Destruction of the US Dollar II
POSTED BY: SignyM
UPDATED: Thursday, February 19, 2026 15:30
VIEWED: 12130
PAGE 5 of 10
Anyway, a quick retrospective, and some perspective.
Remember Clinton ? Remember how the stock market went up year after year ? Did the US economy really generate that much real value ? Well, no.
Two things contributed to that -
One was there was a lot of concentration of capital globally. Basically, there was a lot of money looking for a place to make profit.
The other was there was a sound-dollar policy. Because of that, when the Asian and South American currencies collapsed people were looking for DOLLAR-denominated vehicles, and the US stock market was one of them. Sound GOVERNMENT finances were the basis of the sound dollar. With government running in the black, it was not borrowing money. The dollar supply didn't need to be artificially expanded to pay off government debts.
Bush's weak dollar was not by accident. The rePUBICans, in their quest to 'starve the beast' went on an orgy of spending and borrowing to collapse the federal government into insolvency. (That's what I meant when, years ago, I said the Iraq war was 'over determined'. Cheney was carving up Iraq within months of being installed WAAaayyy before 9/11, Georgie Porgy wanted to outdo daddy, the necons wanted the New American Century, and besides, you can waste a lot of money in war.)
Maybe they were too stupid to realize it would collapse the dollar. But Cheney at least, took all his investments out of dollar-denominated assets years ago. So at least some saw the future of the US dollar.
What they might not have realized is that it could collapse the global economy.
OOOPS. 
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Silence is consent.
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This is History being re-enacted...
http://www.globalresearch.ca/index.php?context=va&aid=12518
All of you have been Noticed about this , time and again...
"...After the 1929 October 24, 28 and 29 market crash, the weekly entertainment industry magazine Variety (on October 30) published its most famous ever headline: "Wall Street Lays an Egg." In October 2008, history repeated, and since the October 2007 peak, equity prices plunged over 50% after the Dow and S & P (in February) posted their second worst ever monthly percentage declines - topped only in 1933 during the depths of the Great Depression. So far, the current market drop matches its 1929 - 1932 pace, and like then, shows no signs of abating..."
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AIG boss urges staff to return bonus pay
CEO says firm made mistakes
Facing mounting public ire and even death threats over multimillion-dollar bonuses, the head of troubled insurer American International Group Inc. backed down yesterday, urging his employees to give at least half the money back.
AIG chairman and chief executive Edward Liddy told a congressional subcommittee probing the government bailout of the New York-based insurance giant that he's heard the outrage of Americans, loud and clear.
"We've attempted to amend the situation," Mr. Liddy told agitated members of the House of Representatives who demanded to know why rich bonuses were paid to employees responsible for the risky transactions that toppled the company last September.
The furor comes amid a gathering political storm over the plight of AIG, which is 80 per cent owned by the U.S. government after an injection of more than $170-billion in taxpayers' cash. The insurer is still trying to unwind more than $1.6-trillion worth of risky investments, including currency and oil trades, and credit default swaps, a form of insurance against bond defaults.
AIG tells employees to give back at least half the money; Obama defends Geithner amid calls for his resignation over failure to block payouts
Ron Paul On Glenn Beck
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It would be okay for the Federal government to spend like a drunken sailor IF the government were to
1) Reverse the structural weaknesses in our economy. The biggest weakness is the historic (1929-level) discrepancy between rich and poor. Everywhere you look, economies are collapsing because of lack of consumers. It is an inherent weakness of capitalism: in its quest to reduce labor costs capitalism winds up starving its own consumers. The entire world needs to adjust to the fact that the US can no longer be the world's consumer, and the US needs to re-balance its distribution of wealth so that demand is based on something OTHER THAN debt.
2) Invest in areas that would make us more productive. We've shipped our production overseas, thanks to capitalism. We need to bring it back: Invest in roads, education, health care, alternate energy. THAT kind of government spending creates jobs at home.
3) Support the same actions oversees. We can't be a wealthy, free-spending nation in a world of poverty for very long. We've run it for three decades already. The EU already has its plans in place. But South and Central America, Africa, large portions of the mideast are run by corrupt governments which create vast numbers living in dire poverty. Transparency and economic democracy are the antidote.
4) Take power back from capitalism running the government and running amok. Re-regulate. Nationalize, if need be. Put the economy back on a sustainable footing. The excesses of capitalism has taken the USA from first-world status and is moving us to third-world status: an exporter of raw materials, with a vast undereducated population of diminishing wealth and a weak currency.
5) Eventually balance the budget.
It IS possible to work our way out of this mess, and spending is part of the plan. But spending, BY ITSELF, isn't going to fix the problem. The re-distribution of wealth that Reagan and GWBush engineered must be reversed, we need to revitalize production, and stop hemorrhaging money into the middle east and china.
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It's the end of the world as we know it, and I feel fine.
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Quote:
Everywhere you look, economies are collapsing because of lack of consumers. It is an inherent weakness of capitalism: in its quest to reduce labor costs capitalism winds up starving its own consumers.
Ding Ding Ding!
We have a winner.
That's prettymuch it, in spades.
-F
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China's central bank has reiterated its call for a new reserve currency to replace the US dollar.
The report from the People's Bank of China (PBOC) said a "super-sovereign" currency should take its place.
Central bank chief Zhou Xiaochuan has loudly led calls for the dollar to be replaced during the financial crisis.
The bank report called for more regulation of the countries that issue currencies that underpin the global financial system.
"An international monetary system dominated by a single sovereign currency has intensified the concentration of risk and the spread of the crisis," the Chinese central bank said.
The dollar fell after the report was released. The US currency dropped 1% against the euro to $1.4088, and declined 0.8% versus the British pound to $1.6848.
Mr Zhou caused a stir earlier this year when he said the dollar could eventually be replaced as the world's main reserve currency by the Special Drawing Right (SDR), which was created as a unit of account by the IMF in 1969.
The PBOC said in the report that not only should the world adopt the SDR, but that the IMF should be entrusted with managing a portion of its member countries' foreign currency reserves.
"To avoid intrinsic shortcomings in using a sovereign currency as a reserve currency, we need to create an international reserve currency that is divorced from sovereign states and can maintain a stable value over the long term," the PBOC report said.
It also issued some veiled criticism of the US policies, saying that one of the major issues was that it was difficult to balance the needs of domestic politics with the requirements of being the world's reserve currency.
"The economic development model of debt-based consumption is most difficult to sustain," the PBOC said.
Russian President Dmitry Medvedev recently joined Mr Zhou in saying it was time to consider an alternative benchmark currency for international debt.
But Russian finance minister Alexei Kudrin then said "it's too early to speak of an alternative".
http://news.bbc.co.uk/1/hi/business/8120835.stm
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'...Happy-face media reporting of economic news is providing the usual upbeat spin on Friday’s debt-deflation statistics. The Commerce Department’s National Income and Product Accounts (NIPA) for May show that U.S. “savings” are now absorbing 6.9 percent of income.
I put the word “savings” in quotation marks because this 6.9% is not what most people think of as savings. It is not money in the bank to draw out on the “rainy day” when one is laid off as unemployment rates rise. The statistic means that 6.9% of national income is being earmarked to pay down debt – the highest saving rate in 15 years, up from actually negative rates (living on borrowed credit) just a few years ago. The only way in which these savings are “money in the bank” is that they are being paid by consumers to their banks and credit card companies.
Income paid to reduce debt is not available for spending on goods and services. It therefore shrinks the economy, aggravating the depression. So why is the jump in “saving” good news?
It certainly is a good idea for consumers to get out of debt. But the media are treating this diversion of income as if it were a sign of confidence that the recession may be ending and Mr. Obama’s “stimulus” plan working. The Wall Street Journal reported that Social Security recipients of one-time government payments “seem unwilling to spend right away," 1 while The New York Times wrote that “many people were putting that money away instead of spending it.”2 It is as if people can afford to save more.
The reality is that most consumers have little real choice but to pay. Unable to borrow more as banks cut back credit lines, their “choice” is either to pay their mortgage and credit card bill each month, or lose their homes and see their credit ratings slashed, pushing up penalty interest rates near 20%! To avoid this fate, families are shifting to cheaper (and less nutritious) foods, eating out less (or at fast food restaurants), and cutting back vacation spending. It therefore seems contradictory to applaud these “saving” (that is, debt-repayment) statistics as an indication that the economy may emerge from depression in the next few months. While unemployment approaches the 10% rate and new layoffs are being announced every week, isn’t the Obama administration taking a big risk in telling voters that its stimulus plan is working? What will people think this winter when markets continue to shrink? How thick is Mr. Obama’s Teflon?
We are living in the wreckage of the Greenspan bubble
As recently as two years ago consumers were buying so many goods on credit that the domestic savings rate was zero. (Financing the U.S. Government’s budget deficit with foreign central bank recycling of the dollar’s balance-of-payments deficit actually produced a negative 2% savings rate.) During these Bubble Years savings by the wealthiest 10% of the population found their counterpart in the debt that the bottom 90% were running up. In effect, the wealthy were lending their surplus revenue to an increasingly indebted economy at large.
Today, homeowners no longer can re-finance their mortgages and compensate for their wage squeeze by borrowing against rising prices for their homes. Payback time has arrived – paying back bank loans, whose volume has been augmented to include accrued interest charges and penalties. New bank lending has hit a wall as banks are limiting their activity to raking in amortization and interest on existing mortgages, credit cards and personal loans.
Many families are able to remain financially afloat by running down their savings and cutting back their spending to try and avoid bankruptcy. This diversion of income to pay creditors explains why retail sales figures, auto sales and other commercial statistics are plunging vertically downward in almost a straight line, while unemployment rates soar toward the 10% level. The ability of most people to spend at past rates has hit a wall. The same income cannot be used for t
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'...There are many serious and honest economists and analysts who are very astute at reading the circus of American politics and economics. Many of them, like Marc Faber, see very clearly that the so-called financial and economic “solutions” to the current credit crisis (really a dollar crisis) are made to fail. In fact the bailout “solutions” will move the system further toward collapse.
A thought here on psychological warfare: Since the American system poses as an “open society” with a “free press,” there is the pretension to allow open debate, but only on spurious issues. The effect is that as long as the issues are not real or are spurious they are welcomed and promoted as open debate and commentary. The people do not have a clue that all public commentary is spurious.
Shakespeare wrote in As You Like It, “All the world’s a stage.”
What then is the issue that even very savvy commentators fail to understand or even mention?
The problem is that all of them are trying to see and understand the American system as free enterprise when in fact it has been socialist for a hundred years.
“The world is governed by very different personages from what is imagined.” —Benjamin Disraeli.
This is a most sensational testimony of the power of naming government systems something that they are not and imposing it on the public mind and psyche by a long process of “public education” and highly sophisticated and organized propaganda on a world-wide basis. There has never been an equal and even at this moment it is more powerful than ever, deceiving more people than ever.
Socialism in America today is seen as a raving success because its hidden handlers call it by other names. Hitler indeed made an attempt to call Nazi Germany “the great democracy.” Through his effort to put a pretty face on an ugly system, he certainly must have understood the propaganda significance of the sensational power of people persuasion with names, fronts, and high-sounding human freedom terms.
Alas, for the record, you historians will not, I hope, see national socialism as any different from American democracy today or even at the time of World War II when the two (U.S. and Germany) were locked into mortal combat.
In fact, except for their different names bestowed upon each by their hidden elite masters, they are more identical than identical twins. The bad guys versus the good guys propaganda was meaningless and ridiculous but served well to drive millions to their deaths on all sides as well as motivated parents to sacrifice their young in total ignorance of reality.
All is a disgrace before God, as my mother used to say, that the human race will allow itself generation after generation to be twisted and perverted like animals to the slaughter and precious few ever question “why” about anything.
In fact the more learned and “educated,” the less capacity to think outside the prescribed system.'
http://www.personalliberty.com/personal-liberty-articles/modern-warfar
e-arrives/
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'...Stroll down any aisle at the grocery store on an average day and you’ll probably see thousands of items of all kinds made by any number of producers. Many times there are six or eight brands of the same item. And they come in all sizes.
Although store shelves are currently full, there may soon come a time when that is not the case. As the U.S. Federal deficit grows beyond the current historic levels there will come a time when a correction comes. A devaluing of the dollar has already begun. It will be followed by inflation that could become so severe that food and other necessities become unaffordable or unattainable.
It is happening right now in Latvia, where the government’s current budget deficit is estimated to be about 12 percent of the gross domestic product (GDP), according to the International Heritage Tribune.
So as the Latvian government cuts wages and spending in order to bring down its deficit and qualify for a bailout from the International Monetary Fund, “Austerity is rippling down the social hierarchy, as the affluent cancel vacations, middle-class people fret about social descent, and Dickensian scenes of destitution multiply,” the Tribune says.
Many of the people there can simply no longer afford to feed themselves.
Currently, the U.S. is running a budget deficit of about 13 percent of GDP and spending almost $2 for every $1 it takes in. It doesn’t take a Pythagoras to understand that math like that doesn’t add up.
So if you want to prepare yourself for Latvian-type circumstances and ensure that your family has food to weather such a storm, you need to begin stockpiling food and water now. And even if you don’t believe things in the U.S. can get that bad, it’s a good idea to have some food and water stored in the event of a natural disaster that affects the food and water supply for a short time.
You should always keep on hand at least a three-day supply of food. It’s easy to stockpile a few cans of meats, soups and vegetables, as well some rice and grains, to get you through a short-term emergency. You can do this by buying a few extra things each time you go to the grocery store. Remember, canned foods have a shelf-life of about two years, so rotate your foods.
For longer-term situations, some planning in advance can save you from tremendous hardship when the catastrophe strikes. To prepare, you should have a good stockpile of both canned and freeze-dried foods. All canned soups, fruits, vegetables and meats should be kept in a dry, cool space.
Be smart with your planning and purchasing and you can accumulate food that will sustain you for a long time at very little cost. Just don’t gather things your family will not eat. Oatmeal, Ramen noodles and Bisquick are great things to have on hand in an emergency, and they don’t cost much. And, don’t forget to add commonly used spices, which help to make any food more palatable.
Freeze-dried foods and military style Meals Ready to Eat (MREs) are convenient types of foods to have on hand for emergencies. These are available from outdoor supply stores, survivalist stores and via the Internet. There are various types of MREs that can be purchased in kits with quantities to feed families for up to a year.
Warehouse stores like Costco sell freeze-dried emergency food kits in plastic buckets with as many as 275 servings for about $85. That would be enough to feed a family of four for three weeks.
When buying these pre-packaged meal kits, be sure you compare the packages for a list of meals and ingredients included before making your purchase. Some tend to scrimp on their offerings and provide just enough to survive but not enough for a hearty, filling meal...'
More :
http://www.personalliberty.com/bob-livingston/stockpile-food-to-prepar
e-against-dickensian-scenes-of-destitution/
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its getting hard to refute the idea that this is occurring intentionally. for so many years, this globalist NWO scheme was considered kooky conspiracy theory, the concept of a global central bank, fiat monetary system.. but its coming to fruition right before our eyes. the only thing left is
"He also forced everyone, small and great, rich and poor, free and slave, to receive a mark on his right hand or on his forehead so that no one could buy or sell unless he had the mark, which is the name of the beast or the number of his name. This calls for wisdom. If anyone has insight, let him calculate the number of the beast, for it is man's number. His number is 666"
Revelation 13:16-18
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