“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 them will deprive the people of all property until their children wake up homeless on the continent their Fathers conquered... I believe that banking institutions are more dangerous to our liberties than standing armies... The issuing power should be taken from the banks and restored to the people to whom it properly belongs.” ― Thomas Jefferson
Though official government reports continue to reflect an improving and somewhat favorable picture of employment and other economic figures, most people live a different reality from the propaganda! As we enter a crucial turning point in world history, this is a topic that I will return to time and again. Over the coming months every effort will be made to assure the masses - the vast majority of whom either work or depend on fixed pensions to survive - that the worst is over and better days lie ahead. But the public picture of recovery bears as little resemblance to reality as the doctored images of the 'perfect' supermodel whose purpose is to sell as many buyers as possible on its latest beauty product! Neither you, nor the moribund economy will ever be able to live up to those unrealistic expectations!
Unfortunately though, while most people continue to be concerned about the threat of hyperinflation, keeping their guard up against similar blows to those which have so far come their way - they fail to notice that powerful left hook until it is upon them - the economy is about to have the air completely knocked out of it and spend what will seem to be an eternity flat on its back and gasping for oxygen! The only way out of the debt-induced, bubble coma is via a deep, drawn-out deflationary depression. There is no earthly power that can prevent a global unraveling which resumes in earnest in late 2012, neither ongoing trillions pumped in by the Fed, nor a stimulation plan financed by future generations of tax slaves. The giant hissing sound will continue to be heard until every bubble is totally deflated!
The politicians have a pretty good idea what lies ahead, but their concern is getting past November! While they distract the populace with the twin bogeymen of terrorism and the non-existent threat of a nuclear-armed Iran (supposedly less than a year away from 'the bomb' for almost two decades now) they prepare for the real war, soon to be underway against a populace that awakens to the reality of chronic joblessness and starvation, by passing draconian legislation and preparing detention camps!
Historical evidence is crystal clear that nations with government debts exceeding 100% of GDP have been unable to survive for very long before becoming bankrupt! The most powerful country of today recently crossed this crucial inflection point for federal debt which, by including unfunded programs guaranteed by the State (such as Social Security & Medicare) shows a true liability exceeding 500%! Set against the background of huge trade deficits and negligible savings, this is a recipe for disaster!
As the important 3-part article below reveals with stunning clarity, history repeats in regular cycles! We are right in the middle of one such 10 to 20 year cycle turn that began circa 2008. By the end of our great turning today's leading power will emerge a mere shadow of its former strength and glory!
Every great turning point has brought challenges for the many, but an opportunity for the prepared! Most will carry on as if the 'old' model still applies and pay dearly for trusting those who hold power. The wise will prepare now by paying off (most or all) debts, whilst getting ready to grab great deals!
The Federal Reserve Act’s elastic currency made it possible for President Wilson to promise to enter WW I. Wall Street wanted to enter the war so they could bankrupt England, overthrow the Czar killing 60 million Russians in the process and set up Palestine as a Jewish colony to be protected by the British Army. This was similar to WW II. The Japanese Emperor had promised to withdraw from China and to even become an ally against Stalin as early as 1936. The German General staff under Beck and Canaris sent two men in March of 1938 to negotiate a treaty with the English offering to arrest Hitler. This means that World War II from the Rape of Nanking to the atomic bombs dropped on Hiroshima and Nagasaki and from the invasion of Poland to the fall of Berlin need not have happened. That 58 million people died for nothing does not merit a footnote in the stories told by the victorious Allies.
After WW II the US gave north Korea to Joe Stalin so they could set up the Korean war to get anti-Communists killed while running America into ground. On 11-22-1963 President Kennedy was killed on the 53rd anniversary of the first meeting to create the Federal Reserve as a message to the voters to leave the FED alone. JFK’s death also allowed Israel to develop the nuclear weapons he had opposed. It also allowed the US to be led into the Vietnam war so America could lose it while killing a generation of anti-Communists and anti-Globalists, That millions of people died in Korea and Indo-China and even more Unpayable Debts were piled onto America which was very good in the eyes of bankers.
The Bretton Woods Conference of July 1944 was held by 44 Allies under the auspices of the UN. It tied all currencies to the US dollar. It also set up the IMF which most in the Third World and increasing numbers of Greeks, Irishmen, Italians and many other Europeans would agree are blood sucking imperialists. The IMF in recent years stole more than 20 billion dollars from the Irish people and has given nothing in return. That same conference also created the World Bank which for example forbade the Egyptians to develop a self sufficient agricultural system so it would be dependent on Imperial powers. The Bretton Woods system of monetary relations worked very well for the banks of London and Wall Street until August 15, 1971 when President Nixon took America off the Gold Exchange standard.
Michael Hudson in his book Super Imperialism described how the US was funding its wars by inflating the supply of currency used to settle trade. Since WW II we have been getting real goods like cars and clothes from foreigners in exchange for increasingly worthless paper. When Hudson explained this to the Pentagon, a general said, “Wow. We are ripping people off.”
The Arab-Israeli war of October 6 to 25, 1973 was a prelude to the Arab Oil Boycott. Saudi Arabia decided to reduce oil production by 5% per month on October 17. On October 19, President Nixon authorized a major arms shipment and $2.2 billion in aid for Israel. In response Saudi Arabia declared an embargo against the U. S. This quadrupled the price of oil. Dollars can be used to pay taxes to the US government. After the Boycott dollars could also be used to pay for oil sales between countries neither of which had a need to pay taxes to the American government. Henry Kissinger gave birth to the Petrodollar standard, The important points about Petrodollars are that the price of oil must be kept high so that excess dollars in the system do not circulate causing inflation and oil profits are plowed into US Treasury bonds. The Petrodollar Standard requires conflict in the Mideast to raise tensions and oil prices. It also requires banks like Goldman Sachs to use the derivatives market to buy and sell oil as many as 27 times from the time it gets pumped out of the ground until it arrives at a gas station. Of course higher oil prices do raise some production costs and cause some unemployment but Wall Street dies very well and nobody else matters.
Since the passage of NAFTA in 1994 and the subsequent devaluation of the Chinese yuan, America shipped 50,000 manufacturing plants overseas. This forever made economic recovery of the real economy impossible. In 1996 the head of CalPERS (California Public Employees’ Retirement System) told Catherine Austin Fitts that there was no point in investing to rebuild America because the decision had already been made to take America down. Subsequently Catherine who used to be the managing partner at Dillon Read Investment bank had a conversation with another high level funds manager. They had both independently come to the same conclusion. There was so much money being stolen from Americans by Wall Street that the only solution to the problem of missing pension funds, savings and retirement accounts was genocide. Wall Street would have to kill tens of millions of Americans because the tens of trillions they stole could never be returned.
Lest anyone think bankers are dull but honest men please consider the testimony of a former DEA agent who said it was impossible to get Federal Reserve co-operation in money laundering cases against the Too Big To Jail banks. He said 750 tons of Federal Reserve Notes had to be repatriated for just one case involving one bank. Transactions over ten thousand dollars require special reports to be filled out. A case involving 380 billion dollars would have generated 38 million reports for ten thousand dollar transactions or 38 thousand at a million dollars each. It is forbidden to mention in the Controlled Press that Ben Bernanke and his predecessor Alan Greenspan are Jewish.
In 1999 the final two nails in the coffin of the world economy was driven by Wall Street and the politicians they owned. They repealed the Glass Steagall Act of 1933 which had protected depositors from the wild speculations of investment bankers by separating the two types of banks. This has now exposed the Too Big To Jail banks to 227 trillion dollars in potential losses from the unregulated Credit Default Swaps market. Brooksley Born was Chairman of the Commodities Futures Trading Omission in 1999 when she attempted to regulate CDS. They are a hybrid between insurance and derivatives which are a bet on the future value of a bond or a commodity. She knew that world was headed to a train wreck because for example when a bank sells a CDS guaranteeing the buyer from a loss in the value of a Greek bond no money has to be set aside to pay these potential claims. Some say the total notional value of the derivatives and CDS markets is 1.5 quadrillion dollars. The GDP of the entire world is only 60 trillion dollars, From 2008 to the end of 2011 Ben Bernanke created 30 trillion dollars to bailout bad decisions and frauds made by bankers all over the world. He has created additional trillions of dollars this year. There is no money set aside for these CDS losses thanks to the intervention of four Jewish men who told Ms Born she was nor allowed to regulate CDS. The men were Alan Greenspan, Robert Rubin, Larry Summers (Samuelson) and Arthur Levitt. The only Bailout Bernanke ever had was to print dollars to infinity thus reducing the purchasing power of your dollars to zero.
In 2000 Alan Greenspan started raising interest rates and tightening the money supply early enough in the year to take the stock market down before election day so George W Bush could win the presidency and take America to war for Israel. This War on Terror was designed to last until America went bankrupt and lost WW III. The whole point of NAFTA was to make America’s supply lines stretch 8,000 miles to China on a dodgy credit card so America would be guaranteed to lose WW III and be unable to demand the return of the tens of trillions Wall Street had stolen.
On September 10, 2001 Secretary of Defense Donald Rumsfeld and the Comptroller of the Pentagon Rabbi Dov Zakheim admitted to CBS News that they could not trace 2.3 trillion dollars on DOD spending. Using the works of Catherine Austin Fitts, I estimate that the bankers are allowed to steal at least 3 to 4 billion dollars a week from federal spending which we peasants are not allowed to audit.
On September 11, 2001 four airplanes were electronically hijacked using the Command Transmitter System which remotely takes over airliners that had been hijacked. There had been no hijackings of US passenger jets for many years prior to 911. The Armed Forces Institute of Pathology found no Arab DNA on Flight 77 which allegedly hit the Pentagon. Robert Andrews, a former Green Beret, was the Assistant Deputy Secretary of Defense who commanded US Special Ops forces. He saw a bomb go off that killed the auditors attempting to trace the missing 2.3 trillion dollars. There were no Arabs on the 4 planes on the passenger and crew list published by CNN. Nanothermite which cuts through steel girders at 5,200 degrees Fahrenheit (2,871 Celsius) in 2 seconds is only available at above top secret labs in the US and Israel. It was found in the dust at the World Trade Center in New York. The Towers were taken down by controlled demolitions.
America has killed millions of Iraqis and Afghans at a cost of 2 trillion dollars for no good reason other than Israel wanted them dead. Israel claims all the land from the Nile to the Euphrates which is presently occupied by 300 million Gentiles. Israel’s goal is to get Americans into one final war in the Mideast. It will be a genocidal attack from which America is intended to suffer a death blow. I need to point out that the purpose of the drones killing innocent civilians is to display American arrogance and contempt for the Muslims so that when the war does start the oppressed people of the region will kill every occupying soldier. This will justify the use of nuclear weapons to exterminate the enemies of Israel. After the genocide is over, those Americans who do not die from starvation and radiation or perhaps a plague can take their place as Debt Slaves to Wall Street. By the way, the Iranians do not have a nuclear weapons program.
We are in the final approach pattern to the planned destruction of the dollar and the enslavement of the American people. Ben Bernanke has said he will be printing even more money and that he will be buying agency paper (FHA, Fannie Mae) from the Hedge Funds at 100 cents on the dollar. The current real inflation rate just passed 12%. In 2 months the Hedge Funds will sell their bonds. They could invest their proceeds in the stock market hoping that Apple will go from 600 to 700 dollars. Since interest rates on ten year bonds have gone up and will likely continue to rise, both the stock market and existing bonds will go down in value. The only safe investment might be commodities and gold and silver bullion. Inflation will pick up as higher fuel prices are passed through the supply chain, Foreigners will accelerate their flight from the dollar into bullion and commodities. This capital flight will spur inflation even further and send the stock market plummeting.
I am of the opinion that the generals and the admirals and the colonels and the naval captains will mutiny rather than commit suicide by attacking Iran.
I have heard several people of late say that things have deteriorated so much in America that the people who knew better but played along with the lies they were told have seen the light. Now these people are finally admitting what the rest of us have known for some time. Our self appointed leaders are stark raving mad and will get us all killed.if we do not say No. The people who have woken to the Truth have not become violent yet. If the politicians ever do give the order to launch World War III by attacking Iran, the US military will muting and arrest everyone in the chain of command who signed off on the internationally recognized crime of preemptive war. This will have to include the bankers who stole tens of trillions of dollars and have committed treason as well.
The dollar will be dead and the economy will need resuscitation to prevent worldwide mass starvation. But at least we will have redeemed ourselves by saying No to launching World War III and killing a few billion people.