Central Banks Are Trojan Horses, Looting Their Host Nations

George Washington's picture

A Nobel prize winning economist, former chief economist and senior vice president of the World Bank, and chairman of the President’s council of economic advisers (Joseph Stiglitz) says that the International Monetary Fund and World Bank loan money to third world countries as a way to force them to open up their markets and resources for looting by the West.

Do central banks do something similar?

Economics professor Richard Werner – who created the concept of quantitative easing – has documented that central banks intentionally impoverish their host countries to justify economic and legal changes which allow looting by foreign interests.

He focuses mainly on the Bank of Japan, which induced a huge bubble and then deflated it – crushing Japan’s economy in the process – as a way to promote and justify structural “reforms”.

The Bank of Japan has used a heavy hand on Japanese economy for many decades, but Japan is stuck in a horrible slump.

But Werner says the same thing about the European Central Bank (ECB).  The ECB has used loans and liquidity as a weapon to loot European nations.

Indeed, Greece (more), Italy, Ireland (and here) and other European countries have all lost their national sovereignty to the ECB and the other members of the Troika.

ECB head Mario Draghi said in 2012:

The EU should have the power to police and interfere in member states’ national budgets.

 

***

 

“I am certain, if we want to restore confidence in the eurozone, countries will have to transfer part of their sovereignty to the European level.”

 

***

 

“Several governments have not yet understood that they lost their national sovereignty long ago. Because they ran up huge debts in the past, they are now dependent on the goodwill of the financial markets.”

And yet Europe has been stuck in a depression worse than the Great Depression, largely due to the ECB’s actions.

What about America’s central bank … the Federal Reserve?

Initially – contrary to what many Americans believe – the Federal Reserve had admitted that it is not really federal (more).

But – even if it’s not part of the government – hasn’t the Fed acted in America’s interest?

Let’s have a look …

The Fed:

  • Threw money at “several billionaires and tens of multi-millionaires”, including billionaire businessman H. Wayne Huizenga, billionaire Michael Dell of Dell computer, billionaire hedge fund manager John Paulson, billionaire private equity honcho J. Christopher Flowers, and the wife of Morgan Stanley CEO John Mack
  • Artificially “front-loaded an enormous [stock] market rally”.  Professor G. William Domhoff demonstrated that the richest 10% own 81% of all stocks and mutual funds (the top 1% own 35%).  The great majority of Americans – the bottom 90% – own less than 20% of all stocks and mutual funds. So the Fed’s effort overwhelmingly benefits the wealthiest Americans … and wealthy foreign investors
  • Acted as cheerleader in chief for unregulated use of derivatives at least as far back as 1999 (see this and this), and is now backstopping derivatives loss
  • Allowed the giant banks to grow into mega-banks, even though most independent economists and financial experts say that the economy will not recover until the giant banks are broken up. For example, Citigroup’s former chief executive says that when Citigroup was formed in 1998 out of the merger of banking and insurance giants, Greenspan told him, “I have nothing against size. It doesn’t bother me at all”
  • Preached that a new bubble be blown every time the last one bursts
  • Had a hand in Watergate and arming Saddam Hussein, according to an economist with the U.S. House of Representatives Financial Services Committee for eleven years, assisting with oversight of the Federal Reserve, and subsequently Professor of Public Affairs at the University of Texas at Austin.  See this and this

Moreover, the Fed’s main program for dealing with the financial crisis – quantitative easing – benefits the rich and hurts the little guy, as confirmed by former high-level Fed officials, the architect of Japan’s quantitative easing program and several academic economists.  Indeed, a high-level Federal Reserve official says quantitative easing is “the greatest backdoor Wall Street bailout of all time”.  And see this.

Some economists called the bank bailouts which the Fed helped engineer the greatest redistribution of wealth in history.

Tim Geithner – as head of the Federal Reserve Bank of New York – was complicit in Lehman’s accounting fraud, (and see this), and pushed to pay AIG’s CDS counterparties at full value, and then to keep the deal secret. And as Robert Reich notes, Geithner was “very much in the center of the action” regarding the secret bail out of Bear Stearns without Congressional approval. William Black points out: “Mr. Geithner, as President of the Federal Reserve Bank of New York since October 2003, was one of those senior regulators who failed to take any effective regulatory action to prevent the crisis, but instead covered up its depth”

Indeed, the non-partisan Government Accountability Office calls the Fed corrupt and riddled with conflicts of interest. Nobel prize-winning economist Joe Stiglitz says the World Bank would view any country which had a banking structure like the Fed as being corrupt and untrustworthy. The former vice president at the Federal Reserve Bank of Dallas said said he worried that the failure of the government to provide more information about its rescue spending could signal corruption. “Nontransparency in government programs is always associated with corruption in other countries, so I don’t see why it wouldn’t be here,” he said.

But aren’t the Fed and other central banks crucial to stabilize the economy?

Not necessarily … the Fed caused the Great Depression and the current economic crisis, and many economists – including several Nobel prize winning economists – say that we should end the Fed in its current form.

They also say that the Fed does not help stabilize the economy. For example:

Thomas Sargent, the New York University professor who was announced Monday as a winner of the Nobel in economics … cites Walter Bagehot, who “said that what he called a ‘natural’ competitive banking system without a ‘central’ bank would be better…. ‘nothing can be more surely established by a larger experience than that a Government which interferes with any trade injures that trade. The best thing undeniably that a Government can do with the Money Market is to let it take care of itself.’”

Earlier U.S. central banks caused mischief, as well.  For example,  Austrian economist Murray Rothbard wrote:

The panics of 1837 and 1839 … were the consequence of a massive inflationary boom fueled by the Whig-run Second Bank of the United States.

Indeed, the Revolutionary War was largely due to the actions of the world’s first central bank, the Bank of England.   Specifically, when Benjamin Franklin went to London in 1764, this is what he observed:

When he arrived, he was surprised to find rampant unemployment and poverty among the British working classes… Franklin was then asked how the American colonies managed to collect enough money to support their poor houses. He reportedly replied:

 

“We have no poor houses in the Colonies; and if we had some, there would be nobody to put in them, since there is, in the Colonies, not a single unemployed person, neither beggars nor tramps.”

 

In 1764, the Bank of England used its influence on Parliament to get a Currency Act passed that made it illegal for any of the colonies to print their own money. The colonists were forced to pay all future taxes to Britain in silver or gold. Anyone lacking in those precious metals had to borrow them at interest from the banks.

 

Only a year later, Franklin said, the streets of the colonies were filled with unemployed beggars, just as they were in England. The money supply had suddenly been reduced by half, leaving insufficient funds to pay for the goods and services these workers could have provided. He maintained that it was “the poverty caused by the bad influence of the English bankers on the Parliament which has caused in the colonies hatred of the English and . . . the Revolutionary War.” This, he said, was the real reason for the Revolution: “the colonies would gladly have borne the little tax on tea and other matters had it not been that England took away from the colonies their money, which created unemployment and dissatisfaction.”

(for more on the Currency Act, see this.)

And things are getting worse ... rather than better.  As Professor Werner tells Washington's Blog:

Central banks have legally become more and more powerful in the past 30 years across the globe, yet they have become de facto less and less accountable. In fact, as I warned in my book New Paradigm in Macroeconomics in 2005, after each of the 'recurring banking crises', central banks are usually handed even more powers. This also happened after the 2008 crisis. [Background here and here.] So it is clear we have a regulatory moral hazard problem: central banks seem to benefit from crises. No wonder the rise of central banks to ever larger legal powers has been accompanied not by fewer and smaller business cycles and crises, but more crises and of larger amplitude.

Georgetown University historian Professor Carroll Quigley argued that the aim of the powers-that-be is “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 is to be controlled “in a feudalist fashion by the central banks of the world acting in concert by secret agreements,” central banks that “were themselves private corporations.”

Given the facts set forth above, this may be yet another conspiracy theory confirmed as conspiracy fact.

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harrybrown's picture

http://www.democracynow.org 

OWNED BY SOROS.... what more havent people realized....yet

Manipuflation's picture

Our kids are getting old enough to start understanding how thing really run so I ran an experiment.  Mrs M was there too.  I picked up a game of Monopoly at some garage sale and I had being pestered to play for months now.  There started to be a lot of monopoly money laying around on the floor.  OK, let's play. 

The first thing I did was appoint myself banker.  I was in charge of the money.  The second thing I did was give an extra $500 note to myself (consultation charge) and I did it right in front of all of them.  I left it out there for everyone to see but no one objected.  We played for a while and then everyone got tired so we all went to bed and left the game as it was.  The kids wanted to keep playing this morning.  OK, but we were short of $500 notes and $100 notes.  Since I appointed myself bankster, I also appointed myself the Bureau of Printing and Engraving and I had to increase the money supply via some bonds that I did not issue because I "bought" them myself and that is when the children started catching on.  "Dad, you are full of shit."  The children noticed that I had taken a bunch of monopoly money and put it in the copy machine and printed out a whole bunch more money.  The eldest child said I can't do that and it is illegal.  No, No, No, I am the central bank and get to do whatever the hell I want because there is no competing central bank and even if there were, I would be in collusion with said bank.  I told the eldest that I was stimulating the economy.  Do you see what I did?  I stole money right off the bat and then started printing MOAR money like it was no big deal.

Guess who ended up with all of the properties?  Me.  After I had "won", I told everyone that I lied and that I had cheated.  I did all of the bullshit right in front of their faces and they didn't notice.  All anyone had to do was pay attention to me doing it and call me out.  Next time pay attention.  The kids got the message and I proved my point.  They are wiser for it now. 

Peace my friends.    

Goldilocks's picture

Gold's Disposition
belangp – Feb 6, 2016
http://www.youtube.com/watch?v=tPW_fyRH3v8 (24:47)

~@14:30
"...as the store of value par excellence..."

gold 3 parts per billion

platinum 4 parts per billion

palladium 6 parts per billion

silver 80 parts per billion

...

lead 10 parts per million

copper 68 parts per million

nickel 90 parts per million

iron 50000 parts per million

aluminum 80000 parts per million

SamAdams TyrannyFighter's picture

"90% of communism is establishing a central bank." ~V, Lenin, Communist Bolshevik Jew

Now you know who has established all these criminal parasite central banks.

 

*Truth is not hatespeech*

TheLazyNative's picture
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TheLazyNative's picture

What?

Lenin's father was part Chuvash (Finnic), part Kalmyk (Mongoloid). His mother supposedly Jewish, and from a family that converted to Christian Orthodoxy. How do you go from that to central banks and communism?

His maternal grandmother was called Sender Blank. This sounds like central bank, and obviously is the reason why he turned into a commie central bankster.

Griffin's picture

In Iceland the central bank is state owned and independent from politics.

I think this arrangement works quite well, and could be even better with some minor improvements.

 

PoasterToaster's picture
PoasterToaster (not verified) Feb 13, 2016 2:30 PM

Gold is money.  And nothing else.

spqrusa's picture

100 years for Fed pillaging and going strong.

"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." -- Thomas Jefferson -- The Debate Over The Recharter Of The Bank Bill, (1809)

Four chan's picture

do the jews own the privately held stock of the private corporation commonly known by its entirely deceptive name the federal reserve?

spqrusa's picture

One must separate "Jews" in name from those that are "Jews" in faith. I stand with the second group, and I condemn to hell-fire the first.

Take this one step further and understand that "Jews" are pawns in the larger Great Game. Marketing to them as the Chosenites is part and parcel to what can be accomplished in the divide-and-conquer strategy. The real wealth and power lays beyond reach and is a State secret.

SamAdams TyrannyFighter's picture

They sure do, without a doubt.  Strange how we can write and comment on generalities, but when we dig a little deeper and get to inconvenient truths we are immediately called haters, anti semites, etc..  The tide will turn as more people become truly informed.

TheLazyNative's picture

This is claptrap. If Jewish people are pre-disposed to being puppeteers behind the financial system, then by the same logic African Americans are pre-disposed to being jailed. Simply because of who they are.

I suggest you do indeed "dig a little deeper."

 

VW Nerd's picture

Farqued Up--If Jackson was the best, I'd personally put Jefferson as a very close second.  Loathed certral banks also and feared foriegn entanglements.

VW Nerd's picture

Carroll Quigley's comment sums up the Petrodollar global banking monopoly precicely.  The underlying philosophy being "Control the world's money supply and you control the world's resources (oil especially).  CONTROL THE WORLD'S RESOURCES AND YOU CONTROL THE WORLD."  Re-read Quigley's comment.  BRICS alliance is causing some problems to this plan.  Particularly Russia and China.

atthelake's picture

Before we hang banksters, we need to find a way to take back all stolen assets.

PoasterToaster's picture
PoasterToaster (not verified) atthelake Feb 13, 2016 2:32 PM

They are where they have always been.  The control handed over to the rightsholders of currency is illusory.  If they disappear, then ownership reverts to the people where the physical (true) assets are located. 

Paper assets are not assets and will vaporize the moment the slaveowners are finished.

GreatUncle's picture

Yep, they have all looted their host nations.

With QE though and free trade flows they can have a population rape train where one nation is raped before moving onto the next in a perpetual cycle.

All central banks work in collusion because if any one central bank decides to not play along and risk the now global economic game of raping populations then regime change is the order of the day.

Who is the frontrunner in this, the mouthspeak of the cabal of central bankers?

THE IMF!

In the Lord of the Rings, one ring rules all the rings well the IMF is the monetary equivalent of the one bank that rules all the central banks.

fishwharf's picture

I thought it was the BIS.

Victory_Garden's picture

What evil says and what evil does, is like the weather.

Most likely, two different things.

 

WOW: NPR Is Admitting There’s A Possible Bank Collapse Coming!

http://investmentwatchblog.com/wow-npr-is-admitting-theres-a-possible-ba...

 

windcatcher's picture

Remember, if you try to bring the obvious fascist criminals to Justice, you are considered a terrorist and a threat to naional security. The crimials are the Law.

Stalking Wolf's picture

The spirit's of Jefferson and Washington must be amused with their faces and names being represented on central bank tenders... 

V for ...'s picture
V for ... (not verified) Stalking Wolf Feb 12, 2016 7:12 PM

+1 brother Stalking Wolf

V for ...'s picture
V for ... (not verified) Feb 12, 2016 1:53 PM

I must agree with George's analysis. Market riggers claim the situation is 'out of control' when indices fall, gold rises, and they scream for some form of bail out, again. A small number of people sit atop the global central bank cartel and criminal enterprises linked to that; paying fines instead of going to jail where they should be or swinging from lamp posts if they carry on with their madcap, criminally insane attempt to impoverish/kill/dominate the whole world (while giving their pet Isrhell a free pass for genocide, defying the U.N., and any norm of decent behavior and international law.)

"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."
Thomas Jefferson, (Attributed)
3rd president of US (1743 - 1826)  
He is right and so were other Presidents who defied the international financiers of no fixed abode, the looters. Sadly, some were assassinated for their principles, and the cabal is as murderous as it ever was, eg all NSA data goes direct to the cabal's pet Israel. Why?
Blackmail, bribery, threats...the tools of international financiers, past and present.
Hannibal's picture

Chechen Spetsnaz Kicks Butt at Jordan Competition (Video)

At last year’s King’s Challenge, a world cup for special operations forces, the team from Russia's Chechen Republic outclassed everyone...

http://russia-insider.com/en/military/russian-chechen-spetsnaz-shows-fla...

Hannibal's picture

Top Russian law enforcer proposes int’l coalition to fight ‘US financial dictatorship’ and global currency dominance..

"The head of Russia’s Investigative Committee, Aleksandr Bastrykin, has called for the creation of an international coalition of states to fight the “dictatorship” imposed by the US on the rest of the world, and to reject the use the US dollar as a reserve currency."

https://www.rt.com/politics/332286-top-russian-law-enforcer-proposes/

PrometeyBezkrilov's picture

This proposition would have made sense if the US ran this Ponzi Scheme, but it only hosts and facilitates it. The hand that holds the stick is elsewhere and it needs to be a target of the actions.

V for ...'s picture
V for ... (not verified) PrometeyBezkrilov Feb 12, 2016 7:20 PM

PrometeyBezkrilov understands the plight the USA faces; the State we are in; the worry of the world.

The hand that holds the stick lies, cheats, steals and hides behind every name for its own gain: AshkeNAZI, Bolsheviks, City of London and their Israhell, defying the U.N., international law and customs, using the USA as its bully boy and Treasury.

East Indian's picture

Perhaps Mr Draghi does not understand the meaning of the term 'sovereignty"; it includes the power to repudiate the loans the sovereign has taken, and the usurers can do nothing except wringing their hands; they will hike their interest rates the next time, but they will not hesitate to extend loans to the same sovereign that repudiated the earlier loans! This has repeatedly happened in the past, most famously in the case of Spain in the sixteenth and seventeenth centuries. Everytime Spanish crown defaulted, some financier was ruined, but it did not stop other financiers from extending new loans.

 

"The EU should have the power to police and interfere in member states’ national budgets."

 

***

 

“I am certain, if we want to restore confidence in the eurozone, countries will have to transfer part of their sovereignty to the European level.”

 

***

 

“Several governments have not yet understood that they lost their national sovereignty long ago. Because they ran up huge debts in the past, they are now dependent on the goodwill of the financial markets.”

These lines show his ignorance. Even today, thousands, if not millions, are ready to die for France, Germany, Spain, England or Greece; I doubt whether half a dozen people can be found who would readily die for the European Union. It has always been a project by the elites for the elites; as long as there was a trickle of benefits for the people, people acquisced; now that it has only taxes and confiscations for the people, I am sure they will not tolerate EU for a moment longer than necessary. Greece was pretty easy to control; even there the kind of anti - German feelings felt were intense. Try that in Italy or Spain, Mr Draghi, good luck.

Sovereignty cannot be lost to moneylenders. A sovereign would rather default than lose sovereignty to moneylenders. Sovereignty cannot be transferred in parts to other entities. Ultimately, sovereignty represents the will of the people, and if the people do not want to repay the loans they have taken, usurers cannot do anything. Gunboat diplomacy? Good luck. Even soldiers are toiling under loan burdens. At some point they will stop acting as mercenaries. Regimes fall when there is no one to defend them. If the EU forcibly "transfers" some sovereignty to itself, and starts bossing over countries that have centuries of identity and social life, I am sure that at some point, it will be difficult to hire thugs to keep the people down. And if the elite still persists in that course, they will have a feudal kingdom at the end.

V for ...'s picture
V for ... (not verified) East Indian Feb 12, 2016 1:37 PM

Well said, 'East Indian', but you'll never be elected into world politics because you are too educated, and respectful of all cultures, judging by your analysis of what is so very wrong about the State we are in; this ugly thing called corporatism which is not capitalist, nor socialist, and least of all humane.

Onan_the_Barbarian's picture

And yet, and yet...

The Italians allowed their elected government to be replaced by Brussels.

The Greeks and the Irish have allowed themselves to be subjugated.

So far.

 

Joe A's picture

IMF (with its 'Structural Adjustment Programs') and WB are part of what is called the 'Washington consensus' and along with CB and big banks are part of the 'capitalist consensus'.

cwsuisse's picture

The problem for the central banks is that the parasite dies with the host. No we, being the involuntary hosts, need to make sure that the parasites die before we die. It should be possible to find a suitable drug.

One of these is not like the others..'s picture

colloidal (or valcambi) silver?

hedgiex's picture

Take both hands to clap, what about those self sacrificial preys. 

bigrooster's picture

The tribe that runs the banks is the problem.  

clue4sum's picture

William K. Black former financial regulator who led tthe charge and put 1000 bankers in jail during 1984 S&L crisis..

One of his many books; "The best way to rob a bank is to own one".

MEAN BUSINESS's picture

Obviously NOT central banks, but yeah Bill Black is solid. In the following clip he makes remarks about Bernanke and Geitner and Holder. Priceless!

Bill Black @ #occupywallstreet on arresting banksters:

https://www.youtube.com/watch?v=4XJe7O-3QBc

clue4sum's picture

Correct you are,not central banks nor did they break any laws,since laws need not apply in this particular case( they are above the law,doing GOD's work;Blankfien I think),but they are still thieves who steal through their banking system. And when taxpayers bail out your bank after you've robbed it it's pretty close to that title.

 

Great link on my man; Bill Black ...thks

BullyBearish's picture

Impossible to have a FREE MARKET with an unaccountable central bank...END THE FED, ABOLISH THE FED, WITHDRAW THE CHARTER

V for ...'s picture
V for ... (not verified) BullyBearish Feb 12, 2016 1:40 PM

END THE FED, and its uglier parent the BoE, and its international crime family, the BIS.

Goldilocks's picture

Absofuckinglootly!

Grandad Grumps's picture

Andrew Jackson, the greatest American president!

Farqued Up's picture

Hell yeah, Old Hickory by far the greatest prez. Hated the central bank concept and was half pit bull and half Tasmanian Devil with the intellect of Sir Isaac.

MEAN BUSINESS's picture

...and a Democrat. So is Bernie going to "I killed the bank" too???

"It was in the 1830's, and the legendary figures from our nation's history were roaming the political landscape of the land. The footprint of party giant and one of the founders of the Democratic Party of the United States, President Andrew Jackson, threatened to engulf the party itself. The initial decision to break away from the Democratic-Republican Party in 1812 over ideological differences and the choice of its leadership, led to the birth of the Democratic Party and the subsequent role in the elevation of Jackson to the presidency. There was an absence of a formal nomination system for presidential candidates and it caused the build-up of factions within the party, jockeying for post and favors, along with an increasingly prevalent concentration of power among an elite group aligned with President Jackson."

http://2016.democratic-convention.org/

messystateofaffairs's picture

Can't we just let the free market choose its own specie money, kill all tax collectors, and let contract law be the only business regulator?

frankly scarlet's picture

Well the truth be known the USA Inc has been bankrupted and had various restructuring several times, the last restructure for bankruotcy being 1933-34 and called "the New Deal" Each time under a reset society is also restructured to make the looters job easier and the "citizen" also easier to control...eg.) Universal Commercial Law adopted by the various states in the 50s and 60s formally supplanting common law with Admiralty-military law (why the Patriot ACt and NDAA sections are valid law and anyone who breaks the statutes and acts being considered a "belligerent or enemy combatant" UNDER law) unless you can avail yourself of common law by changing your relationship with the state from person-citizen as surety of ALL the public-state debt to the private living being you are as one of the people as in "we the people" not "we the persons or citizens" you are now. This all has to do with the laws surrounding military invasion and the rules-laws of war of subjugated peoples and how the invading force must towards the people depending on how they act....the invading force is the Federal Government called the U.S. of A. Inc.

blindman's picture

government is a void and a vacuum, like space itself. it is horrible
and desolate and truly a thankless domain. that is why good people
must jump into it or all the people will be subject to tyranny. nothing but war
can correct that deficit and the wars will mostly be misdirected, fruitless
and futile; punishing and randomly murderous, mindless, perversely usurious.
so, good people must enjoin government just to keep the vampires and ghouls
from taking up that space or, as technology "advances", we are all doomed to the whims of the psychopaths in positions of charade and influence as we have seen over the last decades.