Thursday, August 30, 2012
Indeed, it is the debt that is now destroying all liberty. There will not be HYPERINFLATION for the bankers are in full control of Congress and the Fed. They are forcing austerity and higher taxes. The excuse is put forth that government will collapse if they cannot pay their debts. The fact that nearly 70% of the total national debt is past interest payments, we are in the last throes of this very dangerous debt implosion. The problem we face, it is EVERY country in Europe including Germany and across the globe to Japan. This is simply the way things are. The bankers are advising against HYPERINFLATION because they do not want funny money. So we have to be concerned about STAGFLATION, rising costs with collapsing economic growth. We are living so far beyond our income that we are living completely unconnected to any productive capacity. The debt can no longer be paid off. It is beyond several generations. Charles Dickens wrote in Little Dorrit that “[Credit is a system whereby] a person who can't pay, gets another person who can't pay, to guarantee that he can pay.” Back in the good old days when the national debt was just $1 trillion instead of $15, President Ronald Reagan made it clear: “We don't have a trillion-dollar debt because we haven't taxed enough; we have a trillion-dollar debt because we spend too much.” History has proven he was right!
Tuesday, August 7, 2012
Martin Armstrong: We are on the verge of a systemic global meltdown and if you do not understand what we face, you will lose your shirt, pants, wife, kids, and the farm. This whole nonsense of HYPERINFLATION PRESUMES government will just continue to print forever. They do not even address the reality that the bondholders are the very people who are demanding to raise taxes and impose austerity to ensure what they are paid back and not with devalued funny money. They warn government that their future borrowing capacity is at stake and unless they do as the bankers say, the world will end for they will no longer be able to borrow continuously. This is the inherent check against HYPERINFLATION that is ignored by all this hype. The average person is being squeeze both in taxes and in interest rates. The banks have positioned themselves as the necessary evil and eliminating Glass-Steagall was critical to their agenda. They can now dominate the financial world pushing more and more debt controlling government and keeping spreads between cost of funds and lending rates at record highs.
PC's comments are useless. He knows MoF does not control RBI. RBI will not let interest rates fall with such high inflation otherwise from stagflation we will get closer to hyperinflation (?). The wealth disparities will go through the roof. Reckless overambitious fat cats borrowers will benefit. Conservative savers will ofcourse get screwed. It is very regrettable that PC can not come up with any new ideas other than the same old rut. It looks like the whole lesson of US has not filtered down to these chaps !!! Their debt is already downgraded. What will you do when every one is hugely indebted and ET THERE IS NO GROWTH ? The govt borrowing costs will go thru the roof (as no one will lend beyond a limit) and the govt will default (because of high interest payments). Why can't he focus on rapid liquidation of defaulted cos instead?
Sunday, August 5, 2012
The Indian judiciary will never takes action in time till some 70 year old man goes on a hunger strike and lacs of people come on the roads. As soon as things cool down they too will cool their heels. The Bhopal Gas tradegy victims after 30 years of a court fight got a princely sum ……of few dollars, awarded by the courts ! Any guesses as to how much the bast%$d lawyers got PER HOUR fighting this case? The Italians who shot Indian fishermen were asked to pay peanuts by the court to release their ship. Readers are nuts if they expect justice. Its your own job to take care of yourself. Madoff too was let to operate for SEVERAL years. Man Financial CEO is still moving freely after stealing hundreds of millions off customer dollars. This is like HDFC Securities punting money, loosing and taking customer’s money (as an example only)! Peregrine did the same. Rajat Gupta and Anil Kumar too were cheating on the system. Several are still in the open. So this is a WORLDWIDE problem. The Indian judiciary is only for lawyers to make money. They will NEVER give justice. What is the use of justice after 15-30 years of waiting? The defendant might die by then.