The Greatest Deception

US Economic Sovereignty in Jeopardy

2009-04-20T19:58:00.005-04:00

Consider these famous quotes:

Mayer Amschel Rothschild:

Give me control of a nation's money supply, and I care not who makes its laws.

Woodrow Wilson:

A great industrial nation is controlled by its system of credit. Our system of credit is privately concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men who, even if their action be honest and intended for the public interest, are necessarily concentrated upon the great undertakings in which their own money is involved and who necessarily, by very reason of their own limitations, chill and check and destroy genuine economic freedom.

Benito Mussolini:

Fascism should more properly be called corporatism because it is the merger of state and corporate power.

Now consider these recent events and you'll come to the realization that this the end of the capitalism and free markets in the United States:

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

Coordination of international financial regulation:

A bigger, bolder role is imagined for the IMF

Obama proposes $100 billion U.S. loan for IMF

Ron Paul: Dollar Destruction, Economic Facism, and Central Planning:

GM CEO resigns at Obama's behest

National media dismiss, disparage, and attack Tax Day Tea Parties

That display of "journalism" was disgusting.

The Lies Continue: US rescue averted 'financial collapse'

2009-01-01T00:49:00.003-05:00

From Breitbart:

Massive rescue efforts by the US government and central bank in recent months helped avert a "financial collapse" and are working to stabilize the economy, a Treasury report said Wednesday.
The Treasury report to a congressional panel overseeing the 700-billion-dollar rescue plan passed in early October said the extraordinary actions probably averted deeper problems.
"Treasury, working with the Federal Reserve, the FDIC (Federal Deposit Insurance Corp.) and other regulators, has taken the necessary steps to prevent a financial collapse," the report said.
"The most important evidence that our strategy is working is that Treasury's actions, in combination with other actions, stemmed a series of financial institution failures. The financial system is fundamentally more stable than it was when Congress passed the legislation."

I'm trying not to be pessimistic on this first day of 2009, but it's very hard to avoid the facts and sugar-coat reality. Maybe this "rescue" delayed the inevitable, but it certainly did not solve the problem. The problem is the continued policy of the Federal Reserve to create credit out of thin air thereby inflating the money supply thereby devaluing the dollar. The devaluation of the dollar is a direct hit on consumers since prices increase as a consequence of the massive influx of artificial credit.

Nouriel Roubini, economics professor at NYU, gives his bleak predictions for the future of the US:

We are in the middle of a very severe recession that's going to continue through all of 2009 - the worst U.S. recession in the past 50 years. It's the bursting of a huge leveraged-up credit bubble. There's no going back, and there is no bottom to it. It was excessive in everything from subprime to prime, from credit cards to student loans, from corporate bonds to muni bonds. You name it. And it's all reversing right now in a very, very massive way. At this point it's not just a U.S. recession. All of the advanced economies are at the beginning of a hard landing. And emerging markets, beginning with China, are in a severe slowdown. So we're having a global recession and it's becoming worse.

Things are going to be awful for everyday people. U.S. GDP growth is going to be negative through the end of 2009. And the recovery in 2010 and 2011, if there is one, is going to be so weak - with a growth rate of 1% to 1.5% - that it's going to feel like a recession. I see the unemployment rate peaking at around 9% by 2010. The value of homes has already fallen 25%. In my view, home prices are going to fall by another 15% before bottoming out in 2010.

For the next 12 months I would stay away from risky assets. I would stay away from the stock market. I would stay away from commodities. I would stay away from credit, both high-yield and high-grade. I would stay in cash or cashlike instruments such as short-term or longer-term government bonds. It's better to stay in things with low returns rather than to lose 50% of your wealth. You should preserve capital. It'll be hard and challenging enough. I wish I could be more cheerful, but I was right a year ago, and I think I'll be right this year too.

I'll leave you with this interview with Nassim Nicholas Taleb, economist and author of “The Black Swan” and Dr. Mandelbrot, professor of Mathematics. Both say that the present economic situation is far more serious than the Great Depression and the economy during the American Revolution.

Happy New Year!

Bloomberg: Dollar Undermined by Fed

2008-12-17T22:20:00.002-05:00

From Bloomberg News:

The U.S. currency slid to a 13-year low against the yen today and had its biggest one-day decline versus the euro after the Federal Reserve reduced its target interest rate yesterday to a range of zero to 0.25 percent, the lowest among the world’s biggest economies. CMC Markets said today the currency’s prospects appear “ominous.” State Street Global markets said the dollar’s outlook has been “undermined.”

[...] The dollar is likely to decline “longer term,” analysts including New York-based Ashraf Laidi at CMC Markets wrote in a report. “Prospects ahead appear particularly ominous for the world’s reserve currency once global economic stability starts to build up.”
The Fed’s debt purchases will cause the dollar to weaken to $1.4860 per euro, analysts led by Robert Sinche, New York-based head of global currency strategy at Bank of America Corp., wrote in a report yesterday. The Fed reduced the scarcity of dollars and investors slowed the deleveraging process, which drove the currency to a 2 1/2-year high against the euro in October, Sinche said.

“Those temporary supports for the dollar appear to have eroded,” Sinche wrote. “Aggressive quantitative easing by the Fed should add to U.S. dollar supply globally and undermine the value of the dollar.”
State Street Global Markets, a unit of the world’s largest money manager for institutions, said the Fed’s move is “perilous” for the dollar as investors accumulated an “extreme” long position on the currency, or bets it will climb.

And if you don't think Goldman Sachs and the like aren't looking to profit from the demise of the dollar, which they are probably orchestrating, then this should seal the deal:

Goldman Sachs Group Inc. said investors can profit from the dollar’s decline by selling the currency for its Canadian counterpart.

Inside job or inside trading? If this isn't economic terrorism, then I'm Jesus.

Drudge Report: And now for a world government

2008-12-09T02:00:00.004-05:00

Type into Google News the search terms "new world order" or "new global currency" and you'll retrieve hundreds of mainstream news articles about the possibility of a new global currency emerging amidst the worldwide financial collapse. Even the Drudge Report has been carefully placing 'new world order' headlines since the beginning of the $700 Wall Street Bailout. I'm just going to post the most recent Drudge headline article by Gideon Rachman of Financial Times.

I have never believed that there is a secret United Nations plot to take over the US. I have never seen black helicopters hovering in the sky above Montana. But, for the first time in my life, I think the formation of some sort of world government is plausible.
A “world government” would involve much more than co-operation between nations. It would be an entity with state-like characteristics, backed by a body of laws. The European Union has already set up a continental government for 27 countries, which could be a model. The EU has a supreme court, a currency, thousands of pages of law, a large civil service and the ability to deploy military force.
So could the European model go global? There are three reasons for thinking that it might.
First, it is increasingly clear that the most difficult issues facing national governments are international in nature: there is global warming, a global financial crisis and a “global war on terror”.
Second, it could be done. The transport and communications revolutions have shrunk the world so that, as Geoffrey Blainey, an eminent Australian historian, has written: “For the first time in human history, world government of some sort is now possible.” Mr Blainey foresees an attempt to form a world government at some point in the next two centuries, which is an unusually long time horizon for the average newspaper column.
But – the third point – a change in the political atmosphere suggests that “global governance” could come much sooner than that. The financial crisis and climate change are pushing national governments towards global solutions, even in countries such as China and the US that are traditionally fierce guardians of national sovereignty.
Barack Obama, America’s president-in-waiting, does not share the Bush administration’s disdain for international agreements and treaties. In his book, The Audacity of Hope, he argued that: “When the world’s sole superpower willingly restrains its power and abides by internationally agreed-upon standards of conduct, it sends a message that these are rules worth following.” The importance that Mr Obama attaches to the UN is shown by the fact that he has appointed Susan Rice, one of his closest aides, as America’s ambassador to the UN, and given her a seat in the cabinet.
A taste of the ideas doing the rounds in Obama circles is offered by a recent report from the Managing Global Insecurity project, whose small US advisory group includes John Podesta, the man heading Mr Obama’s transition team and Strobe Talbott, the president of the Brookings Institution, from which Ms Rice has just emerged.
The MGI report argues for the creation of a UN high commissioner for counter-terrorist activity, a legally binding climate-change agreement negotiated under the auspices of the UN and the creation of a 50,000-strong UN peacekeeping force. Once countries had pledged troops to this reserve army, the UN would have first call upon them.
These are the kind of ideas that get people reaching for their rifles in America’s talk-radio heartland. Aware of the political sensitivity of its ideas, the MGI report opts for soothing language. It emphasises the need for American leadership and uses the term, “responsible sovereignty” – when calling for international co-operation – rather than the more radical-sounding phrase favoured in Europe, “shared sovereignty”. It also talks about “global governance” rather than world government.
But some European thinkers think that they recognise what is going on. Jacques Attali, an adviser to President Nicolas Sarkozy of France, argues that: “Global governance is just a euphemism for global government.” As far as he is concerned, some form of global government cannot come too soon. Mr Attali believes that the “core of the international financial crisis is that we have global financial markets and no global rule of law”.
So, it seems, everything is in place. For the first time since homo sapiens began to doodle on cave walls, there is an argument, an opportunity and a means to make serious steps towards a world government.
But let us not get carried away. While it seems feasible that some sort of world government might emerge over the next century, any push for “global governance” in the here and now will be a painful, slow process.
There are good and bad reasons for this. The bad reason is a lack of will and determination on the part of national, political leaders who – while they might like to talk about “a planet in peril” – are ultimately still much more focused on their next election, at home.
But this “problem” also hints at a more welcome reason why making progress on global governance will be slow sledding. Even in the EU – the heartland of law-based international government – the idea remains unpopular. The EU has suffered a series of humiliating defeats in referendums, when plans for “ever closer union” have been referred to the voters. In general, the Union has progressed fastest when far-reaching deals have been agreed by technocrats and politicians – and then pushed through without direct reference to the voters. International governance tends to be effective, only when it is anti-democratic.
The world’s most pressing political problems may indeed be international in nature, but the average citizen’s political identity remains stubbornly local. Until somebody cracks this problem, that plan for world government may have to stay locked away in a safe at the UN.

Max Keiser: Paulson and the Bankers "Financial Terrorists"

2008-11-10T17:08:00.003-05:00

Where the hell is Congress? Aren't they supposed to protect our Constitution and our currency?

Who are the Architects of Economic Collapse?

2008-11-10T16:50:00.002-05:00

Michael Chossudovsky of Global Research gives a rundown of the global economic collapse and names the chief engineers behind it:

In a bitter irony, the engineers of financial disaster are now being considered by President-Elect Barack Obama's Transition Team for the position Treasury Secretary:

Lawrence Summers played a key role in lobbying Congress for the repeal of the Glass Steagall Act. His timely appointment by President Clinton in 1999 as Treasury Secretary spearheaded the adoption of the Financial Services Modernization Act in November 1999. Upon completing his mandate at the helm of the US Treasury, he became president of Harvard University (2001- 2006).

Paul Volker was chairman of the Federal Reserve Board in the l980s during the Reagan era. He played a central role in implementing the first stage of financial deregulation, which was conducive to mass bankruptcies, mergers and acquisitions, leading up to the 1987 financial crisis.

Timothy Geithner is CEO of the Federal Reserve Bank of New York, which is the most powerful private financial institution in America. He was also a former Clinton administration Treasury official. He has worked for Kissinger Associates and has also held a senior position at the IMF. The FRBNY plays a behind the scenes role in shaping financial policy. Geithner acts on behalf of powerful financiers, who are behind the FRBNY. He is also a member of the Council on Foreign Relations (CFR)

Jon Corzine is currently governor of New Jersey, former CEO of Goldman Sachs.

I will add to this list former Fed Chair Alan Greenspan, current Fed Chair Ben Bernanke, and current Treasury Secretary Henry Paulson. I must not also forget their accomplices President George W. Bush, Vice President Dick Cheney, and all members of Congress who have failed to hold the Federal Reserve accountable for their 95 years of destructive monetary policy.

Outrage: Fed Refuses to Identify $2 Trillion in Bailout Loans

2008-11-10T12:31:00.006-05:00

The Federal Reserve has deceived the American people yet again. From Bloomberg News:

The Federal Reserve is refusing to identify the recipients of almost $2 trillion of emergency loans from American taxpayers or the troubled assets the central bank is accepting as collateral.
Fed Chairman Ben S. Bernanke and Treasury Secretary Henry Paulson said in September they would comply with congressional demands for transparency in a $700 billion bailout of the banking system. Two months later, as the Fed lends far more than that in separate rescue programs that didn't require approval by Congress, Americans have no idea where their money is going or what securities the banks are pledging in return.

Bloomberg News has filed a lawsuit against the Fed to force disclosure of the recipients of the loans. I remember opponents of the bailout predicting that the failure to mandate full disclosure would lead to all sorts of corruptions.

It turns out that the Treasury never intended to fully disclose how much private firms will be paid for their services in receiving the bailout money. Back in October, Paulson blacked out key sections of the first update on the bailout the government provided to the public. You can find the copy of the bailout report on Bailoutsleuth.com.

$2 Trillion!!! Of taxpayer money!!!

I'll leave you with the wise words of Ron Paul and Glenn Beck:

New Tri-Polar Currency Emerging

2008-10-21T17:14:00.004-04:00

This essentially means that the hegemony of the US dollar is going to end. Taken from Bloomberg:

European Central Bank council member Ewald Nowotny said a "tri-polar'' global currency system is developing between Asia, Europe and the U.S. and that he's skeptical the U.S. dollar's centrality can be revived.

"What I see is a system where we have more centers of gravity'' Nowotny said today in an interview with Austrian state broadcaster ORF-TV. "I see for the future a tri-polar development, and I don't think that there will be fixed exchange rates between these poles.''

Nowotny doesn't think "there will be fixed exchange rates between these poles." In other words, North America, Europe, and Asia would share a single currency. There is already a European Union which has the euro, but what about North America and Asia? Are we going to see a North American Union and the creation of the "amero"?

In 2005, the White House engaged in the Security and Prosperity Partnership for North America, or SPP. They deceptively call it a "North American Partnership", and its goal is to "increase security and enhance prosperity among the three countries." They say the SPP is not an agreement nor is it a treaty and no agreement was ever signed, but it is only a dialogue between Canada, the US, and Mexico. Interestingly, there is a "Myth vs Facts" page on the SPP website that I suggest you read.

I believe Alex Jones points it out succinctly in these three short videos the plans for creating a global currency. The fascinating point here is that he cites mainstream articles, e.g. Bloomberg, AP, and yet some people brush him off as a conspiracy theorist. It's not a conspiracy theory if it's in the mainstream media!

Glenn Beck: Martial Law in America Coming Soon

2008-10-14T14:03:00.005-04:00

Hyperinflation:

In economics, hyperinflation is inflation that is "out of control", a condition in which prices increase rapidly as a currency loses its value. Formal definitions vary from a cumulative inflation rate over three years approaching 100% to "inflation exceeding 50% a month." In informal usage the term is often applied to much lower rates. As a rule of thumb, normal inflation is reported per year, but hyperinflation is often reported for much shorter intervals, often per month.

The definition used by most economists is "an inflationary cycle without any tendency toward equilibrium." A vicious circle is created in which more and more inflation is created with each iteration of the cycle. Although there is a great deal of debate about the root causes of hyperinflation, it becomes visible when there is an unchecked increase in the money supply or drastic debasement of coinage, and is often associated with wars (or their aftermath), economic depressions, and political or social upheavals.

Hyperinflation in the Weinmar Republic:

Before World War I Germany was a prosperous country, with a gold-backed currency, expanding industry, and world leadership in optics, chemicals, and machinery. The German Mark, the British shilling, the French franc, and the Italian lira all had about equal value, and all were exchanged four or five to the dollar. That was in 1914. In 1923, at the most fevered moment of the German hyperinflation, the exchange rate between the dollar and the Mark was one trillion Marks to one dollar, and a wheelbarrow full of money would not even buy a newspaper. Most Germans were taken by surprise by the financial tornado.

This might be the future for Americans. The dollar is destined to collapse, and many believe it is being systematically destroyed. Those responsible for the collapse of the dollar and possibly other world currencies, mainly the Federal Reserve and other large powerful private banks, have created artificial mass panic in the markets. The fear of countries going broke is a reality, and the reaction to do something about it quickly is what's happening. The world has been deceived into accepting "their solution" - the same people who created this mess. The ultimate goal is to create a unified global central bank and financial system, a sort of "new world order", where there will possibly be only one currency. Is this possible? It seems like it's more possible everyday.

Modern Money Mechanics

2008-10-06T14:19:00.000-04:00

LaRouche: "They Will Kill You"

2008-10-04T20:22:00.003-04:00

For more on Lyndon LaRouche, visit his website here.

The Beginning of the End...

2008-10-03T16:44:00.006-04:00

WASHINGTON (AP) - President Bush quickly signed into law a far-reaching $700 billion bill to bail out the nation's tottering financial industry, calling it "essential to helping America's economy" weather the storm.

The president signed the bill Friday about an hour and a half after the House completed congressional action on it with a 263-171 vote, underscoring the sense of urgency surrounding the measure.

"I know some Americans have concerns about this legislation, especially about the government's role and the bill's cost," Bush said in remarks in the Rose Garden.

"As a strong supporter of free enterprise, I believe government intervention should occur only when necessary. In this situation, action is clearly necessary."

This explains how America, as we know it, was taken over by the banking elite:

A Federal Reserve Primer

2008-09-26T16:31:00.002-04:00

Economic Collapse Eerily Predicted

2008-09-25T22:10:00.008-04:00

People have warned us for many years about the inevitable economic collapse of the United States. Our leaders have failed to listen to the top economists then, and are still not accepting the recommendations by the top US economists regarding the "bailout" plan. Many economists are skeptical of the bailout plan, with one quoted as saying "the plan is being marketed under false pretenses."

I'm at the very least glad that Congress didn't automatically rush to pass this legislation, like they have with other pieces of legislation (i.e., the Patriot Act). As of now, the legislation doesn't seem to be sitting well with Republican members of Congress, saying "that the plan would be too costly for taxpayers and would be an unacceptable federal intrusion into private business." Well, no kidding!

However, like it always has been in Washington, nobody wants to be held responsible or proven wrong, so they will likely pass this piece of legislation. No matter what Congress decides, the inevitable is going to happen. Be prepared for a decade of recession, homelessness, unemployment, food shortages, civil unrest, and yes, Martial Law.

The Immoral Federal Reserve

2008-09-24T19:41:00.003-04:00

Here's a great audio clip by Llewellyn H. Rockwell, Jr., a proponent of Austrian School of Economics, describing how the Federal Reserve is simply a large counterfeiting entity.

I highly recommend that you go take a look at Mises.org and read about Austrian Economics.

Ron Paul: Time Is Running Out

2008-09-24T13:16:00.003-04:00

Dear Friends,
Whenever a Great Bipartisan Consensus is announced, and a compliant media assures everyone that the wondrous actions of our wise leaders are being taken for our own good, you can know with absolute certainty that disaster is about to strike.
The events of the past week are no exception.
The bailout package that is about to be rammed down Congress' throat is not just economically foolish. It is downright sinister. It makes a mockery of our Constitution, which our leaders should never again bother pretending is still in effect. It promises the American people a never-ending nightmare of ever-greater debt liabilities they will have to shoulder. Two weeks ago, financial analyst Jim Rogers said the bailout of Fannie Mae and Freddie Mac made America more communist than China! "This is welfare for the rich," he said. "This is socialism for the rich. It's bailing out the financiers, the banks, the Wall Streeters."
That describes the current bailout package to a T. And we're being told it's unavoidable.
The claim that the market caused all this is so staggeringly foolish that only politicians and the media could pretend to believe it. But that has become the conventional wisdom, with the desired result that those responsible for the credit bubble and its predictable consequences - predictable, that is, to those who understand sound, Austrian economics - are being let off the hook. The Federal Reserve System is actually positioning itself as the savior, rather than the culprit, in this mess!
• The Treasury Secretary is authorized to purchase up to $700 billion in mortgage-related assets at any one time. That means $700 billion is only the very beginning of what will hit us.
• Financial institutions are "designated as financial agents of the Government." This is the New Deal to end all New Deals.
• Then there's this: "Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency." Translation: the Secretary can buy up whatever junk debt he wants to, burden the American people with it, and be subject to no one in the process.
There goes your country.
Even some so-called free-market economists are calling all this "sadly necessary." Sad, yes. Necessary? Don't make me laugh.
Our one-party system is complicit in yet another crime against the American people. The two major party candidates for president themselves initially indicated their strong support for bailouts of this kind - another example of the big choice we're supposedly presented with this November: yes or yes. Now, with a backlash brewing, they're not quite sure what their views are. A sad display, really.
Although the present bailout package is almost certainly not the end of the political atrocities we'll witness in connection with the crisis, time is short. Congress may vote as soon as tomorrow. With a Rasmussen poll finding support for the bailout at an anemic seven percent, some members of Congress are afraid to vote for it. Call them! Let them hear from you! Tell them you will never vote for anyone who supports this atrocity.
The issue boils down to this: do we care about freedom? Do we care about responsibility and accountability? Do we care that our government and media have been bought and paid for? Do we care that average Americans are about to be looted in order to subsidize the fattest of cats on Wall Street and in government? Do we care?
When the chips are down, will we stand up and fight, even if it means standing up against every stripe of fashionable opinion in politics and the media?
Times like these have a way of telling us what kind of a people we are, and what kind of country we shall be.
In liberty,
Ron Paul

The Biggest Robbery In U.S. History

2008-09-23T20:33:00.008-04:00

The bailout. Yes, that is how the corporate media describes the biggest grab of power in recent history by the US Treasury Department and the private central bank The Federal Reserve. This really makes me angry that the American people have fallen victim to the greed and illicit dealings of Wall Street. We have been sold to the highest bidder! Treasury Secretary Henry Paulson, former CEO of Goldman Sachs, is now the owner of America. His co-conspirators, President George W. Bush, Vice President Dick Cheney, and Fed Chair Ben Bernanke, all have a stake in the new business of total enslavement of Americans.

The total lack of knowledge the general public and most members of Congress have regarding how the Federal Reserve works is despicable. Thank goodness for Ron Paul, probably the only one in Congress competent enough to understand what's going on. The Federal Reserve prints paper money and tells us that it is worth like gold. Not only are they allowed to print money, but they auction the printed money to banks with interest on each note. Then how can the banks pay the interest? Of course with more printed money with the same interest. It's a perpetual cycle of profit for the Federal Reserve: a genius move!

The more money pumped into the markets by the Fed, the more the dollar is devalued. The definition of inflation is an increase in the supply of money. The consequence of inflation is prices of goods and services increase. The act of printing money is an indirect form of taxation by the Fed. The Constitution of the United States grants only Congress the authority to levy taxes.

How can we afford two wars? How can we afford bailouts? How can we afford a several hundred billion dollar foreign aid policy? How can we afford entitlement programs?

Just print the money.

Imagine if the printers run out of ink. Then all of a sudden we have to manage our money as a country more responsibly. This economic tsunami is unfortunately the wake-up call Americans need to move to a more sound currency, one that is backed by gold and silver as stated in the Constitution.