If I have seen further it is by standing on the shoulders of giants.

Wednesday, December 30, 2009

Federal Reserve Proposes ‘Term Deposit Facility’ to Withdraw Money from Banking System

On Monday the Federal Reserve put forth the idea of creating a new way to withdraw money from the banking system when the need to tighten money policy presents itself.

Dubbed a term deposit facility, what it will do is allow banks or other financial institutions opportunity to earn interest on loans that are of longer duration to the central bank.

There were no specifics from the Fed on how the interest rates would be determined on these loans, but the idea they could be decided through an auction or a specific type of formula was thrown out by the Federal Reserve. One parameter known for sure at this time is they maturity of the loan wouldn’t be longer than one year, with the majority probably being from one to six months, said the Fed.

All of this emerges from the fears coming from the extraordinary and possibly reckless spending, whereby the banking system has been extended $2.2 trillion in credit, which will inevitably generate a high inflationary rate as the money flows throughout the economy when lending begins in earnest again.

Other tools looked at being used in an attempt to keep inflation from getting out of control has been the sales of assets of the banks, along with reverse repurchase agreements.

The Fed has been asserting it has the effectiveness to take the stimulus capital out of the market before the inevitable inflation gets out of control. According to the Fed they will be able to do that before inflationary pressures arise; a highly dubious assertion which is unlikely to be backed up since inflationary pressures in some sectors like food prices are already beginning to rise.

This is part of the frustration the banking industry has been experiencing, where they are pressured by Obama to loan to risky companies in order to create more jobs and help the economy, while at the same time regulators tell them to build up their cash reserves and abstain from taking too many risks which could create more problems. These mixed signals can’t coincide, and so you have to have one or the other, but not both.

Of course if banks respond and start lending, which will put the money out there to be used, the consequences will be inflation surging to very high levels.

This is why the Fed is preparing these various mechanisms in an attempt to manage the amount of money loaned into the market in order to keep inflation low. It’s highly doubtful they’ll be able to do this, no matter what gimmicks they develop to keep the money out of the market.

The Fed knows that once the economy actually starts to recover (which it hasn’t), there will be a flood of money pouring into the market. They will attempt to tighten the money supply so the amount of money going out won’t result in extraordinary inflation. I don’t think they can do it, and Americans will have to endure more pain over the long term because of the misguided actions of the Federal Reserve.

Source: Federal Reserve Proposes ‘Term Deposit Facility’ to Withdraw Money from Banking System

Sunday, December 20, 2009

The Known Universe

The Known Universe takes viewers from the Himalayas through our atmosphere and the inky black of space to the afterglow of the Big Bang. Every star, planet, and quasar seen in the film is possible because of the world's most complete four-dimensional map of the universe, the Digital Universe Atlas that is maintained and updated by astrophysicists at the American Museum of Natural History.

The Known Universe

Friday, December 18, 2009

TIME Magazine Names Ben Bernanke "Person of the Year 2009" !?

Ben Bernanke is a nerd and he just happens to be the most powerful nerd on the planet.

Bernanke is the 56-year-old chairman of the Federal Reserve, the central bank of the U.S., the most important and least understood force shaping the American — and global — economy. Those green bills featuring dead Presidents are labeled "Federal Reserve Note" for a reason: the Fed controls the money supply. It is an independent government agency that conducts monetary policy, which means it sets short-term interest rates — which means it has immense influence over inflation, unemployment, the strength of the dollar and the strength of your wallet. And ever since global credit markets began imploding, its mild-mannered chairman has dramatically expanded those powers and reinvented the Fed.

Professor Bernanke of Princeton was a leading scholar of the Great Depression. He knew how the passive Fed of the 1930s helped create the calamity — through its stubborn refusal to expand the money supply and its tragic lack of imagination and experimentation. Chairman Bernanke of Washington was determined not to be the Fed chairman who presided over Depression 2.0. So when turbulence in U.S. housing markets metastasized into the worst global financial crisis in more than 75 years, he conjured up trillions of new dollars and blasted them into the economy; engineered massive public rescues of failing private companies; ratcheted down interest rates to zero; lent to mutual funds, hedge funds, foreign banks, investment banks, manufacturers, insurers and other borrowers who had never dreamed of receiving Fed cash; jump-started stalled credit markets in everything from car loans to corporate paper; revolutionized housing finance with a breathtaking shopping spree for mortgage bonds; blew up the Fed's balance sheet to three times its previous size; and generally transformed the staid arena of central banking into a stage for desperate improvisation. He didn't just reshape U.S. monetary policy; he led an effort to "save the world economy."

Continue reading - Ben Bernanke - TIME's Person of the Year 2009

His critics in Congress — liberals and conservatives alike — couldn’t believe it Wednesday.

Fed Chairman Ben Bernanke? Time’s Person of the Year?

“Give me a break,” said Rep. John Conyers (D-Mich.), a frequent Fed critic.

Bernanke's confirmation, while hardly in jeopardy, has become a lightning rod for anger on the left and right over the Fed’s handling of the financial meltdown.

The critics’ argument goes like this: If Bernanke and his number crunchers at the Fed really were such whiz kids, they would have seen the whole financial meltdown coming and headed it off. Instead, the economy was teetering on the precipice and required last-minute heroics by the bearded central banker to save it, moves that make some in Congress deeply uncomfortable.

To that end, the timing of Time’s announcement gave critics fodder for the hottest new bipartisan sport: Bernanke-bashing.

“I find it ironic that a man who has spent the last year rewarding others for failure is now being named Person of the Year for his failures. But if Time magazine is in the business of rewarding failure, Ben Bernanke is their man — he has certainly excelled at that” was the verdict from the Senate’s leading Bernanke critic, Jim Bunning (R-Ky.), the sole senator to vote “no” on Bernanke’s first nomination as Fed chairman in 2006.

Vermont independent Sen. Bernie Sanders also found Time’s choice “ironic,” since in the article bestowing the honor, the magazine discusses how Bernanke, like his predecessor, fell asleep at the switch.

“Bernanke was as clueless as [Alan] Greenspan about the coming storm. He dismissed warnings of a housing bubble. He insisted that economic fundamentals remain strong,” Sanders said, quoting the article at a news conference to discuss his attempt to defeat Bernanke’s renomination.

But, forever the contrarian, Paul said he is “delighted” by Time’s choice.

“I think its very, very good that he’s gotten an award to draw the attention to the Federal Reserve, which really should be looked at with a great deal of skepticism because it’s the Federal Reserve that gave us the crisis,” Paul said in an interview.

“The Federal Reserve Board chairman is literally more powerful than the president because he can work in secrecy; he can have arrangements with other foreign governments, with other central banks; he can do all this on his own. ... This to me is very, very significant, and it should be recognized,” Paul said. “I’m delighted that they are at least pointing the finger in the right direction, although their conclusions are completely wrong.”

Continue reading - Few cheers on Capitol Hill for Time's Ben Bernanke pick

Ron Paul Reacts to Bernanke as Time's Person of the Year

Ron Paul on Fox Business: Bernanke is World's Greatest Counterfeiter

Ron Paul: Ben Bernanke is More Powerful Than Barack Obama

Monday, December 7, 2009

The Hubble Ultra Deep Field in 3D

What an awe-inspiring grandeur, the Universe.
The beauty of the Universe is simply beyond what words can describe.

The Hubble Ultra Deep Field in 3D

Sunday, December 6, 2009

Requiem for the Dollar

Ben S. Bernanke doesn't know how lucky he is. Tongue-lashings from Bernie Sanders, the populist senator from Vermont, are one thing. The hangman's noose is another. Section 19 of this country's founding monetary legislation, the Coinage Act of 1792, prescribed the death penalty for any official who fraudulently debased the people's money. Was the massive printing of dollar bills to lift Wall Street (and the rest of us, too) off the rocks last year a kind of fraud? If the U.S. Senate so determines, it may send Mr. Bernanke back home to Princeton. But not even Ron Paul, the Texas Republican sponsor of a bill to subject the Fed to periodic congressional audits, is calling for the Federal Reserve chairman's head.

I wonder, though, just how far we have really come in the past 200-odd years. To give modernity its due, the dollar has cut a swath in the world. There's no greater success story in the long history of money than the common greenback. Of no intrinsic value, collateralized by nothing, it passes from hand to trusting hand the world over. More than half of the $923 billion's worth of currency in circulation is in the possession of foreigners.

In ancient times, the solidus circulated far and wide. But it was a tangible thing, a gold coin struck by the Byzantine Empire. Between Waterloo and the Great Depression, the pound sterling ruled the roost. But it was convertible into gold—slip your bank notes through a teller's window and the Bank of England would return the appropriate number of gold sovereigns. The dollar is faith-based. There's nothing behind it but Congress.

But now the world is losing faith, as well it might.

Continue reading - Requiem for the Dollar

Saturday, December 5, 2009

Ben Bernanke grilled on his second term renomination in the Senate floor

I definitely agreed with Bunning that Ben Bernanke is the definition of moral hazard! We must put an end to the Fed’s failures, and there is no better time than now. END THE FED!

Sen. Jim Bunning Grills Bernanke, With Response

Sen. Jim DeMint Questions Bernanke During Renomination

The Ed Show - Ron Paul on Bernanke's Renomination

Saturday, November 28, 2009

The Dollar Bubble

The Dollar Bubble starring Peter Schiff, Ron Paul, Marc Faber, Gerald Celente, Jim Rogers, and others. Prepare now for the U.S. dollar collapse.

The Dollar Bubble

Tuesday, November 24, 2009

End The Fed Rallies, 22-11-2009

'End the Fed' rally: Where did our money go?

NYC Media March & End The Fed

NYC End The Fed Rally 11.22.09 (Pt. 2)

End The FED March in New York City

End The FED Arrives at the NY Supreme Court

END THE FED with Ron Paul and Liberty Fighters!

Ron Paul at End The Fed Houston 11-22-09 Part 1 of 3

Ron Paul at End The Fed Houston 11-22-09 Part 2 of 3

Ron Paul at End The Fed Houston 11-22-09 Part 3 of 3

Adam Kokesh at the Houston End The Fed Rally, November 22, 2009 - Part 1

Adam Kokesh at the Houston End The Fed Rally, November 22, 2009 - Part 2

Jonathan Kocurek at the Houston End The Fed Rally, November 22, 2009

Paula Stang at the Houston End The Fed Rally, November 22, 2009

Steven Susman at the Houston End The Fed Rally, November 22, 2009

Jeff Daiell at the Houston End The Fed Rally, November 22, 2009

Tim Brown at the Houston End The Fed Rally, November 22, 2009

Erik Prejean at the Houston End The Fed Rally, November 22, 2009

Saturday, November 21, 2009

Audit the Fed in the News

House Panel Approves Broad Auditing of Federal Reserve Wall Street Journal

A key House panel on Thursday approved an amendment offered by Rep. Ron Paul (R., Texas) to give federal watchdogs massive new authority to audit the Federal Reserve.

House panel approves Ron Paul’s proposal to audit the Federal Reserve Politico

The measure, based on a Paul proposal that has attracted more than 300 co-sponsors, passed, 43-26, as an amendment to a financial reform bill. Florida Democrat and fellow Fed critic Alan Grayson co-sponsored the amendment with Paul and played a leading role drumming up support for it among committee members. The adoption of this amendment is an extraordinary victory for Paul, whose libertarian, anti-Fed leanings have often been dismissed by the political establishment.

Panel votes to audit the Fed; cap its spending at $4 trillion MarketWatch

“If you care about transparency of the Fed, you would allow a look at monetary policy,” Paul said. “We’re dealing with trillions of dollars that doesn’t get audited. There is no reason why the world can’t know, eventually, what the Fed is doing.”

Ron Paul wins a key battle in war to open Fed’s books Los Angeles Times

“If we get the audit and get the books open, make them answer the questions, I am convinced that the American people will be so outraged that then we will have reform of the monetary system,” Paul has said.

Panel Votes to Broaden Oversight of the Fed New York Times

Mr. Paul’s bill would abolish a longstanding exemption that shielded the Fed from Congressional audits of its monetary policy. Supporters of the Fed’s independence have argued the shield provided crucial insulation from political pressure, which would make it much harder for Fed officials to take unpopular action aimed at heading off inflation.

Greenspan, Volcker Opposed Ron Paul Audit Provision Wall Street Journal

Greenspan and Volcker, in a letter sent to the committee’s chairman and ranking Republicans, warned that the provision threatened the ability of the Fed to foster price stability independent of political interference.

Threatening the Fed’s independence Washington Post

Alan S. Blinder is a former vice chairman of the Federal Reserve Board, is a professor of economics and public affairs at Princeton University.

There are a few more hits on this story all over today, these are just a few. Great work so far everyone, but the fight isn’t over. We are still pushing for an up or down vote on Audit the Fed on the House and Senate floors.

Friday, November 20, 2009

World economy setting itself up for a bigger bust, says Marc Faber

SINGAPORE: Marc Faber - the man commonly referred to as Dr Doom by the investment community – said that the real financial crisis has yet to come for the global economy.

Speaking at a conference in Singapore on Wednesday, he said there will be another big bust stemming from credit expansion.

Mr Faber said: "The crisis has not solved anything. On the contrary there is less transparency today than there was before. The government's balance sheet is expanding, and the abuses that have led to the one cause of the crisis have continued.

"I think eventually there will be a big bust and then the whole credit expansion will come to an end. But before that happens, they will print money, and they will grow into very high inflation rate, and the economy will not respond.

"The average family will be hurt by that, and then in order to distract the attention of the people, the governments will go to war. People ask me against whom? Well, they will invent an enemy."

"At some stage, somewhere in future, we will have a war - that you have to be prepared for. And during war times, commodities go up strongly," said Mr Faber.

"If you want to hedge against war, you don't want to own derivatives in UBS and AIG, but you have to own them physically, like farmland and agricultural commodities. That is something to consider for you as a personal safety and hedge. You have to own some commodities," he added.

Analysts generally agreed that gold is an attractive asset class for investments.

Daryl Guppy, CEO, Guppytraders.com said: "The strength of gold is in direct relation to weakness in US dollar. The weakness in US dollar is likely to continue. You see the dollar index heading down towards to 71 US cents is not a support level. It could in fact fall lower than that.

"So there is a probability of a sustained rallied increase in the price of gold - long-term uptrend. Gold is not driven by fundamental factors, not driven by demand; it is driven by our perceptions of US dollar and currency changes.

Continue reading: World economy setting itself up for a bigger bust, says Marc Faber

Interest on U.S. debt - $4,800,000,000,000

NEW YORK (CNNMoney.com) -- Here's a new way to think about the U.S. government's epic borrowing: More than half of the $9 trillion in debt that Uncle Sam is expected to build up over the next decade will be interest.

More than half. In fact, $4.8 trillion.

If that's hard to grasp, here's another way to look at why that's a problem.

The country depends heavily on borrowing to fund what it wants to do. But the more debt it racks up, the more likely it becomes that creditors could demand a higher interest rate for making new loans to the government.

Higher rates in turn make it harder to pay off the underlying debt because more and more money is going to pay off interest - money, by the way, which is also borrowed.

And as more money goes to interest, creditors may become concerned that the country can't pay down its principal and lawmakers will have less to fund all the things government is supposed to do.

CNN Money - $4.8 trillion - Interest on U.S. debt

Rep. Peter DeFazio levels Goldman Sachs, Summers, and Treasury Sec Tim Geithner

Rep. Peter DeFazio levels Goldman Sachs, Summers, and Treasury Sec Tim Geithner

The thrilling potential of SixthSense technology

It will be launched next month in open source so everyone can modify their own sixth sense device! I think there will be an explosion in the usage of the sixth sense technology in the years to come. Hooooray!

The thrilling potential of SixthSense technology

Société Générale: Prepare for potential 'global economic collapse'

Société Générale has advised clients to be ready for a possible "global economic collapse" over the next two years, mapping a strategy of defensive investments to avoid wealth destruction.

In a report entitled "Worst-case debt scenario", the bank's asset team said state rescue packages over the last year have merely transferred private liabilities onto sagging sovereign shoulders, creating a fresh set of problems.

Overall debt is still far too high in almost all rich economies as a share of GDP (350pc in the US), whether public or private. It must be reduced by the hard slog of "deleveraging", for years.

Governments have already shot their fiscal bolts. Even without fresh spending, public debt would explode within two years to 105pc of GDP in the UK, 125pc in the US and the eurozone, and 270pc in Japan. Worldwide state debt would reach $45 trillion, up two-and-a-half times in a decade.

The underlying debt burden is greater than it was after the Second World War, when nominal levels looked similar. Ageing populations will make it harder to erode debt through growth. "High public debt looks entirely unsustainable in the long run. We have almost reached a point of no return for government debt," it said.

Inflating debt away might be seen by some governments as a lesser of evils.

Source: Société Générale tells clients how to prepare for potential 'global collapse'

Japan is in big trouble

Japan is drifting helplessly towards a dramatic fiscal crisis. For 20 years the world's second-largest economy has been able to borrow cheaply from a captive bond market, feeding its addiction to Keynesian deficit spending – and allowing it to push public debt beyond the point of no return.

The rocketing cost of insuring against the bankruptcy of the Japanese state is telling us that the model has smashed into the buffers. Credit default swaps (CDS) on five-year Japanese debt have risen from 35 to 63 basis points since early September. Japan has suddenly decoupled from Germany (21), France (22), the US (22), and even Britain (47).

Regime-change in Tokyo and the arrival of Yukio Hatoyama's neophyte Democrats – raising $550bn (£333bn) to help fund their blitz on welfare and the "new social policy" – have concentrated the minds of investors at long last. "Markets are worried that Japan is going to hit a brick wall: the sums are gargantuan," said Albert Edwards, a Japan-veteran at Société Générale

"The debt situation is irrecoverable," said Carl Weinberg from High Frequency Economics. "I don't see any orderly way out of this. They will not be able to fund their deficit. There will be a fiscal shutdown, a pension haircut, and bank failures that will rock the world. It is criminally negligent that rating agencies are not blowing the whistle on this."

The Bank of Japan seems oddly insouciant. It will end its (feeble) quantitative easing in December by suspending purchases of corporate debt, much to the fury of the Finance Ministry.

"This is incredibly dangerous," said Russell Jones from the RBC Capital Markets. "The rate of deflation is shocking. The debt dynamics are horrible and there is the risk of a downward spiral."

Source: It is Japan we should be worrying about, not America

HR1207 - Paul/Grayson's Amendment vs Watt's Amendment

Ron Paul introduces HR.1207 as a substitute amendment for Mel Watt's amendment. Watt's amendment would gut the intent of the audit of the Federal Reserve. In the end Paul's substitute passed by committee vote.

Ron Paul introduces HR1207 as a substitute to the Watt amendment during debate 11/19/2009

Ron Paul HR1207 Committee Debate on Watt Amendment: Alan Grayson 11/19/2009

Ron Paul rebuts criticisms of Federal Reserve audit during markup hearing 11/19/2009


Ron Paul HR1207 substitute amendment ROLL CALL vote 11/19/2009

Mel Watt's amendment was defeated and Paul/Grayson's amendment was passed with 43 Aye(Yes)-26 Nay(No) votes and adopted. Hooray, partial victory on the gutted Watt's Amendment to HR1207.

The Paul/Grayson amendment:

* Removes the blanket restrictions on GAO audits of the Fed
* Allows audit of every item on the Fed’s balance sheet, all credit facilities, all securities purchase programs, etc.
* Retains limited audit exemption on unreleased transcripts and minutes
* Sets 180-day time lag before details of Fed’s market actions may be released
* States that nothing in the amendment shall be construed as interference in or dictation of monetary policy by Congress or the GAO

Reuters - House panel OKs plan to open Fed policy to audits
Bloomberg - House Panel Votes to Advance Paul Plan on Fed Audits

Do Something!

A tribute to a man and a call to action to liberty lovers around the world.

Do Something!

Calls for Geithner Resignation!

U.S. Treasury Secretary Timothy Geithner, as part of a grilling on Capitol Hill yesterday, was asked by a Republican lawmaker to resign. It is a call he is likely to hear again and again as next year’s election campaign heats up.

Earlier in the week, a Republican challenger for a U.S. Senate seat in Connecticut had demanded Geithner quit, lambasting him for being “cozy” with banks bailed out by the federal government. Two other Republicans have requested hearings into Geithner’s handling of the bailout of insurer American International Group Inc.

“For the sake of our jobs, will you step down from your post?” asked Brady, who first won his seat in 1996. “The public has lost all confidence in your ability to the do the job, and it is reflecting on your president.”

“I don’t think you should be fired,” Burgess told him. “I thought you should have never been hired.”

Continue reading: Bloomberg - Geithner Resignation Calls May Increase as 2010 Election Nears

Growing discontent over the economy and frustration with efforts to speed its recovery boiled over Thursday on Capitol Hill in a wave of criticism and outright anger directed at the Obama administration.

Episodes in both houses of Congress exposed the raw nerves of lawmakers flooded with stories of unemployment and economic hardship back home. They also underscored the stiff headwinds that the administration faces as it pushes to enact sweeping changes to the financial regulatory system while also trying to create jobs for ordinary Americans.

Two buildings away, at a session of the Joint Economic Committee, Republicans escalated their attacks on Treasury Secretary Timothy F. Geithner, including a call for his resignation.

Source: ECONOMIC WOES TAKING A TOLL - House Republicans call on Geithner to resign

Congressman Tells the Senate Tim Geithner Must be Removed!

32% Inflation in UCLA Tuition Causes Near Riots

It's very sad to see one of the top university in the world can't handle its operational costs. GG California.

32% Inflation in UCLA Tuition Causes Near Riots

Source: California Deficit Hits $21 Billion

Tuesday, November 17, 2009

BrainPort Vision

For those who are blind, the non-surgical BrainPort vision device is an investigational assistive device for orientation, mobility, object identification and spot reading. It enables perception of visual information using the tongue and camera system as a paired substitute for the eye. Visual information is collected from a video camera and translated into gentle electrical stimulation patterns on the surface of the tongue. Users describe it as pictures drawn on their tongue with champagne bubbles. With training users may perceive shape, size, location and motion of objects in their environment. The BrainPort vision device is intended to augment rather than replace other assistive technology such as the white cane or guide dog.

Very impressive.

"You don't see with your eyes, you see with your brain."

BrainPort Vision Device

Sunday, November 15, 2009

INFLATION - What does it mean to live in a world where your money loses value exponentially?

Most of us think of inflation as rising prices, but that’s not quite right. Inflation is not caused by rising prices. Rising prices are a symptom of inflation. Inflation is caused by the presence of too much money in relation to goods and services. What we experience is things going up in price, but in fact, inflation is really the value of your money going down, simply because there’s too much of it around. Inflation is, everywhere and always, a monetary phenomenon.

"By a continuous process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method, they not only confiscate, but they confiscate arbitrarily; and while the process impoverishes many, it actually enriches some....The process engages all of the hidden forces of economic law on the side of destruction, and does it in a manner that not one man in a million can diagnose." -John Maynard Keynes (Economic Consequences of the Peace, 1920)

Crash Course: Chapter 10 - Inflation

Monday, November 9, 2009

Goldman Sachs boss says banks do "God's work"

LONDON (Reuters) - The chief executive of Goldman Sachs, which has attracted widespread media attention over the size of its staff bonuses, believes banks serve a social purpose and are doing "God's work."

LOL! I am completely blown away by this utterly illogical non-sense statement made by Goldman Sachs CEO - "banks serve a social purpose and are doing God's work." The whole economic crisis is literally getting more and more interesting and absurd. Perhaps the current financial crisis was created by God as well to serve the bankers' interests in the confiscation of wealth. God knows.

In an interview with London's Sunday Times newspaper, Lloyd Blankfein also said he believed big profits and bonuses at banks were a sign that the world economy was recovering.

"We help companies to grow by helping them to raise capital. Companies that grow create wealth. This, in turn, allows people to have jobs that create more growth and more wealth. We have a social purpose," he told the paper.

The dominant Wall Street bank posted third-quarter earnings of $3 billion and plans to hand out more than $20 billion in year-end bonuses.

Blankfein told the Sunday Times that the bank's compensation practices correlated with long-term performance.

"Others made no money and still paid large bonuses. Some are not around anymore. I wonder why?"

He added that he understood, however, that people were angry with bankers' actions: "I know I could slit my wrists and people would cheer."

Source: Goldman Sachs boss says banks do "God's work"

Friday, November 6, 2009

Hoooray for Jobless Recovery and A New Record Gold Price

The unemployment rate in the US rose to 10.2% in October, which was its highest rate since April 1983, according to figures from the US Labor Department.

It rose from September's figure of 9.8%. The economy lost 190,000 jobs in the month.

The number of unemployed people rose by 558,000 to 15.7 million.

Since the recession began in December 2007, the number of unemployed has risen by 8.2 million, while the jobless rate has risen from 4.9%.

But there was some better news with the revision of September's figure from a loss of 263,000 jobs to a loss of 219,000 jobs.


The figures were particularly poor given Thursday's news of a fall in initial weekly jobless claims and the data earlier in the week that showed the US economy had grown by 3.5% between July and September.

"It's pretty disappointing overall," said Richard Franulovich, senior currency strategist at Westpac in New York.

"Job losses are not moderating as quickly as I had hoped despite those earlier indicators on jobs."

The dollar fell against both the euro and the yen following the release of the figures.

Long-term unemployed

The sectors contributing the largest numbers of job losses in October were construction, manufacturing and retail.

It was the 22nd month in a row that the US economy had shed jobs, which is the longest run since records began 70 years ago.

There is concern that rising unemployment could scupper the recovery by restricting consumer spending, which accounts for 70% of the economy.

The number of people who had been out of work for at least six months rose to a record 5.6 million, accounting for 35.6% of the jobless total.

Source: US jobless rate rises to over 10%

What's more?

The gold price is almost hitting $1,100 an ounce! Oh well, say hi to the Mass-inflation.

Ron Paul: We need to audit the Federal Reserve, now more than ever!

Congressman Ron Paul on Morning Meeting w/ Dylan Ratigan

Ron Paul at Financial Services Hearing 11/4/09

Summary: Ron Paul at Financial Services Hearing 11/4/09

Saturday, October 31, 2009

Fed’s Regional Chiefs ‘Fight’ for Monetary Policy Independence

Oct. 30 (Bloomberg) -- Federal Reserve regional bank presidents are trying to ward off congressional efforts to weaken their clout, saying the moves may jeopardize monetary policy independence.

Kansas City Fed president Thomas Hoenig is circulating a book titled “The Balance of Power: The Political Fight for an Independent Central Bank.” Charles Plosser of Philadelphia said on Sept. 29, “we must preserve” the Fed’s structure.

Senate Banking Committee Chairman Christopher Dodd and Barney Frank, his House counterpart, have said they may change how Fed presidents are chosen or curb their power. Presidents aren’t appointed by Congress and are partly selected by banks, which lawmakers say share blame for the financial crisis. The danger is that Congress, by altering the selection process, may gain enough influence over monetary policy to thwart Fed efforts to tighten credit in coming years and keep prices from surging.

“If Congress interferes with the Fed’s ability to do what has to be done, it could have major negative effects on the economy through its impact on inflation,” said former Fed Governor Lyle Gramley, 82. The threat to central bank autonomy “looks to be the worst that I can recall in my lifetime.”

U.S. stocks, bonds and the dollar would collapse if investors perceive Congress violating the independence of the policy-setting Federal Open Market Committee, said Former Fed Governor Laurence Meyer, now vice chairman of Macroeconomic Advisers LLC.

Continue reading - Fed’s Regional Chiefs ‘Fight’ for Monetary Policy Independence

Tuesday, October 27, 2009

Public must learn to 'tolerate the inequality' of bonuses, says Goldman Sachs vice-chairman

Conservative peer Lord Griffiths said banks should not be ashamed of rewarding staff.

One of the City's leading figures has suggested that inequality created by bankers' huge salaries is a price worth paying for greater prosperity.

In remarks that will fuel the row around excessive pay, Lord Griffiths, vice-chairman of Goldman Sachs International and a former adviser to Margaret Thatcher, said banks should not be ashamed of rewarding their staff.


Speaking to an audience at St Paul's Cathedral in London about morality in the marketplace last night, Griffiths said the British public should "tolerate the inequality as a way to achieve greater prosperity for all".


He added that he knew what inequality felt like after spending his childhood in a mining town in Wales. Both his grandfathers were miners who had to retire from work through injury.

With public anger mounting at the forecast of bumper bonuses for bankers only a year after the industry was rescued by the taxpayer, he said bankers' bonuses should be seen as part of a longer-term investment in Britain's economy. "I believe that we should be thinking about the medium-term common good, not the short-term common good ... We should not, therefore, be ashamed of offering compensation in an internationally competitive market which ensures the bank businesses here and employs British people," he said.

Griffiths said that many banks would relocate abroad if the government cracked down on bonus culture. "If we said we're not going to have as big bonuses or the same bonuses as last year, I think then you'd find that lots of City firms could easily hive off their operations to Switzerland or the far east," he said.

Goldman Sachs is currently on track to pay the biggest ever bonuses to its 31,700 employees after raking in profits at a rate of $35m (£21m) a day.


The Centre for Economics and Business Research (CEBR) said today that City bonuses could soar to £6bn this year.

The chairman of the Financial Services Authority (FSA), Lord Turner, who was also present at the meeting, called once again for a global tax on financial transactions. He said that such a so-called "Tobin tax" could redistribute bank profits to help fight world poverty and climate change.

"The role of regulation is to bring a concordance between private actions and beneficial results," he said.


Source: Public must learn to 'tolerate the inequality' of bonuses, says Goldman Sachs vice-chairman

The Warning on Derivatives Market

"We didn't truly know the dangers of the market, because it was a dark market," says Brooksley Born, the head of an obscure federal regulatory agency -- the Commodity Futures Trading Commission [CFTC] -- who not only warned of the potential for economic meltdown in the late 1990s, but also tried to convince the country's key economic powerbrokers to take actions that could have helped avert the crisis. "They were totally opposed to it," Born says. "That puzzled me. What was it that was in this market that had to be hidden?"

In The Warning, veteran FRONTLINE producer Michael Kirk unearths the hidden history of the nation's worst financial crisis since the Great Depression. At the center of it all he finds Brooksley Born, who speaks for the first time on television about her failed campaign to regulate the secretive, multitrillion-dollar derivatives market whose crash helped trigger the financial collapse in the fall of 2008.

"I didn't know Brooksley Born," says former SEC Chairman Arthur Levitt, a member of President Clinton's powerful Working Group on Financial Markets. "I was told that she was irascible, difficult, stubborn, unreasonable." Levitt explains how the other principals of the Working Group -- former Fed Chairman Alan Greenspan and former Treasury Secretary Robert Rubin -- convinced him that Born's attempt to regulate the risky derivatives market could lead to financial turmoil, a conclusion he now believes was "clearly a mistake."

Born's battle behind closed doors was epic, Kirk finds. The members of the President's Working Group vehemently opposed regulation -- especially when proposed by a Washington outsider like Born.

"I walk into Brooksley's office one day; the blood has drained from her face," says Michael Greenberger, a former top official at the CFTC who worked closely with Born. "She's hanging up the telephone; she says to me: 'That was [former Assistant Treasury Secretary] Larry Summers. He says, "You're going to cause the worst financial crisis since the end of World War II."... [He says he has] 13 bankers in his office who informed him of this. Stop, right away. No more.'"

Greenspan, Rubin and Summers ultimately prevailed on Congress to stop Born and limit future regulation of derivatives. "Born faced a formidable struggle pushing for regulation at a time when the stock market was booming," Kirk says. "Alan Greenspan was the maestro, and both parties in Washington were united in a belief that the markets would take care of themselves."

Now, with many of the same men who shut down Born in key positions in the Obama administration, The Warning reveals the complicated politics that led to this crisis and what it may say about current attempts to prevent the next one.

"It'll happen again if we don't take the appropriate steps," Born warns. "There will be significant financial downturns and disasters attributed to this regulatory gap over and over until we learn from experience."

Even Warren Buffett had warned repeatedly in the past about the dangers of unregulated derivatives market as the financial weapons of mass destruction. See Warren Buffett on Derivatives

It is, undoubtedly, going to get very very extremely ugly in the future if it remains unregulated and controlled by the fools in Washington and Wall Streets. It's just a matter of time till all the multi-trillion dollar derivatives aka illusory wealth default. God bless America and the World.

A Must Watch Very Important Documentary
Stream: Frontline - The Warning

Wednesday, October 21, 2009

Atlas Shrugged

"Watch money. Money is the barometer of society's virtue. When you see that trading is done, not by consent, but by compulsion - when you see that in order to produce, you need to obtain permission from men who produce nothing - when you see that money is flowing to those who deal, not in goods, but in favors - when you see that men get richer by graft and by pull than by work, and your laws don't protect you against them, but protect them against you - when you see corruption being rewarded and honesty becoming a self-sacrifice - you may know that your society is doomed. Money is so noble a medium that it does not compete with guns and it does not make terms with brutality. It will not permit a country to survive as half-property, half-loot." - The great Ayn Rand

Whenever destroyers appear among men, they start by destroying money, for money is men's protection and the base of moral existence. Destroyers seize gold and leave to its owners a counterfeit pile of paper. This kills all objective value, an equivalent of wealth produced. Paper is a mortgage on wealth that does not exist, backed by a gun aimed at those who are expected to produce it. Paper is check drawn by legal looters upon an account which is not theirs: upon the virtue of the victims. Watch for the day when it bounces marked: 'Account Overdrawn' - Ayn Rand

One of the most important book ever written in the history of mankind

Atlas Shrugged and The Wall Street Journal

Gold and Economic Freedom

Recently, I have found the decades old article on the web written by former chairman of the Fed, Alan Greenspan in 1966, on the issue of Gold and Economic Freedom. I believe this will shed some light on the gold standard and the laissez-faire. Recommended reading.

Closing quote:

"In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value. If there were, the government would have to make its holding illegal, as was done in the case of gold. If everyone decided, for example, to convert all his bank deposits to silver or copper or any other good, and thereafter declined to accept checks as payment for goods, bank deposits would lose their purchasing power and government-created bank credit would be worthless as a claim on goods. The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves."

"This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' antagonism toward the gold standard."

Source: Gold and Economic Freedom by Alan Greenspan

Tuesday, October 20, 2009

Naked Short-Selling - A Counterfeiting Scheme that killed Bear Stearns and Lehman Brothers

Closing quote from this story:

"The new president for whom we all had such high hopes went and hired Michael Froman, a Citigroup executive who accepted a $2.2 million bonus after he joined the White House, to serve on his economic transition team — at the same time the government was giving Citigroup a massive bailout. Then, after promising to curb the influence of lobbyists, Obama hired a former Goldman Sachs lobbyist, Mark Patterson, as chief of staff at the Treasury. He hired another Goldmanite, Gary Gensler, to police the commodities markets. He handed control of the Treasury and Federal Reserve over to Geithner and Bernanke, a pair of stooges who spent their whole careers being bellhops for New York bankers. And on the first anniversary of the collapse of Lehman Brothers, when he finally came to Wall Street to promote "serious financial reform," his plan proved to be so completely absent of balls that the share prices of the major banks soared at the news.

The nation's largest financial players are able to write the rules for own their businesses and brazenly steal billions under the noses of regulators, and nothing is done about it. A thing so fundamental to civilized society as the integrity of a stock, or a mortgage note, or even a U.S. Treasury bond, can no longer be protected, not even in a crisis, and a crime as vulgar and conspicuous as counterfeiting can take place on a systematic level for years without being stopped, even after it begins to affect the modern-day equivalents of the Rockefellers and the Carnegies. What 10 years ago was a cheap stock-fraud scheme for second-rate grifters in Brooklyn has become a major profit center for Wall Street. Our burglar class now rules the national economy. And no one is trying to stop them."

Worth reading.

Source: Wall Street's Naked Swindle by Matt Taibbi

Monday, October 19, 2009

The Gold Dollar

Ah, little gold dollar, republican name,
Let peace be thy motto, and freedom thy fame;
may all use thee kindly and not hide thy face
Like misers and bankers in some lonely place,
But gain thee by labor or calling that’s just,
And part with thee freely whenever they must;
Let labor’s adore thee as both kind and civil,
Though bankers may make thee the root of all evil.

‘'Twas labor that caus’d thee to leave the gold mine
‘'Twas labor that made thee in splendor to shine,
‘'Twas labor that coin’d thee and fashion’d the mold
To shape thee so nicely a dollar of gold.
Since dollars and labor are nearly allied
In payment for labor they should be applied;
And all who will labor six days out of’ seven,
Gold dollars in payment should always be given.

‘Tis cheating of’ labor when misers do hold
And store up so useless those dollars of’ gold;
‘Tis knavery that bankers should keep them in gabs,
And substitute for them a vile trash of rags;
A bill made of’ paper, pure gold to alloy,
To build up the rich and the poor to destroy.
Unknown to our fathers who fought for our freedom,
Forbid it ye younger who doth now succeed them.

Arise then ye freemen, use liberty’s hand
And drive this vile paper from liberty’s land,
And let the gold dollar be coin for the poor
And circulate freely to every man’s door,
Awake up to freedom and not be controll’d,
Submit not to bankers to pocket your gold.
Put down the whole system of legalized knaving
And down with the brokers who now live by shaving.

Now look about the country and see those that shirk
Too idle to labor, too lazy to work,
Bank bills are their hobby, they live at their ease,
And make a new issue whenever they please;
They sport on the inter’st of’ bills they have lent,
Whose capital value is not worth a cent.
And cheating so common, the nicest inspector
Is forced to keep by him a bank note detector.

Then freemen use wisdom, be free when you can
Drive all the small paper from liberty’s land,
Send back to the bankers all notes under tens,
And draw back the specie to make you amends;
And henceforth refusing this paper disgrace,
Gold dollars and silver will soon take their place.
Our country will stand on a footing more civil,
And freemen rejoice at the downfall of’ evil.

The Federal Reserve Must Die

“The Federal Reserve in collaboration with the giant banks has created the greatest financial crisis the world has ever seen. The foolish notion that unlimited amounts of money and credit created out of thin air can provide sustainable economic growth has delivered this crisis to us. Instead of economic growth and stable prices, (The Fed) has given us a system of government and finance that now threatens the world financial and political institutions. Pursuing the same policy of excessive spending, debt expansion and monetary inflation can only compound the problems that prevent the required corrections. Doubling the money supply didn’t work, quadrupling it won’t work either. Buying up the bad debt of privileged institutions and dumping worthless assets on the American people is morally wrong and economically futile.” - Representative from Texas Ron Paul questioning Federal Reserve Chairman Ben Bernanke

Highly Recommended Reading
Source: A Comprehensive Review Of The Fed - The Fed Must Die

Sunday, October 18, 2009

The Blue Brain Project

The Blue Brain Project is the first comprehensive attempt to reverse-engineer the mammalian brain, in order to understand brain function and dysfunction through detailed simulations.

Computer simulations in neuroscience hold the promise of dramatically enhancing the scientific method by providing a means to test hypotheses using predictive models of complex biological processes where experiments are not feasible. Of course, simulations are only as good as the quality of the data and the accuracy of the mathematical abstraction of the biological processes. The first phase of the Blue Brain Project therefore started after 15 years of systematically dissecting the microanatomical, genetic and electrical properties of the elementary unit of the neocortex – a single neocortical column, which is a little larger than the head of a pin. From the data gathered from 15,000 experiments in rat somatosensory cortex, it became possible to begin constructing a model of this part of the brain.

The project has focused, however, not only on building a model of the neocortical column, but on developing a generic facility that could allow rapid modeling, simulation and experimentation of any brain region, if the data can be measured and provided according to specifications. The facility has been used to build the first model of the neocortical column, which consists of 10,000 3D digitizations of real neurons that are populated with model ion channels constrained by the genetic makeup of over 200 different types of neurons. A parallel supercomputer is used to build the model and perform the experiments so that the behavior of the tissue can be predicted through simulations.

With the present simulation facility, the technical feasibility to model a piece of neural tissue has been demonstrated. The next steps will involve expansion of the project in two directions. First, the Blue Brain team is intensifying its efforts to extend the facility to support modeling of the subcellular domain, which will integrate additional levels of biological detail into the existing neocortical column model. Incorporating the molecular level structures, processes and effects is an important step towards pharmacological and medical research “in silico”. Second, the facility will be extended to integrate details of larger portions of cortex and other brain structures. Ultimately, given additional resources, the facility can be extended to permit whole brain modeling, simulation and experimentation.

More detailed information and a glimpse into the future of the Blue Brain Project.

TED Henry Markram builds a Brain in a Supercomputer

Thursday, October 15, 2009

Dollar loses reserve status to yen & euro

Ben Bernanke's dollar crisis went into a wider mode yesterday as the greenback was shockingly upstaged by the euro and yen, both of which can lay claim to the world title as the currency favored by central banks as their reserve currency.

After printing up trillions of new dollars and new bonds to stimulate the US economy, the Federal Reserve chief is now boxed into a corner battling two separate monsters that could devour the economy -- ravenous inflation on one hand, and a perilous recession on the other.

"He's in a crisis worse than the meltdown ever was," said Peter Schiff, president of Euro Pacific Capital. "I fear that he could be the Fed chairman who brought down the whole thing."

"Bernanke's other choice is to keep rates at zero, print even more money and sell more debt, but we'll see triple-digit inflation that could collapse the economy as we know it.

"The stimulus is what's toxic -- we're poisoning ourselves and the global economy with it."

It is clearly indicating that the US economy cannot sustain itself with or without the "stimulus aka bailouts" and worse still, its dragging the world's economy along with its own into an unseen bottomless abyss. Perhaps, I think it's about time to kiss goodbye to the US dollar.

Source: Dollar loses reserve status to yen & euro

Thursday, October 8, 2009

ALERT! End The Fed Nationwide Mega-Rallies on Nov 22

Rally Promo - END THE FED - ACTION 11/22/2009

"You are a den of vipers and thieves. I intend to rout you out, and by the grace of the Eternal God, will rout you out." -Andrew Jackson

Previous footage

Financial Crisis Protest - New York, April 25, 2008

End The Fed - New York Fed Part 1

End The Fed - New York Fed Part 2


End The FED NYC 11.22.2008

END THE FED Rally - 11-22-08 New York City NYC

Alex Jones End the Fed OTN Interview

EXCLUSIVE - End The Fed Rally with Ron Paul and Peter Schiff

End The Fed - Houston Rally with Ron Paul Pt.1

End The Fed - Houston Rally with Ron Paul Pt.2

End The Fed - Houston Rally with Ron Paul Pt.3

End The Fed - Houston Rally with Ron Paul Pt.4

End The Fed Rally NYC 2/2 Peter Schiff Speaks to Angry Crowd!

If you want to find out more about the movement, just go to YouTube.com and search for "End The Fed".

Wednesday, October 7, 2009

The Case Against the Fed

By far the most secret and least accountable operation of the federal government is not, as one might expect, the CIA, DIA, or some other super-secret intelligence agency. The CIA and other intelligence operations are under control of the Congress. They are accountable: a Congressional committee supervises these operations, controls their budgets, and is informed of their covert activities. It is true that the committee hearings and activities are closed to the public; but at least the people's representatives in Congress insure some accountability for these secret agencies.

It is little known, however, that there is a federal agency that tops the others in secrecy by a country mile. The Federal Reserve System is accountable to no one; it has no budget; it is subject to no audit; and no Congressional committee knows of, or can truly supervise, its operations. The Federal Reserve, virtually in total control of the nation's vital monetary system, is accountable to nobody — and this strange situation, if acknowledged at all, is invariably trumpeted as a virtue.

It is impossible to understand money and how it functions, and therefore how the Fed functions, without looking at the logic of how money, banking, and Central Banking developed. The reason is that money is unique in possessing a vital historical component. You can explain the needs and the demand for everything else: for bread, computers, concerts, airplanes, medical care, etc., solely by how these goods and services are valued now by consumers. For all of these goods are valued and purchased for their own sake. But "money," dollars, francs, lira, etc., is purchased and accepted in exchange not for any value the paper tickets have per se but because everyone expects that everyone else will accept these tickets in exchange. And these expectations are pervasive because these tickets have indeed been accepted in the immediate and more remote past. An analysis of the history of money, then, is indispensable for insight into how the monetary system works today.

Continue Reading - The Case Against the Fed by Murray N. Rothbard

Tuesday, October 6, 2009

The Dollar Crisis is Approaching?

Wow, just look at the gold price chart today. An abrupt $26.12 hike in one day. Now it's standing at freaking $1043.32 an ounce! Does that signal the dollar crisis is approaching soon? Perhaps, very soon, sooner than you might be anticipated. I think the gold price will skyrocketing in the subsequent weeks or months. Farewell to the supremacy status of the US dollar.

Gold hits new high as traders fret over dollar inflation

The price of gold hit another all-time high today amid mounting concerns over the value of the dollar and the inflationary impact of the global economic recovery.

Source: Gold hits new high as traders fret over dollar inflation

UN calls for new reserve currency

The United Nations called on Tuesday for a new global reserve currency to end dollar supremacy which has allowed the United States the "privilege" of building a huge trade deficit.

"Greater use of a truly global reserve currency, such as the IMF?s special drawing rights (SDRs), enables the seigniorage gained to be deployed for development purposes."

Source: UN calls for new reserve currency


Partners In Crime - Perpetual Lies by Bernanke and Paulson

Federal Reserve Chairman Ben S. Bernanke and former Treasury Secretary Henry M. Paulson Jr. misled the public about the financial weakness of Bank of America and other early recipients of the government's $700 billion Wall Street bailout, creating "unrealistic expectations" about the companies and damaging the program's credibility, according to a report by the program's independent watchdog.

The Washington Times: Bernanke, Paulson misled public on bailouts


"At this juncture, the impact on the broader economy and financial markets of the problems in the subprime market seems likely to be contained." March 28th, 2007. See more - Ben Bernanke's Lies

Why are we still listening to this Bernanke?

"We've got strong financial institutions . . . Our markets are the envy of the world. They're resilient, they're...innovative, they're flexible. I think we move very quickly to address situations in this country, and, as I said, our financial institutions are strong." March 16th, 2008. See more - Henry Paulson's Lies

McCotter: Republicans Oppose the Paulson Splurge

So, Paulson lied? He’s misled America from Day One.

Before we get to the new TARP IG revelations of Hank Paulson’s deceit on the health of financial institutions, let’s take a trip down bank bailout memory lane. He’s been misleading America from Day One.

"Both parties in Washington are about to screw us over on an unprecedented scale. They are threatening us with fiscal apocalypse if we don’t fork over $700 billion to Treasury Secretary Henry Paulson and allow him to dole it out to whomever he chooses in whatever amount he chooses — without public input or recourse. They are rushing like mad to cram this Mother of All Bailouts down our throats in the next 72-96 hours. And right there in the text of the proposal is this naked power grab: “Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency.

This revelations about Hank Paulson's lies will completely blow you away, if you allow time for yourself to read it thoroughly.

EXCLUSIVE: Paulson misled America from Day One

These two partners in crime are the greatest jokes in the history of human civilization. Too much damage was, and still is, being done by them. The final stage of the financial apocalypse is about to set in the near future.

Monday, October 5, 2009

David Icke on "What is Money?"

David Icke - "What is Money?"

The IMF to Play Role of Global Central Bank?

“A year ago,” said law professor Ross Buckley on Australia’s ABC News on September 22, “nobody wanted to know the International Monetary Fund. Now it’s the organiser for the international stimulus package which has been sold as a stimulus package for poor countries.”

The IMF may have catapulted to a more exalted status than that. According to Jim Rickards, director of market intelligence for scientific consulting firm Omnis, the unannounced purpose of the G20 Summit in Pittsburgh on September 24 was that “the IMF is being anointed as the global central bank.” Rickards said in a CNBC interview on September 25 that the plan is for the IMF to issue a global reserve currency that can replace the dollar.

The Dollar Needs to be Devalued by Half?

Reducing the value of the dollar means that our hard-earned dollars are going to go only half as far, which is not a good thing for Main Street. In fact, the move is designed not to serve us but the banks. The dollar needs to be devalued to compensate for a dilemma in the current monetary scheme that is even more intractable than Triffin’s, one that might be called a fraud.

There is never enough money to cover the outstanding debt, because all money today except coins is created by banks in the form of loans, and more money is always owed back to the banks than they advance when they create their loans. Banks create the principal but not the interest necessary to pay their loans back.

The Fed, which is owned by a consortium of banks and was set up to serve their interests, is tasked with seeing that the banks are paid back; and the only way to do that is to inflate the money supply, in order to create the dollars to cover the missing interest. But that means diluting the value of the dollar, which imposes a stealth tax on the citizenry; and the money supply is inflated by making more loans, which adds to the debt and interest burden the inflated money supply was supposed to relieve. The banking system is basically a pyramid scheme, which can be kept going only by continually creating more debt.

The IMF’s $500 Billion Stimulus Package: Designed to Help Developing Countries or the Banks?

And that brings us back to the IMF’s stimulus package discussed by Professor Buckley. It was billed as helping emerging nations hard hit by the global credit crisis, but Buckley doubts that is what is really going on. Rather, he says, the $500 billion pledged by the G20 nations is “a stimulus package for the rich countries’ banks.” He notes that stimulus packages are usually grants. The money coming from the IMF will be extended in the form of loans.

"These are loans that are made by the G20 countries through the IMF to poor countries...the poor countries will spend the next 30 years repaying the IMF."

The loans extended by the IMF represent an increase in seniority of the debt. That means developing nations will be even more firmly locked in debt than they are now.

As long as third world debtors can service their loans by paying the interest on them, the banks can count the loans as “assets” on their books, allowing them to keep their pyramid scheme going by inflating the global money supply with yet more loans. It is all for the greater good of the banks and their affiliated multinational corporations; but the $500 billion in funding is coming from the taxpayers of the G20 nations, and the foreseeable outcome will be that the United States will join the ranks of debtor nations subservient to a global empire of central bankers.


The Ron Paul Story

The Ron Paul Story

Sunday, October 4, 2009

Global Financial Dictatorship - The Game of Goldman Sachs

From tech stocks to high gas prices, Goldman Sachs has engineered every major market manipulation since the Great Depression - and they're about to do it again

The first thing you need to know about Goldman Sachs is that it's everywhere. The world's most powerful investment bank is a great vampire squid wrapped around the face of humanity, relentlessly jamming its blood funnel into anything that smells like money. In fact, the history of the recent financial crisis, which doubles as a history of the rapid decline and fall of the suddenly swindled dry American empire, reads like a Who's Who of Goldman Sachs graduates.

If you want to understand how we got into this financial crisis, you have to first understand where all the money went — and in order to understand that, you need to understand what Goldman has already gotten away with. It is a history exactly five bubbles long — including last year's strange and seemingly inexplicable spike in the price of oil. There were a lot of losers in each of those bubbles, and in the bailout that followed. But Goldman wasn't one of them.

Source: The Great American Bubble Machine

Are Goldman Sachs alumni part of a broader agenda that has not only lined their pockets with the spoils of corruption that Taibbi has exposed, but has also helped facilitate an international financial coup - a coup that has put the control of the planet's financial affairs into the hands of small group of central bankers that hold secret meetings at what is nothing less than the Vatican of international finance - The Bank for International Settlements (BIS) located in Basel, Switzerland?

If you've had a suspicion that bankers are running Washington, then hang on to your Calvins because while it starts in DC, this story is global in reach and is rolling out before your eyes - if you are willing to look.

Source: The Goldman Connection

In light of the ever-present and unyieldingly persistent exclamations of ‘an end’ to the recession, a ‘solution’ to the crisis, and a ‘recovery’ of the economy; we must remember that we are being told this by the very same people and institutions which told us, in years past, that there was ‘nothing to worry about,’ that ‘the fundamentals are fine,’ and that there was ‘no danger’ of an economic crisis.

Why do we continue to believe the same people that have, in both statements and choices, been nothing but wrong? Who should we believe and turn to for more accurate information and analysis? Perhaps a useful source would be those at the epicenter of the crisis, in the heart of the shadowy world of central banking, at the global banking regulator, and the “most prestigious financial institution in the world,” which accurately predicted the crisis thus far: The Bank for International Settlements (BIS). This would be a good place to start.

The economic crisis is anything but over, the “solutions” have been akin to putting a band-aid on an amputated arm. The Bank for International Settlements (BIS), the central bank to the world’s central banks, has warned and continues to warn against such misplaced hopes.

What is the Bank for International Settlements (BIS)?

The Bank for International Settlements (BIS), located in Basel, Switzerland, is the central bankers’ bank. There are 55 central banks around the planet that are members, but the BIS is controlled by a board of directors, which is comprised of the elite central bankers of 11 different countries (U.S., UK, Belgium, Canada, France, Germany, Italy, Japan, Switzerland, the Netherlands and Sweden).

Created in 1930, the BIS is owned by its member central banks, which, again, are private entities. The buildings and surroundings that are used for the purpose of the bank are inviolable. No agent of the Swiss public authorities may enter the premises without the express consent of the bank. The bank exercises supervision and police power over its premises. The bank enjoys immunity from criminal and administrative jurisdiction.

In short, they are above the law.

Central bank members have bi-monthly meetings at the BIS where they discuss a variety of issues. It should be noted that most “of the transactions carried out by the BIS on behalf of central banks require the utmost secrecy,” which is likely why most people have not even heard of it. The BIS can offer central banks “confidentiality and secrecy which is higher than a triple-A rated bank.”

The BIS was established “to remedy the decline of London as the world’s financial center by providing a mechanism by which a world with three chief financial centers in London, New York, and Paris could still operate as one.” As Carroll Quigley explained:

"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. This system was to be controlled in a feudalist fashion by the central banks of the world acting in concert, by secret agreements arrived at in frequent private meetings and conferences. The apex of the system was to be the Bank for International Settlements in Basel, Switzerland, a private bank owned and controlled by the world’s central banks which were themselves private corporations."

The BIS, is, without a doubt, the most important, powerful, and secretive financial institution in the world.

Source: The Economic Recovery is an Illusion

Goldman is like a Rottweiler on a leash. The key is bringing the handler, the Bank for International Settlements, under control. Let’s call it government by Goldman, shall we?

Exclusive Articles by Bruce Wiseman -
A Look Behind the Wizard's Curtain
Hitler's Bank Goes Global - The Purpose of the Financial Crisis

Reuters News: "Government Sachs" - Lets one well run dry

Dennis Kucinich: "Is this the United States Congress or the Board of Directors of the Goldman Sachs?"