European Stability Mechanism Spreads to Italy


The European technocracy has set its firm feet in Spain and now the bankers that control the financial institutions that Spain just surrendered to are moving to their next prize: Italy. By accepting the rules set in the latest rescue agreement, Spain, France, Italy and Germany turned into pawn waiting in line to be absorbed by the bankers and now, it is Italy’s time. One only has to read some of the most revealing articles and sections of the financial rescue package to realize what Europe will look time in a not too distant future.

While the media concentrates their commentary and uninformed reports on how Angela Merkel succumbed to Italian and Spanish requirements to sign on to the bankers plans, they ignore other more important details included in the agreement. Article 8, for example, authorizes the bankers to fix capital stock at 700,000 billion euros, for now. Article 9 obligates members of the European Stability Mechanism (ESM) to  “irrevocably and unconditionally undertake to pay on demand any capital call made on them . . . such demand to be paid within seven days of receipt.” Members of the ESM include not only the four big Euro nations, but also the Kingdom of Belgium, the Federal Republic of Germany, the Republic of Estonia, Ireland, the Hellenic Republic, the Kingdom of Spain, the French Republic, the Italian Republic, the Republic of Cyprus, the Grand Duchy of Luxembourg, Malta, the Kingdom of the Netherlands, the Republic of Austria, the Portuguese Republic, the Republic of Slovenia, the Slovak Republic and the Republic of Finland.

Article 10 gives the complete power to the ESMs Board of Governors — the real controllers — to “change the authorised capital and amend Article 8 . . . accordingly.” Further ahead on article 32, paragraph 3 says that the ESM, its property, funding, and assets . . . shall enjoy immunity from every form of judicial process . . . .” This assures the bankers that none of them will ever have to be accountable for any nation or any individual, because the countries agreed to such immunity. On paragraph 4 the power grab continues: “The property, funding and assets of the ESM shall . . . be immune from search, requisition, confiscation, expropriation, or any other form of seizure, taking or foreclosure by executive, judicial, administrative or legislative action.”

Additionally, Article 30 says that the Governors, Directors and others “shall be immune from legal proceedings with respect to acts performed by them in their official capacity and shall enjoy inviolability in respect of their official papers and documents.” Bankers and their servants are now officially free from all responsibility, no matter how badly they behave, whether they do it purposely or not.

Now that four of the biggest countries in Europe have accepted the bankers’ requests, the wave of so-called financial bailouts and rescue packages now will begin to spread over to Italy. Before the negotiations were completed last week, Mario Draghi, the former head of the Italian Central Bank had been named as the replacement for Jean-Claude Trichet at the European Central Bank. Before getting to the ECB, Draghi was the Vice Chairman and Managing Director of Goldman Sachs International, which definitely facilitated the adoption of the bankers’ measures in Italy.

Back in 2011, Draghi confessed to the Financial Times that the goal of the ECB was to facilitate funding to the banks and that it would the banks who would decide what to do with those funds. He also said that he had no idea what the banks would do with the money. When asked about the destination of the money, Draghi said: “we don’t know exactly, but the important thing was to relax the funding pressures.” So, governments got their citizens in deeper debt without holding the bankers accountable for the use of that money. It was all about bringing about relief to the bankers who seemed not to have enough cash bonuses in their bank accounts.

Previously, when governments actually received bailouts from the European central bankers, they did have to “invest” the funds in whatever the lenders decided what was useful. They were not only told how to spend the money, but also to impose austerity in order to impose punishments to the lower and middle classes. The countries, differently from the bankers, had to commit to paying exorbitant interests rates, while the banks got their money at zero or near zero percent. While the bankers reported larger earnings and as a consequence amassing more cash in bonuses, the populations of Greece, Italy, Spain and others had their social fabric destroyed by design. While people got strangled, the bankers that caused the crisis got relaxed.

Before last weeks agreement between the European bankers and the European leaders, Draghi had explained that the ECB wanted to “restore confidence” and that the ECB would do whatever it took to achieve such a goal. What Draghi did not say was where that restoration of confidence would be pointed towards. It was directed to the bankers, as we now know, and that confidence was based on the fact that the banks, as the ESM says, will not be held accountable and will be completely immune against any and all courts. The bankers have now legalized whatever they want to do in the present and in the future. They are now confident again. Draghi also said the countries needed to have “comprehensive structural reform and accept fiscal discipline”. Those two goals have been achieved and together with them the bankers’ ability to impose a process of fiscal consolidation, which is not completely in their hands.

The banker acquisition of Italy, though, could not be complete without another significant partner: Mr. Mario Monti. The arrival of Monti to the highest office in Italy was done as smoothly as possible for someone who was not even elected. Monti was the trojan horse the European bankers had prepared to take Italy over. Mario Monti became Italian Prime Minister after Silvio Berlusconi resigned under popular pressure. Where did Monti come from? Before he became the Italian Prime Minister, he was a senior advisor to Goldman Sachs and a leader in the Bilderberg Group and the Trilateral Commission. Is there a need to say anything else about his arrival to Italy’s supreme office? There should is.

The Trilateral Commission was created by David Rockefeller and Zbigniew Brzezinski back in 1973. The organization was created supposedly to organize the creation of policy between the powerful nations to impose a global system of control that would be brought about to “heal economic inequality”. The banks had in their mind plans to end the so-called inequality and create a new system of equality, and they have been very successful. They have managed to turn most people in the world equally poor. The creation of groups like Bilderberg and the Trilateral Commission achieved what previous globalist organizations had failed to do: create and enforce globalist policies while destroying sovereignty without being stopped by national legal systems. That also allowed them to remain hidden in the shadows, while their frontmen — presidents and prime ministers — did they work for them.

The continuation of the technocratic system of control has now entered a new level with the legitimization of the European Stability Mechanism. Whatever the Trilateral Commission and the Bilderberg Group achieved from the shadows will now be multiplied by a legalized financial control system to which all of Europe has bowed to by accepting the banker run ESM. The bankers and their frontmen aren’t apologetic neither apologetic nor secretive about what they’re doing anymore. Perhaps the most revealing proof of this is David Rockefeller’s statement that he was proud to be part of  the cabal in charge of conspiring to impose a global political and economic government. “If that’s the charge, I stand guilty, and I am proud of it,” he once said.

The work that began with David Rockefeller, Zbigniew Brzezinski and others is now being continued by men like Mario Draghi, Christine Lagarde, and Jose Manuel Barroso. The arrival of the “rule of the banks” was announced by Draghi, who said the time was ripe to end the traditional social contract. “There is no escape from tough austerity measures,” he added. Mario Draghi said only austerity combined with structural change would change the economic outlook for the best.  In an interview with the WSJ, Draghi said that the changes agreed upon by the bankers and the European governments  had resulted in what he called positive change, but that this change was only the beginning. “We have a fiscal compact where the European governments are starting to release national sovereignty for the common intent of being together.” He later said that in the eyes of the bankers there was no alternative to fiscal consolidation.

During the same interview, Draghi appointed what he believed were two important changes the bankers needed to achieve. The first is product and service market reform. The second is labor market reform. In layman’s terms, this means the globalists want more easily accessible working markets which will be supported by the legalization of illegal immigration to ensure plenty of cheap labor — as it happens in Asia — and the ability to flood markets all around the world with those very same cheaply made products. This is the model that has been tested in China and other Asian nations for decades and will now be imposed on European countries.

The bankers have not only gotten a blank cheque to create money out of thin air and deposit it in ghost bank accounts, which has been going on for decades, but also obtained an unlimited permit to manage the world’s economic and financial systems under which they are completely immune to any unaccountability. Under this new scheme, they will continue to impose austerity as a condition to bring “relief” to indebted nations, that in turn will become more and more in debt until collapsing the way Greece did. The make-believe economy now moves on to Italy, Portugal, France and Germany before coming to North America. Expect an accelerating race to the Second Great Depression in the next two and a half to three years.


Australia to have Weak Economic Growth

August 17, 2011

SIGNS that Australia is headed for its weakest patch of economic growth in two years are increasing, driven by consumer and business caution, higher savings rates, rising unemployment and a weak building sector.

The Westpac/Melbourne Institute Leading Index, which indicates the likely pace of economic activity three to nine months into the future, was at 1.6 per cent in June, below its long-term trend of three per cent.

It was the second month in the row that the index has printed at 1.6 per cent, after slumping to the low level in May from 2.7 per cent in April.

Westpac chief economist Bill Evans said weak growth in consumer spending, higher savings rates and weakness in residential and non-residential building would contribute to below trend growth for the rest of 2011.

Westpac expected an annualised growth rate of 2.5 per cent in the second half of 2011, he said.

Mining investment would remain strong, but there was likely to be some correction to the investment plans of firms servicing the non-mining sectors.

“The growth rate in the index has steadily fallen from its peak in this cycle of 9.5 per cent in March 2010,” Mr Evans said.

“This is now the lowest growth rate for the index since August 2009.”

Westpac expected unemployment to rise to 5.5 per cent in the first half of 2012, Mr Evans said.

“With governments consolidating fiscally and households and firms deleveraging, and relative prices changing, economic activity is being diverted away from services and manufacturing to mining and mining construction, which are not intensive users of labour,” he said.

The growth rate of the Leading Index has slowed over the past six months, from 3.3 per cent to 1.6 per cent.

Mr Evans said key downside factors were a fall in real money supply (down 0.7 per cent), dwelling approvals (-3.5 per cent) and the S&P All Ordinaries Index (-2.1 per cent).

Growth in the Coincident Index, which measures current economic activity, was 0.1 per cent, below its long-term trend of 2.8 per cent.

That was due to a slump in retail trade, the slowdown in employment and the disruption to production in the first quarter of 2011 due to flooding in Queensland.

Mr Evans said evidence was emerging to support his view that the Reserve Bank of Australia (RBA) would cut rates by 25 basis points by the end of the year.

However, he said, further evidence that inflation risks had receded would be necessary before the RBA made a case to cut rates.

U.S. National Debt at $214 Trillion not $14 Trillion

August 11, 2011

When Standard & Poor’s reduced the nation’s credit rating from AAA to AA-plus, the United States suffered the first downgrade to its credit rating ever. S&P took this action despite the plan Congress passed this past week to raise the debt limit.

The downgrade, S&P said, “reflects our opinion that the fiscal consolidation plan that Congress and the administration recently agreed to falls short of what, in our view, would be necessary to stabilize the government’s medium-term debt dynamics.”

It’s those medium- and long-term debt problems that also worry economics professor Laurence J. Kotlikoff, who served as a senior economist on President Reagan’s Council of Economic Advisers. He says the national debt, which the U.S. Treasury has accounted at about $14 trillion, is just the tip of the iceberg.

“We have all these unofficial debts that are massive compared to the official debt,” Kotlikoff tells David Greene, guest host of weekends on All Things Considered. “We’re focused just on the official debt, so we’re trying to balance the wrong books.”

Kotlikoff explains that America’s “unofficial” payment obligations — like Social Security, Medicare and Medicaid benefits — jack up the debt figure substantially.

“If you add up all the promises that have been made for spending obligations, including defense expenditures, and you subtract all the taxes that we expect to collect, the difference is $211 trillion. That’s the fiscal gap,” he says. “That’s our true indebtedness.”

We don’t hear more about this enormous number, Kotlikoff says, because politicians have chosen their language carefully to keep most of the problem off the books.

“Why are these guys thinking about balancing the budget?” he says. “They should try and think about our long-term fiscal problems.”

According to Kotlikoff, one of the biggest fiscal problems Congress should focus on is America’s obligation to make Social Security payments to future generations of the elderly.

“We’ve got 78 million baby boomers who are poised to collect, in about 15 to 20 years, about $40,000 per person. Multiply 78 million by $40,000 — you’re talking about more than $3 trillion a year just to give to a portion of the population,” he says. “That’s an enormous bill that’s overhanging our heads, and Congress isn’t focused on it.”

“We’ve consistently done too little too late, looked too short-term, said the future would take care of itself, we’ll deal with that tomorrow,” he says. “Well, guess what? You can’t keep putting off these problems.”

To eliminate the fiscal gap, Kotlikoff says, the U.S. would have to have tax increases and spending reductions far beyond what’s being negotiated right now in Washington.

“What you have to do is either immediately and permanently raise taxes by about two-thirds, or immediately and permanently cut every dollar of spending by 40 percent forever. The [Congressional Budget Office’s] numbers say we have an absolutely enormous problem facing us.”