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Paul Craig Roberts: The Global Financial System Is "A House Of Cards Resting On Corruption"

Tyler Durden's picture




 

Via Paul Craig Roberts,

As most Americans, if not the financial media, are aware, Quantitative Easing (a euphemism for printing money) has failed to bring back the US economy.

So why has Japan adopted the policy? Since the heavy duty money printing began in 2013, the Japanese yen has fallen 35% against the US dollar, a big cost for a country dependent on energy imports. Moreover, the Japanese economy has shown no growth in response to the QE stimulus to justify the rising price of imports.

Despite the economy’s lack of response to the stimulus, last month the Bank of Japan announced a 60% increase in quantitative easing–from 50 to 80 trillion yen annually. Albert Edwards, a strategist at Societe Generale, predicts that the Japanese printing press will drive the yen down from 115 yen to the dollar to 145.

This is a prediction, but why risk the reality? What does Japan have to gain from currency depreciation? What is the thinking behind the policy?

An easy explanation is that Japan is being ordered to destroy its currency in order to protect the over-printed US dollar. As a vassal state, Japan suffers under US political and financial hegemony and is powerless to resist Washington’s pressure.

The official explanation is that, like the Federal Reserve, the Bank of Japan professes to believe in the Phillips Curve, which associates economic growth with inflation. The supply-side economic policy implemented by the Reagan administration disproved the Phillips Curve belief that economic growth was inconsistent with a declining or a stable rate of inflation. However, establishment economists refuse to take note and continue with the dogmas with which they are comfortable.

In the US QE caused inflation in stock and bond prices as most of the liquidity provided went into financial markets instead of into consumers’ pockets. There is more consumer price inflation than the official inflation measures report, as the measures are designed to under-report inflation, thereby saving money on COLA adjustments, but the main effect of QE has been unrealistic stock and bond prices.

The Bank of Japan’s hopes are that raw material and energy import prices will rise as the exchange value of yen falls, and that these higher costs will be passed along in consumer prices, pushing up inflation and stimulating economic growth. Japan is betting its economy on a discredited theory.

The interesting question is why financial strategists expect the yen to collapse under QE, but did not expect the dollar to collapse under QE. Japan is the world’s third largest economy, and until about a decade ago was going gangbusters despite the yen rising in value. Why should QE affect the yen differently from the dollar?

Perhaps the answer lies in the very powerful alliance between the US government and the banking/financial sector and on the obligation that Washington imposes on its vassal states to support the dollar as world reserve currency. Japan lacks the capability to neutralize normal economic forces. Washington’s ability to rig markets has allowed Washington to keep its economic house of cards standing.

The Federal Reserve’s announcement that QE is terminated has improved the outlook for the US dollar. However, as Nomi Prins makes clear, QE has not ended, merely morphed.

The Fed’s bond purchases have left the big banks with $2.6 trillion in excess cash reserves on deposit with the Fed. The banks will now use this money to buy bonds in place of the Fed’s purchases. When this money runs out, the Fed will find a reason to restart QE. Moreover, the Fed has announced that it intends to reinvest the interest and returning principle from its $4.5 trillion in holdings of mortgage backed instruments and Treasuries to continue purchasing bonds. Possibly also, interest rate swaps can be manipulated to keep rates down. So, despite the announced end of QE, purchases will continue to support high bond prices, and the high bond prices will continue to encourage purchases of stocks, thus perpetuating the house of cards.

As Dave Kranzler and I (and no doubt others) have pointed out, a stable or rising dollar exchange value is the necessary foundation to the house of cards. Until three years ago, the dollar was losing ground rapidly with respect to gold. Since that time massive sales of uncovered shorts in the gold futures market have been used to drive down the gold price.

That gold and silver bullion prices are rigged is obvious. Demand is high, and supply is constrained; yet prices are falling. The US mint cannot keep up with the demand for silver eagles and has suspended sales. The Canadian mint is rationing the supply of silver maple leafs. Asian demand for gold, especially from China, is at record levels.

The third quarter, 2014, was the 15th consecutive quarter of net purchases of gold by central banks. Dave Kranzler reports that in the past eight months, 101 tonnes have been drained from GLD, an indication that there is a gold shortage for delivery to physical purchasers. The declining futures price, which is established in a paper market where contracts are settled in cash, not in gold, is inconsistent with rising demand and constrained supply and is a clear indication of price rigging by US authorities.

The extent of financial corruption involving collusion between the mega-banks and the financial authorities is unfathomable. The Western financial system is a house of cards resting on corruption.

The house of cards has stood longer than I thought possible. Can it stand forever or are there so many rotted joints that some simultaneous collection of failures overwhelms the manipulation and brings on a massive crash? Time will tell.

 

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Sun, 11/16/2014 - 21:30 | 5455719 TeethVillage88s
TeethVillage88s's picture

Albert Edwards, a strategist at Societe Generale, predicts that the Japanese printing press will drive the yen down from 115 yen to the dollar to 145.

This is a prediction, but why risk the reality? What does Japan have to gain from currency depreciation?

Answer: Their Zaibatsu & their Executives Benefit and are the Elite. The US Zaibatsu benefits in the same way.

- Our Biggest Corporations do well enough to sustain Giant Compensation Increases & Bonuses for the Private & Public Executives.

Sun, 11/16/2014 - 21:48 | 5455760 J S Bach
J S Bach's picture

"Can it stand forever or are there so many rotted joints that some simultaneous collection of failures overwhelms the manipulation and brings on a massive crash? Time will tell."

 

Paul... you know the answer to that question.  Can an airplane remain in flight forever, or must gravity eventually bring it back to earth?  This is the answer to your query... but, you already knew that.  Why the pretense?

Sun, 11/16/2014 - 22:54 | 5455956 swmnguy
swmnguy's picture

You make a very good point, but don't compare the physics of natural laws, such as momentum and gravity, with completely abstract man-made systems with rules that can be changed whenever it suits the Elites.  The manipulation will crash when a critical mass of people refuse to acknowledge it anymore.  That could be tomorrow, or it might never happen.

Mon, 11/17/2014 - 00:41 | 5456187 TeethVillage88s
TeethVillage88s's picture

True.

Mon, 11/17/2014 - 06:05 | 5456476 Tall Tom
Tall Tom's picture

Just remember kiddies...Compliance and complicity have the same Latin root.

 

When enough of you decide to not comply then it all comes crashing down.

 

Stop being complicit in the dishonesty and fraud.

 

Remember also that 'V' is for Vendetta.

 

And that awaits the complicit.

 

Good movie. It puts the Ebola Virus in context.

 

(Yes...That is how they will do it. Kill as many as possible and take the assets.)

Sun, 11/16/2014 - 21:44 | 5455756 Hulk
Hulk's picture

Lets hope...

Mon, 11/17/2014 - 03:02 | 5456354 JustUsChickensHere
JustUsChickensHere's picture

Cog .... can you get a BitPay account and do the really easy change to your website to also accept Bitcoin ...... international readers and privacy aware people may prefer this.

(PS: There are choices other than BitPay, I just know that they work fine and are dead easy to integrate into your website... and you can be paid in FRN transparently if you choose)

 

Mon, 11/17/2014 - 03:01 | 5456355 JustUsChickensHere
JustUsChickensHere's picture

Cog .... can you get a BitPay account and do the really easy change to your website to also accept Bitcoin ...... international readers and privacy aware people may prefer this.

(PS: There are choices other than BitPay, I just know that they work fine and are dead easy to integrate into your website... and you can be paid in FRN transparently if you choose)

 

Sun, 11/16/2014 - 21:18 | 5455664 toady
toady's picture

There's no way it can continue, yet it does.... At some point it WILL break, but when? Just be ready when it does. That's the only advice I can give you.

Sun, 11/16/2014 - 21:28 | 5455704 gatorengineer
gatorengineer's picture

Define ready...... more importantly how do you know that it hasnt already?  seriously...

I had a long talk with a friend and he believes it has fallen over, I look at mall vacancies 45 days before christmas, etc, etc.  Lots of retailers selling blackfriday deals real early this year.  If Christmas busts, and say KSears, Penney's and a few other go away, that will make it a little more obvious. 

We may very well find ourselves in a 1929 situation with 4% unemployment and DOW 25,000, and 2.5% fabricated GDP.

 

Sun, 11/16/2014 - 21:37 | 5455737 Philo Beddoe
Philo Beddoe's picture

I tried explaining the cental banker bullpen to my Dad. I think he got it when I told him they are all throwing spitballs....legally. 

http://en.wikipedia.org/wiki/Spitball


Sun, 11/16/2014 - 21:38 | 5455742 KnuckleDragger-X
KnuckleDragger-X's picture

Come February when the 4th quarter reports are known, I expect to see a flood of bankruptcy filings and then we get to see what market panic really looks like. Your friend is seeing what far too many people are refusing to notice.

Sun, 11/16/2014 - 21:46 | 5455758 Uber Vandal
Uber Vandal's picture

@ gator:

How about sub 4% unemployment, due to people being employed, such as the shocking conversation I had with my cousin recently who works retail.

I asked her how her job is going, and she said slow.

I asked how slow.

She said she is getting 12 hours per week.

She also stated that though other places claim they are hiring, no one has called her back.

At least her husband has a job, yet.

Sun, 11/16/2014 - 21:52 | 5455776 Cautiously Pess...
Cautiously Pessimistic's picture

So many people I talk to on a daily basis (work, neighborhood, church, etc.) are just limping along or faking it.  I just don't see how this retail season could amount to much.  And just wait until early 2015, when Obamacare really starts to leave its mark.  The middle class will look back on the last 3 or 4 years with great joy and fondness compared to where we are headed.

 

 

Sun, 11/16/2014 - 21:44 | 5455750 malek
malek's picture

As PCR correctly lays out, the US Dollar can be kept from imploding as long as the US can make other meaningful currencies implode instead.

Sun, 11/16/2014 - 21:20 | 5455675 AgentScruffy
AgentScruffy's picture

PCR gets a lot of issues, but he's a tired old crackpot who salivates over Putin.

Sun, 11/16/2014 - 23:47 | 5456086 MalteseFalcon
MalteseFalcon's picture

You getting minimum wage for posting?

Sun, 11/16/2014 - 23:58 | 5456116 Government need...
Government needs you to pay taxes's picture

.gov sausage-washing wage, which I believe is zero, if you toe-tap twice for love.

Mon, 11/17/2014 - 00:40 | 5456184 Seize Mars
Seize Mars's picture

That's a wide stance to you, buddy.

Sun, 11/16/2014 - 22:05 | 5455677 TeethVillage88s
TeethVillage88s's picture

Repost:

Empires needed to loot when the war chest got empty.

Lots of stuff needed like for ship building, UK Ran out of good wood for Masts.

- US has been getting Fruit & Produce from abroad for like 150 years, and backing it up with our military
- Conquest, in order to fight the British, Dutch, French, or Portuguese

Systemic Corruption:

- Regulation Capture
- Government Capture
- Exponential Private Executive Compensation Increases
- Revolving Door to Industry for Regulators & Government Employees/Military Officers
- Gresham's Law
- Exponential Federal Budget Increases
- Exponential US Debt
- Exponential Securitization of Assets & Debt
- Augustines' Law, by 2054 the DOD will only be able to buy one airplane which must be shared BTW Services since the cost of Weapons is Increasing Exponentially
- Doctors & Justices Accept Gifts of Seminars for Professional Development & Certifications, these Gifts come from Industry who want to put their Agenda in Place
- Money in Politics, Gift Giving, are Systemic Corruption

Late Add: Black Market Labor is a Corruption that totally must cause us all to question the Integrity of the System, the Vision that was The United States of America

Sun, 11/16/2014 - 21:23 | 5455679 Alberich
Alberich's picture

When the price-fixed PM train finally leaves the station, we're going to be nostalgic indeed for the present market, when even goldbugs capitulated and targeted 900, 700, 400 per ounce. Make money!

Sun, 11/16/2014 - 21:44 | 5455751 kchrisc
kchrisc's picture

A friend told me today that a friend of his, let's call him Bob, that had been struggling to pay his mortgage since his wife got laid-off, took his advice to "just quit paying."

Bob called him up to see if my friend knew of any other sources of metals, as all the local stores are out. Turns out that Bob quit paying his mortgage and is pocketing it, putting most of it into metals--gold, silver, steel and lead. Bob is ecstatic about silver "being on sale."

Bob also resorted that with the stress off him and his family, his marriage has "popped back," and his wife is now happily working part-time for a local doctor, a job she couldn't have afforded to take before they quit paying on their mortgage. And she is still collecting unemployment, as the doctor office job is "under the table."

Bob and his wife are now looking at rental places, and have a lawyer friend pro bono "gumming up" their foreclosure. They may be able to stay in their home another year or more.

They are also liquidating "paper," assets like 401(k)s, etc. so the banksters can't take them, to make them appear poorer, and have more to buy more "metals" with.

Awesome!

An American,, not US subject.

 

"If you can't stop the sodomy, bite down hard."

Sun, 11/16/2014 - 22:10 | 5455832 TeethVillage88s
TeethVillage88s's picture

Yeah, well can't blame people for working under the table when they no longer have anything to lose or the system stops working for them. I might try to get something for myself someday in this regard. If you are Labor... well maybe the system doesn't work. Where should this lead Labor???

I'm not sure what to advise in all cases on 401K type account, but I don't like stocks.

Sun, 11/16/2014 - 23:26 | 5456034 kchrisc
kchrisc's picture

The elite thieves and criminals are taking care of themselves, it is up to us to take care of ourselves.

As for 401(k)s and similar: "Gold in hand is worth more than a 401(k) in the bush."

Not everyone can Stop paying on everything now, but everyone should be thinking of what and when they can Stop, and begin taking care of themselves. For Bob it was a burdensome mortgage. For many it is student loans. For others its credit card debt.

All can Stop Playing now. Voting, etc. Then soon it will be time to tell them NO, and just Stop Obeying.

An American, not US subject.

The most powerful weapon the American people have is Rejection.

The system of fraud and theft that has been built up upon the backs of the American people is dependent upon our backs. Withdraw our backs, and the whole scheme collapses. This is our greatest weapon.

Stop Paying--Put it into food, and precious metals, etc. They stole whatever "debt money" they loaned you in the first place (fractional reserve banking) and soon you won't be able to pay them anyways, so Stop Paying.

Stop Obeying--If they are in violation of the Constitution then they are not legitimate anyways, so Stop Obeying their unlawful dictates.

Stop Playing--Stop being a tool for them to use, mock, and call "stupid." Stop Playing.

The Four Rs
Rejection: Stop Paying, Stop Obeying, Stop Playing
Revolution: It is inevitable, so prepare, as they are.
Retribution: The guilty must answer for their crimes against the American people and the Constitution.
Restoration: Restore the American people, country and Constitutional republic.

Mon, 11/17/2014 - 00:37 | 5456181 TeethVillage88s
TeethVillage88s's picture

It is all about the Idea of the United States of America... Whether you are French, German, English, Dutch, Portuguese, or Spanish...

The Idea is at Stake.

Liberty, Freedom, Equality, Brotherhood, and Justice Forever.

Mon, 11/17/2014 - 13:42 | 5456384 kchrisc
kchrisc's picture

Good comment, but I must add, that it is the idea of American country. We the American people and the land that we inhabit is the the American country.

We existed before the states. We formed the states. And the states and people formed the US Republic in the Constitution.

We, the people and states are sovereign. The Constitution was for creating and LIMITING the US governmnet. The limits were placed on it, the US governmnet, not the people. The 9th. and 10th. made this very clear.

The US governmnet now functions criminally outside the Constitution, is rogue, and must be stopped and the Constitution Restored.

An American, not US subject.

 

"Without the Constitution, with all of it's flaws, we are a people adrift, and divided. Prey of the wolves that desire to consume us, one by one, from the last to the first.

Sun, 11/16/2014 - 22:24 | 5455870 Alberich
Alberich's picture

Now that takes a pair. Godspeed Bob.

Mon, 11/17/2014 - 06:13 | 5456487 Tall Tom
Tall Tom's picture

"If you can't stop the sodomy, bite down hard."

 

And pull that scrotal sack with the balls at the same time you bite down.

 

Instant castration. That queer bastard will never do that again...or much else.

 

Mon, 11/17/2014 - 08:47 | 5456656 George Bush League
George Bush League's picture

@Kchrisic "Correction"

"If you can't stop the fellatio, bite down hard."

 

Mon, 11/17/2014 - 14:29 | 5457886 WhyWait
WhyWait's picture

Tell Bob to dig deep into the paper trail of his foreclosure.  Odds 100:1 that the bank couldn't prove they actually own it in an honest court.  

Then the problem is making the courts be honest.   A tough state-by-state struggle but odds are there are folk in Bob's state working on it.

The reality is that our entire system of real property has been destroyed by these criminals and the issue will be who gets to reinvent it?  Them?  Or us?

Sun, 11/16/2014 - 21:30 | 5455680 JustObserving
JustObserving's picture

Washington’s ability to rig markets has allowed Washington to keep its economic house of cards standing

No one puts it so succinctly and accurately as Paul Craig Roberts. The US economic recovery is built on fraud and control of gold and silver and interest rates.  How long can this fraud continue?  How long will Apple be worth more than the entire Russian stock market? How long before the Japanese bond market crashes? 

Sun, 11/16/2014 - 21:38 | 5455743 logicalman
logicalman's picture

PCR has had things pretty much nailed for a long time.

I'm surprised he's not had a 'heart attack' or a 'nail gun accident' before now.

Maybe he has some really damaging info in place to protect his back?

 

Sun, 11/16/2014 - 22:06 | 5455814 JustObserving
JustObserving's picture

PCR has been one of the very few courageous enough to openly disdain the US government's fairy tales on 9/11 and Osama bin Laden:

Osama bin Laden, a CIA asset dying of renal failure, was blamed despite his explicit denial. For the next ten years Osama bin Laden was the bogyman that provided the excuse for Washington to kill countless numbers of Muslims. Then suddenly on May 2, 2011, Obama claimed that US Navy SEALs had killed bin Laden in Pakistan. Eyewitnesses on the scene contradicted the White House’s story. Osama bin Laden became the only human in history to survive renal failure for ten years. There was no dialysis machine in what was said to be bin Laden’s hideaway. The numerous obituaries of bin Laden’s death in December 2001 went down the memory hole. And the SEAL team died a few weeks later in a mysterious helicopter crash in Afghanistan. The thousands of sailors on the aircraft carrier from which bin Laden was said to have been dumped into the Indian Ocean wrote home that no such burial took place.

The fairy tale story of bin Laden’s murder by Seal Team Six served to end the challenge by disappointed Democrats to Obama’s nomination for a second term. It also freed the “war on terror” from the bin Laden constraint. Washington wanted to attack Libya, Syria, and Iran, countries in which bin Laden was known not to have organizations, and the succession of faked bin Laden videos, in which bin Laden grew progressively younger as the fake bin Laden claimed credit for each successive attack, had lost credibility among experts.

Watching the twin towers and WTC 7 come down, it was obvious to me that the buildings were not falling down as a result of structural damage. When it became clear that the White House had blocked an independent investigation of the only three steel skyscrapers in world history to collapse as a result of low temperature office fires, it was apparent that there was a coverup

http://www.paulcraigroberts.org/2014/09/10/911-13-years-paul-craig-rober...

Sun, 11/16/2014 - 22:31 | 5455888 TeethVillage88s
TeethVillage88s's picture

I like PCR. But I don't think he lists his source in his articles... could be that Media people have access to this.

Like the Obituaries for Osama Bin Ladin. I guess I should try a Web Search, but have to investigate what is a valid source when results turn up.

Anyone have source for Osama Bin Ladin Obituaries?

Again, I like Paul Craig Roberts and read some of his stuff... even go to his sight on slow news days.

Sun, 11/16/2014 - 22:47 | 5455942 JustObserving
JustObserving's picture

A Funeral Notice for Osama bin Laden was published on December 26, 2001, in the Egyptian newspaper al-Ward. An English translation is provided below. Anyone fluent in Arabic is invited to verify or correct the translation. This item was sent to me from a reader abroad.

http://www.paulcraigroberts.org/2013/11/20/bin-ladens-obituary-notice/

Sun, 11/16/2014 - 23:51 | 5456103 TeethVillage88s
TeethVillage88s's picture

Thanks, JustObserving.

Sun, 11/16/2014 - 21:23 | 5455683 kchrisc
kchrisc's picture

Actually it is a gigantic skyscraper of cards built of numerous other houses of cards stack upon one another.

And corruption, that is, extortion, treason and tyranny, are sewn into each floor of the rotten tower.

An American, not US subject.

 

"I'll huff, and I'll puff, and I'll guillotine your house down."

Sun, 11/16/2014 - 21:31 | 5455714 Philo Beddoe
Philo Beddoe's picture

Yeah, but the glue they are using seems pretty fucking strong.  

Sun, 11/16/2014 - 21:44 | 5455754 trulz4lulz
trulz4lulz's picture

A malaysian airliner couldnt even bring it down. its even an abstract construct, truly amazing.

Sun, 11/16/2014 - 22:26 | 5455874 kchrisc
kchrisc's picture

This bridge was taken down by just a steady blowing wind. Just a steady blowing wind, and adios.

https://www.youtube.com/watch?v=nFzu6CNtqec

And people walking on this new bridge almost brought it down:

https://www.youtube.com/watch?v=eAXVa__XWZ8&feature=related

http://www.mathsinthecity.com/sites/millennium-bridge-london

The point is, if structures built to hold great weights, and withstand the strains of nature are vulnerable to being shaken to pieces, what more a ponzi-skyscapeer of theft, treason and tyranny.

An American, not US subject.

 

Just takes one black swan dancing in just the right place, and it's each and every one of us' responsibility to be a dancing black swan.

Sun, 11/16/2014 - 22:32 | 5455893 TeethVillage88s
TeethVillage88s's picture

Great Engineering Analogy.

Sun, 11/16/2014 - 21:24 | 5455689 buzzsaw99
buzzsaw99's picture

Time will tell.

Don't go out on a limb or anything. :snark:

Sun, 11/16/2014 - 21:30 | 5455717 Nondrone 99
Nondrone 99's picture

Underneath it all is a monsrous amalgam of Debts that can never be repaid.People who comprehend Arithmatic have realized this.Eventually a crisis in confidence will kick off the Mother of all Bank Runs.Nobody will be too big to fail,then.People in China and Russia appear to have figured out the Massive Debts are actually a Massive Default of the future.The Germans are squirming around like they got Ants in their Pants-LOL!

Sun, 11/16/2014 - 21:34 | 5455725 Bazza McKenzie
Bazza McKenzie's picture

Sure the Fed deserves all the charges leveled here.  But the idea Japanese politicians need control by the US to follow damaging policies is just stupid.

Everywhere in the West, politicians are following the same self-serving script.  Give out lots of free stuff to get votes.  That means you have to give away more free stuff than you can pay for by any reasonable level of taxation.  So remaining option is money printing which steals from savers in a way not understood by most voters.

In addition, since the banking system concentrates unearned money in a few very dirty hands, they are willing to put enough of that into the hands of politicians to ensure the latter do their bidding to both protect them and improve their ability to steal more.

This was going on in many countries before the US became powerful, as it is now going on in the US.  Unless rigidly constrained by a constitution and institutional structure, politicians everywhere do it in their own interest, not because they are beholden to the US.

Sun, 11/16/2014 - 21:36 | 5455732 Joe A
Joe A's picture

That is because the system of toxic MBX, CDS, QE, inflated stock market, Dollar hegemony and every being rigged is backed by a powerful army, intelligence agencies and diplomatic services. Financial WMD backed by physical WMD.

The system is Rome on steroids (and cocaine).

Sun, 11/16/2014 - 22:44 | 5455930 TeethVillage88s
TeethVillage88s's picture

Un Pregunta Senor. Que Es MBX?

Mobile Branch Exchange (telecommunications)?

Mon, 11/17/2014 - 03:47 | 5456323 Joe A
Joe A's picture

Mis disculpas Señor. Queria escribir MBS, no MBX. No quisiera ofender a los vecinos del Sur.

Mon, 11/17/2014 - 06:25 | 5456494 Tall Tom
Tall Tom's picture

 

 


 

¿Nos cambiamos a la escritura en el idioma español debido a que los republicanos y los demócratas están tanto el apoyo y voto para financiar de Obama amnistía Orden Ejecutiva ?

 

Si no, entonces ¿por qué?

Mon, 11/17/2014 - 13:53 | 5457737 Joe A
Joe A's picture

No por lo tanto. Es que ...como se llama... empiezo a escribir en español porque me confundi en MBS. Pero tal vez un dia español sea el idioma que la mayoria de la gente de los EEUU vaya a hablar.

Bueno, pero mu era una opotunidad para hablar en español que no hice por much tiempo.

Adios, que te vaya bien.

Sun, 11/16/2014 - 21:36 | 5455736 blindman
blindman's picture

Summit MMT - Michael Hudson: Finances vs Economy, Credit vs Money [3/18 ENG]
http://www.youtube.com/watch?v=JZQqrxHGcoQ
.
relinked from other ....

Sun, 11/16/2014 - 21:39 | 5455740 Cautiously Pess...
Cautiously Pessimistic's picture

I have figured out the exact (down to within 3 hours) of when this whole house of cards tumbles.

 

For the low, low price of $99.95 I will forward to you, this all too important date and the timeline of events preceding and following this worldwide catasrophe.

 

Call 1-800-IMR-ICHR to place your order.  Act now!  If lines are busy, keep calling!

(suckers)

 

 

Sun, 11/16/2014 - 21:44 | 5455755 logicalman
logicalman's picture

Nice one!

But I do think that he has an insight that few have, given his former occupation, under Reagan, and most of what he says makes sense.

Maybe you could start a plan chariging $1 per sign up. Even if you only get 100, you are better off than if you don't.

 

Sun, 11/16/2014 - 22:48 | 5455941 TeethVillage88s
TeethVillage88s's picture

1-800-hows-my-goverance?

We really need a 800 number for federal government complaints... anon complaints would work... but we know everything is tracked and recorded... @#&@#

Sun, 11/16/2014 - 23:21 | 5456030 Kprime
Kprime's picture

I have called 15 times and lines are still busy.  The NSA may be blocking you.

Mon, 11/17/2014 - 06:44 | 5456505 Tall Tom
Tall Tom's picture

Somebody uh...somebody been messin' with you car?

 

Don't get mad...Get Even

 

Somebody uh...somebody uh..been cheating with you wife?

 

Don't get mad...Get Even

 

Somebody uh...somebody uh...been stealing you blind?

 

Don't get mad...Get Even

 

Our trained professionals uh...we make them have a change of heart.

 

Our fees are set upon how even that you want to get.

 

Broken legs might cost you a little.

 

Killing them might cost you a little more.

 

Saran Wrap is the cheap way. In fact that is included in the price. But if you want to have him feed the fishes you must pay for the cement boots.

 

Call 1-800-GET-EVEN today.

 

Our services are reliable. Just ask any M.A.F.I.A. member and he will give you an honest report. (He better give you an honest report otherwise he will be looking for kneecap replacement surgery..)

 

Of course there is a discount for current M.A.F.I.A. members.

 

Ask our phone representative about joining up today.

 

1-800-GET-EVEN

 

Life is just too short to be mad all of the time.

 

So get even instead.

Sun, 11/16/2014 - 21:52 | 5455767 blindman
blindman's picture

t,
the side bar advertisement sponsors are abusing
your site badly, destructively and sadly.
jump to the chase, it does not work. coherency
, buried, ....
good nite

Sun, 11/16/2014 - 22:38 | 5455881 dexter_morgan
dexter_morgan's picture

.

Sun, 11/16/2014 - 22:38 | 5455913 dexter_morgan
dexter_morgan's picture

adblock works for that

Sun, 11/16/2014 - 21:55 | 5455779 armageddon addahere
armageddon addahere's picture

Japanese government owes trillions of yen it can't pay, in the form of government bonds most of them they sold to their own citizens as a retirement investment.

Now the aging population is  cashing in their bonds or their heirs are. They can't pay without printing money,  or borrowing more, which also deflates the value of the bonds they are paying off.

Win - win! For the government. For the suckers who trusted them, not so much.

Sun, 11/16/2014 - 23:23 | 5456001 TeethVillage88s
TeethVillage88s's picture

Reminds: buy Real Estate or hard assets.

Still where? Not in Japan. USA? Maybe not, but we have clear titles to property... even if Eminent Domain and other laws about Bail-Ins and Bail-Outs exist.

USA??

Where are the best international property laws?

- Switzerland
- Luxembourg—primarily a conduit tax haven
- Ireland
- Netherlands—primarily a conduit tax haven
- Jersey
- Isle of Man
- Bermuda
- British Virgin Islands
- Cayman Islands
- Delaware, United States
- Puerto Rico (United States)

Pirate Havens, List of examples

-Barataria Bay in United States
- Campeche in Mexico
- Porto Farina in Tunis
- Harardhere in Somalia
- Libertatia in Madagascar
- Port Royal in Jamaica
- Tortuga in Haiti

https://en.wikipedia.org/wiki/Ownership_society
https://en.wikipedia.org/wiki/Privatization
https://en.wikipedia.org/wiki/Wealth_tax
https://en.wikipedia.org/wiki/International_Property_Rights_Index

Rank Country/Territory Score
1 Finland 8.5
2 Sweden 8.3
2 New Zealand 8.3
2 Norway 8.3
5 Switzerland 8.2
5 Singapore 8.2
7 Luxembourg 8.1
7 Netherlands 8.1
9 Canada 8.0
10 Denmark 7.9
11 Austria 7.8
11 Hong Kong 7.8
11 Australia 7.8
11 United Kingdom 7.8
17 United States 7.7
18 Ireland 7.5
18 Belgium 7.5
20 France 7.3
21 Iceland 7.2
22 Malta 7.0
23 Taiwan 6.9
24 Chile 6.8
24 Portugal 6.8
26 South Africa 6.7
27 Czech Republic 6.5
27 Malaysia 6.5
27 Israel 6.5
30 Cyprus 6.4
31 Mauritius 6.3
31 Spain 6.3
31 Botswana 6.3
34 Saudi Arabia 6.2
34 Slovakia 6.2
36 Lithuania 6.1
36 Hungary 6.1
36 Uruguay 6.1
36 Poland 6.1
40 Jordan 6.1
40 Costa Rica 6.1
40 Italy 6.1
43 Ghana 5.8
44 Turkey 5.6
44 Panama 5.6
46 India 5.5
46 China 5.5
46 Brazil 5.5
46 Jamaica 5.5
50 Greece 5.3
50 Romania 5.3
50 Thailand 5.3
50 Bulgaria 5.3

Sun, 11/16/2014 - 23:31 | 5456046 TeethVillage88s
TeethVillage88s's picture

Cyprus should be LOWER!!!

Mon, 11/17/2014 - 02:18 | 5456319 Ventnor
Ventnor's picture

Germany not in the top 50?  

Sun, 11/16/2014 - 21:54 | 5455781 Pumpkin
Pumpkin's picture

How come when I state something completely obvious no one writes up an article about it? 

Sun, 11/16/2014 - 21:56 | 5455788 Sick
Sick's picture

I have to wonder, after this holiday season (which can't be good with so many in debt and unemployed), what will come after New Year's Day.  I have good instincts and they tell me this is the time we will have an upset.

Sun, 11/16/2014 - 22:02 | 5455799 petedanels
petedanels's picture

I think the elections tell us that the 2/3 of Americans who didn't vote are happy and want things to continue as they have, a strong mandate for status quo.  Those who did vote are just jealous of the majority who continue to excel and succeed.  After all, unemployment is way down, stocks are constantly printing new highs, the poor can get help from the gov, new car sales are through the roof, interest rates are low for home buying, health care is saving 2,500/year, more valuable time spent at home because of reduced work hours, free birth control, working opportunities for the illegals, and much, much more!  

SERIOUSLY, I'm no longer proud of my country.  I'm pissed off and am sick and tired of being so fucking consumed by this shit.  I shouldn't be thinking about my government and banks day in and day out.  Why is nothing being done???  I would be willing to stand up and take action if there were any others with the balls to do so as well, but all I see are these informed individuals complaining and preaching.  How bad does it have to get?  

 

Sun, 11/16/2014 - 22:39 | 5455854 Dre4dwolf
Dre4dwolf's picture

Generally people do not act until they are starving or being harmed physically.

 

You can take a mans house, but if you take his dinner plate he will come after you.

You can take a mans car, but if you beat his wife and steal his child he will come after you.

 

The banksters know what they can get away with, sadly what they can get away with is a heck of a lot.

 

Nothing is going to happen until the damage is completely off-the-charts... that goes to say, nothing will be done until you see people starving to death on your front porch, and it is coming.

 

 

In terms of unemployement, we are at the tipping point, say one more economic crash (we are due for it SOON) should destroy pretty much all the fake jobs that were created over the past 6 years, at which point everything has fallen off the cliff and we will have a correction of the markets.

The labor force will be desperate, and wages will drop (again).

People will lose their homes (again) (pretty much whoever didn't lose it last time around, will lose it now).

People will be on the streets.

 

Once you put people on the streets, they no longer have anything to lose by acting.

Thats when you have a crisis/change.

 

And the government/banks WANT THAT... because thats when they come in with the surplus military gear and throw everyone into work camps.

 

 

 

They can fix everything in the blink of an eye, simply wipe out debt and make it harder for banks to lend CREDIT (force them to lend currency) and everyone is prosperous again, but obviously thats not whats going to happen, they just changed the banking regulations last week, if you have deposits, you are now 100% an unsecured creditor and a share-holder of "deposit shares".

You traded your paycheck for "deposit shares" and "deposit shares" are subject to "re-evaluation" at any given time.

So your deposit balance is now officially "variable" what you put in is not necessarily what you can take out.

The system is poised and ready to commit the biggest theft in human history (again).

 

I have already taken most of what I can out of the bank (which isnt much but still . . . ), im just waiting for the news of the bail-ins and deposit re-evaluation schemes, and with any luck . . . my currency will outvalue most peoples bank "deposit tokens" (wtf do we call deposits now???) and I will actually gain value from the crash/cash grab the banks are getting ready to perpetrate.  

 

 

Best place to be IMO is currency (hard paper) and Bullion, everything else is subject to instant digital theft.

 

The only thing the individual can do at this point is prepare for the inevitable. . .  however best they can.

 

Sun, 11/16/2014 - 23:46 | 5456084 TeethVillage88s
TeethVillage88s's picture

Very Persuasive.

Mon, 11/17/2014 - 04:27 | 5456385 Boxed Merlot
Boxed Merlot's picture

Nothing is going to happen until the damage is completely off-the-charts...

 

I thought I'd try to be clever and comment on how bad things can get before people in the US rise up and do something about "it", but I’m not sure we'll ever become offended enough to anything anymore.  We're more afraid of not being "tolerent" than actually making a distinction between good and bad, "damage" and "(r)evolution".

…you had a harlot’s forehead; You refused to be ashamed. -- Jeremiah 3:3b

 

jmo.

 

Mon, 11/17/2014 - 09:52 | 5456830 breadonwaters
breadonwaters's picture

The Canadian gov declared in last spring's budget that it would us 'Bail in" in case of Sytemic bank failure.

So the wife and i emptied our bank accounts ...left just enuf  for  Visa payments...Who is stupid enuf to leave $ in the bank, when the gov says they will take them?  Don't those idiots understand they are encouraging the average Joe to empty the banks deposit base ?

Cash and PM's

Mon, 11/17/2014 - 14:39 | 5457952 TheReplacement
TheReplacement's picture

While not bullion, lead, copper, and steel are good metals to have.

Sun, 11/16/2014 - 22:09 | 5455822 MATA HAIRY
MATA HAIRY's picture

paulc craig roberts wrote:

The supply-side economic policy implemented by the Reagan administration disproved the Phillips Curve belief that economic growth was inconsistent with a declining or a stable rate of inflation.

 

but during the reagan years the USA had growth and had high inflation.

 

 

Mon, 11/17/2014 - 00:42 | 5456147 TeethVillage88s
TeethVillage88s's picture

But Reagan had less growth in GDP than expected and so shrank investment through Fiscal Policy, he ended up reducing his budget...

http://research.stlouisfed.org/publications/review/89/01/Budget_Jan_Feb1...

GDP just didn't appear as strong as Investment would justify.

Mon, 11/17/2014 - 00:19 | 5456149 socalbeach
socalbeach's picture

He said declining or stable rate of inflation, not high or low.  The official CPI figures dropped from almost 15% to 5%, and got as low as about 1.5%, during Reagan's tenure.

https://research.stlouisfed.org/fred2/graph/?g=ReE

Mon, 11/17/2014 - 07:44 | 5456531 Tall Tom
Tall Tom's picture

True. However the 800 lbs. Gorilla in the Room, which was not mentioned, is that while the Inflation Rate was declining, Government Spending was growing by leaps and bounds during the Reagan Presidency.

 

That uncontrolled Government spending was transformed from PRINTED Dollars in the 1970s into BORROWED Dollars in the 1980s. The spending did not stop or even slow down. Government spending grew out of control and annual deficits grew large and fast. Thus Government Debt also increased as the result of the ever growing deficits. Government Revenues actually were declining as a result of the Reagan Tax Cut. So since we were not printing...and since Tax Revenues were actually DECLINING...then where do you think that the Government revenue came from? BORROWING.

 

(Do not make the mistake that I am not for Tax Cuts. I AM FOR TAX CUTS. But you cannot cut taxes without shrinking Government spending while you are doing it. That is a receipe for disaster and insolvency. The Reagan Budgets DOUBLED THE SIZE OF THE NATIONAL DEBT. While it is true that Thomas "Tip" O'Neil's Democrat controlled Congress submitted those budgets, as all spending originates in the House of Representatives, Reagan signed those Budgets and Rubber Stamped them into law. That is why he was so popular and both Democrats and Republicans adored him at the time. He gave everybody what they wanted...and damned the later consequences. He cut taxes making the Republicans happy. He maintained and increased Social Programs which made the Democrats happy. Thus he was adored.)

 

In 1982, the Nation was transformed from the World's Largest Creditor Nation into the World's Largest Debtor Nation in a very short timeframe. That was a dramatic change and the deathknell of this Nation. Of course the Stock Market exploded to new heights due to the newfound liquidity.

 

(You must understand that those initially High Interest Rates attracted one hell of a lot of Foreign Capital which was used to finance our ever growing Government and pump up our flailing Domestic Markets.)

 

The Currency Supply must be considered with the amount of borrowed Capital as the borrowing masked the growth in Government Budgets and supressed Inflation (Inflation is that which would have been necessary if borrowing had not been available.)

 

The last time we printed like this, in the 1960s and 1970s, we were able to borrow capital to save the US Dollar from a Hyperinflationary Inferno. This time we will not have the luxury of being able to borrow our way out of a Currency Crisis. Then it will become very apparent...and happen very fast.

Sun, 11/16/2014 - 22:22 | 5455865 JR
JR's picture

In a world run by the international bankers there will be no room for independent identity of nations and, at this instant, that reduction is happening to the nation of Japan.

It was all deliberate; country after country is being turned over to the international bankers by their corrupt political leaders.  Sell out, as planned…

“The public and leaders of most countries continue to live in a mental universe which no longer exists – a world of separate nations – and have great difficulty in thinking in terms of global perspectives and interdependence. The liberal promise of a separation between the political and economic realm is obsolete: issues related to economics are at the heart of modern politics.” –Richard N. Cooper (CFR and TC), Karl Kaiser (TC), and Masataka Kosaka (TC), 1977.

The peoples of the world need leaders who refuse the takeover by the international oligarchs. And I just saw today on Lew Rockwell that Italy’s Beppe Grillo says “We are not at war with ISIS, or Russia, we are at war with the ECB.” He is now beginning to prepare for a referendum in Italy on leaving the euro “as soon as possible...

“We will leave the euro and bring down this system of bankers, of scum… We are dying, we need a Plan B to this Europe that has become a nightmare—and we are implementing it.

With leaders like Grillo and Ron Paul – leaders who will draw the line – there won’t be a one-world banker tyranny.

Most citizens of Europe have never been represented; their parliaments and leaders inevitably sell them out. And if the elections aren’t working, as they aren’t in the U.S., the people need to overthrow the government and raise up leaders who represent them.

Mon, 11/17/2014 - 00:43 | 5456167 TeethVillage88s
TeethVillage88s's picture

EU & US Mistake Control for Stability.

Yes, the Economy is being controlled by banking Policies and Governmental Policies... but the wealth is flowing to the Elites as Wages remain flat or falling with ever increasing immigration of low skilled and medium skilled workers.

- There is a Glut of Skilled workers
- There is a Glut of Unskilled workers
- Those with Networking Contacts will move up the classes or regain the class of their parents

Status Quo is a big problem as it is Apathy, Cynicism, and Complacency

- "Country after country is being turned over" does not express how it is Concurrently Happening Now, Debt is planned and Securitized after you sign on to it, Assets, Stocks, Bonds, Real Estate, are the Target of the New Economic Paradigm of US & EU Banks, they no longer need Deposits in Savings Accounts to Rape

Michael Hudson: Finances vs Economy, Credit vs Money [3/18 ENG] ...Sounds like lots of ZH people agree with him on Greece & Financialization of Debt & Government in order to steal the assets.

http://www.youtube.com/watch?v=JZQqrxHGcoQ Whole thing is good!

Mon, 11/17/2014 - 01:23 | 5456247 JR
JR's picture

Great comment, TV, and great analysis of America's junk economics by Hudson. Thanks!

Mon, 11/17/2014 - 04:00 | 5456399 SHRAGS
SHRAGS's picture
JR, he is a link to the Trilateral Commision report (Triangle Paper #14) that you quoted from.  Hard to find on the web, but not entirely eradicated thanks to archive.org. TOWARDS A RENOVATED INTERNATIONAL SYSTEM Task Force Report #14  Richard N. Cooper, Karl Kaiser and Masataka Kosaka

https://web.archive.org/web/20051108202745/http://www.trilateral.org/lib...

(master info page on the document: https://web.archive.org/web/20050914201431/http://www.trilateral.org/pro... )

Mon, 11/17/2014 - 10:32 | 5456967 JR
JR's picture

Thanks! SHRAGS. A great find and much appreciated. My reading assignment for tonight.

Mon, 11/17/2014 - 15:34 | 5458213 SHRAGS
SHRAGS's picture

No thak you, always appreciate your posts, they have been a wealth of information.  All the Trilateral Commison reports (Triangle Papers ) and Annual Meeting reports (Trialogues series) are still available on archive.org, 

Those two links allow you to move forward or backward in time using the timeline at the top of the page to view the newer page captures & reports post 2004.

Sun, 11/16/2014 - 22:25 | 5455873 lunaticfringe
lunaticfringe's picture

Dear petedanels...

 

This system is fucked. You did not do it nor can you un do it. You are just a passerby, a visitor, like the rest of us. 

It's alright to note these things and exchange info- but nothing has gotten bad enough in this country for the spoiled culture that inhabits this place- to take any action. We have become a land of fat pussies.

It is incremental. They will slowly seize your property and your rights. They will do this with bad law like the ACA. At some point when it gets really bad, when many have already left, the shooting will start. It's a long way off still. Don't underestimate the aristocracy. They are patient, scheming little bitches. 

Be happy. Live your life. Don't ingest too much of this shit. There's not a fucking thing you can do about it and know this- 30 years from now they will call this..."the good ol days."

Mon, 11/17/2014 - 07:49 | 5456573 Tall Tom
Tall Tom's picture

There's not a fucking thing you can do about it...

 

Care to place a wager?

Mon, 11/17/2014 - 13:08 | 5457586 froze25
froze25's picture

Do the Men's weekend.  Join a men's team.  Get prepared.  Take back your masculinity.

Sun, 11/16/2014 - 22:28 | 5455883 damicol
damicol's picture

I don't see the problem.

Well I don't see any problem for ZHers.

I don't listen to the shills and corrupt scum and all their braying shit, I just look at reality.

I made plans years ago now, as it was blatantly patently obvious that the real bubble is the value of the fucking ponzi dollar.

When you invest in an IRA in normal times you don't think  about it in terms of it reaching a specific  target by a specific date.

You want a trend that will hopefully  enable it grow close to your estimates.

This time you know its corrupt and fraudulent, so why take part in it.

Easy steps I took.

 

First I incorporated a small company in the Philippines, registered as an outsourcing business.

Then I put contracts in place to notionally outsource  work to that new company and since that time have shifted all profits  to that company including all income I r3ecieved.

I don't own the shares, they are held under  separate agreement, common for multinationals operating over there.

But so very easy to do if you understand the system.

Therefore first and foremost I stopped all taxes in the US.

I have no need to report any FATCA as I have no assets or income on paper from overseas.

All profits earned by the outsourcing company are paid in management fees to another  individual that manages the profits by turning it into physical gold and collateralize that gold with a HK bank that provides a floating loan facility.

Every year I take on a new unsecured personal loan at virtually zero interest and repay  every year  by taking out an ever larger loan.

The physical gold deposits never fall, and can only increase in quantity.

I don't care about the ponzi fiat levels, only that the gold holding grows and that it can be used as security to provide cash flow.

Like any endowment or pension you plan for the long term and do not need to worry about short term fluctuations.

The fact it i structured to shift profits off shore and ensure they remain tax free  effectively doubles its efficiency.

I am 100 % confident that when this shit show collapses I won't have to worry, but if you hold paper in anything you will be wiped out  one day when the reality horse rides into town

 

 

 

Mon, 11/17/2014 - 00:51 | 5456205 TeethVillage88s
TeethVillage88s's picture

Can I fly out and talk with you?

I heard mining might be good, and that real estate might be good if you agree to kicking squatters off the land, and maybe manufacturing for military use might be okay.

I'm pretty adverse to risk though. Probably would also seek lawyers and financial advisers there.

Tue, 11/18/2014 - 00:51 | 5460211 TheReplacement
TheReplacement's picture

I like your scheme of shorting currency in favor of money and still getting currency in to exchange but have two counterpoints:

1.  Your gold is in a bank and you are betting against banks.

2.  I hope you are buying money with your currency loans.

Oh and do not take the shiny for a little sunbathing excursion on water.  I've been there and done that.  The one day I break down and let it out for some rays.  The next thing you know we were attacked by swimming rabbits and that's when the shootin' started.  One thing lead to another and I got wet, the shiny got sunk, and the rabbit got away.

That's three but what the heck.  Let's have a beer;)

Sun, 11/16/2014 - 23:02 | 5455984 AdvancingTime
AdvancingTime's picture

We have been lulled into complacency by the extraordinary actions taken by central banks and governments over the last six years. Have these actions really worked or merely masked over major flaws and problems?  I contend that by not demanding the right kind of growth and by throwing money at problems we have only delayed and added to festering issues that face us in the future.

  Modern Monetary Theory often referred to as MMT by its many believers is to remove much of the risk ahead and guarantee that we will always be able to muddle forward. This is a economic theory that turns to newly acquired tools like derivatives and currency swaps that are suppose to allow us to print and  manipulate away problems. This has created an "almost surreal" feeling of indifference towards reality. More on why debt does matter and the system is about to fail in the article below.

 http://brucewilds.blogspot.com/2014/01/have-we-been-lulled-into-complacency.html

Tue, 11/18/2014 - 00:52 | 5460216 TheReplacement
TheReplacement's picture

Or they can create yet another tool to fool and manipulate and buy more time.  Who knows?  All we know is what is is to is what ISIS is to crisis. 

Do I win the internet for that?

Sun, 11/16/2014 - 23:48 | 5456094 petedanels
petedanels's picture

lunaticfringe, thank you for your thoughts and I believe you're dead right.  

Gold & lots of ammo.  Ammo for obvious reasons but also as a future commodity.  

Buy ammo!

 

Sun, 11/16/2014 - 23:53 | 5456108 enloe creek
enloe creek's picture

https://flic.kr/p/hgB8cH.  Sharing a pic from a backpacking trip. The stress of life goes away in the wilderness.

Mon, 11/17/2014 - 03:57 | 5456398 Trucker Glock
Trucker Glock's picture

Nice scenery.  The sound of flowing water would be relaxing.  Kick back, smoke a pork shoulder or chuck roast, and poke at a small fire.

Mon, 11/17/2014 - 00:10 | 5456140 Son of Captain Nemo
Son of Captain Nemo's picture

"An easy explanation is that Japan is being ordered to destroy its currency in order to protect the over-printed US dollar. As a vassal state, Japan suffers under US political and financial hegemony and is powerless to resist Washington’s pressure". ...

U.S. Central bank Stan Fischer to Central bank of Japan Kuroda (discussion post-Fukushima disaster over cocktails goes something like this)....

Sorry we had to "push the button" on those nuclear reactors 3 years ago... Why you ever allowed us to manage the security for those facilities in Fukushima still makes us laugh!...  We told you that you couldn't print more and look what happened!  THATand offering to provide the enriched uranium to Iran's commercial reactors was the "last straw"!...

Come on Haruhiko you can't spend your whole life worrying about your mistakes, You fucked up... You trusted us... Make the best of it, Maybe we can help you!

Mon, 11/17/2014 - 01:03 | 5456228 teslaberry
teslaberry's picture

go fuck yourself nemo. you anti-semites are pretty subtle. yea, fukushima was a big conspiracy and it was the israelis. 

 

not a shred of evidence, but blame it on the joooos . no, the israelis!!!

 

fuck yourself. 

Mon, 11/17/2014 - 09:17 | 5456729 Son of Captain Nemo
Son of Captain Nemo's picture

go fuck yourself nemo. you anti-semites are pretty subtle. yea, fukushima was a big conspiracy and it was the israelis. 

not a shred of evidence, but blame it on the joooos . no, the israelis!!!

 

Come on now t....

For the same reasons this one will never get resolved in a court of law either!

Begs the question why Magna BSP was given a contract to protect something that should have never been given out on behalf of another foreign government –But hey when you can drop two nuclear bombs on that Country in question and arm-twist them into buying the same technology to light their villages 25 years later you have the answer!

Mon, 11/17/2014 - 00:34 | 5456172 teslaberry
teslaberry's picture

paul craig roberts is getting tiresome. 

 

the system is not a house of cards. the police in america are highly militarized. it's just when things get bad, that side of military order will come out. that's FAR FROM COLLAPSE. 

 

paul craig has been watching too much walking dead and zombie apocolypse bullshit. he needs to undersatnd the world doesn't end when a deflationary implosion gets papered over with even more printed paper. it simply evolves to more violence. and potentially to either a gold standard, an sdr, or more likely neither.

 

the strengthening of the usd and potential market crash is actually a sign of health for global markets. 

 

Mon, 11/17/2014 - 00:56 | 5456213 TeethVillage88s
TeethVillage88s's picture

What proof do u have that PCR watches cartoons, action movies or plays video games?

Just askin'.

Mon, 11/17/2014 - 01:33 | 5456265 22winmag
22winmag's picture

Yeah yea... highly militarized and wouldn't last two weeks against the Americna people in a real SHTF scenario.

Mon, 11/17/2014 - 04:05 | 5456414 nopara73
nopara73's picture

Since 2013 the Japanese yen has fallen 25% against the US dollar not 35%.
http://www.xe.com/currencycharts/?from=JPY&to=USD&view=2Y 

Mon, 11/17/2014 - 08:29 | 5456628 Ewtman
Ewtman's picture

The house of cards is perched on top of a global debt bubble on the verge of imploding...

 

http://www.globaldeflationnews.com/anatomy-of-a-bubble-how-the-federal-r...

 

Mon, 11/17/2014 - 08:41 | 5456649 AdvancingTime
AdvancingTime's picture

That bubble might be derivatives. The more and more I study derivatives it now appears the main goal of QE may have been to hold up the underlying value of assets that feed into and support the massive derivative market more than help the economy.

QE has up to now stopped an implosion of derivatives and the resulting contagion and shock that would have spread throughout the financial system. Everyone paying attention knows that the size of the derivatives market is about 20 times larger than the global economy. About 95% of the $230 trillion in US derivative exposure is held by four US financial institutions, the article below looks into how this could collapse the economic system.

http://brucewilds.blogspot.com/2014/03/derivatives-house-of-cards.html

Do NOT follow this link or you will be banned from the site!