Energetic Forum  
Facebook Twitter Google+ Pinterest LinkedIn Delicious Digg Reddit WordPress StumbleUpon Tumblr Translate Addthis Aaron Murakami YouTube 2018 ENERGY CONFERENCE - ALL SEATS SOLD OUT!

2018 Energy Science & Technology Conference
Sponsored by Teslacoin Foundation

Teslacoin Foundation

https://www.teslastarter.org


Go Back   Energetic Forum > >
   

General Discussion Other general discussions on topics not listed above.

* NEW * BEDINI RPX BOOK & DVD SET: BEDINI RPX

Reply
 
Thread Tools
  #841  
Old 07-13-2015, 01:14 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Revaluing the dollar

Wayne.ct, there is a lot of misunderstanding about gold. In 1934, much of the gold was held by private banks. Roosevelt didn't want to hand the private banks a windfall while revaluing gold that they held. The private banks had blow a huge credit bubble during the roaring 20s. Roosevelt confiscated the gold and then devalued the dollar. The gold that he sucked in was sent over to the FED. The FED, under Benjamin Strong had illegally discounted and sold bonds in the secondary market. Roosevelt robbed the private banks of gold to recapitalize the FED. FDR's 1933 Gold Confiscation was a Bailout of the Federal Reserve Bank

"The financial footing of the United States became shaky. European countries which were holding substantial quantities of US gold-clause notes began presenting them to exchange for physical gold. The US Government’s fixed price of gold at $20.67 per troy ounce had been in effect for some time. But as the Great Depression deepened, the free-market price of gold started creeping up above that. This was an indication that confidence in gold-clause notes was starting to wane. A gold run on the Federal Reserve bank was imminent. And that was something that couldn’t be tolerated.

And the reason that a gold run couldn’t be tolerated, is that neither the Federal Reserve nor the US Treasury held anywhere near enough gold to back all the Gold Certificates and Federal Reserve Notes that were in circulation. And printing more of these notes would only erode confidence in them even further. The gold fractional-reserve system was at the end of the road."
"Records indicate that the total gold reserves of the country in 1933 were 4 Billion dollars worth. And at $20.67 per troy ounce, that equates to about 6,000 metric tons of gold.
The total face value of US Treasury Gold Certificates issued from 1905 to 1928 equates to more than 16,000 metric tons of gold"
Wiki; "The stated reason for the order was that hard times had caused "hoarding" of gold, stalling economic growth and making the depression worse"
Over-issuance and the credit bubble were the cause.

Fast forward to 1965. GOV printed the snot out of paper dollars. The various foreign States who held paper dollars wanted to trade for physical gold because of the over printing. France sent a battleship to pick up her gold. Like the roaring 20s, the FED had overprinted. Gold was leaving the treasury at the rate of 100 tons a week in summer of 1971. On August 11, 1971, the British ambassador notified the U.S. treasury that Her Majesties GOV was going to pick up 1/3 of the remaining gold.,,, about 3600 tons.
Nixon did NOT consult with enough people. On August 15, 1971, he closed the gold window. He was impeached for this. The London Bankers were NOT amused. He had spoken to Arthur Burns about devaluing the dollar but he didn't follow this course,,, as FDR had.
This one decision of Nixon's was what motivated Ron Paul to go into politics.

Gov can't seem to maintain control over the printing press and the price of gold has risen steadily. There have been various schemes to control the price of gold but, they always fail after a while. In 1980, the P.O.G. was rising too fast and Volker had to do something. He raised interest rates to about 21%. This drug investors out of gold to participate in the boom of high interest rates.
For several years, the CBs sold gold in unison to drive down the price. They were unloading gold to get paper money that they can print for free. It worked for a time but, was abandoned. The CBs are now buyers.

The Rest of the world has industrialized and they don't really need any of our stuff. At some point, they are going to demand trade settlement instead of constantly rolling over debt.. If they want gold for their stuff (oil), then we have to pay in gold.
Strangely, obummer wants to sell off the oil in the strategic petroleum reserve so that he can modernize it. How do you modernize a hole in the ground. The above ground infrastructure can be modified without draining the caverns.

Currently, it appears that America will have 2 currencies. A day-to-day transactional currency and a currency that is accepted internationally to settle debts. The BIS settles international accounts and settles in gold ONLY.
FDR confiscated gold from the banks and revalued it. It seems likely that this will happen again. The bullion vaults are an easy target. Texas just wrote a law stating that the FEDS is forbidden from taking any gold from Texas. Janet Reno has the answer for that. If our trading partners want to settle accounts in gold, then, gold it will have to be. If we don't have enough gold, we will send the HAARP, MERS, SARS and ebola.

Walmart is the largest food distributor. Homeland Security has an office at Walmart headquarters. So much for distribution. What about production?
EDIT; JFK produced an alternative to the FED money and was killed a few months later. Texas has announced a fledgling alternative to the FED coming from their gold depository. https://www.youtube.com/watch?v=N6xBAQsrumc
" Texas has decided to start keeping its gold holdings within in its own borders. ... The Fed declined comment on the new Texas depository, as did HSBC bank, .."
This is dated 6 days ago. HSBC is as crooked as they come. It will be interesting to see if they really get it back.
__________________
 

Last edited by Danny B; 07-13-2015 at 02:16 PM. Reason: more info
Reply With Quote

Download SOLAR SECRETS by Peter Lindemann
Free - Get it now: Solar Secrets

  #842  
Old 07-13-2015, 02:20 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
The market becomes self-aware

The producing economy needs capital to function. The parasites have to keep predations down to a minimum of the productive economy freezes up.
http://www.zerohedge.com/sites/defau...712_panic1.jpg
http://www.zerohedge.com/news/2015-0...time-panic-yet
__________________
 
Reply With Quote
  #843  
Old 07-13-2015, 07:29 PM
wayne.ct wayne.ct is offline
Silver Member
 
Join Date: Jan 2011
Posts: 535
Thanks for the extended reply

I need some time to absorb it. You are definitely talking macroeconomics. Perhaps I am stuck in microeconomics.
__________________
There is a reason why science has been successful and technology is widespread. Don't be afraid to do the math and apply the laws of physics.
Reply With Quote
  #844  
Old 07-14-2015, 03:28 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Privatization and you

Greece: "The threat has worked. Greece must fork over €50 billion in assets in exchange for the deal. By assets, I mean “airports, infrastructure, and most certainly banks.”
This represents an incredible 27% of Greek GDP. Greece, in essence, is handing over a quarter of its economy to Germany control. So much for any notion of borders, independence, or even sovereignty. Greece is now, for all extensive purposes, something of a German colony."
http://www.zerohedge.com/news/2015-0...-autumn-coming
So, the bankers get their kilo of flesh. That was the idea from the beginning. It has worked well before.

Russia; "Privatization enabled Russia to shift from the deteriorating Soviet planned economy towards a market economy, but, as a result, a good deal of the national wealth fell into the hands of a relatively small group of so-called business oligarchs (tycoons), and the wealth gap increased dramatically.[1] It was described as "Catastroika"[2] and as one of the "most cataclysmic peacetime economic collapse of an industrial country in history"
https://en.wikipedia.org/wiki/Privatization_in_Russia

Argentina used to be a very rich country. The bankers worked their magic in Argentina and now, it is VERY poor. Search "cartoneros".
(1/14/2004) Ten Years Of Privatization Made Argentina's Crisis Worse

So, the idea is simple. We work for decades to build and pay for public infrastructure. The bankers create a debt bubble and it blows up. Remember that job # ONE for bankers is to convert their "thin air" money into tangibles. So, the debt bubble blows up and the unfortunate bankers have to settle for a bit of infrastructure as a small repayment.

OK, moving on. The FED holds about $ 4.4 trillion of Treasury and agency debt. GOV is going to default on this debt in October. What ripe plums will the FED demand for repayment?
"most cataclysmic peacetime economic collapse of an industrial country in history" Ah yes, the looting of America will set a new record for lucrative ventures.
__________________
 

Last edited by Danny B; 07-14-2015 at 03:31 AM. Reason: forgot a link
Reply With Quote
  #845  
Old 07-14-2015, 03:48 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Trucks and civilization

"In a 2012 report prepared for legislators and business leaders by the American Trucking Associations highlights just how critical our just-in-time inventory and delivery systems are, and assesses the impact on the general population in the event of an emergency or incident of national significance that disrupts the truck transportation systems which are responsible for carrying some ten billion tons of commodities and supplies across the United States each year."
That is 27,397,260 tons a day. It takes 1100 trucks a day to feed Los Angeles.
So, Armstrong says to have 3 months of cash for food and gas. That would imply a credit lockup. What happens to the truckers who have to rely on credit to fuel up?
http://3ngqfbmqoyl3hz02w2gjccsf64.wp...nfographic.png
What happens when millions of people can't get their medications?
When the Trucks Stop Delivering, 'The System' Will Collapse | Ready Nutrition
__________________
 
Reply With Quote
  #846  
Old 07-14-2015, 04:28 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Socialism and your future

Putin warned obummer NOT to try socialism. They had tried it for 70 years and it was/is a failure.
"During a meeting in Panama on Saturday with Cuban Dictator Raul Castro, US President Barack Obama reportedly said that the United States is “bracing itself for socialism,” and that a major socialist revolution, which he referred to as a “Socialist Spring,” would spread through the country in the near future. - See more at: Obama to Castro: US "Almost Ready" For "Socialist Spring" | National Report

"Socialism is a philosophy of failure, the creed of ignorance, and the gospel of envy, its inherent virtue is the equal sharing of misery."
Winston Churchill
Socialism is strictly a distribution system so, it demands a command economy.

"America is ready for socialism! Massive majorities back Bernie Sanders on the issues "
51% of Americans receive a check from GOV so, I suppose that a yearning for socialism is not a big surprise.
"Jews have been prominently identified with the modern Socialist movement from its very inception"
SOCIALISM - JewishEncyclopedia.com

What are the capitalists planning for an answer?
Things You Must Do Before September 15th, 2015
To Prepare For September Through December
New DVD From Lindsey Williams
ORDER YOUR COPY NOW!
Immediate Shipping Available!

Events Scheduled For September Through December.
Things The Elite Told Me To Do.
Know What You Are Preparing For.
Alternate Location.
Move Or Suffer.
How To Stay Warm Without Electricity.
The Date The New World Order Will Be Implemented.

- See more at: Lindsey Williams

Here is the short vid; https://www.youtube.com/watch?v=W_XB-qUfbg8#t=17
Here is the rundown for the DVD; https://www.youtube.com/watch?v=sehEi99lI24
Bummer
__________________
 
Reply With Quote
  #847  
Old 07-16-2015, 02:01 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
40 ways

40 ways to lose your future - The Automatic Earth

1. Deflation is inevitable due to Ponzi dynamics (see From the Top of the Great Pyramid)
2. The collapse of credit will crash the money supply as credit is the vast majority of the effective money supply
3. Cash will be king for a long time
4. Printing one’s way out of deflation is impossible as printing cannot keep pace with credit destruction (the net effect is contraction)
5. Debt will become a millstone around people’s necks and bankruptcy will no longer be possible at some point
6. In the future the consequences of unpayable debt could include indentured servitude, debtor’s prison or being drummed into the military
7. Early withdrawals from pension plans will be prevented and almost all pension plans will eventually default
8. We will see a systemic banking crisis that will result in bank runs and the loss of savings
9. Prices will fall across the board as purchasing power collapses
10. Real estate prices are likely to fall by at least 90% on average (with local variation)
11. The essentials will see relative price support as a much larger percentage of a much smaller money supply chases them
12. We are headed eventually for a bond market dislocation where nominal interest rates will shoot up into the double digits
13. Real interest rates will be even higher (the nominal rate minus negative inflation)
14. This will cause a tsunami of debt default which is highly deflationary
15. Government spending (all levels) will be slashed, with loss of entitlements and inability to maintain infrastructure
16. Finance rules will be changed at will and changes applied retroactively (eg short selling will be banned, loans will be called in at some point)
17. Centralized services (water, electricity, gas, education, garbage pick-up, snow-removal etc) will become unreliable and of much lower quality, or may be eliminated entirely
18. Suburbia is a trap due to its dependence on these services and cheap energy for transport
19. People with essentially no purchasing power will be living in a pay-as-you-go world
20. Modern healthcare will be largely unavailable and informal care will generally be very basic
21. Universities will go out of business as no one will be able to afford to attend
22. Cash hoarding will continue to reduce the velocity of money, amplifying the effect of deflation
23. The US dollar will continue to rise for quite a while on a flight to safety and as dollar-denominated debt deflates
24. Eventually the dollar will collapse, but that time is not now (and a falling dollar does not mean an expanding money supply, ie inflation)
25. Deflation and depression are mutually reinforcing in a positive feedback spiral, so both are likely to be protracted
26. There should be no lasting market bottom until at least the middle of the next decade, and even then the depression won’t be over
27. Much capital will be revealed as having been converted to waste during the cheap energy/cheap credit years
28. Export markets will collapse with global trade and exporting countries will be hit very hard
29. Herding behaviour is the foundation of markets
30. The flip side of the manic optimism we saw in the bubble years will be persistent pessimism, risk aversion, anger, scapegoating, recrimination, violence and the election of dangerous populist extremists
31. A sense of common humanity will be lost as foreigners and those who are different are demonized
32. There will be war in the labour markets as unemployment skyrockets and wages and benefits are slashed
33. We are headed for resource wars, which will result in much resource and infrastructure destruction
34. Energy prices are first affected by demand collapse, then supply collapse, so that prices first fall and then rise enormously
35. Ordinary people are unlikely to be able to afford oil products AT ALL within 5 years
36. Hard limits to capital and energy will greatly reduce socioeconomic complexity (see Tainter)
37. Political structures exist to concentrate wealth at the centre at the expense of the periphery, and this happens at all scales simultaneously
38. Taxation will rise substantially as the domestic population is squeezed in order for the elite to partially make up for the loss of the ability to pick the pockets of the whole world through globalization
39. Repressive political structures will arise, with much greater use of police state methods and a drastic reduction of freedom
40. The rule of law will replaced by the politics of the personal and an economy of favours (ie endemic corruption)
__________________
 

Last edited by Danny B; 07-16-2015 at 04:43 AM. Reason: numbers didn't copy
Reply With Quote
  #848  
Old 07-16-2015, 03:23 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Future of banking,,, buying time in Greece

Originally, all wealth came from mother earth. When a person or group created a surplus, they could trade. Eventually, banking was born to facilitate trade. Currency was born because barter was not particularly effective. The banking industry was there simply to facilitate trade and support the productive economy. Corruption has turned this completely on it's head. The banking industry has become the uber-parasite that is devouring ALL. As usual, this credit bubble is going to come to an end. Rather than a pop, It is going to be an explosion with a lot of death.

When the bond market is destroyed, all confidence will be lost. The bankers will try to rebuild their "milk cow" and start the process over again. This time is different. The computer has become the auditor who never makes a mistake and works 24/7.
Our banking system is a millennia old design. This crash will usher in new concepts and platforms. Banking, as we know it, will not exist in 10 years
Unfortunately, GOV will still be able to raid whatever they want. Hopefully, a solution will be found for this also.

Tsipris signed right on the dotted line. Now, the Greek parliament has approved the measures from the troika. Armstrong thinks that Tsipris is an idiot. Martin just doesn't have the perspicacity to understand the game. Neither do the Germans, especially Merkel.
Austerity has never worked. Privatization is currently NOT working in Greece. They have only sold off 3.5 billion Euros worth of stuff in the last couple of years. Syrisa signed up for unworkable demands. The IMF is well aware of this and is clashing with Germany. Greece desperately needs to unlock liquidity in the short term. In a short time, Merkel will learn that everybody in Europe hates her for enforcing unworkable policies that have no end-plan. She has forced Greece to sign a suicide pact. This is not lost on the rest of Europe. Greece and Spain have 50% youth unemployment.
The Spanish are getting pissy about what they know is coming.
The End of Freedom of Speech in Spain | Armstrong Economics

The Greek parliament all got in line when it was explained to them what the game plan was. Schauble demanded of Varoufakis that Yanis lead him right into a trap. Merkel has a choice between 2 disasters. The European GOVs were stupid enough to take on all the banker's debt on to GOV books. Now, they are blowing up instead of the bankers.
The IMF makes it painfully clear that there is no solution without a debt haircut. Merkel refuses and sets herself up as the idiot pushing plans that have been thoroughly proved to be unworkable.
Tsipris should be able to restore liquidity for the short term. Later the problem will be so BIG that nobody will be picking on Greece. Italy and Spain are neck-in-neck to see who goes insolvent first.
Germany has signed up for hundreds of billions in loan guarantees.

Greece and Spain have 50% youth unemployment. Nobody can avoid/evade the fact that no country has a future if it's youth have no future. All the machinations out of Brussels will founder at inception if this is ignored. Tsipris bought time until this fact sinks in.
__________________
 
Reply With Quote
  #849  
Old 07-18-2015, 01:12 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
G.Edward Griffin ,,, the FED is your landlord

Some good reading and vids. The dollar is nearing the end of it's life. Jim Rickards talks the viewpoint of GOV. They want the SDR to be the next reserve currency. Various other groups want their currency to be the reserve. There is a good chance that gold will fill that job because nobody in politics can be trusted.
G. Edward Griffin: Coming Replacement for the Dollar, Secrets of the Banking System, Gold/Silver G. Edward Griffin: Coming Replacement for the Dollar, Secrets of the Banking System, Gold/Silver
The Inevitability of Economic Collapse – A Conversation with G. Edward Griffin & Stefan Molyneux The Inevitability of Economic Collapse - A Conversation with G. Edward Griffin & Stefan Molyneux
Nigel Farage gives an excellent analysis of the problems in Europe. Farage on Europe at the Heritage Foundation | Armstrong Economics

The banks got regulations thrown out. The banks made a huge amount of liar loans. The loans crashed. The banks sold these loans to FED GOV. ( Fannie, Freddie, FHA and the FED. The FED printed $ 40 billion a month to buy mortgage backed securities. The FED was essentially buying up mortgages. JOB # 1 for the bankers is to convert their thin-air money into tangible stuff. I can't find the number but, I think that FED GOV holds something like 62% of mortgages.
At about 13:20, Lindsey Williams talks about this. https://www.youtube.com/watch?v=AewOKdb4eak
I have no idea how this will shake out in the event of a collapse in U.S. GOV bonds.
__________________
 
Reply With Quote
  #850  
Old 07-18-2015, 01:29 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
more strangeness

Well, Yanis led the Germans into a trap and it has been sprung VERY fast.
http://www.zerohedge.com/news/2015-0...uro-not-greece
The Greek banks are open and that is the most important part. It won't last long but, at least the Greeks will be eating for a couple more months.
http://www.zerohedge.com/news/2015-0...ef-imf-insists
The Guardian Weighs in; The end of capitalism has begun | Books | The Guardian
Paul Craig Roberts sees the end of freedom. http://www.zerohedge.com/news/2015-0...res-have-begun
Unfortunately, I don't see it that way. The IMF says that this can't possibly work. That only leads ONE place; revolution.
__________________
 
Reply With Quote
  #851  
Old 07-21-2015, 02:40 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Plant a garden,,, say a prayer

"Right now, the debt to GDP ratio for the entire planet is up to an all-time record high of 286 percent, and globally there is approximately 200 TRILLION dollars of debt on the books. That breaks down to about $28,000 of debt for every man, woman and child on the entire planet. And since close to half of the population of the world lives on less than 10 dollars a day, there is no way that all of this debt can ever be repaid. "
The Bankruptcy Of The Planet Accelerates – 24 Nations Are Currently Facing A Debt Crisis | MND - Your Daily Dose of Counter-Theory
The debts of GOV are enormous. what does GOV plan to do to survive?

"Little by little, these people are destroying everything that held the world economy together. Their hunt for spare change for tax purposes is undermining every aspect of civilization. This will NEVER END NICELY for they can only think about their immediate needs with no comprehension of the future they are creating. Indeed, somebody better pray for us, for those in charge truly do not know what they are doing."
Germany Replacing Bank Cards and Eliminating Cash Withdrawals | Armstrong Economics
Nope, a parasite doesn't think about any external needs.

The banks are open in Greece but, it has still turned into a humanitarian crisis. It isn't expected to get any better. "The Streets Of Athens Will Fill With Tanks": Kathimerini Reveals Grexit "Black Book" Shocker | Zero Hedge

Greece Is Now A Full-Blown Humanitarian Crisis - In 9 Charts | Zero Hedge
Tsipris did what he needed to do so that Greeks could eat for a bit longer. Taxes have soared which will only make things worse. Greeks are famous for not paying taxes. Will Merkel send German tax collectors to every house and business? Greek banks reopen but cash limits remain and taxes soar - Yahoo News

As a result of massive and permanent job losses, the West is slipping ever-further into socialism. In the face of a massive reduction in wages and wealth creation, the socialists pay for everything with an ever-bigger mountain of debt paper. The mountain is collapsing because the debt notes can only be paid off by productivity and wealth creation. That is why the mountain is growing so fast.
Socialism demands a command economy and total control. Your every deed must be known and your every action must be controlled. http://www.rumormillnews.com/cgi-bin...cgi?read=22318
__________________
 
Reply With Quote
  #852  
Old 07-23-2015, 02:24 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Commodities down,,, gold up

The upper loop of the economy is chugging along on free money. The lower loop of the economy doesn't get free money (yet) and it is falling badly. Consumption is way down. Consumption of commodities is way down. Commodity currencies are falling. Commodity currencies in decline
Copper is going down at an angle that looks like double-black-diamond. This Measure of Copper Is Another Bad Omen for the Commodities Meltdown - Bloomberg Business
Caterpillar is crashed down into depression-level sales. Oil is down close to $ 50 a bbl for WTI. ALL commodities are crashing and in huge over-supply. China has as much excess steel manufacturing capacity as the total capacity of America and Europe. It is obvious that industry was so obsessed with production and efficiency that it neglected to look at consumptive capacity.

Ho-hum, this has all been done before. The sheeple investors are being led to slaughter. Wall Street Prepares To Reap Billions From Another Main Street Wipe Out | David Stockman's Contra Corner
The exit door has become extremely small.
Commodities are crashing. Regardless of all the claims of the purveyors of paper and digital currencies, gold and silver are not just commodities.

“biggest supply reaction in commodity history” – which frankly, is but a follow-up of February’s “supply response,” in which I postulated that not only are commodities more oversupplied than at any time in history, but that gold and silver – which are decidedly NOT “commodities” – are, conversely, more undersupplied than ever before. Yesterday, whilst the PPT was busy “saving the Dow”; and the MSM not only proclaiming Greece “fixed,” but deeming gold a “pet rock,” the Bloomberg Commodity Index closed at a new 13-year low,"
The Biggest Supply Reaction In Commodity History | SilverSeek.com

Edit; ""Far Worse Than 1986": The Oil Downturn Has No Parallel In Recorded History, Morgan Stanley Says"
"Far Worse Than 1986": The Oil Downturn Has No Parallel In Recorded History, Morgan Stanley Says | Zero Hedge
The oil companies kept producing from shale wells even after the price fell below production costs. They did this by hedging. The hedges run out in october. There are going to be a lot of bankruptcies from this.
__________________
 

Last edited by Danny B; 07-24-2015 at 02:27 AM. Reason: more info
Reply With Quote
  #853  
Old 07-24-2015, 04:39 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
More bad numbers, more poverty

"Only two times before has the S&P 500 been up by more than 200 percent over a six year time frame.
The first was in 1929, and the stock market subsequently crashed.
The second was in 2000, right before the dotcom bubble burst."
The Economic Collapse Blog Has Issued A RED ALERT For The Last Six Months Of 2015
And what was the result of that?
"America’s 95 million investors are at huge risk. Remember the $10 trillion losses in the crash and recession of 2007-2009? The $8 trillion lost after the dot-com technology crash and recession of 2000-2003? This is the third big recession of the century. Yes, America will lose trillions again."
16 Facts About The Tremendous Financial Devastation That We Are Seeing All Over The World
There is much argument between inflation and deflation. The losses could easily hit $ 100 trillion this time. That is extremely deflationary. At the same time, prices will go up on necessities.
More numbers,, in case you need more evidence. This article blames obummer when he really didn't have any way to turn things around.
12 Ways The Economy Is Already In Worse Shape Than It Was During The Depths Of The Last Recession
__________________
 
Reply With Quote
  #854  
Old 07-24-2015, 03:04 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
the implosion continues

Wages are down. Consumption is down. Yet, the upper loop of the economy chugs on fuelled by free money. The problems in the lower loop are starting to catch up to the upper loop. Especially in any country that depends on resource consumption.
The Australian dollar is 'smashed' and teetering over the US70c precipice – Guardian
After the crash of resource linked economies will come the crash in manufacturing economies. China is trying to escape the effects of the drop in wages in it's biggest customers.
China spends 10% of GDP on "all bark, no bite" stock bailout – Talk Markets
Capital exodus from China reaches $800bn as crisis deepens – Telegraph
The bankruptcy of the planet accelerates – Michael Snyder
When consumption and growth crashed, the central bankers tried to inflate to carry us over a bad patch. High wages are NOT going to come back and the "bad patch" is of indefinite length. Automation ensures that it will only get worse. The CBs tried to respond to a paradigm that no longer exists.
Central banks have shot their wad – David Stockman
Central Banks Have Shot Their Wad——-Why The Casino Is In For A Rude Awakening, Part I | David Stockman's Contra Corner
The upper loop of the economy doesn't produce anything except credit / debt. Without consumption, there is little demand for credit. The investment community is retracting hundreds of $ billions of debt paper from formerly productive sectors. There is no use in being productive if prospective consumers are flat broke.
All this debt paper will eventually be subject to the laws of supply-and-demand.
__________________
 
Reply With Quote
  #855  
Old 07-26-2015, 12:41 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
deflation until the PTB make a serious effort at reflation of the lower loop

Energy is the master resource. It affects the price of everything else. As the economy collapses, there will be less demand for energy. At the same time, there will be less oil available.
"#1 It is being projected that half of all fracking companies in the United States will be “dead or sold” by the end of this year.

#2 The rig count just continues to fall as the U.S. oil industry implodes. Incredibly, the number of rigs in operation in the United States has fallen for 19 weeks in a row"
11 Signs That We Are Entering The Next Phase Of The Global Economic Crisis | ETF DAILY NEWS
"Whole groups of enterprises involved in mining and energy are about to be destroyed. And the commodity-heavy nations of Canada, Australia and Brazil are in for a very rough ride.

Whether the central banks can keep all of their carefully-propped equity and bond markets elevated throughout the next part of the cycle remains to be seen. " They can't.
"One of the models of the future that I favor is the Ka-Poom theory put out by Erik Janszen of iTulip.com back in 1999.

Basically it states that the end of a bubble era begins with a sharp deflationary event (the ‘Ka’ part of the title), but ends in a highly inflationary blow-off, (the ‘Poom’).

It’s a one-two punch. Down then up.

The reason you get the deflationary portion is simply because bubbles always burst. They are seeking a pin from the moment they are born.

The logic for the inflationary secondary reaction is that the central banks always respond to deflation with more money printing. Ironically, this is a doomed attempt to stem the damage caused by their prior money printing efforts.

They never learn.

So that’s what we’re looking for here at Peak Prosperity: a deflationary crunch savage enough to scare the central banks into opening the monetary spigots even wider. But this next time, we think they’ll seek to goose economic growth by giving money directly to the people as well as non-bank corporations."
Yep, directly to the people. The CFR already proposed this. Jim Willie and Adrian Salbuchi already predicted it.

The PTB of all stripes are trying to fight deflation but, they just don't have a chance when the middle class is broke.
"Just last month, the Chinese stock market started to crash, but the crash was interrupted when the Chinese government essentially declared a form of financial martial law."
"We know from a vivid account in Caixin magazine that China’s top brokers were shut in a room and ordered to hand over money for an orchestrated buying blitz."
Pretty funny when you consider that american bankers were shut in a room and ordered to accept TARP money.
http://etfdailynews.com/2015/07/23/c...risis-is-here/

Jim Rogers has some advice; http://etfdailynews.com/2014/10/17/j...or-your-lives/
The big problem is that you can run but, you can't hide (your money). As the Greeks and many others have learned; once your currency is in a banks, you lose all control of it.

The rest of the world will have plenty of problems but, they are closing ranks against us. The Eurasian Big Bang: How China & Russia Are Running Rings Around Washington | Zero Hedge
Historically, the stronger State attacks the weaker State and loots it. The stronger State has to make sure that the weaker State can't defend itself. Ghandhi; “Among the many misdeeds of the British rule in India, history will look upon the Act depriving a whole nation of arms as the blackest.”

But, the industrial revolution brought arms and defensive capability to formerly weak States. The arms industry has greatly promoted arms sales. Former vassal States can now defend them selves. To make matters even worse for the Anglo-American war mongers, much of the battlefield has moves to cyber space. In spite of the plans of PNAC and the Brookings Center, there isn't going to be a new American century. Just like the French and British empires behind us, the world has grown up around us and won't suffer that harness any longer.
We attack with HAARP and disease. They persevere. When the treasury bond market collapses, they will make sure that we don't get up off the ground. Israel will pay the price for letting the Zionists run the show. America will pay the price for letting the neo-cons run the show. Europe will pay a very high price also.
__________________
 
Reply With Quote
  #856  
Old 07-26-2015, 06:35 PM
Ruphus Ruphus is offline
Senior Member
 
Join Date: Mar 2013
Posts: 213
re-inflating the lower loop

Isn't this what was done in the 40-50's? Labor laws and unions were the rage. Corporations were "forced" to open up some of their coffers. An actual redistribution of the wealth.

I suppose politicians were in the bed with corporate America even back then, but it would sure seem unlikely that they would do the same again now as they are now all owned by corporations. Laws against corporate America would never pass or maybe not even be written.
__________________
 
Reply With Quote
  #857  
Old 07-26-2015, 08:49 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
concentrate the wealth,,, crash the economy

Ruphus, bankers and other idiots only think of their own personal welfare. They want to squeeze the last nickel out of every victim. They very much like the current arrangement where they give you no consideration but, you must pay them almost everything you earn.
The little case that threatened the entire Banking system. | THE TRUTH ABOUT THE LAW
The PTB load us down with taxes; http://cdn.theatlantic.com/static/mt...graph%2025.png
And let the corporations skate; http://y.ourfuture.org/wp-content/up...f1-infocus.jpg
The current situation is a perfect illustration of what happens when you impoverish all your would-be customers.
The feces-for-brains fight against organized labor so they can pay more to stockholders. When too much capital is locked up in the super rich, consumption crashes. The short-sighted morons got rid of their employees and then, mysteriously, couldn't find any consumers. The stock market has NO earnings and is coasting along on vapors looking for a solvent consumer.
This situation is complicated even more in that (wanna be) high-wage producers are buying loads of goods from their low-wage competitors.

Without a production-consumption cycle, imaginary capital becomes phantom capital. These debt notes eventually evaporate in the hot sun. China has dumped $ 1/2 trillion in U.S. GOV debt paper recently because they don't want to be holding a bag of vapor.
Shock Report: China Dumps Half a Trillion Dollars: "Something Is Very, Very Wrong"
"We’ve recently reported that China is preparing for something very big in currency markets this October. We then learned that economic models from two very well known financial forecasters are predicting that governments around the world will run into serious problems starting around October 2nd of this year."
Once again, we see mention of October.
Just imagine capital as a snake. Imagine deflation as a steam roller. The snake has it's tail caught in a slow-moving steam roller. Since the bond market is all debt-notes, it has no where to escape to. It tried to escape to commodities but, they are dependent on consumption. Commodities crashed. Apparently, the steam roller reaches the heart in october.
__________________
 
Reply With Quote
  #858  
Old 07-27-2015, 04:45 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
All bonds will evaporate

At one time, Martin Armstrong was managing over $ 3 trillion. As he moved money, GOV claimed that he was manipulating markets. He made it hard for banks to screw clients so, the banks got him thrown in prison. He has been very public for years about the crash of U.S. Treasury bonds this coming october. I suspect that his warnings may very well become self-fulfilling.
The stock market is coasting along on fumes rather than earnings. They can't take any big shocks. The private bond market is a bug in search of a windshield.
In 2008 when the crisis hit it was $80 trillion. It has since grown to over $100 trillion.

2) The derivatives market that uses this bond bubble as collateral is over $555 trillion in size.

"4) Corporations today are more leveraged than they were in 2007. As Stanley Druckenmiller noted recently, in 2007 corporate bonds were $3.5 trillion… today they are $7 trillion"
Cyprus; "Then, in the span of a single week, a bank holiday was declared, bank accounts were frozen, and deposits were stolen."
This Time Around, Entire Countries Will be Going Bust | Zero Hedge
__________________
 

Last edited by Danny B; 07-28-2015 at 02:13 PM. Reason: mis smelling
Reply With Quote
  #859  
Old 07-28-2015, 02:28 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Psychology and debt

Martin Armstrong's model is a model of confidence. Psychology is a major factor in the economy. The Chinese are learning this much to their dismay.
"Instead of repeatting what we have said countless times about what happens when a government finally loses control of not one but numerous credit-driven bubbles of which China now has at least three (the downside is clear: social unrest, rioting, perhaps even civil war should stocks resume their crash to a fair value which BofA said last night is 50% lower from here)"
What Loss Of Control Looks Like: Chinese Regulator Urges Traders To Rat Out "Malicious Sellers" | Zero Hedge

"- As will be the case with Greece, U.S. will eventually be forced to liquidate debt
- Attempts to forecast day of reckoning are futile as it is a function of psychology"
?They Can?t Print Money Forever? - Ron Paul
51% of Americans receive a check from GOV. As a body, they all want this to continue. The bureaucrats came up with FACTA to try to squeeze every penny out of investors. Reportedly, this bureaucratic behemoth is now going after banks to rob them also.
Banks Become the Target of the Hunt for Taxation | Armstrong Economics
The bond market represents "stored wealth". It is actually "stored debt". Presumably, the perception and psychology about this fact will set in this coming October. At some point, all debt will be shunned because all trust will be gone. When trust is gone, credit is very hard to find. When credit ends, GOV will try to reflate the economy with cash,,, presumable digital cash.
__________________
 
Reply With Quote
  #860  
Old 07-29-2015, 04:18 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
gold survives,,, ZPE or bust

The paper-money people are working overtime to tarnish the image of gold;
Banksters Unleash a Golden, Drive-by Shooting | SilverDoctors.com
Supply and Demand in the Gold and Silver Futures Markets - Paul Craig Roberts and Dave Kranzler - PaulCraigRoberts.org
The mints are rationing gold and silver because they run out so fast. You can't buy all you want. The paper-money people continually refer to gold and silver as a commodities. Funny, copper is crashing, iron ore costs less than cabbage but gold and silver sales keep rising. http://www.zerohedge.com/news/2015-0...-2015-now-fact
"The once great U.S. Empire is now in big trouble. The U.S. Empire is on its last legs.
At some point, we will not be able to trade worthless Fiat Dollars for our oil imports. Falling domestic oil production, on top of falling oil imports will wreak havoc on the U.S. Economy and most paper and physical assets. "
SilverDoctors | Restoring Your Financial Health

Output from fracking is rising but, the well depletion rate is horrendous. Fracking was financed by junk bonds. If the bond market collapses, there will be no bucks to put in more wells when depletion makes it necessary. There won't be a junk-bond market in America for many years to come. The economy can't survive on $ 100 oil. Either the PTB unleash ZPE to drive massive price deflation or,,, they watch the entire economy collapse.
__________________
 
Reply With Quote
  #861  
Old 07-31-2015, 02:01 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Tug-a-war,, parasites and producers

Reportedly, U.S. treasury bonds crash in October., Reportedly, the sale of U.S. treasury bonds is 60% lower that it was 2 years ago.
https://www.youtube.com/watch?v=ZiENFvvZQVc
When the bond market crashes, all credit will lock up. Commerce will try to squeeze into cash and barter. You can bet that this won't last for very long. GOV will have to "inject" a new currency. "Jim Willie: ‘We’re three months away from radical changes…and a new dollar’ "
Jim Willie: 'We're three months away from radical changes...and a new dollar'
OK, so GOV is going to inject / create a new currency. REMEMBER, the people doing this are the same people who brought you the obamacare website. "The Obama administration has spent roughly $840 million on HealthCare.gov, including more than $150 million just in cost overruns for the version that failed so badly when it launched last year."
They will be trying to run the entire economy.
In a general sense, all representative GOV is socialist. America started as a democratic republic because pure democracies only last about 150 years. " If you can keep it"
There is always one element trying to buy GOV and promote fascism.
There is always one element trying to vote themselves a free ride. This tug-a-war is about to go into high gear.

The Anatomy of the State
"The great German sociologist Franz Oppenheimer pointed out that there are two mutually exclusive ways of acquiring wealth; one, the above way of production and exchange, he called the "economic means." The other way is simpler in that it does not require productivity; it is the way of seizure of another's goods or services by the use of force and violence. This is the method of one-sided confiscation, of theft of the property of others. This is the method which Oppenheimer termed "the political means" to wealth. It should be clear that the peaceful use of reason and energy in production is the "natural" path for man: the means for his survival and prosperity on this earth. It should be equally clear that the coercive, exploitative means is contrary to natural law; it is parasitic, for instead of adding to production, it subtracts from it. The "political means" siphons production off to a parasitic and destructive individual or group; and this siphoning not only subtracts from the number producing, but also lowers the producer's incentive to produce beyond his own subsistence. In the long run, the robber destroys his own subsistence by dwindling or eliminating the source of his own supply."

There is a solution offered by Jim Bell;
Assassination Politics - by Jim Bell

The 6 apostles have a plan too; Western Rifle Shooters Association: Vanderboegh: The Six Apostles
__________________
 
Reply With Quote
  #862  
Old 08-01-2015, 04:55 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Breaking the Eurozone,,, electronic reflation

Almost all the banks loaned out way too much money. "To prevent a default on fragile French and German banks, that had irresponsibly lent billions to irresponsible Greek governments, Europe decided to grant Greece the largest loan in world history on condition of the largest ever magnitude of fiscal consolidation (also known as austerity) which, naturally, resulted in a world record loss of national income"
The banks transferred all their bad loans to the taxpayer. Nothing new here. Instead of collapsing the banks, it will collapse GOV ( the taxpayer). It's called "socializing the losses". Germany is the guarantor for many billions in European debt. They want out of the Eurozone and are willing to kill a lot of Greeks to get there. The Defeat of Europe – my piece in Le Monde Diplomatique | Yanis Varoufakis
Italy is looking to leave also. Italy is the most likely country to leave the euro - The Washington Post

The U.S. stock markets have rolled over and it's all downhill. http://www.zerohedge.com/news/2015-0...nternals-looks
As I mentioned, GOV is ready to reflate the lower loop of the economy out of desperation. "Western Central Banks Have Set Us Up; You'll Hear The Printing Presses From Mars"
http://www.zerohedge.com/news/2015-0...g-presses-mars
OK, reflation it is. We are in crashing deflation because credit is evaporating faster than GOV is printing. I suppose that they will do electronic reflation. Anyone holding excess paper dollars will have a limited time to exchange them for scheiss dollars. All bank accounts will be automatically "converted".

The great flow of newly minted electronic dollars will finally bring the reflation of the lower loop and probably bring hyperinflation also. Too early to tell how well the conversion will be handled.

Greece is constantly referred to as a debt deadbeat. Compare Greece to America. Greece | United States - Current Account - Compare - Actual Data - Historical Charts
Compare Greece to Great Britain. http://ieconomics.com/current-account-greece-uk
__________________
 
Reply With Quote
  #863  
Old 08-01-2015, 09:37 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Sweden and taxes

(Sweden), " a nation with a Förmögenhetsregistret, or wealth register, which tracks the assets of all its citizens.)"
"For example, Sweden has no inheritance tax. None whatsoever: it also doesn’t have a national minimum wage or a wealth tax. It follows the classical liberal, or if you prefer, standard economics of taxation. Taxes on corporate and capital incomes are lower than those on labour income. It is consumption taxes which carry the heavy load of funding the welfare state, not those taxes on income, companies or capital."
"Which leads me to my basic point. Yes, it’s absolutely true that Sweden and Denmark have both high taxes and large welfare states: they also work very well as countries. The reason they do is that underneath the high tax and large welfare states they’re economically free, even classically liberal economies. Further, that their tax and spending is local meaning that it is done efficiently and with the consent of the local populace.

That is, the Nordic social democracies might indeed be what many American liberals see as the desirable society: they just happen to be places which do everything in entirely the opposite manner to which most American liberals argue things should be done."
Paul Krugman and the Socialist Hellhole That is Sweden
__________________
 
Reply With Quote
  #864  
Old 08-01-2015, 10:27 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Wealth storage, gold and the SDR

4 years ago, Wiki; "2011 estimates by property analysts state that there are some 89 million empty properties and apartments in China" "64.5 million electricity meters register zero use. There is major concern for the Chinese middle-class. The middle class have invested massively in property and now estimates suggest that property invest accounts for as much as 20-30% of the economy. As many as 24 new cities are being built every year!"

Wiki; "The bond market (also debt market or credit market) is a financial market where participants can issue new debt, known as the primary market,"
Quora; "At $37 trillion[1], the US Bond market is about 2.6x the size of the $14 tril US Stock Market[2].

[1] This includes all bonds - asset-backed, mortgages, government debt, everything. Corporate debt is only $8 tril of this."

The industrial Revolution created such enormous wealth that it is/was impossible to "store". The Chinese don't have a sovereign bond market because they have so much stored wealth in currency reserves. Rich Chinese have resorted to storing wealth in real estate and whole cities. The West stores wealth in paper debt rather than building extra cities. These 64 million dwellings are empty because nobody can afford to buy them. A collapse in the bond market will mean that nobody will WANT to buy them.

Without some viable means of wealth storage, the whole economy drags to a standstill. Traditional socialism prevents capital formation. The Swedish system of quasi-socialism does not tax wealth. Capital formation still works.

The PTB / mega bankers are adamant that we don't revert to a gold standard because they can't inflate it to their desires. China is buying up all the gold. It looks like China will back a new SDR rather than domestic gold-bonds. http://www.zengardner.com/china-roth...orld-currency/
The indications are clear that this crash was planned. It is safe to say that the PTB have an exit plan. A world currency seems to be central to the plans. The upcoming disaster that is a result (partially) of the currency wars will be used as a justification for a one-world currency that can never be subject to a currency war. The lessons from Greece don't bode well for a unified currency.
ALL paper is going to burn. If the world-improvers can't convince the rich that the SDR (paper) is a reliable store of wealth, then gold will make a comeback.
The value of an object or an asset is related to how many other people value that same asset. Gold stands ahead of everything inorganic as far as popularity. The available gold supply will be going down as the cost of energy goes up. PEAK GOLD vs. PEAK SILVER: Must See Chart : SRSrocco Report
Much depends on the attitude in Asia towards gold.
__________________
 
Reply With Quote
  #865  
Old 08-02-2015, 05:07 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
commodity crash and churning

The commodities super-cycle is winding down and taking a lot of financial firms with it.
• Coal Mine Worth $624 Million Three Years Ago Sold for $1 (Bloomberg)

Three years after private-equity giant Carlyle Group LP touted its purchase of a hedge-fund firm, a rout in raw materials has helped drive down holdings in its flagship fund from about $2 billion to less than $50 million, according to people familiar with the matter
"the world’s largest oil companies that are emerging as the unexpected casualties.

The reason: the multibillion-dollar projects at the heart of the oil majors’ strategy need prices closer to $100 to make them economically feasible.

“Big Oil is today squeezed by two low-cost producers: OPEC and U.S. shale,” said Michele Della Vigna, the top oil industry analyst at Goldman Sachs Group Inc. “Big Oil needs to re-invent itself.”
"In the first quarter, Total, BP and Chevron all spent more than they earned. The combined negative cash flow of the five major oil groups was $3.4 billion, compared with a positive cash flow of $17.8 billion a year earlier, according to data compiled by Bloomberg."

The world is driven down towards a global-mean wage and the consumer can't consume. Discretionary spending is for rich economies.
The banks made tons of liar loans knowing that they would default. They didn't care because they could dump them on the taxpayer. It never occurred to them that the taxpayer might be unable to pay. They bought all the politicians thinking that this would cure all their problems.
https://firstlook.org/theintercept/2...tical-bribery/

The upcoming treasury bond collapse will bring a complete collapse of credit. Liars and thieves eventually ruin their credit rating. What is the future of the financial industry and GOV if wealth is gone and money (currency) is all that is left?
The finance industry creates a 100% markup on everything by "financialization" of everything. They live just to generate fees and commissions. The majority of the fees are just churning and BS.

"An astonishing $32 trillion in securities changes hands every year with no net positive impact for investors, charges Vanguard Group Founder John Bogle.

Meanwhile, corporate finance — the reason Wall Street exists — is just a tiny slice of the total business. The nation's big investment banks probably could work for less than a week and take the rest of the year off with no real effect on the economy."
"What else do we do? We encourage investors to trade about $32 trillion a year. So the way I calculate it, 99% of what we do in this industry is people trading with one another, with a gain only to the middleman. It's a waste of resources."

It's a lot of money, $32 trillion. Nearly double the entire U.S. economy moving from one pocket to another, with a toll-taker in the middle. Most people refer to them as "stock brokers," but let's call them what they are — toll-takers and rent-seekers."
Why 99% of trading is pointless - MarketWatch
SO, just how much of this churning and swapping is going to be viable after the credit collapse.
__________________
 
Reply With Quote
  #866  
Old 08-03-2015, 03:02 PM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Topping out and headed down.

We owe a lot to the people who have been sounding the alarm bells. In 2005, I read what they had to say and decided that it had merit. After 10 years of reading, I know who to read and who to ignore. The currency supply MUST be kept somewhat relative to actual physical wealth that is produced. Since the parasites DON'T produce any of this wealth, they always print up too many paper claims on this wealth to ensure that they get a big share.
Nicole Foss and Raoul Iliargi have consistently written correctly about what we could expect in the future and WHY.
China And The New World Disorder - The Automatic Earth
The beneficiaries of this bubble; "Their client base is predominantly composed of the global finance capital elite – i.e. the roughly 200,000 worldwide ultra and very high net worth individuals with net annual additional income from investment flows of $20 million or more"
When their banks threatened to crash, they socialized the debt to the taxpayers. They probably didn't consider the possibility that the taxpayer might crash. By rescuing the banks that were "too big to fail", they have passed on the contagion to States. NOBODY is too big to fail.

States are starting to fail; Puerto Rico Default – Welcome to Big Bang | Armstrong Economics Since the financial system is so interlocked, the contagion will only spread.
Germany has destroyed the common dream of the European Union by it's intransigence. "Jurgen Habermas, intellectual figurehead of European integration, accuses Chancellor Angela Merkel of gambling away “in one night all the political capital that Germany had accumulated in half a century.”

The jokes have already begun. Merkel arrives in Athens. “Your nationality?” asks the immigration officer. “German.” “Occupation?” “No, just visiting.”
The night the dream died | The Japan Times

Look at this graph and project the magnitude of the next dip; http://www.firstrebuttal.com/wp-cont...2.03.09-PM.png
The Tide Has Turned And These Charts Predict The Next Stop | Zero Hedge
The markets have rolled over and there is no saving of this bubble. The magnitude of the credit bubble is far larger than anything else in previous history. The unwinding / deflation of this bubble will be equally spectacular.
"In short, the last 20 years has been nothing but bad policies attempting to cover up the results of previous bad policies creating a need for more extreme policies to cover up more extreme resulting fundamental problems. This is clearly depicted in the data. The end result is that global growth has deteriorated steadily now for the past 6 years to its lowest long term trend line in modern history, "
The working class must remain impoverished to keep them working. Californians were overtaxed by $ 8 trillion; http://www.washingtonsblog.com/2012/...entatives.html
Corporate taxes are very low and payroll taxes are very high. Robots don't pay payroll taxes. The banks and the State have created enormous claims on the future wages of workers. Warn blooded workers are on their way out.
http://www.techrepublic.com/article/...duction-soars/
There is diminishing demand for human labor but, there is enormous need for consumption. China is planning to scrap their one-child policy very soon because there just isn't enough purchasing power for them to maintain.
__________________
 
Reply With Quote
  #867  
Old 08-04-2015, 04:41 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
150 year mortgage

You drive down the street and things look more-or-less OK. Is there really going to be a crash? There are signs; "Something Just Snapped: Container Freight Rates From Asia To Europe Crash 23% In One Week"
Something Just Snapped: Container Freight Rates From Asia To Europe Crash 23% In One Week | Zero Hedge
We all know what happened when heavy industry left and left behind the present rust-belt. What happens when even more industry leaves? Property values plunged way down in the rust belt because the price of a home is relative to the wages in the same area.
Real estate is leveraged like crazy. What happens when this leverage unwinds?
This isn't the first go-round. "The 30-year mortgage was part of Roosevelt’s New Deal. Real estate prices collapsed along with massive bank failures. There was no credit available, so real estate collapsed to about 10 cents on the dollar."
The banks try to preserve the value of the mortgages."This has been a major factor in creating the long-depression in Japan, for at the top mortgages became 150-years with several generations responsible."
The Risk of Real Estate – Forget Derivative & Fiat | Armstrong Economics
When the final credit crash arrives, there will be very little international trade. Stock up on imported beer NOW.
__________________
 
Reply With Quote
  #868  
Old 08-05-2015, 02:02 AM
Ruphus Ruphus is offline
Senior Member
 
Join Date: Mar 2013
Posts: 213
I just watched the movie "The Last Days of Lehman Brothers". It was interesting. It suggested that former FED Chairman Hank Paulson got the heads of all the large American banks together in 2008 to find a way to "take on" Lehman's toxic assets. It also suggested that These bank chairmen seemed to form a coalition of sorts to keep toxic assets from damaging their own banks.
__________________
 
Reply With Quote
  #869  
Old 08-06-2015, 01:30 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Quote:
Originally Posted by Ruphus View Post
I just watched the movie "The Last Days of Lehman Brothers". It was interesting. It suggested that former FED Chairman Hank Paulson got the heads of all the large American banks together in 2008 to find a way to "take on" Lehman's toxic assets. It also suggested that These bank chairmen seemed to form a coalition of sorts to keep toxic assets from damaging their own banks.
The Murder of Lehman Brothers: An Insider's Look at the Global Meltdown: Joseph Tibman: Amazon.com: Books
__________________
 
Reply With Quote
  #870  
Old 08-06-2015, 01:44 AM
Danny B Danny B is offline
Platinum Member
 
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,146
Crash of Canada

The rich ( The 1% is Really More Like the 0.000000012 %) just don't consume enough to keep the economy rolling. The 1% is Really More Like the 0.000000012 % - Waking Times : Waking Times
We crash down towards a global-mean-wage and consumption falls commensurately. The paper markets can be levitated temporarily by paper injections. Physical markets aren't near as easy to levitate. States that depend on sales of commodities are falling fast.
The Devastation in Global Commodity Currencies Is Far From Over - Bloomberg Business

Naturally, the PTB didn't see this coming. 'Perfect Storm' Engulfing Canada's Economy Perfectly Predictable | The Tyee
The crash of oil is only going to get worse; The Oil Crash Has Caused a $1.3 TrillionÂ*Wipeout - Bloomberg Business
State revenue is crashing and GOV is trying to steal everything that it can.
France Paying Informants to Confiscate Wealth | Armstrong Economics
__________________
 
Reply With Quote
Reply

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off



Please consider supporting Energetic Forum with a voluntary monthly subscription.

For One-Time Donations, use admin@ this domain > energeticforum.com

Choose your voluntary subscription

All times are GMT. The time now is 11:48 AM.


Powered by vBulletin® Version 3.8.8
Copyright ©2000 - 2018, vBulletin Solutions, Inc.
Search Engine Optimisation provided by DragonByte SEO v1.4.0 (Pro) - vBulletin Mods & Addons Copyright © 2018 DragonByte Technologies Ltd.
Shoutbox provided by vBShout v6.2.8 (Lite) - vBulletin Mods & Addons Copyright © 2018 DragonByte Technologies Ltd.
2007-2015 Copyright - Energetic Forum - All Rights Reserved

Bedini RPX Sideband Generator

Tesla Chargers