http://senor-information.over-blog.com/ chantaldupille.fr blog very, very interesting, for foreigners (translation required), and for all the world, go on this blog, all that you wanted to know on EI, without asking http://senor-information.over-blog.com
like what, we’re told, really bullshit, that I particularly like, it is the recruitment of Iraqi soldiers, who mostly come from prison, but, read the very informative article
A campaign of an immeasurable void in Israel (B.NETANYAHOU)
Published Tuesday, February 17, 2015
It is not tomorrow the day before that we will have the right to attend a real electoral campaign, with parties featuring programs, major projects, addressing the Israeli people, offering discussions of ideas and society in Israel. Us, Israeli citizens, have the right to invective on false subjects, of leaders stuck for ideas, the excessive ego and who think all have the abilities to lead the country.
0156064505 0603 at 17 h 51, here’s the phone number, who called me 2 times in 1 month space (I know you have nothing to fuck, too, but I broadcasts on a case, or) If a keuf, or one could locate it, it proves well that I tell not that bullshit thanks, of avance.et MEF, it feels , under Ceausescu would not a function code, indicative of PARIS a name indicating the hierarchical position of the user, indicative of authority. Even closed, your mobile phone can be heard… – VIVE LA… read this, you will understand why, it will watch for the phone. ?
Sivens , see friend PS, your project, because a listen to Mr Vlach, MP PS du Tarn, I believe, is said to be the basis of everything, finally project, I think that actually, as, he said so well, « the project that we have been well put together and well done », good, agree, it is him that he says short, the project, which was so well done, and so well put together, would have been built at the same location that you (not you personally, but the dam pro) have designated, and it would not have been halved, as in the report, I realize that
In this story, all the world is losing, pro dam see their BB if, well put together, moved to another location, and shall be reduced by half of fleet, and the zadistes have orders to leave, so they will quickly, I think, because they did not want to have a 2nd REMI FRAISSE, it would be stupid and I don’t honestly feel that they are that said, I understand the frustration of residents, seen as his field representative, a vast junkyard, Cela, does nothing, the problem, instead it aggravates him, that even if it is against, the project, (Nothing prevents the cleanliness of the premises,)
I am from think this adjoining farmer to the plot, or to be built the future dam, who went on TV (on-screen, it seemed to be skinny and well in appearances, but these words evoked earlier resignation, short) told this man, that he should déménagé(EH OUAI, reconnu d’utilité public,le site, soit disant) and Unfortunately, this was not the only one, so moved to the minimum, a farm full, this, as means, , shed for tractor, Tower (fraiseur – tourneur), pasture for cows and other, or put them, sell them, after award, banks, and the loop is buckled.After that, one wonders, why there are so many suicide of farmers (you know, the guy that you see hanging from a beam in the barn)
Time that you will act like this, it is to say, based on the opinion of a single person, or a group of people, things will not arrange.I am convinced that had been one referendum, or other,If had been asked to all the world, the project was taken in its entirety, and the other farmers, would have certainly found a parcel of land to troubleshoot a for them, because unfortunately and fortunately, this, can happen to all the world
I realize, that there are too many thing we do not want, shows us why?
When an audit of the ECB
When an audit of the FED
Some MEPs had pressures, why private U.S. banks are against an audit, if really all is clear, why a blue fear audits, otherwise, I think that tax practices will be removed to some, playing with the money of others
« Why is there an illegitimate debt in Europe and in… – ESU 2014 . PDFs to download
The debt illegal is it induced
« illegitimate « interest on a portion of its debt. … In Greece also,……
The FN requested an audit of the reserves and the repatriation of the gold from…
The FN calls an audit of the reserves and the repatriation of gold from the Bank of France
TRACK: Germany, Central Bank, Bank of England, Bank of France, ECB, Canada, Gold, De Gaulle, debt, Dollar, USA, France, Good Delivery, Gold, London, l’Or De La France, Nicolas Sarkozy, Netherlands, Gold Reserves, Switzerland, gold sales, gold sales
Topic: gold, silver and currency
Three days before the referendum in Switzerland to constrain the Bank Central Switzerland to hold its 20% of its reserves in gold and store its reserves on the territory of Switzerland[i][i], a few days after the announcement by the Central Bank of the Netherlands that it had repatriated 122 tons of gold in New York and at the point where the pressure is highest in Germany so the Central Bank repatriates its gold reserves stored outside Germany[ii] the national gold debate has just been introduced in the french political landscape.
Ms. Marine Le Pen, President of the National Front, sent Monday morning a letter to the Bank of France to demand an audit of the France gold reserves and repatriation to France’s stocks of gold owned by the Bank of France which would be stored abroad. She asks this audit, according to the terms of this letter (excerpt):
« – a complete inventory of the quantities of physical gold posted currently at 2435 tonnes as well as their quality (serial number, purity, ‘Good Delivery’ bars…), directed by an independent french body (to be defined). This inventory under control of bailiff shall indicate the country in which the gold reserves are stored, in France or abroad.
-A census of all financial agreement official or secret to banks and private companies, or bilateral loan between the France and national or international institutions having pledged the France gold to ensure the rescue of the euro. In this case, the comprehensive audit shall contain the conditions of contracts of engagement or loans. »
Mrs Le Pen also mentions gold sales decided in 2004 by the France as follows (excerpt):
« Whereas in fact, the already independent bank of France, conducted under the CBGA 2 agreement, gold sales decided in 2004 by Nicolas Sarkozy, then Minister of economy and Finance of the Raffarin Government.
The official goal was more actively manage the exchange reserves of the State to generate 100 million euros in additional tax revenues by 2005. N. Sarkozy also stated that the gold sales would be used « to finance investments that prepare the future, either to reduce the debt, but in no case to finance operating expenses. ».
Over the period 2004-2012, about 614,6 tons of gold allegedly sold by the France while at the same time the other central banks of the Eurosystem the ECB committed themselves to limit their gold sales.
When the Court of Auditors is pin
◦Court of Auditors,
Impeccable, the Court of Auditors? Not really, said Bruno Botella, editor-in-Chief of the monthly public actors. In the book and whether it was investigating the Court of Auditors? (Editions of the Moment), to be issued Thursday, the journalist reveals the derivatives of this institution so quick to slap on the wrist from the Government, elected officials or authorities.
> > read also, interview with Bruno Botella: ‘It is time to reform the Court of Auditors’
It houses a lot of reclassified…
If number of judges of the Court of Auditors incorporate this institution at the end of their studies at ENA, others discover on the later, thanks to the « exterior round. Clearly, the president of the Republic may decide to send that he wants to settle at Palais Cambon. The Court proves so « a comfortable refuge policies eager to turn the page or pushed out by voters », wrote Botella. Among these ‘magistrates’ appointed by presidential votes, found Henri Guaino , or Jean de Gaulle, grandson of the General. The latter had agreed not to stand in the legislative elections of 2007 subject to obtaining this appointment. The UMP wanted to let the place to Arno Klarsfeld, who will be finally beaten by the left in the 12th arrondissement.
… And a few stashed
As Pierre Moscovici, which ‘crawls an appalling reputation’ to the Court. It integrates it in 1984 out of ENA, but spends much more time to campaign for the PS to look into public accounts. Which does not prevent it to be quickly « promoted counsel. He left then the rue Cambon to multiply functions – cabinet room, MEP, etc – until 2002 where, beaten in the legislative elections, it has choice to return to the Court, where he was again promoted, this time conseiller Maître… Among the famous Palais Cambon hideout, there are also Jacques Chirac, who officially left the Court at age 61 while he has worked only a few months in all its life, or François Holland, which is always advise legal Secretary at the Court ‘ detachment ‘… « Allowing it to continue to benefit from rights to the advancement and retirement », says Botella.
It is not spared by the conflict of interest…
June 30, 2011, Bernadette Malgorn, shock ex-prefete named to the Court by Sarkozy in 2009, is required to rule on a report of the Palais Cambon on security conducted between 2002 and 2010. That is, at the time when Sarkozy was Minister of the Interior… The text is rather critical and Malgorn disputed several points in the report. In 2011 still, Jean Picq, magistrate of the rue Cambon and Professor at Sciences Po, warns Richard Descoings, late Director of the school, an imminent control of the Court of accounts… « 26% of judges are not in the service of the Court but occupy other functions in the administration and within companies. This situation can create conflicts of interest, especially at the time of the return of these judges, »considered an audit carried out in 2012.
The accuracy of Didier Migaud, first president of the Court of Auditors: « Regarding the »conflict of interest »alleged, it should be noted that the mobility of senior officials has an interest: acquired operational experience nourishes the collegiality and enriches the analysis of the Court. » These trips are so useful, because they avoid the syndrome of the « ivory tower ». The Court is also organized to prevent any potential conflict of interests: College procedures and its ethical rules, which require appropriate to refrain from participating in the deliberations, are applied with rigour. They were for the case mentioned. With regard to Sciences Po, is on the occasion of a management control raised by the Court of Auditors that failure and significant gaps have been found, then made public by the end of 2012 Court ».
… Or buried files
The story had been much ink. In 1978, the Court investigates the outbreak of the Elf-Aquitaine research expenses, then public group, and updates the scandal of ‘ had sniffers, these devices meant to detect oil slicks « , recalls Botella. But « at the request of the giscardien power’, the folder does not come out. In 1983, the Canard enchaîné revealed the scam and the Court is dragged in the mud. Its former president Bernard Beck is « shown the finger for destroying the reports in its possession before leaving the rue Cambon, in 1982 ».
Didier Migaud accuracy: Unlike « that says this article, the book describes in fact no »drift ». If beyond the introduction, which actually contains this word, we note that there is no State of no derivative of the institution subsequently. The story reported, already known, date of… 1983! In any case, the book concludes thus: « the Court of Auditors has an essential role to play and (…) « has a size advantage (…): the credibility ». I cannot better and so I invite everyone to read it… to the end! »
To investigate in-depth the Netanyahu House?
The Attorney general shall convene a summit meeting to examine allegations of financial misconduct
The Attorney general Yehuda Weinstein (Credit: Miriam Alster/Flash90)
The Attorney general Yehuda Weinstein convened for Thursday a meeting with senior officials of the public prosecutor to examine allegations of financial malfeasance involving Prime Minister Benjamin Netanyahu and his wife Sara, published last week State Comptroller’s report and the testimony of an ex-intendant who worked with the couple at the residence of the Prime Minister.
The expenditure report published by the State Comptroller’s Yosef Shapira detailing spending lavishly of Netanyahu and his wife at their official in Jerusalem as well as residence in their home in Caesarea and was considering possible criminal wrongdoing on the part of the spouses.
According to Haaretz, the Parquet should recommend that Weinstein widen the investigation into the allegations and summoned officials of the official residence for questioning.
The police said that the wife of Netanyahu may also be called for questioning.
The Attorney general could recommend a police investigation into the allegations.
The timing of such a decision is important politically because the general elections will be held
Netanyahu invited to Congress… Without the agreement of Obama !
Posted the: January 21, 2015
The President of the House of representatives, John Boehner, invited Prime Minister Benjamin Netanyahu Wednesday to participate in a joint session of Congress, February 11 on the threat posed by the Iran and Islam.
« In these times of challenge, I ask the Prime Minister to talk to the Congress of the serious threats that represent radical islam and Iran face our security and our way of life, » Boehner said in a statement.
Boehner said in this statement that Mr. Netanyahu « is a great friend of our country, and this invitation carries our unwavering commitment to the security and the well-being of its people. In these times of challenge, I ask the Prime Minister to talk to the Congress on these threats. The Americans and the Israelis have always been together to defend the ideals shared – and we must still be together. »
An Israeli official said Netanyahu, whose relationship with the president Barack Obama has often been tense, is studying the possibility to meet Obama when he came.
The White House, says his side have not yet exchanged with Netanyahu on this possible visit. « Generally, when a foreign leader wants to apply to the Congress, there are consultations upstream with the White House and the State Department. »
For Boehner, « Congress can take this decision on its own initiative… ». »
A strike prevents France 3 Alsace to broadcast his live journal why; you
To remove, one for now, not content to be wheat, on our backs, they want you to be less so that it can win more , it’s not SARKO, which disai t, worked to gain more, she is really too good!
For more than a month, the broadcast of the evening of France 3 Alsace is disrupted by video technicians strike. The movement is amplified preventing live streaming, 19 h log is saved in the afternoon.
The conflict focuses on the reorganization by the management of the resources allocated to the Alsace morning show: a Director position has been removed, a cost-saving measure already in force in the other regional centres of France 3.
Thursday, a party of journalists, editors, sound technicians, archivists, graphic and personal administrative took the pen to denounce in an open letter the degradation of working conditions and the lack of dialogue between strikers and management:
« At France 3 Alsace we are registered news. It no longer exists from 15 hours. Our credibility either. But in what channel inflicts on this viewers, with the ethics that entails? Now viewers or even angry require explanations. Those who are on the ground living, every day. But how to respond specifically to their grievances without knowing we same? They do absolutely nothing. Nor we. »
These employees of France 3 Alsace, some 60 people including a majority of journalists, demanding « a national mediation » for this folder progress and the dissemination of the evening newspaper to online resume.
The economic collapse is inevitable, here’s why…Greek debt, and that of the France, it’s the cat pee compare to that of states.
America is approaching quickly catastrophic economic collapse. Before dismiss you this as hype or paranoia, take a few minutes to examine the facts described on this page. The numbers don’t lie.
At this point, the dollar crash is inevitable… far from exaggeration, it is a mathematical certainty. Also pushing as it may seem, it is in your own interest to learn how the situation is.
According to the talking heads of mainstream press , the economy is slowly recovering and is the crisis financial, but behind us, but we have to check a reality.
It is time to stop being naive and start to be more discerning. Instead of more than false hopes, we must also bitter truth as it sounds… and the truth is, our local municipalities, our States of our federal Government, we are knocked down… the truth is that we cannot the repayment of our debt without going into debt even more… the truth is the 2008 housing crash was just a glimpse of what is to come.
America is drowning in debt. Now, the Government’s liabilities are growing at an exponential rate. Our public debt is a vicious circle.
To our detriment, that our Government continues to claim that we can borrow our way out of debt and only a handful of our politicians are willing to admit that our nation is now in bankruptcy.
Against rhetoric coming out of Washington, no tax increase or the budget cut us out of this mess. The kind of measures that would really make significant changes to curb the financial collapse are considered to be too severe to be even considered.
Examine the evidence described below, connect the dots and think for yourself.
« All truth passes through three stages.
First, it is ridiculed.
Second, it is violently opposed.
Thirdly, it is accepted as self. »
The « national debt » even mean?
We’ll cover the basics first… When the Government cannot cover its expenses using revenues collected from companies and the taxes and other costs that it imposes, it goes into debt. The American government debt is the sum of all outstanding debt owed by the federal Government. It includes the Government of borrowed money, plus interest, it must pay this debt.
We will also clarify the difference between the debt and the deficit. The deficit is the deficit, we have each year. If you take $100 billion and $130 billion, you get a $30 billion deficit. Now at the end of this year, you gotta do something with this $30 billion that you must, if you move your deficit in the long term – which is the national debt.
Of course, like any other debt, national debt has repaid to the holders. Of course, having a small debt is fine as long as it is manageable. However, if a country borrows too much it can drown in its debt, as did the Greece.
So what is our situation? Numbers do not lie, so let’s compare our debt and deficit in 1974 just to have an idea of our path and pace (later we will study graphic national debt covering 1940-2011).
In 1974 (lost profits annual) deficit is $4 billion, and total debt was $484 billion. It had taken us 200 years since the beginning of the Republic until 1974 to create this debt of $484 billion.
However, since 1974, our deficit is $4 billion to a shocking $1.33 trillion… stop and think about this for a second… This means that our budgetary shortfall in annual current is about triple the size of the total debt of the United States in 1974. Our national debt in 1974 was $484 billion… approaching one without previous $16 trillion!
How is this possible? How can you pass by the world war, World War II, Korea war, Vietnam war – were only $484 billion of debt and then skyrocket to 16 trillion in so little time? The answer to this question is related to a key event in 1971 that we will go in a moment… for now, we’ll stick with the national debt, in order to understand why it is thus more durable.
In a letter addressed to Thomas Jefferson, 1787
« All the perplexities, confusion and distress in America arises, not from defects in the Constitution or Confederation, no lack of honor or virtue, so much from ignorance pure and simple of the nature of coin, credit and traffic. »
: John Adams, founding father
16 trillion dollars, so what?
$ 16 trillion, is certainly a lot of money, but most people do usually treat as zeros in their lives. It is difficult to really appreciate this almost unfathomable sum and the disastrous consequences it represents for us. But to understand how deep of a hole is the Government is in, we must grasp the enormity of this dollar amount.
So what is 1 trillion? Here are some useful illustrations.
Imagine that you have decided to count up to 1 million aloud. How much time do you think it would take you at a pace of one number per second? If you do not stop, it would take about 12 days. Now, how much time would it take you to count to 1 trillion?… The answer?… 32 000 YEARS!
Here is another illustration.
If you were alive when Christ was born, and you’ve spent $ 1 million every day from this point, you still did would have not spent $ 1 trillion now.
The last… If you had 1.00000000001 trillion of invoices and you saved their all from beginning to end. Your Silver Ribbon will become as long you would be actually able to wrap them around the planet Earth more than 380 times!… But, this sum of money would be not yet enough to repay the national debt US.
Are you still the image?
On the right is an illustration of our federal debt that could help you have a better idea visually. You can click on this image to see a larger size.
Keep in mind that you’re watching are pallets of $100 bills, stacked one on the other. To give you an idea of the size and the height of these palettes, in the centre stands the Statue of liberty, at the right scale compared with silver towers. Money that surround and eclipsing the Stature of freedom, taken together constitutes 16,394 trillion. This is our current debt that we have programmed to hit in September of 2012’s ceiling.
It is interesting to note that when we reached this ceiling this year of the debt, our Government will be once more climb to the ceiling to allow the debt to grow. Now ask yourself: what is the point of a good furniture ceiling? A mobile ceiling is an oxymoron. If you can move your debt limit on application, why pretend that you have a limit of debt in the first place?
« I see in the near future a crisis approaching that demobilized me and makes me tremble for the safety of my country. » « Companies have been inducted, will follow an era of corruption and the power of money of the country endeavour to prolong its reign by working on the prejudices of the people until the wealth is aggregated in a few hands and destroyed the Republic ».
-Abraham Lincoln, 16th President of the United States of America
Statistics, that the Government would rather you didn’t know
Now that you have a bit of an idea of what size 1 trillion is, consider the table to the right (U.S. debt from 1940 to 2011 in trillions of dollars) and look at the breathtaking statistics below:
The U.S. Government spent more than 454 billion dollars only on interest on the national debt in fiscal 2011.
•In 2011, the Government borrowed $41 000 every second.
•Currently, the burden of the Government grows by $10 million per each minute that passes
•Just during the Obama administration, the U.S. Government has accumulated more debt as it did between the time where George Washington took office at a time that Bill Clinton took office.
•Currently the US monetary base is sitting somewhere about $ 2.7 trillion. So if you went out and picked up paper money it would only make a small dent in our national debt. But subsequently, no there is no money for anyone to use.
•The U.S. Government is responsible for more than one third of all public debt on the entire planet.
•Mandatory federal spending has exceeded the total of all federal revenues for the first time in fiscal 2011. That was not supposed to happen until 50 years from now.
•If the American Government has been forced to use GAAP accounting principles (as all listed companies must), the budget deficit of the United States Government would be somewhere in the neighborhood of $4 trillion to $5 trillion each year.
•The American government debt is now more than 5 000 times greater than it was when the federal reserve was created in 1913.
If all goes well at this point, you begin to understand how our debt is great and how fast it grows. Surprisingly, major commitments of our Government even does not appear here, so this is just the visible part of the iceberg.
Another 54 trillion excluded the national debt figures
The short video on the left was broadcast by CNN in 2007 which featured the head of Government accountant David Walker.
According to David Walker, who served as United States comptroller general in the Government Accountability Office from 1998 to 2008, the burden of the US Government is close to $ 70 trillion.
This is because the 16 trillion national debt does not take account of obligations such as social security, Medicare, an employee of public pension plans and other liabilities which the Government is already committed to.
These commitments are ticking time bombs, primed to explode with each new wave of retirement of baby boomers. In addition to this, medical costs continue to increase in all areas of expenditure of health insurance through the roof of the conduct.
Don’t forget that at the time, that this video was aired our national debt was ‘only’ about 9 trillion $ and it is now close to 16 trillion. The catastrophic economic problems provided by the Chief Accountant of our Government play themselves this time.
What’s most discouraging is that David Walker was forced to accept that reprimand in Washington of unsustainable debt was a wasted effort. His warnings of the imminent financial collapse fell on the deaf ears because both administrations has simply ignored it. In desperation, Mr Walker left his job as head of the federal Government to travel around the country to find ways to deliver its message directly to the public.
Father of the Constitution and the Bill of Rights, James Madison is quoted saying:
« Records of the story that the money changers have used all forms of abuse, intrigue, deceit, and violent means possible maintain their control over Governments by controlling money and its issuance. »
-James Madison, 4th president of the United States of America and founding father
How are we so much debt?
To see all events that lead us to this mess would take an article separate, but here is a quick summary.
In 1913 Congress passed the « law of the federal reserve, » renounce the power to create and control of the money the federal reserve Corporation, a private company owned and controlled by bankers. Over time, more and more legislation was adopted to expand the functions of the federal reserve. The Fed (abbreviation of the federal reserve) has been given to two extremely critical powers: the ability to buy U.S. Treasury securities and manipulate interest rates. Manipulation of interest rates and quantitative acceleration (pumping money into the economy) of the Fed, are the two driving forces behind the cycles of expansion and slowdown and economic bubbles.
The Fed was supposed to be the guardian of the American currency, in fact, that it turned out to be a debt and bubble machine, ran for the benefit of greedy bankers.
Our founding fathers understood the danger of putting the power to control the currency of a nation in the hands of a few individuals in the form of a monopolistic Central Bank and were fiercely opposed to such a system.
In 1944, as World War II drew closer in the end, the representatives of 44 allied nations gathered at Brenton Woods, New Hampshire, where the dollar (backed by gold at $ 35 per ounce) has been accepted as a global reserve currency.
America got the benefits without precedent as the transmitter of the dollar. However, the gold standard limited federal reserve printing money if it had no gold for backup new currency. Even though this guaranteed the stability of the dollar and a strong economy, these restrictions would not be tolerated by the Fed for a long time.
In 1971, under President Nixon, US away a convertible currency system to gold for a paper debt fiat monetary system that has allowed the federal reserve to print $ out of the air.
This has opened the door to move without restriction and borrowing. Once us away a ‘gold standard’ to a ‘debt-money system’ it was only a matter of time before transformed America the biggest creditor of the larger world debtor of the world.
If you look at the table of the national debt by scrolling to the top, you can see a direct parallel between the explosion of debt and Americans to transition to a 1971 fiat currency. Once the Fed could create dollars from nothing, it took a few years for the debt to get an exponential climb rate.
Now on the ability of the surface, Federal Reserve to print money without restriction could his great since you can simply create the new currency on demand… but it carries with it two very serious consequences. Consequences we pay for now.
The first consequence is inflation. Whenever the Fed publishes new dollars, it increases the money supply, which in turn decreases the value of the rest of the money already in circulation. Basically, this means that the more money are printed, the less they are worth. When inflation rises, so do the price and the cost of living. Inflation also encourages spending and debt and discourages the formation of savings and investment. Long term monetary inflation destroys the richness of the bourgeoisie and the economy wrecks. In addition, the dollar has lost 95% of its value since the federal reserve in 1913.
The second consequence is that we (the people) go into debt whenever new money is created. When the Government needs extra money, beyond what it collects in taxes, it emits good U.S. of the treasure, which is paid ious guaranteed by the Government. These obligations are exchanged with the federal reserve for currency. This process is called « monetization of debt », so system « currency debt ». The federal reserve collects interest and taxpayers collect debt. Bankers thrive and people forced into slavery.
Addition to debase the dollar and forcing America into debt, the Fed manipulates the interest rate of the substitution of market self-regulation. These manipulations create bubbles, causing catastrophic consequences for the economy and the average American.
President Andrew Jackson refused to renew the (grant of monopoly) Charter of the Second Bank of the United States. In 1836, Jackson told the bankers trying to persuade him to renew their Charter (so that they could continue their harmful monopoly):
« You are a den of vipers. I’ll put you in rout and by the Eternal God, I will put you in diverted. If people understood the injustice rank of our money and banking system, there would be a revolution before morning. »
-Andrew Jackson, seventh president of the United States of America
How the U.S. Government will finance 70 trillion in liabilities?
If you’ve been paying attention so far, you should be able to guess correctly… by borrowing. The U.S. Government plans to finance 70 trillion in bonds by selling securities of Treasury (interest bearing debt recognition) America putting into even more debt.
Given that our public debt explodes and our annual deficit continues to grow each year, we are forced to admit evidence: our Government is unable to pay its debt without taking more debt.
It is by definition, a chain of Ponzi schemes. To keep the Ponzi scheme going you must have a rate constant and growing investor. If the flow stops or slows down again, everything starts to crumble. That is why the Government must permanently increase the ceiling of the official debt.
All chains of Ponzi, eventually collapse, and our debt-currency system has the same fatal flaw by design.
The video left aired on CNBC, May 24, 2012:
Peter Schiff, CEO of Euro Pacific Capital, who not only famous predicted the housing bubble of 2008, but also predicted specific banks that would go as, as well as the Government’s response the exact to the 2008 crisis, makes the following statements about the US Treasury bills (abbreviation of titles of US Treasury… once again they are interest bearing certificate of indebtedness of the Government must sell to pay obligations):
« There is no safety in U.S. Treasury bills. When interest rates rise, we default on Treasury bills. We cannot pay a rate of interest of the market and even less to retire the principal. Most of the treasures, which are purchased have a very short deadline. We have 5 or 6 billion coming due next year, we are unable to pay this back. We rely on our loan creditors to return us the money to repay debt. It is a chain of Ponzi schemes.
It is the same situation as I said the Greece was in. They had no problem to sell their bonds when rates are low. But people figured out minute that the Greeks could not repay the debt, they no longer wanted to buy. The same thing will happen. You have a false perception of the safety of the Treasury Board on the market. It is not safe at all. It is a trap. And it is defined by the central banks, the Fed is the biggest buyer, they buy like 90% of long-term Treasury bills… »
How long we keep borrowing?
Some economists like to imagine that we can just grow our debt continuously, because we have the ability to print dollars off the air. These « experts » claim that the Treasury bills market is stronger than ever and we can just keep borrowing ever. What are the same ‘experts’ who insisted that real estate prices will continue to grow perpetually, right up to the crash of 2008. They do argue, just raise the debt ceiling and continue to grow more and more debt.
But even if we can increase our debt ceiling every time, there’s always a limit of natural debt that we cannot cross. The idea that our Government can continue to grow our debt without end is absurd.
Firstly, it is based on a stupid assumption that wants to lend us money that they know that we can not refund the rest of the world. Secondly, it ignores a mathematical consequence: exponential growth due to interest only.
We were able to get away with so many things to this borrowing because the dollar is the global reserve currency, but the privilege has its limits. It is also a privilege that we will lose because we have been shamelessly abused it.
The federal reserve held the artificially low interest, to help the Government to maintain the loan. Of course, this is no favor on part of the Fed, because the end result is the enslavement of the debt. Because no matter what the Government needs is inherited by the people, it is the people who get screwed in the end. If the interest was allowed to return to the market rates, it would be useful to prevent the Government from borrowing beyond its means.
However, at that point our lenders are aware that our debt has long passed to a bearable level. If you have already applied for a loan, you must be familiar with this universal rule: when the borrower is too indebted, the loan becomes high risk and if the lender requires a greater interest to the worthy of the risk reward. With every day which passes, U.S. plunges into a deep pit of debt, which makes loans in the USA (by buying Treasury securities) a more risky investment.
To make things worse, the Fed is devaluing the dollar at a rate increasing bailouts issuing, plans of stimulus, quantitative easing, etc…, and our lenders are the realization of this too. This means that to our creditors are ready to us now, dollars are worth less when they retrieve them.
For these two reasons, the titles of the Treasury (Government, recognition of debt) are now at high risk and low-yield investments. What was once considered the safest investment is now a Ponzi scheme at the time of the collapse.
Who will bail out America when it is short of lenders?
Our pool of willing lenders began to shrink as our creditors are waking up to the fact that the Treasury bills is now a high risk and low-yield investment. To compensate for this, the Fed is obliged to buy long-term Treasury to artificially stimulate demand, to keep to the top of the smoke screen. Of course this only inflated bubble of binding US still more.
When the pool of loans lenders dries, the regime reaches its end and the last bubble will explode. Without the lenders, the US Government has only two terrible choices: default on debt or hyper-gonfler the dollar.
Option 1 is by default on all of the debt, essentially declaring bankruptcy to renegotiate all of its obligations. This would create a financial shock as the dollar collapses and loses its status as reserve currency. This would lead to a strong increase in the cost of almost everything, more dollars would be needed to pay for imports, where a catastrophic economic impact for all Americans. The Government is forced to cut spending dramatically. A wide range of government payments will have to be stopped, including military wages, social security and Medicare payments, unemployment benefits, tax refunds, etc. Companies would be crushed by a U.S. consumer who would have no more power purchase. In addition, credit would dry up virtually from one day to the next, that would force a countless number of companies to close their doors. Unemployment in the country to dope at the obscene levels. Interest rates would rise significantly forcing millions of families with adjustable mortgages to go into foreclosures.
Option two is to have the Federal Reserve create trillion on trillions of dollars out of the air. This creates an illusion that the debt is repaid, but in reality dollars issued to pay the debt would become more more useless, turning rapid inflation in hyperinflation. In fact, this would create a worst-case scenario then the first option much as hyperinflation will be even more economically destructive for the average American. Prices would soar to unimaginable levels, unemployment is expected to soar. The average American would be forced to work overtime just to put food on the table, it is if he or she has the chance to still have a job.
It is worth noting that it is highly unlikely that the U.S. will choose by default (option 1). Even if hyperinflation is by far the most destructive to the American people in the long term, the Government will probably try to print its path.
Anyway the economy will collapse. On the economic front, the first option would feel like a heart attack and the second option as a terminal cancer.
The effect of each scenario would be unprecedented. It would not be the end of the world, but you can expect social unrest, demonstrations, riots, arson, etc. Provide disturbances on all levels. Basic utility failures and degradation of the infrastructure. Violent crime rampant, especially in metropolitan areas. Optionally followed by a period long and very painful readjustment of the standard of living for most Americans.
What happens if cut us spending, raise taxes and balance the budget?
It’s amazing that even now, you the same hear old slogans thrown around politicians on all new major shows, like « economic recovery », « budget cuts » and « responsible spending. But someone out there who insists on the fact that this crisis can be fixed under our current system is lying.
The spending cuts and tax increases which speaks of Congress are absolutely meaningless compared to how quickly our debt is exploding.
Calling the cuts and taxes ‘pocket change’ would be an insult to pocket change.
No plan of rescue, recovery plan or manipulation by the federal reserve will avoid massive financial pain that is coming our way.
Can our Government do to fix the financial crisis and prevent the crash of the dollar? What should be done?
Should be the kind of measures that our Government considers too extreme to discuss yet and so there is no chance of their approval. For starters, should abolish the Federal Reserve, return to the gold standard, close military bases overseas, completely reforming the tax code, restructuring programs of payment, etc.
Unfortunately, proposing such changes, it is the best way to lose your political financing, become the laughingstock of Washington and be ignored or ridiculed by the mainstream media. Talk to Ron Paul.
Our Congress knows very well that the fighting against the system commits suicide policy. And therefore no significant changes that would help to mitigate the impact of the accident coming is approved.
According to the Oval Office and the Congress is concerned, postponing the crash by issuing rescue plans and recovery is a politically more favourable approach, even if this ensures an even greater disaster at the end.
The bottom line is this: we are on a path to an inevitable dollar crash. Those who run our monetary system and hold the keys of our economy are in fact part of the problem instead of the solution. Those in power that can make the necessary changes desperately, dare not.
Rather than risk their careers, they will continue to distribute shamelessly our hard earned money among their friends to Wall Street. The hand full of our honest politicians who are actually brave enough to defend people are cleared by the system.
At this point, we are on a run away train without brakes, so you prepare yourself better. The good news is, there is still time to prepare you for what happens before. Most people will be completely prepared when it all comes crashing down.
Are not part of this group.
How should I prepare for the next crisis?
If you are broke or rich, that you live in an apartment or a House, no matter what your current situation, there are specific things you can do to prepare for the crash of the dollar which impede.
The next section, we publish will focus on action plan step by step you can take to minimize the impact of the financial crisis on you and your family. It will include practical actions, but critical, that you should take to protect your loved one from the chaos that ensued, as well as financial advice to save some savings, you might have.
To be notified when we publish the article on « How to prepare for the next crisis » Please subscribe to our list of notification on the right. We hate spam as well as you do, then we don’t sell or share your email or never send spam, your info is kept absolutely private and secure.
Finally, please share it with your family and friends and co-workers. To warn those that you care by sending them the link to this page. We must awaken our people from their entertainment induced comas.
We are one