Monday, November 17, 2008

Game Over Slowly


All the infusions to date are just loans to banks to keep them from collapsing. Not so they can lend more money out...they are collapsing due to consumer exhaustion...

Consumers request commercial banks to create credit...

"The actual process of money creation takes place in commercial banks. As noted earlier, demand liabilities of commercial banks are money."--Federal Reserve Bank of Chicago, Modern Money Mechanics, p.3

The FEDERAL RESERVE did not exist prior to 1913...But Commercial banks did...

And Credit is not actually money...it's credit...but since it does everything that money does...It's money...The only difference between it and actual money is it's issued (created) by commercial banks when a consumer requests a commercial bank to loan them money...So it starts out as debt owed from the moment of creation...Other forms of money start out debt free and need to be acquired by a lender and have interest attached and then lent out in order for the money to undergo transformation into debt...

So Credit is money and it's also debt.

A US consumer requests a commercial bank to advance them x amount of future income using their current income or assets as collateral backing the request.

US consumers request commercial banks to manufacture money.

Lets say to buy a house...lets say $250,000...well the bank creates an asset of $250,000 and a liability of $250,000 and attaches interest to the asset and gives it to the consumer...

As the consumer pays off the debt...the asset and liability shrink by the principal amount and the bank keeps the interst as profit...

So the money created and spent into circulation eventually returns to where it came from over time as it's paid off.

It's why the banks like amortization...Because at the start the principal repayment is small compared to the interest payment...and the economy likes it because the money created circulates for decades.

The US real estate sector began collapsing in 2006...and by late 2007 the losses started piling up.

Up to this point...the US economy is short 1.4 Trillion dollars and the banking system is out 1.4 Trillion in revenue and profit.

All the infusions to date are just loans to banks to keep them from collapsing due to the slowing of the growth rate of the circulating money supply because US consumers are exhausted...

Not so they can lend more money out...they are collapsing due to consumer exhaustion...which has led to 1.4 Trillion less money being created by consumers.

Credit reserves are piling up in the FED because consumers are exhausted and are not requesting commercial banks for loans.

Consumers/workers...power the FED...not the other way around...

Until the US consumer pays down their debt to the point they can go on another insane gorge fest...There are going to be no B-52's

Year to date the US economy is short 1.4 Trillion dollars of liquidity...by the end of the year 1.8 Trillion.

There is 42% less money being pumped into the economy this year than last...the credit freeze in banks is due to consumer exhaustion that started in late 2006...It's just now that all this is showing up.

Start subsidizing consumers...send them emergency postponement of the end of the world checks.

Key problem...It could not be kept secret...So then hyperinflation would be the moronic bet again...and the system would hyperinflate to insanity within 18 months or so...but then it would start to collapse once it reached the point where it would be impossible to account for...It would take longer for the computation to be done than what the system requires and it would all grind to a stop and implode to oblivion anyways.

I can't see anyone agreeing to that course of action...The USA is connected to the world...the whole world would hyperinflate...not just the USA...

Unless the world agreed to hyperinflate then hyperdeflate to game over...they will just continue down this current path trying to manage it down to game over slowly.

The stock market will have to bounce soon...Global markets are being managed down...because someone has to be buying this all the way down or all this forced selling would just implode global markets to zero in a few hours...not day after day of down.

The bounce will allow the buyer to sell into strength to recharge for the next leg down of forced selling.

The bottom was not in 1929...it took the markets until 1932 to hit bottom. The markets are powered by the economy...and the general economy is not even in recession yet...

The collapse currently is just forced selling by all the braindead morons that placed massive leveraged bets that hyperinflation was on the way and lost....Once that ends the markets will most likely begin a series of waterfall declines...

The FED is not engineering anything...

All they have done to date is help slow the implosion...The implosion that is the logical conclusion of the compounding interest equation...that you all are oblivious of.

Without all the actions taken...most of you would be starving to death...dying of thirst...or exposure to the elements.

You all don't have the foggiest clue how the system you are in actually works.

All you are currently doing is self deluding each other....brainwashing each other to reinforce the belief thet the FED is the cause of the system when in fact the system is the cause of the FED.

The FED is the Third central bank of the USA...It along with the economy will reach maximum potential and implode at some point...The top will just hire the survivors to construct the next delusion you all will cherish until it reaches maximum potential and implodes.

The first central bank was the bank of Venice in 1172...It along with the global system before this current iteration imploded to oblivion in 1345...

The first commercial bank like you see them in operation today appeared in Spain 1400.

Basically you are all Neo's waking up in the real world...and the first thing you have been told to believe is truth is Morpheus's delusion.

The top or employers want to employ you all...working hard to believe that the FED is the cause of the system...and not them.

Shifting blame onto a scapegoat:

"The Pet Goat" is a children's story contained in the book Reading Mastery II: Storybook 1, by Siegfried Engelmann and Elaine C. Bruner (ISBN 0026863553). The book is part of the thirty-one volume Reading Mastery series published by the SRA Macmillan early-childhood education division of McGraw-Hill. It uses the direct instruction teaching style."

"The story gained notoriety because U.S. President George W. Bush, as part of a photo op, was reading it with Florida schoolchildren at the time he was informed of the September 11, 2001 attacks by then White House chief of staff, Andrew Card."

"In modern Satanic theology, the pentagram is far more likely to represent the individual, or the choice to pursue individual glory or immortality rather than union or absorption with the divine- where some traditions advocate the sublimation of the ego or submission to god, Satanism exalts and glorifies it, deifying the human being. The symbol most commonly associated with Satanic practices is the "Sabbatic goat" or Goat of Mendes pentacle, often confused with Baphomet, a figure from Templar legend"

"The symbol of Baphomet was used by the Knights Templar to represent Satan. Through the ages this symbol has been called by many different names. Among these are: The Goat of Mendes, Sabbatic Goat, The Goat of a Thousand Young, The Black Goat, The Judas Goat, and perhaps most appropriately, The Scapegoat"
--The Satanic Bible by Anton LaVey, Book of Belial (earth): The Satanic Ritual, pp136

"The scapegoat was a goat that was driven off into the wilderness as part of the ceremonies of Yom Kippur, the Day of Atonement, in Judaism during the times of the Temple in Jerusalem. The rite is described in Leviticus 16. The word also refers, in modern parlance, to one who is blamed for misfortunes, often as a way of distracting attention from the real causes."

"Two very similar-appearing male goats were brought into the courtyard of the Temple in Jerusalem on Yom Kippur as part of the Holy Service of that day. The high priest cast lots for the two goats. One goat was offered as a burnt offering, as was the bull. The second goat was the scapegoat. The high priest placed his hands on the head of the goat and confessed the sins of the people of Israel. The scapegoat was led away and let go in the wilderness according to Leviticus 16:22, although the Talmud adds that it was pushed over a distant cliff."

"In modern Hebrew Azazel is used derogatorily, as in lekh la-Azazel ("go to Azazel"), as in "go to hell"."

"Azazel (Hebrew: עזאזל, Arabic: عزازل Azazil) is an enigmatic name from the Hebrew scriptures, possibly referring to a fallen angel or Satan. The word's first appearances are in Leviticus 16, when in the ritual for Yom Kippur the scapegoat is to be taken to Azazel and cast into the wilderness, but this text by itself is unclear as to the actual identity of Azazel.

The Talmud (Yoma 67b) and later commentators maintain Azazel was the name of the precipitous cliff where the goat met its end."

"The Sigil of the Baphomet: This is a pentacle form (The goats head in the circle), with two points pointing upwards, one downwards, and one to each side. This is an upturned or inversed pentacle."


Compound interest is the false GOD you all worship aware or not...

Give the LORD what it demands or die...Before like now it demanded more yield and the fix Greenspan and crew came up with worked...And postponed the wrath of GOD for a few more years.

But this time around the US consumer is maxed out so there is no way all you can pay the tribute demanded by the LORD any longer...So game over.

You all will be hacking yourselves to pieces like animals for nothing at all in the end.

Monday, November 10, 2008

The Nightmare Is Unfolding...


There is no money in the stock markets except what the buyers bring into it.

And the prices of stocks and bonds are dictated by supply and demand...

Less supply than demand...The buyers cause the sellers to raise prices up...more supply than demand...The buyers cause the sellers to lower prices down.

And the rising and falling prices affect all the stocks that are not being traded.

1 million shares that are currently priced at $20 per share means that as an asset the 1 million shares equal 20 million dollars and

lets say 5% or 50,000 are sold for an average price of $10...the price of all the shares drop by $10 or 50% or $10,000,000 of equity just disappeared.

Next up

The Government does not inflate the money supply...Consumers requesting commercial banks to manufacture new money do...currently.

Last time the US Government increased the money supply outside of the commercial banking system were the Greenbacks of the Civil war.

The US Dollar caves and Chinese imports will be too expensive and China implodes...poof.

China will unpeg their currency or die...

Of course that will just buy them time...because eventually the USA will implode anyway...Japan which has been hovering for years on US consumer life support...will implode then Europe will collapse...and with 1/2 of the global economy for Chinese garbage gone...They will implode...poof...

The problem is...After 64 years US consumers are maxed out and are unable or unwilling to request commercial banks to manufacture the required amount of new money to service the continued existence of the previously manufactured money...It's game over...there is zero that can be done...

But because nobody except for a handful of people know this...The rest of the just think positive ignore the negative drones are speculating as to what's next...Reguardless of what actions are taken...the logical conclusion is implosion.

And it's not a simple currency exchange...The entire world basically has to implode to oblivion and start from scratch.

A for instance...

Prior to the 1929-1933 collapse of the global trade system...The British pound stirling was the global trade medium of exchange.

1933-1945 was the bankruptcy reorganization of that system and by the time it was over...the World was reorganized but still bankrupt...8-10% of the population of earth was Liquidated...most of Europe amd S.E. Asia was reduced to rubble.

And in 1944 the British pound was dropped and the US Dollar became the global trade medium of exchange...

That's about as simple as global currency changes get...

This time...There is no currency/economy to switch over to...The whole global system has to and is going to implode to oblivion.

Complete and utter destruction...All the little helpers are not told about this...or else they would try to resist at some point...instead they will all march to their doom with glee towards the glorious Utopia the sales pitch says is on the way.

You all think the transition to the next system is going to be like...Don't worry Timmy...after a brief flicker of the lights the next global system is going to kick in.

It ain't.

A nightmare beyond your current abilities to comprehend is unfolding.

At the end you all will gladly accept the new system...All the survivors will be convinced that it's the best thing ever.

There is nothing that is going to stop the current system from imploding to oblivion.

Nothing can be done...It's over...no amount of positive thinking malinvested into the powering of the delusion that something can be done will accomplish anything.

The global system is like a fish out of water flopping around.

The G7 and G20..etc...Just a bunch of fools standing on an anvil oblivious of the shadow of the hammer at their feet growing larger as it rushes to smite them.

The books that have not been balanced in centuries are going to have to be...

The system needs to keep inflating greater than previous inflation forever...But it can't...it can only inflate greater than previous inflation to maximum potential.

The system needs the required amount of inflation to sustain inflating.

How much is the required amount...not too much and not too little but always greater than previous.

Maximum potential is less than infinite...Because the system certainly can't infinitely inflate...and in order to satisfy the always greater than previously requirement...the system has to inflate greater than infinite...which is also impossible.

In this case maximum potential is reached when the US consumers become unwilling or unable to continue requesting commercial banks to manufacture the required amount of new money to service the continued existance of the previously requested money.

That's what they have done...and without a real estate sector inflating to infinity and beyond...it's over.

Basically US consumers have to start consuming real estate way better than their last pathetic attempt...Or the 37 year old real estate bubble will pop...all that has happened up to this point is a popping of a bubble inside of the 37 year old real estate bubble.

Then there is no way that an escape from the recession will be accomplished and it will collapse down into a depression and then a general breakdown.

A general breakdown is worse than a depression...The ruins of Rome are what is left after an economy suffers a general breakdown.

No It can't be...

The surface of the Earth is coated with ruins...It certainly can be...because at its core...this civilization is no different than any other that has ever existed.

Of course you and the vast majority reading this and the G7...G20..etc are totally oblivious followers of the just think positive ignore the negative religion...and because what I say is negative...it's ignored...

Until of course it's impossible to ignore...When you all arrive at the logical conclusion...

Which is still years away.

If they came out now and started telling you all to just report to the nearest pit of burning diesel and hop in for the good of future Humanity because thanks for working your asses off to get here but there's no need for you all in the new system...

You all certainly would resist.

It's a long drawn out process to liquidate all the former assets that are going to transform into unfundable liabilities the deeper we get into this.

Even if the most benevolent and wise human beings on Earth took control now it still would cave in to a mindboggling nightmare.

Because I'm not a just think positive ignore the negative drone...I don't ignore the negative.

Optimists or the devout followers of the think positive ignore the negative religion got us to this point...

You all just marched to your doom with glee...and now "hope" you survive the choice to ignore the negative now that you are catching glimpses of that which is impossible to ignore.

The consequences of choosing to be ignorant.

All you drones at the bottom believe that inflation does not end...Due to the Just think positive ignore the negative equation at the core of the drone reasoning algorithm that you all have been programmed with...

But inflation greater than previous inflation does have a maximum potential...The top know this and capitalize on it.

Absolute capitalists capitalize on weakness...Your ignorance is what the top capitalize on...Since you are all dumb as dirt anything possible to explain what you can't is embraced.

You all basically shop around for fictions and constantly try them on until you find one that fits and then buy it...Until it wears out and fills up with holes.

First off...The top owns everything already...the bottom rents...The top does not have to take over the world...They already own everything.

Except your awareness of the Universe..Which the top never will...

As far as I can tell...Whatever the top's long term plans are going to be...Step one is to drastically reduce the massive number of drones in the hierarchy.

Money is something drones worry about...

It's like a general...orders all the soldiers to do all the work...that's all the top is...The general and you are all soldiers that do all the work.

Currenly the top has ordered you all to believe that the subprime mortgage collapse and Wall Street corruption are the cause of the problems...

They are just effects...Reguardless...because you all including your so called leaders are brainless drones...You all basically shop around for fictions and constantly try them on until you find one that fits and then buy it...

And right now all the fiction sales outlets are selling the same fictions.

It's already all over...The top ordered you all to march in the direction they desired and that what you all are currently marching wondering what is going on...as oblivious now as you were years ago.

Because you refuse to think...Why?

The Just think positive ignore the negative equation at the core of the drone reasoning algorithm that you all have been programmed with.

The instant you know then you have to become responsible for your actions...

But that is negative...you all will search for the positive...that which allows you all claim to be irresponsible.

The top figured out how to control you all 1000's of years ago.

The Internet is a tool the top knows how to use...They know what to look for...You all don't have the foggiest idea what to look for...Because you are all drones...You are all like bacteria under a mircoscope.

Oblivious that you are being watched and studied...

You going to buy the above?

The Just think positive ignore the negative equation at the core of the drone reasoning algorithm that you all have been programmed with will not allow it to be bought.

A lie you tell to yourself is a delusion...and over time you will fall in love with it or cherish.

The above will shatter your cherished delsuions...and that is negative.

You all will fight to the death to protect that which you cherish...that is positive.

Yes is positive and no is negative.

It's why you Just think positive ignore the negative drones have such a hard time taking no for an answer.

The instant you know then you have to become responsible for your actions...

But that is negative...you all will search for the positive...that which allows you all to claim to be irresponsible.

You all choose to be drones because ignorance is bliss...or positive.

It's better to be irresponsible for your actions than responsible for your actions.

The only person holding a gun to your heads forcing you...Is you.

Monday, November 03, 2008

November 4th - National Schmuck Day


All that the banks have been doing is propping everything up until after the US elections so that the newly installed puppet, and the installed puppets outside the USA, can blame the previously installed puppet for all the mindboggling austerity measures that are coming.

The national debt is just the amount of money the US Government has "borrowed" from the 51,000 Billion or 51 Trillion dollar money supply...and since it's all credit or debt backing debt...The money supply is also the total debt of the USA.

So The US Givernment has borrowed 10.5 Trillion of the 51 Trillion dollar money supply which is debt that was requested by US consumers to be manufactured by the US commercial banking system.

The 51 Trillion is from q2 2008 so another 4 months at with US consumers requesting the commercial banks to create another 4.9 Billion dollars of credit on average per day an the estimated money supply/total debt currently is 51.5 Trillion...roughly 20% of the money supply has been borrowed by the US Government.

Germany?

Its Government has "borrowed"

1,817,200,000,000...or around 1.8 Trillion Dollars of the money supply...And since Germany has the same compounding interest commercial banking credit system that every other country on Earth has.

German consumers have requested the German commercial banking system to manufacture around 7.8 Trillion US Dollars equivalent of money...that is the money supply of the Germany and also the total debt.

The German Government has borrowed 1.8 Trillion of the 7.8 Trillion money supply of total debt of Germany or...about 23%

In Euro's that's about 6,269,592,476,489 or 6.2 Trillion euro's of debt owed by all the workers in Germany

Rough estimate of the German workforce is 44 Million

So every worker in Germany owes around 142,500 Euro's...

Those in the old world have been socially engineered to stare at the evil USA...But Germany is in just as much debt as any of the other economic zones on Earth.

Germany is managing its debt supply somewhat better than others so gets a bit of bragging rights of course...but once the USA caves...Germany will implode because the top consumer of EU exports is the USA.

The cycle is always...Inflation greater than previous inflation to maximum potential followed by inflation less than previous inflation to maximum potential

The US money supply which is also the total debt of the USA has been hyperinflating for 64 years...It's just been hidden from all you "schmucks" by accounting tricks...

Now the current thinking is that when inflation greater than previous inflation to maximum potential reaches maximum potential...

Hyperinflation starts...At least thats what all you "schmucks" have been pounding the table and telling me ever since Ben told all you "schmucks" about the magic printing press...

Unfortunately when the maximum potential of inflation greater than previous inflation is reached...

The bubble begins collapsing...We are just at the start...and eventually implodes to oblivion...

What you all have seen up to this point...is nothing significant...yawn.

Now what are you "schmucks" going to do?

Well you will pick a "schmuck" to follow and they will most likely lead you off a cliff...

Because right now it's "schmucks" leading "schmucks".

Presidents in the USA are installed...the voting aspect is to fool the bottom into thinking they made the choice.

It's irrelevant what you think your pick will do or not do...

The installers decide.

Blame the founders of the USA...They created a Nation state where anything goes.

And it's been used to corrupt all the other nation states.

The Declaration of Independance from GOD took place in 1776.

The rulers are installed by popularity contests or Elected constitutional Monarchs.

Evil gives you what you want to get what Evil wants...Power

"The subjects (Bottom) of every (City, nation, Civilization) state ought to contribute towards the support of the government (TOP), as nearly as possible in proportion to the revenue which they respectively enjoy under the protection of the state."--Adam Smith, Wealth of Nations 1776

Governments of the absolute capitalistic hierarchial food powered make work enterprise are administration systems of the enterprise constructed and sustained by the bottom or employees at the demand of the top or owners of the absolute capitalistic hierarchial food powered make work enterprise

Free Trade...Refusal to Trade is unfree Trade or Protectionism

"Pax Romana (27 B.C.E.-180 C.E.), Latin for "the Roman peace", is the long period of relative peace experienced by states within the Roman Empire. The term stems from the fact that Roman rule and its legal system pacified regions, sometimes forcefully, which had suffered from the quarrels between rival leaders."

"Pax Britannica (Latin for "the British Peace", modelled after Pax Romana) refers to a period of British imperialism after the 1815 Battle of Waterloo, which led to a period of overseas British expansionism. The term is derived from, during this period, Europe being relatively peaceful and the British Empire controlling most key naval trade routes and enjoying unchallenged sea power. Britain dominated overseas markets and favoured a strategy of informal colonialism: controlling markets like China's (and the USA's) without direct formal colonial administration."

"This led to the spread of the English language, parliamentary democracy, technology, the British Imperial system of measures, and rules for commodity markets based on English common law."
(Roman Rule)

"Pax Americana (Latin: "American Peace") is the period of relative peace in the Western world since the end of World War II in 1945, coinciding with the dominant military and economic position of the United States. It places the United States in the military and diplomatic role of a modern-day Roman Empire (Pax Romana)."

Republic ruled by LAW...

Human beings have no ability to make or break LAW

All that Human beings have the power to do is make and break rules and call them LAW.

But if the rule attempts to break LAW then LAW will break the rule.

So then Congress which is composed of Human beings can't make or break LAW...

But they can make and break rules and of course call rules LAW.

How do they make thses rules...by majority rule...or Democracy.

Republican Government has no "parties"...Just elected representatives.

Over in jolly old England..They have parties.

Westminister Parliamentry system or Republican system?

Executive

Bush is the Head of State or Governor General while Cheney is the Prime Minister and there is a cabinet.

Legislative

Parliament (Congress) is the House of commons (Representatives) and the Senate.

The whipping system

"A whip is a member of a political party in a legislature whose task is to ensure that members of the party attend and vote as the party leadership desires. The term originated in the Parliament of the United Kingdom and derives from the "whipper-in" at a fox hunt. Whip is also used to mean the voting instructions issued to members by the Whip"

"Both houses of Congress, the House of Representatives and Senate, have majority and minority whips. They in turn have subordinate "regional whips."


All are called honorable members.

Also broken down into two factions the Left or Whigs/Liberals (Democrats) and the Right or Tories/Conservatives (Republicans)

Judicial

Supreme Court of the United States

In Canada currently

The Executive

Michaëlle Jean is the Head of State or Governor General while The Prime minister is Stephan Harper and there is a cabnet.

Legislative

Parliament is the House of commons and the Senate.

All are called honorable members.

"The Chief Whip is a political office assigned to an elected member whose task is to administer the whipping system that ensures that members of the party attend and vote as the party leadership desires."

Also broken down into the two biggest factions the Left or Liberals and the Right or Conservatives

Judicial

Supreme Court of Canada

In the UK

Executive

The Head of state is the Queen while The Prime Minister is Gordon Brown

Legislative

Parliament is the House of commons and the Senate (House of Lords)

All are called honorable members.

"The Chief Whip is a political office assigned to an elected member whose task is to administer the whipping system that ensures that members of the party attend and vote as the party leadership desires."

Also broken down into two factions the Left or Liberals (The Labour party) and the Right or Conservatives

Judicial

Courts of the United Kingdom / Supreme Court of the United Kingdom

All have speakers of the House...All have the below.

Ceremonial maces are to this day used to represent authority and prestige, as in the House of Commons in a Westminster System parliament.

In the UK "A mace is a staff of office symbolising authority. The mace is carried in and out of the Commons and Lords Chambers in a procession at the beginning and end of each day. Without the mace in position, each House cannot sit and debate."

"In the House of Commons the mace lies on the table in front of the Speaker when MPs are debating. The mace is carried in and out of the Chamber by the Serjeant at Arms in a procession at the beginning and end of each day."

"In Canada, the House of Commons (and most of the legislatures) follow a relatively standard protocol in relation to the ceremonial mace; the Speaker of the House normally enters, following a mace-bearer (normally the Sergeant-at-Arms) who subsequently sets the mace on the clerks' table to begin the sitting. When the Sergeant-at-Arms removes the mace from the table, then the House has either adjourned, recessed, or been resolved into a Committee of the Whole."

"Before the reigning monarch or one of his or her representatives (the Governor General or one of the Lieutenant Governors) may enter the chamber, the mace must be completely hidden from view. This is done by draping the mace in a heavy velvet cloth, a procedure performed by the House Pages."

"The current Mace of the United States House of Representatives has been in use since December 1, 1842. It was created by William Adams at a cost of $400 to replace the first mace, which was destroyed on August 24, 1814 when the Capitol was destroyed in the burning of Washington by the British during the War of 1812. A simple wooden mace was used in the interim."

"The current mace is nearly four feet tall and is composed of 13 ebony rods tied together with silver strands criss-crossed over the length of the pole. It is topped by a silver eagle, wings outspread, standing on a world globe."

"When the House is in session, the mace stands in a cylindrical pedestal of green marble to the right of the chair of the Speaker of the House. When the House is meeting as the Committee of the Whole, the mace is moved to a pedestal next to the desk of the Sergeant at Arms. Thus Representatives entering the chamber know with a glance whether the House is in session or in committee."

"In accordance with the Rules of the House, when a Member becomes unruly the Sergeant at Arms, on order of the Speaker, lifts the mace from its pedestal and presents it before the offenders, thereby restoring order. This occurs very rarely."


The current House Sergeant at Arms is Wilson (Bill) Livingood.

LAW is infinite and indestructible.

If you can break it...It's not LAW.

Like there's a LAW against speeding...Well can you drive faster than the speed limit?

Then it's not a LAW...

LAW can not be broken.

Rules? Snapped like twigs...

As soon as somebody says something like...Congress can make LAW...

You know they are totally enthralled by the game.

If it was against LAW to kill a person...It would be impossible to kill a person...

It's not against LAW...It's against the rules of the game you all are playing.

The LORD works in mysterious ways...GOD does not.

Rules are ultimately to protect the top from the bottom.

Last election in the USA? George Walker Bush member of Skull and Bones 1968 VS. John Forbes Kerry member of Skull and Bones 1966...Both were at Yale together for a one year overlap...dual manchurian candidates...Millions and millions and billions of schmucks supplying the top with the power required to power the spectacle are completely oblivious.

Sunday, October 26, 2008

Wheel of Fortune


Globalism destroyed the USA.

There is no way a US worker can compete with a child slave laborer or a Chinese wage slave.

Reguardless of regulation or taxes...The manufacturing was exported out to stop the wage inflation that was feeding the hyperinflation of the 1970's.

The system is imploding because all the just think positive ignore the negative drones at the start could not see the logical conclusion...the implosion.

It's negative...It's ignored...All that the drones see is the positive...until they arrive at the logical conclusion then they are forced to see what they have been ignoring all along because it becomes impossible to ignore the negative any longer.

To them Truth is negative because the lies that they tell to themselves and fall in love with are positive.

Yes is positive

and no is negative.

Everyone is entitled to their opinion...right?

Well the Antonym or opposite of opinion is Fact.

So then everyone is entitled to their lies.

At some point interest rates will rise...but they are too high now...so once they start rising...it won't matter.

They drop and rise in search of volume...they have been dropping for 28 years...and basically can't find any volume...And if there is no volume lower then there will be none higher.

Basically the whole thing needs to implode to oblivion and start from scratch.

No new system can be implemented until this one totally deflates down to almost zero. Then there are all the fate resisters that have to be taken care of...It will take many years even if they have a perfect foolproof transition plan.

The problem is taking more than you give or compound interest...so any system that still allows that will just inflate to maximum potential and implode again...The reaction is the same each time and the solution is as well.

12,000/year lent out at 5% interest for 20 years is $416,631

Lets say you stopped adding and just compounded $416,631 for another 30 years.

You would have $1,800,655 after 50 years and if you started at 20 you would be 70 years old.

Lets figure out what gain you would need to turn $12,000 into 1 million in 5 years...after the first year to save it up.

$12,000 lent out at 142.2% interest for 5 years is $1,000,119.60

Lets say you saved 1 British pound when the bank of England was founded in 1694 at 5%

You would have 4,502,356 British pounds...

Lets say the royal family stored their 250,000 British pounds there.

That's 1,125,589,198,005.70 or 1.1 Trillion British pounds...

Must be alot of off balance sheet wealth somewhere.

Amortization...or why is real estate so important.

Median house price in 2006 was $255,000 lets say...

And you need to request a commercial bank to manufacture $245,000

The bank looks at your income and it's theoretically possible that you can service it...and you are approved...

The bank creates an asset and a liability of $245,000 and amortizes it at 6% for 30 years.

You use it to buy the house...so basically the money supply just increased by $245,000

The payment is 1468.90...The principal is $243.90...So the asset and liability both shrink to $244,756.10...and the money supply of the USA shrinks by $243.90

The interest is kept by the bank...and it's $1225 per month...It's still $1000 by Sept 2019.

$1000+ per month for 11 years is pretty good...for a few key strokes.

Total Interest after 30 years is $283,803.56 of course the original money created or $245,000 shrinks to zero...for an increase of the money supply over 30 years by $38,803.56

Real estate is the ultimate source of new money creation/inflation in an economy since the money lasts so long.

It's the largest source of revenue for a commercial bank because the Interest is front loaded and lasts a long time.

It is interest...

Interest attached to the medium of exchange is the cause of fractional reserve banking...

ALLOW ME TO TAKE MORE OF ANOTHERS POWER THEN I GIVE AND I CARE NOT WHO MAKES THE RULES OF THE GAME YOU ARE ALL PLAYING.

BECAUSE EVENTUALLY I WILL SUCK ALL THE POWER FROM THE HANDS OF THE MANY INTO THE HANDS OF THE FEW OR ONE.

AND THEN THEY WHO HAVE THE POWER WILL MAKE THE RULES OF THE GAME YOU ARE ALL PLAYING.

Who am I...

I'm the Top and you are the bottom.

All we at the top have to do is attach Interest to all the money that we loan to the bottom...higher than the rate of production of the money...And "we" at the "top" will steal it all back again.

We will own the whole money supply...We will just keep relending it back into circulation and you all will just keep paying the rent.

And if attaching interest to the medium of exchange is not against the rules of the game...Also if it's not against the rules of the game to take more than you give...THEN IT'S OBVIOUSLY NOT STEALING.

Of course if you are just a game player...

Plunder is taking more than you give.

Attaching interest to the medium of exchange is taking more than you give.

Attaching interest to the medium of exchange is plunder

"When plunder becomes a way of life for a group of men living together in society, they create for themselves in the course of time, a legal system that authorizes it and a moral code that glorifies it."--Frederic Bastiat

The fractional reserve credit system was the solution...because once the money supply is utilized to its maximum potential it becomes impossible for the bottom to pay the rent...

Like the money supply owned by the top is 1 Billion silver pieces but the bottom owes 1 Billion + 5% to the top.

And then 1 Billion +5%+5% every year...+5% more....I wonder why the rich get richer and the poor get poorer?

Who knows maybe one day we will find out...Until then please give generously to the help find a cure for moronism foundation...Because together...we will find the cure.

Interest attached to the medium of exchange is the cause of the need for fractional reserve banking.

It's why the commercial banking credit system was created...to suport the worshippers of the compounding interest equation as the path to salvation.

The problem in the USA is that consumers are not requesting enough new money to be manufactured to service the existence of the previously manufactured money...the growth rate of the money supply has slowed by the most in 64 years and the assets used as collateral that are inflated with previously manufactured money...need newly created money to sustain their inflation or they drop in price...

That's one problem with the reserve requirements...the collateral has contracted in price...the other is that 1.4 Trillion less new money has been created compared to last year and the banks are short 1.4 Trillion in revenue and profit.

Remember when Ben said that they would just print money and every idiot on Earth piled up their life savings on the hyperinflation bet...and then once they were all leveraged to the max...The wheel of fortune stopped spinning and landed on deflation...and everyone lost...

Oil and other commodities are dropping because US consumers are exhausted and have been requesting commercial banks to manufacture way less Dollars than last year. (unable to sustain hyperinflation)

1.4 Trillion less liquidity circulating globally than is needed...It's why the whole global system is caving in.

All the massive mind boggling amounts of infusions to date...are loans that have to be paid back within days or months backed by pre-existing collateral and income...no new money has been created.

They are not pumping Trillions into the hands of the consumers...

They are just supplying short term loans to banks which are servicing the loans with their current income and assets.

Ultimately they are treading water until the maxed out consumers all of a sudden start requesting commercial banks to manufacture more new money.

Unfortunately maxed out consumers can't...

I don't know why exactly you all just account for yourselves...but that's the problem...everyone supports you...you don't support them...but you people think you support everyone else.

This belief is a huge cherished delusion at the top...rich people generally seem to think that without them the bottom would collapse but it's actually the other way around...the bottom supports the top.

The consumers support the banks...the banks don't support the people.

The bank collapses are an effect...Of the cause...exhausted consumers.

The bottom just can't support the top anymore.

It's borrowed...Unlimited borrowing. The commerical banks have an unlimited ability to create money...

Unfortunately consumers have a limited ability to request its creation.

This is just to keep the banks from imploding due to the drop in consumer requests to create new money...the circulation is broken...

This will do nothing to address the inability of the consumers to request the required amount of new money to service the continued existence of the previously created money.

It's the difference between swimming to safety or treading water until you grow tired and drown.

The unlimited is ultimately limited...

How FED borrowing works...a commercial bank uses its income or an asset as collateral for a loan short term at wholesale rates that it will sell to consumers for long term at retail rates.

Without a consumer signing on the dotted line and servicing it....jigs up.

Like all the sub primes that blew up...scraped the bottom of the barrel and found signers....but they could not service them...poof game over.

And at some point increasing the supply of treasuries will cause rates to rise...Which will cause further consumer demand destruction.

Of course the consumer will not be done consuming...but it's the amount they consume.

The compound interest equation at the core of all the accounting algorithms...I lend you $100 dollars as long as you agree to pay me back $105.

Obviously to satisfy that you have to consume $5 more dollars.

If you can't and lets say can only consume $98...game over.

The demand for the system to inflate is there but the ability is not.

The entire money supply is debt 51 trillion dollars...and in order to sustain its circulation...the consumers/workers must service its continued circulation.

or it slows then stops then implodes.

I lend you 49.8 Trillion dollars at the start of 2008 as long as you agree to pay me back 54.2 Trillion dollars at the end of 2008 at 2007 growth rates of an average of 12 Billion dollars of new money requested by consumers a day.

But so far in 2008 at an average growth rate of an average of 6.99 Billion dollars of new money requested by consumers a day...It works out to 52.4 Trillion dollars.

There is 1.8 Trillion dollars less being requested by consumers this year...it's why the banks and Wall Street are crumbling and the global economy is going into recession.

The only way to escape is for US consumers to reflate out of the hole (recession) they are in...but if they are maxed out...there is no escape.

The FED provides short term liquidity for Treasuires so that they can be slowly exchanged for money.

How treasuries work...The Congress authorizes the US Treasury to issue lets say 700 Billion dollars of treasuries...The FED then buys them with credit in the form of a check...the FED then sells them to the primary dealers...or the Global banking system for Federal Reserve notes...where do the banks get the cash?

The US government cashes the check...And the money comes out of the account that the money from the sales of the bonds to the dealers shows up in.

The process takes weeks or months to increase the supply of bonds without causing unwanted interest rate fluctuations.

US Consumers request commercial banks to manufacture money...that the consumers blow into the economy.

From 1945 to now...about 50.8 Trillion dollars of new money...or credit which is debt that has been requested by US consumers...

The US Government in the same period of time has isssued 9.8 Trillion dollars worth of treasuries and "Borrowed" 9.8 Trillion of the 50.8 Trillion dollars of new money...or credit which is debt that has been requested by US consumers...

If 700 billion dollars of treasuries was dumped into the markets all at once...the interest rates would spike up...

This process is a way basically to borrow money from all the banks in the world without having to deal with each one individually.

All the countries on Earth have this exact same system...there is no real difference between the banking/political system in the USA or any others in the world.

Consumers generate the money...They stop...game over.


They either start subsidizing the US consumer...By sending them emergency postponement of the end of the world checks...Or forget it...

This mess will just crumble to the implosion point and poof...game over.

Right now the growth rate has slowed by the most in 62 years.

Money is still being produced by consumers...But not enough to keep the system from crumbling. Too slow and the growth rate of the money supply will go negative...all the prices you see now...basically hyperdeflate since supply can't be cut faster than demand drops.

In the case of real estate...You would have to basically drop nukes on cities to reduce the supply fast enough to sustain price...but that obviously is not an option.

Home equity will continue to be destroyed until there is a resumption of the massive sales boom...basically a return to 2006-2007 levels of activity.

Ultimately the US real estate bubble will pop and wipe out Trillions of dollars of assets.

Assets that are backing the requests by US consumers for commercial banks to manufacture more new money.

14 Trillion or so...the largest portion of global assets.

Japan's real estate bubble imploded almost 18 years ago and has not recovered...then people say that they are doing Ok...Ya on US life support the past 18 years...slurping up massive amounts of US consumer debt inflation...But when the USA caves..the inflation imports will stop...Japan will then resume their implosion to oblivion.

Gold is dropping because it should be...If it shouldn't be dropping...It wouldn't be.

It's so simple.

Who came up with the idea of speculative Gold markets?

Poor people or rich people?

How do you think rich people would design the markets they own?

So that when the markets started operating the rich would be transformed into poor people or that they would become richer?

You all are obviously only dreaming that you are awake.

Maybe you all went to school to learn how to be stupid.

A 100% Gold or silver backed currency system has not existed for at least 600 years...and it's most likely closer to 1000.

This current compounding interest commercial banking credit system has been in operation in the USA before the USA even existed.

There has never been enough gold and silver in circulation to sustain such a system...the appearance...yes...an actual functional system...no.

It's been fractionally reserved for centuries.

It's just now that the descendants of chattel slaves have risen up to the point that they can begin to see what they haven't for 1000's of years.

"While boasting of our noble deeds we're careful to conceal the ugly fact that by an iniquitous money system we have nationalized a system of oppression which, though more refined, is not less cruel than the old system of chattel slavery."--Horace Greeley

Yes we are the smartest stupid people that have ever existed.

When a student exposes the social engineers to truth behind their lies they inculcate to the indifferent...the social engineers inform the student that their job or function as student is to be engineered by the engineers or they will be escorted out of the social engineering institution...force will be increased in porportion to the resistance until the student performs their job or function as they are supposed to according to the accepted rules of the game of absolute capitalism.

Human Beings pop into existence powerless surrounded by the powerful who use their power to transform Human beings in to Monsters then tell them that Monsters are just a fairy tale.

"The subjects of every state (Bottom) ought to contribute towards the support of the government (TOP), as nearly as possible in proportion to the revenue which they respectively enjoy under the protection of the state."--Adam Smith, Wealth of Nations 1776

Governments of the absolute capitalistic hierarchial food powered make work enterprise are administration systems of the enterprise constructed and sustained by the bottom or employees at the demand of the top or owners of the absolute capitalistic hierarchial food powered make work enterprise

"The understandings of the greater part of men are necessarily formed by their ordinary employments. The man whose life is spent in performing a few simple operations. . . has no occasion to exert his understanding. . . Of the great and extensive interests of his country he is altogether incapable of judging. . . . The uniformity of his stationary life naturally corrupts the courage of his mind."--Adam Smith, Wealth of Nations 1776

"Consider... the university professor. What is his function? Simply to pass on to fresh generations of numskulls a body of so-called knowledge that is fragmentary, unimportant, and, in large part, untrue. His whole professional activity is circumscribed by the prejudices, vanities and avarices of his university trustees, i.e., a committee of soap-boilers, nail manufacturers, bank-directors and politicians. The moment he offends these vermin he is undone. He cannot so much as think aloud without running a risk of having them fan his pantaloons."--H. L. Mencken

Simplicity adds up to the multiplication of complexity which is then divided unequally to obtain the required yield of power the absolute capitalists want to manipulate the Universe how they desire.

“The study of money (Power), above all other fields in economics, is one in which complexity is used to disguise truth or to evade truth, not to reveal it.”--John Kenneth Galbraith Money: Whence it came, where it went - 1975, p15

"All the perplexities, confusions and distresses in America arise not from defects in the constitution or confederation, not from want of honor or virtue, as much as from downright ignorance of the nature of coin, credit and circulation."(Absolute capitalist economics and power)--PRESIDENT JOHN ADAMS

Economics (absolute capitalistic and responsible capitalistic) is not an invention it is a discovery

"Economics is extremely useful as a form of employment for economists."--John Kenneth Galbraith

Everything and all life in and including the Universe itself capitalize on Truth to sustain its and their existence

TRUTH IS INFINITE AND INDESTRUCTIBLE

The worshippers of the compounding interest equation will bear its burdens without complaint and perhaps without even suspecting that the equation is inimical to their interests while those who follow the worshippers will complain about the effects but will be ignorant of the cause.

"While boasting of our noble deeds, we are careful to control the ugly fact(Mass media A.K.A. commercial persuasion) that by an iniquitous money (Power accounting) system, we have nationalized (And now Globalized) a system of oppression which, though more refined, is not less cruel than the old system of chattel slavery."--HORACE GREELY

Ignorance of truth is the root of all evil

"Banking was conceived in iniquity, and was born in sin. The Bankers own the Earth. Take it away from them, but leave them the POWER to create deposits, and with the flick of the pen, they will create enough deposits, to buy it back again. However, take it away from them, and all the great fortunes like mine will disappear, and they ought to disappear, for this would be a happier and better world to live in. But if you wish to remain the slaves of Bankers, and pay the cost of your own slavery, let them continue to create deposits."--SIR JOSIAH STAMP, (President of the Bank of England in the 1920's, the second richest man in Britain)

Allow me to take more than I give of anothers POWER and I care not who makes the rules...

Money is a food substitute...food is power

POWER is the medium of exchange

Mt 7:21
Not every one that saith unto me, Lord, Lord, shall enter into the kingdom of heaven; but he that doeth the will of my Father which is in heaven.
Mt 7:22
Many will say to me in that day, Lord, Lord, have we not prophesied in thy name? and in thy name have cast out devils? and in thy name done many wonderful works?
Mt 7:23
And then will I profess unto them, I never knew you: depart from me, ye that work iniquity.

All in the absolute capitalist system that do not resist it...Support and eventually worship iniquity as the path to salvation.

"Don't be deceived when they tell you things are better now. Even if there's no poverty to be seen because the poverty's been hidden. Even if you ever got more wages and could afford to buy more of these new and useless goods which industries foist on you and even if it seems to you that you never had so much, that is only the slogan of those who still have much more than you. Don't be taken in when they paternally pat you on the shoulder and say that there's no inequality worth speaking of and no more reason to fight because if you believe them they will be completely in charge in their marble homes and granite banks from which they rob the people of the world under the pretence of bringing them culture. Watch out, for as soon as it pleases them they'll send you out to protect their gold in wars whose weapons, rapidly developed by servile scientists, will become more and more deadly until they can with a flick of the finger tear a million of you to pieces."--Jean Paul Marat, 18th Century French Visionary

"The Earth is degenerating these days. Bribery and corruption abound. Children no longer mind their parents, every man wants to write a book, and it is evident that the end of the world is fast approaching."--Assyrian Stone Tablet, c.2800BC

"In the first place, then, it is patent that in our days, not wealth alone is accumulated, but immense power and despotic economic domination are concentrated in the hands of the few, who for the most part are not the owners but only the trustees and directors of invested funds, which they administer at their own good pleasure…This domination is most powerfully exercised by those who, because they hold and control money, also govern credit and determine its allotment, for that reason supplying so to speak, the life blood of the entire economic body, and grasping in their hands, as it were, the very soul of production, so that no one can breathe against their will…"--POPE PIUS XI

"This is a staggering thought. We are completely dependent, on the (compounding interest) Commercial Banks. Someone has to borrow (Request the manufacture of) every dollar, we have in circulation, cash or credit. If the Banks create (At the request of the consumer) ample synthetic money (All money is fiat), we are prosperous; if not, we starve. We are, absolutely, without a permanent money system. When one gets a complete grasp of the picture, the tragic absurdity, of our hopeless position, is almost incredible, but there it is. It is the most, important subject, intelligent persons can investigate and reflect upon. It is so important that our present civilization may (Not may...Inevitably will) collapse (Implode), unless it becomes widely understood, and the defects remedied very soon." (the remedy will cause the implosion)--ROBERT H. HEMPHILL (Credit Manager of Federal Reserve Bank, Atlanta, Georgia 1938)

"Slavery is likely to be abolished by the war power and all chattel slavery abolished. This I and my European friends are in favor of, for slavery is but the owning of labor and carries with it the care of the laborers, while the European plan, led on by England, is that capital shall control labor by controlling wages. The great debt that the capitalists will see to it is made out of the war, must be used as a means to control the volume of money. To accomplish this the bonds must be used as a banking basis. We are now waiting for the Secretary of the Treasury (Salmon P. Chase) in the Lincoln cabnet) to make this recommendation to Congress. It will not do to allow the greenback, as it is called, to circulate as money any length of time, as we can not control that. But we can control the bonds and through them the bank issues."--FROM A SECRET AGENT - 1862

"I have completed to-day a very great thing. I have finished the National Bank Act. It will be a blessing to the country long after I am dead."--Salmon P. Chase, Lincoln's Secretary of the Treasury

Lies can outlive liars.

"My agency, in promoting the passage of the National Bank Act, was the greatest mistake in my life. It has built up a monopoly which affects every interest in the country. It should be repealed, but before that can be accomplished, the people should be arrayed on one side, and the banks on the other, in a contest such as we have never seen before in this country."--Salmon P. Chase is the picture on the largest denomination Federal Reserve Banknote ever produced the $10,000 and the Chase in Chase Manhattan Bank.

"The death of Lincoln was a disaster for Christendom. There was no man in the United States great enough to wear his boots and the bankers went anew to grab the riches. I fear that foreign bankers with their craftiness and tortuous tricks will entirely control the exuberant riches of America and use it to systematically corrupt modern civilization."--OTTO VON BISMARCK, German Chancellor (1815-1898)

"I set to work to read the Act of Parliament by which the Bank of England was created in 1694. The inventors (Evil manipulators of the Universe) knew well what they were about. Their design was to mortgage by degrees the whole of the country (And now Earth), all the lands, all the houses, and all other property, and even all labor, to those who would lend their money to the State—the scheme, the crafty, the cunning, the deep scheme has produced what the world never saw before—starvation in the midst of plenty."--WN. COBBETT

"The few (Absolute capitalists at the top of the absolute capitalist Hierarchy) who profit (Yield POWER) from the labor of the masses (The many below the top or the bottom) want to organize the workers (drones) into an army (Of absolute capitalistic yield locusts) which will protect the interests of the (Absolute) capitalists."--Helen Keller, 1916

Absolute capitalists employ Absolute self indulgent reason to solve the problem of existence within the Universe. So do animals and lightning bolts since it is the path of least resistance

"I can hire one half of the working class to kill the other half."--Jay Gould, robber baron (Absolute capitalist), 19th Century

"The idea was that those who direct the overall (Open) conspiracy could use the differences in those two so--called ideologies marxism/fascism/(Corrupted)socialism (Absolute capitalistic) vs. democracy/capitalism (Absolute capitalistc) to enable them to divide larger and larger portions of the human race into opposing camps so that they could be armed and then brainwashed into fighting and destroying each other."--from The Illuminati and the Council on Foreign Relations by Myron Fagan

"(Absolute) Capitalism is the astounding belief (delusion or a lie you tell to yourself) that the most wickedest of men will do the most wickedest of things for the greatest good of everyone."--JOHN MAYNARD KEYNES

"America's abundance was not created by public sacrifices to "the common good," but by the productive genius of free men who pursued their own personal interests and the making of their own private fortunes."--Ayn Rand (Absolute capitalist)...Entertains the above mentioned astounding delusion.

"I am rich and proud of every penny I own. I made my money by my own effort, in free exchange and through the voluntary consent of every man I dealt with — the voluntary consent of those who employed me when I started, the voluntary consent of those who work for me now, the voluntary consent of those who buy my product. I shall answer all the questions you are afraid to ask me openly. Do I wish to pay my workers more than their services are worth to me? I do not. Do I wish to sell my product for less than my customers are willing to pay me? I do not. Do I wish to sell it at a loss or give it away? I do not. If this is evil, do whatever you please about me, according to whatever standards you hold. These are mine. I am earning my own living, as every honest(?) man (Woman) must. I refuse to accept as guilt the fact of my own existence and the fact that I must work in order to support it. I refuse to accept as guilt the fact that I am able to do it and do it well. I refuse to accept as guilt the fact that I am able to do it better than most people — the fact that my work is of greater value than the work of my neighbours and that more men are willing to pay me. I refuse to apologize for my ability — I refuse to apologize for my success — I refuse to apologize for my money."--Ayn Rand again (Absolute capitalist) who became rich taking more than she gave entertaining the masses with fiction (Lies) which she claims to be better than most at telling.

"I work for a Government I despise for ends I think criminal."--JOHN MAYNARD KEYNES, (Chief Architect with Harry Dexter White of the 1944 Bretton Woods system)

"Faced with the choice between changing one's mind and proving that there is no need to do so, almost everybody (All who choose to employ absolute self indulgent reason) gets busy on the proof."

"If you feed enough oats to the horse, some will pass through to feed the sparrows." - in relation to trickle-down economics

"Under (Absolute) capitalism, man exploits man. Under communism (Absolute capitalism), it's just the opposite."

"The only function of economic forecasting is to make astrology look respectable."

"The modern conservative (absolute capitalist) is engaged in one of man's oldest exercises in moral philosophy; that is, the search for a superior moral justification for selfishness."

"People of privilege (Absolute capitalists) will always risk their complete destruction rather than surrender any material part of their advantage. (Power)"

"One of my greatest pleasures in my writing has come from the thought that perhaps my work might annoy someone of comfortably pretentious position. Then comes the realization that such people rarely read."
--John Kenneth Galbraith the above 7 quotes.

"A banker (Any absolute capitalist) is a person that lends you his umbrella when the sun is shining and wants it back the minute it rains."--Mark Twain

"Since I entered politics, I have chiefly had men's views confided to me privately. Some of the biggest men in the United States, in the Field of commerce and manufacture, are afraid of something. They know that there is a POWER somewhere so organized, so subtle, so watchful, so interlocked, so complete, so pervasive, that they better not speak above their breath when they speak in condemnation of it."--Woodrow Wilson

"I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated governments in the civilized world, no longer a government by free opinion, no longer a government by conviction and the vote of the majority, but a government by the opinion and duress of a small group of dominant men."--Woodrow Wilson the face on the $100,000 Gold certificate.

"The essential claim of sophistry is that the actual logical validity of an argument is irrelevant (if not non-existent); it is only the ruling of the audience which ultimately determines whether a conclusion is considered "true" or not. By appealing to the prejudices and emotions of the judges, one can garner favorable treatment for one's side of the argument and cause a factually false position to be ruled true."--Sophistry A.K.A Democracy or Truth by Popular delusion/concensus

"We must win the war of democracy"

"A lie told often enough becomes the truth."
--Vladimir Lenin

A lie is designed to masquerade as Truth and since Truth is infinite and indestructible and never changes must mimic truth by not changing

"The goal of socialism is communism."(Absolute capitalism)--Vladimir Lenin

"Democracy is indispensable to socialism"--Vladimir Lenin

"Capitalist dupes will sell us the rope with which to hang them."--Vladimir Lenin

All below the top are useful idiots in the absolute capitalist hierarchy

"Communism (Absolute capitalism); the longest and most painful route from (Absolute) capitalism to (Absolute) capitalism."--Mark Twain

"Seek the company of those who are looking for the truth, but run from those who have found it."--Vaclav Havel, President of Czechoslavkia, now the Czech Republic

Tuesday, October 21, 2008

Welcome To Planet Moron



There is no way to fix the system...

You either satisfy the demands of the compounding interest equation or die.

Simple...

In Germany they stopped when they could no longer account for it all...

Then suffered a hyperdeflationary implosion since they stopped creating the money...Which sent out a shockwave into the rest of the global economy.

The German Hyperinflation was the engine driving the roaring 20's...

When Germany collapsed...they sucked the rest of the world down...poof.

The only way to go back to the conditions that existed back in 1944 is to go back in time...Or modernize the 1929-1944 script and replay it somehow.

Europe is collapsing due to lack of demand from the USA because in the scheme of things the EU is the supply. The US consumer subsidizes the EU superwelfare states...The EU is DOA without the USA.

According to the Rules of the game...The reserves that pile up in central banks...Can only be used to buy Treasuries.

China sets their exchange rates artificially high...Since they also control the wages.

They can slave their population to produce artificially cheap products...

The Communists can then skim off the top and prevent 100's of Billion of US dollars from landing in private Chinese hands...

That's on top of all the phoney private companies that are just fronts for the Communist Government.

"Shanghai Raises Mortgage Loan Ceiling to Boost Demand (Update1)
By Jiang Jianguo

Oct. 15 (Bloomberg) -- Shanghai raised its ceiling on mortgage lending to some households under a government-run program by 20 percent to encourage families to buy apartments in the city.

Eligible households will be allowed to borrow as much as 600,000 yuan ($87,679) starting today, up from 500,000 yuan, the city's public housing fund agency said in a statement yesterday.

Under Shanghai's mortgage program, most households are allowed to spend as much as 7 percent of their monthly salaries to repay loans. Employers must match workers' contributions and borrowers receive preferential bank lending rates. Households meeting certain requirements can spend as much as 15 percent of salaries, and they are the ones eligible for the new ceiling.

``The change doesn't benefit most people so it may have little effect,'' Liu Bing, a real estate analyst at CSC Securities HK Ltd., said in a phone interview today.

The loan program covered 3.42 million people at the end of June, according to the agency. About 8.8 percent of people covered make the larger repayments, the Shanghai Daily said in June, citing the housing agency.

Housing prices in Shanghai, China's biggest financial center, fell 19.5 percent in the third quarter from the previous three months as the volume of sales slumped, real estate broker Savills Plc said yesterday. Average transaction prices, which rose to a record in the second quarter, dropped to 9,092 yuan per square meter, the London-based broker said in a report.

The volume of transactions slid 39 percent from the second quarter and two-thirds from the same period last year to 2.9 million square meters, according to Savills."


Tsk...

Guess what happens when the USA really caves in...Currently...The USA has just slowed slightly...and the Shanghai real estate market is collapsing...

China's trade surplus will transform into a deficit...

China has not suffered a recession in decades...I don't think they know what one is...

The numbers they stare at will just get smaller and smaller..then at some point The Communists will hang themselves with their own rope...

Go back to 1944 and start from scratch...kiss all this unsustainable insanity goodbye.

The compounding interest commercial banking credit system is 600+ years old...

It's the largest credit bubble in History...

And now they are not even waiting for it to cave in before they are saying that the solution is to do it all over again.

The credit system began locking up in 2006 when the US consumer hit maximum potential...

It's game over...All the infusions to date are to keep banks from collapsing.

The house prices have to keep rising...restructuring the pre existing loans will just slow the collapse of prices...slightly.

In the end it doesn't matter how prudent you think you are...real estate prices will easily collapse down 20% to 10% of current...

So as long as you all have less than 20% equity...You won't really lose.

Just wait until the panic to get out of real estate to save equity from evaporating shows up.

Rates are dictated by volume...or more supply than demand...sellers are forced to lower prices...less supply than demand...sellers are forced to raise prices.

Raise the price or volume and rates/yields fall...lower the price or volume and rates/yields rise.

It's not about risk...It's about yield...current demand is dictating the rates.

Rates are rising in search of yield...because there is none lower...the system is dynamic...

The consumers ultimately dictate rates...

With the consumer tapped out...the revenue stream into banks is drying up...that's what the infusions are for.

Basically the banking system is borrowing from themselves to sustain themselves...Until consumers start partying like it's 2006 again.

Which they are not going to be doing...anytime soon.

It isn't the banks that power the population...it's the population that powers the banks...

US debt? The entire money supply of the USA and every country on earth is composed of credit...or debt...it's 200 trillion equivalent.

It's fixed exchange rates...and none of you are going to be doing any of the fixing I'm extremely sorry to say.

Forget free market capitalism or speculation...fixed is fixed...you will have to have a need to buy something from a market...the days of buying low and selling high will end if the system is fixed.

When clowns are saying a return to fixed or discipline...It's not what you all think.

There will be no way this current system can be fixed until it completely implodes to oblivion and ceases to exist.

How about fix the population at 1 Billion? So that all the other fixes work.

Tell me how anyone is going to turn all the variables into constants to fix them?

You are all variables...That I'm sorry to say will resist being turned into constants.

Fix a variable or dynamic system so that it is static or constant?

Fix every transaction?

Fix everyone so that they have the exact same opinion...So that all poop and flush at the same time.

Come on Hyper that is stupid...

I know but you all think it's not because that's what fixing means...

There is no way to fix freewill...If it's not given a choice it will resist...like it did in 1971.

A "gold standard" doesn't work like you all think. It does nothing to control the issue of credit...by the compounding interest commercial banking credit system.

In 1971 the USA ran out of Gold to sustain trade...What should have happened under the rules of the 1 ounce of GOLD is equal to 35 US Dollars game was the USA to stop comsuming imports...At which point the USA along with the world would have imploded...

The USA and world did not want or need to implode so the USA and world agreed to change the rules to avoid it.

The Gold standard is just a rule...it's not LAW...

It's fiat...Or by decree...


There hasn't been a 1 to 1 ratio in commercial banking ever in its 600 year history.

As soon as a bank lends out deposits there are more liabilities than assets.

Prior to the FEDERAL RESERVE being given the Banknote issuing monopoly in 1913...

Commercial banks issued their own banknotes
...

Free banking is a theory of banking in which commercial banks and market forces control the provision of banking services.

"United States. Between 1837 and 1862, known as the Free Banking Era, only state-chartered banks existed. They could issue bank notes against specie (gold and silver coins) and the states regulated their reserve requirements, interest rates for loans and deposits, the necessary capital ratio. The banking system during this period was notoriously unstable, with many bank failures, and bank notes were discounted depending on the perceived creditworthiness of the issuing bank, that is, there was no single, broadly accepted currency or unit of account[citation needed]. Then, from 1863 to 1913, known as the National Banks Era, state-chartered banks were still operating under a free banking system. Some scholars have found that the system was mostly stable"

There has never been a time in US history when fractional reserve banking was not in operation...and the history in Europe goes back 1000 years.

There is no way to fix the system...sorry.

It's dynamic...not static...

Bretton Woods started out fixed and then became unfixed because it was unfixed to begin with.

Just think positive ignore the negative drones marching to their doom with glee got us into this mess.

Really...But of course that is negative and you will just ignore it.

It's obvious that your idealistic fantasies of how markets work is vastly different from reality. The commercial utilizers and wealthy are taking precedent over the small time gamblers and the poor.

Who gets the lifeboats first?

The hierarchy...Is ruled by rules...It's not an anarchy.

The Markets are selling off to pay the bills that have come due...Unfortunately the only way to pay the cost of the inflation of the markets is with the deflation of them...

Short selling of financial stocks was banned for a bit...But that ended and it still didn't stop puts and calls...

Side bets on Las Vegas street

"Firstly, let us discuss how to use a put option to make a profit in the stock market as well as safeguard your investment. For the technically minded, a put option is the right to sell the stock of a predetermined company in the future at a price determined today. Let us take a hypothetical stock, XYZ as an example in order to explain how to make money using a put option as well as safeguarding your investment. If you own 1000 units of shares of company XYZ, then to safeguard the value of your investment, you will just need to buy a put option. Let us say that stock XYZ is currently selling at $17 a share and you believe that the price will plunge to $15 in three months time, then, we buy a put option that gives you the right to sell at $17. Of course we will need to incur a certain transaction fee which is known as a premium. A premium for buying a put option is usually 20 cents per share. So, in our case we need to pay $200 to buy the put the option. If the price of stock XYZ does drop to $15, we exercise our put option and sell it at $17, thus making a profit of $1800 ($2000 - $200), thus making money while the price of the stock goes down. So what happens if the price of the stock rises instead of falling? Well in that case, we will not exercise the option and sell at the market price and incur a loss of $200. So, the maximum amount of loss that one can incur using a put option is $200(in the case of our hypothetical stock), while the potential gains is limitless."

You don't have to own any shares...In the above a $200 "investment" gives you the right to sell 1000 shares of XYZ company at $17...what if the price drops to $10? $7000-$200 = $6800

Lets say we "invest" or "bet" $20,000 worth of puts like the above or the right to sell 100,000 shares of XYZ company that drop to $10 that's $700,000 -$20,000 or $680,000

But who would buy that amount of shares at $17 if the shares are only worth $10

A call is created to offset the put.

Either you are going to beat the house or you are not.

The general population is oblivious as to what is going on...And the people that do...laugh...

"When plunder becomes a way of life for a group of men living together in society, they create for themselves in the course of time, a legal system that authorizes it and a moral code that glorifies it."--Frederic Bastiat

Globally now.

From 1944 to 2000 the money supply expanded from 355 Billion to 27 Trillion or around 7500%...the Dow went from 138 to 11000 or around 7700%

From 2000 to 2008 the money supply went from 27 Trillion to 51 Trillion or 88%

The DOW went from 11000 in 2000 to 11000 in 2008 or 0%

Tens of 1000's are sucking the markets dry globally...then factor in all the insider trading...







Rates are set by volume...

You need volume to sustain low rates...

Consumers dictate rates...the banks don't set rates...

If the Bank of England had the power to set rates...the bank would have set the rate 314 years ago and been done with it.

The rates are set in the bond markets based on consumer requests for commercial banks to manufacture money...A cycle forms over time...desperate consumers accelerate their requests for commercial banks to manufacture money causing a spike of liquidity to enter the bond markets and bid bonds up...causing yields to drop.

When they become exhausted the liquidity flooding into the bond markets dries up and causes bonds to be bid down with yields rising.

The Central banks just follow along and take credit...sure they have an ability to engineer long term rates for short periods...but the banks have zero ability to set rates.

People power the banks...the banks don't power the people...And if the required volume does not exist...then game over...

Central banks and banks in general have no magic powers.

The money has to be there...It's not...the workers of the world pay the bills of the world and if they can't...it's not going to happen reguardless of the accounting tricks.

The banks are not scared to lend...that's a lie that has become a mass cherished delusion...with a cherished delusion being a lie you tell to yourself and fall in love with...

Truth is the consumer has reached the point that they can no longer request commercial banks to manufacture money.

The sub prime loans were the banks desperately scraping the bottom of the barrel.

Are they breathing? Sign here....must....keep...inflation...alive.


Worked great...Until the number signing on the dotted line was not enough to cover those walking away...Then the bubble within the bubble went poof.

Hyperinflation?

It's too funny...Gold bugs are trying to cash in from the destruction of the USA and are desperate for hyperinflation.

But have zero Idea how it is ignited...They instead depend upon other morons that have no idea as well to do all their thinking...Their greatest ability is manufacturing reasonable lies to gobble up.

So they have something to do every day...a purpose.

That's it...Ultimately they are just total braindead morons on the same march to doom with glee you are all on and cheerleading.

The authorities announce some huge number and they all wet themselves and assume that finally the beginning of the end of the USA has arrived...it's pathetic.

Then hyperinflation doesn't show up and they bawl to the Internet...asking the Internet why?...

And the Internet says...Because you are a moron that depends upon the Internet to do all the thinking for you...that's why.

I'm sick of hearing about hyperinflation...How are wages in the USA going to hyperinflate?

That's what you need...how?

Prior to 1980...manufacturing wages were and feeding the hyperinflation that began...the solution was to engineer rates higher than the market dictated and then in the resulting recession begin exporting manufacturing out.

And back then the household debt to income ratio was 65%...now it's 120%...with maxed out consumers...Basically the only way to ignite a hyperinflation now is by printing money and give it directly to every consumer/worker in the USA.

And keep giving them more and more faster and faster...who is going to work if you can just stand around and do nothing?

Or the authorities feel sorry for all the morons that desperately desire hyperinflation and so finally decide to give the mass of morons what they desire most so at least they can be happy just before they die in a fit of exquisite agony.

The whole hyperinflation meme is mass social engineering...To keep inflation expectations high...

If you all thought deflation was on the way...You would all cut back/start hoarding/stop spending and the whole system would rapidly implode to oblivion...as opposed to the slow rate of managed collapse currently.

The top has been socially engineering you all for years now to become devout followers of the just think positive, ignore the negative, inflation forever religion.

Ben came out in 2002 and basically said...Don't worry children....GOD is not going to harm you...because we have a weapon that can slay GOD...

Everyone basically trampled over each other to buy the biggest lie ever to come out of the FEDERAL RESERVE.

I said it was a total lie...and for all these years I've been constantly slapped around by the devout...Who demand to know why I'm not as devout as them.

You all have nailed yourselves to crosses of Gold and are looking up demanding to know why you have been forsaken.

Zimbabwe? It destroyed its export of food to the rest of the world economy which caused a huge trade imbalance...all the consumers in Zimbabwe bascially were forced to request more and more new money to be created to buy imports of food or starve while the Zimbabwe government has been in constant deficit issuing massive amounts of bonds to borrow or soak up all the Zimbabwe dollars coming home to roost...to sustain the circulation...once consumers become exhausted or if the Government would stop issuing bonds...the circulation along with the imports would stop and the entire system in Zimbabwe would implode....mass starvation would show up.

Gold and Silver backing would do nothing...plenty had gold and silver at the start...they spent it to survive...not knowing how long the problem was going to last...and since there was a trade deficit...gold and silver that went into circulation...circulated out of the country...and didn't come back.

Same thing would have happened in the USA if the trade barriers would not have been put up in the 1930's to reduce the trade deficit to below the mine/money production rate.

If there is a trade deficit greater than the mine production of gold and silver or the production of money...forget gold and silver as money...It will just circulate out and never come back.

If the USA were to switch to gold or silver money...The USA produces enough gold and silver to survive minutes.

It's why the current system is in place...

If the entire workforce saved up $5,000 total and then $1,000/year more at 4% per year.

6.5 Trillion dollars after 20 years or around $35,000 per worker..can't retire on that...

Lets say $20,000 a year per worker is minimum in 50 years..that's just above starvation let's say...

3,080,000,000,000 or 3 Trillion dollars or 75 Trillion dollars in savings at 4% return to supply a just above starvation income 50 years from now.

Of course that does not account for population gain...It's just a crude estimate...and other than the required monetary inflation there can basically be very little inflation in the cost of existence above current levels...

So you need the money supply to massively inflate at the same time that the cost of existence basically is static.

Once you stop accounting for yourself first and instead account for everyone else...

You see why the money supply has to inflate...Because everyone wants to be rich and have someone else support them.

It's impossible...There will always have to be a mass of slaves supporting a small group of masters.

The implosion is just the return to reality from the current fantasy/delusion you all entertain.

The fantasy the top knows is a fantasy since the top are the ones that sold it to the bottom.

Really...Welcome to planet moron...almost everyone on it is a pathetic selfish braindead moron.

US consumers reached maximum potential in 2006 and could no longer request the commercial banks to manufacture the required amount of new money to service the continued existance of the previously manufactured money...causing the exposure of the subprime weakness.

You know how to find out who the morons are?

Yell you are all morons and the ones that stand up to prove that they are not morons...

ARE THE MORONS.

No amount of positive energy malinvested into the powering of the delusion is ever going to allow it to defeat truth.

Eventually the Internet will just be shutdown...Due to a terrorist virus...and when it comes back on...Everything they learned from the testing phase you all were part of up to this point will be implemented.

Remember how they offered the Internet for free to get you all hooked?

The just think positive ignore the negative equation is at the core of the drone reasoning algorithm you all have been programed with.

You all ignore the negative...Until it's impossible to...When it's too late.

The world wide Web of lies was created by DARPA or The Defense Advanced Research Projects Agency.

Information is put out there to see your reactions is all...Just more testing.

You all have been given more than enough time to wake up and you all have chosen to refuse to...

Dying in your sleep is not going to be as wonderful as you think.

Sunday, October 12, 2008

Scramble To Avoid Collapse

Scramble to avoid collapse
By Chris Giles and Alan Beattie in Washington and Ben Hall in Paris
Published: October 12 2008 01:17 Last updated: October 12 2008 18:54


World leaders are scrambling to finalise rescue plans for their banking systems before stock markets open on Monday, amid fears that the global financial system is on the brink of collapse.

In Europe, France and Germany were close to announcing dramatic plans to shore up their banks while in Britain, the government was preparing a radical state recapitalisation of some of the country's biggest banks.

In the US, officials were also working to finalise a plan to recapitalise their banks and other financial institutions.

In the Asia Pacific, Australia and New Zealand announced guarantees for all bank deposits, as did the United Arab Emirates, while elsewhere in the Middle East, Saudi Arabia cut its interest rates.

The extraordinary series of moves, which followed record market falls last week, came amid grave concern over the weekend that investors would start scrambling for cash this week, threatening the implosion of financial institutions across the world.

As world leaders and bankers gathered in Washington for the weekend Group of Seven and global financial body meetings, Dominique Strauss-Kahn, International Monetary Fund managing director said: “Intensifying solvency concerns about a number of the largest US-based and European financial institutions have pushed the global financial system to the brink of systemic meltdown.”

Josef Ackermann, head of Deutsche Bank and chairman of the Institute of International Finance, representing nearly 400 of the world's largest banks, said the next 24 hours was a ”critical moment” for the world financial crisis. ”If we miss this opportunity we will have more deterioration” in markets, he said.

G7 ministers in Washington produced a broad-brush plan on Friday to stop banks failing, unfreeze bank funding, inject capital into banks, reform deposit insurance and unblock markets for securitized assets.

It appeared at first that they would not produce specific measures but as the weekend progressed, a determination to act quickly emerged.

Christine Lagarde, the French finance minister said a hastily arranged Eurozone summit in Paris on Sunday would “put meat, muscles on the bones of that [G7] skeleton and to develop, follow up and execute upon it”.

Officials said the eurozone leaders were discussing a draft document likely to agree to follow the broad outlines of the British bailout plan - the state taking stakes in banks, guaranteeing new bank borrowing and providing extra liquidity - but adapting the tools to national circumstances.

In addition the European Central Bank would create an unsecured lending facility to buy commercial paper from banks, similar to the move by the US Federal Reserve last week, providing, in effect, guaranteed funding for banks.

Alistair Darling, the British chancellor said all government needed “to act now … The threat is blindingly obvious. You can't stabilise economies unless you have a stable banking system”.

The German finance ministry said it would outline its detailed plans on Monday. A spokesman for the Finance ministry said:” ”The aim is for an orderly but quick legislative process aimed at averting risks for our economy”.

Some financial markets in the Middle East were open on Sunday, giving a mixed response to the weekend's developments. In its first trading sine last Tuesday, Israeli shares were down only 3.8 per cent, having opened 8 per cent lower. Stocks tumbled another 5.4 per cent in Dubai, but only 0.8 per cent in Bahrain.

With emerging markets becoming engulfed in the world financial turmoil, the IMF also said on Sunday it was exploring ways to provide emergency loans without the normal delays and long lists of conditions attached to its standard lending programmes.

Copyright The Financial Times Limited 2008