Destruction of the US Dollar II
POSTED BY: SignyM
UPDATED: Thursday, February 19, 2026 15:30
VIEWED: 12130
PAGE 3 of 10
Quote:Because there's no way of knowing what is bad and what is good until you come to collect. All that is known is that some are bad and some are good, not which ones. What they've got is a stack of one hundred dollar bills, they can see the ones on top are ok, but there's no way of knowing that the ones in the middle are $100s, $10s $1s or just slips of blank paper. Mortgages are sold in groups as well, so it should be obvious that even just the possibility of one or more of those mortgages being bad devalues the whole lot.
Originally posted by SignyM:
Why? Fannie and Freddie hold mortgages that go back before the housing bubble. Not every mortgage is based on an overvalued home. Is there some sort of automatic devaluation that occurs when mortgages are sold? 'Cause if not, I think the point would be better made with an actual analysis of the quality of the mortgages, rather than painting every single mortage with the current crisis.
You can't tell which ones are good, and which are bad until you collect, so buying any one entails greater risk, and so devalues the whole lot.
They've got a thousand $100 bills in a stack, but no guarantees that they're all $100 bills, and some of their bills have been shown to be less than $100. Would you spend $100,000 to buy that stack? It's all about trust, and they're portfolios are no longer trustworthy, so buying them is a greater risk. Risk goes up, worth goes down.
More insane ramblings by the people who brought you beeeer milkshakes!
No one can see their reflection in running water. It is only in still water that we can see.
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“Those who do not learn from history are condemned to re-live it” - George Santayana
' As we now have it, globalization can be defined as an ideology that identifies the Sovereign Nation-State as its key enemy, basically because the State's main function is (or should be) to prioritize the interests of the Many - i.e., "the People" - over the interests of the Few. Accordingly, the forces of globalization seek to weaken, dissolve and eventually destroy the very foundations of the Nation-State as a basic social institution, in order to replace it with new supra-national worldwide social, political, economic, financial and military management structures. Such structures tie in with the political objectives and economic interests of a small number of highly concentrated and very powerful groups and organizations which today drive and steer the globalization process in a very specific direction.
These power groups consist of private interests which have succeeded in achieving something that is unprecedented in all of human history, and which we describe as the privatization of power on a global scale.
"Globalization" is actually a hypocritical understatement or euphemism of what former US presidents Woodrow Wilson, Franklin D. Roosevelt, Harry S. Truman and George H.W. Bush - each at different times in modern history - described as the “New World Order”.
A New World Order! Clearly, when former president George Bush Sr. unabashedly used that term on 11th September 1991, the Establishment quickly moved to ensure that it should not be commonly used, and in its place coined the much more neutral and seemingly harmless sounding idea of “globalization” which, nevertheless, today still has one main meaning: US-UK-Israeli Imperialism on a planetary and all-encompassing scale. This, at least, is how a growing number of people in Argentina and in our region see things today.
Who are they? What do they want?
The process we have described is in no way anonymous - much less, secret - because the power groups promoting and driving the New World Order are doing so in full public view: i.e., multinational corporations (e.g., the Fortune Global 500s accounting for over 80% of US economic activity); the global financial infrastructure (which includes banks, investment funds, stock exchanges and commodity market operators); multimedia monopolies; major Ivy League universities; international multilateral organizations (such as the World Bank, the IMF/International Monetary Fund, the IADB/Inter-American Development Bank, the BIS/Bank of International Settlements, the UN/United Nations and the WTO/World Trade Organization) and, most important, key government posts in the United States, Israel, the United Kingdom and other industrialized nations. So, we definitely do not have something that can be explained away as a "conspiracy theory".'
MORE :
http://www.globalresearch.ca/index.php?context=viewArticle&code=SAL200
70114&articleId=4034
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Quote:This is one of those statements that leave you less intelligent after you've read it...
As we now have it, globalization can be defined as an ideology that identifies the Sovereign Nation-State as its key enemy, basically because the State's main function is (or should be) to prioritize the interests of the Many - i.e., "the People" - over the interests of the Few. Accordingly, the forces of globalization seek to weaken, dissolve and eventually destroy the very foundations of the Nation-State as a basic social institution, in order to replace it with new supra-national worldwide social, political, economic, financial and military management structures. Such structures tie in with the political objectives and economic interests of a small number of highly concentrated and very powerful groups and organizations which today drive and steer the globalization process in a very specific direction.
More insane ramblings by the people who brought you beeeer milkshakes!
No one can see their reflection in running water. It is only in still water that we can see.
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Quote:
Originally posted by SignyM:
Perhaps someone can explain portions of the article to me. While I feel I have a grasp of the macro-economic big picture, some of the actual market mechanisms are beyond my grasp. I feel as if the articles are pitched for those who already know. So, here goes.....
Even the highest quality debt can only be dumped right now for, at most, 80 percent of face value.
Why? Fannie and Freddie hold mortgages that go back before the housing bubble. Not every mortgage is based on an overvalued home. Is there some sort of automatic devaluation that occurs when mortgages are sold? 'Cause if not, I think the point would be better made with an actual analysis of the quality of the mortgages, rather than painting every single mortage with the current crisis.
Fact is , 'every single mortgage' IS being painted with the broad brush of the 'current' crisis...
Assuming the massive 'new' Debt obligations , means that the 'Treasury' will print 'Federal Reserve' notes at
an ever-more-alarming rate...
...Which causes every 'dollar' to be worth less and less...As was noted by Mr. Rogers above , everyone will pay
for the past sins of the Bankster-Elites and the CON-gress , on and on...
The 'automatic devaluation' that you imagine is REAL...For the reasons that 'Cit' enumerated (risk),
plus 'inflation' of the currency , plus downward pressures on home prices due to a flood of unsalable foreclosures , etc.
Federal deficit soaring, but McCain, Obama offer no answers
http://news.yahoo.com/s/mcclatchy/20080909/pl_mcclatchy/3040652
' WASHINGTON — Just weeks before the government's fiscal year ends Sept. 30 , the nonpartisan Congressional Budget Office on Tuesday projected a near-record federal budget deficit of $407 billion , sharply higher than White House projections six weeks ago and more than double last year's figure...
...Mammoth federal-budget deficits feed inflation, make America dependent on foreign lenders, cost taxpayers hundreds of billions of dollars in interest payments on the growing national debt and drain capital savings from more productive investments...
...Yet John McCain and Barack Obama show few signs that they're ready to take tough steps to curb deficits, according to budget analysts.
"I don't think either candidate is treating the deficit, or the debt, seriously. And I don't see any proposals from either one that would make the situation any better," said Robert Bixby , the executive director of the Concord Coalition , a bipartisan budget-watchdog organization.
Maya MacGuineas , the president of the bipartisan Center for a Responsible Federal Budget , said in a statement
that both candidates "are promising hundreds of billions more in spending and tax cuts than they are paying for..."
White House Press Secretary Dana Perino said that one big reason the deficit went up was the
stimulus that President Bush signed into law in February. The CBO said that another large part of the deficit's unexpected growth came from rising unemployment-benefit payments and higher spending to cover insured deposits in insolvent financial institutions.
Another boost to the deficit came from Congress and Bush's appetite for discretionary spending, which is expected to rise by $85 billion , or 8.1 percent, in the current fiscal year, mostly because of higher defense costs...
To bridge the gap between spending and tax revenues, the federal government borrows, increasing the national debt.
It's grown from $5.7 trillion in 2000 to almost $9.7 trillion on Tuesday.
Analyst Bixby doubted that either presidential candidate's proposals would make a serious dent in the deficit and debt.
"Even if both of them can pay for their new initiatives and not make the situation any worse, the situation is unsustainable," he said. "Simply treading water is not good enough if you are headed over the falls." ' (italics added)
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Quote:
Originally posted by citizen:Quote:This is one of those statements that leave you less intelligent after you've read it...
As we now have it, globalization can be defined as an ideology that identifies the Sovereign Nation-State as its key enemy, basically because the State's main function is (or should be) to prioritize the interests of the Many - i.e., "the People" - over the interests of the Few. Accordingly, the forces of globalization seek to weaken, dissolve and eventually destroy the very foundations of the Nation-State as a basic social institution, in order to replace it with new supra-national worldwide social, political, economic, financial and military management structures. Such structures tie in with the political objectives and economic interests of a small number of highly concentrated and very powerful groups and organizations which today drive and steer the globalization process in a very specific direction.
You should know...
So you've read a lot of 'em , eh ?
It only really works that way on folk that are 'less intelligent' to begin with...
Most folk seem able to 'do the math' , given enough time...
Englishmen , well , they're another matter...
Too much time in the noonday sun , ya know ?
Just keep readin' , little one...
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Quote:What a marvelous response, certainly showing the depth of your own IQ there, let me guess, product of the American public school system right. I tell you what, rather than 'doing the math' and working out the real reasons for the problems identified, how about you read some conspiracy theories about how it's all them thar foreigners trying to keep the working man down.
Originally posted by out2theblack:
You should know...
So you've read a lot of 'em , eh ?
It only really works that way on folk that are 'less intelligent' to begin with...
Most folk seem able to 'do the math' , given enough time...
Englishmen , well , they're another matter...
Too much time in the noonday sun , ya know ?
Just keep readin' , little one...
I've down the math, evidently you've read some tin foil hat theories about globalisation that have little evidential back up and lots of vitriolic hyperbole, just keep from thinking, grasshopper...
More insane ramblings by the people who brought you beeeer milkshakes!
No one can see their reflection in running water. It is only in still water that we can see.
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Quote:
Originally posted by citizen:
What a marvelous response, certainly showing the depth of your own IQ there, let me guess, product of the American public school system right. I tell you what, rather than 'doing the math' and working out the real reasons for the problems identified, how about you read some conspiracy theories about how it's all them thar foreigners trying to keep the working man down.
I've down the math, evidently you've read some tin foil hat theories about globalisation that have little evidential back up and lots of vitriolic hyperbole, just keep from thinking, grasshopper...
More insane ramblings by the people who brought you beeeer milkshakes!
No one can see their reflection in running water. It is only in still water that we can see.
O-k , so you've 'down' the math...
Little 'evidential back-up' ? Only because you've not looked into the evidence , or you just choose to ignore it...
It's alright , though...You have a 'right' to remain ignorant...
That's why 'citizen' is only a subject...
Maybe you should learn to hold your water , or your beer milkshakes , as the case may be...
Because , only when your water is 'still' , will you be able to see...
In the meantime , you can just keep pissing yourself up...
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Quote:You're the one making the claim, didn't we all go through this already in another thread? I've not made a claim I need to back up you dumb shit. I made a joke about something I thought sounded pretty stupid, and you've gone ahead and thrown an immature tempertantrum across two threads. All you're doing is making yourself look like a petty ignorant childish prick. Are you four, or are you a troll, it's gotta be one of those two...
Originally posted by out2theblack:
O-k , so you've 'down' the math...
Quote:I've looked at the evidence, I've just not made it up like a far right red neck nutcase animal molester. Go back to reading Piratenews's posts for your next opinion chump troll
Little 'evidential back-up' ? Only because you've not looked into the evidence , or you just choose to ignore it...
Bring me some specific claims (lies) from your prison planet website and I'll disprove them.
Quote:Are you PirateNews in drag? Seriously, cause you sound just like him, even down to throwing the massive tempertantrum if anyone doesn't think exactly like you...
It's alright , though...You have a 'right' to remain ignorant...
Quote:Have you tried insults that make sense?
In the meantime , you can just keep pissing yourself up...
More insane ramblings by the people who brought you beeeer milkshakes!
No one can see their reflection in running water. It is only in still water that we can see.
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inflationary depression
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How's this?- Roller-coaster depression.
Inflation (been there done that), deflation (right now), followed by inflation in about a year.
In a major geekspike I was thinking about the money supply a few days ago (What? Doesn't everyone?) What the real estate bubble did was to expand the money supply by creating an altnerate currency. "Real money" (spendable money in the form of loans) was created on the basis of jacked-up real estate valuations and the money supply increased. During THAT time the dollar lost 30% in value compared to most world currencies, gold rose from about $500 to almost $1000, oil rose to $140 bbl, an most other commodities increased dramatically.
When real-estate values dropped, the money supply dwindled. THAT was the deflationary part. Commodities, gold, and other currencies fell in relation to the dollar.
We will have inflation again, but only if that "lost" money is replaced by real, actual printed money or its equal in government deficit spending, or both. Since "trillions" were lost in the meltdown, Obama would have to replace that amount in the USA economy, and other governments in other nations would have to do likewise.
---------------------------------
Let's party like its 1929.
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