Credit Default Swaps: Evolving Financial Meltdown and Derivative Disaster Du Jour

by Dr. Ellen Brown

Global Research, April 11, 2008

Author’s website www.webofdebt.com/

When the smartest guys in the room designed their credit default swaps, they forgot to ask one thing - what if the parties on the other side of the bet don’t have the money to pay up? Credit default swaps (CDS) are insurance-like contracts that are sold as protection against default on loans, but CDS are not ordinary insurance.

Insurance companies are regulated by the government, with reserve requirements, statutory limits, and examiners routinely showing up to check the books to make sure the money is there to cover potential claims. CDS are private bets, and the Federal Reserve from the time of Alan Greenspan has insisted that regulators keep hands off.

The sacrosanct free market would supposedly regulate itself. The problem with that approach is that regulations are just rules. If there are no rules, the players can cheat; and cheat they have, with a gambler’s addiction. In December 2007, the Bank for International Settlements reported derivative trades tallying in at $681 trillion - ten times the gross domestic product of all the countries in the world combined. Somebody is obviously bluffing about the money being brought to the game, and that realization has made for some very jittery markets. (more…)

Those were the words of our fearless leader, Herr Bush. No seriously, when asked about the war and how it affects the economy he states, “I don’t think so. I think actually the spending in the war might help with jobs…because we’re buying equipment, and people are working. I think this economy is down because we built too many houses and the economy’s adjusting.”[video below] Well, yea we did SELL to many houses, but as we have seen, that was entirely engineered for the very reason of crashing our markets.

As for the war being good, he seems to be on the same page as now-defunct presidential shill Mitt Romney who also explicitly stated that the trillion dollar war is not hurting our economy.

I would question the logic used by these two rat bastards, but I fear none was used at all. Only illogical and flawed, many would say psychopathic, thinking would argue that one million innocent Iraqi lives, thousands of American lives, tens of thousands more ruined by long-lasting injuries/deformities and the billions upon billions upon billions of dollars smart-bombed into Iraq would be good for us and our economy.

It is certainly not good for me. The price of oil has skyrocketed, leaving me paying WAY to much to get to school and work. The ensuing market calamity has sent food prices sky high, leaving me to pay entirely to much for simple subsistence. Then of course we have to stature of the United States being completely destroyed in the eyes of the world and our fellow humans.

No, the war is fine for our economy. We buy equipment and stuff…

-The Captain

How They Control The World By Henry Makow PhD 1-24-8 http://www.rense.com/general80/how.htm

To understand current events, we need a new paradigm.

The paradigm fostered by the mass media of a ‘balanced’ world consisting of competing interests, nations, ideologies and religions only gives us false confidence and traps us in a false matrix of “good guys vs. bad guys.”

As my readers know, I suspect that most “competing” groups/ ideologies actually have been created or subverted by a single force: a satanic cult, the Illuminati (Sabbatean-Frankist Jews and cabalistic Freemasons.) This clique is empowered by a cartel of cartels, beginning with world central banking, based in London. It uses MI-6, the CIA, the Mossad and other “Intelligence” agencies as instruments and controls the media and most politicians.

The Sabbatean-Frankists were a Jewish heresy that captured half the Jewish world in the 17th and 18th Century. They eschewed all morality preaching that good is evil and vice- versa. They believe that chaos and devastation will hasten the return of their Messiah. They went underground and prospered by intermarrying with non-Jews and assuming conventional Jewish or non-Jewish identities. The “Catholic” half-Jewish John Kerry or Madelaine Albright are examples.

http://www.henrymakow.com/thesataniccultthatrules_th.html (more…)

Not only are they unaccountable, this is intentional, therefore they are criminals of the highest order. Destroying the livelyhood of millons of people. You don’t have to kill them, just starve them and they will submit. A broke and battered people essentially overnight. Starving people don’t fight back.

Melt down the dollar and replace it with regional currency. I mean, we have to compete with the Euro, right?

North-American Monetary Integration: Here Comes the Amero

by Andrew G. Marshall

Global Research, January 20, 2008

  Many have now heard rumblings of the “amero”, a proposed North American currency to replace the Canadian loonie, dollar and peso. However, most of the mentions of this concept, when discussed in the mainstream media tend to focus on suggesting that talk of an “amero”, and in effect, the accompanying North American Union, is nothing but a conspiracy theory created by deluded xenophobes afraid of immigration and globalization. The Boston Globe recently wrote such a story, titled, “The Amero Conspiracy”, which stated, “The SPP [Security and Prosperity Partnership] does exist, and its tri-national task forces continue to meet, but its members consider it a way for the United States, Canada, and Mexico to collaborate on issues such as customs, environmental and safety regulations, narcotics smuggling, and terrorism. The amero, on the other hand, appears to be purely theoretical.”1

However, despite being conveyed as “purely theoretical”, a recent article in the national Canadian newspaper, the Financial Post, referred to the amero, not as a theoretical idea or conspiracy theory, but as a potential reality. The article entitled, Fix the Loonie, lays out the process to be undertaken before the adoption of a continental currency known as the Amero. (more…)

The “crazy kooks” in the conspiracy world have been shouting from the roof tops about the coming North American Slave Gulag. The idea of a union between the three countries of America, Mexico and Canada has been brushed aside as nothing more than myth or urban legend.

How many times do the architects of this treasonous action have to admit the intentions of so-called “free-trade agreements” before the American people wake up to the nightmare that has taken over in this country, in this continent?

Mexico’s previous ruler and front man for the original SPP agreement, Vicente Fox recently made a couple of appearances on American T.V. The first was on Jon Stewart’s the Daily Show. There, Fox demonstrated that we needed a union like the European Union with a comparison of how Spain’s wages went up when it integrated itself into the globalist borg hive of tyranny. Nevermind that the simpler solution would be for Mexico to STOP ENSLAVING THEIR CITIZENS by cutting down on the mafioso corruption that has overtaken their land. Just watch the video. It is eye-opening to say the least. (more…)

The Dollar is being crashed into the dirt by design. Lets look for a moment at how the Dollar has performed against the Euro since 2002. You could buy 1 Euro for 70 cents in 2002. Today it’ll cost you 1.41$ to buy 1 Euro. Here is how that could be a good thing. Lets say you bought 100$ worth of Euros in 2002. Today you can cash it out for over 200$. Unfortunately I did not do that.

Why you may ask, is the dollar being crashed? Well, it’s because the era of Nation states is going the way of sailboats in the steam era. The powers that be are in the process of globalization where Nations are no longer needed. We will have regions for a time, and then a total global convergence. After the hyperinflation process is over, and Americans are using Dollars as firewood, we will have to combine ourselves into a super-state, with the new super-currency the “Amero” in order to compete with the other super-currencies.

The question is “will it blend”? We can have Canada’s socialist medicine system, and Mexico’s super-corruption, make a North American smoothie, open the lid of the blender, and you will be able to see “North America Smoke“…

So the real question is when should we have a hostile revolt?

Using guerilla warfare tactics to crush our bloated government.

Some people like Alex Jones think we should wait till the government starts the hostilities. I think they already did, and we should have hung them in 1913 when they instated the federal income tax.

Our Constitution has been vaporized, the Dollar is evaporating even as we speak. The last shreds of sovereignty are disappearing with each passing second. I’M AS MAD AS HELL AND I’M NOT GOING TO TAKE IT ANY MORE!!!!!

When they try to take our guns, it is game over. They have this new plan to take away guns from all Military Veterans that suffered from PTSD, and anyone who has been diagnosed with any type of Psychological disorder. If this passes we need to revolt. IT’S THAT SIMPLE. YOU COME FOR MY GUNS YOU DIE THAT SAME DAY!!!

Presidential candidate Ron Paul laid down the law and directly asked private Federal Reserve chairman Ben Bernanke how it could ever be morally justifiable to deliberately depreciate the dollar all while pointing out the recent depreciation was a deliberate move by the Fed. Bernanke can’t even speak straight when Paul is done with him. Of course this is not Paul’s first encounter with the Fed, let’s hope it is not the last.

(Art added by Downtown) August 15, 2007 By Derry Brownfield derrybrownfield@learfield.com

The Common Sense Coalition

Centertown, Missouri

http://www.derrybrownfield.com

572-893-8255

I consider Wayne Hage one of the most intelligent men I ever met. On our very first visit he was explaining the World Bank, the International Monetary fund and how the world bankers planned on collateralizing the world debt with land. Not just the U.S. national debt, but also the “WORLD” debt. A listener sent me a copy of a report of the FOURTH WORLD WILDERNESS CONGRESS, which was held in Denver in 1987. Over 1500 people from sixty countries were told that wilderness lands were to protect the reindeer, the spotted owl and other endangered species. Ninety percent of the group consisted of conservationists, ecologists, government and United Nations bureaucrats. The other ten percent were world banking heavyweights, such as David Rockefeller of Chase Manhattan Bank, London banker Edmund de Rothschild and the Secretary of the U.S. Treasury, James Baker, who gave the keynote address. George W. Hunt, an investment councilor, served as official host and sat in on all the meetings. It was George Hunt that wrote the report from which I have gleaned much of my information.

During the first three days, the group was told that the WILDERNESS CONGRESS was about beating the ozone deterioration and bringing the rain forests back. The following days were closed to the public. With only the bankers in attendance, the topics discussed centered on the creation of a “WORLD CONSERVATION BANK” with collateral being derived from receipt of wilderness properties throughout the world. This bank would have central bank powers similar to the Federal Reserve. It would create currency and loans and engage in international discounting, counter-trade, barter and swap actions. Rothschild personally conducted the monetary matters and the creation of this WORLD CONSERVATION BANK. This bank would refinance by swapping debt for assets. A country with a huge national debt would receive money to pay off the debt by swapping the debt for wilderness lands. The plan was to swap one trillion dollars of Third World Debt into this new bank. In the long term, when the countries won’t be able to pay off the loans, governments from around the world will give title to their wilderness lands to the bankers. (more…)

Today marks a black stain on America as federal thugs surround Ed Brown and family. Please pray for the Browns. They are circled by evil, possibly under attack at this very moment. I have heard reports that the Brown’s house is on fire, meaning a “waco” has already happened. God help us, this country is being run by the evilest criminals money can buy.

If Ed and Elaine Brown are dead………… The freedom movement will explode and spread like a virus. WE WILL CRUSH YOU IRS, FED, ALL YOU SORRY SORRY IDIOT MAFIA THUGS IN THE FEDERAL GOVERNMENT!!!!!