Understand History To Understand The Current Markets

Bob Chapman
International Forecaster
August 20, 2011

The Fed has been behind all the failings of the markets, Europe now a disaster waiting to happen, about leveraged speculation and counterparty risk, now we have an escalating debt crisis, the perpetual creation of money is the theft of the value of labor due to the inflation that is caused.

Every professional has their own method of analyzing markets, finance and economies, and some do well coming up with the direction of social and political issues as well. The other 97% miss one-half to two-thirds of the time. That is not very good and one asks why? The answer is simple they really haven’t studied history as well as they should have.

Some believe that the crisis in Europe is the heart of today’s problems. It certainly is a strong integral part, but not the primary causation. The 3-year old finance bubble was created by the Federal Reserve, which began the situation starting in 1993. We saw the dotcom boom, which they could have stopped in its tracks. All they had to do is raise margin requirements from 50% to 60% temporarily. After that collapse in mid-March 2000, they decided rather than purge the systems, as they as well should have done in 1990-92, they created another bubble in real estate. They have been trying to recover from that bubble and other layover problems since we’d say 2000.

Yes you can blame Europe for its part, but the blame lies with the Bank of England, the European Central Bank, and the banks and personages, who control those entities. Those in England, Europe and in the US, who control business, finance and economics from behind the scenes, have played the parts they have in order to bring about world government. If you can perceive and accept that from an historical perspective, they you can understand what is really going on.

European banks are struggling with their fundings and credit is drying up. This is what happened in 2008. As a result Europe is a disaster waiting to happen. Europe is finally realizing this is all about debt. The socialists want it go away, just disappear but it does not happen that way. Debt and credit default swaps will in the end rule the day.

Few reflect back to 12 years ago when the Maastricht Treaty was being approved. The cornerstone was public debt that was not supposed to be more than 3% of GP. That did not last long. Then Italy and Greece, with the help of Goldman Sachs and JPMorgan helped these two basket cases qualify for the euro and euro zone by Mickey Mousing their balance sheets. We saw one interest rate fits all and we knew the euro was doomed before it got started. The condition of the euro zone and Europe is certainly terrible, but so are US debt problems. Policy decisions are bad, but not any worse than they are in the US.

We see pundits trying to separate sovereign debt from bank debt. They are one in the same, because the banks control the governments, and tell them what to do. Europe particularly France, was very upset last week when SoGen was rumored to be insolvent. The answer from those accused was rubbish. SoGen has a history of one of the most criminal banks in the world, so what is new. Just more criminality. SopGen and France are under pressure because they own loads of PIIG debt and are being asked to supply more funds to bail out their neighbors, a role they cannot fulfill without going under themselves. The situation France is in is three times worse what it was in 2008. Everyone expects France and Germany to bail out the bankrupts and that cannot happen. Neither the banks nor the governments can continue to do what they have been doing and at the same time control their financial systems and economies. Now you can understand why CDS credit default swaps trade above 180, when they traded at 80 in 2008. We feel that if the six countries in trouble are not allowed to default it will take the other nations under as well. There is much at stake here. Not only the insolvency but also the breakup of the euro zone and the euro and the dream of using them as a template for a new world order.

In addition it is very significant CDS for Brazil jumped from 35 to 152 as did Mexico, which is an indirect result of what is going on in Europe, UK and the mortgage bond market and by cutting back 30% on loans to small and medium sized businesses. Although they are very leveraged in their other operations, such trading and global leveraged speculation include great counterparty risk. This time exposure is somewhat different but the exposure in the theatre could be just as bad risk wise as it was in 2008. Generally speaking they are not long gold and silver bullion and shares, they are for the most part short. The venue that could be very dangerous is derivatives. The way these major banks and countries have become interconnected the danger always persists and once a fallout begins it could bring down all major banks and countries. Don’t let that fact escape you. They dodged the bullet in 2008, but they might not the next time. The carry trade is as large as it has ever been and the cost of borrowing is close to zero, again, encouraging taking on too much risk.

This past two weeks currency markets have seen large swings, especially in second and third tier countries. No one knows the size of carry trades affecting these countries. We have seen a number of countries quickly give up almost all of their dollar gains of the past several months and the Swiss and Japanese have spent billions of dollars trying to push down the value of their currencies, but to no avail. The euro and the dollar have stayed about the same, but we see the euro weaker due to ongoing financial problems, which contrary to conventional wisdom have not been solved. Throughout Europe not only has money been lent at very low rates, but also much of it is uncollectible. This broken European bubble will deflate for some time to some. It will affect all other sovereign debt negatively as well. These are the borrowers of part of that $16.1 trillion that was lent by the Fed over the last few years, which has never been paid back. European banks are buried in debt and the politicians, whom they own, will do their best to protect them. Unfortunately, there is no painless solution. The contagion is underway and the latest meeting to solve these problems was a failure. The latest European version of the issuance of quantitative easing to buy Italian and Spanish bonds will prove to be futile, just another attempt with taxpayer funds to bail out the banks. This possible “Black hole of Calcutta” at this point puts Europe in a worse position compared to the US, which is no piece of cake, and probably won’t far any better in the future. The working out of US problems will just take longer. As each day passes and in spite of the disinformation, confidence in Europe and the US falters and rightly so. The US has no periphery to support essentially Europe does and that is in favor of the US, but ultimately US problems are far more overwhelming.

The recent commitment of the Fed for zero interest rates for the next two years showed great weakness and will in time come back to haunt them. This was another reward for Wall Street speculators and another moldy bone thrown to the nations savers and elderly. There is no question Wall Street and banking, which own the Fed are desperate, to make such a commitment. The decision for QE 3 was made 15-months ago when we predicted it. We could see it coming and we know the decisions of the last 11 years and the pressure being exerted on the Fed will ultimately bring about its demise, and its days of looting the American public will be over. What the Fed and the ECB have done in greed and for their dream of world government is over. We are closing in on payback time, as desperate measures become more noticeable and a solution remains out of their reach. They will pay for what they have done to us.

Even though we expect at least a few more years of unrestrained leveraged speculation, it will then come to an end. It has become a crucial factor for monetary policy championed by both Sir Alan Greenspan and Ben Bernanke. Wall Street and baking love it, because their positions allow them to create inside information, which allows them to make money consistently with little or no risk. We also have the SEC and the CFTC perpetually looking the other way aiding and abetting their criminal behavior. If you add in that there are no limits to what they can do you essentially have an ongoing free for all. This is unrestrained finance via a policy of zero interest rates. This gives Wall Street and banking a license to steal.

All this has caused a bubble and that bubble is in the process of bursting, a product of fiscal and monetary stimulus. That is not only in the US, UK and Europe, but worldwide As a result confidence in the global system is being lost. De-leveraging of bullish bets in markets of bonds and stocks is underway. Ironically these speculators are short gold and silver and the shares. Short covering is in process with some even switching to the long side in the gold and silver bullion and share markets. How any economist could believe that leveraged speculation reduces risk is beyond us. Fortunately the other shoe has dropped and such theory has been disproved.

The result of all this is that we have an escalating debt crisis worldwide and now the experts in and out of government do not have any solutions as to how to rectify the situation. The sovereign debt crisis has been underway since the early 1970s. This experience shows you how long bad things can last. Before this is over trillions of dollars will be defaulted upon. The days of overwhelming stimulus to gain traction in the economy or economies is in the process of being ineffective. We like to call it the law of diminishing returns. The $2.3 to $2.5 trillion we project that the Fed will have to create in the coming fiscal year will at best produce GDP growth of zero. The minute the Fed and Congress stop feeding the system we will be looking at negative growth of 5%. We are headed toward crunch time and there is no avoiding it. Uncertainty and instability are America’s and the world’s next challenge. Currencies are going to react widely. Gold and silver will fly along with the gold and silver shares as a result of debt and falling economies accompanied by inflation. The big problem will not only be de-leveraging, but also the opaque derivative markets and the Exchange Traded Funds, many of which are leveraged. Yes, it will be a very rough ride, so you had best get ready for it. We never had a recovery and the trappings of growth are quickly falling away. Extending the time line for all these problems is coming to an end, but it probably will not be abrupt. There will be all kinds of terrible events, but it looks like the elitists are going to play this out over an extended time frame before they attempt to pull the plug. That means these problems could be extended out five or even ten more years on a degenerating basis. That also means we will continue to have limited wars for financial gain and distraction. The strategy has been and will continue to be to keep creating money and credit and allow inflow to reduce the size of the debt. These comments regarding debt quoting Bernanke and throwing money from helicopters and Greenspan’s admission that the US cannot be downgraded, because it can always print money are flippant and very unprofessional. What they have both done rather than allow the US government to default is to perpetually create money and credit to paper over the economy’s failure. This process increases inflation that quietly steals the value of purchasing power like a thief in the night. Both men can be classified as thieves for having done to the American people and others by stealing the fruits of their labor. This trick used by money masters and politicians for centuries is little understood by the public and most cannot understand how it works and the ultimate ramifications. These characters and others create additional debt, which is followed by other nation’s central banks, which has created a race to the bottom and eventually all nations cannot pay their debts and default. Eventually in order to prevent a collapse in the financial system a meeting is held such as was held at the Smithsonian talks in the early 1970s, or the Plaza Accord in 1985 and the Louvre Accord in 1987. All currencies are revalued and devalued and there is multilateral debt settlement. We believe that is how all this will come about.

Evidentially a deal has been made from behind the scenes to relieve the Fed of having to produce $850 billion in stimulus and that task has been delegated to Mr. Obama. The President, while calling for budget cuts, is calling for $850 billion for stimulus 3. Observing recent actions by Congress some idiotic excuse will be made up and like magic stimulus 3 will appear. We also suggest that the President will use the London rioting as a cause for such stimulus. Remember never let a crisis go to waste. It is sure to be sold in the behalf of preservation of order. We do not believe the powers behind government will get the desired results.

Admittedly, Ben Bernanke inherited a can of worms from Sir Alan Greenspan. Ben has been able to accumulate $3 trillion worth of an assortment of Treasuries, Agencies and CDS, and MBS’s, also known as toxic waste, over the past few years. Those moves decidedly have been negative for the rating of US government debt. The rating really should have been lowered five years ago during the Greenspan years and perhaps even sooner than that. Due to massive increases since 2006 by the Fed we now already are in a bubble.

The 12 person congressional debt commission, we like to refer to as the Obama Enabling Act, patterned after Adolph Hitler’s legislation of 1933, which allowed him to become dictator of Germany, supposedly will produce moderate spending cuts. Knowing that Standard and Poor’s has warned this “Star Chamber” proceeding, which bypasses Congress, that there are not substantial cuts in Social Security and Medicare, that S&P will again lower the US debt rating. Everyone seems to overlook that fact. That means that if there is not large Social Security and Medicare cuts and an increase in taxes, S&P will strike again, and the bond market will burst, and Mr. Bernanke’s house of cards will collapse. As we explained previously the debt extension could have been passed in 15 minutes, but it wasn’t because the powers behind government the Council on Foreign Relations, wanted to chop up SS and Medicare, and to put this panel in place. All is never what it seems to be.

One European Government

RT
August 16, 2011

Who in their right mind believes that giving more power to those who destroyed the economy is a good idea?

Germany and France are calling on all euro-zone members to enshrine a balanced budget in their constitution, as well proposing a collective “government” led by the EU president.

In one of the most dramatic expansions of state power since the onset of the EU debt crisis, France and Germany have proposed a united euro-zone government to guide the bloc’s finances.

Chancellor Angela Merkel, at a joint press conference Tuesday in Paris with President Nicolas Sarkozy, also proposed giving the new government the power to overrule national governments.

Angela Merkel and Nicolas Sarkozy have had another go at stopping the Eurozone debt crisis from spreading.

The worry is that Italy and Spain may be next in line to fail, while France is also battling to keep its credit score from being downgraded.

However, earlier it was announced that the French and German leaders would not discuss Eurobonds during their meeting in Paris on Tuesday.

Eurobonds are considered the panacea which would save the European economy by spreading the debt burden across the EU, transferring Northern European reliability to the southern states, which are in most financial trouble.

But Germany does not want to risk losing its hard-earned reputation for economic reliability by  signing up for the Eurobond.

Meanwhile, influential investors like George Soros are supporting the Eurobonds, saying the only solution for such weak countries as Portugal and Greece is to leave the euro.

The German opposition party, the Christian Democrats, who are currently leading the polls, also believe their country should take responsibility for their neighbors and accept Eurobonds.

The problem is that Germany has already been sucked into the crisis itself with its economic growth skidding to a halt in the second three months of the year.

The Year Bilderberg was Exposed Worldwide

Detractors of the secretive roundtable group saw one of their biggest wishes come true in St. Moritz, Switzerland

by Alex Newman
The New American
June 13, 2011

The amount of publicity garnered by the secretive Bilderberg conference this year in St. Moritz, Switzerland, far surpassed the coverage afforded to past gatherings of the elite cabal, with major media outlets and international news wires finally reporting on the yearly event after refusing to do so for over five decades. Protests, the alternative media, and anti-Bilderberg politicians played an important role in spreading the news.

Bilderberg, named after the Dutch hotel where members first met in 1954, brings together some of the most influential figures on Earth. More than 120 top-level officials in government, banking, media, finance, business, think-tanks, armed forces, and even European royalty attend the confab every year.

Among the confirmed 2011 European and Canadian attendees were the British Chancellor of the Exchequer (“in his official capacity,” according to the Treasury), the President of the European Central Bank, the head of Canada’s central bank, the queens of the Netherlands and Spain, the Crown Prince of Norway, a representative of the unimaginably vast Rothschild banking empire, finance ministers, heads of state, and many more.

A reporter on the scene for the U.K. Guardian said there were also individuals in attendance who were not on the official list — a regular occurrence discovered almost every year. Among them were German Chancellor Angela Merkel, NATO Secretary-General Anders Rasmussen, and Socialist Prime Minister José Luis Rodríguez Zapatero of Spain. Microsoft founder and multi-billionaire Bill Gates was reportedly spotted as well.

A handful of non-Westerners also attended, including Turkish business moguls and members of the political class in Turkey. A senior representative of the brutal Communist dictatorship ruling mainland China was there as well. So was a Russian oligarch.

More than two dozen prominent members of the American elite attended, too. An especially interesting cadre at the 2011 event included some of the masters of the internet world: The co-founder of Facebook; the executive chairman of Google; the co-founder and executive chairman of LinkedIn; the founder and CEO of Amazon.com; the commander of the American military’s “cyber command” (or USCYBERCOM); Microsoft’s Chief Research and Strategy Officer; and others.

Representatives of the non-digital American elite were out in force as well. Among them were former Ghaddafi adviser and Bush-era neo-con extraordinaire Richard Perle; billionaire David Rockefeller, who openly boasted in his autobiography of conspiring to erect a global political and economic system; Robert Rubin, former Treasury Secretary and current co-chairman of the immensely powerful, world-government-promoting Council on Foreign Relations; the vice-chairman of Citigroup; TV personality Charlie Rose; former Secretary of State Henry Kissinger, who frequently and publicly calls for what he refers to as a “New World Order”; the president of the World Bank; and others.

Top officials in the Obama administration were also there including — quite ironically — the Assistant Attorney General for Antitrust. Deputy Secretary of State James Steinberg and Director of the National Security Agency (NSA) Keith Alexander were also on the official list, as were former Federal Reserve and military chiefs. Not on the public list but spotted at the conference, according to unconfirmed reports from correspondents in St. Moritz, was Secretary of Defense Robert Gates.

By any objective standard, a meeting of over 120 of the world’s most powerful individuals would seem to be extraordinarily newsworthy. But until recently, the confab rarely attracted even a passing mention in the establishment press. The eerie silence fueled deep suspicion and innumerable theories about what the group may be plotting in secret. This year, however, was different,  at least in terms of media coverage.

In a story picked up by numerous large-circulation U.S. newspapers including the Washington Post, for example, the Associated Press wire service described the June 9-12 event as a “secretive gathering of senior government officials and business executives … that some liken to a shadow world government.” CNBC, Forbes, Fox News, the Baltimore Sun, Time magazine and others also ran stories about Bilderberg.

In China, the media were buzzing with news of the conference, too. One Chinese-language report by the French wire service AFP referred to the group as the “mysterious world shadow government” in a headline, according to Google Translate. Chinese media behemoth United Daily News ran a similar headline for another Bilderberg article.

European and Russian news outlets offered unprecedented levels of coverage as well, with the Guardian newspaper and the TV network Russia Today both sending correspondents to the scene. Several alternative-media outlets including the American Free Press and InfoWars sent reporters, too. And the Swiss press in particular has been overflowing with reports on Bilderberg for over a week.

Analysts speculated that the so-called “mainstream media” establishment — which is rapidly losing its market share as news consumers increasingly turn to alternative sources — was essentially forced to cover the conference in an attempt to salvage what remains of its credibility. But despite the increased attention, in one segment of the establishment press, news of the event was conspicuously missing.

Among the confirmed 2011 Bilderberg attendees were representatives of more than a few major media firms: the editor-in-chief and two correspondents of the Economist magazine; the chief international correspondent of Germany’s Die Zeit newspaper; the editor-in-chief of Helsingin Sanomat, Scandinavia’s largest daily subscription publication; a political columnist for the Dutch paper NRC Handelsblad; the CEO of Portuguese media giant Impresa; and more. None of those “news” outlets had covered the Bilderberg conference by press time on June 12.

There was, however, at least one notable exception. The CEO and publisher of Standard Medien AG, an Austrian media conglomerate, was also among those present at the Bilderberg summit. And one of his firm’s online portals, derstandard.at, reported the fact that Austria’s head of government, Federal Chancellor Werner Faymann, was in attendance.

A rival political party was apparently upset about the nation‘s Chancellor attending the meeting, even demanding an “intelligence” report about the conference from Faymann upon his return. So, not covering the growing scandal might have been raised serious questions about the integrity of Standard Medien among Austrian news consumers.

But even with the burgeoning Bilderberg coverage, critics still complained that the amount of media surrounding the conference was insufficient — especially considering the magnitude of the news. Other analysts noted that much of the “mainstream” coverage focused on downplaying the significance of the event or attempting to demonize critics.

But progress is certainly being made. While it would be impossible to calculate exactly how many people around the globe learned of Bilderberg’s existence over the past week, it’s safe to assume the number is in the millions — possibly tens or even hundreds of millions.

In recent years, authors, researchers, and the so-called “alternative media” have increasingly been spreading information and news about the cabal through the Internet. And not even including the new-found press coverage, the online exposure appears to have dramatically increased awareness about the confab.

Hundreds of protesters and critics from all across the political spectrum descended on St. Moritz to lambaste the elite attendees. They held up anti-Bilderberg signs and blasted their opposition through bull horns around the perimeter of the luxury Suvretta House hotel throughout the whole four-day gathering.

On the first day of the conference, along with a bogus “bomb” scare, a giant wall of curtains was erected around the edge of the Bilderberg compound. Presumably it was designed to keep protesters from looking in and conference attendees from being forced to see the growing crowd outside.

But at one point, angry protesters did get a chance to shout at some heavily guarded members of the elite in a face-to-face confrontation. During a “nature walk” outside the hotel, one activist even had a brief exchange with Thomas Enders, the CEO of Airbus. “We are just making our agendas,” Enders responded to a question about what was being discussed behind closed doors with politicians. “I don’t have to tell you, and you don’t need to know,” he arrogantly explained with a smile on his face.

Several lower-ranking members of the political class made a fuss about the event as well. Italian member of the European Parliament Mario Borghezio, for example, attempted to force his way into the conference on the first day. He was reportedly detained and roughed up by police, prompting the Italian embassy in Switzerland to demand answers.

Prominent Swiss politicians were furious about the gathering, too. Center-right Parliamentarian Dominique Baettig of the nation’s largest political party, for example, asked prosecutors to consider arresting attendees such as former U.S. Secretary of State Henry Kissinger for war crimes, suggesting that Swiss officials at the event should be charged with treason. Baettig, too, tried unsuccessfully to barge in on the conference in what the Guardian‘s Charlie Skelton called a “historic moment.”

Some Bilderberg opponents have also suggested arresting U.S. attendees, citing the Logan Act. That law prohibits Americans from negotiating policy with foreign officials.

Regular Bilderberg attendee and former International Monetary Fund (IMF) boss Dominique Strauss-Kahn, another socialist, was recently arrested in New York on unrelated sex charges. But calls to prosecute various Bilderbergers for a wide range of criminal offenses are only growing louder.

Critics of the confab are, of course, routinely derided as conspiracy “theorists” or worse by establishment apologists. The government-funded BBC recently ran a vicious smear piece against people suspicious of Bilderberg, trying to link opposition to secret meetings of global policy makers with anti-Semitism and other unsavory associations.

But leaks and public statements by attendees over the years — reported on by the BBC, ironically — reveal that the cabal was instrumental in more than a few world-changing occurrences. The continental super-state known as the European Union and the failing regional “euro” currency, for example, are just a few of the developments in recent decades attributed to Bilderberg.

Anecdotal evidence also suggests the group plays an important part in the seemingly unexplainable rise to power of national leaders. Bill Clinton, for example, attended the conference in 1991 as a virtually unknown state governor. The following year he became President. Then-presidential candidate Barack Obama was reportedly there in 2008. British Prime Minster David Cameron and former PM Tony Blair both went to Bilderberg before rising to the top as well. So did a multitude of global power brokers too long to list.

Due to the tight secrecy, speculation about what may have been on the 2011 agenda is, as always, running rampant. But a press release posted on the relatively new “official” Bilderberg website cited by the AP and others offered some generalities about the topics of discussion: the euro, challenges for the EU, social networking, “security issues,” the Middle East, “demographic challenges,” China, and more. In 2007, “The New World Order” was the top item on the agenda.

“What is unique about Bilderberg as a forum is the broad cross-section of leading citizens that are assembled for nearly three days of informal and off-the-record discussion,” the group’s public statement notes, claiming that the “privacy of the meetings … has no purpose other than to allow  participants to speak their minds openly and freely.” Critics of the shadowy cabal, however, still aren’t buying it.

Is Obama a Marxist or Socialist? None, he works for the Bankers

When it comes to who the president serves, Obama is no different from Bush, Clinton, Bush Sr., Carter or Reagan

Kurt Nimmo

Glenn Beck, the Fox News talking heads, and no shortage of Tea Party activists like to characterize Barry Obama as a Marxist. In an article gaining a lot of traction across the blogosphere, Wayne Allyn Root, who considers himself a Libertarian Republican, says Obama is purposely overwhelming the U.S. economy to create systemic failure in order to turn the U.S. into a socialist/Marxist state.

Obamacare, cap-and-trade, legalizing 12 million illegal aliens, increased taxation, and endless bailouts and stimulus boondoggles, Root argues, are schemes designed to overwhelm the system and pave the way for a Marxist takeover of America.

It cannot be denied these schemes will destroy America. It also cannot be denied they are intentional. However, it has nothing to do with Marxism.

Marx advocated a proletarian revolution. He said that in order to overcome the restraint of private property the working class must seize political power through a social revolution and expropriate the capitalist classes around the world and place the productive capacities of society into collective ownership. Marx said the ultimate goal is a a classless and stateless form of communism beneficial to the interests of the proletariat or the working class.

Is it possible the Federal Reserve and Goldman Sachs operatives in the Obama administration truly desire a communist revolution as Glenn Beck and Wayne Allyn Root insist?

During the 2008 election cycle, Goldman Sachs donated nearly a million bucks to Obama. Citigroup and JPMorgan Chase donated nearly $1.5 million to the Obama campaign while Morgan Stanley pitched in over a half million dollars. “When you break it out by individual companies, you find that employees of Goldman Sachs gave more to Obama than workers of any other employer. The Goldman Sachs geniuses are followed by employees of the University of California, UBS, JPMorgan Chase, Citigroup, National Amusements, Lehman Brothers, Harvard and Google. At many of these workplaces, Obama has a three- or four-to-one fund-raising advantage over McCain,” the New York Times wrote on July 1, 2008.

Is it possible all these folks are clueless about the supposed Marxist philosophy of Obama? Is it possible transnational corporations and international banks savvy enough to game the system for trillions of dollars support a communist system that would ultimately strip them of that wealth?

Goldman along with the Federal Reserve rule the Obama administration. William C. Dudley was the president of the Federal Reserve Bank of New York and a partner and managing director at Goldman. Gary Gensler, chairman of the Commodity Futures Trading Commission, spent 18 years at Goldman. Mark Patterson, chief of staff to Tim Geithner, is a former Goldman lobbyist. Philip Murphy, nominated for ambassador to Germany, is a former Goldman executive. Diana Farrell, deputy director of the National Economic Council, is a former Goldman employee. Emil Michael, White House fellow, used to be an investment banker at Goldman.

Obama functionaries are connected to the CFR and the Trilateral Commission, two organizations established to implement world government. Tim Geithner, Susan Rice, Pete Peterson, Gen. James Jones, Thomas Donilion, Paul Volker, Dennis Blair, Richard Haass, Dennis Ross, Richard Holbrooke and others have connections to the Trilateral Commission, the Federal Reserve, the CFR, and Bilderbergers.

“We can be quite sure that somewhere between 400 to 500 high-level members of the Obama administration will be members of the CFR. How can we say that? Because that’s about how many CFR members occupy the current Bush administration (beginning with Vice President Dick Cheney, an in-again, out-again member of the CFR board of directors). And about the same number occupied posts in the Clinton administration,” John F. McManus wrote in November of 2008 after Obama was selected to be the front man for the banksters.

Obama’s mischaracterized socialism is a control mechanism created by the bankers. It has nothing to do with liberating downtrodden workers. The Soviet system was financed by Wall Street, as Rep. Louis T. McFadden, chairman of the House Banking and Currency Committee throughout the 1920-30s, explained: “The course of Russian history has, indeed, been greatly affected by the operations of international bankers… The Soviet Government has been given United States Treasury funds by the Federal Reserve Board… acting through the Chase Bank.”

The late Antony Sutton’s exhaustive research demonstrates how Wall Street bankers supported and financed the Russian revolution, supported the Soviet Union financially, technologically and military both before and after the Second World War, and also supported Hitler and Nazi Germany financially and military both before and during the Second World War.

The monopoly men who exported jobs from America to slave labor gulags in China and are now in the process of looting the financial system are not dedicated Marxists. The late Gary Allen wrote:

If you wanted to control the nation’s manufacturing, commerce, finance, transportation and natural resources, you would need only to control the apex, the power pinnacle, of an all-powerful socialist government. Then you would have a monopoly and could squeeze out all your competitors. If you wanted a national monopoly, you must control a national socialist government. If you want… a worldwide monopoly, you must control a world socialist government. That is what the game is all about. “Communism” is not a movement of the downtrodden masses but is a movement created, manipulated and used by power-seeking billionaires in order to gain control over the world…. first by establishing socialist governments in the various nations and then consolidating them all through a “Great Merger,” into an all-powerful world, socialist super-state.

The Obama banker-CFR-Trilat-Bilderberg administration is the process of forging this “Great Merger” and is moving inexorably toward an all-powerful world, socialist super-state. Obama’s socialism will not emancipate the workers of America. It will further impoverish and enslave them.

As we approach the mid-term elections, the deceptive claim that Obama is a Marxist will pick up steam and will be exploited by the Tea Party movement as it attempts to get Republicans masquerading as patriots and constitutionalists elected to office.

Glenn Beck and Wayne Allyn Root need to reexamine and stop chanting the ludicrous Obama is a Marxist mantra and point out what Obama really is — a sock puppet reading a teleprompter for his employer: the control freaks at the international banks and multinational corporations.

Some Big Lies of Science

Global Research

“[T]he majority of politicians, on the evidence available to us, are interested not in truth but in power and in the maintenance of that power. To maintain that power it is essential that people remain in ignorance, that they live in ignorance of the truth, even the truth of their own lives. What surrounds us therefore is a vast tapestry of lies, upon which we feed.”– Harold Pinter, Nobel Lecture (Literature), 2005

The maintenance of the hierarchical structures that control our lives depends on Pinter’s “vast tapestry of lies upon which we feed.”

Modern science as modern medicine have been used to subdue the global population.

Therefore, the main institutions that embed us into the hierarchy, such as schools, universities, and mass media and entertainment corporations, have a primary function to create and maintain this tapestry. This includes establishment scientists and all service intellectuals in charge of “interpreting” reality.

In fact, the scientists and “experts” define reality in order to bring it into conformity  with the always-adapting dominant mental tapestry of the moment. They also invent and build new branches of the tapestry that serve specific power groups by providing new avenues of exploitation. These high priests are rewarded with high class status.

The Money Lie

The economists are a most significant example. It is probably not an accident that in the United States at the end of the nineteenth century the economists were the first professional analysts to be “broken in,” in a battle that defined the limits of academic freedom in universities. The academic system would from that point on impose a strict operational separation between inquiry and theorizing as acceptable and social reform as unacceptable [1].

Any academic wishing to preserve her position understood what this meant. As a side product, academics became virtuosos at nurturing a self-image of importance despite this fatal limitation on their societal relevance, with verbiage such as: The truth is our most powerful weapon, the pen is mightier than the sword, a good idea can change the world, reason will take us out of darkness, etc.

So the enterprise of economics became devoted to masking the lie about money. Bad lending practice, price fixing and monopolistic controls were the main threats to the natural justice of a free market, and occurred only as errors in a mostly self-regulating system that could be moderated via adjustments of interest rates and other “safeguards.”

Debt

A debt-based economy to enslave the people was established after the appearance of fractional reserve banking.

Meanwhile no mainstream economic theory makes any mention of the fact that money itself is created wholesale in a fractional reserve banking system owned by secret private interests given a licence to fabricate and deliver debt that must be paid back (with interest) from the real economy, thereby continuously concentrating ownership and power over all local and regional economies.

The rest of us have to earn money rather than simply fabricate it and we never own more when we die. The middle class either pays rent or a mortgage. Wage slavery is perpetuated and degraded in stable areas and installed in its most vicious varieties in all newly conquered territories.

It is quite remarkable that the largest exploitation scam (private money creation as debt) ever enacted and applied to the entire planet does not figure in economic theories.

Economists are so busy modeling the ups and downs of profits, returns, employment figures, stock values, and the benefits of mergers for mid-level exploiters that they don’t notice their avoidance of the foundational elements. They model the construction schedule while refusing to acknowledge that the terrain is an earthquake zone with vultures circling overhead.

Meanwhile the financiers write and re-write the rules themselves and again this process does not figure in macroeconomic theories. The only human element that economists consider in their “predictive” mathematical models is low-level consumer behaviour, not high-level system manipulation. Corruption is the norm yet it does not figure. The economies, cultures and infrastructures of nations are wilfully destroyed in order to enslave via new and larger national debts for generations into the future while economists forecast alleged catastrophic consequences of defaulting on these debts…

Management tools for the bosses and smoke and mirrors for the rest of us – thank you expert economists.

The Medicine is Health Lie

We’ve all heard some MD (medical doctor) interviewed on the radio gratuitously make the bold proposal that life expectancy has increased thanks to modern medicine. Nothing could be further from the truth.

Life expectancy has increased in First World countries thanks to a historical absence of civil and territorial wars, better and more accessible food, less work and non-work accidents, and better overall living and working conditions. The single strongest indicator of personal health within and between countries is economy status, irrespective of access to medical technology and pharmaceuticals.

It’s worse than that because medicine actually has a negative impact on health. Medical errors (not counting misattributed deaths

Modern medicine forgot about the power of natural cures and decided to create artificial toxic alternatives.

from correctly administered “treatments”) are the third leading cause of death in the US, after heart disease and cancer, and there is a large gap between this conservative underestimate in the number of medical error deaths and the fourth leading cause of death [2]. Since medicine can do little for heart disease and cancer and since medicine has only a small statistical positive impact in the area of trauma interventions, we conclude that public health would increase if all MDs simply disappeared. And think of all the time loss and stress that sick people would save…

One of the most dangerous places in society is the hospital. Medical errors include misdiagnoses, bad prescriptions, prescriptions of medications that should not be combined, unnecessary surgery, unnecessary or badly administered treatments including chemotherapy, radiation treatment, and corrective surgeries.

The lie extends to the myth that MDs anywhere near understand the human body. And this well guarded lie encourages us to put our faith in doctors, thereby opening the door to a well orchestrated profit bonanza for big pharma.

The first thing that Doctors Without Borders (MSF) volunteers need to do in order to contribute significantly in disaster zones is to “forget their medical training” and get to work on the priority tasks at hand: water, food, shelter, and disease propagation prevention; not vaccinating, or operating, or prescribing medication… Public health comes from safety, stability, social justice, and economic buying power, not MRI (magnetic resonance imaging) units and prescription drugs.

These bone heads routinely apply unproven “recommended treatments” and prescribe dangerous drugs for everything from high blood pressure from a sedentary lifestyle and bad nutrition, to apathy at school, to anxiety in public places, to post-adolescence erectile function, to non-conventional sleep patterns, and to all the side effects from the latter drugs.

In professional yet nonetheless remarkable reversals of logic, doctors prescribe drugs to remove symptoms that are risk indicators rather than address the causes of the risks, thereby only adding to the assault on the body.

It’s unbelievable the number that medicine has done on us: Just one more way to keep us stupid (ignorant about our own bodies) and artificially dependent on the control hierarchy. Economically disadvantaged people don’t die from not having access to medical “care” – They die from the life constraints and liabilities directly resulting from poverty. How many MDs have stated this obvious truth on the radio?

Environmental Science Lies

Exploitation via resource extraction, land use expropriation, and wage slavery creation and maintenance are devastating to indigenous populations and to the environment on continental scales. It is therefore vital to cover up the crimes under a veil of expert analysis and policy development diversion. A valued class of service intellectuals here is composed of the environmental scientists and consultants.

Environmental scientists naively and knowingly work hand in hand with finance-corporate shysters, mainstream media, politicians, and state and international bureaucrats to mask real problems and to create profit opportunities for select power elites. Here are notable examples of specific cases.

Freon and Ozone

Do you know of anyone who has been killed by the ozone hole?

The 1987 Montreal Protocol banning chlorofluorocarbons (CFCs) is considered a textbook case where science and responsible governance lead to a landmark treaty for the benefit of the Earth and all its inhabitants. How often does that happen?

At about the time that the DuPont patent on Freon(TM), the most widely used CFC refrigerant in the world, was expiring the mainstream media picked up on otherwise arcane scientific observations and hypotheses about ozone concentration in the upper atmosphere near the poles.

There resulted an international mobilization to criminalize CFCs and DuPont developed and patented a replacement refrigerant that was promptly certified for use.

A Nobel Prize in chemistry was awarded in 1995 for a laboratory demonstration that CFCs could deplete ozone in simulated atmospheric conditions. In 2007 it was shown that the latter work may have been seriously flawed by overestimating the depletion rate by an order of magnitude, thereby invalidating the proposed mechanism for CFC-driven ozone depletion [3]. Not to mention that any laboratory experiment is somewhat different from the actual upper atmosphere… Is the Nobel tainted by media and special interest lobbying?

It gets better. It turns out that the Dupont replacement refrigerant is, not surprisingly, not as inert as was Freon. As a result it corrodes refrigerator cycle components at a much faster rate. Where home refrigerators and freezers lasted forever, they now burn out in eight years or so. This has caused catastrophic increases in major appliance contributions to land fill sites across North America; spurred on by the green propaganda for obscenely efficient electrical consumptions of the new appliances under closed door (zero use) conditions.

Sun over-exposure as well as artificial tanning are dangerous, not sun exposure.

In addition, we have been frenzied into avoiding the sun, the UV index keeps our fear of cancer and our dependence on the medical establishment alive, and a new sun block industry a la vampire protection league has been spawned. And of course star university chemists are looking for that perfect sun block molecule that can be patented by big pharma. And as soon as it is, I predict a surge in media interviews with skin cancer experts…

Acid Rain on the Boreal Forest

In the seventies it was acid rain. Thousands of scientists from around the world (Northern Hemisphere) studied this “most pressing environmental problem on the planet.” The boreal forest is the largest ecosystem on Earth and its millions of lakes were reportedly being killed by acid from the sky.

Coal burning plants spewed out sulphides into the atmosphere causing the rain to be acidic. The acid rain was postulated to acidify the soils and lakes in the boreal forest but the acidification was virtually impossible to detect. Pristine lakes in the hearts of national parks had to be studied for decades in attempts to detect a statistically significant acidification.

Meanwhile the lakes and their watersheds were being destroyed by the cottage industry, agriculture, forestry, mining, over fishing and tourism. None of the local and regional destruction was studied or exposed. Instead, scientists turned their gaze to distant coal burning plants, atmospheric distribution, and postulated chemical reactions occurring in rain droplets. One study found that the spawning in aquarium of one fish species was extremely sensitive to acidity (pH). Long treatises about cation charge balance and transport were written and attention was diverted away from the destruction on the ground towards a sanitized problem of atmospheric chemistry that was the result of industrialization and progress rather than being caused by identifiable exploiters.

As a physicist and Earth scientist turned environmental scientist, I personally read virtually every single scientific paper written about acid rain and could not find an example of a demonstrated negative impact on lakes or forests from acid rain. In my opinion, contrary to the repeated claims of the scientist authors, the research on acid rain demonstrates that acid rain could not possibly have been the problem.

This model of elite-forces-coordinated exploiter whitewashing was to play itself out on an even grander scale only decades later with global warming.

Global Warming as a Threat to Humankind

In 2005 and 2006, several years before the November 2009 Climategate scandal burst the media bubble that buoyed public opinion towards acceptance of carbon credits, cap and trade, and the associated trillion dollar finance bonanza that may still come to pass, I exposed the global warming cooptation scam in an essay that Alexander Cockburn writing in The Nation called “one of the best essays on greenhouse myth-making from a left perspective” [4][5][6].

My essay prompted David F. Noble to research the question and write The Corporate Climate Coup to expose how the media embrace followed the finance sector’s realization of the unprecedented potential for revenues that going green could represent [7].

Introductory paragraphs from Global Warming: Truth or Dare? are as follows [4]:

“I also advance that there are strong societal, institutional, and psychological motivations for having constructed and for continuing to maintain the myth of a global warming dominant threat (global warming myth, for short). I describe these motivations in terms of the workings of the scientific profession and of the global corporate and finance network and its government shadows.”

“I argue that by far the most destructive force on the planet is power-driven financiers and profit-driven corporations and their cartels backed by military might; and that the global warming myth is a red herring that contributes to hiding this truth. In my opinion, activists who, using any justification, feed the global warming myth have effectively been co-opted, or at best neutralized.”

Other passages read this way [4]:

“Environmental scientists and government agencies get funding to study and monitor problems that do not threaten corporate and financial interests. It is therefore no surprise that they would attack continental-scale devastation from resource extraction via the CO2 back door. The main drawback with this strategy is that you cannot control a hungry monster by asking it not to shit as much.”

“Global warming is strictly an imaginary problem of the First World middle class. Nobody else cares about global warming. Exploited factory workers in the Third World don’t care about global warming. Depleted uranium genetically mutilated children in Iraq don’t care about global warming. Devastated aboriginal populations the world over also can’t relate to global warming, except maybe as representing the only solidarity that we might volunteer.”

“It’s not about limited resources. [“The amount of money spent on pet food in the US and Europe each year equals the additional amount needed to provide basic food and health care for all the people in poor countries, with a sizeable amount left over.” (UN Human Development Report, 1999)] It’s about exploitation, oppression, racism, power, and greed. Economic, human, and animal justice brings economic sustainability which in turn is always based on renewable practices. Recognizing the basic rights of native people automatically moderates resource extraction and preserves natural habitats. Not permitting imperialist wars and interventions automatically quenches nation-scale exploitation. True democratic control over monetary policy goes a long way in removing debt-based extortion. Etc.”

And there is a thorough critique of the science as band wagon trumpeting and interested self-deception [4]. Climategate only confirms what should be obvious to any practicing scientist: That science is a mafia when it’s not simply a sleeping pill.

Conclusion

It just goes on and on. What is not a lie?

Look at the recent H1N1 scam – another textbook example. It’s farcical how far these circuses go: Antiseptic gels in every doorway at the blink of an eye; high school students getting high from drinking the alcohol in the gels; out datedness of the viral strain before the pre-paid vaccine can be mass produced; unproven effectiveness; no requirement to prove effectiveness; government guarantees to corporate manufacturers against client lawsuits; university safety officers teaching students how to cough; etc.

Pure madness. Has something triggered our genetically ingrained First World stupidity reflex? Is this part of our march towards fascism [8]?

Here is another one. Educators promote the lie that we learn because we are taught. This lie of education is squarely denounced by radical educators [9][10].

University professors design curricula as though the students actually learn every element that is delivered whereas the truth is that students don’t learn the delivered material and everyone only learns what they learn. One could dramatically change the order in which courses are delivered and it would make no measurable difference in how much students learn. Students deliver nonsense and professors don’t care. Obedience and indoctrination are all that matter so the only required skill is bluffing. Students know this and those that don’t don’t know what they know, don’t know themselves [8][9][10].

Pick any expert opinion or dominant paradigm: It’s part of a racket.

We can’t know the truth because the truth is brutal.

Denis G. Rancourt was a tenured and full professor at the University of Ottawa in Canada. He was trained as a physicist and practiced physics, Earth sciences, and environmental science, areas in which he was funded by a national agency and ran an internationally recognized laboratory. He published over 100 articles in leading scientific journals. He developed popular activism courses and was an outspoken critic of the university administration and a defender of Palestinian rights. He was fired for his dissidence in 2009. [See www.academicfreedom.ca]

Notes

[1] “No Ivory Tower – book” by Ellen W. Schrecker.
[2] Radio interview with Dr. Barbara Starfield: CHUO 89.1 FM, Ottawa; January 21, 2010.
[3] Nature 449, 382-383 (2007).
[4] “Global Warming: Truth or Dare? – essay” by Denis G. Rancourt.
[5] “Questioning Climate Politics – Denis Rancourt says the ‘global warming myth’ is part of the problem”; April 11, 2007, interview in The Dominion.
[6] Climate Guy blog.
[7] “The Corporate Climate Coup – essay” by David F. Noble.
[8] “Canadian Education as an Impetus towards Fascism – essay” by Denis G. Rancourt.
[9] “Pedagogy of the Oppressed – book” by Paulo Freire.
[10] “The Ignorant Schoolmaster – book” by Jacques Rancière.