Huge Benghazi bombshell -- Obama actually in trouble now

[Kirkland Laing]

but I guess when you look at where the money comes from it spins around in the same circles, so it isn't such a waste. Plus they can always print some more and give it to the banks

About three or four months ago you discovered the existence of fractionated reserve banking. To say your knowledge of where money comes from is at a Janet and John level is an insult to Janet and John books and the preschoolers who read them.

The Fed recently ended QE. Why aren't we currently seeing skyrocketing bond yields, hyperinflation and so on, hmmm?


Not currently happening. Why not?

As a prodigious, intelligent and successful man of the world (ice cream marketing, greatest seller of useless products etc), fractional reserve banking is something I have known about for many years. In certain nations it has become more than fractional reserve banking with infinite re-hypothecation meaning in essence that the money is emerging from a complete vacuum. The banks have nothing to back up their cooked and rather scruffy books beyond a wave of frauds and manipulations.

The Fed may have ended the latest round of money printing (fraud), but the scheme is a global one and the buck has merely been passed onto Japan. The reason we are not seeing hyper inflation is because the Feds printed money is being handed directly to the banks (almost for free) and they are holding onto it because, as I mentioned before, these institutions are insolvent. This isn't rocket science. Unless money actually gets passed on to the real economy there will be no significant inflation. All the inflation is in stocks and asset prices. In the real world wages are falling and continue to fall.

I hope this service has been of some use to you and I really appreciate the picture of those lovely little aristocrats.

That's not what you were saying a few months ago. A few months ago you were convinced as soon as the Fed stopped QE the dollar would collapse.

I do not recall ever having made this particular statement. As soon as QE stops you would expect the markets to stop rising as they are. However, all I can see is a central banking cartel that passes the buck when the heat gets too hot thus the fraud continues unchecked. The cartel seem to be very much in collusion and I am not sure they can end QE without the painful consequences. Assets and stocks are overvalued, but with ZIRP at unprecedented levels, I have a hard time seeing normality ever in place again. The system has eaten itself alive and those in charge know it, they have no way of winding it all back in and so the continued mirage of stocks and assets is being used to suggest recovery, when in fact the entire system is in a much worse place than last time.

I think banking as a % of GDP stands at something like 450% today and that is with them constantly in the dock and insolvent beyond their frauds. By comparison it was only 150% in 1990. Deregulation and infinite hypothecation has led to some rather outrageous behaviour and 2008 was only a slight unraveling. Instead of dealing with it, they opened another bottle of bubbly and continued to gorge on the rotten carcass of the imperialist economies. They should have gone bust, but now there are no serious penalties for the banking class, it's anyone's guess what comes next.

Economic norms and expectations have a very difficult time in times of unprecedented absurdity. It's anyone's guess where it ends up, but the banks as they stand likely have to go.

The way you explain the economy here is as if it is in total chaos. Can you explain then why it hasn't collapsed yet...

Spot on matey. That will never happen. There's always an excuse why (see my next post). And when we do get some kind of economic collapse in the future Miles will say see, I told you!

[pacfan]

but I guess when you look at where the money comes from it spins around in the same circles, so it isn't such a waste. Plus they can always print some more and give it to the banks

About three or four months ago you discovered the existence of fractionated reserve banking. To say your knowledge of where money comes from is at a Janet and John level is an insult to Janet and John books and the preschoolers who read them.

The Fed recently ended QE. Why aren't we currently seeing skyrocketing bond yields, hyperinflation and so on, hmmm?


Not currently happening. Why not?

As a prodigious, intelligent and successful man of the world (ice cream marketing, greatest seller of useless products etc), fractional reserve banking is something I have known about for many years. In certain nations it has become more than fractional reserve banking with infinite re-hypothecation meaning in essence that the money is emerging from a complete vacuum. The banks have nothing to back up their cooked and rather scruffy books beyond a wave of frauds and manipulations.

The Fed may have ended the latest round of money printing (fraud), but the scheme is a global one and the buck has merely been passed onto Japan. The reason we are not seeing hyper inflation is because the Feds printed money is being handed directly to the banks (almost for free) and they are holding onto it because, as I mentioned before, these institutions are insolvent. This isn't rocket science. Unless money actually gets passed on to the real economy there will be no significant inflation. All the inflation is in stocks and asset prices. In the real world wages are falling and continue to fall.

I hope this service has been of some use to you and I really appreciate the picture of those lovely little aristocrats.

That's not what you were saying a few months ago. A few months ago you were convinced as soon as the Fed stopped QE the dollar would collapse.

I do not recall ever having made this particular statement. As soon as QE stops you would expect the markets to stop rising as they are. However, all I can see is a central banking cartel that passes the buck when the heat gets too hot thus the fraud continues unchecked. The cartel seem to be very much in collusion and I am not sure they can end QE without the painful consequences. Assets and stocks are overvalued, but with ZIRP at unprecedented levels, I have a hard time seeing normality ever in place again. The system has eaten itself alive and those in charge know it, they have no way of winding it all back in and so the continued mirage of stocks and assets is being used to suggest recovery, when in fact the entire system is in a much worse place than last time.

I think banking as a % of GDP stands at something like 450% today and that is with them constantly in the dock and insolvent beyond their frauds. By comparison it was only 150% in 1990. Deregulation and infinite hypothecation has led to some rather outrageous behaviour and 2008 was only a slight unraveling. Instead of dealing with it, they opened another bottle of bubbly and continued to gorge on the rotten carcass of the imperialist economies. They should have gone bust, but now there are no serious penalties for the banking class, it's anyone's guess what comes next.

Economic norms and expectations have a very difficult time in times of unprecedented absurdity. It's anyone's guess where it ends up, but the banks as they stand likely have to go.

The way you explain the economy here is as if it is in total chaos. Can you explain then why it hasn't collapsed yet...

Spot on matey. That will never happen. There's always an excuse why (see my next post). And when we do get some kind of economic collapse in the future Miles will say see, I told you!

Geeze, I'm glad you're still ol' Mr. Infallible. I though age might have slowed you down these days.