I was elated to be invited by Henrik Palmgren from Red Ice Creations for an extensive interview.
Unfortunately I don’t know how to embed a Flashplayer in WordPress, here’s the link to the show.
Here’s the intro as published on Red Ice Creations’ website:
Anthony Migchels – Hour 1 – Usury: The Problem with the Economic System & Alternative Currencies
November 28, 2014
Anthony Migchels is an Interest-Free Currency activist and founder of the Gelre, the first Regional Currency in the Netherlands. He joins us to talk about the very central problems of economics today, usury or interest, alternative currencies and more. We begin by discussing the problems with our global usury economy, which results in the rich owning the majority of the wealth – a scheme that will inevitably lead to an economic collapse. Anthony explains how the money powers that be have plans spanning centuries and this predatory system, disguised as a free market strategy, is backed by the extremes of Libertarianism and Marxism, philosophies that contradict the very nature of mankind. We’ll also take a look at how the workforce produces the majority of the wealth for the rich, yet their wages, food and basic commodities are taxed, resulting in total slavery to the state. Then, Anthony talks about the monetary reform movement, which is concerned with the creation of money out of nothing, as opposed to the problem of usury. In the second hour, we discuss the shift of power and the crunch to destroy the west that occurred when the U.S. exported its entire manufacturing base to China. We’ll also talk about capitalism, mass immigration, feminism and the destruction of the nuclear family, and the degradation of the brotherhood of men. Then, we’ll consider the implications of revisionist history concerning WWII and the Jewish banking system’s involvement. Anthony then discusses the Euro-crisis and the inevitable crash of the global economy. We’ll wrap up with some reflections on possibilities of a mass awakening and the improvement of living standards.
(Left/Above: the logo of the Gelre, the first unit based on the Talent. Soon we will launch a national unit for the Netherlands)
Alternative currencies are a crucial component in addressing our monetary problems. However, the monetary architectures that are currently available are wholly insufficient to provide serious relief for Main Street. The Talent is the first independent currency model that provides all functions that modern currencies need to truly compete within the Dollar/Euro paradigm. Not only that: it is now available for immediate implementation at ultra low cost.
Interest slavery and the ongoing gutting of the West through the credit crunch continue to erode living standards everywhere. Small and Medium business is suffocating for lack of credit and demand in the economy, while Big Business is reporting record profits and claiming larger and larger shares of the market.
High class units, operated professionally by people who know what they are doing, have every opportunity to provide small and medium business with both the liquidity they need to operate and new customers. Alternative currencies are not only a great customer loyalty program, as people can spend the units only with the businesses who accept them, they also have the potential to seriously alleviate the liquidity problems of the business’s customers.
In hard times, alternative currencies tend to boom. During the Great Depression literally hundreds of them were operated in the United States. In Spain and Greece, hit hard by the Euro Crisis, have seen dozens of units spring up. Argentina has been surviving because of them since its 1998/2002 collapse.
Most famous is the Swiss WIR, which has been turning over billions since its inception in 1934. It’s famed for its stabilizing effect during recessions, when capital scarcity makes it more worth while for business to deal with its limitations.
Limitations of Alternative Currencies
However, the Alternative Currency market remains handicapped by major problems. Amateurism and lacking monetary architects of the units being the main ones. The currencies that manage to thrive are typically run by energetic people. The WIR shows how far even very primitive currencies can go if run by a professional organization.
This shows both in the superficial analysis of both the real nitty gritty of the monetary problems that we face and the political context. The field is dominated by idealists. Over the last few years a marked improvement in terms of political awareness is definitely palpable: say five years ago most in the alternative currency business were oblivious to that bankers behind it all, for instance. Nowadays this is no longer the case, everybody is used to ‘conspiracy’. But this creates a new problem: the disconnect between the awareness on the web and the stone age conversation that is still the norm in the mainstream.
At the moment the discussion about the monetary architectures that are available is mounting and that is indeed very important, but still much remains to be desired.
Entrepreneurial ambition is really key to make it all work, but this must be combined with level headed appreciation of the monetary and this combination has shown to be very elusive indeed.
The Key Challenge for Modern Currencies
There are two major architectures that hold sway: Euro/Dollar backed units and Mutual Credit based units. Most units work with the basic agreement that 1 Unit = 1 Euro/Dollar, meaning they use the Euro or Dollar as unit of account.
The Euro/Dollar backed units, for instance the American Berkshares, the German Chiemgauer or the British Brixton Pound, are created by selling units: A Berkshare is sold for $1. The Dollar is held by the issuing organization, the Berkshare is spent into circulation at a local business. The local business can spend the unit with a colleague or pay an employee. If at some point a business acquires more Berkshares than it can spend in the network, they can reclaim a Dollar for every unit with the issuing organization.
The great boon of this system is that it allows convertibility of the unit. However, the great downside is that there can never be more Berkshares in circulation than the issuer has Dollars at hand. This means that there can be no interest-free credit. Money scarcity remains a real issue, as the money supply is dependent on scarce Dollar.
Mutual Credit based systems create money as credit: participants, businesses in particular, can just get a credit line in the unit and start spending. The minute they do, new money comes into circulation. When a debtor repays, money is taken out of circulation.
The great upside of this system is that there is no money scarcity: people will typically experience an abundance of money and a shortage of places where they could spend the units. The exact opposite of the Dollar/Euro situation, where most have less money than they would need to invest. There is interest-free credit.
But this comes with a price: there is no Dollar/Euro in the bank to back the unit or to convert. And this is a real problem, because there will always be businesses, usually the more succesful ones, providing popular goods or services, who obtain too many of the units, more than they can usefully spend in the network and they will have to limit there intake, creating serious bottlenecks in trade.
The Talent answers these challenges by providing the first fully convertible Mutual Credit based unit in the world. By providing an online exchange where people can buy and sell the unit. See here for a full breakdown of the system.
The Talent is a complete set of software and best practices, that is now available to everyone who wants to start his own currency. It can be implemented at very low cost and provides the start up with everything he needs to operate a truly comprehensive currency backed with high class methodology, incorporating the lessons learned with 80 years of experience with these units worldwide.
Implementation of the Talent comes with full consultancy for the starting initiative by the system’s developer, the writer of these lines.
The Talent’s proposition is particularly ideal for entrepreneurial people who know what is at stake, who see the clear business opportunity that creating high class, professionally run units provide for both participants and the initiator himself.
By implementing the Talent, the entrepreneur can focus on building the network and the organization necessary to run it, resting assured he’s offering his participants the best complementary currency currently available anywhere.
The Talent is the first unit in the world that provides everything we expect from money:
– It is sufficiently available (‘abundant money’)
– It provides interest-free credit
– It is convertible to Euro/Dollar
– Allows payment on-line and by mobile phone
– Connects both businesses and consumers and potentially (local Government)
– Implementation comes with full consultancy.
All in all the Talent is the first architecture that truly allows head on competition with Dollar or Euro in the marketplace.
The Time is NOW
Years of research and development have been invested in the Talent. It answers all the major issues facing those in the field today. The first unit based on the Talent is the Gelre, which is in pilot phase and for which we are currently raising funds for wider marketing. Soon a national variant for the Netherlands will be launched.
Implementation is seriously considered in the United States, Britain and Ireland.
Funding remains a huge issue. It’s sad: not so much money is required, but while there are Trillions available for saving banks, it’s very hard to get even a few thousand to save us from the banks.
However, we will soon launch a major crowd funding initiative, where you will have a hands on chance to make a difference in the struggle against the Banks and their Usury and deflation and for normal people looking for a reasonable deal!
(Left/Above: the Trillions that they rake in in Usury every year allow the Bankers to hire endless numbers of fools in pretty suits to explain it’s all for the greater good and they have their media parade these people before an ever more desensitized public. This particular specimen, Fine Gael Senator Martin Conway, while trying to sell water meters to the Irish, managed to say on television ‘water does not just fall out of the sky, you know’.)
The Enclosure of the Commons is an ongoing process, in which the peoples of the World are disowned from their natural heritage. Paying for their own land, their own water and soon their own sunlight and air. It’s an integral part of our complete enslavement.
Usury has, throughout the ages, driven this disownment of the commoner.
Complete liberation of the Commons is a key goal in the struggle for real economic freedom. Commoners have a right to access to their fair share of the Commons at cost price.
The Commons are “the cultural and natural resources accessible to all members of a society, including natural materials such as air, water, and a habitable earth.”
The difference between the Commons and Capital is that Capital goods were created by men, the Commons were created by God.
Capital should be owned by its creator or by those who have purchased it. The Commons are part of our common heritage and every human being has by natural law rights to his fair share in them.
Capital goods that were created in the common interest, with public means, must also be considered part of the Commons. For instance a public railway system.
The commoner is anybody with rights to the Commons.
The historical context
Throughout history, there is an ongoing battle between the rich and the many for control of the Commons. It’s a key part of our economic history.
Currently, we are in the endgame of this process: the people have been basically completely disowned already and after the coming collapse, the ultra wealthy and the State will consolidate what up till now remained in the hands of the middle class.
The same process brought the 1000 year old Roman Empire down: when it collapsed, all land and most other assets had been centralized in the hands of a very few through Usury and this unsustainable situation was ultimately the reason why it was brought down.
In Medieval Europe, the Landed Aristocracy and the Vatican owned the Land and the commoner lost about 10 to 20% of his production in rents and taxes to his ‘Lords’. Unskilled Labor worked about 15 weeks a year to feed a family. A Craftsman could afford to work even less.
There is no reason to idealize the situation. Life was brutal in many ways and the distinction between the Aristocracy and the common man was enormous. Serfdom is hardly what we are looking for. The spiritual tyranny of the Vatican came with many outrages.
Still, there can be no doubt at all that the standard of living in Britain in the late Medieval era was much higher than for instance during the 19th century. While Britain ruled the waves, the British common man faced an abject fate in the sweatshops, should he manage to escape the press gangs.
Only after the war did things really improve for the commoner. But over the last 40 years real wages have been declining constantly, meaning all economic ‘growth’ is being gobbled up by the 0,001%.
So what’s going on? How is it possible that in the ‘rich West’ the commoner must now work 40 hours per week, up to 50 weeks a year for sustenance? That 150 years ago, normal people were far worse off than their ancestors in the Middle Ages?
Well, Usury happened, and Usury started buying up the Commons, gaining rents, while raising them too. People are more and more forced to pay more and more for what was always theirs.
Usurpation of the Commons
It’s an ongoing process, continuing very much today. Globally. Water is the main front at the moment. An excellent example is Ireland: the IMF (Usury) forced the Irish Government to install water meters at private homes. Part of the ‘structural adjustments’ ‘necessary’ for making available the next tranche of loans (which are needed service the old loans). This prepares for the next step: privatizing the water utility.
This step has already been taken in Detroit, another place ‘needing’ bail outs after it was suckered by the bankers’ derivative hoax. The obvious result: rising prices, people being cut off from what is of course basically their own property.
Meanwhile, they’re creating artificial scarcity, by destroying competition and alternative sources. Fracking is undoubtedly a huge part of that.
And it’s not just water. Even sunlight is now under attack. In Spain draconian fines are threatened to those who dare use solar panels. The Solar Police is allowed to enter Spanish private quarters without a warrant if they suspect somebody may leeching off of the sun, which is just another finite resource, that ‘doesn’t just fall out of the sky, you know’.
‘Next they’ll tax us for breathing’, is an old running gag. But it’s not a joke and there is every reason to believe that at some point either the State or a Corporation will claim ‘air is not a human right’ and is a ‘finite resource’.
How the Money Power busted the Landed ‘Aristocracy’
In Medieval Europe, say starting around the 13th century, when urbanization started and the first Kings managed to forge the basics of the Nation States, Usury was already on board. Lending to the Kings, not even at interest, but in return for concessions. Taking over sources of income from the State.
Providing the Landed Aristocracy with mortgages (who would then default), slowly but surely started centralizing Land in the hands of richer and richer Plutocrats. The Protocols extensively describe this process. They boast how they managed to make the Kings believe that borrowing was in their interest, while at 5% already after 20 years the whole principal was paid in interest, without even denting the debt itself. While the Kings could have taken everything in taxation from their people directly.
They also report on slowly but surely pushing out the Landed Aristocracy, both through Usury and marriage. They point at the French Revolution as the coup de grace for the Aristocracy as a political force. But they remained a problem, because their land holdings allowed them and their people to at least live freely from their own lands, allowing them real sovereignty. This issue was finally settled in the 19th and 20th century by taxing land holdings.
While 1789 settled matters in the West, the Protocols predated 1917, which destroyed the old arrangements in the East. Even in America the basic conflict is visible, with the Landed Plutocrats framing the Constitution, while the Bankers established control in the early 19th century through Hamilton.
Another infamous example is post 1066 Britain, when William the Conqueror allowed the Jews into England. With them came Usury and the shetar, their contracts, subverting classical English common law. Within decades Jews were the richest people in the country.
Jews were, like most Gentiles, forbidden to own land, but ways were found to make it possible for debtors to collateralize land holdings and the issue quickly became a major plague. The Magna Carta was the first reaction against their practices and in 1290 they were kicked out of the country, until that despicable (ask the Irish) Calvinist stooge of Jewish Amsterdam Finance, Cromwell, let them back in.
Usury leads to escalating rents
Usury not only allows for enclosure of the Commons, it also allows for higher rents. For instance: to buy some land, most people will need a mortgage. A mortgage costs 150% of the principal in Usury over 30 years. Landlords pass these costs on to tenants. Even when the mortgage has been paid off, and there is no cost for capital to pass on anymore, there is the wholly artificial idea of ‘opportunity cost’. The money invested in Land could have been profitably invested elsewhere and the ‘loss’ of this ‘opportunity’ must be ‘compensated’.
Nowadays about 75% of rents for housing are Usury or ‘opportunity cost’ passed on by the landlord.
The idea that people need to pay for the land they live on from the moment they were born is strictly for humans only. No other species has a brain powerful enough to spin reality into such absurdity.
Nobody can call himself free if he’s a slave to landlordism, just as he cannot be free as long as he is chained by Usury and scarce money.
Classical Economists, like Adam Smith, Ricardo and the people before them, considered Land, Labor and Capital to be the factors of production.
‘Modern Economics‘, beginning with Karl Marx, managed to obscure this.
We need to reestablish again the difference between man made goods and our natural heritage, so that we can have a clear view of our rights and duties.
Land reform and the wider liberation of the Commons is a key target in the struggle against the Plutocracy.
As we have seen, it is Usury that has managed to usurp the Commons, overtaking the Landed Aristocracy that preceded it as the main power, so monetary reform is obviously the main goal.
But Land reform is definitely its younger brother and part of the same fight.
Unfortunately, current land reform proposals, most notably Georgism, are lacking, mainly because of their mistaken trust in the State and taxation.
In a forthcoming article we’ll discuss how we can equitably reform land, without empowering the State and/or its opulent owners.
Last week I did an extensive interview with Plane (Paul) from the Plane Truth. The Plane Truth has had a number of highly worthwhile guests on, including recently David Livingstone.
It was a bit of a wild ride, because we had plenty of time, 100 minutes, enabling us to cover a great deal of the issues under discussion here at Real Currencies and in the Alternative Media in general:
– The bankers
– The Capitalist Monopoly
– The Jewish Question
– Austrianism and Libertarianism
– Alternative Currencies
– Putin and Russia
– National Monetary Reform
– And much more.
And here is the final installment of the interviews with Morris the great cognitive dissonance of the Alternative Media: everybody is talking about the Bankers, nobody is talking about economics and monetary reform. We also recapitulate the conclusions of Hitler’s finances.
(Above/Left: For the time being, China still allows Putin the center position.)
Far from being ‘the end of the NWO’, the ongoing decline and coming collapse of the US Empire and its Petrodollar are the Money Power’s key goal in her age old drive to World Government. The BRICS Bank is a purely Globalist institution that paves the way for a new Currency Order after the Petrodollar has been done away with.
The endless chatter in the Alternative Media about Putin and Russia ‘fighting the New World Order’ looks a little hopeless at times. It’s not that Putin does not seem to be a fairly reasonable chap for a politician and ‘world leader’. Clearly he has the moral high ground in the sense that US/Zionist Imperialism in the Middle East and the ghoulish coup and provocations in the Ukraine are obviously purely criminal and Russia is defending legitimate interests.
But the ongoing equation of the New World Order with the US Empire is the sand in our eyes: the reality is that the US as the hegemon is dead. Why do people believe the New World Order would be interested in the United States after decades of horrendous domestic policies that have destroyed the health of the population with GMO and Big Pharma? After letting its once world class infrastructure crumble away before our very eyes? After outsourcing its manufacturing base to China, its supposed ‘strategic rival’? Do people think the Bankers are stupid? That they don’t know how to run a country properly? That they would destroy the goose laying the golden eggs without a plan?
The United States has been eaten from within and its bloated military and overvalued Petrodollar are the only things keeping its emaciated corpse still looking somewhat frightening. But both are totally overextended and antiquated and will without any doubt meet their doom within the foreseeable future.
The debate is far too much about people. Barack Obama golfing while the heroic Putin is doing so much good. This is not the kind of analysis that is very troubling for the Bankers. We need to focus on the larger picture. The who behind the scenes, instead of the puppets in the limelight. And, even much more important, understanding their strategies, their methodology, their main gun being Banking, institutionalized Usury.
Obviously a usurious BRICS Bank, that will undoubtedly be ready for a key role for Gold once the Petrodollar is resetted out of existence, is not in any way ‘threatening’ to the Globalist Bankers on their road to World Currency. No, it’s just the next step in an age old plan.
The Money Power
The Money Power is the group of age old Banking Families that rule the world from behind the scenes. They are the Princes and High Priests of Mammon’s Empire. Jewish Trillionaires are at its core, but many old European ‘noble’ families are also very highly placed.
God only knows where they came from or where they learned their tortuous tricks. Perhaps the old God Kings that used to rule the planet before the Great Flood put us back into the stone age left a copy of their handbook in Babylon, where the Jewish Pharisees and Money Changers and some others seem to have learned the trade.
The core of their Empire is the Capitalist Monopoly: all the major banks own each other, and are ultimately owned by said families. Not only that, they also own 80% of all Transnationals, plus associated patents: their technology is undoubtedly very advanced. They also control most land and related resources.
They have built this Empire through Usury: compound interest makes it inevitable that the very richest own everything within generations.
Not only do they own everything, they also own everybody. We are totally enslaved through Usury, taxation and artificial scarcity.
Our chains are invisible. Usury is the main issue and it’s invisible because most of what we lose to it is in the prices we pay for normal day to day goods and services: producers incur costs for capital during production and must pass these costs on to the consumer. These costs compound in the supply chain and it transpires that about 40% of prices we pay are Usury passed on to us.
Not only that, the State is also owned by the Plutocracy. Always has been: there is no precedent in history of a State that was not outright controlled by the Powers that Be behind the scenes. This is very important to understand, because it is quite common to look at the State for salvation against Plutocracy. But the State has, besides Usury, always been their main method of control! As the Protocols put it: “In the beginnings of the structure of society they were subjected to brutal and blind force; afterwards — to Law, which is the same force, only disguised.”
Taxation is up to 50% Usury passed on to the taxpayer, what remains is directly controlled by the Plutocracy also through its asset, the State.
The Transnational Cartel (Oil, Automotive Industry, Telecom, Big Pharma, etc) operates through monopoly and artificial scarcity. In a healthy economy, mass production crushes prices, but the Cartel keeps prices inflated by buying up or crushing all competition. Through inflated prices, they suck away most of what remains of our life force after we have paid all the Usury and taxation.
This is what looks so desperate about people worrying about the coming New World Order. It’s not a ‘new’ world order, it’s a very old world order, that is just externalizing the Hierarchy in World Government: we are already totally, utterly, completely enslaved.
Oil and the rise of Russia, Iran and China
It’s well known that Empire has traditionally built up ‘enemies’. Either to crush them, or because they are needed for dialectical struggles that can be exploited. The Money Power is a global Empire, that has the nations battle it out amongst each other. Warring is profitable, it traumatizes people so they are more easily controlled and ritual sacrifice is pleasing to their ‘god’.
A good example was Saddam Hussein, who they provided with know how and arms, so he could offer a good excuse for invading the Middle East. Enemy du jour is ISIS, which is well known to have been built up from scratch by the US through its Saudi Arabia and Gulf State proxies. Now that it is strong enough, they can start fighting it. The real war is of course against the peoples of Iraq and Syria, but a bogey man is needed to hide the resource grabs behind it all.
The same has been going on with the Sino-Russian axis and Iran.
China has been built up by handing it the Money Power’s manufacturing base. This is a disaster for both the US Empire and the American people. Two wholly different entities, mortal enemies, although the gullible masses tend to enjoy the ego aggrandizement associated with being part of a big Empire, overlooking that this comes at the price of subjugation.
Is Washington stupid? Does it not know that its power was built on the thrift of its people? Of course they’re not stupid. Washington is a tool of another power, that’s why this is happening.
Russia is a different story: it has long been controlled through its dependence on Oil exports.
In the eighties Reagan started an arms race against the Soviet Union and he has been credited for bringing down that ‘evil Empire’. The real story, however, was that the Money Power institution that actually rules America (the Federal Reserve Bank and its owners), crashed Oil prices by restoring the Dollar, that had been inflating badly in the seventies. This was the key reason that the Soviet economy finally crumbled and could no longer maintain a ‘threatening’ facade.
In the nineties, when the Money Power was plundering the ex-Soviet economy through its Jewish Oligarch proxies, Oil prices remained very low and Russia on its knees.
Then in the early 2000’s, just after Putin came to power, they started raising Oil prices again, both by US military adventurism in the Middle East and by massive speculation by Wall Street. The Money Power controls all major resources and can halve, double or quadruple all prices at a moment’s notice. Oil prices actually went up tenfold: at its peak it stood at about $150 for a barrel, up from $15 only a few years earlier.
These insane (and totally unnecessary) prices have provided Russia with an enormous windfall. Russia? Well, the Russian State and the Oligarchs, Putin included, anyway. The common man saw little of it and wealth inequality in Russia is at US levels.
The Russian State under Putin used the money to pay off the National Debt and particularly to reinvigorate the Russian military. The same can be said of Iran, which has been heavily investing in its military, which would have been impossible without the massive Oil boom.
All this is absolutely totally typical of long term Money Power scenario based planning.
While Russia is obviously in much better shape than when he came to power, Putin has rebuilt Russia into neo-fascism.
Fascism is a form of Government with a strong State, intimately cooperating with Big Business. Marxism, on the other hand, is a strong State with nationalized industry. Both systems are highly amenable to the Money Power. They have used both modes routinely and it is quite close to what they have planned for their Global Kingdom.
Today’s fascism has not the brutal face of National Socialism, let alone Stalinism, it’s somewhat softer. Russia holds regular elections for instance, which, as we know, would be immediately outlawed if they made any difference. But there is no need for any illusions about the risks of crossing Putin or the System/Plutocracy he represents. The Russian media, the banks and the economy at large are totally controlled by the global puppeteers.
The Russian State needs the current mayhem as much as the US and the West do: States are antithetical to both Spirit and the needs of ‘their’ people and they need manufactured problems and particularly enemies for their protection racket to thrive. As a case in point, Putin’s approval ratings have been unbelievable since the Ukraine crisis started.
What is crucial to understand is, that Putin only has to represent ‘legitimate’ Russian interests in a ‘reasonable’ way to provide the Bankers with exactly what they want: ongoing tension and the build up to war, which is the goal. We don’t have to defame him unnecessarily, we don’t have to call him or even his actions evil: it is clear the US Empire is the unadulterated aggressor and all Putin has to do is defend assertively.
It cannot be stressed enough that, should there be real war, the US Empire is planned to lose. Its airforce and navy, on which it is completely dependent for global projection of power, are totally antiquated in the face of S400 (S500 even) SAM installations, Sukhoi jets (which tank all American counterparts, including 5th generation, in dog fights) and Yakhont anti ship missiles. Of course Russia cannot in any way threaten America, or even Europe, but it most certainly can defend itself and its main allies.
I think we can agree America is not going to send millions of grunts overseas to fight an aggressive war against Russia. All that would remain is a nuclear first strike and deployment of advanced WMD that both parties have been ‘quietly’ assembling over the last few decades.
The BRICS Bank
In their statement, the nations’ leaders said: “We appreciate the work undertaken by our Finance Ministers and Central Bank Governors“. Undoubtedly it was those who hammered out the deal. As we know, both the Bank of Russia and the Bank of China are major Rothschild CB’s, part and parcel of the global financial system with the Bank of International Settlements at its apex.
Bank of China is led by Zhou Xiaochuan, a member of the influential Group of 30, a Rockefeller confab for Central Bankers and leading economists. In 2007 he was calling for the replacement of the US Dollar with the IMF’s Special Drawing Rights. Please note: not with the Yuan, but with the IMF’s precursor to global currency.
The official reason for the Bank is dismay about the refusal of US lawmakers to ratify the 2010 IMF reforms, aimed at giving the BRICS nations a bigger part of the vote in the IMF: they control about 20% of global output (it’s bound to be higher in PPP terms) and have only 11% of the vote, reflecting basically the post WW2 balance of power.
The plan will see two different banks: one for infrastructure development, the New Development Bank (NDP) and the Contingent Reserve Arrangement (CRA), which will provide liquidity to countries in need. In short: parallel institutions to both the IMF and the World Bank.
However, both institutions don’t need parallels, they need disbanding, because they only exist to usurp national sovereignty and fealty to the Banking Cartel. The BRICS Bank does in no way damage the BIS global infrastructure. It in no way addresses any real monetary problem, let alone the core issues of Usury and scarce money.
In fact: there is little doubt that the BRICS Bank will seamlessly transition to a larger role for Gold, once the inevitable ‘reset’ of the global financial system comes. Both Moscow and Beijing have been massively hoarding Gold and the Money Power has been preparing the transition to Gold after the Petrodollar era for decades now. A gold backed Yuan has been fevorishly anticipated and recently, when the US sprang their first sanctions on him, Putin was saying he would use his Gold reserves to back (and thus give ‘credibility’ to) his own payment systems, away from the US Banks.
This is a good example of why it’s wrong to focus on people, while overlooking the methodology: how is a new Bank going to end Banking, Usury, scarce money, power centralization, Globalism? How is going Gold in any way going to solve total Money Power control of the money supply?
It can’t of course. Banking is THE main tool of the enemy. You don’t solve banking by starting your own, you solve banking by providing interest-free money.
Interestingly, right after signing the deal, the BRICS leaders met with leaders of Latin American countries. These nations are mostly led by neo-Marxist presidents, like their deceased standard bearer Hugo Chávez.
Chávez was very popular in the Alternative Media because of his routine and much warranted America bashing, But meanwhile he collectivized the Venezuelan economy, destroyed the private sector, attacked the family by bringing feminism into Venezuela and sold Oil Dollars for one third of their worth to Transnationals to repatriate their Venezuelan profits and to the wealthy, so they could import their BMW’s for a fraction of their real cost.
In short: he ended income inequality in the typical Marxist way: by destroying the middle class with the motto ‘everyone poor is equality too’. The very wealthy became even richer still.
Today, you are more likely to get killed while walking the streets of Caracas than in Kabul.
What remained of his Oil Dollar wealth after handouts to the rich, Chavez invested in uniting the Latin American nations in some sort of Latin American Union. Something very high on the agenda of his Bolivarian successors and brethren in other Latin American capitals today too.
This is another excellent example of how the Money Power uses opposition to the US Empire and the plight of the poor for Marxism and supranational convergence.
The New World Order is a group of ancient banking families that rule through money.
Money is half of each transaction, transactions cannot take place without it. It is the gateway to all goods, services and resources. By keeping money scarce, they keep everything scarce. Through Usury they take their cut in every transaction.
Through control of money, they have acquired 90% of the hard assets on the planet. Not only that, they suck away 90% of the common man’s life force through Usury, taxation and the artificial scarcity of their Transnational Cartel. ‘None are more hopelessly enslaved than they who think they are free’.
They control all nations through their States: the Jews, the Americans, the Europeans, the Russians, the Chinese. They use these nations for different purposes and to pit peoples against each other.
They rule through dialectical pseudo ‘conflicts’, where both protagonists slug it out to amuse the public, while working together towards hidden common purposes. For instance: Marxism and Capitalism are both materialist and monopolies, the hidden common features that really matter to the Money Power.
People within these dialectics believe the conflict is real and they don’t have to actually report to the Bankers to do exactly what they want them to do.
Our current era is about the take down of the American Empire, which has served the Plutocracy well, but is now, with its heavily armed and fiercely independent people, the last block that has to be taken down to usher in the Global Despotism they have been working towards for so, so long now.
The BRICS Bank is anti Petrodollar, not anti Money Power.
It has long been prophesied that Russia would lead the West out of decadence and materialism. Edgard Cayce for instance. But also a great man like Rudolf Steiner had high expectations of Russia. This partly drives the optimism of some people concerning Putin. But while I believe the Russian Soul has an important gift for Humanity, it is most certainly not going to come through the Russian State, which is purely Babylonic. A grassroots spiritual movement or even the coming of the next Prophet, yes, but not the iron fist of the Kremlin.
A second installment of a recent interview with Morris, concerning the BRICS Bank and the rise of a New Currency Order:
The end of the Dollar and the coming Gold Standard:
Phoenix Rising, the Return of the Gold Standard
The Dying Dollar and the Rise of a New Currency Order
Bloomberg, the dying Fed and the birth pangs of the new Gold Standard
Why is Gold not rising?
International politics and faux ‘opposition’ to the NWO:
The US Empire is Not the Money Power!
Muammar Gaddaffi and the Money Power
Enough of the Putin Worship!
Hugo Chávez: Enemy of the US Empire, Marxist and Money Power Stooge
Is China part of the New World Order?
(Left: Morris Herman is a very astute observer of the Jewish Question/NWO and has been commenting and reporting on their ventures for years.)
Here’s a short introduction to the main issues in a nice interview with Morris, which I enjoyed a lot and hope to be doing again in the future, if some relevant topics come along.
(Left: Arthur Kitson, in a rare photograph. Now languishing in a memory hole, his thinking was perhaps the most advanced in an era when awareness of monetary matters was at its summit: the twenties/thirties of the last century.)
All modern science has been utterly corrupted to the core through orthodoxy and political correctness, under the pressures of power and commerce. So why are people so surprised it’s the same with ‘economics’?
It’s all just complete baloney. And of the worst, most moronic kind. Their most fundamental propositions don’t add up at all and simply wither away under the gaze of critical thought.
The fact that critical thought is strictly off limits in today’s universities, where group think and the lowest common demoninator rule as ’eminence’, is the only reason book after book is written exalting these absolutely specious beliefs.
Compare it to allopathy, the trade of the men and women in white. They explain to you newborns need mercury, formaldehyde, lethal viral matter and genetically modified remnants of human foetuses to ‘enhance immunity’. You’re ‘irresponsible’ and ‘irrational’ if you happen to disagree.
Next, when these vaccinations have done their job and have destroyed your immunity and you get cancer a few decades later, they explain to you, you need mustard gas (‘chemotherapy’ is derived from that stuff) and lethal doses (according to the WHO) of radiation to ‘survive’. As a result far more people die of treatment than cancer itself.
It’s all ‘science’, you know. Proven! Honest! With double blind peer reviewed studies! Cross my heart, hope to die!
Totally corrupted, by commercial interest and thought/herd control. Promoting those who uncritically work hard to pass their exams, keeping back those going their own way.
And this is just medicine. It’s money and the economy through which they rule! If they do this to medicine, what does one really expect from the ‘science’ behind Capitalism?
Their laughable nonsense
We have already extensively dissected their ‘time value of money’. The idea that money is worth more today than it is tomorrow. And that the creditor thus loses when lending. For which Usury is then the ‘compensation’.
Is it any wonder that this is considered the absolute foundation of ‘modern economics’? Of course their witty rationales serve only to hide the heinous plundering of Usury. Of course ‘modern economics” most cherished belief explains why we need banks!
And of course it’s just rubbish. Totally irrelevant. The bank creates the money when it is lent out and retires it when it is repaid. It didn’t exist before the loan and doesn’t exist after it. It’s a sterile operation, completely neutral. No ‘value’ is created for the lender, none is lost to him. He only does it because he can plunder his unwitting victim with Usury on the ‘debt’.
There is no risk, because there is collateral. ‘Losses’ to ‘inflation’ (which don’t exist with credit based money) are simply because they cause inflation willfully. It’s all a total mirage.
Even with already existing money (the situation most people mistakenly thinks exists and must exist), the ‘time value’ can easily be undone by having savers pool money together, in exchange for giving them interest-free credit from the collected savings.
Or one slaps a demurrage on the money, when those holding money, instead of those borrowing it, pay a percentage per year. This proactively destroys the value of money and ends hoarding: people will sink money in assets, which is the way it should be anyway. Saving money is antithetical to its purpose as a means of exchange. The ancients worked with this money, when their money was based on receipts of warehouses for perishable produce. Because the goods backing the note perish, so does the money.
They built all the wonders of Antiquity with it, all the way up to the Cathedrals.
Here’s another example: price discovery. According to ‘modern economics’ price is a function of demand and supply. I think we can agree that this basic proposition rivals the ‘time value’ in importance for our crummy little pseudo science/mind job.
But, our banker friends have conveniently forgotten all about the third variable: money supply.
Without a money supply there cannot even be a price to begin with! Money’s secondary function is unit of account! Price is expressed in its monetary value!
Not only that, without the means of exchange, there is hardly any trade at all: demand and supply never meet, except the few trades that can be settled with direct barter!
So: price is a function of demand, supply and money supply. And this is really foundational in obscuring the second main issue with money: managing its volume properly.
Now, how relevant is this? Hugely. Because they ignore money in price discovery, they can have their maniacal Austrians/Neo-Liberals claim money is irrelevant, deflation fantastic and markets just don’t clear because they are not ‘free’. This is known as Say’s Law and is used to hide that the only reason we are in a depression is because of a deflating money supply.
Because price is supposed to be a function of demand and supply, only ‘structural adjustments’ (raping labor rights) to ‘correct’ ‘market inefficiencies’ blah, blah, blah.
This is how they sell austerity. Should we know about the simple truth of price discovery, we would always have the money supply in mind and this is not convenient for those who rule through money and manipulating its volume.
This is just how they sucker us with their word magic and Orwellian crap. Laughing all the way to the bank about the silly masses and their love of ‘the power of ideas’.
We are ruled by a Banking Cartel. About 40% of the disposable income of the common man is taken by Usury and related rents, another 20% by their Transnationals and their artificial scarcity through Monopoly. Yet another quarter by the State, which is another Monopoly they control. What remains is for the wife.
Who are we kidding? We are total slaves.
First we are interest-slaves through the artificial debt. Next we are relegated to wage slavery by scarce money, paying off the Usury by doing the jobs they want to have done. In effect digging our own graves in their Banks, Transnationals and Governments for sustenance.
Of course they own the ‘science’ behind it all. Of course they explain the rich must get richer through Usury for the benefit of all. Hell, even just studying ‘modern economics’ makes you a greedy bastard, it was recently shown!
Forget about their silly crap and read up on Margrit Kennedy, Bernard Lietaer, Arthur Kitson, David Astle and all the others in the know out there. I’ll even throw in my own interest-free economics page, it’s not a bad place to start.
We can do so much better.
Left: Martin Luther. Say of him what you will, below’s quote is truer today than ever.
“The heathen were able, by the light of reason, to conclude that a usurer is a double-dyed thief and murderer. We Christians, however, hold them in such honour, that we fairly worship them for the sake of their money…
Whoever eats up, robs and steals the nourishment of another, that man commits as great a murder (so far as in him lies) as he who starves a man or utterly undoes him. Such does a usurer, and sits the while safe on his stool, when he ought rather to be hanging on the gallows.”.
– Martin Luther, quoted in Das Kapital
This is exactly how it is! It is not one word too much!
USURY IS PURE MURDER!
It has nothing to do with ‘oh, it’s so honest, so reasonable, that 5% per year’.
Look at how complete nations are gutted to pay off some filthy rich trillionaires.
Billions of people live in desperate destitution because of Usury, dying prematurely, completely unnecessarily. People commit suicide, haunted to the grave by creditors. It tears families apart in financial stress. By the millions. Throughout the West. The World. It is purely genocidal, there really is no way to get around it.
And we have built our entire economy on this horrid plunder. On this monstrous sin!
When will we again see the simple truth as the ancients always did?
Banking is simply institutionalized Usury.
Capitalism is simply Banking.
The two rose to prominence together in Amsterdam, London and New York.
The whole Capitalist monopoly has been bought with the proceeds of compound interest lending. They are emasculating the West with interest on the debt. The Banks openly try to endebt us to the point where all our income is sucked up by debt service! Years of deflation have made our debts weigh even much heavier in real terms.
Look how the tumors of ‘the financial sector’ are metastasizing, with their ‘bonusses’, ‘derivatives’, LIBOR manipulation, asset bubbles, defaults, bribing politicians, evictions and repossessions, Gold manipulation, media power, globalism, bail outs, bail ins, fomenting of wars. It is all an outgrowth of the cancer of Usury.
We are already thoroughly enslaved through Usury, it’s not a doom scenario, it is the way we live!
In the aftermath of Usury prohibition in the medieval era, around the time of Luther, the main argument for allowing Usury was that without it people wouldn’t lend. And lending was necessary for the economy, the rationale went. There was (at least perceived) a scarcity of credit.
The ‘time value’ rationale that Jesuits in Salamanca cooked up in the 16th century has been totally discredited and is irrelevant in a decent monetary system.
Notwithstanding credit and money scarcity, the medieval man worked only 15 weeks to feed his entire family in the Usury free economy. Bones found in England show that people there only achieved the same height as the late medieval Briton in the sixties of last century.
Compare that to the sweatshops of the 19th century, the heyday of Capitalist domination over Labor.
Imagine what our life would look like without Usury, and with plenty of dirt cheap credit plus today’s technology!
Even the Jewish Question is ultimately just another front for the Usurer!
It’s the Trillionaires and their banks and their World Government/Currency that we need to shut down and replace with interest-free monetary systems. Most Jewish people are just their bitches, easily sacrificed, just as we are. Without their Usury, ‘the Jews’ no longer are very formidable.
Usury is behind, or at the very least severely worsens, every problem on the globe. It is THE defining problem of the 99%. It is the issue of issues.
INTEREST-FREE MONEY NOW!!
Rationalizing Usury: the Time Value Hoax
Babylon = Usury! We want Interest-Free Money!
Ten Atrocities that would not exist without Usury
Hate The State! (But The Banks Even More!)
Capitalism Is Jewish Usury
Left: Robert Rubin, Alan Greenspan and Larry Summers, three of the main architects of the derivative induced Greatest Depression. As usual, the Ministry of Truth portrays them as those who prevented collapse.
Depressions and the boom/bust cycle are wholly artificial phenomena. In earlier days, Bankers created deflations simply by calling in loans. Nowadays things are a little more complicated, but crashing the money supply is still the main thing. Derivatives are today’s preferred method.
Let us first reestablish that recessions and depressions are caused by deflation. Here’s the graph showing the money supplyover the last few years, courtesy of Shadowstats:
Let us analyze a little what this graph shows. M3 is the main issue here. This is because it is the widest definition of the money supply, including long term deposits and several other forms of liquidity, including some derivatives. M3 is most telling about what is happening in the shadow banking system.
In the first place, M3 is first shown in red, then in blue. This is because Greenspan ended Fed reporting of M3 in 2006. An unbelievable scandal, off handedly done away with as a cost cutting measure.
However, we can clearly see the malicious intent here, because Greenspan was just hiding what he knew what was already starting: a massive inflation, followed by a legendary crash in M3.
As said, M3 is the widest definition of money and directly related to this is that the main deflation after 2008 happened in the shadow banking sector, non-banking lenders, like hedgefunds. It was the implosion of the derivatives that caused M3 to tank in the way it did.
In 2008, we see that M1 starts to peak when M3 crashes: this is the Fed printing money: they were buying up busted derivatives, in effect replacing derivatives with ‘real’ (freshly printed) dollars and bailing out the busted loansharks.
This is also where the rumor of hyperinflation stems from: the Austrians were only looking at M1, endlessly showing the peaking balance sheet of the Fed (M1).
Austrian Economics in general of course is always fearmongering about hyperinflation while promoting deflation. As a result, many reasonable people these days will say, ‘well, declining prices you know….’. But deflation means money is becoming worth more and this is nice for those who have a lot of it: the ultra rich in particular. During deflation wages decline too and this is not so good for those working for a living, being most of us. Much worse: debts become worth more in real terms, which is obviously disastrous with everybody drowning in debt.
And the deflation is simply the reason the economy is in shambles. The contracting money supply causes a collapse of demand in the economy.
In this particular instance, the Money Power created the depression with the derivative trade: first blowing a huge housing bubble with them, and then busting them. Next, the shadow banking industry collapsed. As a result, the housing bubble was starved from easy credit and imploded. The Fed bailed out all the banks and billionaires with their hedgefunds, no harm done there, but Mainstreet is now saddled with a huge debt, millions of homes underwater. Nobody is bailing them out. On the contrary, it’s Wall Street that is buying up all the homes for pennies on the dollar. QE funds this, as it does the ridiculous NYSE record breaking bull run.
Meanwhile, the economy is a mess, ongoing depression and it does not look like the Money Power is done with us quite yet.
How they do it
Of course, all this is a little convoluted. One needs to see that the Banking System is indeed One, that they all own each other, that it is run from the top down globally. There is no ‘chaos’ as described by the financial press, both mainstream and alternative. The financial system is operated just as any other system.
In earlier days, bankers just had a nice confab, agreed to start calling in loans at this or that moment and creating panics and depressions was much easier. Nowadays a good story is needed. But there is an ample supply of those and the derivative trade is just the modern way of both plundering the non-insiders and controlling the entire system.
For Mainstreet, there are many stories. That greed causes it all (not untrue of course), that we need to consume less, because the Earth cannot sustain our way of life, that there is a lack of faith, that structural reform is necessary, that we are losing the competition with China, etc., etc.
But all these narratives just serve to hide the truth: that the boom/bust cycle is a totally artificial tool of plunder and centralization of wealth and power by a centralized financial system.
The Derivative Congame
Derivatives are financial products, that are derived from more ‘real’ assets.
A famous example are the Mortgage Backed Securities (MBS). Taking for instance ten mortgages, slicing them all in ten pieces, mixing a tenth of each together and selling them as one product. The buyer is then owner of one tenth of ten mortgages, instead of one complete one. The idea is that this spreads the risk of default.
Another example are the Credit Default Swaps. Lenders buy guarantees from other lenders: if a loan goes sour, the lender is no longer on the hook for the (entire) bust. The rationale is again that risks are shared by the lending community.
Very important (in terms of trading volume) are derivatives that ‘insure’ against higher or lower interest rates. Interest rates (the cost of money) ultimately drives the entire financial world and swings in interest rates can destabilize institutions.
As always, the rationale is just the sell. If we want stable interest rates, I suggest going 0% always. That certainly would solve a great deal of problems, but it would also end Plutocracy, of course, so it’s not really on the horizon for the time being.
In reality, derivatives are nowadays the main plundering scheme, run by the main players. It transpires, that the top 5 Wall Street banks (JPM, BofA, Morgan Stanley, Goldman and HSBC) are the counter party for 95% or more of all derivatives worldwide. This means that they are ultimately on the hook for all risks insured in the entire financial sector, globally. Obviously, this is hardly stabilizing. Quite the opposite is the case, as it goes without saying that these banks simply don’t have the assets, huge as they are, to make good on their promises, should things go wrong. Which they must.
As always, in purely Orwellian fashion, their ‘idea’ of ‘spreading risks’ has in reality done the exact opposite.
This is one key reason why we have Goldman Sachs alumni in European Governments everywhere: should European sovereigns default on their loans, Goldman Sachs would be one of the players who would have to pay up as the ultimate counter party in the Credit Default Swaps market and this would vaporize them long before everything would be settled.
The derivative trade is hugely lucrative for players, as long as things go well. Their total nominal outstanding value was at some point nearing a Quadrillion, dwarfing total global GDP. What is more, they are all off balance: they are not seen as assets and they are not part of the Generally Accepted Accounting Principles (GAAP).
This means that nowadays nobody really knows anymore what the real asset position of any financial institution really is: they might have huge obligations through the derivative trade, but it’s not visible in their books.
Derivatives are obscure instruments and are nowadays the main game for fleecing unsophisticated investors. Pension funds, municipal entities, semi public institutions and the like. Interest based derivatives are simply bets: interest rates can go up or down and while they are officially for ‘insurance’ against unexpected swings, they are in reality mainly used for speculation purposes.
It is the derivative trade that brought Detroit down. Of course, Detroit is not really down, their CAFRs (Comprehensive Anual Financial Reports) show plenty of assets, but that’s another matter. However, Detroit was suckered into speculating with tax payer money, their conscience eased with the narrative that they would ‘help stabilize the Financial System’ and everybody would get rich. They went bust instead and now pensioners can pay.
Another good example is Vestia from the Netherlands, until a few years run by the now disgraced Eric Staal. A few decades ago Public Housing institutions were semi-privatized into QUANGOs (Quasi Autonomous Non Governmental Organisations),Vestia among them, with the predictable consequences: quickly rising rents and salaries for top management as a result of focus on ‘efficiency’ (profit) instead of effectiveness (service to tenants).
Eric Staal was a typical example of the ‘new manager’, ambitious, egotistical. Thinking he could play ball with the big guns. They lured him with some superhot ‘account managers’ in short skirts, copious diners, and expensive call girls. Next, his bets went south and Vestia can now cough up 2 billion euro. Which they don’t have and for which tenants can now pay up in the coming decades (with interest, of course) with higher rents.
It’s easy to blame Staal and to mock him for getting busted, but in reality the man was just suckered into something that was way above his head and this is a pure congame by soulless vipers. These people are very adept at exploiting ambition and other human weaknesses.
Larry Summers and Wall Street
August last year, Greg Palast published a bomb shell memo by Larry Summers, front running candidate to succeed Bernanke at the Fed at the time.
In the 1997 memo it was made very clear that Summers, with the Treasury at the time, was conspiring, completely illegally, with a couple of the main Wall Street Kingpins to force deregulation of the derivative scam worldwide. Rest assured that this publication was the reason that Summers missed out on the Fed presidency, which would have crowned his already despicable ‘career’.
This in itself creates the interesting question who wanted him out of the equation, and organized this by leaking to Palast, but that is another matter.
Of course Summers and the named bankers should have been arrested immediately, the memo provided more than sufficient grounds for this, and jailed for the rest of their lives. These people are the prime culprits of the 2008 implosion and should never see the light of day again. The memo shows them openly discussing the ‘end game’ of full control of the economy by the financial industry.
But hey, too big to jail, you know. Obviously, locking up people destabilizing the system would be very destabilizing in the colorful narrative of ‘democracy’ and ‘economics’ and ‘the legal system’.
But Palast’s memo was the smoking gun that proves that the derivatives scam was foisted on the financial industry by some of the highest executives of the Money Power and it must be obvious that the ‘disaster’ of 2008 was only a disaster for those picking up the tab: the tax payer and those losing their jobs, houses and businesses through artificial deflation.
The Bank of International Settlements
The BIS is the apex of the global banking system, the Central Banks’ Central Bank. It’s the main executive in what Quigley famously described as “The powers of financial capitalism had another far reaching aim, nothing less than to create a world system of financial control in private hands able to dominate the political system of each country and the economy of the world as a whole.”. It’s the top of what the Economist called ‘the marvelous edifice of international finance’.
And the BIS does indeed hold a crucial trump card when it comes to the global management of the volume of money and thus the creation of the boom/bust cycle: it sets the capital reserve requirements for banks. It was the BIS raising capital reserve requirements in the late eighties that made the Japanese banks insolvent overnight, popping the outrageous Nikkei/Real Estate bubble that had overtaken Japan. They never recovered and neither did Japan.
The BIS of course knew well what was going on in the 2000’s with the derivatives and real estate. The derivatives allowed huge leveraging by the banks, many of which at some point had no more than 2% in capital reserves. BIS policy now is to raise capital reserve requirements, officially to ‘improve stability’, and this has a huge impact on the banks’ capacity to lend, guaranteeing ongoing depression.
The BIS, in its publications, is also openly calling for stronger deleveraging and the end of quantitative easing.
What does it all mean?
As we have seen above, the basic sell for derivatives is that they manage risks. This was very important, because they helped create the false sense of security with the banks and regulators in the 2000’s: the idea was that lending had lost its traditional ‘risks’ and that therefore speculation in real estate was no longer a problem and that real value was being created.
Of course, nobody in his right mind, most certainly not the bankers, believed this, but the point is that bubbles need to be blown so they can be popped and this happens to be the story with which they blew the housing bubble of the 2000’s.
Mortgage Backed Securities now made sure that everybody, including sub prime borrowers, could get a mortgage, interest rates were kept low, and housing went through the roof. Next of course problems emerge, borrowers can’t pay and Mortgage Backed Securities all of the sudden transpired to not at all have taken any risk away.
The top people of Wall Street have created the scheme top down. This has a number of important implications. In the first place: these people are not going to take undue strategic risks with the financial system. Contrary to popular folklore, it’s not short term gain that drives them primarily. They’re master strategists. They knew exactly what they were doing. They knew there were going to be huge bankrupties and they knew the Fed would bail them out. Bail outs are one of the main purposes for which they created the Fed to begin with.
After 2008, the derivative trade just continued to proliferate in a completely unsustainable way. Hundreds of trillions of nominal value and although this greatly overstates the real risks involved, it has already been shown what damage they can do. A next round is guaranteed.
It is more than interesting that it is the American banks that run the trade. The top 5 banks that are the counter parties may look strong now, but they’re actually in an extremely vulnerable position. While sold to manage risk, it’s in fact these banks that ultimately carry all risks in the financial industry. This is an accident waiting to happen.
This could be classically interpreted as just another example of American imperial over reach, but if one realizes the Money Power is not the US Empire and looking to put America and its dollar down as the hegemon, an even more sinister picture emerges. These banks are at the core of the American economy and the Money Power can at any moment detonate a nuclear bomb right at the heart of the American Empire by just popping the derivative bubble. True, it’s very difficult to fathom how the global financial system itself could survive such a melt down, but knowing what the bankers are capable of, and the direction they seem to be heading, it’s an interesting scenario.
Blowing bubbles and popping them with alternating inflations and deflations is, with Usury, the Money Power’s core business. Each cycle has its own story and derivatives are the story of the Greatest Depression. The worst is yet to come. Years of scarce money, depression and centralization of wealth lie ahead of us. They will undoubtedly manage to spring something nasty on us yet.
At the moment the economy is temporarily improving a little bit, but we have been looking for green shoots for years now. In reality, indebtedness globally, both private and public, is much worse than in 2008. For years the Central Banks have been postponing the real pain, but huge deleveraging is necessary within the current paradigms of financial management.
As always, it’s not even so much the debt, but the Usury that is the issue. Even Greece could pay off all its debts within 20 years just from what it loses to debt service today. Most nations have, since the 2nd World War, paid more in interest on their debts than they have debts outstanding.
But the banks have us exactly where they want us: unsustainable debt, a huge portion of our incomes raked in through Usury, the ‘need’ for deleveraging, resulting in deflation and thus giving them the depression they so clearly crave.
Within the paradigms of the current system, this cannot be solved. Only ending banking as it operates today can end centuries of wholly artificial booms and busts.
But this will only become possible when people stop wondering about corruption in finance and start seeing finance itself is corrupt.
The Dying Dollar and the Rise of a New Currency Order
The Inflation vs. Deflation Dialectic
Austrian Economics, Apostles of Austerity Defending Deflation
Understand that the Banking System is One
The Few Banks that Own All