Economic pressures

[Danny B]

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 BankEDIT; 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.

[Danny B]

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/default/files/images/user3303/imageroot/2015/07/20150712_panic1.jpg

http://www.zerohedge.com/news/2015-07-12/it-time-panic-yet

[wayne.ct]

Thanks for the extended reply

I need some time to absorb it. You are definitely talking macroeconomics. Perhaps I am stuck in microeconomics.

[Danny B]

http://www.zerohedge.com/news/2015-07-13/dollar-signaling-another-2008-type-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.

[Danny B]

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.wpengine.netdna-cdn.com/wp-content/uploads/2014/09/If-Trucks-Stopped-Infographic.png

What happens when millions of people can't get their medications?
When the Trucks Stop Delivering, 'The System' Will Collapse | Ready Nutrition

[Danny B]

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

[Danny B]

40 ways

40 ways to lose your future - The Automatic Earth

[Danny B]

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.

[Danny B]

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/SilverThe 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.

[Danny B]

more strangeness

Well, Yanis led the Germans into a trap and it has been sprung VERY fast.

http://www.zerohedge.com/news/2015-07-17/ex-imf-chief-germany-should-leave-euro-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/2015-07-17/greek-deal-categorically-not-viable-without-debt-relief-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.

[Danny B]

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

[Danny B]

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 CornerThe 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.

[Danny B]

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?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

[Danny B]

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.

[Danny B]

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.Yep, directly to the people. The CFR already proposed this. Jim Willie and Adrian Salbuchi already predicted it. 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/copper-china-and-world-trade-are-all-screaming-that-the-next-economic-crisis-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