up, and who were perfectly capable of throwing them down. The substantive financial powers of the world were in the hands of these investment bankers who remained largely behind the scenes in their own unincorporated private banks. These formed a system of international cooperation and national dominance which was more private, more powerful, and more secret than that of their agents in the central banks. " - Carroll Quigley, Tragedy And Hope
Initial shock over the taper scenario has not sunk into the markets yet (as Zero Hedge points out, the last time a major central bank cut stimulus measures to a dependent country, stocks rallied, then crashed within months). Few people see much difference between $75 billion per month and $85 billion per month, but the size of the cuts is not really the issue. Rather, it is the Fed's act of fading into the background that should concern us.
The taper announcement parallels perfectly with the accelerating debate over the U.S. debt ceiling, and I do not think this is at all a coincidence. Tapering seems inconceivable to many, but for the Fed it makes perfect sense if the goal of the globalists is to generate a default scenario while diverting blame. I believe that Americans are being prepared psychologically for just such an event. Already, the White House is warning that government funding will essentially disappear by the end of February:
http://www.reuters.com/article/2013/12/19/us-usa-fiscal-idUSBRE9BF1FW20131219
The expectation fostered by the mainstream media is that a debt fight similar to the October theater will not happen again. I agree. I believe the next debate will be much worse. The vast majority will assume that the “can” will be kicked down the road again, and they may be right, but given the Fed's behavior, and given that they have begun to taper despite what appears logical, many people may be in for a shock when our government also suddenly decides one day soon to buck assumptions and default rather than prolong the pain.
The full spectrum failure of Obamacare only adds excuse and incentive. There is no longer a legislative centerpiece rationale for further spending. Obama's approval rating is at historic lows for any president. The stage has been set for the most epic of fake political battles.
The Left and Right leadership, at the top of the pyramid, are nothing more than flunkies for the global elite. If globalists have decided that it is time to apply the final death blows to the dollar, default would be the quickest and most efficient way, and political puppetry can easily make it happen. The calamity would be blamed on “partisan bickering” and “government gridlock”, or even the inefficiency of “democracy”. The Fed, with its taper in place and its fake recovery established, would be presented as the only “sane” institution at America's disposal.
Perhaps at this point even more pervasive QE programs would recommence, perhaps not. At bottom, though, the taper is not a peripheral issue. It is an action at the center of a much more elaborate process, an action that seems to have been undertaken in preparation for a larger event. The next year is shaping up to be the most chaotic since the debt crisis began in 2008, and as the situation progresses, the subtleties of the Federal Reserve and the international banks that back it must not go unnoticed, or in the end, unpunished.
»
- 72523 reads
- Printer-friendly version
- Send to friend
- advertisements -
For all the believers in Thermite usage in 9-11 WTC demolition,
Try researching something worse, Micro Nukes demolition explosives.
Cold nuclear Fusion transformed into Hot nuclear fusion in very small package explosives.
Evidence suggests micro nukes used for 9-11 WTC demolition.
Small enough micro nukes to be used in demolition, and small artillery shells.
Careful! Let's not give "pussies" a bad name!
Go long pitchforks, torches and rope.
I think in this revolution, we may need some bigger firepower!
potassium iodine?
Magnesium sulfate!
It's all a big game and it's almost over, this version anyways. We decide where we go after...
This article could not have come to a more inaccurate conclusion.
Whats your conclusion,then. +?
see my reply to Dagny. The middle class was an anomoly. Things are just reverting back to the way they always were.
Thank You...damn that summed up a LOT very well....an elegantly simple description/explanation of observed fact.
Fonzanoon, you are right. Humans have a limited response set, and as a group can only act in predictable ways. However, I think circumstances are different this time, which, in conjunction with predictable limits on human behavior, may indicate a different outcome.
Slavery and feudalism are low embodied energy ways of gaining control over limited thermal energy resources. The middle class was made possible by the discovery of unimaginably large thermal energy resources, ie fossil fuels.
Slavery sickened when it met the steam engine and died when petroleum was discovered. Peak Oil means some enterprising but soulless person should go long on human chattel as a commodity.
Things are different this time because of comets. Please figure out what I'm talking about on your own. Velikovsky is a good place to start. well, I guess things aren't realy taht different. Just the solution this time is relatively more permanent than at most times.
Comet Ison fizzled out.
Velikovsky wrote about Worlds in Collision, in the 1950's,
meaning Planet sized travellers thru the cosmos, not merely comets.
Perhaps Planet X theories ?
Recent speculation about Planet X,
at minimum got the chronology wrong.
Hard to see how Americans can revolt against the coming globalist totalitarianism. Remember that DHS has 8 hollow core bullets for every American; there will be mass genocide unless American go full guerilla. It will be interesting to see when, and if, the full truth about Fukushima reaches the MSM. The fact that all North Americans are being exposed to lethal amounts of radiation, not only in the air and water, but alsoin the food supply, would be a wake up call about the pyschos in power who are purposely hiding these facts.
"Hard to see how Americans can revolt against the coming globalist totalitarianism. Remember that DHS has 8 hollow core bullets for every American; there will be mass genocide unless American go full guerilla."
Never underestimate American ingenuity.
Never underestimate Hollywood ingenuity.
Any society that can believe the government's absolutely ridiculous accounts of Oklahoma City, 9/11, JFK, etc. is too well indoctrinated -- read dumbed down -- to revolt against anything their overlords decide to feed them.
You can thank that wonderful invention (wonderful in its ability to keep the sheep safely corralled), television.
It's getting really hard not to slice one's wrists...
Yahoo Finance 2013 company of the year: Walt Disneyhttp://finance.yahoo.com/blogs/michael-santoli/company-of-the-year--walt...
How fucking absurd can it get?
"Capitalism" is now fully financed by fiat and has a virtual mouse as it's icon of "success!"
And DHS only has around 60k armed agents. Send all of them into active operations south of Mason-Dixon, and you'll be hard pressed to find the survivors after a week.
firstly I agree but on econd thought...
wasn't some such sentiment uttered in the early 1860's?
Not sure how it would play out now, seems from sentiment the pro-gov contingent is basically gov employees and their dependents, everyone else is unofrmly pissed. Even if they are too stupid to know why.
If you want to see the face of modern American fascism, go to your local hospital, and look into the eyes of a middle aged female RN. Tell her you are opposed to vacccinations and brace yourself for the monester that emerges.
The North lost 360,000 men. The nation lost around 700,000. I hope we don't go there again.
Doubt you could cite any facts to support your fantasy of a grass roots revolt, and lots of facts say it's logistically impossible, like .gov being able to field upwards of 3 million armed goons against "the people" if push comes to shove, which it won't, it won't ever get that far, because bottom line the collective motivation for such a revolt just isn't there.
Really,so the govt fucked everything up and now we are going to go along with what they say.The mother fuckers will be hanging from poles.How many people in the military do you think would go along with the criminals who fucked up their future.I used to be anti gun,I have several now and a shit load of ammo,it's not because I live in a bad area.
Nobody will be hanging from poles, you and your false-bravado friends don't have the guts to make it happen.
Dream on, but that's all it is, just dreaming.
Even IF "it" is made to "happen," there's the small matter of what is to come next.
We'd still be broke. We'd still be low on resources. And we'd still be blaming the wrong stuff for our ills. And, we'd be endowed with the attribute of (a real) "killer."
So, do nothing? TROLL (WADR). There is an illusion of being broke, an illusion of limited resources and an illusion of no choice but to be farmed until harvest. Sometimes, even if you think it's a bluff, it's best not to call that hand. Bloodless revolutions happen - check cyberspace.
Who got killed at the Montana Freeman standoff, after which, the feds changed their Waco-style ROE? Trust me, it had nothing to do with the smoldering thoughts of rebellion in the minds and hearts of tens of thousands who were tourists there at that time, nor the tens of thousands more who awaited the call in their home States. Oh wait . . .
Not to mention also that this occurred before folks began to wake up thanks to the Internet, so multiply by a factor of thousands. Be afraid, be VERY afraid. Tens of thousands of feds have joined ranks and we know where that hollow point and the MRAP keys are.
With a username that contains "vet" in it (assuming Veteran rather than veternarian) I could see how you'd be inclined to put it in the context of a shoot-em-up...
BAD SYSTEMS FAIL
There will NOT be any NWO! You can take that to the bank. Everything points against this: the EU is falling apart- Ukraine ran from it, back into the arms of the KGB thugs even! NWO is expansionist and form here on out it's all contraction- there's not enough excess energy to support any necessary infrastructure for such control (did you miss what's happened in Afghanistan?).
It's ALL common sense. Rather than lashing out at monsters (which, even if existed, cannot be dealt with) better to embrace the necessary changes on one's own terms.
"The fact that all North Americans are being exposed to lethal amounts of radiation,"
Sure, Fukushima is fucked and it may very well contribute to our demise, but as it stands we're still alive today. AND, there's not a fucking thing we can do about this "spilled milk." LIFE IS LETHAL!
"the pyschos in power who are purposely hiding these facts."
Again, what good would it do if those folks that you see scurrying to buy the latest iStuff were to be told of the "facts?" If we all stopped operating the trucks and ran screaming to the hills we're likely see a quicker die-off.
I have no fucking idea what the answer is. But I know that we're asking the WRONG questions. I also KNOW that what we've been doing will not continue (let alone expand).
seer is correct.........
''All financial systems have blown up and collapse, everyone in the history of civilization except for the one that is present at the moment and is in the early stages of collapsing.
I have no idea what the question is... let me see the Roman Empire is still coining money. Strange. They all collapse, every single one... doesn't matter what you use as your medium of exchange... collapse. End of story.''
Mako 2010
there will be no new NWO or 'one world currency' to further enslave mankind. The current system (credit/debt money) is collapsing in slow motion and nothing can stop it. Using QE, The elites are just picking the carcass............
Seer
Your points are well taken, but you leave out the most fundamental and most significant piece to our economy and world that isn't functioning at present very well, and is rather heightened and noticible to decades past -that's a "rule of law". The system of laws that were created in this Country are what made it the "sounding board" for the rest of the world and was the genius that brought everyone to this place.
Whether it gets worse or not with our economy is predictable given the lack of justice and egregious unparalleled financial fraud and war crimes we've been witnessing in the last 10 to 15 years alone.
To change it from getting worse you need justice for those that commit the crimes. Without it, or in it's absence...
No Justice. No change. No Peace.
LIFE IS LETHAL!
It certainly is. But the goal of a modern society and an economy with a proven track record is always to mitigate the 'lethal' to the point that it doesn't destroy everything else including itself.
There's your difference.
For anyone listening out there (rap, rap... is this thing on?) I abide by all laws.
That said, it is clear that there are different sets of laws. Further, I believe that it's always been this way: the only thing that changes is who is in which category (Corzine's or some poor shmuck's).
"But the goal of a modern society and an economy with a proven track record is always to mitigate the 'lethal' to the point that it doesn't destroy everything else including itself."
I don't know if there's some unaniumously declared "goal" or not, other than "perpetual growth," but I do agree that we're not predisposed to walk around smashing each other over the head: Peter Kropotkin's Mutual Aid presents a good argument for why humans tend to be more cooperative than combative (in a nutshell: kind of hard to attain 7+ billion of us if we were really hell-bent on killing each other).
Laws, unforunately, require "enforcement." Even though the "creation" or "formulation" of the laws themselves might be trivial in expense, the enforcement of them is not. Because I base everything against what nature an support, always focusing on energy, I don't see how survivable laws can/will be. In no way am I an advocate for no laws (I feel that it's a matter of the people to decide [I just feel that things will be more fragmented than concenrtated, so economies of scale in enforcement is going to drop away]).
In no way am I an advocate for no laws (I feel that it's a matter of the people to decide [I just feel that things will be more fragmented than concenrtated, so economies of scale in enforcement is going to drop away])...
Yes indeed. It's always been about laws and those who are given the mantle of authority to protect and enforce them, especially when they are paid by those they represent to do so.
I don't know if there's some unaniumously declared "goal" or not, other than "perpetual growth," but I do agree that we're not predisposed to walk around smashing each other over the head: Peter Kropotkin's Mutual Aid presents a good argument for why humans tend to be more cooperative than combative (in a nutshell: kind of hard to attain 7+ billion of us if we were really hell-bent on killing each other).
It's funny. I certainly don't see anyone else smashing others over the head other than the United States and it's NATO gang members? Everyone else seems to be abiding by the rules of engagement and international law for the most part to facilitate the pursuit of hapiness goal, but those two I just mentioned seem to be ignoring it especially the "biggest one" with all the stick(s) that has it well written in his Constitution.
If only we could change it before the "biggest one" does something terribly destructive that he and everyone else will regret?
I share in your optimism :-)
All we need is to acknowledge what is already "on the books" Article 1 Section 9, obey it to the letter and we're back in business.
I always appreciate your perspective.
Seer says: There will NOT be any NWO! You can take that to the bank.
Riiiiigggghhht. Prior to 2000, there were four major countries in the Middle East which refused to sign onto the WTO's Financial Services Agreement allowing for foreign ownership of their banks and their acceptance of credit derivatives (Iraq, Libya, Syria and Iran).
Since the Iraqi War and the overthrow of Kadaffi in Libya, there remain only two: Iran and Syria.
Seers seems a mite confused on the facts . . . .
And some people view things in a much shorter timescale.
BTW - If consolidation were occurring as the "West" would like it (the NWO) then Ukraine would have hitched to the EU. There's also Cyprus, which I'd long ago stated would fall back under Russia's "guidance" (Cyprus is just milking the EU right now- when the time finally arrives in which the realities can no longer be disguised as "recovering" we'll see).
BTW2- Yeah, overthrow govts and expect that this will provide a lasting platform. The puppet masters won't be able to continue keeping Iraq and Libya propped up.
NWO includes Russia.
NWO plays the Long Game.
At least until something beyond their control happens.
I work in Silicon Valley,the radiation sensor at work hasn't gone off yet.
Was that sarcasm ?
Is it the Company sensor, or your own private sensor?
Sensor censorship ?
the author makes it sound more complicated than it actually is
and add in the fact that he ridiculously believes the fed is unwinding QE and it sort of makes this article a throw away...and by sort of I mean total. Now watch how fast I get junked by runningman@brandon.com
I didn't junk you, fonz, but I do disagree with you. And, it's just runningman. I have no relation to the author.
fair enough. I will take your word for that from here on out. This is a more reasoned conversation we are having, and I enjoy it fwiw. I disagree with only one aspect here, unfortunately it is a pretty big one.
QE is the life blood right now. Like I said, a control grid has to be in place before anything is "pulled". Saying the Fed is pulling now is as silly as saying the Chinese are going to revert to the gold standard. These guys may be evil, but they're not stupid or suicidal.
And, doesn't it seem odd that back in summer(?) when there was merely talk of taper that the markets started to collapse and now that there's actually supposed to be "tapering" the markets shot UP? I'm thinking that the markets are contradicting this notion that QE is unwinding...
But, buzz, it's necessary to do so in order to sound important (and to garner spare change)!
KILL THEM ALLL.....
or remain slaves...........
Agree 100%
I submit that the Fed is not pursuing dollar destruction through standard hyperinflation, but rather, they are preparing the U.S. for default, which also will result in currency implosion.
No, it won't be "standard hyperinflation", I think we will have global, parabolic, uber leveraged, no-one-gets-out-unscathed hyperinflation the likes of which has never been seen. There are just too many assumptions to expect otherwise - the most glaring being that the PTB have no incentive to continue the can kicking much longer. There is still gobs of wealth to loot here first.
Dagny fwiw I think it's going the other way. There will just be fewer and fewer people able to keep their heads above water as time goes on. Hopefully the ones that drown will just have the courtesy to not make a whole big thing about it so whoever is left can continue to ignore reality until it's their turn.
That is why it is important to exercise great caution when choosing your swimming buddies.
In truth, things never turn out just the way we expect. Damned crystal ball is always on the fritz no matter how hard I shake it.
Full discosure I shorted treasuries 4 years ago and lost my ass. My crystal ball was thrown at the wall a long time ago.
What a shame. Those crystal balls might be a collector's item one day when valued in the new coconuts (global fiat). It wasn't wrong, it was just really really early.
Here are your crystal ball choices:
the 20 answers you can find on the icosahedron inside an 8-Ball:
Signs point to yes.
Yes.
Reply hazy, try again.
Without a doubt.
My sources say no.
As I see it, yes.
You may rely on it.
Concentrate and ask again.
Outlook not so good.
It is decidedly so.
Better not tell you now.
Very doubtful.
Yes - definitely.
It is certain.
Cannot predict now.
Most likely.
Ask again later.
My reply is no.
Outlook good.
Don't count on it.
Those are NOT Crystal Ball Choices. Those are Magic 8 Ball Choices.
Have you got your balls mixed up???
God I'm glad it's not just me. Been short so long I feel like I'm long or some other bluesy title.
As someone who specializes in crystal balls I can tell you that we're trying to blindly pin the tail on the donkey, which is on the other side of the universe...
It's all words about details. As much as I dislike operating on emotions (not my primary mechanism) I can only best describe what will BE via emotional descrition: PAIN. The direction of the rocket matters not so much as where one is standing in relation: if you're standing on top of it -it's "going up [inflation?]"- then PAIN; if you're way from it and it arcs back on to your head -it's "going down [deflation?]"- then PAIN. Now, those "dollars" that represent how we pretty much do everything? they're ROCKETS, and their lifespan guarantees increasingly greater instability.
fonz said it quite well when he said we were heading back to the average. People need to be reminded that most of the world is and has been operating on "average" for quite some time: 750 million folks in India living on $0.50/day; 2/3 of the world's population living on $3/day or less (my wife is from such a place- I live with someone who, though in now way average, KNOWS what you're saying in regards to average).
The scheme was to incite us to mine all the wealth available and offer it up to TPTB (in exchange for various things; for some "trickle-down," for "protection" etc.). And when there's no longer much to mine? Our jobs are finished... we are returned to "average."
You may both be right one sooner than the other. What really matters is we are being kicked to the curb and used just like always. However more of us are awake for the fleecing this time, what can we do about it should be the crux of the conversation.
I think that we've always been just on the "curb," even the "wealthy" are subject to the edge (remove the middle class protection and then their lifestyles become vastly more tenuous).
"However more of us are awake for the fleecing this time, what can we do about it should be the crux of the conversation."
I suggest that there's nothing that can be done about the "fleecing" because we're in essence being "fleeced" of make-believe shit. A good question might be: "What if we're past peak prosperity?" [to borrow from Chris Martenson]
We could resort to "fleecing" "THEM," but which "THEM?" How far back should we go? (some of "THEM" have parashuted out of the limelight)
What if "THEY" don't have enough to make up for our debts?
If we were to somehow get back on "track," would we still be pushing the notion of perpetual growth? (which is, IMO, the core of our ills [Pandora's Box being opened up])
Yeah ok seer I will lay on the floor and flop like a fish.. Or I can go sutainable like you, crazy ass greenie..
I see that you're going to go far- NOT!
Rather than discuss FACTS you're more willing to spend energies on name-caling and such.
WTF don't you understand about the word "sustainable?" What, you would prefer to be un-sustainable? It's a fucking word. I dont' care who the fuck claims it for whatever convoluted purpose. My POINT stands.
If you want to run off and go all John Wayne-like then be my guest. But remember this: I might not be able to tell whether you're one of the "good guys" or not if you come running on my property as such, and I'll assure you that my dog isn't well versed either (or my wife, who requires more "equalization" than I).
Yup, it's an either or situation, black or white. Whatever...
"Central Bankers and their political proponents espouse a globalist ideology, meaning, they are internationalists in their orientation and motivations. They do not have loyalties to any particular country. They do not take an oath to any particular constitution."
So? Pendulums swing in TWO directions.
And, which way would Mother Nature swing things? I'm NOT thinking that "she" agrees with the notion of concentrated power and decreased diversity. (this is why I argue that any NWO ain't going to happen)
why anyone would risk not only the measly 1 or 2 percent interest on these trash bonds but also the very principle? it is unthinkable that the US government would ever default on its debt. but as laid out in this article it is not only possible, but indeed quite probable at this juncture. all the players have to do is what they are best at: infighting, blaming, playing dumb, acting shocked. the world will be so busy bailing water, there will be no time for blame, only survival.
is it any wonder a full court press is being made on PMs? these greedy pricks want to buy in at the lowest price possible, and it's all the sweeter when they succeed in scaring the worthless eaters into selling them theirs. there is no doubt in my mind that gold is going to 2500 to 3000 next year, maybe even much more. a govt default is extremely bullish for PMs.
And a government confiscation of said PM's is very bearish.
haha. How much(.99) physical gold is held in this country worth confiscating to make a difference?
No way they pull the plug, they will QE untill there is a global currency crisis. They will continue to buy real wealth with counterfit FRNs for as long as they can. Wishfull thinking they want to end QE. Other than that great article.
^^^this
If you see them cannibilizing one another you know the end is near.
1212121 12 oclock dinos - jenny jenny jenny jenny 12121212
Nah. I'm not buying this posts guff.
What's really happenning is akin to a couple of drunks driving home after a big party, swerving from one side of the road to the other in an attempt at staying out of the ditch.
The real culprits are all of us.
best comment of the bunch imo. the fed gangsters have allowed the people of the usa to live beyond their means for many decades. our lack of political will and uber complacency is astounding. true, the usa working class is being thrown under the bus for the sake of the kleptocrats but we all buy that slave labor crap and imported oil. we all go to war as mercenaries, we are all mostly as happy as a pig snout-deep in slop and knee deep in mud. when it all comes tumbling down the world will blame the usa populace and the populace will blame the bankers, politicos, and uber-wealthy maggots but we are all to blame.
Yes, very perceptive you two (Blame Crash and buzzsaw99). We can complain and blame others all we want, we can conjecture vast malevolent conspircies (many of which probably do exist); we can ALWAYS blame the "other"...
But, we do share the blame. We elect these assholes, we accept their BS, we do not stand up. Alas, myself included.
NO ONE gets out of here alive.
How can any intelligent, well-informed human being believe that "we elect these assholes"? Doesn't anyone believe in cause and effect anymore?
It's impossible to predict when any individual radioactive atom will decay. It is a certainty, though, that a certain number of those atoms to a high degree of accuracy in a sample will decay in a given length of time. The same is true of humans.
We collectively share some of the blame,
but individually some have none of the blame,
some few have most of the blame,
and most are too ignorant to know they share some of the blame.
TPTB require folks to live beyond their means. It's nothing but a big circle-jerk as we head down the growth drain.
The "American Dream" was nothing more than an exponential function of "perpetual growth on a finite planet." Think Major Kong (Slim Pickens in Dr. Straingelove) as he rode the bomb out the aircraft: Yee-haw!
World wide Central Planning suffers from the same thing as nation-wide Central Planning. The planners are the spoiled brats of their parents and grandparents. Like all inherited elites, they diminish in mental and physical abilities in each generation. Nature always brings changes which are unanticipated and not in their plans. Napoleon changed Europe. Alexander changed the Persian Empire. Genghis changed China. The dinosaurs disappeared. The vandals sacked Rome. Something as simple as an idea can destroy a system. Their system depends on trust,fear and ignorance. ZH hacks at the roots of two.
Their system depends on GROWTH: must have "returns" because they don't actually create anything and must rely on excesses from others to support themselves.
Mother Nature's model of "just enough" will resolve all this... (there is no excess)
Two down-arrows from folks who cannot comprehend that we're on a finite planet! That or they believe that I'm promoting a die-off. Grow the fuck up and understand the difference between message and messenger!
Nature (and history) backs up everything I have to say. And until someone's "god" comes in a changes what nature has always done, well, I hold by my assertions on what reality is.
What happened to Nature's Survival of the Fittest ?
Something is always at the Top of the Food Chain.
The NWO is the Top of the Pyramid.
What happened to the saber toothed tiger? In nature, it's temporarily the survival of the fittest, until conditions change and others adapt better. The only constant in nature is change. Human existence is a part of ever evolving nature. The NWO is the plan of earlier generations. All plans must continually adapt or fail.
if the USD implodes, then the Euro will rocket to infinitum
http://bullandbearmash.com/about/usd/
the folks that created and dismantled Bretton Woods, created this system
it's either the USD or Euro - and there's no game to play if we have one currency - we need them all
Any major currency collapse will take out all other major currencies, just as any big bank failure now will take out all the banks (and this is the reason why billions upon billions continue to be "created" each and every month).
"Real unemployment counting U-6 measurements still stands at around 20%."
U-6 is around 13%. One can make real unemployment any % one wants to, especially if one counts retired people as unemployed.
Are you counting the people that fall of the dole and are no longer being counted as being unemployed?
John Williams of Shadow Stats has total UE in the USA at 20-23%.
Are you counting my son who plays video games when he isn't working for me cash?
If you've got better data than John Williams then perhaps you should share it.
If you think the Fed does not have a plan, then you are sorely mistaken...
And.....that plan is?......sorely missing in the article. A 10B taper is a quantifiable action. Holding rates low is a quanitifable statement. 'bringing down the system' is not a quantifiable prediction and is only slightly better than reading tea leaves and a worse act than John Edwards.
Sure, "quantifiable," but how does one "qualify" it?
I'm NOT being flip. These numbers are based on a fantasy currency- fiat USD. Numbers for numbers sakes, then, is kind of meaningless without being able to actually attach it to some identifiable outcome (and in this case, in my opinion, it's still about keeping the banks' books above water).
If anything, the step-back is being done with the recognition that, if not now then at some time, there won't be enough assets to tack the "loans" to/against. It's like with USTs, if there were a big failure in an auction I'd think that that would look really, really bad. If the Fed was to continue pumping $85 billion/mo and there wasn't $85 billion/mo of available assets to "balance" the books? Well, emperor and no clothes kind of deal...
The "plan" is that they're going to continue to do what the've always done for as long as they can [paraphrasing Daniel Quinn]. The end will come when it's clear that growth can no longer be fabricated. In the meantime we all get to figure out our own futures- and for this (viewing it as such- because, well, I'm an optimist) I "thank" the Fed.
President Jackson wrestled with this elitist plan and averted the outcome at tremendous necessary economic cost in order to preserve the American nation ideal of life, liberty and the pursuit of happiness.
President Jefferson had previously warned us about Central Banks:
"I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs."
Pres. Jefferson's message has long since been suborned. Who will be our President Jackson?
Although I totally agree with the sentiment, Thomas Jefferson did not utter those words. Whoever wrote them was bright.
It just was not Thomas Jefferson.
http://www.monticello.org/site/jefferson/private-banks-quotation
Jackson's "tremendous necessary economic cost" was paid by the Native American population. The "Native American" population of today is America's middle class.
Something's gotta grease the skids!
Well, the MIT article now gives us an insight why JPM derivative, Goldman HFT squid plays, QE via FED/ECB et al, as Google and Facebook and NSA, do what they do.
We are now in the preprogrammed and architectured world of technology led global systems; a command & control, repress and forward guide network in all areas of human endeavour vital to the world economy and socio political construct.
Welcome to the global algo-controlled age, the all knowing pacemaker system that will organise/control how to irrigate the brain, the lungs and the heart of the organic world we call the realm of homo sapiens.
Your WS and surrogate markets belong to the Oligarchical Illuminati all preempted by their powerful data bank fed HFT triggers. Profits for them suckering for crumbs for the non initiated. 'Oh trickle down, smile you clown.'
One world for all, run like a robotic geriatric ward for the sheeple fed on Oligarchy food. For those recalcitrant anarchist libertarians or leftists who spout : guns, gold n lead, it'll be the Cuckoo nest from which nobody flies out, as patrolled by the Drone brigade and tuned into main stream media sirens singing to lobotomise its rebel elements with American Idol, Kim K and Miley C twerking all day long! American prison systems have a bright algorithmically controlled hatchery future!
Our asymmetric wars now fought with Google robotics and MIC droning and lethal laser beaming. Man has found his ubermensch to run his world.
George Lucas, Orwell and Huxley were very prescient.
Yes, is exactly like you say Falak. They control the Whole game and are winning All the battles. BUT they will not win the war.
They cannot print food, and they Certainly cannot print oil.
The parabolic trends of financial debt WILL crash. We ARE running out of cheap energy, They cannot change that. They will not be able to exert control over all of us for ever. No matter how many camera, or drones they have. They are speeding up their game because they Know time is short and much needs to be done. But it will be too late.
Come On PEAK OIL.
Amen; when thieves fall out and the wealth print becomes the Emperor's clothes!
Can you hold off "peak oil" a little while longer? I've still got some land clearing to do!
Unless you can point to a new plentyful supply of cheap, easy oil, please assume that Peak Oil has aleady happened. We are now in the rising cost of production phase of oil supply.
You perhaps missed the recent news story about a New efficient process for turning algae into crude oil in a few minutes in a continous feed reaction vessel, which algae derived crude oil can refined just like petroleum crude oil.
However, sufficent volume of algae supply for oil production may still be a major problem.
Some people have proposed very large self contained closed cycle algae farms in sunny desert regions using recycled water and fertilizer supplies.
All fine and dandy, but what I want to know is whether it'll take Bitcoins!
I was going to write something with a whole load of swear words and disgust for the system but stopped short.
I'm going to be a busy bloke from now till the holiday season has ended and decided to end on a christmas cheer.
I wish all of you bitchez, from the bottom of my heart, a very merry christmas and a happy new year, yes there is gloom and fucking doom surounding us, and yes the sky may fall in, but once again a year has passed. And some of you fuckers have reminded me just how good humanity is, and what it can be when people come together for what is right. I may never agree with many of you, but the opinions and knowledge available through this site ZH has not gone unforgotten, and is enjoyed and relished by humble fuckers like me.
Each and every one of you fuckers deserves a drink on me, including the Tyler Durden who makes this shit show possible.
I salute you all. I wish all of you, whomever you are nothing but the very best for the year ahead.
Seasons greetings from Inthemix96.
:-)
U too Merry xmas and lots of beer!
ditto InTheMix. Seasons greetings and Happy holidays.
Agree completely with your assessment.
Love all you ZH posters, even the ones I don't always agree with.
my only knowledge of u is virtual...
but i sense that u r a good dude...
and although i despise this christmas shit becuase it has lost all meaning and been reduced to more profit for the beasts that have completely raped humanity...
i wish you and ur family well...hope to c u on the other side of this shit sunami.....
Dude, you have style, and that's important in my book. All the best to you as well, and as we say in the old country, "salute a cent'anno." Here's hoping we'll all be here - or in an even better place - this time next year, and for many years after that.
As far as peace and prosperity is concerned, I look at it this way: I will not allow them to win. I will continue to fight in my own way. If it comes to shooting and they get me, I hope to take one or two or more of them with me, along with a few of their drones and robots. If I die fighting, it's a win for me and a good outcome because I won't be around to see the shit happen any more. Never submit.
Sorry for turning good cheer into apocalypse, but with the right mindset, they're one and the same (happy warrior).
Yep and I've been dying to shoot at a small drone with my shotgun.
Yeah...yeah...yeah...Happy Bah Humbug and the best of possible New Years to you as well. Thanks for your "condolences" on all of us other stooges in this game of life.
/sarc
With the aid of football and similar distractions and alcohol and similar mind altering drugs, the holiday season can indeed be merry.
I too enjoy reading ya shit "Fawka"
MXms ITM96 & the rest of ZH Fawkers
Very fucking kind of you! Oh, and Merry Fucking Christmas (and holidays) to you to! :-)
Article started off OK
Then went nowhere
Before diving down the rabbit hole
"Before diving down the rabbit hole"
Where else is the valet to bring the car when that's where we are? </sarc>
Mako from 2010......
''There is no debate over deflation or inflation. It's like having a debate as to whether the Moon is made out of cheese.
The financial system is collapsing, the rate of collapse was slowed by the Federal government but it's still deflating. See government action between July 2008 and April 2009.
See Federal Reserve Z1 report. Worshipping non-existent helicopters is not going to help.''
~~
''You had inflation from 1945 to 2007 of 5.5-15% annually, that stopped by the end of 2007 and went negative in 2009 and continues to be negative. It's simple a fact.''
It's all one big fucking circle jerk.....
Any "so called" collapse will occur right around or after election time of the next POTUS. That way, the one party system can argue with eachother over which fascist, statist, fuckstick Rebloodlican or Democrip created the collapse, and hence forth "their" (wo)man is the better fascist, statist, totalitarian fucking pig to "fix" all problems....that is the right hand waving at all proletarian.
While the proletarian are fist fucking their assholes over the next POTUS, the left hand (the Central Banker fascist pieces of shit) will have a giant middle finger directed at you goy proletarian whilst planning the next Woar, Pillage, and Ass-fucking of whatever remainder there is.
The mind boggling circle jerk of the 95% repeats itself every 4 or 8 years....
"fist fucking their assholes over the next POTUS, the left hand (the Central Banker fascist pieces of shit) will have a giant middle finger directed at you goy proletarian whilst planning the next Woar, Pillage, and Ass-fucking of whatever remainder there is."
way too many rape references........ OVERKILL
unfortunately, describes situation perfectly.
The next move by Janet Fellon will be to increase QE by April at the latest making this article and it's conclusions mute.
Had the markets not jumped for joy I'd have figured you'd be correct, but seeing the markets' reaction I'm not so sure. It's the darndest thing, when they first talked about it the markets when TU; now that they actually do it it's a complete 180! It's not the job of the Fed to be figured out (they're supposed to try and aim for neutrality), but the markets? it's like ALL of the markets lied before or are now lying. (I don't see how there could be inside info that could be spread this widely w/o poking out somewhere.)
I don't know where the author of this article gets a 15 S&P Ratio from? It's much higher.
Here's the Shiller S&P as of 12-20-2013.
"15" just sounds more believable, so much more in "control." If we came out and said that it was "35," or such, we'd hear a LOT of screeching.
@ Seer
I know you're a complex, complicated, compassionate person, that processes every scenario before contemplating rebutal.
Takes one to know one. I'll be saying "Merry Christmas" at 23:59 on the 24th, to all you Bitchez!
That S&P 15 figure must be a revised weather related "median" number? lulz
And, well, I might lash out at folks, but it's not them that I strike, it's "thinking" and "logic." So, for this season for contemplation and rejoicing, nothing but hugs to you and yours YC :-)
Thanks Inthemix96. Merry chistmas and best wishes for you and your family in the new year.
For those with a conspiracy view. http://www.canauzzie.blogspot.ca/
For those without a conspiracy view. "What the Fuck are you doing here?"
Thank you for that! I love simple and sharp, logical retorts!
If the government defaults, isn't it the Fed that will lose? Doesn't the Fed hold Treasury notes? Wouldn't a government default cause a decrease in money supply by wiping out debt and therefore strengthen the dollar?
Treasury notes they bought with money printed out of thin air? I'm pretty sure they don't care. A default would kill the value of the dollar globally. It would lose its world reserve status and all the dollars floating around in foreign banks would come flooding back to the U.S., increasing the money supply in this country by who knows how much. Nothing good would come from it, that's for certain.
The govt can NOT "default!" Especially the one that runs the biggest printer in the world!
I'll stand firm (someone else I know around here has ridiculed me for saying this) in that I believe the Fed will take the hit and that the govt will just resurect some other currency scheme: bankers will be spared, perhaps being reincarnated in some other capacity (I suspect they are being rewarded amply as it stands). The Fed cannot control the people, the govt can: and if you're looking to make a comeback you want the tools to do it- the govt has the most tools.
Absolutely. I spent 8 years calling George W Bush and Elaine Chao liars. The jobs in the US are sent offshore and lied about. The credit card debt usury scam was legislated in the state most favorable to the banks then implemented in the other 49 states AT THE SAME TIME as jobs are sent offshore. Absolute Republican and banker bullshit.
I've already paid off one credit card and I'm a deadbeat to the credit card company. I have more to pay off within the next 6-8 months. I don't vote Republican under any circumstance. US Jobs remaining are in health sciences an a one finger salute to anyone who doesn't figure it out in advance and who doesn't like it. They are lucrative jobs.
I stated here earlier I purchased 9 shirts and a blazer for under $25 at a thrift shop, and that's a one finger salute to the Walton family. Some website showed they had a stock buy back plan and it made them billions in 6-8 months, but they can't afford to pay their US workers. The more this comparison gets known, the more people like more go into Walmart and buy something priced less than a dollar so the Waltons have no profit.
The time for Wall Street might have been while the early colonies were developing. Today, the only use for Wall Street might be in developing countries, where-ever there are any left on the planet. If 49 states don't have Wall Street, then New York State doesn't need it, either. Close the Pentagon and delist defense stocks from all stock exchanges around the globe.
And Obama is Bush on steriods.
And we can thank many of the "drug dealing" during the Bush years for the steroids.
The next POTUS will be yet even more "powerfiul." That's how the exponential function goes. Figuring this out yet?
or you can analyze the same information and come to different conclusion by using a different perspective as FOFOA has done over these past 5 years...
It may not make much difference to holders of physical gold, how they arrived at that decision, but one way is conspiratorial and views bankers as evil cabalists and the other sees them as struggling to keep a dying system together for the benefit of society (granted with significant benefit to the power structure).
The view presented here leaves us to wonder just when the magician will wave the magic wand. The view seen by FOFOA admits that we could face a top down decision but that there are parameters that can be examined to follow the progress of the collapse. We see the depletion of available physical gold as a major limiting factor. When GLD is depleted of it's inventory where will the world's producers get their gold (their real world benefit of production)?
I agree we are facing a major structural change. Seeing demons where there are none is not helpful. It is a rather more plesant experience to use the freegold perspective than to see coniving bankers behind every change in the market....and I believe one can see quite a bit futher into the post collapse future.
Down-voted, for what?
"the other sees them [bankers] as struggling to keep a dying system together for the benefit of society (granted with significant benefit to the power structure)."
That's my take. It's all about programming. The torch is constantly passed down with the guarantee (faulty of course) that it can forever burn. Those responsible for ensuring it continues to burn (those who absolutely require it for their continuied power dominance) have to have a desperate belief in this notion. If there is a faultering it's because not enough is being done, or, that "evil terrorists" are to blame.
Nowhere are we engaging in challenging the real underlying premise: establishing our societies around the notion of perpetual growth on a finite planet. Therefore, in no way will we ever manage to come up with any meaningful "solution."
"I agree we are facing a major structural change. Seeing demons where there are none is not helpful. It is a rather more plesant experience to use the freegold perspective than to see coniving bankers behind every change in the market....and I believe one can see quite a bit futher into the post collapse future."
Only problem here is that of suggesting that the "seeing of demons" is incorrect. There very well may be demons. BUT... as you suggest, it's of little value to be going after them (they're walking dead anyway), better to apply your energies toward the future. Always a good idea to get distance from a pending explosion/crash...
lasvegaspersona
+ 1
I believe that most/much of the Grand Conspiracy Theories, while perhaps true in part, are not where we as individuals should direct our energy and our resources.
Big change is coming. I completely agree that FOFOA has read our plight as well as anyone else I have ever encountered.
We can each defend ourselves and our families against some of the pain to come by owning gold.
Your income tax checks to the IRS go directly to the Fed, 'nuff said......
There was a chart here at ZH the other day that mapped total debt expansion against GDP - the former being exponential, the latter relatively constant at about 1.6%. The ratio of the two implied at sort of debt/equity of about 3.7 to 1, and rising. It demonstrates, if nothing else, that the availability of real collateral is diminishing rapidly relative to debt accumulation. A trigger (and I don't know what that would necessarily be - maybe a 10 yr smashing through 3%), would force a rush to cover of unbelievable magnitude, in my opinion. When we observe debt/equity positions greater than 2 of the businesses we finance, while income is important (in this case GDP), what is by far the most important is the pressure point established by the level of debt pressing against available cash and more importantly the value of the security that is diluted as a result. In short order, without a plan to reduce exposure, we would be forced to pull the pin on the business and demand the loan in the absence of any significant growth in earnings (or in this case GDP). James Grant said it best to Liesman the other day, but, will forever be forgotten when everybody is caught scrambling for the exists: "The FED can change what things look like, but, they can never change what things are." Apart from some of the observations Hussman has made about the stock market presenting an accounting identity back in April 11th or so, Grant's reality check, for me, stands as the most powerful observation made in one sentence this year - that what is real are the only things that matter and that the only thing that matters is what is real.
May 2014 bring the very best to ZH and its many sympathizers who have on so many occassions enahanced the sunshine in my day. God bless.
The pattern is quite clear, and it ALWAYS comes back to "growth."
In order to keep the game of growth going we pulled out all sort of tricks for self-deception. And even while we now see how faulty these tricks are/have been (credit bubbles) we STILL continue to fail to understand WHY we engaged in them.
Why is it that we have to resort to tricks to achieve growth? THE question to ask, then, is: What if it is no longer possible to create growth organically (we can no longer profitably mine/extract natural materials in order to feedstock the growth machine)?
Great that Grant and others note the tricks, but none of them are getting to the core of the issue (and challenging the premise of growth [perhaps it's because, as talking-heads, their existence is only possible by/off of/from growth, that they don't actually produce anything?]).
Apparently some clown beleives that it's perfectly acceptable to fake growth. Can't get through to all folks who have been programmed by Edward Bernays... unicorns will always continue to live in the minds of some...
Merry Xmas to all you fuckers who believe in Santa Claus; that's job creators and so called productive class. Anytime now Santa is going to come through your chimney and give you Kim Kardashian and a wining ticket to next Mega Million....maybe you can also dust-off that Laffter Curve chart while you're waiting for Santa.
MONETARY POLICY = SOCIAL POLICY .
^^^^^^^^^^^^^^^^^^^^^^^^^
Recipients of the social handout of subsidized borrowing costs include : Large Corporations and Federal Gov't ; Funding sources include the saver and the dollar holder.
QE being defacto weak dollar policy benefits mulitnational corporations(greater int'l sales) at cost of wage earner (less global spending power) .
The only reason they will back off QE is when they know QE will be overwhelmed by the bond and/or dollar vigilantes, but they will use a healthy economy as the reason .
Pushing rates this low has little or no effect on economy as even at banks the prime being 3.25% , the banks use loan floors of 4%-5.5% for best borrowers , so the prime is meaning less below 4-4.5% .
QE is nothing more than faking the books of the financials. It's like placing a curtain between us and the "man behind the curtain," or the tide to cover up the naked swimmer- remove these and it's more than clear what is going on, at which time things pretty much collapse.
I do not endorse the actions of QE, but I can totally see the rationale behind it. Further, it's always about being able to take advantage of a given situation: I have by using this time to help distance myself from the Big Collapse (will I have gained enough "distance?" time will tell).
Again, some perspective... This is all about fiat money. From this starting point there's no way of legitimizing anything...
Speaking of your Man Behind the Curtain, the Fed Chair really is the Wizard of Oz , with people fearing the threat of his policy actions way too much on the big screen . True (but false) dependence on monetary policy exists because of the existance of fear and greed- lol but true!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
So much information on the root causes has been disseminated that when the collapse happens the masses will turn on the central banks with a vengenece. They will go first into the pit they are digging for us. Fools!
No, the masses will turn on each other: "it's the fault of the 'illegals';" "it's the fault of the <well, insert just about any scapegoat>." Only a handful of folks will "believe" that it's the central banks: I quoted "believe" because this is not fact, the facts are that they are only integral parts to a System that is based on a faulty premise (perpetual growth on a finite planet); most do no wish to venture past the scapegoating part, in which case the underlying "problem" will never be truly sourced (which will allow for us to re-rack the game).
We can blame who we wish but our enemy to survival will ultimately not be of our choosing. As you mention, who should ever appear on my range will not be met with open arms, just fully loaded ones.
Well if they were published in a book circa 1960 just how hidden are they? And Quigley, who was Bubba Clinton's intellectual idol (as if Bubba Clinton *had* any intellectual idols) thought this was all a good thing, didn't he - judging from Bubba's own words and deeds?
It's all very nutball, but that doesn't mean it isn't largely accurate, and that's the news today, good night.
Bubba and Obama look very similar to me (the main difference being skin color). At their level, academic meritocracy and personal ambition brought them to the attention of "all the right" people. In Bubba's case, he won a Fulbright scholarship to G-town and Quigley. From there, he followed Quigley's trail to Cambridge for all the obvious reasons Quigley recounts -- because Bubba's ambitious. Then, back to the states and an immediate political trajectory. Not to mention a Rockefeller scion at Petit Jean and Stephens, Inc. in Little Rock (Bubba's financial angel).
I'm not a great believer in conspiracy theories. Generally, for my taste, there's too much speculation and not enough hard facts and evidence. And what Quigley writes is more than a bit difficult to accept, but... as it turns out, I've been able to verify many of his statements and claims.
I went to the trouble of tracking down an individual named in a 1960 list of members of the Little Rock Committee on Foreign Relations (there are 38 regional Committees on Foreign Relations in major cities around the US affilated with the Counsel on Foreign Relations in NYC). By 1991-92 he was the political science department chair at the University of Arkansas, Little Rock. And I asked him about the CFR, point blank.
My concerns (about the CFR) could not have been farther from the truth, according to the good professor, whom was still a member in good standing. These were just people interesed in foreign policy getting together once or twice a month to have lunch and talk. Nothing to see here -- so he invited me to a meeting.
I met Hilary there, just six months before Bubba was elected. Also, my publisher (whom I'd never met), and the publisher of another newpaper chain. An ambasador. Two bank presidents and one bank owner. A Stephens heir and a Walton. A couple of oil men. To name just a few, and the room was packed.
I suggest you read Quigley, all 1300 pages, and then turn your attention to a little-known sociological study series (from 1972 to 2004) published under the title Who is Running America by Tom Dye, PhD out of Florida State University. Might just open your eyes...
Somebody please correct me if I'm wrong, but, as I recall, the last raise of the debt ceiling was done with legislation that works out the following way:
Obama, or whosoever is president at the time, tells congress the debt ceiling needs to be raised by X amount, for whatever reasons (not important). Congress does not have to approve it, but, if they object, they'll need a 2/3rds majority in both houses to override a sure presidential veto.
That's how I read it, and here's a good article on the topic written just nine days ago:
http://money.cnn.com/2013/12/19/news/economy/debt-ceiling/index.html
The article says the debt ceiling was "suspended," and I fall to the wisdom of the author.
Thus, any scare-mongreing by the press is pure, unadulterated CRAP. CRAP. CRAP. There will be no debt ceiling debate. Maybe a little noise and ruckus, but the legislators and president all know it's just rhetorical.
And that, my friends, makes this article's conclusion pure fantasy. Fonz, your point has been made. Game, set match. Merry Christmas, bitchez.
Cancel all federal obligations owned by the Fed, let it's charter expire. Have the Treasury issue a new currency.