I have decided to preface my remarks with a little background on Alan Greenspan who was Bernankes’s predecessor as Federal Reserve Chairman. William Black who gave over 10,000 criminal referrals to the Department during the Savings and Loan crisis of the 1980s said that Greenspan was a lobbyist for Charles Keating of the Keating Five fame. Greenspan was lobbying for the worst banking fraud in the ten thousand cases at that time.
My theory of modern Presidents can now be applied to Federal Reserve Chairmen. Each one must be certified to be far worse than the preceding one before being allowed to take the oath of office.
Quantitative Easing (QE) is merely a fancy way of saying an increase in money supply to buy bad debts from banks. America has had so much of it from Federal Reserve Chairman Ben Bernanke that we have had to number the periods of rapidly increasing money supply QE 1, 2 and 3.
I think the public would have a better grasp of economic reality if we renamed QE 3 QE 30. Why? Because unending money printing will eventually inflate the supply of dollars ten times and transfer all wealth from us to the bankers.
It is clear that Ben Bernanke has demonstrated he is far worse at regulating than Greenspan because he is using QE30 to bailout every Bilderberg owned big bank in the world. He does not disclose what he is doing but he did create 16.1 trillion dollars from 2008 to 2010 and used that to buy fraudulent mortgage backed securities from European banks to keep Wall Street bankers out of jail. He also created 7.7 trillion dollars which he loaned to US banks at 0.01% interest.
The Federal Reserve under Bernanke has been engaged in Currency Swaps for some time. I remember former congressman Grayson asking Bernanke why he had sent enough Federal Reserve notes to give $3,400 for every man, woman and child in New Zealand to swap for NZ dollars.
Now Bernanke is arranging swaps for the euro to bail out their banks. European law requires banks and insurance companies to buy government bonds. This means Bernanke will have to create and swap trillions dollars for euros and pounds.
This is in addition to the 2 trillion dollars a year the FED needs to fund the US budget deficit.
And then there is the 250 trillion dollars in Credit Default Swaps written by the Big Five US banks. CDS are a hybrid between a derivative which is a bet on the future value of a bond or a commodity and insurance. CDS are unregulated and can be sold without setting aside money in a fund to pay potential losses as auto, life and fire insurers are required to do. The American taxpayer through FDIC insurance has guaranteed all those CDS losses. Those same taxpayers have also guaranteed all of the bad debts in Europe and the United State plus the bankers bonuses.
Ten trillion dollars here. Ten trillion dollars there. Pretty soon it all adds up. It adds up to the fact that you will have a very hard time buying food if you do not own gold, silver or a farm.
When a bank loans money to you, they are increasing the money supply. Think of a dollar as a lottery ticket. If I increase the number of tickers from one trillion to ten trillion, I have cut the value of your lottery ticket by 90%. The practice of loaning money into circulation just makes for huge mounds of Unpayable Debts. The bank does not risk a loss when it loans you money. All it does is to decrease the value of your pension, your savings and your paycheck while charging you interest. And Bernanke picks up the losses which he passes on to you with higher prices in the following year for food, gasoline and utilities.
We have no economic policy except impoverishing everyone who does not own a bank. In a massive inflation the first people to get their hands on billion and trillion dollar loans walk away with everything.
Blythe Masters is VP for Global Commodities at JP Morgan. She and her counterpart at Goldman Sachs are busy buying in the futures market the food you and your friends and family will be purchasing at much higher prices next year. As a Bilderberger said, “in 2012 there will be plenty of food on the shelves. You just won’t have enough money to buy it.”
I would suggest a rational debt cancellation which has been practiced since the Babylonians. I would love to see a debt free currency and the end of fractional reserve banking.
And we must have the Treasury seize the FED.
My standard criticism applies: Arrest everyone guilty of financial fraud. Seize their assets. Use RICO to arrest and seize the assets of their co-conspirators in the government and the news media.
There will be no recovery until the criminals who run the world are in jail.
Author’s Note: If you want to win this battle, please read this:
Hit The Media At Their Weak Point: Pull Their FCC Licenses