‘When the checks stop coming in, chaos will begin in the streets of America’

Image by Stuart Miles - modified by cnlib / freedigitalphotos.net *

Image by Stuart Miles – modified by cnlib / freedigitalphotos.net *

  • 49 percent of all Americans live in a home that gets direct monetary benefits from the federal government each month
  • the government is giving out far more money than it is taking in
  • US government must borrow about 8 trillion dollars a year just to keep up with the game
  • this game can continue is if the U.S. government can continue to borrow gigantic piles of money at ridiculously low interest rates
  • what happens when the rest of the world decides that it does not want to loan these 8 trillion dollars a year at ultra-low interest rates?

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Ellen Brown: Why the US Senate won’t touch Jamie Dimon

Image: Fletcher6 / Wikimedia Commons *

“… financial analysts Jim Willie and Rob Kirby think it may be something far larger, deeper, and more ominous. They contend that the $3 billion-plus losses in London hedging transactions that were the subject of the hearing can be traced, not to European sovereign debt (as alleged), but to the record-low interest rates maintained on U.S. government bonds. (…) The low rates are maintained by interest rate swaps, called by Willie a “derivative tool which controls the bond market in a devious artificial manner.”

Ultra-low interest rates MUST be maintained to prevent the debt from overwhelming the government budget.  Near-zero rates also need to be maintained because even a moderate rise would cause multi-trillion dollar derivative losses for the banks (…)”
   Ellen Brown

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