Posted on 12/01/2006 6:32:31 AM PST by shrinkermd
Krugman is a hack and a lousy excuse for an economist, but he is, unfortunately, right on with his reading of the yield curve.
Whenever the constant maturity Treasury yield for the 10 year exceeds the comparable rate for the 1 year, we are in trouble. This phenomenon has been occurring for over a year. A recession before the next presidential election is likely.
As to Krugman, even a stopped clock . . .
P.S. Krugman isn't fit to lick Friedman's boots.
I think you reversed the 10 and 1.
Yes, you're right. My bad. With that error, I might have to go join Krugman! ;) Nah . . .
Bust? I think Krugman's been lurking here and following the posts of our resident real estate doomer from the West coast. Maybe they're one and the same person.
Krugman is dying to get a Nobel prize in Economics and he thinks that bashing the Bush administration is the means to that end. Every year he's denied, he becomes more shrill and outspoken against our president, the economy, and anything else he believes will appeal to the committee. He's a pathetic little man who even gets his butt kicked by George Will whenever he shows up on ABC's This Week.
Krugman could care less about the truth and is only interested in bashing the current administration to appeal to the libs who control the Nobel nominations.
Heheh....I hear that's a real problem for some people at FR.
We already have less borrowing due to the fed hikes. What are we up to, 4.5% increase from 1% low? You jack rates that high and of course the economy slows down.
Wages are up, incomes are up.. heavens forbid a wee increase in the costs of borrowing.
That requies a subscription and therefore will not be read
4.5% is rather steep!
As contrasts what?
Go and compute the difference between a 5.5 and 9 % mortgage and tell me it's no big thing. Try it on something with a 5 year repay term and tell me it's not significant.
Try telling someone about adjustable rate loans.
Sorry, it's taken me this long, but I've had to do some research.
You have to first understand the Federal Reserve controls our money supply and interest rates. It therefore manipulates the entire economy, creating inflation or deflation, recession or boom, and can on a whim send the stock market up or down. Case in point, quote by Congressman Wright Patman, Chairman of the House Banking Committee, Circa 1976, stated: “In the United States today we have in effect two governments. We have the duly constituted Government, then we have an independent, uncontrolled and uncoordinated government in the Federal Reserve System, operating the money powers which are reserved to Congress by the Constitution.” (Patman, Congressman Wright, Newsletter, June 6, 1968). In essence, in the Federal Reserve no one outside this “system” directs them, not even the President, Congressmen or Secretaries of Treasury. On May 5, 1969 for example, an interview was conducted with David M. Kennedy by U.S. News and World Report. The question was asked, “Do you approve of the latest credit-tightening moves?” His answer was, “It’s not my job to approve or disapprove. It is the action of the Federal Reserve”. A little side note, looking back to the days of Woodrow Wilson, who by the way helped get the Federal Reserve Act passed, from the day he took the “oath of Office”, (a play on words for him), the national debt went from 1 billion to 455 Billion as my sources dated 1976 states (“None Dare Call it Conspiracy; Gary Allen and Larry Abraham, Buccaneer Books, Cutchogue, New York; 1976). Congressman Charles A. Lindberg, SR. stated, “From now on depressions will be scientifically created.” (The Economic Pinch, 1968, Page 95).
You might find it interesting to note that between 1923 and 1929, the Federal Reserve inflated the money supply by 62%. Much of it was used to bid the stock market to extreme heights. Facts of history…….
1922 – (and After) - Profits rose, and with the Federal Reserve's ability to lend ten times more than their reserves, credit was easily obtained. From 1923 to 1929, $8 billion was sliced off of the deficit. The Reserve expanded the money supply by 62%, and this excess money was used to bid the stock market up to fantastic heights. The media began publicizing that there was an enormous profit to be made from the stock market. This push was planned at a meeting of the International Bankers in 1926, who made the boom possible, and who was going to bring about financial disaster later.
1928 - The House hearings on the Stabilization of the Purchasing Power of the Dollar, revealed that the Federal Reserve Board had met with the heads of various European central banks at a secret luncheon in 1927 to plan what they believed may be a major crash.
March 1929 - Paul Warburg had issued a tip in, Illuminati members, who knew what the future held, got their money out of the stock market, reinvesting it in gold and silver. In the year before the crash, 500 banks failed.
24 October 1929, the New York banking establishment began calling in their loans, forcing their customers to sell stock at ridiculously low prices in order to pay off the loans. Stock prices fell by 90%, and U.S. Securities lost $26 billion. Thousands of smaller banks and insurance companies went bankrupt, and people who had been millionaires, were now broke. To prolong the depression after the crash, from 1929 to 1933, the Reserve began to reducing the money flow by one-third.
1929 - Rothschild/Rockefellers/Carnegie/Morgan (CFR) created stock market crash, worldwide depression ensues.
(Note: the investing public took a disastrous blow in the crash. The “insiders”, were already out of the stock market, or had sold short, so they made giant profits.
Quote; “if orgies of unrestricted speculation are permitted to spread too far…the Ultimate collapse is certain, to bring about a general depression involving the whole country”. (Financial Chronical, March 9, 1929, by Paul Warburg.)
1933 - President Roosevelt (CFR) declares US. bankrupt - Signs over US. monetary power to world bankers (Rothschilds/Rockefellers - Illuminati) {March 6 , closes banks and prohibits the export of gold}
March 1933 – U.S. War Powers Act was a freedom destroying emergency legislation. War and conflict is an efficient means of controlling large groups of people. Brings more people under control (paying taxes), and allows for restrictive legislation, thus stealing freedom little by little as the War Powers Act was an example.
21 November 1933 – A letter written by FDR to Colonel House, "The depression was the calculated 'shearing' of the public by the World Money powers, triggered by the planned sudden shortage of supply of call money in the New York money market....The One World Government leaders and their ever close bankers have now acquired full control of the money and credit machinery of the U.S. via the creation of the privately owned Federal Reserve Bank." Curtis Dall, FDR's son-in-law as quoted in his book, My Exploited Father-in-Law.
Same letter by FDR 1933 - A letter written by FDR to Colonel Hourse; "The real truth of the matter is, as you and I know, that a financial element in the larger centers has owned the Government ever since the days of Andrew Jackson."
Now, we have not had a Major depression of the impact of the 1929, depression, YET; but since we have had regular recessions. In each case the Federal Reserve “tromped” down hard on the money “go faster” and then put on the brakes. Cases in point, 1936-1937: Stock prices fell 50%; 1948, 1953, 1956-1957; 1957 (late in the year); 1960, 1966; 1970, and many more since……So, if you have insider information (which they do, cause they actually create it and can’t be touched), you make enormous profits. The whole picture is based on the Hegemony of the World Finance would reign supreme over everyone, everywhere, as one Whole super-national control mechanism”. Notice the consolidation of the banks little by little to the Banking Counsel of Foreign Relations Members (hint), which are as follows: The Federal Reserve System Representatives; Chase Manhattan Corp; Chemical Bank; Citicorp; First City, Bancorp, TX., Morgan Guaranty; Bankers Trust New York Corporation; Manufactures Hanover, Bank of America; which were listed in my references; circa 1994). They don’t care about how the Nation fares, it’s about international Bankers who control, even nations, make enormous profits. They make profits by aiding both sides of a war, as they did in WWII, siding with the U.S. and allies on one side and the Nazis on the other at the same time.
Recession results in a loss
DON T BUY THE DOWS NEW HIGH
Monday, October 09, 2006
http://www.freemarketnews.com/Analysis/96/6134/dow.asp?nid=6134&wid=96
The Manipulation Of The Gold Market
http://www.gata.org/node/11
Submitted by Bill Murphy on Wed, 2005-11-16 08:00. Section: Essays
The key to understanding the manipulation of the gold market, this enormous scandal and fraud, is that it can be compared to a murder trial. In the United States a murderer can be put to death if he is found guilty beyond a reasonable doubt. Many times murder defendants are convicted based solely on "circumstantial" evidence because a reasonable person could reach no conclusion other than guilty.
For seven years GATA has discovered one piece of evidence after another supporting our long-held contention that the gold market is managed by certain central banks and their agents, the bullion banks. It is a price-fixing case involving some very powerful people and institutions … in fact it is a Gold Cartel. The U.S. attorney handling the Samsung conspiracy conviction said in an interview this fall that the United States had experienced an "epidemic" of price-fixing cases in the late 1990s. All GATA has done is uncovered one of them, the grandest of all.
For one to appreciate how this can go on and on and not be brought to the attention of the public, one need only to reflect on Enron and Refco. Before its initial public offering of stock, Refco was audited by the most highly regarded firms on Wall Street and nothing wrong was discovered. Yet look at what was really transpiring behind the scenes. Now the company is bankrupt and under criminal investigation.
That said, GATA does have its "smoking gun." It has to do with derivatives and central bank gold. The mainstream gold world says the central banks have nearly 32,000 tonnes of gold in their vaults (minus a small amount that has been sold in recent years or is on loan to gold producers for their hedging operations). GATA says the central banks have less than half of that -- the difference being what was clandestinely fed into the market to suppress the gold price over the last 10 years. The work of three respected GATA consultants -- Reg Howe, Frank Veneroso, and James Turk -- each using different methodologies, supports GATA's contention of vastly diminished central bank gold supply.
http://en.wikipedia.org/wiki/Great_Depression
In Milton Friedman's work, A Monetary History of the United States, he writes that the downward turn in the economy starting with the stock market crash would have been just another recession. In general, he states the problem was that some very large, very public bank failures, particularly the Bank of the United States, produced widespread runs on banks, and that the Federal Reserve sat idly by while bank after bank fell. He claims that if the Federal Reserve had acted by providing emergency lending to these key banks or simply bought government bonds on the open market to provide liquidity and increase the quantity of money after the key banks fell, all the rest of the banks that fell after the very large and public ones did would not have, the money supply would not have fallen to the extent it did, and would not have fallen at the speed it did.
The Federal Reserve doesn't lend based on it's reserves.
The Reserve expanded the money supply by 62%,
Was 62% too much? How much was enough?
This push was planned at a meeting of the International Bankers in 1926,
OMG, the International Bankers!
the Federal Reserve Board had met with the heads of various European central banks at a secret luncheon in 1927 to plan what they believed may be a major crash.
So they planned the crash. Bastards!
Illuminati members, who knew what the future held, got their money out of the stock market, reinvesting it in gold and silver. In the year before the crash, 500 banks failed.
Why would they invest in gold and silver? These prices were fixed. Why not invest in dollars?
To prolong the depression after the crash, from 1929 to 1933, the Reserve began to reducing the money flow by one-third.
They prolonged the depression? On purpose? Bastards!
Rothschild/Rockefellers/Carnegie/Morgan (CFR)
Shouldn't the initials be RRCM?
President Roosevelt (CFR) declares US. bankrupt
He did? I don't suppose you have a link? So did we default on our debts?
Sorry, it's taken me this long, but I've had to do some research.
You shouldn't have. Now that you've exposed their secrets, the Illuminati have to eliminate you. We're all in danger. That knock on my door it's the CFR. They're going to.......
Why not invest in dollars?
Gold is solid......so to speak and a guarantee. A very very long explanation very very short.
http://www.apfn.net/Doc-100_bankruptcy.htm
"Federal Reserve Notes (FRNs) are unsigned checks written on a closed account. FRNs are an inflatable paper system designed to create debt through inflation (devaluation of currency). when ever there is an increase of the
supply of a money substitute in the economy without a corresponding increase in the gold and silver backing, inflation occurs."
http://www.apfn.net/Doc-100_bankruptcy31.htm
"Document 100.1.3.2.0 31 of 39........
"The high office of the President has been used to foment a plot to destroy the Americans freedom and before I leave office I must inform the Citizen of his plight." PRESIDENT JOHN F. KENNEDY(10 days before he was murdered)
"On June 4, 1963, a virtually unknown Presidential decree, Executive Order 11110, was signed with the authority to basically strip the Federal Reserve Bank of its power to loan money to the United States Federal Government at
interest. With the stroke of a pen, President Kennedy declared that the privately owned Federal Reserve Bank would soon be out of business. The Christian Common Law Institute has exhaustively researched this matter
through the Federal Register and Library of Congress and can now safely conclude that this Executive Order has never been repealed, amended, or superceded by any subsequent Executive Order. In simple terms, it is still valid.
When President John Fitzgerald Kennedy - the author of Profiles in Courage -signed this Order, it returned to the federal government, specifically the Treasury Department, the Constitutional power to create and issue currency -money - without going through the privately owned Federal
Reserve Bank. President Kennedy's Executive Order 11110 [the full text is displayed further below] gave the Treasury Department the explicit authority: "to issue silver certificates against any silver bullion, silver, or
standard silver dollars in the Treasury."
To get you up to date...those that don't know this already are behing the power curve or in denial or, they are disinfo "agents" that use the term, tinfoil hats, ridicule, distraction methods, answer questions with questions and demand proof that is either plainly provided or they disregard proof before their eyes....and are too lazy to do their own research.
Carrol Quigly already did expose them...Eisenhower did by his speech before he left office, JFK was going to as an interview revealed in August 1963, but was published in an editorial in December 1963....so forth and so on. Unfortunately, this will come to light in a relatively short while, as it is being planned or has already been planned for some time in the future.
Relative to your description....on a serious note...yes, they are in fact bast....ds. you haven't seen anything yet.
You need to look up the CFR and take it serious, or as you said, "You shouldn't have"... I didn't write this necessarily just for you as you noticed. I suspected by your response that there was a curve ball to your question. :) You might want to take a second look, and be ready or prepared for the very "uncomfortable" future ahead. I don't get in any flaming matches lately, as this is not longer a challenge to figure out. Many people are either in denial, in fear, indifference, arrogrant in their knowledge or lack of, and others in disbelief.....
more links to get you up to speed...
http://www.wealth4freedom.com/truth/U.S._legal_history.htm
December 23, 1913. The Congress, late at night with only a small cadre of supporters present, passed the Federal Reserve Act, surrendering the creation and management of the nation’s currency into the hands of a cartel of private—and mostly foreign—bankers. Currency is the single most essential and critical commodity in the world, embodying more law and principles of commerce than any other. Since all interactions are “commerce,” and the medium of doing business in commerce is currency, money is in a very significant sense the measure of all things. By abandoning control and management of the money supply the nation surrendered all capacity for claiming sovereignty. The government lost its independent treasury (one of the requirements in law for national sovereignty). The United States Government became a mere fiefdom, or administrative arm, of the bankers, who now owned the store.
Passage of the Federal Reserve Act was a major milestone on the “road to serfdom” that this entire progression outlines. The conspiratorial nature of matters is exemplified in comments by one of the major actors in the triumph of the Federal Reserve, Edward Mandell House, who had this to say in a private meeting with President Woodrow Wilson:
“[Very] soon, every American will be required to register their biological property in a national system designed to keep track of the people and that will operate under the ancient system of pledging. By such methodology, we can compel people to submit to our agenda, which will effect our security as a chargeback for our fiat paper currency. Every American will be forced to register or suffer being unable to work and earn a living. They will be our chattel, and we will hold the security interest over them forever, by operation of the law merchant under the scheme of secured transactions.
Americans, by unknowingly or unwittingly delivering the bills of lading to us will be rendered bankrupt and insolvent, forever to remain economic slaves through taxation, secured by their pledges. They will be stripped of their rights and given a commercial value designed to make us a profit and they will be none the wiser, for not one man in a million could ever figure our plans and, if by accident one or two should figure it out, we have in our arsenal plausible deniability. After all, this is the only logical way to fund government, by floating liens and debt to the registrants in the form of benefits and privileges. This will inevitably reap to us huge profits beyond our wildest expectations and leave every American a contributor to this fraud which we will call “Social Insurance.” Without realizing it, every American will insure us for any loss we may incur and in this manner, every American will unknowingly be our servant, however begrudgingly. The people will become helpless and without any hope for their redemption and, we will employ the high office of the President of our dummy corporation to foment this plot against America.”
http://www.wealth4freedom.com/truth/house.htm
The CFR won't be knocking on your door. Apparently you don't know the players and the role they play. This is not uncommon.
Did you ever hear of the Independent Treasury Act of 1921? No, you say.... Hmmmmmmm....?
The Independent Treasury Act of 1921 suspended the de jure (meaning "by right of legal establishment") Treasury Department of the United States government. Our Congress turned the treasury department over to a private corporation, the Federal Reserve and their agents. The bulk of the ownership of the Federal Reserve System, a very well kept secret from the American Citizen, is held by these banking interests:
Rothschild Bank of London
Rothschild Bank of Berlin
Warburg Bank of Hamburg
Warburg Bank of Amsterdam
Lazard Brothers of Paris
Israel Moses Seif Banks of Italy
Chase Manhattan Bank of New York
Goldman, Sachs of New York
Lehman Brothers of New York
Kuhn Loeb Bank of New York
THE U.S. INC. DECLARES BANKRUPTCY
The corporate U.S. then, is the head corporate member, who met at Geneva to decide for all its corporate body members. The corporate representatives of the corporate several states were in attendance. If the states had their own power to declare bankruptcy regardless of whether Washington D.C. declared bankruptcy or not, then the several states would have been represented at Geneva. The several states of America were not represented. Consequently, whatever Washington D.C. agreed to at Geneva was passed on automatically, via compact to the several corporate states as a group, association, corporation or as a club member; they all agreed and declared bankruptcy as one government corporate group in 1930. The several states only needed a representative at Geneva by way of the U.S. in Washington D.C. The delegates of the corporate United States attended the meetings and spoke for the several corporate states as well as for the Federal Corporate Government. And, presto, BANKRUPTCY was declared for all!
From 1930 to 1938 the states could not enact any law or decide any case that would go against the Federal Government. The case had to come down from the Federal level so that the states could then rely on the Federal decision and use this decision within the states as justification for the bankruptcy process within the states.
"So did we default on our debts?"
very asute...I'm impressed. That day is being planned as we speak.
Back then, the dollar was solid.....backed by gold....so to speak and a guarantee.
Many people are either in denial, in fear, indifference, arrogrant in their knowledge or lack of, and others in disbelief.....
Enough about you....
Wow. Do they make a lot of money off the Fed each year? How much? And how well kept could the secret be? You know.
very asute...I'm impressed. That day is being planned as we speak.
Being planned? I thought you said FDR already declared the US bankrupt? Or are they planning our second bankruptcy?
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