3
2
2
Of course the real megilla in regard to DEBT concerns the looming and inevitable default on the US debt owed around the world. How can this possibly be stopped?! It really does represent a conspiracy of circumstances that is so complicated and convoluted that even someone in the know would be hard pressed to present a credible case as to how this titanic will sink in one brief moment of time. So many forces have been silently at work to ensure that this financial cataclysm takes place that it defies the imagination. For one, who has not played with the fire known as US Treasuries, bethey bills, bonds, notes or securities? They are the most ubiquitous of their kind, and been produced in the greatest amount, for a long, long time, to finance LOTS of wars. And Uncle Sam, don’t you know, is thegreatest salesman of all time. He cansell cow paddies as delectable, sumptuous caviar, and probably has at least once or twice.
Not only did the Iraq war drain the US Treasury that had nothing left to drain, but the same war only stirred up fiercely anti-American sentiment abroad – everywhere!!! The wholly illegitimate war in Afghanistan didn’t help matters much either. When feelings run this strong, it is much easier for the spectator nations of the world to cheer on the slow motion collapse of the proverbial global bully, even when it is may not appear to be intheir best interest. Sounds crazy, but just take a look at the millions of American voters who consistently vote against their own interest each and every election cycle. Can you believe that, in the so-called American democracy, the debt slaves vote for their plantation masters year after year, and even contribute their hard earned money which further guarantees their continued enslavement!?! No wonder it’s still called the American Experiment since we, still today, make such compliant and docile guinea pigs.
Now we know thatthe DEBT bomb has always been a major part of the their strategy. Therefore, the only conclusion one could reach is that the decision-makers, as well as those who implemented them, knew that these, and other wars in the works, would break the country bythe newly incurred debt. The extremely sad piece of this story is that it was actually some of the traditional adversaries of the USA who chose to finance these illegal, immoral and highly offensive wars. This little fact will make it that much easier for the US Corp todefault, since the pain will be felt far and wide, especially by those who are considered ‘enemies’. These folks will pay dearly twice – when the dollar goes belly up, and when the US debt goes into default.
III. DEMOLITION BY DERIVATIVES; DISINTEGRATION OF THE
DERIVATIVES MARKET; “DERIVATIVE DEATH STAR” IMPLOSION
This is where Wall Street high financemeets the blackjack tables of Las Vegas – both literally and figuratively. This marriage of convenience represents the ultimate fusion of everything that is wrong with the MO of today’s investment bankster and all the ways that the gambling casino is always rigged by the house (aka the guvment). Just as the house fixes every game in town so that it never loses, the fat cats at Morgan Stanley and Goldman Sachs never walk away from the table without a belly full of fish. Even though many of their bets fell right through the floor, they still, somehow, feel entitled to multi- billion dollar bailouts. Experts at privatizing profits and socializing losses (and debts), they are. Also, unparalleled in their ability to turn the entire world into one humongous betting parlor.
Derivatives are thereal megilla in this whole story. You talk about a wild card – man oh man – it doesn’t get any wilder than the card stamped with “D” for DERIVATIVE. This tangled mess has touched every nook andcranny on every continent, in every nation, in every corporation on planetearth. They don’t even know – We don’teven know – No one knows, if thenotional value of the total sum of derivative instruments issued worldwide iscloser to 500 trillion dollars or, get this, ONE QUADRILLION dollars. Can you imagine the high intensity hawking that had to happen to get to a place of
$1,000,000,000,000,000.00 of highfalutin bets.?!?! Oh my gosh! All the gambling casinos in Vegas, Atlantic City, and every reservation in the lower 48 put together couldn’t come close to a mere fraction of that number.
The real challenge concerning this megilla was how to make it respectable, and legal, and salable, and acceptable, all at the same time. But somehow they did it. Of course they set this little charade up completely outside the normal frameworkof: (i) governmental regulation, (ii) monitoring by financial analysts, (iii) legaldue diligence, as well as (iv) scrutiny by the financial news media. How many people have even ever heard of acredit default swap, forward rate agreement, or turbo warrant?
We’re talking aboutthe outhouse of the financial industry here, so one must really give them credit for their ability to turn crap into caviar. And then sell it as such, as we mentioned earlier. These crap conversion factories (aka hedge funds) became the ultimate in new age financial alchemy. The hedge fund lab directors somehow managed to transform pure lead into pure gold. Mind you, we’re talking about the proverbial philosopher’s stone, right here, in the midst of the modern financial marketplace. Wonder who the MERLIN was that thought up this scheme which will ultimately ensure the downfall of an entire civilization? We know who the Federal Reserve Chairman was that aided and abetted the entire plot. Probably ought to start there and follow the trail back to those that conceived the whole plan, so that we might at least confiscate their piggy banks. Never has the phrase – pigs at the trough – been more apropos.
The reality was, is,and will forever be that this instrument of high finance transformed the entire realm of international finance into a Turkish opium den. Anyone who entered had to be high to get in,and would most assuredly be higher when they left. They all smoked the same crack derivative, could never get enough of it, and, like every addict attempts to do, wanted toturn everyone else onto it. They knew that only through widespread addiction would this habit become institutionally acceptable. And do you know that this ploy worked like a charm! Of course, whole national, and regional economies, will never, ever, be the same, just as gambling has always been notorious for bringing total ruination to the home of an addict.
The saddest part ofthis story concerns the referral effect which ensured that the real pain fromthis deliberate stratagem would be referred to the worker or company or entrepreneur or office worker or small business owner who really does work for a living. And who, in the process, produces a real good or service untainted by hedge upon hedge, bet upon bet,swap upon swap. For it always is thesalt of the earth that becomes the unsuspecting fodder, especially in a perpetual war economy that only know how to sacrifice the “weak” for the benefit of the “strong”.
Here again, demolition by derivatives will prove to be the surest way to bring down virtually every corner, of every floor, of every building, of every financial institution on planet Earth. The derivative casino will go down inhistory as the most pervasive, unregulated and ‘successful’ gambling establishment of all time. It broke thebank (the FED, the Bank of England among numerous other central banks), busted up the ‘street’ (Wall Street, cobblestones of the City of London among other national financial districts) and wreaked havoc within the US & UK governments among many others throughout Europe, the Pacific Rim, etc. In time it will prove to be the primary reason why whole populations will find themselves broke, busted and disgusted. Truly the Derivative Death Star will soon glow like a supernova for all future generations to gaze upon.
After this“controlled demolition” runs its course the only logical and natural consequence will be the complete disintegration of the worldwide derivatives market. Trust will have been so thoroughly diminished in the wake of so many derivative caused disasters that they will become not only the pariah of the financial world, but also rejected by any and all who can say or spell the word – D E R I V AT I V E.
IV. DEPRESSION BY DOWNWARD DEFLATIONARY SPIRAL;
DETERIORATION OF NATIONAL ECONOMIES BY DEFLATION
