Archive for the ‘Economy’ Category

Kaupthing’s loan book exposed and an injunction ordered against RÚV

August 2, 2009

Yesterday the website WikiLeaks* published TOP SECRET information about loans made by Kaupthing bank just before the Big Meltdown last October. The info is a 209-page inside document containing slides used at a meeting of the bank’s loans committee on September 25 last year.

Rumours had been circulating about large-scale money transfers from the bank during the days preceding the bank collapse last fall. The leaked document shows definitively that massive loans were made to a select few during that time, most notably the largest shareholders in the bank and associated parties.


Cost Of Bailout Hits A Whopping $24 Trillion Dollars

July 21, 2009

According to the watchdog overseeing the federal government’s financial bailout program, the full exposure since 2007 amounts to a whopping $23.7 trillion dollars, or $80,000 for every American citizen.

The last time we were able to get a measure of the total cost of the bailout, it stood at around $8.5 trillion dollars. Eight months down the line and that figure has almost tripled.

The $23.7 trillion figure comprises “about 50 initiatives and programs set up by the Bush and Obama administrations as well as by the Federal Reserve,” according to the Associated Press.

Rolling Stone expose: Goldman Sachs behind every market crash since 1920s

July 2, 2009

Goldman Sachs has played a crucial role in creating every market bubble since the 1920s — and has profited from not only the bubbles, but from the crash that followed as well, says a new expose in Rolling Stone magazine.

An article in the July 9-23 issue of the magazine, written by Matt Taibbi, lists five asset bubbles that the 140-year-old investment bank helped create — and one that Taibbi asserts the firm is currently working to make happen.

Stewart: CIA hopes Wall St. geniuses will help other ‘calm, stable countries to collapse’

July 1, 2009

Jon Stewart wants to know why the CIA is recruiting former Wall Street bankers.

According to Reuters, the CIA recently “held interviews on June 22 at a secret location in New York” after posting ads targeting laid off Wall Street workers.

Life On The Edge of A Bubble

June 22, 2009

Federal Reserve To Be Given Sweeping New Powers

June 17, 2009

The privately owned and run Federal Reserve is to be handed sweeping new powers under Obama administration proposals in a deal that will please bankers who lobbied for more Fed “oversight” of their activities.

The new rules would see the Fed given the authority to “regulate” any company whose activity it believes could threaten the economy and the markets.

“The final plan due to be released on Wednesday — which originally aimed to streamline and consolidate banking and securities regulation in one or two agencies — now is expected to sidestep most jurisdictional disputes and simply impose across the board standards to be applied by all financial regulators, according to administration and industry sources, ” reports the Washington Times.

In other words, the Fed, which is already totally unaccountable to Congress, is to be placed in complete control of the entirety of the US financial system, to do as it wishes without repercussion.

As the LA Times reports, the government, in conjunction with the private Federal Reserve, would effectively have the clout to simply seize and take over any company it desires.

Banks Can Steal Your Home Even If You Own It

June 17, 2009

Demand that Obama Actually Fix the Economy By Taking the Power to Create Money Away from Private Bankers

June 1, 2009

Ellen Brown – trial attorney and the author of the book Web of Debt – has launched an initiative to urge Obama to save the economy by taking the power to create money away from the bankers, and give it back to the government as the Founding Fathers intended.

Brown’s ideas have been endorsed by many very smart and independent financial experts.

Geithner Rejects Limits On Bailed out Bankers Pay

May 22, 2009

Timothy Geithner, US treasury secretary, said on Monday he opposes caps on executive pay in companies receiving bailouts from the federal government under the Troubled Asset Relief Program (TARP).

Geithner, speaking at a live broadcast interview hosted by Newsweek, made a number of notable remarks, including the claim that the economy has “clearly stabilized” despite the daily growth of unemployment and other indices of social distress. However, his comments on executive compensation stood out most of all.

Geithner, who said he received a “generous salary appropriate for a public servant,” was asked if “it would be a reasonable proposal that companies receiving TARP money should [have their executive pay] capped at what the secretary of the treasury makes?”

“No, I don’t think so.” Geithner replied. “I don’t think our government should set caps on compensation.”

Max Keiser on Press TV talks about the Massive Corruption on Wall St

May 21, 2009

Bank of England makes £1bn profit from bailouts after riding to rescue of high street lenders

May 20, 2009

The Bank of England revealed yesterday that it had racked up record profits of almost £1 billion in the year to February as its fee-earning activities burgeoned amid the global financial and economic turmoil.

During a crisis that has brought some of the mightiest forces in global banking to their knees — and some to collapse and oblivion — the Bank emerged as having thrived while famed commercial institutions foundered.

No Future For a Cashless Society

May 20, 2009

‘Britain will never evolve into a completely cashless society, according to a report today. The long-term psychological impact of the recent financial crisis will mean people will continue to rely on tangible notes and coins, according to the study which was carried out for ATM operator Bank Machine. At the same time the resistance to change from an ageing population, concerns about a surveillance society, retailer resistance and Britons’ attachment to Sterling will all ensure cash continues to be widely used.’

Known Unknowns: Unconventional ‘Strategic Shocks’ in Defence Strategy Development

May 20, 2009

The United States Army War College as issued a document disussing how to prepare and react if there are riots within the US as a result of an economic collapse. Here are some quotes fromt the document itself. The full document can be viewed by clicking HERE.

The military must be prepared for a “violent, strategic dislocation inside the United States”, in the light of “unforeseen economic collapse”

It talks of “purposeful domestic resistance”, “pervasive public health emergencies” or “loss of functioning political and legal order”

“Widespread civil violence … would force the defense establishment to reorient priorities in extremis to defend basic domestic order and human security. An American government and defense establishment lulled into complacency by a long-secure domestic order would be forced to rapidly divest some or most external security commitments in order to address rapidly expanding human insecurity at home.”

“Under the most extreme circumstances, this might include use of military force against hostile groups inside the United States.

The document says that the Department of Defense would be the “enabling hub” for the continuity of political authority in a multi-state or nationwide civil conflict or disturbance“.

In plain non-Orwellian English, the military will control the country.


May 14, 2009

AS a study showed that 40% men are suffering from recession-based mental illness, a leading psychiatrist has advised them to stop whining like a bunch of three year-old girls.

Dr Roy Hobbs, a former pipe fitter, has published a new book entitled Man Up: It’s a Recession, Not Ball Cancer, which teaches the value of ‘re-conceptualising feelings of inadequacy by drinking a case of Stella and shouting your way through Rocky IV‘.

The Nature of the Current Financial Crisis: The System is designed to exert Total Control over the Lives of Individuals

May 11, 2009

What impresses me in the current financial crisis is the near-total failure of so-called progressives to appreciate the magnitude of what is going on or the level of intelligence behind it. How many will say, for instance, that the crash was deliberately engineered by the creation, then destruction, of the investment bubbles of the last decade?

When the financial system creates bubbles it drives up the cost of assets far beyond their true value in producing or storing wealth. When the bubbles burst the value of the assets plummets. Those with ready cash then buy them up on the cheap. When the dust settles more wealth has been concentrated in fewer hands. The rich get richer, and ordinary people are left in a deeper condition of indebtedness, poverty, and pressure to perform to the liking of the financial masters.

America’s “Money Machine”

May 11, 2009

This is the second of several articles on Ellen Brown’s remarkable book titled “Web of Debt….the shocking truth about our money system, (how it) trapped us in debt, and how we can break free.” It’s a multi-part snapshot. Reading the entire book is strongly recommended – easily obtainable through Amazon or Brown’s site.

“Web of Debt”: The Inner Workings of the Monetary System

May 8, 2009

This is the first of several articles on Ellen Brown’s superb 2007 book titled “Web of Debt,” now updated in a December 2008 third edition. It tells “the shocking truth about our money system, (how it) trapped us in debt, and how we can break free.” Given today’s global economic crisis, it’s an appropriate time to review it and urge readers to digest the entire work, easily gotten through Amazon or Brown’s site. Her book is a remarkable achievement – in its scope, depth, and importance.

Looking Back on the Greatest Depression

May 8, 2009

On average, world trade fell 31 percent in January 2009. To varying degrees, recession and depression gripped globally.

“The outlook for global consumption remains bleak. Exports are likely to remain lackluster until global consumers regain their appetite for consumption,” wrote Jing Ulrich, managing director at JPMorgan in Hong Kong, in response to the dire data.

To track and make practical use of trends requires critical analysis of not only the data but also of the interpretations arising from the data. This becomes particularly essential when interpretations express a virtual media consensus. “Whenever you find that you are on the side of the majority, it is time to pause and reflect,” advised Mark Twain.

William Engdahl – Taking on the banking cabal

May 8, 2009

Speaking about President Obama’s stimulus package and newly announced budget, William Engdahl says the fundamental causes of the economic crisis were missed. Until [President] Obama reinstates Glass-Steigel restraints on banking which were repealed by the Clinton administration in 1999 and begins to re-regulate the financial system, there will not be a flow of healthy credit into the healthy economy.

Pentagon to create 20,000 jobs to manage arms buys

May 7, 2009

President Barack Obama’s Defense Department plans to create 20,000 new government jobs to help revise how it buys more than $100 billion of weapons each year, the Pentagon’s No. 2 official told Congress.

RBS deputy gets £500,000 pension

May 6, 2009

The last member of Sir Fred Goodwin’s failed top team at the Royal Bank of Scotland is set to retire with a £517,000-a-year pension.

Deputy chief executive Gordon Pell will retire early next year with a pension pot worth £9.8m.

He is the last survivor from the board which presided over the bank’s ill-fated expansion, including its takeover of Dutch bank ABN Amro in 2007.

Bill Moyers Journal featuring William K. Black

May 5, 2009

The financial industry brought the economy to its knees, but how did they get away with it? With the nation wondering how to hold the bankers accountable, Bill Moyers sits down with William K. Black, the former senior regulator who cracked down on banks during the savings and loan crisis of the 1980s. Black offers his analysis of what went wrong and his critique of the bailout.

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May 5, 2009

Britain has a greater culture of cronyism than Europe or the US, according to the study, which identified key individuals who have moved jobs between politics, financial institutions and the bodies charged with regulating the banking industry.

Top Senate Democrat: bankers “own” the U.S. Congress

May 1, 2009

Sen. Dick Durbin, on a local Chicago radio station this week, blurted out an obvious truth about Congress that, despite being blindingly obvious, is rarely spoken: “And the banks — hard to believe in a time when we’re facing a banking crisis that many of the banks created — are still the most powerful lobby on Capitol Hill. And they frankly own the place.” The blunt acknowledgment that the same banks that caused the financial crisis “own” the U.S. Congress — according to one of that institution’s most powerful members — demonstrates just how extreme this institutional corruption is.

The ownership of the federal government by banks and other large corporations is effectuated in literally countless ways, none more effective than the endless and increasingly sleazy overlap between government and corporate officials.

CFR Corporate Members Get Lion’s Share of Bailout Funds

April 30, 2009

Newspapers are fixated upon $160 million in bonuses given to American International Group (AIG) executives. And it’s nice to know where the millions are going (note: the bonuses could have been cancelled had the federal government let the company go bankrupt, as officials should have). But where are the trillions in TARP, TALC and Federal Reserve Bank bailout funds going?