Posts Tagged ‘dollar dies’
Private Federal Bank Fraud to Spend US into Third World Nation
State of the US Economy, Jun 3, 2009 – House Committee Budget
Federal Reserve Chair Ben Bernanke testified about the state of the U.S. economy and challenges to future growth in the economy. In his remarks he said the U.S. would see mild economic growth later in the year. He also told lawmakers the Federal Reserve would not accommodate higher budget deficits by simply printing money. Additionally, he said the labor market was expected to remain weak for some time and that inflation should stay under control.
On June 3, 2009 Fed Chairman Ben Bernanke said the Fed would not monetize our debt. On November 3, 2010, the Fed announced the printing of $600-900 billion in new currency to directly purchase bonds/debt. The current world money supply of US dollars in circulation is $800 billion. The Fed just said it is going to double that. Printing money to buy debt is “monetizing the debt.”
According to Bernanke we are now set for ‘very draconian cuts and very large tax increases’.
48:11 Hensarling, Jeb – U.S. Representative, [R] Texas
Jeb Hensarling ; WILL THE FEDERAL RESERVE MONETIZE IN DEBT? FEDERAL RESERVE WILL NO
Ben S. Bernanke: The Federal Reserve will not monetize the debt and I think it’s important to point out that notwithstanding our purchases of treasuries as part of a program to strengthen private credit markets even when we complete the 300 billion dollar purchase that we have committed to, we will still hold less treasuries, a smaller volume of treasuries than we had before the crisis began.
Jeb Hensarling : IF THE FED WILL NOT MONETIZE THE DEBT AND IF THE CONGRESS REFUSES TO DEAL WITH THE SPENDING CURVE, WHICH WILL AVERAGE ABOUT 23% OF GDP FOR THE NEXT 10 Year that’s either going to leave us with a massive tax increase or massive borrowing but yet apparently as we send representative to china to encourage them to continue to buy our debt, hey are shifting to commodities, they are indicating concerns about the level of our debt.
Recently as I believe you know, S&P downgraded UK’s Debt on May 21st from stable to negative, so what’s going to happen if the US loses it’s triple A rating or what happens if we have a 60% tax increase over the next 10 years to deal with this massive infusion of debt.
Ben S. Bernanke: AT SOME POINT, YOU HAVE TO HAVE A PATH OF SPENDING AND TAXES THAT WILL GIVE YOU A STABILIZATION OF THE DEBT TO GDP RATIO. IF YOU DON’T, THEN FEAR THAT the debt will continue to rise will make it very difficult to finance it. And at some point you will hit a point were you have to have both very draconian cuts and very large tax increases which is not something that we want so in order to avoid that outcome down the road we need to begin now to plan how are going to get the fiscal situation into balance in the medium term.
Fed stimulus, Part 2. Yesterday we had the announcement of more Federal Reserve stimulus, known as “quantitative easing,” which dumped another exorbitant amount of money on an already saturated system. Nearly all independent experts agree that this is the death knell of the dollar. The National Inflation Association just released a statement that this move will trigger inflation and starve the middle class. The rest of the world is still weighing in on the global ramifications of such a move to the world’s reserve currency. Brazil said that the U.S. fired the gun in the currency war and they are ready to retaliate; China is prepared to set up a firewall against the latest Fed move; and Germany warned of growing protectionism around the globe stemming from the latest U.S. manipulation. Some are now predicting that a bank holiday is imminent, with a likely date set for November 11. Is QE2 the final tipping point toward financial disaster? Or will it weaken resistance against another imminent disaster?
- Activitst Post (Full Story)
Federal Reserve 100th year since Secret Club Meeting (the bankers talk!)
With the Dollar Dead What’s After the Fed? We Go Global or Go Local – Special Drawing Rights (SDR) or State Bank Initiative (SBI)