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
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
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
Article: Barack Obama and the Strategy of Manufactured
Author: James Simpson
Source: American Thinker, September 28, 2008
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
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
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
Article: An Examination of Obama's Use of Hidden Hypnosis
Techniques in His Speeches
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
Article: Doctor Doom: The U.S. Financial System Is Effectively
Author: Nouriel Roubini
Source: Forbes, March 3, 2009
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
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
Author: Glen Owen
Source: Mail on Sunday (UK), January 24, 2009
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
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
Only frantic behind-the-scenes efforts averted financial
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
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
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
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)
Source: VPRO (Holland), 2005
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
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
Article: IMF Will Create Global Money of the NWO
Author: Jon Christian Ryter
Source: RevolutionaryRadio.com, March 31, 2009
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
Article: The G20 moves the world a step closer to a global
Author: Ambrose Evans-Pritchard
Source: April 7, 2009
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