CRUMMY CLOWARD-PIVEN STRATEGY UP AND RUNNING!

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SPEND, OVERLOAD, DESTROY!

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EVERY ANGLE THEY CAN THEY ARE DESTROYING AMERICA…

John Gaultier

Food Stamps, Unending Welfare, and now Disability.

( Yes there are legitimate reasons a person must go on disability… but look at the graph..it is impossible that all of a sudden.. Americans all ate the same food.. or crashed in the same car … or worked at the same Factory and had the same accident…. or WHAT ??? This is not statistically possible except and unless it was a planned scam! )
ITS AN OBAMA CABAL SCAM TO OVERLOAD THE SYSTEM AND GET A WHOLE BUNCH OF VOTERS WHO WILL VOTE FOR HIM AS LONG AS HE ASSURES THEM NEVER ENDING BOGUS DISABILITY.. HE HAS ALREADY DONE IT FOR WELFARE.. AND FOR FOOD STAMPS)>>>>Fraud And Disability Equal A Multibillion Dollar Black Hole For Taxpayers<<<<<<<<
A parasite has insidiously invaded the body of America. It has fed and grown large on nutrients from government handouts and now is enervating its host, our capitalist system.Since our president entered the White House in January 2009 through September of this year 5.9 million people have been added to the SSDI or Social Security Disability program. That compares with less than 2.5 million jobs created during the same period. According to Social Security Administration data, currently including spouses and children, SSDI rolls have swollen to a bloated 10.9 million. A record one in fourteen workers is now on the SSDI dole. It’s like checking in a hotel and never leaving. Of the 653,877 souls that departed the program in 2011, 36% departed by being gracious enough to die, while 52% reached retirement age and seamlessly switched to other benefits. Only 6% returned to work and 3.6% exited the program due to medical improvement. According to Congressional Research Services this program cost taxpayers $128.9 billion in 2011 and was in deficit to the tune of $25.3 billion. Funded by the 1.8% payroll tax and comprising nearly 18% of all social security spending, at current pace the trust fund may be exhausted by as early as 2015.
FHA Will Cost Taxpayers $150 Billion Richard Finger Richard Finger Contributor
Facebook: What’s It Really Worth Richard Finger Richard Finger Contributor
The Patent Millionaires: Striking It Rich With High Stakes Litigation Richard Finger Richard Finger Contributor
Buffett On Taxes: Self-Interest And Cheap Virtue Richard Finger Richard Finger ContributorI pulled up http://www.ssa.gov/ (then click disability) to look for myself at the so called “Listing of Impairments” and if length is an indicator for program efficacy, then SSDI would be one of the world’s greatest government safety net plans. There is a kaleidoscope of ailments from which to choose. Under Section 12, “Mental Disorders” section of the Disability Evaluation there is, statistically, a qualifying syndrome for all of us, not just in America, but in the entire universe. This one category alone printed out to twelve full pages.Certainly each of us carries familiarity with subsection 12.04, “Affective Disorders”. It would be tiresome to redact the entire section but some examples are in order. Ever had “decreased energy”, “feelings of guilt or worthlessness”, “difficulty concentrating”, “sleep disturbance”, “anhedonia” (I had to look it up), or psychomotor agitation (I didn’t bother to look it up). If you answered yes to any one of these infirmities and it results in “difficulties maintaining social functioning”, or “marked difficulties maintaining concentration”, or “repeated episodes of decompensation” (I don’t know and don’t care), then bingo you are eligible for disability. If you don’t qualify on my above snippet, don’t despair, there are literally dozens of other possible maladies of the mind listed and most of us, if we want, can fall neatly into one or more of the mental illness baskets.Somehow, if you are classified to be of sound mental composition, perhaps an examination of your Musculoskeletal System (in Section 1) might strike gold. Basically this section is all things “back” related. From my own experience and talking to doctors, virtually every person in their thirties and older will show “bulging” disks or some other form of spinal degeneration. It is quite difficult to medically argue against back pain. Fortunately for claimants, fibromyalgia has recently been added to our list of eligible diseases under SSDI. Often if your head hurts or you have muscle aches of indeterminate origins and doctors can’t specifically diagnose any name disease, they may call it fibromyalgia. Thank goodness SSDI can fill this void, since because of its non-specificity of symptoms, health insurance companies often turn down these highly subjective claims.

The Numbers Prove The Point

The numbers substantiate a shift to these hard to (dis)prove afflictions. Over the past three decade’s awards for mental illness climbed from 16% of total claims to one third by 2010. During the same period “back pain” increased its market share from 13 to 28%. It is a system begging for abuse. A study by the NBER (National Bureau of Economic Research) found that for workers with low paying jobs, SSDI including Medicare replaced, on average, 90% of working income. (SSDI recipients get free Medicare after two years of receiving benefits.) In times of tepid job growth, like now for instance, wages are often stagnant, so if there is a choice between working at minimum wage versus doing nothing and earning almost equal amounts, sloth trumps exertion much more often than not. What are other explanations why at this juncture of a theoretically improving economy is our nation weighed down by such a bloated system? Well secondly, the qualification standards have been severely watered down. As evidenced by above statistics “back pain” is questioned much less today. It is not difficult to claim otherwise when a person says they are depressed. Also, more attention is paid to the applicants claims of pain and special trust is placed in the report made by the applicants own physician. Third, once invited into the club, why leave. In 1983, 163 per 1,000 people terminated benefits. Jump ahead to 2011 and that number has collapsed to only 74 per 1,000. In a crummy job market the incentive is to stay put and live off the fat of the government. A fourth reason is that the labor participation rate, at 63.7%, is at its lowest levels in generations. This translates that of the millions who have thrown in the towel looking for employment, many have elected to enter the SSDI lottery. This leads us to the huge issue of fraud.

The Role Of Fraud

“We know there are individuals who will purposely withhold or fabricate information to collect government benefits they are not entitled to receive”. Those are the words of the Office of the Inspector General from their hearing on “combating disability waste, fraud, and abuse”. The Senate conducted their own investigation which concluded that fully one quarter of all disability insurance claims decisions were flawed, improperly addressing “insufficient, contradictory, and incomplete evidence, thus increasing the chances of rewarding nondisabled persons.” The study also determined the Social Security Administration (SSA) failed to establish that claimants were properly screened to certify that they satisfied metrics in the Social Security Administration’s (SSA) medical “Listing of Impairments” to meet eligibility requirements that would qualify them for the DI program. The Inspector General’s office identified billions in fraud. The Senate study implies many billions more in abuses. Much of the ongoing program cheating comes from those who continue to collect disability payments but are stealthily employed on the side. Not surprisingly, some of the SSDI wounds are self-inflicted. The SSA loses hundreds of millions continuing to pay those who were honest and notified that they were returning to work. The agency is supposed to conduct CDR’s or Continuing Disability Reviews to check in and determine the status of the disabled. I know it surprises everyone that there is a huge backlog and SSA is severely understaffed in this area. Probably the biggest area of abuse is those who gingerly slip through the vetting net and shouldn’t be getting disability payments in the first place. The contrived complexity of the SSDI system has spawned a cottage industry of doctors and specialized legal teams to navigate the byzantine multi-tiered documentation process. While the integrity of most lawyers and doctors is beyond reproach there are a few bad apples that make their living gaming the system. Remember what your mother preached, “if at first you don’t succeed, try, try again”. This small nugget of wisdom pays off especially when applying for SSDI. Often applicants may be turned down on the first or second attempt to receive benefits. Many times it is only through a court hearing that cases get resolved. Per a study by D. Autor and M. Duggan as many as 40% of all disability awards comes through the appeals process. Some judges gain the reputation of never seeing a claim they didn’t like………never refusing anyone. They also found in one recent year the SSA paid out as much as half a billion dollars to claimants attorneys. It seems to me it is always in the best interest of the lawyer to take a case to trial; it’s a win for him/her no matter what the verdict.

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Broken System

As of August past the disability award (not including Medicare) was about $1,111 per month. So the incentive to do some menial dead end job loses appeal when the new job might or might not have health benefits…….certainly not as grand as Medicare.

The SSDI program is a microcosm of what ills the job market in America. When our president took office 40% of the population received some sort of government assistance. That number now stands at over 55%. There is an alphabet soup of welfare programs that create disincentive to seek gainful employment. Zerohedge.com published an excellent chart demonstrating when you add in all the free government goodies that a single mother with one child with gross income of $29,000 receives, that she effectively ends up with $57,327 in net income and benefits. She is better off than the mom with gross income of $69,000 who after taxes has a net income and benefits of $57,045. Some of the giveaways include SNAP Supplemental Nutrition Assistance Program formerly known as Food Stamps. If boredom sets in, look up CHIP or TANF. There is also Medicaid and the Housing Choice Voucher Program.
Have a look for yourself. http://www.zerohedge.com/news/2012-11-27/when-work-punished-tragedy-americas-welfare-state Zerohedge.com

published another chart on 11/22/12 demonstrating that a single parent family of three earning minimum wage ($14,500) per year has more disposable income than the family making $60,000 per year. The Wall Street Journal last week published some of the exchanges between Speaker Boehner and the President where the President kept repeating that he did not think the country had a spending problem. My translation is that he has no intentions of reducing any of the runaway programs that insidiously degrade our economic structure. The new tax increases on the “rich” are projected to bring $600 billion in revenues to the Treasury Department over the next decade. Deficits are projected to be $6.8 Trillion or elven times as much.

While there is certainly intransigence on both sides of the aisle, the President as chief of state needs to rise above and be a leader. If not addressed in a meaningful way, our profligacy will one day in the not too distant future destroy our country. The Federal Reserve’s rigged artificially low interest rates are the only firewall standing between us and bankruptcy. Imagine if short term rates were 5% and the 10 year treasury was sitting at 7%. Imagine servicing our $16 trillion debt at these rates. The time to act is now …

REVOLUTION OR SECEDE… THIS IS GOING TO END BADLY!!!

Normally I write a beginning and an end to the pieces I repost here but the above article says it all!

If this country does not wake up and quickly, there will be no going back because there will be nothing to go back to!

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On a related note – these statistics are appalling!

THE NEW WELFARE MAP

going down photo

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Make sure you read to the bottom…

Quite an eye opener…

These 11 States now have More People on Welfare than they do Employed!
Last month, the Senate Budget Committee reports that in fiscal year 2012, between food stamps, housing support, child care, Medicaid and other benefits, the average U.S. Household below the poverty line received $168.00 a day in government support. What’s the problem with that much support? Well, the median household income in America is just over $50,000,which averages out to $137.13 a day. To put it another way, being on welfare now pays the equivalent of $30.00 an hour for a 40-hour week, while the average job pays $20.00 an hour.
Furthermore:
There are actually two messages here. The first is very
interesting, but the second is absolutely astounding – and explains a lot.

A recent “Investor’s Business Daily” article provided very
interesting statistics from a survey by the United Nations International
Health Organization.

Percentage of men and women who survived a cancer five years
after diagnosis:

U.S. 65%

England 46%

Canada 42%

Percentage of patients diagnosed with diabetes who received
treatment within six months:

U.S. 93%

England 15%

Canada 43%

Percentage of seniors needing hip replacement who received it
within six months:

U.S. 90%

England 15%

Canada 43%

Percentage referred to a medical specialist who see one within
one month:

U.S. 77%

England 40%

Canada 43%

Number of MRI scanners (a prime diagnostic tool) per million
people:

U.S. 71

England 14

Canada 18

Percentage of seniors (65+), with low income, who say they are
in “excellent health”:

U.S. 12%

England 2%

Canada 6%

And now for the last statistic:

National Health Insurance?

U.S. NO

England YES

Canada YES

Check this last set of statistics!!

The percentage of each past president’s cabinet who had worked in the private business sector prior to their appointment to the cabinet.
You know what the private business sector is; a real-life business, not a government job. Here are the percentages.
T. Roosevelt……………….. 38%

Taft………………………….. 40%

Wilson ……………………… 52%

Harding……………………… 49%

Coolidge……………………. 48%

Hoover………………………. 42%

F. Roosevelt………………… 50%

Truman……………………… 50%

Eisenhower……………. …. 57%

Kennedy……………………. 30%

Johnson…………………….. 47%

Nixon………………………… 53%

Ford………………………….. 42%

Carter……………………….. 32%

Reagan………………………. 56%

GH Bush…………………….. 51%

Clinton …………………….. 39%

GW Bush…………………… 55%

Obama……………………….. 8%

This helps to explain the incompetence of this administration:
only 8% of them have ever worked in private business!

That’s right! Only eight percent—the least, by far, of the
last 19 presidents! And these people are trying to tell our big
corporations how to run their business?

How can the president of a major nation and society, the one
with the most successful economic system in world history, stand and talk
about business when he’s never worked for one? Or about jobs when he has
never really had one? And when it’s the same for 92% of his senior staff
and closest advisers? They’ve spent most of their time in academia,
government and/or non-profit jobs or as “community organizers.”
They should have been in an employment line.

“The problem with socialism is that you eventually run out of other people’s money.”

― Margaret Thatcher

198468

No nation can survive once it becomes inverted and has more people on welfare than are working, 

and we are at the tipping point – if not already past it!

This doesn’t help either, that more than 90% of the jobs being created are either government or part time work, and that is not going to change, but will continue to get worse, unless the Affordable Health Care Act (Obummercare) gets defunded, defeated and dissolved!!!

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“Molon Labe!”

CRUMMY $ COLLAPSE COMING!

TAKE HEED AND PREPARE!

THE FISCAL TRAIN IS APPROACHING THE CLIFF!

obama-debt-train

http://www.wnd.com/2013/07/the-dollar-collapse-not-whether-but-when/#d8QvylIpuMOphfiv.99

THE DOLLAR COLLAPSE: NOT WHETHER, BUT WHEN

Exclusive: Lord Monckton explains what’ll happen when the crunch finally comes

Published: 7-30-2013

cmonckton_avatar  LORD MONCKTON

Christopher Monckton of Brenchley, high priest of climate skepticism, advised Prime Minister Margaret Thatcher, wrote leaders for the Yorkshire Post, was editor of the Catholic paper The Universe, managing editor of the Telegraph Sunday Magazine, assistant editor of Today, and consulting editor of the Evening Standard. He invented the million-selling “Eternity Puzzles,” “Sudoku X” and a promising treatment for infections. See the Science & Public Policy Institute.

monckton_logob

I make no apology for repeating my warning that, thanks to the dismal Obama administration, Uncle Sam is bankrupt. Serious financial commentators are now predicting riots in the streets and even, perhaps, outright economic collapse.

The U.S. dollar, the world’s reserve currency for almost half a century, is its reserve currency no more. Each dollar bill the administration prints is just as much a forgery as that bogus Hawaiian birth certificate.

Every two months, the administration prints or borrows more money than the combined annual profits of the 100 biggest publicly traded companies in America.

Every second, the U.S. government spends $64,000 it doesn’t have. The $64,000 Question is not whether but when the collapse will come. The crash of 2008 was a walk in the park. This is the big one. And the frankly communist outlook of the current administration means it is temperamentally disinclined to take any of the steps that are now essential to save America.

Trouble is, the GOP have little or nothing to say about this. For 10 successive suspicious weeks, U.S. federal debt has remained at just under $17 trillion, just under the debt ceiling set by your elected representatives in Congress.

Yeah, right. Dream on. The Treasury is fiddling the books. Fraudulently. According to my calculations, federal debt has risen not by zero but by $400 billion in those 70 days.

Here is just one of the ways the Treasury can get away with making $400 billion vanish. Under an act intended to allow officials to mint commemorative coins (not exactly a legitimate function of the Treasury), the Secretary Jack Lew can issue platinum coins of any denomination he wants.

To keep the debt apparently below the congressional limit even though it is rising at $40 billion a week, all he has to do is mint a half-ounce coin with a face value of $2 trillion and deposit it with the Fed.

Bingo! Not just 70 days’ squandering but a whole year’s socialist profligacy fully “paid for,” just like that. And Congress none the wiser.

I don’t know whether this is how Lew is cooking the books. I don’t know how he’s cooking them. But I do know that he’s cooking them. You don’t need to have a Ph.D. in macroeconomics to work that one out.

I am angry – and I’m not even a U.S. citizen. Every red-blooded American should be furious when in-your-face corruption as outrageous as this prevails at the highest level in the institution whose job is to account for your money honestly.

Today the U.S. has more government debt than any country in the history of the world. More debt than every country in the European Union – combined.

To minimize the interest on all that debt, the Fed has lowered its benchmark interest rate 10 times since August 2007, from 5.25 percent to somewhere between 0 and 0.25 percent. But it can’t go on doing that, because worldwide no one believes in the dollar. So interest rates are going to have to go up.

Porter Stansberry, an investment expert based in Baltimore, explains what will happen then: “What if the average real interest rate ends up being just 4 percent and we pay it off over 30 years, like a mortgage? We’ll spend $34.3 trillion just to repay what we owe right now. If the rate ends up being 6 percent, we’ll spend $43.1 trillion.”

The crunch will come when Uncle Sam’s creditors either completely stop accepting dollars in repayment or greatly discount the value of these new dollars.

The New York Post puts it this way: “The U.S. dollar is getting perilously close to losing its status as the world’s reserve currency. Should it cross the line, the 2008 financial crisis could look like a summer storm.” The Financial Times and the Wall Street Journal have said the same.

Sam Zell, America’s 60th richest man, says this: “My single biggest financial concern is the loss of the dollar as the reserve currency. I can’t imagine anything more disastrous to our country. I’m hoping against hope that it ain’t gonna happen, but you’re already seeing things in the markets that are suggesting that confidence in the dollar is waning. I think you could see a 25 percent reduction in the standard of living in this country if the U.S. dollar was no longer the world’s reserve currency. That’s how valuable it is.”

The Chinese, via the official Xinhua news agency, have said: “International supervision over the issue of U.S. dollars should be introduced and a new, stable and secured global reserve currency may also be an option to avert catastrophe caused by any single country.”

James Rickards, the author of “Currency Wars,” says this: “If the currency collapses, everything else goes with it: Stocks, bonds, commodities, derivatives and other investments are all priced in a nation’s currency. If you destroy the currency, you destroy all markets – and the nation.”

You heard it here first.

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Read more at http://www.wnd.com/2013/07/the-dollar-collapse-not-whether-but-when/#AjPjVyPfte1RuJYK.99

We The People Need To Stop The Train –

Before It TOTALLY Wrecks Our Country And Our Lives!

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THESE ARE THE CRUMBS THAT RUINED US FINANCIALLY!

Two of the Best Explanations of the Federal Reserve System

(which is neither Federal nor reserved)

THAT I HAVE EVER READ!!!

The Federal Reserve is how the elites will be able to rule us and make us part of their new world order! The schematic below explains how all the political and financial machinations  work and have worked for the past 100 years!

They will continue to work until we the people say enough!

hegalian-dialectic

The article, which is from the book, “The Beginning of The End”, was published in 2010, so the debt figures are grossly out if date, but you should know by now, that we are almost $17 TRILLION DOLLARS in debt and if the 2009 figures made the debt unpayable, you may as well forget about ever paying off the debt that exists now! Read these two explanations to understand what the yokes are that bind us down and the only way we will ever be able to become debt free is to close down the Federal Reserve, tear up our debt to them, which they caused, and give the money making power back to Congress, the way it was set up in the Constitution!

It Is Now Mathematically Impossible To Pay Off The U.S. National Debt

 By Michael Snyder, on February 4th, 2010

 http://theeconomiccollapseblog.com/archives/it-is-now-mathematically-impossible-to-pay-off-the-u-s-national-debt

A lot of people are very upset about the rapidly increasing U.S. national debt these days and they are  demanding a solution. What they don’t realize is that there simply is not a solution under the current U.S. financial system. It is now mathematically impossible for the U.S. government to pay off the U.S. national debt. You see, the truth is that the U.S. government now owes more dollars than actually exist. If the U.S. government went out today and took every single penny from every single American bank, business and taxpayer, they still would not be able to pay off the national debt. And if they did that, obviously American society would stop functioning because nobody would have any money to buy or sell anything.

And the U.S. government would still be massively in debt.

So why doesn’t the U.S. government just fire up the printing presses and print a bunch of money to pay off the debt?

Well, for one very simple reason.

That is not the way our system works.

You see, for more dollars to enter the system, the U.S. government has to go into more debt.

The U.S. government does not issue U.S. currency – the Federal Reserve does.

The Federal Reserve is a private bank owned and operated for profit by a very powerful group of elite international bankers.

If you will pull a dollar bill out and take a look at it, you will notice that it says “Federal Reserve Note” at the top.

It belongs to the Federal Reserve.

The U.S. government cannot simply go out and create new money whenever it wants under our current system.

Instead, it must get it from the Federal Reserve.

So, when the U.S. government needs to borrow more money (which happens a lot these days) it goes over to the Federal Reserve and asks them for some more green pieces of paper called Federal Reserve Notes.

The Federal Reserve swaps these green pieces of paper for pink pieces of paper called U.S. Treasury bonds. The Federal Reserve either sells these U.S. Treasury bonds or they keep the bonds for themselves (which happens a lot these days).

So that is how the U.S. government gets more green pieces of paper called “U.S. dollars” to put into circulation. But by doing so, they get themselves into even more debt which they will owe even more interest on.

So every time the U.S. government does this, the national debt gets even bigger and the interest on that debt gets even bigger.

Are you starting to get the picture?

As you read this, the U.S. national debt is approximately 12 trillion dollars, although it is going up so rapidly that it is really hard to pin down an exact figure.

So how much money actually exists in the United States today?

Well, there are several ways to measure this.

The “M0” money supply is the total of all physical bills and currency, plus the money on hand in bank vaults and all of the deposits those banks have at reserve banks.  As of mid-2009, the Federal Reserve said that this amount was about 908 billion dollars.

The “M1” money supply includes all of the currency in the “M0” money supply, along with all of the money held in checking accounts and other checkable accounts at banks, as well as all money contained in travelers’ checks.  According to the Federal Reserve, this totaled approximately 1.7 trillion dollars in December 2009, but not all of this money actually “exists” as we will see in a moment.

The “M2” money supply includes everything in the “M1” money supply plus most other savings accounts, money market accounts, retail money market mutual funds, and small denomination time deposits (certificates of deposit of under $100,000).  According to the Federal Reserve, this totaled approximately 8.5 trillion dollars in December 2009, but once again, not all of this money actually “exists” as we will see in a moment.

The “M3” money supply includes everything in the “M2” money supply plus all other CDs (large time deposits and institutional money market mutual fund balances), deposits of eurodollars and repurchase agreements.  The Federal Reserve does not keep track of M3 anymore, but according to ShadowStats.com it is currently somewhere in the neighborhood of 14 trillion dollars.  But again, not all of this “money” actually “exists” either.

So why doesn’t it exist?

It is because our financial system is based on something called fractional reserve banking.

When you go over to your local bank and deposit $100, they do not keep your $100 in the bank.  Instead, they keep only a small fraction of your money there at the bank and they lend out the rest to someone else.  Then, if that person deposits the money that was just borrowed at the same bank, that bank can loan out most of that money once again.  In this way, the amount of “money” quickly gets multiplied.  But in reality, only $100 actually exists.  The system works because we do not all run down to the bank and demand all of our money at the same time.

According to the New York Federal Reserve Bank, fractional reserve banking can be explained this way….

If the reserve requirement is 10%, for example, a bank that receives a $100 deposit may lend out $90 of that deposit. If the borrower then writes a check to someone who deposits the $90, the bank receiving that deposit can lend out $81. As the process continues, the banking system can expand the initial deposit of $100 into a maximum of $1,000 of money($100+$90+81+$72.90+…=$1,000).”

So much of the “money” out there today is basically made up out of thin air.

In fact, most banks have no reserve requirements at all on savings deposits, CDs and certain kinds of money market accounts.  Primarily, reserve requirements apply only to “transactions deposits” – essentially checking accounts.

The truth is that banks are freer today to dramatically “multiply” the amounts deposited with them than ever before.  But all of this “multiplied” money is only on paper – it doesn’t actually exist.

The point is that the broadest measures of the money supply (M2 and M3) vastly overstate how much “real money” actually exists in the system.

So if the U.S. government went out today and demanded every single dollar from all banks, businesses and individuals in the United States it would not be able to collect 14 trillion dollars (M3) or even 8.5 trillion dollars (M2) because those amounts are based on fractional reserve banking.

So the bottom line is this….

#1) If all money owned by all American banks, businesses and individuals was gathered up today and sent to the U.S. government, there would not be enough to pay off the U.S. national debt.

#2) The only way to create more money is to go into even more debt which makes the problem even worse.

You see, this is what the whole Federal Reserve System was designed to do.  It was designed to slowly drain the massive wealth of the American people and transfer it to the elite international bankers.

It is a game that is designed so that the U.S. government cannot win.  As soon as they create more money by borrowing it, the U.S. government owes more than what was created because of interest.

If you owe more money than ever was created you can never pay it back.

That means perpetual debt for as long as the system exists.

It is a system designed to force the U.S. government into ever-increasing amounts of debt because there is no escape.

We could solve this problem by shutting down the Federal Reserve and restoring the power to issue U.S. currency to the U.S. Congress (which is what the U.S. Constitution calls for).  But the politicians in Washington D.C. are not about to do that.

So unless you are willing to fundamentally change the current system, you might as well quit complaining about the U.S. national debt because it is now mathematically impossible to pay it off.

***UPDATE***

It has been suggested that the same dollar can be used to pay off debt over and over – this is theoretically true as long as the dollar remains in the system.

For example, if the U.S. government gives China a dollar to pay off a debt, there is a good chance that the U.S. government will be able to acquire that dollar again and use it to pay off another debt.

However, this is not true when debt is retired with the Federal Reserve.  In that case, money is actually removed from the system.  In fact, because of the “money multiplier”, when debt is retired with the Federal Reserve it can remove ten times that amount of money (and actually more, but let’s not get too technical) from the system.

You see, fractional reserve banking works both ways.  When $100 is introduced into the system, it can theoretically create $1000 as the example in the article above demonstrates.  However, when that $100 is removed, it can have the opposite impact.

And considering the fact that the Federal Reserve “purchased” the vast majority of new U.S. government debt last year, we have got a real mess on our hands.

Even if a way could be figured out how to pay off all the debt we owe to foreign nations (such as China, Japan, etc.) it would still be mathematically impossible to pay off the debt that we owe to the Federal Reserve which is exploding so fast that it is hard to even keep track of.

Of course we could repudiate that debt and shut down the Federal Reserve, but very few in Washington D.C. have any interest in doing that.

It has also been suggested that instead of just using dollars to pay off the U.S. national debt, we could use the assets of the U.S. government to pay it off.

That is rather extreme, but let us consider that for a moment.

That total value of all physical assets in the United States, both publicly and privately owned, is somewhere in the neighborhood of 45 to 50 trillion dollars.  Of course the idea of the U.S. government “owning” every single asset of the American people is repugnant to our entire way of life, but let’s assume that for a moment.

According to the 2008 Financial Report of the United States Government, which is an official United States government report, the total liabilities of the United States government, including future social security and medicare payments that the U.S. government is already committed to pay out, now exceed 65 TRILLION dollars.  This amount is more than the entire GDP of the whole world.

In fact, there are other authors who have written that the actual figure for the future liabilities of the U.S. government should be much higher, but let’s be conservative and go with 65 trillion for now.

So, if the U.S. government took control of all physical assets in the United States and sold them off, it could not even make enough money to pay for everything that the U.S. government is already on the hook for.

Ouch.

If you have not read the 2008 Financial Report of the United States Government, you really should.  Actually the 2009 report should be available very soon if it isn’t already.  If anyone knows if it is available, please let us know.

The truth is that the U.S. government is in much bigger financial trouble than we have been led to believe.

For example, according to the report (which remember is an official U.S. government report) the real U.S. budget deficit for 2008 was not 455 billion dollars.  It was actually 5.1 trillion dollars.

So why the difference?

The CBO’s 455 billion figure is based on cash accounting, while the 5.1 trillion figure in the 2008 Financial Report of the United States Government is based on GAAP accounting. GAAP accounting is what is used by all the major firms on Wall Street and it is regarded as a much more accurate reflection of financial reality.

So needless to say, the United States is in a financial mess of unprecedented magnitude.

So what should we do?  Does anyone have any suggestions?

***UPDATE 2***

We have received a lot of great comments on this article.  Trying to understand the U.S. financial system (even after studying it for years) can be very difficult at times.  In fact, it can almost seem like playing 3 dimensional chess.

Several readers have correctly pointed out that when the U.S. money supply is expanded by the Federal Reserve, the interest that is to be paid on that new debt is not created.

So where does the money to pay that interest come from?  Well, eventually the money supply has to be expanded some more.  But that creates even more debt.

That brings us to the next point.

Several readers have insisted that the Federal Reserve is not privately owned and that since it returns “most” of the profits it makes to the U.S. government that we should not be concerned about the debt owed to it.

The truth is that what you have with the Federal Reserve is layers of ownership.  The following was originally posted on the Federal Reserve’s website….

“The twelve regional Federal Reserve Banks, which were established by Congress as the operating arms of the nation’s central banking system, are organized much like private corporations – possibly leading to some confusion about “ownership.” For example, the Reserve Banks issue shares of stock to member banks. However, owning Reserve Bank stock is quite different from owning stock in a private company. The Reserve Banks are not operated for profit, and ownership of a certain amount of stock is, by law, a condition of membership in the System. The stock may not be sold, traded, or pledged as security for a loan; dividends are, by law, 6 percent per year.”

So Federal Reserve “stock” is owned by member banks.  So who owns the member banks?  Well, when you sift through additional layers of ownership, you will ultimately find that people like the Rothschilds, the Rockefellers and the Queen of England have very large ownership interests in the big banks.  But there are so many layers of ownership that they are able to disguise themselves well.

You see, these people are not stupid.  They did not become the richest people in the world by being morons.  It was the banking elite of the world who designed the Federal Reserve and it is the banking elite of the world who benefit the most from the Federal Reserve today.  In the article above when we described the Federal Reserve as “a private bank owned and operated for profit by a very powerful group of elite international bankers” we may have been oversimplifying things a bit, but it is the essence of what is going on.

In an excellent article that she did on the Federal Reserve, Ellen Brown described a number of the ways that the Federal Reserve makes money for those who own it….

The interest on bonds acquired with its newly-issued Federal Reserve Notes pays the Fed’s operating expenses plus a guaranteed 6% return to its banker shareholders. A mere 6% a year may not be considered a profit in the world of Wall Street high finance, but most businesses that manage to cover all their expenses and give their shareholders a guaranteed 6% return are considered “for profit” corporations.

In addition to this guaranteed 6%, the banks will now be getting interest from the taxpayers on their “reserves.” The basic reserve requirement set by the Federal Reserve is 10%. The website of the Federal Reserve Bank of New York explains that as money is redeposited and relent throughout the banking system, this 10% held in “reserve” can be fanned into ten times that sum in loans; that is, $10,000 in reserves becomes $100,000 in loans. Federal Reserve Statistical Release H.8 puts the total “loans and leases in bank credit” as of September 24, 2008 at $7,049 billion. Ten percent of that is $700 billion. That means we the taxpayers will be paying interest to the banks on at least $700 billion annually – this so that the banks can retain the reserves to accumulate interest on ten times that sum in loans.

The banks earn these returns from the taxpayers for the privilege of having the banks’ interests protected by an all-powerful independent private central bank, even when those interests may be opposed to the taxpayers’ — for example, when the banks use their special status as private money creators to fund speculative derivative schemes that threaten to collapse the U.S. economy. Among other special benefits, banks and other financial institutions (but not other corporations) can borrow at the low Fed funds rate of about 2%. They can then turn around and put this money into 30-year Treasury bonds at 4.5%, earning an immediate 2.5% from the taxpayers, just by virtue of their position as favored banks. A long list of banks (but not other corporations) is also now protected from the short selling that can crash the price of other stocks.

The reality is that there are a lot of ways that the Federal Reserve is a money-making tool.  Yes, they do return “some” of their profits to the U.S. government each year.  But the Federal Reserve is NOT a government agency and it DOES make profits.

So just how much money is made over there?  The truth is that we have to rely on what the Federal Reserve tells us, because they have never been subjected to a comprehensive audit by the U.S. government.

Ever.

Right now there is legislation going through Congress that would change that, and the Federal Reserve is fighting it tooth and nail.  They are warning that such an audit could cause a financial disaster.

What are they so afraid of?

Are they afraid that we might get to peek inside and see what they have been up to all these years?

If you are a history buff, then you probably know that debates about a “central bank” go all the way back to the Founding Fathers.

The European banking elite have always been determined to control our currency, and that is exactly what is happening today.

Ever since the Federal Reserve was created, there have been members of the U.S. Congress that have been trying to warn the American people about the insidious nature of this institution.

Just check out what the Honorable Louis McFadden, Chairman of the House Banking and Currency Committee had to say all the way back in the 1930s….

“Some people think that the Federal Reserve Banks are United States Government institutions. They are private monopolies which prey upon the people of these United States for the benefit of themselves and their foreign customers; foreign and domestic speculators and swindlers; and rich and predatory money lenders.”

The Federal Reserve is not the solution and it never has been.

The Federal Reserve is the problem.

Any thoughts?

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books & tape

The time is near when we will have to take a stand or

forever more live as slaves to financial & political tyranny! 

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CRUMMY FEDERAL RESERVE NEEDS TO GO!

FINANCIALS!

I have been saying this for many years and in many places in this blog! If we the people do not rid ourselves of the fed, we will never be financially solvent or free! The Fed was one of the biggest scams ever perpetrated on the American people. It was planned and set up through a conspiratorial meeting on Jekyll Island in 1912 & pushed through Congress, when most members had already left for home on December 23, 1913 – almost 100 years ago! The book that explains the start of the Federal Reserve is “The Creature From Jekyll Island” and it is a book that you should read, to understand the fraud that was pushed down our throats! I normally do not promote items but this is such an important work that I am listing all the information for it. It is available on Amazon & other places on line!

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“Book Description

Publication Date: May 1998
Where does money come from? Where does it go? Who makes it? The money magicians’ secrets are unveiled. We get a close look at their mirrors and smoke machines, their pulleys, cogs, and wheels that create the grand illusion called money. A dry and boring subject? Just wait!

You’ll be hooked in five minutes. Reads like a detective story – which it really is. But it’s all true. This book is about the most blatant scam of all history. It’s all here: the cause of wars, boom-bust cycles, inflation, depression, prosperity.

Creature from Jekyll Island is a “must read.” Your world view will definitely change. You’ll never trust a politician again – or a banker.”

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http://www.infowars.com/11-reasons-why-the-federal-reserve-should-be-abolished/

11 Reasons Why The Federal Reserve Should Be Abolished

Michael Snyder

Economic Collapse
May 7, 2013

If the American people truly understood how the Federal Reserve system works and what it has done to us, they would be screaming for it to be abolished immediately. It is a system that was designed by international bankers for the benefit of international bankers, and it is systematically impoverishing the American people. The Federal Reserve system is the primary reason why our currency has declined in value by well over 95 percent and our national debt has gotten more than 5000 times larger over the past 100 years. The Fed creates our “booms” and our “busts”, and they have done an absolutely miserable job of managing our economy. But why do we need a bunch of unelected private bankers to manage our economy and print our money for us in the first place?

Wouldn’t our economy function much more efficiently if we allowed the free market to set interest rates? And according to Article I, Section 8 of the U.S. Constitution, the U.S. Congress is the one that is supposed to have the authority to “coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures”. So why is the Federal Reserve doing it? Sadly, this is the way it works all over the globe today. In fact, all 187 nationsthat belong to the IMF have a central bank. But the truth is that there are much better alternatives. We just need to get people educated.

The following are 11 reasons why the Federal Reserve should be abolished…

#1 The Greatest Period Of Economic Growth In The History Of The United States Happened When There Was No Central Bank

Did you know that the greatest period of economic growth in U.S. history was between the Civil War and 1913? And guess what? That was a period when there was no central bank in the United States at all. The following is from Wikipedia

The Gilded Age saw the greatest period of economic growth in American history. After the short-lived panic of 1873, the economy recovered with the advent of hard money policies and industrialization. From 1869 to 1879, the US economy grew at a rate of 6.8% for real GDP and 4.5% for real GDP per capita, despite the panic of 1873. The economy repeated this period of growth in the 1880s, in which the wealth of the nation grew at an annual rate of 3.8%, while the GDP was also doubled.

So if our greatest period of economic prosperity was during a time when there was no Federal Reserve, then why shouldn’t we try such a system again?

#2 The Federal Reserve Is Systematically Destroying The Value Of The U.S. Dollar

The United States never had a persistent, ongoing problem with inflation until the Federal Reserve was created in 1913.

If you do not believe this, just check out the inflation chart in this article.

The Federal Reserve systematically penalizes those that try to save their money. Inflation is a tax, and the value of each one of our dollars goes down a little bit more every single day.

But over time, it really adds up. In fact, the value of the U.S. dollar has fallen by 83 percent since 1970.

Anyone that goes to the grocery store on a regular basis knows how painful inflation can be. The following is a list that shows how prices for many of the things that we buy on a regular basis absolutely skyrocketed between 2002 and 2012

Eggs: 73%

Coffee: 90%

Peanut Butter: 40%

Milk: 26%

A Loaf Of White Bread: 39%

Spaghetti And Macaroni: 44%

Orange Juice: 46%

Red Delicious Apples: 43%

Beer: 25%

Wine: 60%

Electricity: 42%

Margarine: 143%

Tomatoes: 22%

Turkey: 56%

Ground Beef: 61%

Chocolate Chip Cookies: 39%

Gasoline: 158%

Even the price of water has absolutely soared in recent years. According to USA Today, water bills have actually tripled over the past 12 years in some areas of the country.

So how can the Federal Reserve get away with claiming that we are in a “low inflation” environment?

Well, what Ben Bernanke never tells you is that the way that the government calculates inflation has changed more than 20 times since 1978.

The truth is that the real rate of inflation is somewhere between five and ten percent right now, but you will never hear about this on the mainstream news.

#3 The Federal Reserve Is A Perpetual Debt Machine

The Federal Reserve system was designed to be a trap. The intent of the bankers was to trap the U.S. government in an endless debt spiral from which it could never possibly escape.

But most Americans don’t understand this. In fact, most Americans don’t even understand where money comes from.

If you don’t believe this, just go out on the street and ask regular people where money comes from. The responses will be something like this…

“Duh – I don’t know. I’ve got to get home to watch American Idol.”

This is why it is so important to get people educated. I think that most Americans would be horrified to learn that the creation of more money in our system also involves the creation of more debt.

The following is a summary of money creation that comes from one of my previous articles

When the U.S. government decides that it wants to spend another billion dollars that it does not have, it does not print up a billion dollars.

Rather, the U.S. government creates a bunch of U.S. Treasury bonds (debt) and takes them over to the Federal Reserve.

The Federal Reserve creates a billion dollars out of thin air and exchanges them for the U.S. Treasury bonds.

So what does the Federal Reserve do with those Treasury bonds? I went on to explain what happens…

The U.S. Treasury bonds that the Federal Reserve receives in exchange for the money it has created out of nothing are auctioned off through the Federal Reserve system.

But wait.

There is a problem.

Because the U.S. government must pay interest on the Treasury bonds, the amount of debt that has been created by this transaction is greater than the amount of money that has been created.

So where will the U.S. government get the money to pay that debt?

Well, the theory is that we can get money to circulate through the economy really, really fast and tax it at a high enough rate that the government will be able to collect enough taxes to pay the debt.

But that never actually happens, does it?

And the creators of the Federal Reserve understood this as well. They understood that the U.S. government would not have enough money to both run the government and service the national debt. They knew that the U.S. government would have to keep borrowing even more money in an attempt to keep up with the game.

Men like Thomas Edison and Henry Ford could not understand why we would adopt such a foolish system. For example, Thomas Edison was once quoted in the New York Times as saying the following…

That is to say, under the old way any time we wish to add to the national wealth we are compelled to add to the national debt.

Now, that is what Henry Ford wants to prevent. He thinks it is stupid, and so do I, that for the loan of $30,000,000 of their own money the people of the United States should be compelled to pay $66,000,000 — that is what it amounts to, with interest. People who will not turn a shovelful of dirt nor contribute a pound of material will collect more money from the United States than will the people who supply the material and do the work. That is the terrible thing about interest. In all our great bond issues the interest is always greater than the principal. All of the great public works cost more than twice the actual cost, on that account. Under the present system of doing business we simply add 120 to 150 per cent, to the stated cost.

But here is the point: If our nation can issue a dollar bond, it can issue a dollar bill. The element that makes the bond good makes the bill good.

Unfortunately, today most Americans don’t even understand how the system works. They just assume that we have the best system in the entire world.

Sadly, the reality is that the system is working just as the international bankers that designed it had hoped. The United States has the largest national debt in the history of the world, and we are stealing more than 100 million dollars from our children and our grandchildren every single hour of every single day in a desperate attempt to keep the debt spiral going.

#4 The Federal Reserve Is A Centrally-Planned Financial System That Is The Antithesis Of What A Free Market System Should Be

Why do we need someone to centrally-plan our financial system?

Isn’t that the kind of thing they do in communist China?

Why do we need someone to tell us what interest rates are going to be?

Why do we need someone to determine what “the target rate of inflation” should be?

If we actually had a free market system, the free market would be the one “managing” our economy.

But instead, we have become so accustomed to central planning that any alternatives seem to be absolutely unthinkable.

For example, CNBC cannot possibly imagine a world where the Fed (or some similar institution) was not running things…

But suppose the law were taken off the books? The Fed’s job—in simple terms—is to manage the nation’s money supply and achieve the sometimes-conflicting tasks of full employment, stable prices while fighting inflation or deflation.

How would the U.S. economy then function? Something has to take its place, right?

Global markets would also need some sort of economic direction from the U.S. The Fed manages the dollar — and as the world’s leading currency, a void left by a Fed-less America could throw those markets into chaos with uncertainty about who’s managing U.S. interest rates and the American economy.

I’ve got an idea – let’s let the free market “manage” U.S. interest rates and the American economy.

I know, it’s a crazy idea, but I have a sneaking suspicion that it just might work beautifully.

#5 The Federal Reserve Creates Bubbles And Busts

Do you remember the Dotcom bubble?

Or what about the housing bubble?

By dramatically distorting interest rates and financial behavior, the Federal Reserve creates economic bubbles and the corresponding economic busts.

And guess what?

Now it is happening again.

When will the American people decide that they have had enough?

If you can believe it, there have been 10 different economic recessions since 1950. And of course the Federal Reserve even admits that it helped create the Great Depression of the 1930s.

Perhaps it is time to try something different.

#6 The Federal Reserve Is Privately Owned

It has been said that the Federal Reserve is about as “federal” as Federal Express is.

Most Americans still believe that the Federal Reserve is a “federal agency”, but that is simply not true. The following comes from factcheck.org

The stockholders in the 12 regional Federal Reserve Banks are the privately owned banks that fall under the Federal Reserve System. These include all national banks (chartered by the federal government) and those state-chartered banks that wish to join and meet certain requirements. About 38 percent of the nation’s more than 8,000 banks are members of the system, and thus own the Fed banks.

And even the Federal Reserve itself has argued that it is “not an agency” of the federal government in court.

So why is there still so much confusion about this?

We should not be allowing a private entity that is owned and dominated by the banks to make decisions that dramatically affect the daily lives of all the rest of us.

#7 The Federal Reserve Greatly Favors The “Too Big To Fail” Banks

Since the Federal Reserve is owned by the banks, should we be surprised that it serves the interests of the banks?

In particular, the Fed has been extremely good to the “too big to fail” banks.

Over the past several decades, those banks have grown tremendously in both size and power.

Back in 1970, the five largest U.S. banks held 17 percent of all U.S. banking industry assets.

Today, the five largest U.S. banks hold 52 percent of all U.S. banking industry assets.

#8 The Federal Reserve Gives Secret Bailouts To Their Friends

The Federal Reserve is the only institution in America that can print money out of thin air and loan it to their friends any time they want to.

For example, did you know that the Federal Reserve made 16 trillion dollars in secret loans to their friends during the last financial crisis?

The following list is taken directly from page 131 of a GAO audit report, and it shows which banks received secret loans from the Fed…

Citigroup – $2.513 trillion
Morgan Stanley – $2.041 trillion
Merrill Lynch – $1.949 trillion
Bank of America – $1.344 trillion
Barclays PLC – $868 billion
Bear Sterns – $853 billion
Goldman Sachs – $814 billion
Royal Bank of Scotland – $541 billion
JP Morgan Chase – $391 billion
Deutsche Bank – $354 billion
UBS – $287 billion
Credit Suisse – $262 billion
Lehman Brothers – $183 billion
Bank of Scotland – $181 billion
BNP Paribas – $175 billion
Wells Fargo – $159 billion
Dexia – $159 billion
Wachovia – $142 billion
Dresdner Bank – $135 billion
Societe Generale – $124 billion
“All Other Borrowers” – $2.639 trillion

If you will notice, a number of the banks listed above are foreign banks.

Why is the Fed allowed to print money out of thin air and lend it to foreign banks?

#9 The Federal Reserve Is Paying Banks Not To Lend Money

Did you know that the Federal Reserve is actually paying U.S. banks not to lend money?

That doesn’t make sense. Our economy is based on credit, andsmall businesses desperately need loans in order to operate.

But the Fed has decided to pay banks not to risk their money. Section 128 of the Emergency Economic Stabilization Act of 2008 allows the Federal Reserve to pay interest on “excess reserves” that U.S. banks park at the Fed.

So the big banks can just send their cash to the Fed and watch the money come rolling in risk-free.

As the chart below demonstrates, the banks have taken great advantage of this tremendous deal…

Excess-Reserves-Parked-At-The-Federal-Reserve-425x255

#10 The Federal Reserve Has An Astounding Track Record Of Failure

Over the past ten years, the Federal Reserve has been an abysmal failure when it comes to running the economy.

But despite a track record of failure that would make the Chicago Cubs look like a roaring success, Barack Obama actually decided to nominate Ben Bernanke for a second term as the Chairman of the Federal Reserve.

What a mistake.

Just check out some of the things that Bernanke said prior to the last financial crisis. The following is an extended excerpt from an article that I published previously

*****

In 2005, Bernanke said that we shouldn’t worry because housing prices had never declined on a nationwide basis before and he said that he believed that the U.S. would continue to experience close to “full employment”….

“We’ve never had a decline in house prices on a nationwide basis. So, what I think what is more likely is that house prices will slow, maybe stabilize, might slow consumption spending a bit. I don’t think it’s gonna drive the economy too far from its full employment path, though.”

In 2005, Bernanke also said that he believed that derivatives were perfectly safe and posed no danger to financial markets….

“With respect to their safety, derivatives, for the most part, are traded among very sophisticated financial institutions and individuals who have considerable incentive to understand them and to use them properly.”

In 2006, Bernanke said that housing prices would probably keep rising….

“Housing markets are cooling a bit. Our expectation is that the decline in activity or the slowing in activity will be moderate, that house prices will probably continue to rise.”

In 2007, Bernanke insisted that there was not a problem with subprime mortgages….

“At this juncture, however, the impact on the broader economy and financial markets of the problems in the subprime market seems likely to be contained. In particular, mortgages to prime borrowers and fixed-rate mortgages to all classes of borrowers continue to perform well, with low rates of delinquency.”

In 2008, Bernanke said that a recession was not coming….

“The Federal Reserve is not currently forecasting a recession.”

A few months before Fannie Mae and Freddie Mac collapsed, Bernanke insisted that they were totally secure….

“The GSEs are adequately capitalized. They are in no danger of failing.”

*****

There are many, many more examples that could be listed, but hopefully you get the point.

And now it is happening again. Bernanke is telling the American people that everything is going to be just fine and that no major problems are ahead.

Do you believe him this time?

#11 The Federal Reserve Is Unaccountable To The American People

What is the most important political issue to most Americans?

Survey after survey has shown that the American people care about the economy more than anything else.

So why do we allow an unelected, unaccountable entity that is privately-owned to make our economic decisions for us?

The Federal Reserve has become so powerful that it has been called “the fourth branch of government”. Every four years, presidential candidates argue about who will be best at managing the economy, but the truth is that it is the Fed that manages our economy.

We are told that the “independence” of the Federal Reserve is absolutely critical, but don’t the American people deserve to have a say in the running of the economy?

Our system is broken. It is a system that will continue to create more bubbles and more debt until the entire thing finally collapses for good.

Thomas Jefferson once stated that if he could add just one more amendment to the U.S. Constitution it would be a ban on all government borrowing….

I wish it were possible to obtain a single amendment to our Constitution. I would be willing to depend on that alone for the reduction of the administration of our government to the genuine principles of its Constitution; I mean an additional article, taking from the federal government the power of borrowing.

But instead of banning government borrowing, we have allowed ourselves to become enslaved to a system where government borrowing actually creates our money.

We do not need to have a central bank. There are much better alternatives. We just need to get people educated.

Please share this article with as many people as you possibly can. These are things that every American should know about the Fed, and we need to educate the American people about the Federal Reserve while there is still time.

This article was posted: Tuesday, May 7, 2013 at 6:10 am

Tags: economics, financial

We The People need to take charge of our country because we have never been this close to loosing it and if it goes down the progressive (Marxist) path – we will never be able to get it back! Now is the time to make a decision of where you stand and what you will do to protect the Constitution. We do not have a lot of time left!

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http://www.naturalnews.com/039744_US_dollar_collapse_Federal_Reserve.html

Homeland Security insider warns

orchestrated collapse of U.S. dollar ‘has begun’

Tuesday, April 02, 2013 by: Jonathan Benson, staff writer

(NaturalNews) The countdown clock is ticking as the insanely evil cabal known as the “global elite” prepares its final moves for a complete world takeover. As relayed by Canada Free Press (CFP), an insider at the U.S. Department of Homeland Security (DHS), which is America’s very own reanimation of the Nazi SS, recently delivered an ominous warning that America’s days are numbered, and that Americans basically need to ready themselves for the worst, which is yet to come.

Not only is a complete collapse of the U.S. dollar on the very near horizon, according to the unnamed source, but a single, uniform currency system is already in the works to take its place. All that needs to happen now is for the final hammer to drop, so to speak, an event to truly shake the people and wake them out of their drunken, entertainment-imbibed stupors. But when this finally happens, it will already be too late for anyone to actually do anything about it.

“The first shots in a global economic takeover were fired in Cyprus,” explains Doug Hagmann from CFP about the situation as it is currently playing out. “It is a plan for a one world Communist economy where the ‘middle class’ will be wiped out through a series of events that will have the same ultimate effect as we are seeing in present day Cyprus.”

And just what, exactly, happened in Cyprus? The mainstream media claims it was a simple emergency “tax deal,” a “levy” designed to pull the country out of crisis. But in reality, the people of Cyprus, and those with money in Cyprus banks, were literally robbed of untold billions of dollars by the central bankers, who overnight imposed an unannounced freeze on a large portion of depositors’ money. According to more recent reports, up to 40 percent of depositors’ cash could be apprehended as part of the deal.

Federal Reserve recently stole more than 25 percent of Americans’ savings and investments with ‘quantitative easing’ scam

But what is happening in Cyprus is also happening in the U.S. Very few Americans, it turns out, are aware of the fact that the Federal Reserve’s quantitative easing scheme, which intentionally injects more paper money into the general money supply, causes inflation. And inflation leads to devaluation of money, which in essence is just another form of stealing from the people to bail out the central bankers.

Though these cash injections might lead to immediate economic jump starts, they never last, and the long-term consequence of their repeated use is hyperinflation and destruction of the currency. And the unfortunate truth of the matter is that all levels of government have been infiltrated with globalists serving the interests of the central bankers at the expense of the people.

“The plan for a global currency or a one world economic order is a matter that transcends political parties,” writes Hagmann. “Those who continue to argue in the Republican-Democrat meme are doing nothing more than providing entertainment to distract people from the real issue, that of the global elite versus the rest of us.”

“The top of the pyramid in this Ponzi scheme is filled with members of both U.S. political parties who are systematically pillaging us and our future generations into financial debt, bondage and slavery. It is a plan that has been in the works for centuries. The problem, however, is that we have been conditioned not to think that big. Yet, the lie is that big.”

Sources for this article include:

http://canadafreepress.com/index.php/article/53842

http://canadafreepress.com/index.php/article/53832

http://canadafreepress.com

Learn more: http://www.naturalnews.com/039744_US_dollar_collapse_Federal_Reserve.html#ixzz2PnPGBN3W

Our financial problems are multi layered – the current administration is working overtime to make sure their implementation of the “Cloward-Piven” doctrine continues to be on track! An explanation is below – this is important to understand because this is how we are going to become a socialist nation!

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Cloward–Piven strategy

From Wikipedia, the free encyclopedia

The Cloward–Piven strategy is a political strategy outlined in 1966 by American sociologists and political activists Richard Cloward (1926–2001) and Frances Fox Piven (b. 1932) that called for overloading the U.S. public welfare system in order to precipitate a crisis that would lead to a replacement of the welfare system with a national system of “a guaranteed annual income and thus an end to poverty”. Cloward and Piven were a married couple who were both professors at the Columbia University School of Social Work. The strategy was formulated in a May 1966 article in liberal[1] magazine The Nation titled “The Weight of the Poor: A Strategy to End Poverty”.[2]

The two were critical of the public welfare system, and their strategy called for overloading that system to force a different set of policies to address poverty. They stated that many Americans who were eligible for welfare were not receiving benefits, and that a welfare enrollment drive would strain local budgets, precipitating a crisis at the state and local levels that would be a wake-up call for the federal government, particularly the Democratic Party, thus forcing it to implement a national solution to poverty. Cloward and Piven wrote that “the ultimate objective of this strategy [would be] to wipe out poverty by establishing a guaranteed annual income…”[2] There would also be side consequences of this strategy, according to Cloward and Piven. These would include: easing the plight of the poor in the short-term (through their participation in the welfare system); shoring up support for the national Democratic Party then-splintered by pluralistic interests (through its cultivation of poor and minority constituencies by implementing a national “solution” to poverty); and relieving local governments of the financially and politically onerous burdens of public welfare (through a national “solution” to poverty)[citation needed].

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The strategy

Cloward and Piven’s article is focused on forcing the Democratic Party, which in 1966 controlled the presidency and both houses of the United States Congress, to take federal action to help the poor. They stated that full enrollment of those eligible for welfare “would produce bureaucratic disruption in welfare agencies and fiscal disruption in local and state governments” that would “deepen existing divisions among elements in the big-city Democratic coalition: the remaining white middle class, the working-class ethnic groups and the growing minority poor. To avoid a further weakening of that historic coalition, a national Democratic administration would be constrained to advance a federal solution to poverty that would override local welfare failures, local class and racial conflicts and local revenue dilemmas.”[3] They wrote:

The ultimate objective of this strategy—to wipe out poverty by establishing a guaranteed annual income—will be questioned by some. Because the ideal of individual social and economic mobility has deep roots, even activists seem reluctant to call for national programs to eliminate poverty by the outright redistribution of income.[3]

Michael Reisch and Janice Andrews wrote that Cloward and Piven “proposed to create a crisis in the current welfare system – by exploiting the gap between welfare law and practice – that would ultimately bring about its collapse and replace it with a system of guaranteed annual income. They hoped to accomplish this end by informing the poor of their rights to welfare assistance, encouraging them to apply for benefits and, in effect, overloading an already overburdened bureaucracy.”[4]

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Focus on Democrats

The authors pinned their hopes on creating disruption within the Democratic Party. “Conservative Republicans are always ready to declaim the evils of public welfare, and they would probably be the first to raise a hue and cry. But deeper and politically more telling conflicts would take place within the Democratic coalition,” they wrote. “Whites – both working class ethnic groups and many in the middle class – would be aroused against the ghetto poor, while liberal groups, which until recently have been comforted by the notion that the poor are few… would probably support the movement. Group conflict, spelling political crisis for the local party apparatus, would thus become acute as welfare rolls mounted and the strains on local budgets became more severe.”[5]

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Reception and criticism

Howard Phillips, chairman of The Conservative Caucus, was quoted in 1982 as saying that the strategy could be effective because “Great Society programs had created a vast army of full-time liberal activists whose salaries are paid from the taxes of conservative working people.”[6]

Liberal commentator Michael Tomasky, writing about the strategy in the 1990s and again in 2011, called it “wrongheaded and self-defeating”, writing: “It apparently didn’t occur to [Cloward and Piven] that the system would just regard rabble-rousing black people as a phenomenon to be ignored or quashed.”[7]

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Impact of the strategy

Cloward and Piven themselves, in papers published in 1971 and 1977, argued that mass unrest in the United States, especially between 1964 and 1969, did lead to a massive expansion of welfare rolls, though not to the guaranteed-income program that they had hoped for.[8] Political scientist Robert Albritton disagreed, writing in 1979 that the data did not support this thesis; he offered an alternative explanation for the rise in welfare caseloads.

In his 2006 book Winning the Race, political commentator John McWhorter attributed the rise in the welfare state after the 1960s to the Cloward–Piven strategy, but wrote about it negatively, stating that the strategy “created generations of black people for whom working for a living is an abstraction.”[9]

According to historian Robert E. Weir in 2007, “Although the strategy helped to boost recipient numbers between 1966 and 1975, the revolution its proponents envisioned never transpired.”[10]

Some commentators have blamed the Cloward–Piven strategy for the near-bankruptcy of New York City in 1975.[11][12]

Conservative commentator Glenn Beck referred to the Cloward-Piven Strategy often on his Fox News television show, Glenn Beck, during its run from 2009 to 2011, reiterating his opinion that it had helped to inspire President Barack Obama‘s economic policy. On February 18, 2010, for example, Beck said, “you’ve got total destruction of wealth coming… It’s the final phase of the Cloward-Piven strategy, which is collapse the system.”[13]

Richard Kim, writing in 2010 in The Nation (in which the original essay appeared), called such assertions “a reactionary paranoid fantasy…” but says that “the left’s gut reaction upon hearing of it–to laugh it off as a Scooby-Doo comic mystery–does nothing to blunt its appeal or limit its impact.”[14] The Nation later stated that Beck blames the “Cloward-Piven Strategy” for “the financial crisis of 2008, healthcare reform, Obama’s election and massive voter fraud” and has resulted in the posting of much violent and threatening rhetoric by users on Beck’s website, including death threats against Frances Fox Piven.[15] For her part, Piven vigorously continues to defend the original idea, calling its conservative interpretation “lunatic”.[16]

And the value of our dollar keeps on spiraling down!

I wish the image below was better quality, but hopefully it will give you enough information to research for yourself!

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And that is how we have been brought to the brink of disaster!

Can the fiscal cliff be averted? I don’t know!

CRUMMY GLOBAL CURRENCY WARS ARE HEATING UP!

UPDATE – April 13, 2013

tps://www.thetrumpet.com/article/10520.19.0.0/economy/australia-to-abandon-the-us-dollar

the TRUMPET.com

    columnist_article_robert-morley

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Chinese Premier Li Keqiang (left) accompanies Australian Prime Minister Julia Gillard to view an honor guard during a welcoming ceremony outside the Great Hall of the People on April 9 in Beijing, China. Prime Minister Gillard announced during the visit that Australia would start using the Chinese yuan for trade with China. (Feng Li/Getty Images)

Australia to Abandon the U.S. Dollar

April 11, 2013  •  From theTrumpet.com Australia chooses a side in the global currency war. More by this author

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Australia’s announcement that it is abandoning the U.S. dollar for trade with China is the latest broadside in the global currency war. Starting April 10, Australia and China will no longer use the U.S. dollar for trade between the two nations. For the first time, Australian businesses will be able to conduct trade in Chinese yuan. No more need for U.S. dollar intermediation. This is a significant announcement and key development for China as it continues its campaign to internationalize the yuan and chip away at the dollar’s role as the world’s reserve currency. Australian Prime Minister Julia Gillard made the announcement during an official visit to Shanghai on Monday. She noted that China is now Australia’s biggest trading partner and that the direct currency trading would be a “huge advantage for Australia.” She called the currency accord a “strategic step forward for Australia as we add to our economic engagement with China.” According to HSBC bank, more than 40 percent of small and medium-size Australian businesses that trade with China plan to offer quotes for goods and services in yuan. No longer will Chinese customers need U.S. dollars before purchasing Australian goods. For China, this is a big accomplishment as it works toward its goal of having about a third of its foreign trade settled in yuan by 2015. But for the U.S. dollar, it is more like the treatment the U.S. Eighth Army got at Chosin Reservoir in Korea. This Australia-China currency pact isn’t the only whipping the dollar has taken lately either. On March 26, China and Brazil agreed to cut out the U.S. dollar for approximately half of their trade. Some $30 billion worth of commerce per year will now be conducted in yuan and reals. Brazilian Economy Minister Guido Mantega said the trade and currency agreement would act as a buffer against any unexpected dollar turbulence in the international financial markets. Less than a week later, China announced its participation in the joint BRICS bank initiative. Brazil, Russia, India, China and South Africa announced the creation of a new development bank that some analysts say has the potential to rival the U.S.-dominated World Bank and European-influenced International Monetary Fund. “Most people assume that the current economic crisis has led to a great strengthening of the power of the World Bank and the IMF, and that this power is largely uncontested,” notes Prof. Geoffrey Wood, who teaches at Warwick Business School. “The proposed BRICS development bank represents an important new development that potentially further circumscribes the influence of these bodies.” America’s other major ally in the Pacific announced last year that it would be curtailing its use of the dollar too. In June, Japan and China began cutting out the dollar in bilateral trade. The initiative was announced as part of a broad agreement to reinforce financial ties between the world’s third- and fourth-largest economies. Similar dollar exclusion deals have been announced by Russia and China, Russia and Iran, India and Iran, and India and Japan. “[T]he free lunch the U.S. has enjoyed ever since the advent of the U.S. dollar as world reserve currency may be coming to an end,” writes popular financial blog ZeroHedge. “And since there is no such thing as a free lunch, all the deferred pain the U.S. Treasury Department has been able to offset thanks to its global currency monopoly status will come crashing down the second the world starts getting doubts about the true nature of just who the real reserve currency will be in the future. As more nations challenge the dollar’s position as reserve currency it will greatly impact living standards in America. Interest rates will skyrocket. The government will be forced to resort to full-scale money printing to finance its debt. Credit and loans will become unaffordable, collapsing much of America’s consumer economy. Monetary inflation will shoot through the roof destroying the value of people’s savings. And higher levels of unemployment will become a way of life. By jumping ship and swimming to China, Australia may think it will mitigate the worst of the looming dollar war. But eking out strategic partnerships with China comes with a whole set of other risks that are just as deadly.

2 views both the same

To put it in polite language – “WE ARE IN DEEP DOO DOO!

The fiscal tsunami is rolling and no one is paying any attention! Attention has been diverted away by the shenanigans of our elected officials! They can not be called our representatives, because they only represent themselves and their own pocketbooks! Therefore it is up to us to protect ourselves!

 

NOT LONG AGO THE AMERICAN DOLLAR

WAS THE CURRENCY OF CHOISE

FOR THE WHOLE WORLD!

THINGS CONTINUE TO EVOLVE

AWAY FROM THE USA DOLLAR AS THE WORLD STANDARD!

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This will have a huge impact on your checkbook! The American dollar looses value each month the feds continue to print $40 Billion dollars – based on nothing other than desire to continue to SPEND! SPEND SPEND! No country or empire, has been able to avoid the consequences of irresponsible spending for long. The time comes and it is fast approaching, where one has to pay the piper (pay the bills in the vernacular)! The other financial tsunami heading our way is the derivatives market – which all the big banks are invested in – it is another ponzi scheme – based on nothing! When that crashes, there isn’t enough money in all the world’s savings account to cover the staggering amount of paper wealth that will vanish!

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And so, we too shall fall …

http://www.zerohedge.com/news/2013-03-31/thanks-world-reserve-currency-no-thanks-australia-and-china-enable-direct-currency-c#.UVn2ezjLkf0.facebook

Thanks, World Reserve Currency, But No Thanks: Australia And China To Enable Direct Currency Convertibility

picture-5 Submitted by Tyler Durden on 03/31/2013 12:46 -0400

A month ago we pointed out that as a result of Australia’s unprecedented reliance on China as a target export market, accounting for nearly 30% of all Australian exports (with the flipside being just as true, as Australia now is the fifth-biggest source of Chinese imports), the two countries may as well be joined at the hip. Australia China exports_0 Over the weekend, Australia appears to have come to the same conclusion, with the Australian reporting that the land down under is set to say goodbye to the world’s “reserve currency” in its trade dealings with the world’s biggest marginal economic power, China, and will enable the direct convertibility of the Australian dollar into Chinese yuan, without US Dollar intermediation, in the process “slashing costs for thousands of business” and also confirming speculation that China is fully intent on, little by little, chipping away at the dollar’s reserve currency status until one day it no longer is. That said, this latest development in global currency relations should come as no surprise to those who have followed our series on China’s slow but certain  internationalization of its currency over the past two years. To wit: “World’s Second (China) And Third Largest (Japan) Economies To Bypass Dollar, Engage In Direct Currency Trade“, “China, Russia Drop Dollar In Bilateral Trade“, “China And Iran To Bypass Dollar, Plan Oil Barter System“, “India and Japan sign new $15bn currency swap agreement“, “Iran, Russia Replace Dollar With Rial, Ruble in Trade, Fars Says“, “India Joins Asian Dollar Exclusion Zone, Will Transact With Iran In Rupees“, and “The USD Trap Is Closing: Dollar Exclusion Zone Crosses The Pacific As Brazil Signs China Currency Swap.” And while previously the focus was on Chinese currency swap arrangements, the uniqueness of this weekend’s news is that it promotes outright convertibility of the Yuan: something China has long said would happen but many were skeptical it ever would. That is no longer the case, and with Australia setting the precedent, expect many more Asian countries (at first) to follow in Australia’s footsteps, because while the developed world is far more engaged in diluting its currency as a means to spur “growth”, Asian and developing world nations are still engage in real, actual trade, where China is rapidly and aggressively becoming the world’s hub. More from The Australian: Former ambassador to China Geoff Raby, now a Beijing-based business figure, told The Weekend Australian: “The value of such a deal would be substantial for exporters to China, especially those that import a lot from China like mining companies, as it would remove business constraints including exchange-rate risks and transaction costs.” Businesses, like individuals when travelling, have to pay extra to convert currency since there are different rates for buying and selling. So removing one step also cuts out the cost of paying for such a “spread”. Australia has undertaken significant lobbying for the deal and the direct conversion of the yuan, also referred to as the renminbi (RMB), is identified as a priority in the government’s Asian century white paper. “We have held preliminary discussions with the Chinese government to explore how soon direct convertibility can be practicably achieved,” the white paper says. “We are continuing these discussions, and also exploring other opportunities to work with China to support the internationalisation of the RMB.” Australia’s banks increasingly arrange trade finance through Hong Kong, which has developed a special role as China’s chief international finance centre. Needless to say, China is eagerly looking forward to taking yet another bite out of the USD’s reserve status. New President Xi Jinping, a former Communist Party secretary of Shanghai, is a champion of that city’s development as China’s finance hub, and it is believed that the Prime Minister may fly there to sign the currency conversion deal. Ms Gillard is expected to go on from Shanghai to Beijing, where she will open the third Australia China Economic and Trade Forum organised primarily by the Australia China Business Council, which will be bringing about 100 people from Australia for the event. Participants are likely to include Andrew Harding, Rio Tinto’s new chief executive for iron ore; Warwick Smith, ANZ Bank’s chairman for NSW and the ACT; Australian Trade Minister Craig Emerson and Financial Services Minister Bill Shorten; Gao Hucheng, China’s Commerce Minister; and Gao Xiqing, the acting head of China Investment Corporation, the country’s vast sovereign wealth fund. The ANZ Bank has been a strong advocate of direct convertibility between the dollar and the yuan. Gilles Plante, the bank’s chief executive in Asia, said in a recent report that in the last financial year, China accounted for 29 per cent of all exports and 18 per cent of imports, but the value of that trade denominated in yuan was less than 0.3 per cent. He forecast that cross-border flows of funds would be liberalised “to support Shanghai’s plan to build itself as a global financial centre. At the time the whole world is digging out opportunities from the rise of the yuan, Australia should not lag behind.” It was significant the liberalising governor of the People’s Bank, Zhou Xiaochuan, kept his job during the reshuffle of China’s leadership. He said last year at a conference: “The next movement related to the yuan is going to be reform of convertibility. We are moving in this direction; we need to go further, we will have some deregulation.” Most importantly, to China, Australia will serve as the Guniea Pig – should this experiment in FX liberalization work out to China’s satisfaction, expect Beijing to engage many more trade partners in direct currency conversion. Beijing appears to have chosen Canberra as its partner in this next movement for straightforward economic reasons, as Australia has become China’s fifth-biggest source of imports and thus, the appropriate partner for the march of its currency. Ms Gillard and President Xi Jinping may also during the visit establish a “strategic partnership” between the countries. This will enable Australia to catch up in status with a large range of nations. Why is this so very critical? For the simple reason that the free lunch the US has enjoyed ever since the advent of the US dollar as world reserve currency, may be coming to an end as other, more aggressive alternatives – both fiat, and hard-asset based – to the USD appear. And since there is no such thing as a free lunch, all the deferred pain the US Treasury Department has been able to offset thanks to its global currency monopoly status will come crashing down the second the world starts getting doubts about the true nature of just who the real reserve currency will be in the future. Reserve Currency Statuses It has been written about in a few financial magazines and the finance sections of a one or two newspapers – but unfortunately, this is another event that people are not paying attention to and for that we will all pay dearly!

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I have said it before and I will keep saying it until people start to listen – we have to:

– Get rid of the Fed

(a private international bankers consortium)

– Get rid of the UN

(the enforcement arm of the elite, who want to rule the whole world)

If we ever want to be FREE!

It those two things are not done, then it becomes only a matter of time!

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CRUMMY BANKSTERS ARE STEALING PEOPLE’S SAVINGS!

UPDATE March 18, 2013

1999 – THE 2nd STEP TO THE FINANCIAL MESS WE ARE IN!

repeal Glass Steagall Act of 1999

THE 1st STEP WAS THE FEDERAL RESERVE ACT OF 1913 –

WHEN THE STAGE WAS SET

FOR OUR FINANCIAL RUIN!

(To learn more about the Federal Reserve Act – who, what where etc., read the book “The Creature From Jekyll Island” by G. Edward Griffin. It is currently in its 5th reprint!)

THE WEALTH CONFISCATION TO CONTINUE!

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http://www.infowars.com/banking-chief-calls-for-15-looting-of-italians-savings/#.UUcRbV2pjnQ.facebook

Banking Chief Calls For 15% Looting of Italians’ Savings
Is the financial rape of Cyprus another IMF riot waiting to happen?

Paul Joseph Watson
Infowars.com
March 18, 2013

News that the International Monetary Fund initially demanded to loot a shocking 40% of savings from the private bank accounts of Cypriots underscores how residents of the Mediterranean country could be the latest victims of the infamous “IMF riot,” as the chief economist of the German Commerzbank calls for Italians to be similarly plundered for 15% of their savings.

The government of Cyprus is set to vote tomorrow on enforcing a “tax,” which in reality is nothing less than a confiscation of private wealth, that would hit savers with between 100,000 to 500,000 euros with a levy of 9.9%. Those with over half a million euros will face an even higher rate of 15%.

However, the scale of the robbery could have been far higher. As Zero Hedge reports, “It appears that the settled-upon 9.9% haircut is a ‘good deal’ compared to the stunning 40% of total deposits that Germany’s FinMin Schaeuble and the IMF demanded.”

Now that the dictatorial EU and IMF have simply set about stealing the privately accrued wealth of lifetime savers in Europe, everyone is asking one question – who’s next?

Joerg Kraemer, chief economist of the German Commerzbank, has called for private savings accounts in Italy to be similarly plundered. “A tax rate of 15 percent on financial assets would probably be enough to push the Italian government debt to below the critical level of 100 percent of gross domestic product,” he told Handelsblatt.

Although many Cypriots reacted with an anger over the theft of their savings, with one man threatening to drive a bulldozer into his local bank, the reaction has so far been noticeably calmer than one would expect in a country like Italy, which has already been hit with violent anti-austerity riots over the past year.

Are we now seeing yet another example of the “IMF riot” – where the banking elite deliberately fosters social dislocation as a ruse to seize control of a nation’s economy and begin the process of asset stripping, just as happened in Greece and Argentina? Are Cyprus and Italy now in the crosshairs?

As respected investigative reporter Greg Palast exposed in 2001, the global banking elite, namely the World Bank and the IMF, have honed a technique that has allowed them to asset-strip numerous other countries in the past – that technique has come to be known as the “IMF riot.”

In April 2001, Palast obtained leaked World Bank documents that outlined a four step process on how to loot nations of their wealth and infrastructure, placing control of resources into the hands of the banking elite.

One of the final steps of the process, the “IMF riot,” detailed how the elite would plan for mass civil unrest ahead of time that would have the effect of scaring off investors and causing government bankruptcies.

“This economic arson has its bright side – for foreigners, who can then pick off remaining assets at fire sale prices,” writes Palast, adding, “A pattern emerges. There are lots of losers but the clear winners seem to be the western banks and US Treasury.”

How long before the crisis engendered by the looting forces Cyprus to sell its precious assets in return for IMF debt, just as Greece has been doing over the last three years?

The looting of Cyprus, erroneously labeled a “tax,” has been spun by the Cypriot government, the IMF, the EU and the establishment financial media as a necessary evil to prevent the country’s banks going bust and the nation collapsing into bankruptcy.

Firstly, as Mark J. Grant explains, describing the maneuver as a “tax” is an insult to reality.

“Let’s be quite clear; the European Union has confiscated the private property of the citizens in Cyprus without debate, legislation or Parliamentary agreement,” he writes.

“A bank account is not a bond or a stock or any sort of investment. This seems to be lost on many people. A bank account is the private property of a citizen or a corporation and does not belong to the government or at least that was the supposition up until now in Europe.”

Secondly, the doomsday proclamation about Cyprus collapsing if the government is not allowed to loot private bank accounts is merely a cover story to justify what represents a brazen act of mass financial rape.

Instead of protecting the bankers responsible for the crisis while pillaging the people who bear no responsibility whatsoever for the debt, Cyprus should be following in the footsteps of Iceland.

Instead of bailing out bankers, Iceland arrested them. Instead of targeting its population with brutal austerity measures, Iceland paid off people’s underwater mortgages. Iceland also allowed people to pay off debts in foreign currency, which were declared illegal, with the devalued krona.

The result was that Icelanders had more money in their pocket, reinvested it into the economy and now the country has enjoyed a miracle financial turnaround.

The Cypriot government has seemingly chosen a different option – selling out its people to the gaping jaws of the European Union and the IMF and setting the stage for years of economic turmoil, civil unrest and dependency on a financial dictatorship which benefits not from stability but from sustained chaos.

*********************

Paul Joseph Watson is the editor and writer for Infowars.com and Prison Planet.com. He is the author of Order Out Of Chaos. Watson is also a host for Infowars Nightly News.

This article was posted: Monday, March 18, 2013 at 7:09 am

Tags: economics, financial

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GRAND THEFT SAVINGS!

I never thought I would see the day when a government steals money from its own people! But it happened – in Cyprus, last Friday! The Government seized almost 10% of everyones money from all the checking and savings accounts, to bail to the BANKSTERS! Apparently they did not read or learn about the right way to take care of the banking gangster – every country needs to do as Iceland did!

(I have that story under “Crummy NOT, Icelanders do it Right!”

Below are two stories that describe what is going on over in the EU zone!

The first one is from Friday, the next is from Saturday!

Then follow two more MUST read articles –

One about America’s changed status regarding financial accounts!

CLICK on the highlighted words and phrases in each article to follow the links!

CYPRUS GOVERNMENT RAIDS PRIVATE CHECKING AND SAVINGS ACCOUNTS AS CITIZENS PANIC

MikeAdams

Sunday, March 17, 2013

by Mike Adams, the Health Ranger

Editor of NaturalNews.com

cyprus pic2

 (NaturalNews) The day is coming when the U.S. government will claim it “owns” a portion of all our bank accounts, and it will electronically drain our accounts of money in a grand theft scheme designed to pay off the banksters while decimating private savings.

Don’t believe it? That day has already arrived in the European nation of Cyprus, where the government made a secret deal with the IMF to loot private bank accounts of up to 10% of current deposits. Banks went along with the theft, sealing off the funds from account holders. The government now plans to initiate millions of funds transfers as early as Tuesday, draining private accounts of the money the government now claims it owns.

“Restrictions have been imposed to stop people emptying their accounts or moving their money out of the country following the deal with other eurozone finance ministers, under which ordinary citizens’ deposits will be directly raided for the first time,” reports the Daily Mail.

It continues: “But financial experts said the move — designed to stop Cyprus crashing out of the euro, potentially destroying the currency — would send shock waves through the eurozone. If savers in other troubled nations fear their accounts might be next, they could withdraw their money and spark a catastrophic run on the banks.”

Outright government theft of after-tax money

Just to be clear: even after you earn money by working your job and paying your taxes, any money you have in a bank account can be seized without notice as the government loots private savings to bail out wealthy bankers.

Not surprisingly, bank customers freaked out across Cyprus and began lining up in front of ATMs to withdraw as much cash as possible, causing fears of bank runs.

This seizing of private funds held in bank accounts is being called a “bailout” by eurozone cleptocrats. This is the model of theft that we are going to see replicated all across the EU as the global debt collapse takes hold. When wealthy bankers and investment houses make bad decisions on derivatives debt, they will be “bailed out” by a combination of governments creating fiat currency and / or looting the bank accounts of private citizens.

See this video for more (story continues below):

Now it’s clear why DHS needs 1.6 billion bullets and armored assault vehicles

If you’ve been wondering why DHS thinks it needs 1.6 billion rounds of ammunition, 7,000+ full-auto assault rifles, and 2,700+ armored assault vehicles, all for use on the streets of America, the answer is now clear:

The U.S. government is going to loot private bank accounts when the global debt collapse strikes, stealing everybody’s money and setting off nationwide riots that will be held in check using armored assault vehicles and automatic weapons fire.

This is what the government sees coming: A global collapse of the 1+ quadrillion dollars in derivatives debt, causing a runaway cascade of wealth destruction and bank failures. No nation on the planet carries more debt than the U.S. government, making it more vulnerable to a debt collapse than any other nation.

Once a global debt collapse spreads to America, the U.S. government will be unable to sell new debt, meaning it will have no choice but to print currency and start looting private bank accounts just to stay afloat. The value of the currency will be rapidly eroded, causing dollars that people have saved in bank accounts to plummet in value by the day. When the government loots private bank accounts, all hell will break loose in the streets, and a national state of Martial Law will be declared to try to stop the violent riots that will be unleashed in every major city.

The U.S. government, like every other government in the world, is like a cancer tumor in that it would rather kill the host than face death itself. There is no limit to the actions the U.S. government will take in an attempt to keep itself afloat, including confiscating private bank accounts, confiscating gold, demanding all gun owners turn in their guns or be arrested, and even confiscating large sectors of the economy such as the technology sector. Don’t be surprised if the U.S. government seizes Google, for example, and then begins to censor the search results of all websites critical of the government.

All those in society who produce wealth will be told to hand over their wealth to the government. The billions of rounds of ammunition (and armored assault vehicles ordered by DHS) are to be used by the government to make sure the populace complies. Drones will also be used to kill any who resist by firing missiles at their homes or businesses. This is why Obama continues to claim the right to use drone strikes on U.S. soil to target “enemies” of America (meaning enemies of his regime).

How to protect yourself from government theft

As Cyprus clearly demonstrates, we are now entering the era of runaway government theft of private bank accounts. This is a warning sign of deep desperation, and it’s a sign of things to come across the globe. The global debt pyramid is a fictional construct built on a house of cards, and it’s going to come crashing down in a violent, desperate implosion that impacts every nation on the planet.

How can you protect yourself from this theft? Trade dollars for REAL things now, while you still can. Here’s my list of real assets that are far more valuable than dollars, Euros or any other currency:

• Farm land with good topsoil and multiple water supplies (more valuable than gold!)

• Heirloom seeds

• Physical gold and silver (not held in a bank, obviously)

• Farm equipment such as tractors and farm implements

• Firearms and ammunition

• Home food production systems (aquaponics) – see these websites:

http://theaquaponicsource.com (has an awesome online course)

http://www.backyardaquaponics.com

Learn more: http://www.naturalnews.com/

039522_Cyprus_government_looting_bank_accounts.html#.UUZQHsZGEyk.facebook#ixzz2NrGjAVAf

CYPRUS ATM’s DRAINED OF CASH!

http://www.theage.com.au/world/atms-drained-as-bailout-tax-triggers-run-on-bank-deposits-20130317-2g8rx.html#.UUYzmR_nffc.facebook

cyprus pic 1

In a move that could set off new fears of contagion across the eurozone, anxious depositors drained cash from ATMs in Cyprus on Saturday, hours after European officials in Brussels required that part of a new €10 billion ($12.6 billion) bailout must be paid for directly from the bank accounts of savers.

The move – a first in the three-year-old European financial crisis – raised questions over whether bank runs could be set off elsewhere.

Read more: http://www.theage.com.au/world/atms-drained-as-bailout-tax-triggers-run-on-bank-deposits-20130317-2g8rx.html#ixzz2NrFCKrx1

AND THIS STORY FROM THE CANADA FREE PRESS!

http://canadafreepress.com/index.php/article/53818?utm_source=CFP+Mailout&utm_campaign=f74a21fcba-Call_to_Champions&utm_medium=email

What’s happening in Cyprus should send a chill over the entire world

Socialists ready to make power grab of world citizens’ money

photo_2Judy McLeod

 cover031613

Get your money out of the banks.Due to an “emergency deal reached today in Brussels”,  a one-time 9.9% tax is to be levied on Cypriot bank deposits of more than 100,000 euros effective Tuesday, March 19.

Virtually overnight and with no warning of any kind,  the emergency tax deal was imposed on the people of Cyprus without vote or debate.  People ran to ATM machines today only to discover that the taxed amount of their cash had already been frozen.

Monday in Cyprus is a national holiday, the first day of Greek Orthodox Easter.

Nor is this emergency only inflicted upon the so-called rich as even deposits under 100,000 euros will now be taxed at 6.7%.

“If it can happen in Cyprus, it can happen anywhere,” worried British correspondent Anna Grayson told Canada Free Press (CFP) in an overseas telephone call today.

“Is this why the U.S. Department of Homeland Security has purchased millions of hollow point bullets, is this why rumors of an underground bunker being built for Obama are circulating?”

The bottom line of the Cyprus story is that politicians are forcing a new 10 billion euro bailout—to be paid directly from the bank accounts of ordinary people.

The people of Cyprus, most of whom never saw this coming,  never had a chance.  Without social media they would not have known their accounts were frozen as of today.

People poured into the streets, making a run on ATM machines.  A crowd of around 150 protesters massed in front of the presidential palace late in the afternoon at the beginning of the three-day religious holiday on the island.

Cyprus is the fifth country to seek a bailout following Greece, Ireland, Portugal and Spain but the terms of the deal are a radical departure from previous schemes.

No one will escape the bailout deal which will apply to everyone from pensions to Russian oligarchs, who are alleged to have billions stashed away in what officials claim is a bloated Cypriot banking sector. (Sky News, March 16, 2013).)

The blueprint laid by cunning EU Socialist finance ministers comes at a time when the USA is being led by a Socialist president.

This is how the EU robbed the people of Cyprus:

Banks first cooperated with the EU by sealing off the amount of the proposed levy—a 6.75 percent tax on deposits under €100,000 and 9.9 percent on those above —making it impossible for depositors to access their full amount.  The only means bank customers have left is the ability to draw from the rest of their funds via ATM machines this weekend. Many depositors made their way to the machines on Saturday to drain their accounts.  But the few banks that opened on Saturdays did so only briefly, and no international transfers will be able to go through until Tuesday, with Monday being the holiday. Cyprus’ Parliament is expected to meet Sunday to pass the required legislation., or after the deed was done. The deal also needs the approval of several eurozone parliaments; at the time of writing it was unclear how fast they can act and what will happen to bank deposits in the meantime.

What’s happening in Cyprus should send a chill over the entire world.

Politicians working with complicit big banks need no rule of law; no parliament debates to close in on the bank accounts of average people.

Get your money out of the banks wherever you are, and do it as soon as possible.

Copyright © Canada Free Press

RSS Feed for Judi McLeod

Judi McLeod is an award-winning journalist with 30 years’ experience in the print media. A former Toronto Sun columnist, she also worked for the Kingston Whig Standard. Her work has appeared on Rush Limbaugh, Newsmax.com, Drudge Report, Foxnews.com, and Glenn Beck.

Judi can be emailed at: judi@canadafreepress.com

NOW COMES THE REAL KICKER – IT COULD NEVER HAPPEN HERE!

YES IT COULD & PROBABLY WILL!

IMPORTANT TO READ THIS SO YOU CAN PREPARE!

There was a ruling made last August 12th (8-12-2012)

 that makes it possible  – but no main stream media ever reported it!

CLick on the highlighted words and phrases to follow the links!

Clicking on “a federal appeals court ruling” will take you to view the court document!

NOW BANKS CAN LEGALLY STEAL  RETIREMENT ACCOUNTS!

http://www.beaconequity.com/now-banks-can-legally-steal-retirement-accounts-2012-08-15/#.UUYxFeDmxj8.facebook

Now Banks Can Legally Steal Retirement Accounts

Posted by Dominique de Kevelioc de Bailleul on Aug 15, 2012 

By Dominique de Kevelioc de Bailleul

“If you don’t understand what ‘get the hell out’ means, there’s not much I can do for you,” Ann Barnhardt passionately told blogger Warren Pollock, as she warned viewers of systemic failure in the U.S. financial system, as well as the certainty that American savers will be robbed of their retirement, brokerage and savings accounts in the process.

Barnhardt, the former commodities broker, cites the latest and hushed court ruling in the 2007 case of a failed Chicago-based futures brokerage firm Sentinel Management Group—another Ponzi bankruptcy, according to her, totaling $600 million of segregated customer funds tied up in bankruptcy awaiting determination of whether those segregated funds will be used to pay off a “secured position” of a $312 million loan held by Bank of NY Mellon.

According to a federal appeals court ruling, Thursday, Bank of New York Mellon’s secured loan will be put ahead of customer segregated accounts held by Sentinel—a landmark ruling that turns individual segregated accounts into the property of a third party under circumstances of duress.  In other words, if a financial institution fails, clients, depositors and pension funds may not get some or all of their money back in a bankruptcy.

In essence, under the ruling, Securities Investor Protection Corporation (SPIC), Federal Deposit Insurance Corporation (FDIC) and other insurance programs no longer will/can protect customer funds, leaving millions of investors, depositors and retirees unaware that they are no longer account holders of their own funds, per se, but, instead, have suddenly become stockholders of the institution with which they have deposited their money.

Copy of the Sentinel Ruling from the U.S. Court of Appeals, Seventh Circuit.

Barnhardt goes on to say that many emails she receives from readers of her blog mock her as a Cassandra, but the woman who warned last year of the coming failures and the government’s disregard of the basics of Common Law have been proved correct.  Customers who thought their money was insured with MF Global, PFGBest and, now, Sentinel, were not insured after all, and will lose some or all of their money due to a bankruptcy of the firm in which they’ve placed faith.

She reiterates from numerous previous interviews: run for the hills with your money.  The federal appeals court ruling in the case of Sentinel demonstrates that financial institutions have suddenly taken precedence over segregated customer funds, including their largest customers of all—pension funds.

Few know that the game has changed, and the lack of mainstream media coverage of the shock ruling from the seventh circuit court highly suggests fears within the Fed of a full-blown bank run if the news of Sentinel’s case were to become a front-page headline, underscoring the fragility of the banking system of the United States.

“Insurance is designed to cover discreet, individual catastrophes.  Okay?  If one bank fails, the FDIC can come in and backstop that one bank, no problem,” Barnhardt explains.

“What do you think is going to happen if the entire system collapses?  What happens, do you think, if, even, let’s say 25 percent of the banks or the banking capacity in the United States fails?” she asks, rhetorically.  “We are now talking trillions and trillions of dollars in deposits.”

In fact, the FDIC shows $15.3 billion (Q1 2012) available to insure approximately $4.7 trillion of deposits (last reported, Q4 2008), or an insurance pool equivalent to one-third of one cent (0.0033) held at the FDIC for each dollar insured within the banking system.

Presently, the FDIC cannot make whole on even one percent of bank deposits covered under its insurance program, though it claims to cover up to $250,000 for each account, a promise that surely will be broken (at least when compared with today’s purchasing power of one dollar) during a systemic banking system failure, according to Barnhardt.

“The analogy is to the fire department,” she adds.  “The fire department work great if one house is on fire.  What happens if the entire city, if every structure in the city is on fire?”

Barnhardt concludes her interview with two thoughts:

Firstly, in a democratic republic, collectively, Americans are ultimately responsible for the financial system by voting for “psychopaths” to guard against allowing other psychopaths to run the banking system.  The coming financial collapse would not be possible with an informed and vigilant electorate, according to her.

Secondly, Barnhardt, a devout Christian, prays for people to wake up in time to protect themselves before the collapse takes place, which she says could be tomorrow, or as far out as two years from now.

Source:

Barnhardt.bizRead more: http://www.beaconequity.com/now-banks-can-legally-steal-retirement-accounts-2012-08-15/#ixzz2Npo3X28b

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 EYES OPEN YET?

HAD ENOUGH???

BIG GOVERNMENT CRUMBS ARE BIG SPENDERS!

MAKING MORE BIG GOVERNMENT AND MORE BIG GOVERNMENT DEPENDENTS!

THAT ALL EQUALS MORE VOTERS FOR HIM!

Peter Ferrara wrote this piece for Forbes Magazine!

He did such an outstanding job, it’s White Housenomics 101!

Should this man, somehow, retain the White House for another 4 years – America will never recover! Our grandchildren’s grandchildren will not be able to pay off the debt from that kind of BIG GOVERNMENT spending!

WE THE PEOPLE have to vote the puppet out, in November, since Congress will not start any impeachment proceedings against him, no matter what he does! Then we have to boot all the puppeteers! The BIG BANKERS and The Federal Reserve together with the UN and all of its agencies! That is the only way we can free ourselves from the tyranny that is being imposed on us!

Start emailing all elected officials now!

We need to FLOOD THEM WiTH EMAILS showing our outrage!