Author Archive
Mr Geithner wants his European counterparts to help him maintain the facade that “liquidity” equals creating “money” out of thin air through the issuance of new debt paper and that the financial markets can be kept happy by covering their bets. The financial markets have literally bet the house on the promise that what they are “investing” in is too big to fail – or even go down in price on a long-term basis. …
Read MoreThere is a very old and tested adage that has long been applied to booms and busts brought on, as they will inevitably always be, by government tampering with money and credit. The adage goes as follows: “In the washout of the bust which always follows the boom, real wealth returns to its rightful owners.”…
Read More
You Couldn’t Invent This in Fiction
Consider this for a moment. Treasury Secretary Tim Geithner recently received a letter from Republican Senator Pat Toomey. In the last week of January, Senator Toomey (a member of the Tea Party caucus) introduced into Congress what he called the Full Faith And Credit Act. It has since come to be known in US media circles as the Debt Doomsday Act. …
Read More
You Can’t Eat IOUs
When the mainstream media talks about the growing “problem” of government deficit spending, they always focus on nations which are having trouble servicing their debts. The issue of actually “repaying” the debt is seldom mentioned. If it is, it is taken for granted that the debt will be repaid – sometime in the indeterminate and nebulous future [ also see “Debt, It isn’t what it used to be” – Ed.]…
Read MoreThere are two ways to acquire wealth. One can produce it or one can take it from those who have produced it. The first method has often been called the economic method. The second method has many names. It has been called stealing, or usurpation, or expropriation, or “eminent domain”. Whatever, the description, there is one constant.…
Read More