Economic pressures

[Danny B]

Oil and LENR

All of us are aware of what it would mean to carbon energy if ZPE or LENR went to market. This is an excellent article showing that the big investors are pulling OUT of oil.
Why Are the Big Financial Institutions Selling Oil BIG?
Some of the most important info is in the comments section. There are claims that oil companies are selling off their oil fields and refineries. There are also claims that nuke projects are being canceled.
The article makes the claim that BIG money is pulling out because LENR can't be stopped.

[aljhoa]

All of us are aware of what it would mean to carbon energy if ZPE or LENR went to market. This is an excellent article showing that the big investors are pulling OUT of oil.
Why Are the Big Financial Institutions Selling Oil BIG?
Some of the most important info is in the comments section. There are claims that oil companies are selling off their oil fields and refineries. There are also claims that nuke projects are being canceled.
The article makes the claim that BIG money is pulling out because LENR can't be stopped.

The LENR (Low Energy Nuclear Reaction) is a more technical term for this so-called Cold Fusion.

These effects are observed at conventional temperatures (60° C-1500° C), which suggest a nuclear origin, and in any case much more energy than chemistry (50 to 1000 times more than chemicals). However it does not look like the fusion of stars, or the fission in nuclear reactors. There is almost no radioactivity, no radioactive waste, no stellar temperature ...
The word cold fusion seems there an abuse, but we are not sure really.
LENR, Cold Fusion, executive summary for policy makers « LENR news

Al

[Danny B]

cold fusion

Here is Gary Taubes to ASSURE you that cold fusion is impossible;
The Daily Bell - Gary Taubes on Cold Fusion, Good Nutrition and What Makes Bad and Good Science
Here, we see that M.I.T. is offering their class on cold fusion for the second year.
2013 starts right with Cold Fusion 101 at MIT for second year | COLD FUSION NOW!
Most of you know that M.I.T stole the work of Paul Pantone and patented a device that is a plasma reformer.

[Danny B]

Trust and money

As EVERYONE knows, politicians are , for the most part, liars and thieves. They become politicians because they have no honest skills to offer in the job market.
These same people, we put in charge of OUR treasury. Power corrupts,,,, no big surprise.
They use laws and paper promises to steal from our productivity,,, nothing new.
We all crash,,, again, nothing new.
The internet has provided an information storehouse that is immensely more accurate than the PTB controlled books that were our previous reference on the economy and economic crimes. The "search" function for our enormous data base has changed impossible tasks to simple tasks.
As WE become far more aware of our enslavement, it becomes much harder to perpetuate.

This is also very true of the investor class. It is so much harder to fool the investors. Economic propaganda just doesn't fly like it used to.
This is a long article from Jim Willie on the total disintegration of the banking industry.
Jim Willie: Raging Gold Bull & Disputed Propaganda | SilverDoctors.com

When trust leaves the scene, there is NO credit and barter is the rule of the day. The universal standard for barter valuation is gold.
Reportedly, there is a standard "Gold Trade Note" that will circulate before very long.
Gold Trade Note to replace dollar in international trade and settlements - National Finance Examiner | Examiner.com

Central banks are printing currency with wild abandon. They print new "money" to rescue debt that can no longer be serviced by the original debtor.
The debt gradually shifts it's way up the ladder until it resides on the balance sheet of the central bank. The CB is the only entity that can print free money to buy up bad loans.
"Central Banks Cannot Create Wealth, Only Liquidity"

The central banks drive down interest rates so that debt can be serviced at a lower rate. Driving down interest rates wipes out economic activity and erases the productivity that is necessary to service the debt.
While the debt can now be serviced at a lower rate, the economic activity is so reduced that it is even more difficult to generate the cash to service the debt.
The production cycle has been wiped out by the diversion of all money to service the debt load.

[Danny B]

alternative to bank stimulus

There is a very interesting article from Zero Hedge.
Slow Money - Big Money | Zero Hedge
I'll let you read it rather than printing excerpts.
I do want to print a long excerpt from the comments , though.

"The size of the black hole is known. Instead of giving money to banks, give it to taxpayers. Regardless of whether they save or spend, the money ends up as someone's deposit, thereby boosting reserves the same as if it were given straight to banks. The money supply expands, but this way velocity does not collapse. Banks then have a strong incentive to compete for reserves (deposits) and have to lift their game to cover the fact that toxic **** has been left on their books. The weakest will collapse without it being a crisis because there is enough cash in the system.

In conjunction with this, raise interest rates sharply to push people to pay down debt and save. This dampens an inflationary effect of handing out money and it rewards the prudent while punishing those who gambled and ran up a lot of debt. Raise rates high enough and the rate of credit being extinguished can cancel the QE rate meaning that there is a qualitative shift (improving) rather than a quantitative one.

One way to distribute money widely is to push it by a fat pipe to Treasury and let a huge government system disperse it, as is being done now, to an extent. This sucks because governments are notoriously bad at allocation. Instead, to make the QE process fair, hand out money in proportion to the amount of tax paid by the taxpayer in the past. This rewards those with a proven track record of earnings and honesty and gives nothing to loafers and cheats. Again, the subsequent spending will produce a qualitative shift as honest earners are more likely to spend productively than cheating wasters.

Of course, this leaves a big hole in Fed/Treasury, but no bigger than the one that currently exists thanks to QE. The difference is that done this way, the real economy has some chance of actually recovering so that the hole can eventually be filled without foreign creditors ****ting themselves.

Fairest way would be to require banks to pay 100% of profits (after expenses) into filling that hole until it's done. De-financialize by taxing the financial sector relatively harder than the real economy. If banks won't comply because they can't or won't then either liquidate or nationalize the zombies."

[Danny B]

Cyprus

Well, Cyprus is in the news. Russian oligarchs stash a LOT of money there. The Cypriot banks used Russian money to buy Greek bonds. That didn't work out so well. The Germans said that they would NOT bail out a bunch of Russian billionaires. The threat of contagion made them change their minds.
The Economist predicted that there would be bank runs in the southern countries.

NONE of the Cypriot parliament voted to approve the theft. At the moment, this is being celebrated as a victory for the KGB and Putin.
My Blog

Now, there is speculation that Cypriot banks can never reopen. The Russians can easily shift their money to other bank havens. Cyprus has instituted capital controls to stop this. The very latest plan calls for an even bigger bite out of wealthy depositors.
Cyprus Shifts To Plan 'DD' (Douple-Dip The Large Depositors) | Zero Hedge
This will eventually result in a few legislators being found in dumpsters.

[Danny B]

IMF, BIS + world bank

Several months ago, Dominique Strauss Kahn was very publicly arrested on plane in New York. He was to be the head of the IMF. The arrest ended his career.
A few days ago, the current head of the IMF had her apartment raided and searched for evidence of corruption and embezzlement. Christine Lagarde

IMF Founders: Harry Dexter White and John Maynard Keynes
The IMF is an agency that specializes in stealing big time from developing countries. America holds 18.5 % of voting rights.

John Maynard Keynes, "After WWII however, when disbanding the BIS was actually mandated by Congress, he argued against the dissolution pending the creation of the IMF and World Bank."

Harry Dexter White was also considered to be a brilliant economist, and was appointed in as 1942 assistant to Henry Morgenthau, Secretary of the Treasury. He remained Morgenthau’s most trusted assistant throughout his term, and argued verbosely against the Bank for International Settlements.

As you can see, the IMF is an enemy of the Bank for international Settlements. There are other problems;
Vocal critics of the IMF at that time included George P. Schultz (member of the Trilateral Commission), William E. Simon (Secretary of the Treasury under Nixon and Ford) and Walter B. Wriston (former chairman of Citigroup/Citibank and member of the Council on Foreign Relations). They jointly wrote Abolish the IMF
The IMF is ineffective, unnecessary, and obsolete. We do not need another IMF, as Mr. (George) Soros
The enemies of the IMF include the Trilateral Commission, the Bank for International Settlements and the Council on Foreign Relations.
QUITE an impressive list of enemies.

The International Monetary Fund

In a general sense, the IMF works diligently to steal as much as possible from as many countries as possible. They run up debts and then steal all the public productive assets. It's called privatization.
(1/14/2004) Ten Years Of Privatization Made Argentina's Crisis Worse

The general procedure for the IMF is to loan too much money to countries with corrupt leaders. When the default comes, they demand infrastructure.
TalkingStickTV - John Perkins - Confessions of an Economic Hit Man - Part I - YouTube
In a general sense, there is a war between the BIS and sound money and the IMF inflationists.

[Danny B]

Italy now

Cyprus in in the headlines now but, Italy will have it's turn. Couple of quotes;
"the economy was caught in a "vicious circle" where banks are too frightened to lend, driving more companies over the edge. A thousand are going bankrupt every day."
"The research group CGIA di Mestre said half of small companies cannot pay their staff on time."
Read more at Mish's Global Economic Trend Analysis: German Economist Proposes "One Time" Cyprus-Like 15% Wealth Tax on Italians; Italy Proposes Easing Stability Pact; Is Italy the Next Cyprus?
The solution is simple
""So it would make sense, in Italy for a one-time property tax levy," suggested the Bank economist. "A tax rate of 15 percent on financial assets would probably be enough"
The end result will probably be a 15% tax on ALL assets.

The situation in Europe is VERY simple. The banks and investors made loans to entities who were/are high risk believing that they were low risk. The borrower has no responsibility to proved an assessment of risk. The depositors and savers represent prudent people. The plan is to burn the prudent people to pay off the gamblers.

Italy has been unable to form a government after the latest election. Grillo is pushing for a complete repudiation of austerity and a break from the EU.
Should the Eurocrats try to impose a 15% asset tax, Grillo will find it easier to break away from Brussels.
Infidel753: The rebellion of Italy

Italy has the 3rd largest bond market in the world. A break from the Eurozone would repay bonds in a very deflated (new) Lira.
The result would be similar to this;
Firework Factory Explosion - YouTube

[Danny B]

Deflation and velocity

Here are some numbers and facts from the Daily Reckoning.

Firms in the S&P 500 are holding close to a trillion dollars in cash on their collective balance sheets, an increase of 40% from the dark days of 2008.
In fact, banks themselves are swimming in liquidity. The loan-to-deposit ratio of America’s banks is a decades-low 70%. Plus, banks still have nearly $1.5 trillion parked at the central bank in excess reserves.

This cash hoarding is a worldwide phenomenon. Companies in Japan have increased their liquid assets by 75% since 2007 to $2.8 trillion. Canadian firms have $300 billion sitting on their balance sheets, a 25% increase from 2008.

Still the deposits pile up. At the end of 2008, the total amount in loans and leases in America’s banks stood at $7.9 trillion. Four years later that total stood at $7.7 trillion. The total of Commercial and Industrial loans hasn’t grown at all, standing at $1.5 trillion at the end of 2008 and 2012.

Meanwhile deposits at federally insured institutions have grown from $9 trillion at year end 2008 to $10.8 trillion at the end of last year.
The Fed is desperate for businesses to make investments and hire people, whether they result in entrepreneurial errors or not. The stated plan is to lower borrowing costs for businesses so that borrowers will seek and be granted loans to do projects that require increased hiring.

However, the results have been terrible. The headline unemployment rate still hovers near 8%. Three million fewer Americans are employed now than in January 2008. Median household income has dropped 9% since the end of 2007

The velocity of money has fallen from 3.5 to under 1.5 over the last few decades.

America had a lock on manufacturing after WW II. That ended about 1969. Of course, it was a process, not an event. Wages have been stagnant since 1971 when accounting for price inflation.
OK, so, we lost our job and aggregate wages sank.
GOV and bankers believe that if they continue to print currency, people will continue to get rich. Global competition in value-added sectors reduced our national income and resulted in a huge balance-of-trade deficit.
The productive economy is being deflated at the same time that the currency and credit supply is being inflated.
We have reached a saturation point.

The West tried to maintain a high wage-and-price structure even after the wage part of the equation collapsed. Wages went away so GOV pumped in currency to keep the economy inflated.
The currency was pumped into the upper loop. It was guessed that currency pumped into the upper loop (banks) would trickle down to the lower loop. This is a long-held idea that is questionable.
Nick Hanauer - YouTube

The vid points out that all production is for the sake of consumption. Unemployment is close to 23 %
Alternate Unemployment Charts
So, almost 90 million are NOT in the labor force. National income has dropped and the consumer is broke. National income is deflating and money velocity is stalling.
On the other end of the equation, GOV is printing like crazy. GOV is scared stiff by the thought of deflation. In currency deflation, currency becomes more valuable. Bank loans stand at $ 7.7 trillion. With lower velocity and less currency, these loans won't be paid back. The solution from the FED is to buy up the bad loans and have the taxpayer pay them back.

You and your kids.
Doorbell - YouTube
The FED is now buying most treasury bonds AND the bad loans. The FED is also losing the battle to keep interest rates down very low. When the rates rise, it will take most of GOV income to service the debt. This will choke off money to service private debt at the same time.
Bernanke has told obummer that he wants out.

[Danny B]

euro funds and Cypress

Britain is in DEEP trouble because the banks have an enormous exposure. BOE is unwilling to print all the necessary trillions. Britain needs an infusion of cash to keep them going. For some strange reason, GB never switched over to the Euro. This crisis is NO surprise. It was predicted when the Eurozone was "implemented". A suspicious person would think that GB stayed out of the common currency to gain advantage at a later date.

The ball in Cyprus is still bouncing. Here is the latest;
"Earlier yesterday it looked as if Cyprus may have to impose a larger levy on deposits, up to 25 per cent."
Now, THAT is a good way to scare away depositors. Lest there be any doubt, Nigel Farage has told Britons to get all their money out of euro denominated banks.
The British GOV is trying not to get caught in a squeeze either.
The British Government has frozen £1.2million in state pension payments due to 12,000 Britons living in Cyprus to prevent it being grabbed in a bailout deal.
Get all your money out of Europe now | UK | News | Daily Express
The currency war has just escalated.

[Danny B]

Negative interest

The West is under attack by both low-wage competitors AND bankers. And, don't forget automation. The economy can't seem to produce jobs. GOV wants banks to loan money to produce jobs. Never mind that it never works that way with debt-money. The banks don't want to loan money to the people who really need it because they can't pay it back..

BOE has come up with a new solution. Paul Trucker;
"The situation is rather
simple, the banks must loan out to recover the economy,
but they are refusing to do so. The economy is not repairing
from the Global Collapse of Capitalism in 2008 in large part
due to the refusal of banks to loan.
The Bank of England has gone through a good deal
of Quantitative Easing in order to make it easier for the
bank by giving them much more money. To the chagrin of
the economy and the government, the banks have
categorically refused to do so. "

"The announcement of a
possible negative interest rate is their way of saying that the
banks had better start loaning out that money or else it is
going to cost them."

STRANGE TIMES
England Considers Negative Interest Rates - YouTube

[Danny B]

Bankruptcy and default

Not much new to report. Greece is back in the news.
Breaking: Greece | Zero Hedge
Slovenia may be next on the list.
The Next Cyprus? | Zero Hedge
Italy is in paralysis. They can't form a new GOV. That may bump them up the list of prospective crashers.
Currency creation in America has changed from exponential to hyperbolic.
Money supply accelerating

There are some worries that austerity may set up Europe for populist revolutions.
'Cyprus deal pushes EU closer to French, Bolshevik revolutions' - YouTube

Porter Stansbury has been providing a warning to people for quite a while. Since he runs a big investment house, He does his own research. He has a very good track record for accuracy. His latest message is that U.S. GOV will do a surprise devaluation. Almost all countries have done this at one time or another.
America is desperate to inflate away the debt load. The U.S. economy is shrinking at about 5 % a year. This makes it extremely difficult to get adequate price inflation out of all that currency inflation. A currency devaluation makes sense and is the usual procedure.
Stansberry's Investment Advisory

If you are thinking of maybe buying a few solar panels, you should read this paper on the 3 day week.
Three-Day Week - Wikipedia, the free encyclopedia

A currency devaluation is part of a currency war. Venezuela just did one. Most devaluations are done gradually by over printing. America last did an overnight devaluation when it changed the price of gold from $ 20 an ounce to $ 35 an ounce. The current posted price of American GOV gold is $42.33 an ounce. I don't know why.

The general claim is that GOV is more insolvent than the banks.
The two things that would cause a lot of problems are a banking holiday or a GOV default. There is speculation that a virus, Gauss will be used as an excuse to shut down banking and , presumably, steal all the money.

"In the event that Gauss is used as an excuse to shut down the banking industry domestically to purge all computers of the virus, this would be the flashing red warning signal that the covert banking holiday has begun. Since all mega banks have resolution plans filed with the Fed, their insolvency would be superficial.

Once all customer funds were electronically transferred into off-shore accounts, the specialized police forces and hired mercenaries would be stepped forward to protect the technocrats from retaliation for their crimes."
Activist Post: Mega-Banks Plan for Collapse with Contingency Plans and Private Police Force

Who knows?
This guy is selling a book on survival and has a pretty scary audio.
http://familysurvivalkit.org/index.php
Dunno but, history doesn't favor us.

[Danny B]

Panic

Jim Rodgers has said on CNBC to get your money out of the bank. Nigel Farage MP has said to get your money out of European banks.
The saying goes, "never start a panic but,,,, if you do, make sure that you are the first one to the exit".
"Get your money out of the banks" Jim Rogers on CNBC 3/28/13 'Looting' of bank accounts has Rogers worried -- Puppet Masters -- Sott.net

Executive order 6102 forbade the hoarding of gold and CURRENCY. You could only hold 5 ounces of gold. 1933.
The banks really don't have very much in assets. If people try to pull it out that has a very negative effect on the bank. Keep in mind that your money at the bank is a loan in most countries. The bank can make you wait to recall your loan. They don't actually have your money. They use it.

Investopedia explains 'Sweep Account'
"In a sweep program, a bank's computers analyze customer use of checkable deposits and "sweeps" funds into money market deposit accounts. "
You loaned your money to the bank so they could go out and gamble with it.

If your money is not in a deposit account, it can disappear very easily.
Poof it's gone! YouTube - YouTube

Here is a vid that is NOT fiction. It is an actual interview on CSPAN. At about 2:25 Rep Kanjorski says that the whole financial system would have been brought down in ONE day.
Collapse Of The Entire World Economy In 24 hours - YouTube
It is quoted in the movie "Rollover".
Rollover 1981... world economic collapse - YouTube
Panic is always bad.

[Danny B]

Payback

Jim Willie has a great track record at predicting economic problems. His latest letter is about the trade unions and financial arrangements that specifically exclude America. Jim has been writing for many years. He wrote that this letter is the most important ever.
America is about 4 % of the world's population We have been throwing our weight around for many years. We claim to be the world's policeman. Under the corrupted influence of the CIA, the FED and a bought-and-paid-for congress, we have become the world's thug.

Our payback is spelled out here.
USDollar: Ring-Fenced & Checkmate

[Danny B]

DeGraw, Maybury and Willie

This isn't pleasant reading;
Introduction To The Road Through 2012: Revolution or World War III | Zero Hedge
This is from Maybury;
The Daily Bell - From Grammar School to Battlefield with Richard Maybury
I linked to Jim Willie's article above. He expands on it;
http://www.24hgold.com/english/news-...=Jim+Willie+CB

Maybe you should skip the articles and just say your prayers instead.