In the first few phases of Wall Street’s exploitation of the American people and of the world, terrible things were done to common folk like you and me. The Federal Reserve gave banks the right to charge us interest on money they created out of nothing. The Internal Revenue Service was needed to make us pay taxes for the interest on the money the bankers created out of nothing.
In the old days they ran the stock market way up and then let it drop like a rock. That 3 million Americans starved to death in the Great Depression was of no interest to them. That 58 million people were killed in WW II after the German military and the Japanese Emperor tried to surrender cannot be mentioned in the Corporate media. The deaths of more than 60 million under the Jewish controlled Soviet Regime is a forbidden topic. After WW II North Korea was given to Joe Stalin so we could have a profit making war and kill the anti-Communists who wanted to defend us.
That treasonous betrayal was repeated with President Kennedy’s assassination. The United States had a Banker Occupied Government and they wanted to announce to the world who ran the show. They also killed JFK because Israel wanted nuclear weapons which the President opposed. And the Bankers wanted to get white America to take illegal drugs. Vietnam was America’s first opium war. Afghanistan was its second. Today the Bankers launder a trillion dollars a year in illegal drugs and weapons money.
1971 was a watershed year. That was the year Nixon took America off the gold exchange standard. He had no choice. One part of that plan to destroy America was to over populate America and impoverish the citizenry so they would be poor Debt Slaves with no control over their lives.
Over population forced America to import raw materials. The American economy functioned well in the old days when Americans extracted natural resources and used skilled labor to add value to their products. This worked well until the population went over 150 million in 1950. Then we were supposed to lower wages every time we added a few million people so we could pay for the imports of natural resources. Instead of doing that we inflated the currency and forced married women out of the home. That lowered real wages but the Bankers had an additional plan.
America’s Bankers took advantage of the Bretton Woods Conference of July 1944 which made the US dollar the world’s reserve currency. The Federal Reserve system has an enormous appetite for new people willing to pay taxes to pay the interest on the American debts the banks generate. Of course this debt is ‘fictional’ in the sense that if we had a non-interest bearing currency like President Lincoln’s Greenbacks there would be no national debt. And, if we ended fractional reserve banking, America could save a trillion dollars a year from its budget.
Fractional reserve banking allows a bank to loan out 9 times what it has on deposit. For example, Mrs Jones deposits $10,000 and receives maybe $100 a year in interest. The US inflation rate is almost 9% so she is losing $800 a year in real dollar terms and actually more because she has to pay taxes on that $100. The banker is allowed to loan out $100,000 on the basis of her deposit. At 10% that would be $10,000 a year he gets in interest payments. $29,995 if he loans it out on credit cards.
Under Bretton Woods if two nations wanted to trade with each other, they would use dollars rather than gold to make the transaction. Charles De Gaulle demanded gold for his dollars so Nixon closed the gold convertibility of US dollars on August 15, 1971. At that point, the US continued its Money Printing policies to prop up an economic system that was never designed to work. Over population demanded lower wages every year. Overseas wars and occupations were expensive. They were covered by even more Money Printing which was paid for by the people overseas who were forced to use dollars.
If all those interest payments boggle your mind, think of the Federal Reserve as a landlord who charges his tenants rent. The gross interest on the US debt today is 5 times President Kennedy’s entire budget. That exponential growth in the debt and in the interest on the debt (both of which are ‘fictional’) is a real budget killer. In America’s case those Unpayable Debts are threatening to end the once proud nation.
Henry Kissinger and Richard Nixon made the first steps towards opening up trade with mainland China in 1972. That was part of the plan to destroy the working class by taking away their jobs. In 1973 Henry Kissinger created the Petrodollar. He got the Gulf oil nations to quadruple the price of oil and to agree to only sell their oil for dollars. That gave the dollar a new lease on life which kept it going until just recently when Wall Street went into what I called its ‘Silly Season.’
Under the Petrodollar system the people of the world had to buy dollars before they could import oil. In effect the whole world was paying rent to the Federal Reserve which continued to Print Money. The Gulf States were encouraged to invest their dollars in America and to buy US Treasury bonds. Of course this meant that America could never let the price of either oil or alternative energy go below the amount needed to pay the interest on America’s public and private debts.
In fact the US declared war on Iraq in 2003 because the Iraqis wanted to sell their oil for euros. The desire to have an interest free currency and to refuse to sell oil for dollars has been one half of the reason for all of our wars in the modern era. The other reason was that we went down that list Israel gave us of nations we should hate and kill.
The Clinton and Bush administrations were America’s second watershed years. It was only after them that we entered the ‘Silly Season of our Planned Destruction.’ Clinton and Bush should be thought of as being of the same political party. Both were CIA assets as is Obama but he has a different role in the End Game.
In the Clinton years Glass-Steagall was repealed. That Act had since 1933 protected depositors from commercial banks losing their savings in wild speculative investments. Also in the Clinton years Brooksley Born of the Commodities Futures Tracing Commission was told by four Jewish men – Robert Rubin, Larry Summers (Samuelson), Alan Greenspan and Arthur Levitt – that she could not regulate Credit Default Swaps (CDS). Blythe Masters of J P Morgan invented CDS in 1995. They are faux (false) insurance. They were used to guarantee subprime mortgages that were worthless frauds. The problem with a CDS is that there is no requirement that they have resources capable of paying off their potential losses. There are more than 700 trillion dollars in potential losses. That is well beyond the means of every taxpayer in the world to pay off.
NAFTA (The North American Free Trade Act) sent America’s industrial base overseas. It sent US jobs first to Mexico and then to the smaller Asian nations. Then China was allowed to devalue their currency. Mexico and the smaller nations of Asian lost their competitive advantage.
Look at America’s population growth. It went from a pre-NAFTA 248 million to 281 million in 2000 and 308 million in 2010. The US at the same time has been bleeding jobs. 56,000 American manufacturing plants have closed since 2000.
The US has more than 4 million young people turn 18 every year. But the Congress and Presidents Bush and Obama gave out a million Green cards a year to let legal immigrants work. And they let 30 million illegal aliens take jobs as well. We have added millions every year to the work force but have created almost no jobs at all at least in the civilian sector which in theory is supposed to be paying for this charade.
The long term goal of the Bankers is to paper the world with US dollars and to crash the dollar stealing all of the pensions and savings on the planet. When they crash the dollar, they plan to let America’s cities burn to the ground while she fights multiple simultaneous Race Wars on her own soil.
You might want to take an in depth look at jobs in America in the post-NAFTA era. The US Debt clock lists 19,526,487 state and local jobs. It lists 4,424,534 federal jobs. Many of those federal jobs are in the military kicking in doors in nations that never did anything to America. Many more are in Security Theater. The TSA gropes our genitals at airports looking for Al Qaeda. They have never found any terrorists. But they have trained our children to be sexually submissive whenever a man in a uniform wants to rape them. If the Department of Homeland Security were serious, they would arrest everyone in the Congress, the White House, the State Department and the Pentagon who sent money and aid to Al Qaeda to gouge out the eyes and to behead the Christians of Syria.
All of those salaries for government workers plus all of the wages of the Arms suppliers and all the people who sell things to government are paid for out of American taxes and deficits. Also in the subsidized category are hospitals, clinics, pharmacies and food stores. WalMart was hurt in November of 2013 when their customers lost purchasing power due to the cuts in Food Stamps. A second cut to Food Stamps was just approved by Obama. That will again hurt the grocery stores.
The only significantly growing occupation with good wages is nursing. But Obamacare will soon destroy the medical profession as well. As for those state and local workers, the deficits are about all that is keeping them going. Meredith Whitney is famous for her prediction about how many local governments will go bankrupt. She is right but just a tad early in her timing.
The quality of jobs is low. I once calculated that the average wage of a college graduate was $12.25 an hour after taxes. But Obamacare is cutting back hours worked to less than 30. And the average college grad owes $25,000 in student loans and $3,400 on their credit cards. Those people cannot pay taxes to support high wages for school teachers, the police and the firemen. The latest frauds are subprime auto loans. Nobody can afford to pay for the cars they bought. And students are borrowing money to feed their children. These students will never get high paying jobs. The whole economic landscape is about to crash. And, as I previously noted, America has to pay a trillion dollars in repair bills to keep the dams and bridges from collapsing.
Only older people and immigrants are getting jobs. Younger people are losing jobs. Workers 55 and over gained 4.9 million jobs since 2007. Workers under 55 lost 3.75 million jobs in the same time frame. Native born citizens actually lost many more jobs than that because many of the jobs in their age group went to legal and illegal immigrants.
Employers want older workers because they learned to read and do basic math before the schools destroyed the educational system. Illegal immigrants who receive Amnesty have been promised subsidies for Obamacare so employers will have an incentive to fire citizens.
Magazine covers have proclaimed that automation will destroy 40% of the working class jobs in America. America has doubled its number of people receiving disability benefits since 2007. Who will make those disability and Social Security payments if 40% of the remaining people with jobs lose them? If China sends some factory work back to America after the dollar crashes and our wages are cut in half, only a handful of people working in those automated factories will have jobs. If we lose tens of millions of jobs, where will people find work and how will they buy food and pay their rent?
We have now entered the Silly Season which precedes the period of our Final Destruction or the Deadly Season during which hundreds of millions of us, if not more, die every year.
The Silly Season began when a congressman asked Ben Bernanke for permission to look at the Federal Reserve’s books. Ben said, “No.” Ben loaned out $7 trillion at 0.01% so Wall Street could cover the fraudulent Mortgage Backed Securities they sold to Europe. The Silly Season continued when former former Treasury Secretary Geithner went to China and told his audiences that America would repay its debts. The Chinese people thought that was funny. Then there was Geithner’s performance in Europe when he told the Europeans how he could help them create trillions of dollars to solve Europe’s problems. I thought it was funny that Geithner whose first job after college was at Kissinger Associates was selected to be Treasury Secretary.
The Silly Season continued when plans were floated at the World Economic Forum in Davos to add $100 trillion in debt to this already over burdened debt system. Then there was that Bail in of the banks in Cyprus. The Central Banks from Canada and America to Great Britain and Europe signed on to Bail ins. When things go bad, just seize the deposits and let the people scream. That is very funny. Americans have more than 300 million guns.
We have now entered the ‘High Silly Season.’ Barack Obama has been threatening sanctions everywhere. It is sort of like the man who just bounced his check at a department store threatening to take his business elsewhere if the store manager won’t take another bad check.
Obama has some real idiots working at the State Department and at his National Security staff. He is simultaneously threatening to surround China and Russia with our dwindling military assets. He has no means of funding the Ukraine which is about to default on $410 billion in loans. Obama recently honored a soldier at his State of the Union address. That soldier had served 10 tours in Iraq and Afghanistan. He was severely injured and is in no shape for an 11th tour.
Actually that soldier is in far better shape than America’s economy. Russia and China could start selling US Treasury bonds and buying commodities. The dollar, the bond market and the stock market would crash in minutes. Prices would double overnight as people overseas dumped their dollars en masse for commodities and real assets. America would not have enough men in uniform to stop the Nationwide Food Riots which would begin the day after food prices doubled.
Enjoy the Silly Season while it lasts. The Deadly Season where millions die daily is nearly upon us.