Site for Esoteric History 

Sliding into VGGD (Very Great Global Depression)

(Alpheus, April 2009)

Another batch of articles and research to consider

The world is still sliding along a downward spiral into a Very Great Global Depression (VGGD). Exports are dropping as consumers are cash-strapped or find out that it is advisable to save for a rainy day, or storm. Corporations teeter on the brink of bankruptcy or have already folded. Entire countries are going bust, or are very close, and governments voted out by their people. Mass demonstrations are organized and civil unrest expected. The compromised corporate media put out superficial explanations and it falls to comedians like John Stewart to tell truth to power. Only a few among the financial commentators combine in their writings the virtues of comprehensibility, fundamental analysis and concrete policy proposals. So far I found the following commentators to be trustworthy, for their analyses proceed from common sense economic basics: F. William Engdahl, Peter Schiff, Gerald Celente and Stephen Zarlenga.

Engdahl analyses the Geithner Plan and makes the case that at this moment the biggest danger the international economy is facing is the popping of the derivatives bubble and not the reluctance of banks to extend credit, which is only a symptom. As five US mega banks hold 96% of the ca. $190 trillion of derivatives and are technically insolvent, Engdahl makes the case that these banks will have to be taken into receivership as soon as possible in order to safely defuse the derivatives time bomb. At the same time the laws, which enabled this build-up, should be reversed. But, unfortunately, the very same people that engineered this bubble are now in control of US financial policies and do not seem to have the slightest inclination to implement policies that are good for the economy in its entirety. They are just trying to keep the mega banks afloat, basically having the taxpayer subsidize a failed and highly dangerous business model and its underlying faulty rationalizations. Maybe Merkel and Sarkozy can talk some sense into the Obama administration and keep it away from all the bankrupting bailouts and stimuli plans and make it consider the soundness of firmly re-regulating the financial markets.

Meanwhile the blame game is directed towards capitalism and the free market and conveniently away from those who were responsible for setting the disastrous, semi-socialist ground rules within which entrepreneurs are just doing what comes natural to secure their bottom line. In the end it is the US Congress and the American people who are responsible for instituting such interventionist systems as they voted for the Federal Reserve Act, chartered Fannie May and Freddie Mac, undid sound regulations and voted into existence many more laws which led to the undermining of free market processes and the consequently massive imbalances that are now due to self-correct through a series of very painful shocks. Or, might that have been intended in the first place?

The question is if Obama is catching on to what is really happening. He is relatively new to the game. The American people and the world at large are giving him quite some leeway to come up with a strategy to solve the crisis. This is dangerous as he already gave away the hen house to the foxes of Wall Street and is taking their lead. A better question would be to try to determine from what hidden agenda he might be playing. A good hypothesis comes from James Simpson who argues that Obama is neck-deep in radical politics and is applying the "Cloward-Piven Strategy," which according to David Horowitz is a "strategy of forcing political change through orchestrated crisis." Basically he is saying that Obama and his mixed cabal of big bankers and left-wing radicals will let this crisis grow deeper in order to extract more changes from Congress towards a further undermining of a free market economy and an increase in globalist-socialist interventions, while at the same time bailing out the destructive, oligarchic casino-capitalists.

In other words, he is the perfect vehicle to promote the policies of the New World Order (NWO) crowd. The evidence for this has now become quite overwhelming as he gave the most important posts in his administration to members of the three usual suspect think tanks in planning and implementing the NWO agenda: The Council on Foreign Relations (CFR), The Trilateral Commission (TC) and the Bilderberg group. An amazing 11 of the only 87 US members of the TC are now serving in key posts of his cabinet. Watch them, as they, in tandem with the Brits, Russians and Chinese at the G20 meeting in London, expanded the powers of the International Monetary Fund, the World Trade Organization and other international bodies and NGOs. UK Prime Minister Gordon Brown fortunately indicated what game was being played as he could not suppress to use the term "new world order."

On top of that Obama is one of the most smooth and emotionally manipulative politicians to ever take high office. According to savvy psychologists he has an uncanny knack to by-pass people's rational faculties and appeal to their subconscious. Some even make the case that Obama is using hidden hypnosis techniques in his speeches. For esotericist of goodwill this would be practically the same as black magic. Watch one of his speeches and have a hard cold look at your own reactions from a rational perspective.

Fortunately many on the left have already taken a look at what Obama has delivered and admit to be severely disappointed. So, if and when the world wakes up from the Obama induced trance and see the damage he is actually causing, what then? How deep will the crisis go? How much suffering will be endured? Will Obama awaken to the true spirit of the Constitution? Will the 2010 Congressional elections put any brakes on him? If so, will it be too late? It looks like we'll have to bite the bullet and work through our negative karma of having abdicated vigilant citizenship. Most importantly we'll have to reconnect again with our positive collective dharma, which I'll translate here as national calling or destiny, which has been hidden in plain sight for many decades. Yes, there is something like The Secret Destiny of Nations as Manley P. Hall's book title goes, but it has to be seen from the esoteric angle inherent in the Masonic and Theosophical enlightenments, not from the self-serving angle that comes with the Illuminati, central and big bankers and all the semi-secret think tanks with their counter-productive policies, which have not been sufficiently exposed, understood, challenged and replaced. Meanwhile, get ready for tough times.


Article: Geithner's 'Dirty Little Secret': The Entire Global Financial System is at Risk when the Solution to the Financial Crisis becomes the Cause

Author: F. William Engdahl

Source: Global Research, March 30, 2009

URL: http://www.globalresearch.ca/index.php?

Excerpt: The 'dirty little secret' which Geithner is going to great degrees to obscure from the public is very simple. There are only at most perhaps five US banks which are the source of the toxic poison that is causing such dislocation in the world financial system. What Geithner is desperately trying to protect is that reality. The heart of the present problem and the reason ordinary loan losses as in prior bank crises are not the problem, is a variety of exotic financial derivatives, most especially so-called Credit Default Swaps.


Article: Barack Obama and the Strategy of Manufactured Crisis

Author: James Simpson

Source: American Thinker, September 28, 2008

URL: http://www.americanthinker.com/2008/09/

Excerpt: "The strategy of forcing political change through orchestrated crisis. The "Cloward-Piven Strategy" seeks to hasten the fall of capitalism by overloading the government bureaucracy with a flood of impossible demands, thus pushing society into crisis and economic collapse." ….Barack Obama, the Cloward-Piven candidate, no matter how he describes himself, has been a radical activist for most of his political career. That activism has been in support of organizations and initiatives that at their heart seek to tear the pillars of this nation asunder in order to replace them with their demented socialist vision. Their influence has spread so far and so wide that despite their blatant culpability in the current financial crisis, they are able to manipulate Capital Hill politicians to cut them into $140 billion of the bailout pie!


Video: Why the Meltdown Should Have Surprised No One

Author: Peter Schiff

Source: Mark Yannone's Blogspot

URL: http://yannone.blogspot.com/2009/03/solid-gold-peter-schiff.html

Description: Entertaining, easy to follow explanation of the causes of the fiancial crisis.


Article: Obama: Trilateral Commission Endgame

Author: By Patrick Wood

Source: August Review, January 27, 2009

URL: http://www.augustreview.com/news_commentary/trilateral_

Excerpt: The Obama presidency is a disingenuous fraud. He was elected by promising to bring change, yet from the start change was never envisioned. He was carefully groomed and financed by the Trilateral Commission and their friends.
In short, Obama is merely the continuation of disastrous, non-American policies that have brought economic ruin upon us and the rest of the world. The Obama experience rivals that of Jimmy Carter, whose campaign slogan was "I will never lie to you."
When the Democrat base finally realizes that it has been conned again (Bill Clinton and Al Gore were [TC] members), perhaps it will unleash a real political revolution that will oust Trilateral politicians, operatives and policies from the shores of our country.
If the reader is a Democrat, be aware that many Republicans and conservatives are still licking their wounds after finally realizing that George Bush and Dick Cheney [TC] worked the same con on them for a disastrous eight years of the same policies!


Article: An Examination of Obama's Use of Hidden Hypnosis Techniques in His Speeches

Author: N.A.

Source: pennypresslv.com

URL: http://www.pennypresslv.com/Obama%27s_Use_of_

Excerpt: Obama's techniques are the height of deception and psychological manipulation, remaining hidden because one must understand the science behind the language patterns in order to spot them. This document examines Obama's speeches word by word, hand gesture by hand gesture, tone, pauses, body language, and proves his use of covert hypnosis intended only for licensed therapists on consenting patients. Obama's mesmerized, cult-like, grade-school-crush-like worship by millions is not because "Obama is the greatest leader of a generation" who simply hasn't accomplished anything, who magically "inspires" by giving speeches. Obama is committing perhaps the biggest fraud and deception in American history.


Article: Doctor Doom: The U.S. Financial System Is Effectively Insolvent

Author: Nouriel Roubini

Source: Forbes, March 3, 2009

URL: http://www.forbes.com/2009/03/04/global-recession-

Excerpt: With economic activity contracting in 2009's first quarter at the same rate as in 2008's fourth quarter, a nasty U-shaped recession could turn into a more severe L-shaped near-depression (or stag-deflation). The scale and speed of synchronized global economic contraction is really unprecedented (at least since the Great Depression), with a free fall of GDP, income, consumption, industrial production, employment, exports, imports, residential investment and, more ominously, capital expenditures around the world. And now many emerging-market economies are on the verge of a fully fledged financial crisis, starting with emerging Europe.


Article: Freeze The $1.5 Qaudrillion Derivatives Bubble As The First Step To Recovery

Author: Webster Tarpley

Source: Rense.com, 3-25-9

URL: http://www.rense.com/general85/freeze.htm

Excerpt: As long as this huge mass of kited derivatives was experiencing positive cash flow and positive leverage, the profits generated at the apex of the pyramid were astronomical. But disturbances at the base of the pyramid turned the cash flow and exponential leverage negative, and the losses at the top of the pyramid became immense and uncontrollable. By 2005-6, the disturbances were visible in the form of a looming crisis of the automobile sector, plus the slowing of the housing bubble cynically and deliberately created by the Federal Reserve in the wake of the collapse of the dot com bubble, the third world debt bubble. and the other asset bubbles favored by Greenspan. … The cause of the depression is derivatives, and this means that the perpetrators to be held responsible are not poor mortgage holders, but rather globalized investment bankers and hedge fund operators, the derivatives merchants. We are now in the throes of a world wide derivatives panic. This panic has been gathering momentum for at least a year, since the fall of Bear Stearns. There is no power on earth which can prevent this panic from destroying most of the current mass of toxic derivatives.


Article: Revealed: Day the banks were just three hours from collapse

Author: Glen Owen

Source: Mail on Sunday (UK), January 24, 2009

URL: http://www.dailymail.co.uk/news/article-1127278/

Excerpt: Britain was just three hours away from going bust last year after a secret run on the banks, one of Gordon Brown's Ministers has revealed.
City Minister Paul Myners disclosed that on Friday, October 10, the country was 'very close' to a complete banking collapse after 'major depositors' attempted to withdraw their money en masse.
The Mail on Sunday has been told that the Treasury was preparing for the banks to shut their doors to all customers, terminate electronic transfers and even block hole-in-the-wall cash withdrawals.
Only frantic behind-the-scenes efforts averted financial meltdown.


Article: The Big Takeover: The global economic crisis isn't about money - it's about power. How Wall Street insiders are using the bailout to stage a revolution

Author: Matt Taibbi

Source: Rolling Stone, Mar 19, 2009

URL: http://www.rollingstone.com/politics/story/

Excerpt: So it's time to admit it: We're fools, protagonists in a kind of gruesome comedy about the marriage of greed and stupidity. And the worst part about it is that we're still in denial - we still think this is some kind of unfortunate accident, not something that was created by the group of psychopaths on Wall Street whom we allowed to gang-rape the American Dream.


Article: Worse than the Great Depression

Author: Dr. Krassimir Petrov

Source: Global Research, February 1, 2009

URL: http://www.globalresearch.ca/index.php?context=view

Excerpt: Since August of 2007 we have witnessed the relentless escalation of the credit crisis: a steady constriction of credit markets, starting with subprime mortgage-backed securities, spreading to commercial paper, then to interbank credit, and then to CDOs, CLOs, jumbo mortgages, home equity lines of credit, LBOs and private equity markets, and then generally to the bond and securities markets.
While the media describes the problem as one of illiquidity and confidence, a more serious analysis indicates that boom-time credit has been employed unproductively and so losses must be incurred. In other words, scarce capital has been misallocated, poorly invested, and effectively wasted. No amount of monetary or fiscal policy can fix the errors of the past, just like no modern treatment can quickly restore to health a drug addict debilitated from a decade-long drug abuse.
Based on indicators like (1) global real estate overvaluation, (2) indebtedness, (3) leverage, (4) outstanding derivatives, (5) global bubbles, and (6) the precariousness of the global monetary system, I would argue that the accumulated imbalances in the current period surpass significantly those preceding the Great Depression. I therefore conclude that the coming U.S. (and possibly) global depression will be of greater magnitude than the Great Depression of the 1930s. It likely suggests that we are entering a historic period that will likely be known as The Greater Depression.


Article: West has to deal with toxic debt to end recession

Author: Margareta Pagano

Source: The Independent (UK), April 5, 2009

URL: http://www.independent.co.uk/news/business/news/

Excerpt: Attempts by the G20 leaders to halt the global recession are doomed unless they get to grips with the "toxic" debt hidden in the shadow economy, warned to Hernando De Soto, the prize-winning Peruvian economist.
Mr De Soto said: "This toxic debt is the elephant in the room and solving the problem is the missing link to getting the world economy moving again. Until we know what proportion of the estimated $600trn [£400trn] of derivative contracts is toxic, then credit markets will remain in a state of chronic paralysis."


Video: Worst Case: The Day the Dollar Falls (in 6 parts)

Author: N.A.

Source: VPRO (Holland), 2005

URL: http://www.heyokamagazine.com/

Description: Sci-fi docu-drama of probable causes and sequence of events when the Dollar sinks in a 24-hour period. Made in 2005 and for the most part right on target. Has interview with Peter Schiff.


Article: The Greatest Depression Under Way

Author: Gerald Celente

Source: Rense.com, March 3, 2009

URL: http://www.rense.com/general85/gdep.htm

Excerpt: As the crisis worsens, governments will take draconian measures to prevent total economic collapse and public panic. We have cautioned the likelihood of such measures before. But the rapidity and severity of the economic unraveling now demands immediate attention.
Expect massive bank failures, runs on banks, and bank holidays. Even if deposits are FDIC insured, quick access to money is by no means assured. At minimum, have reserves on hand for emergencies.


Article: IMF Will Create Global Money of the NWO

Author: Jon Christian Ryter

Source: RevolutionaryRadio.com, March 31, 2009

URL: http://revolutionradio.org/2009/04/08/

Excerpt: As the mainstream media trumpeted Obama's successes with the Russians at the conference, namely a summit in Moscow in July where an Obama-era SALT Treaty will replace a Carter-era SALT Treaty, the Russians took a hard jab at Obama on Thursday by suggesting the SDR basket of regional currencies must replace the US dollar as the world's reserve currency. Russian President Dimity Medvedev was less than diplomatic when he said that the countries most responsible for the problems in the world market-the United States, China and England-should be shouldering the responsibility for their macroeconomic policies, but they failed to curb the excesses of their economic diplomacy. He then proposed a new currency reserve, the SDR basket of currencies, partially backed by gold to restore integrity to the world's reserve currency.


Article: The G20 moves the world a step closer to a global currency

Author: Ambrose Evans-Pritchard

Source: April 7, 2009

URL: http://www.telegraph.co.uk/finance/comment/

Excerpt: "We have agreed to support a general SDR allocation which will inject $250bn (£170bn) into the world economy and increase global liquidity," it said. SDRs are Special Drawing Rights, a synthetic paper currency issued by the International Monetary Fund that has lain dormant for half a century.
In effect, the G20 leaders have activated the IMF's power to create money and begin global "quantitative easing". In doing so, they are putting a de facto world currency into play. It is outside the control of any sovereign body. Conspiracy theorists will love it.
It has been a good summit for the IMF. Its fighting fund for crises is to be tripled overnight to $750bn. This is real money.



Copyright © 2001 - G.W. Schüller