WIJanuary Saturday 21st 2006 (01h49) :
Collapse of U.S. Economy Imminent
63 comment(s).

In its attempt to establish a world empire dominating every nation on the planet, the U.S. has exhausted its ability to finance the expansion and the country now faces imminent financial collapse. From all indications, it looks like 2006 will spell the end for America.
Consider these five important points:

Point #1 The U.S., Great Britain and Israel are preparing to attack Iran. As it appears the main reason for invading Iraq was to stop it from selling oil in Euros, likewise Iran has plans to dump the dollar come March 2006.

Point #2 U.S. Treasury Secretary John Snow issued a warning recently that the U.S. Government is on the verge of collapse - as the statutory debt limit imposed by Congress of $8.184 trillion dollars would be reached in mid-February - the government would then be unable to continue its normal operations. Considering the current total U.S. debt stands at $8.162 trillion dollars, once the official debt ceiling ($8.184 trillion) is reached, the U.S. government’s credit abroad (its borrowing power) is gone. Those countries (mainly China) who presently keep America afloat by holding U.S. Treasury Notes, will most likely no longer continue doing so.

Point #3 Bank Of America and Compass Bank managers (probably all other U.S. banks too) have been instructing their employees in the last few weeks on how to respond to customer demands in the event of a collapse of the U.S. economy - specifically telling the employees that only agents from the Department Of Homeland Security will have authority to decide what belongings customers may have from their safe deposit boxes - and that precious metals and other valuables will not be released to U.S. citizens. The bank employees have been strictly prohibited from revealing the banks’ new "guidelines" to anyone. (however, employees have been talking to friends and family)

The next time you visit your bank, ask them about it - then ask yourself, why is this information being kept secret from customers and the public - what’s really going on?

Point #4 FEMA has activated and is currently staffing its vast network of empty internment camps with armed military personnel - unknown to most Americans, these large federal facilities are strategically positioned across the U.S. landscape to "manage" the population in the event of a "terrorist" attack, a civilian uprising, large-scale dissent ,or an insurrection against the government. Some of these razor-wired facilities have the capacity of detaining a million people.

Point #5 The Patriot Act and the US Senate’s vote to ban habeas corpus (Nov 14th) - along with George W. Bush having signed executive orders giving him sole authority to impose martial law, suspend habeas corpus and ignore the Posse Comitatus Act, have together pretty much destroyed any notions of freedom and justice for Americans.

Summary: The U.S. economy is broken, the United States is bankrupt - the unchecked spending by this administration, the illegally waged wars against Afghanistan and Iraq, the cost of unprecedented weapons and military build-up - have all contributed to an irreversible emergency which is threatening our nation’s existence and our very lives.

Hospitals are closing, major corporations are declaring bankruptcy and/or moving their companies overseas, the monopolized news media spews nothing but lies, and our fearless leaders have turned out to be only ruthless criminals hell-bent on destabilizing our country and robbing us all.

Be aware - we stand at the threshold of total ruin - the international bankers and war profiteers care little for our lives and families - these demons worship money and all things vile and evil - they have very much to gain from war, misery, disease, famine, chaos and death (our deaths).

We are right on the edge - the Treasury is already overextended - the U.S. government cannot (and will not) care for its own citizens’ needs, nor secure our borders against illegal aliens - plus, the whole "terrorist" thing is a cruel hoax perpetrated against a trusting citizenry - and only designed to instill fear and garner support for the genocide taking place in Iraq.

Should America (along with British & Israeli forces) launch a war against Iran, or another country, without yet paying for, or even recovering from the current losses in Iraq and elsewhere - the costs of such of an invasion will overwhelm an already crippled economy and push the U.S. over the edge into oblivion.

Question: Considering the U.S. Treasury Notes that China currently holds (which keeps the U.S. economy going)...

Do you think China will continue to support a country’s economy (the U.S.) whose military launches a nuclear strike against its neighbor (Iran) - thus delivering a blanket of radioactive fallout over western Chinese provinces - killing hundreds of thousands, if not millions of its citizens?

I think not.

Factoring in the aforementioned points of "preparation" engineered by U.S. authorities, I’d say there’s a stinking rat in the woodpile ...can you smell it

----------------------------------------------------

Donna Danna (21 Jan 2006)
"Collapse of U.S. Economy Imminent"


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Collapse of U.S. Economy Imminent
http://bellaciao.org/en/article.php3?id_article=9995

The Proposed Iranian Oil Bourse
The Iranian government has finally developed the ultimate "nuclear" weapon that can swiftly destroy the financial system underpinning the American Empire. That weapon is the Iranian Oil Bourse slated to open in March 2006. It will be based on a euro-oil-trading mechanism that naturally implies payment for oil in Euro. In economic terms, this represents a much greater threat to the hegemony of the dollar than Saddam's, because it will allow anyone willing either to buy or to sell oil for Euro to transact on the exchange, thus circumventing the U.S. dollar altogether. If so, then it is likely that almost everyone will eagerly adopt this euro oil system:
FULL STORY at
http://www.gold-eagle.com/editorials_05/petrov011606.html

I trust in Jesus, My God.

I will NOT freak out.

Thank you Jesus!

nada

Father God, I claim this confident security of David for all the family of God! May we all sing at the top of our lungs your praises!!
justaservant

Psalm 91 (The Message)
The Message (MSG)

Copyright © 1993, 1994, 1995, 1996, 2000, 2001, 2002 by Eugene H. Peterson
The Message at Navpress NavPress

Psalm 91
1You who sit down in the High God's presence, spend the night in Shaddai's shadow,

2Say this: "GOD, you're my refuge.

I trust in you and I'm safe!"

3That's right--he rescues you from hidden traps,

shields you from deadly hazards.

4His huge outstretched arms protect you--

under them you're perfectly safe;

his arms fend off all harm.

5Fear nothing--not wild wolves in the night,

not flying arrows in the day,

6Not disease that prowls through the darkness,

not disaster that erupts at high noon.

7Even though others succumb all around,

drop like flies right and left,

no harm will even graze you.

8You'll stand untouched, watch it all from a distance,

watch the wicked turn into corpses.

9Yes, because GOD's your refuge,

the High God your very own home,

10Evil can't get close to you,

harm can't get through the door.

11He ordered his angels

to guard you wherever you go.

12If you stumble, they'll catch you;

their job is to keep you from falling.

13You'll walk unharmed among lions and snakes,

and kick young lions and serpents from the path.



14"If you'll hold on to me for dear life," says GOD,

"I'll get you out of any trouble.

I'll give you the best of care

if you'll only get to know and trust me.

15Call me and I'll answer, be at your side in bad times;

I'll rescue you, then throw you a party.

16I'll give you a long life,

give you a long drink of salvation!"

A Sabbath song

God will bring us through everything there need be NO DOUBT that he is our Lord!
Trust in HIM and you will be fine:)

Lean not on man but on our Heavenly Lord who reigns and rules over our earth forever and always HE IS OUR CREATOR!

GOd bless you
Sunshine

I was told that silver woul;d be a good currency in case our ecopnomy collapses, but I am more likely to start buying Ramen noodles in bulk if it's looking eminenet. Now THAT's a currency...

Chicken flavored = $1
Beef = $5
Pork = $10
Oreintal = $20
Shrimp = $50
Picante Beef/Creamy Chicken/Roast Beef = $100

No inflation, no decrease in value, and never needs to be converted.

LOL

(My mom and I came upw ith that scale. The Ramen Noodle currency system, patent pending... )

Ooooh Ramen noodles! Great idea!

I spent many days on that as a poor student. You can get really creative with it when you add spices and veggies....I think I'll go grab a package today... lol
Haven't had that in so long. You crack me up!

Lois,

You are posting an article that is off of a website that has opinions! There is not one shred of evidence to anything in that article, it's just fear based! Please do not put up articles without them being legitimate... this is one person's very uneducated opinion about the economy and these kind of fear tactics are unnecessary and undermines our faith.

If you want to add an article, make sure it checks out first. This person's opinion is, in MY opinion, all LIES.

Thanks

Personally I think that if the US economy went down it would cause a global economic problem.

Rose...

Aw, thanks Miki! I am just tired of the fear factor stuff going on. If it's REAL and a current event, post it! If not, then add YOUR opinion and back it up but this stuff is just CRAP (sorry!)

Though sensational, there may be some truth to this article. Then again, the alarmist scare tactics are unnecessary and more importantly, unproductive. This type of article just polarizes people. I try to be unemotional when I write an article so that people who disagree with me might actually consider what I'm saying, instead of running to the safety of their own beliefs.

I can see Jesus showed you and your mom the same humor He has shown me.

Pinto Beans=1package Ramen Noodle
Blackeyed Peas=2 package Ramen Noodles
Fresh Homegrown Irish potatoes==100 Ramen Noodles!!!!
Fresh homegrown tomatoes=priceless

The collapes of the money system will put us on a bartering system......
I'm ready.
'cept I still don't have that tobacco plant. hahahaha
talk about bartering power!
Tina

i wouldnt be too harsh mod.

there is more than an element of truth in it.

the us is bankrupt - has been since 1990 at least

china can turn the us into a total economic mess at any moment she chooses. china is the worlds biggest holder of us $$, i think india is 4th. if china wanted too all she needs to do is offload them and the us will go down the argentine road.

oil is traded using the us $. should it start to be traded wih the euro (europa is on the coin, interesting study that) the us will lose its hegemony and in so doing be plunged into an economic mess.

the money system and the world economic system MUST fail and this just might be the catylist

not only that everyone that posts in this forum has an opinion so i really cant see the difference between expressing an opinion of ones own or that of someone else, at least the source was given.

i believe that things like that should be aired. there are a lot of christians who are ignorant of escatology either thro their own ignorance or because their pastors are too timid to speak of such things. a lot of these, imho will be caught out when the time comes and by posting comments such as these may help to awaken some as to what is occuring and help them question and then determine their own destiny.

i believe that a lot of chistians will worship the beast because they have not been taught.

god bless all

i note the above is copyright. shame. the true word of god is not able to be claimed by any man. here is what the word really says - there is a vast difference

Psalm 91
1He that dwelleth in the secret place of the most High shall abide under the shadow of the Almighty.

2I will say of the LORD, He is my refuge and my fortress: my God; in him will I trust.

3Surely he shall deliver thee from the snare of the fowler, and from the noisome pestilence.

4He shall cover thee with his feathers, and under his wings shalt thou trust: his truth shall be thy shield and buckler.

5Thou shalt not be afraid for the terror by night; nor for the arrow that flieth by day;

6Nor for the pestilence that walketh in darkness; nor for the destruction that wasteth at noonday.

7A thousand shall fall at thy side, and ten thousand at thy right hand; but it shall not come nigh thee.

8Only with thine eyes shalt thou behold and see the reward of the wicked.

9Because thou hast made the LORD, which is my refuge, even the most High, thy habitation;

10There shall no evil befall thee, neither shall any plague come nigh thy dwelling.

11For he shall give his angels charge over thee, to keep thee in all thy ways.

12They shall bear thee up in their hands, lest thou dash thy foot against a stone.

13Thou shalt tread upon the lion and adder: the young lion and the dragon shalt thou trample under feet.

14Because he hath set his love upon me, therefore will I deliver him: I will set him on high, because he hath known my name.

15He shall call upon me, and I will answer him: I will be with him in trouble; I will deliver him, and honour him.

16With long life will I satisfy him, and shew him my salvation.

IRAN'S EURO-DENOMINATED OIL BOURSE TO OPEN IN MARCH: US DOLLAR CRISIS ON HORIZON
« on: Today at 07:45:01am »

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Iran's euro-denominated oil bourse to open in March: US Dollar Crisis on the Horizon


By William R. Clark

February 10, 2006


"A successful Iranian bourse will solidify the petroeuro as an alternative oil transaction currency, and thereby end the petrodollar's hegemonic status as the monopoly oil currency. Therefore, a graduated approach is needed to avoid precipitous U.S. economic dislocations."

"This notion that the United States is getting ready to attack Iran is simply ridiculous... Having said that, all options are on the table."
-- George W. Bush, February 2005

William R. Clark writes:

Contemporary warfare has traditionally involved underlying conflicts regarding economics and resources. Today these intertwined conflicts also involve international currencies, and thus increased complexity.

Current geopolitical tensions between the United States and Iran extend beyond the publicly stated concerns regarding Iran's nuclear intentions, and likely include a proposed Iranian "petroeuro" system for oil trade.

Similar to the Iraq war, military operations against Iran relate to the macroeconomics of 'petrodollar recycling' and the unpublicized but real challenge to US$ supremacy from the euro as an alternative oil transaction currency.


full article at: http://www.globalresearch.ca/index.php?con...&articleId=1937

If y'all want veggies in case of an economic collapse, get into hydroponics. A geurilla setup, or do-it-yourself setup is pretty cheap, and with my ex-elicit farming background, I found that you can find dang near eveyhting but substrate and nutrients at wal mart. The substrate is usually really cheap, and the nutrients, while spendy, last a good while, and the extra dough is definetly worth it. I'd look into a book or something on hydroponic diy systems. Heck I might write one, since I'm such a Mr. Knowitall. Hmmm.

Maybe Oprah will put it on her list?

I'm already waiting on that book from you--you can post it here on the forum any day now! (We will probably need it!!!) Hopefully Oprah WILL put it on her list, but then you probably won't have time to enjoy the money anyway, since our economy is on the way down OR the mark is on the way in OR we're on the way out! Who knows!

It pains me to say this, but outside of writing an entirely new hydroponics diy book, I'd suggest some of the marijuana growers handbooks for setup ideas. Seriously, noone knows more about healthy plants than those whose income depends on their plant's vitalities. I don't suggest nor condone cultivating illegal plants, but if you want to know about hydroponics, that's the best way.

I'd suggest aeroponics or deep water culture. DWC is easy to build and maintain and results in a amassive root structure, and aeroponics is literally how God grew plants preflood (by misting roots with a nutrient fog), and results in massive healthy plants. Tomatoes grown indoors are usually better off if you suspend the fruits in wireless b-cup bra's to avoid contact with hard objects and over ripening. Use black. Anyhting that can be growin in dirt can be growin in a hydroponic system, usually giving better results and overall better fruits. If growing food, flush reserviour with distilled water two weeks before consumption to leech out any chemical taste left by the nutrients, and for constant bloomers like tomatoes, go one week with nutrients, two weeks without.

Darn it, I need to write all of this stuff down in one place. Sigh.

~ GO/GO/GO
GO/GO/GO


Found this on Information Clearing House this morning.

Pretty "scary" days ahead? TP

* * * * * * * * * * *

The Dollar's Full-System Meltdown

By Mike Whitney

10/30/06 "Information Clearing House" -- -- The U.S. Dollar is kaput. Confidence in the currency is eroding by the day.

A report in The Sydney Morning Herald stated, “Australia’s Treasurer Peter Costello has called on East Asia’s central bankers to ‘telegraph’ their intentions to diversify out of American investments and ensure an ‘orderly adjustment’….Central banks in China, Japan, Taiwan, South Korea, and Hong Kong have channeled immense foreign reserves into American government bonds, helping to prop up the US dollar and hold down interest rates,’ said Costello, but ‘the strategy has changed.’”

Indeed, the strategy has changed. The world has come to its senses and is moving away from the green slip of paper that is currently mired in $8.3 trillion of debt.

The central banks now want to reduce their USD reserves while trying to do as little damage to their own economies as possible. That’ll be difficult. If a sell-off ensues, it will start a stampede for the exits.

There’s little hope of an “orderly adjustment” as Costello opines; that’s just false optimism. When the greenback begins listing; things will turn helter-skelter quickly.

In September, we saw early signs that the dollar was in trouble. The trade deficit registered at $70 billion but the Net Foreign Security Purchases (NFSP) came in at a paltry $33 billion. That means that our main trading partners are no longer buying back our debt which puts downward pressure on the greenback. The Fed had two choices; either raise interest rates substantially or let the currency fall. Given the tenuous condition of the housing bubble and the proximity of the midterm elections, the Fed did neither.

A month later, in October, the trade deficit hit $69.9 billion but, then, without warning, a miracle occurred. The Net Foreign Security Purchases skyrocketed to a “historic high” of $116.8 billion; covering both months’ shortfalls almost to the penny.

Coincidence?

Not likely. Either the skittish central banks decided to “stock up” on their dollar-denominated investments or the Federal Reserve (and their banking-buddies) is buying back its own debt to float us through the elections.

This is exactly the kind of hanky-panky that people expected when Greenspan stopped publishing the M-3 last March keeping the rest of us in the dark about what was really going on with the money supply.

Are we supposed to believe that the skeptical central banks suddenly doubled up on their T-Bills while they’re (publicly) moaning about the dollar’s weakness and threatening to diversify?

That’s a stretch.

According to the Wall Street Journal the Chinese Central-bank governor Zhou Xiaochuan stated unequivocally that “We think we’ve got enough.” The Chinese presently have nearly $1 trillion in USD and US Treasuries.

“Enough”?

The United States runs a $200 billion per year trade deficit with China. If they’ve “got enough” we’re dead-ducks. After all, it doesn’t take a sell-off to kill the dollar, just unwillingness on the part of the main players to stop purchasing at the same rate.

Of course, everyone in Washington already knew that doomsday was approaching. That’s the way the system was designed from the very beginning. It’s all part of the madcap scheme to “starve the beast” and transfer the nation’s wealth to a handful of western plutocrats. That’s explains why the Fed and the White House whirred along like two spokes on the same wheel; every policy calculated to thrust the country headlong toward disaster.

The administration never created a funding mechanism for the $400 million tax cuts or for the 35% expansion of the Federal government. Defense spending increased by leaps and bounds as did the “no-bid” contracts for friends of the Bush clan. At the same time, interest rates were lowered to rock-bottom to put as much money as possible into the hands of people who couldn’t meet the traditional criteria for a mortgage. And, if gluttonous waste, reckless overspending and “Mickey Mouse” loans were not enough; the Fed capped it off by doubling the money supply in 7 years; a surefire prescription for hyper-inflation.

So, which one of these policies was not deliberate?

Read on at: http://informationclearinghouse.info/article15440.htm

OUAF OUAF!!! (That's a good one) Better than our money that will soon be "monkey's money if we keep on!

I always say that if they had wanted to bankrupt America, they could'nt have done a better job...

... and that's not funny at all!

I still stockup on Ramen noodles.

Prophets of doom...JESUS CHRIST is the LORD, and HE alone will determine how history unfolds, not the pinhead greedy prophets of doom.

Amen Todd!

Jesus is in control. He is my breath of fresh air each and every day.
Let us not have a spirit of fear.
With Jesus as our Lord we shall not fear.

Everything is in God's hands
I love you all and I pray we continue to have the
peace that our Lord offers to us every second of the day.

love,
rosie

COLLAPSE IS GOING TO HAPPEN EXTREMELY SOON....AN EMERGENCY GOV'T COMMITTEE HAS BEEN SET UP TO MEET EVERY 6 WEEKS TO AVOID A COLLAPSE MONTH BY MONTH....THAT IS HOW BAD IT IS...BAD IT IS FOR PEOPLE WHO PUT THEIR FAITH IN RICHES AND NOT IN GOD!

According to Richard Daughty in his prescient article “The Phase of Impact” the Federal Reserve and the Treasury Dept have already manned the battle-stations. Here’s an excerpt:

“Mr. Paulson, the Secretary of the Treasury, is, by virtue of his ascension to the throne, now the head of the shadowy President’s Working Group of Financial Markets (which was created by Presidential Order 12631) and he is insisting that they meet more often, namely every 6 weeks!

This whole Working Group thing was originally set up as a fallback, ad-hoc, if-then defense to deal with possible economic emergencies, but now they are routinely meeting every 6 weeks. He has even ordered Jim Wilkinson, his chief of staff, to ‘oversee the creation of a Treasury Command Center to track markets world-wide and serve as an operations base in a crisis”! (Wall Street Journal) World-wide!! The American government is moving to take control of the world-wide economy as the result of an anticipated crisis? Yikes!”


NEWS YOU WON'T FIND ON CNN


The Dollar's Full-System Meltdown

By Mike Whitney

10/30/06 "Information Clearing House" -- -- The U.S. Dollar is kaput. Confidence in the currency is eroding by the day.

A report in The Sydney Morning Herald stated, “Australia’s Treasurer Peter Costello has called on East Asia’s central bankers to ‘telegraph’ their intentions to diversify out of American investments and ensure an ‘orderly adjustment’….Central banks in China, Japan, Taiwan, South Korea, and Hong Kong have channeled immense foreign reserves into American government bonds, helping to prop up the US dollar and hold down interest rates,’ said Costello, but ‘the strategy has changed.’”

Indeed, the strategy has changed. The world has come to its senses and is moving away from the green slip of paper that is currently mired in $8.3 trillion of debt.

The central banks now want to reduce their USD reserves while trying to do as little damage to their own economies as possible. That’ll be difficult. If a sell-off ensues, it will start a stampede for the exits.

There’s little hope of an “orderly adjustment” as Costello opines; that’s just false optimism. When the greenback begins listing; things will turn helter-skelter quickly.

In September, we saw early signs that the dollar was in trouble. The trade deficit registered at $70 billion but the Net Foreign Security Purchases (NFSP) came in at a paltry $33 billion. That means that our main trading partners are no longer buying back our debt which puts downward pressure on the greenback. The Fed had two choices; either raise interest rates substantially or let the currency fall. Given the tenuous condition of the housing bubble and the proximity of the midterm elections, the Fed did neither.

A month later, in October, the trade deficit hit $69.9 billion but, then, without warning, a miracle occurred. The Net Foreign Security Purchases skyrocketed to a “historic high” of $116.8 billion; covering both months’ shortfalls almost to the penny.

Coincidence?

Not likely. Either the skittish central banks decided to “stock up” on their dollar-denominated investments or the Federal Reserve (and their banking-buddies) is buying back its own debt to float us through the elections.

This is exactly the kind of hanky-panky that people expected when Greenspan stopped publishing the M-3 last March keeping the rest of us in the dark about what was really going on with the money supply.

Are we supposed to believe that the skeptical central banks suddenly doubled up on their T-Bills while they’re (publicly) moaning about the dollar’s weakness and threatening to diversify?

That’s a stretch.

According to the Wall Street Journal the Chinese Central-bank governor Zhou Xiaochuan stated unequivocally that “We think we’ve got enough.” The Chinese presently have nearly $1 trillion in USD and US Treasuries.

“Enough”?

The United States runs a $200 billion per year trade deficit with China. If they’ve “got enough” we’re dead-ducks. After all, it doesn’t take a sell-off to kill the dollar, just unwillingness on the part of the main players to stop purchasing at the same rate.


Of course, everyone in Washington already knew that doomsday was approaching. That’s the way the system was designed from the very beginning. It’s all part of the madcap scheme to “starve the beast” and transfer the nation’s wealth to a handful of western plutocrats. That’s explains why the Fed and the White House whirred along like two spokes on the same wheel; every policy calculated to thrust the country headlong toward disaster.

The administration never created a funding mechanism for the $400 million tax cuts or for the 35% expansion of the Federal government. Defense spending increased by leaps and bounds as did the “no-bid” contracts for friends of the Bush clan. At the same time, interest rates were lowered to rock-bottom to put as much money as possible into the hands of people who couldn’t meet the traditional criteria for a mortgage. And, if gluttonous waste, reckless overspending and “Mickey Mouse” loans were not enough; the Fed capped it off by doubling the money supply in 7 years; a surefire prescription for hyper-inflation.

So, which one of these policies was not deliberate?

The financial crisis that we now face was created by design. It is intended to destroy the labor movement, crush the middle class, quash Medicare, Medicaid and Social Security, reduce our foreign debt by 50 or 60%, force a restructuring of America’s debt, privatize all public assets and resources, and create a new regime of austerity measures which will divert more wealth to the banking and corporate establishments.

The avatars of neoliberalism invariably use crooked politicians to spawn enormous “unsustainable” debt so that the nations’ riches can be transferred to ruling elites. It works the same everywhere. It’s a form of corporate colonization, only this time the victim is the good old USA.

“The Phase of Impact”

According to Richard Daughty in his prescient article “The Phase of Impact” the Federal Reserve and the Treasury Dept have already manned the battle-stations. Here’s an excerpt:

“Mr. Paulson, the Secretary of the Treasury, is, by virtue of his ascension to the throne, now the head of the shadowy President’s Working Group of Financial Markets (which was created by Presidential Order 12631) and he is insisting that they meet more often, namely every 6 weeks!

This whole Working Group thing was originally set up as a fallback, ad-hoc, if-then defense to deal with possible economic emergencies, but now they are routinely meeting every 6 weeks. He has even ordered Jim Wilkinson, his chief of staff, to ‘oversee the creation of a Treasury Command Center to track markets world-wide and serve as an operations base in a crisis”! (Wall Street Journal) World-wide!! The American government is moving to take control of the world-wide economy as the result of an anticipated crisis? Yikes!”

Daughty goes on to say: “So a lot of the hubbub is obviously being caused by some approaching upheaval, perhaps reflected in something sent to me by Phil S., which is the Global Europe Anticipation Bulletin No8 which reminded us that last May they predicted that the economy would have a ‘phase of acceleration’ that would begin in June, and it “would be spread out over a period of a maximum of 6 months’, which it subsequently did. They said then, and are saying again now, that a ‘phase of impact will begin in November 2006’, and that this impact phase would be the ‘explosive phase of the crisis’.

This ‘phase of impact’ that is due to begin momentarily is, they explain, ‘a period when a series of brutal crises starts affecting by contamination the total system. This explosive phase of the crisis, which will last 6 months to one year, will affect directly and very strongly financial players and markets, the owners of investment schemes with fixed incomes in dollars, pension funds and the strategic relations between the United States on the one side, and Europe and Asia on the other.” (Richard Daughty; “The Phase of Impact” Kitco.com)

Predictions, of course, are rarely reliable and Daughty’s scenario may be a bit too apocalyptic for many. But if we accept the premise that the tax cuts, the expansion of the federal government, the doubling of the money supply, and the $10 trillion that was sluiced into the housing bubble were not merely “honest mistakes” made by “supply side” enthusiasts; then we must assume that this is all part of a loony plan to demolish the economic foundation-blocks of the current system and remake society from the ground up.

Domestically, that plan appears to involve the activation of the police state.

In the last few weeks the Bush administration has passed the Military Commissions Act of 2006 which allows the president to arrest and torture whomever he chooses without charging him with a crime. Also, unbeknownst to most Americans, Bush signed into law a provision which, according to Senator Patrick Leahy, will allow the president to unilaterally declare martial law. By changing The Insurrection Act, Bush has essentially overturned the Posse Comitatus Act which bars the president from deploying troops with the United States. The John Warner Defense Authorization Act of 2007 (as it is called) also allows Bush to take control of the National Guard which has always been under the purview of the state governors. Bush now has absolute power over all armed troops within the country, a state of affairs which the constitution purposely tried to prevent. The administration’s dream of militarizing the country under the sole authority of the executive has now been achieved although the public still has no idea that a coup that has taken place.

Internationally, the falling dollar means that America’s debt will be reduced proportionate to the percentage-loss of the dollar in relation to other currencies. This is a great deal for the U.S. First the Fed prints fiat money to buy valuable resources and manufactured goods and then it nabs a discount by depreciating its currency. It’s a “win-win” situation for Washington, although it will undoubtedly cheat unwitting foreign-creditors out of their hard-earned profits. It’s doubtful that their interests will weigh very heavily on the money-lenders at the US Treasury or the Federal Reserve.

The dollar faces a second crisis at home which is bound to play out throughout 2007. The $10 trillion dollar housing bubble is quickly losing air causing a precipitous drop in GDP. The housing industry is seeing its steepest decline in 30 years and home equity is beginning to shrivel. Housing has been the one bright spot in an otherwise bleak economic landscape. With the housing market slowing down and prices decreasing, the $600 billion of consumer spending which was extracted in 2005 from home equity will quickly evaporate triggering an overall slowdown in the economy. (Consumer spending is 70% of GDP)

By the Fed’s own calculations; “The total amount of residential housing wealth in the US just about doubled between 1999 and 2006 up from $10.4 trillion to $20.4 trillion. (“Times Online”) If these figures are accurate than we can assume that much of America’s “perceived” growth has been nothing more than the expansion of debt. In fact, that seems to be the case. Wages have been stagnant since the 1970s, 3 million manufacturing jobs have been outsourced, savings have shrunk to below 0%, and personal debt is soaring. We have become an “asset-based” society and when the principle asset begins to loose its value, we are in deep trouble. As housing prices continue to decline through 2007 we can expect a full-blown recession. If energy prices rear their ugly head again, (were they lowered for the elections?) it will just be that much worse.

So, how will recession affect the dollar?

Capital has no loyalties. It follows the markets. When America’s bustling consumer market stalls, we’ll undergo capital flight just like everywhere else. The 3 million lost manufacturing jobs, the 200,000 lost high-paying high-tech jobs, the tax incentives for major corporations doing business outside the country; all signal that corporate America has already loaded the boats and is headed for more promising markets in Asia and Europe. A sluggish consumer market could further weaken the dollar and force Americans to begin saving again but, (and here’s the surprising part) the decision-makers at the Federal Reserve and the Treasury Dept don’t really care if the face-value of the greenback goes down anyway.

What really matters is that the dollar retains its position as the world’s reserve currency. That allows the Federal Reserve to continue to print the money, set the interest rates, and control the global economic system. The dollar presently accounts for 66% of foreign currency reserves in central banks across the globe, an increase of nearly 10% in one decade alone. The dollar has become the international currency, a de-facto monopoly. This is the goal of the globalists and the American ruling elite who dream of one system, the dollar-system; with us running it.

So, how will this cadre of plutocrats coerce the other nations to continue to use the dollar while it plummets from its perch?

Oil.

As long as oil is denominated in dollars, the central banks will be forced to stockpile American scrip regardless of its value. It’s no different than holding a gun to someone’s head. They will use our debt-plagued greenbacks or their cars and trucks will sputter, their tractors and factories will wheeze, and their economies will grind to a halt. It’s just that simple.

America cannot maintain its superpower status unless it continues to control the global economic system. That means the linkage between the dollar and oil must be preserved. The Bush troupe sees this as an existential issue upon which the future of America’s ruling class depends. By 2020, 60% of the world’s oil will come from the Middle East. Bush will do everything in his power to control the resources of the Caspian Basin, thereby expanding US dollar-hegemony and paving the way for a new American century

The Dollar's Full-System Meltdown

By Mike Whitney

10/30/06 "Information Clearing House" -- -- The U.S. Dollar is kaput. Confidence in the currency is eroding by the day.

A report in The Sydney Morning Herald stated, “Australia’s Treasurer Peter Costello has called on East Asia’s central bankers to ‘telegraph’ their intentions to diversify out of American investments and ensure an ‘orderly adjustment’….Central banks in China, Japan, Taiwan, South Korea, and Hong Kong have channeled immense foreign reserves into American government bonds, helping to prop up the US dollar and hold down interest rates,’ said Costello, but ‘the strategy has changed.’”

Indeed, the strategy has changed. The world has come to its senses and is moving away from the green slip of paper that is currently mired in $8.3 trillion of debt.

The central banks now want to reduce their USD reserves while trying to do as little damage to their own economies as possible. That’ll be difficult. If a sell-off ensues, it will start a stampede for the exits.

There’s little hope of an “orderly adjustment” as Costello opines; that’s just false optimism. When the greenback begins listing; things will turn helter-skelter quickly.

In September, we saw early signs that the dollar was in trouble. The trade deficit registered at $70 billion but the Net Foreign Security Purchases (NFSP) came in at a paltry $33 billion. That means that our main trading partners are no longer buying back our debt which puts downward pressure on the greenback. The Fed had two choices; either raise interest rates substantially or let the currency fall. Given the tenuous condition of the housing bubble and the proximity of the midterm elections, the Fed did neither.

A month later, in October, the trade deficit hit $69.9 billion but, then, without warning, a miracle occurred. The Net Foreign Security Purchases skyrocketed to a “historic high” of $116.8 billion; covering both months’ shortfalls almost to the penny.

Coincidence?

Not likely. Either the skittish central banks decided to “stock up” on their dollar-denominated investments or the Federal Reserve (and their banking-buddies) is buying back its own debt to float us through the elections.

This is exactly the kind of hanky-panky that people expected when Greenspan stopped publishing the M-3 last March keeping the rest of us in the dark about what was really going on with the money supply.

Are we supposed to believe that the skeptical central banks suddenly doubled up on their T-Bills while they’re (publicly) moaning about the dollar’s weakness and threatening to diversify?

That’s a stretch.

According to the Wall Street Journal the Chinese Central-bank governor Zhou Xiaochuan stated unequivocally that “We think we’ve got enough.” The Chinese presently have nearly $1 trillion in USD and US Treasuries.

“Enough”?

The United States runs a $200 billion per year trade deficit with China. If they’ve “got enough” we’re dead-ducks. After all, it doesn’t take a sell-off to kill the dollar, just unwillingness on the part of the main players to stop purchasing at the same rate.


Of course, everyone in Washington already knew that doomsday was approaching. That’s the way the system was designed from the very beginning. It’s all part of the madcap scheme to “starve the beast” and transfer the nation’s wealth to a handful of western plutocrats. That’s explains why the Fed and the White House whirred along like two spokes on the same wheel; every policy calculated to thrust the country headlong toward disaster.

The administration never created a funding mechanism for the $400 million tax cuts or for the 35% expansion of the Federal government. Defense spending increased by leaps and bounds as did the “no-bid” contracts for friends of the Bush clan. At the same time, interest rates were lowered to rock-bottom to put as much money as possible into the hands of people who couldn’t meet the traditional criteria for a mortgage. And, if gluttonous waste, reckless overspending and “Mickey Mouse” loans were not enough; the Fed capped it off by doubling the money supply in 7 years; a surefire prescription for hyper-inflation.

So, which one of these policies was not deliberate?

The financial crisis that we now face was created by design. It is intended to destroy the labor movement, crush the middle class, quash Medicare, Medicaid and Social Security, reduce our foreign debt by 50 or 60%, force a restructuring of America’s debt, privatize all public assets and resources, and create a new regime of austerity measures which will divert more wealth to the banking and corporate establishments.

The avatars of neoliberalism invariably use crooked politicians to spawn enormous “unsustainable” debt so that the nations’ riches can be transferred to ruling elites. It works the same everywhere. It’s a form of corporate colonization, only this time the victim is the good old USA.

“The Phase of Impact”

According to Richard Daughty in his prescient article “The Phase of Impact” the Federal Reserve and the Treasury Dept have already manned the battle-stations. Here’s an excerpt:

“Mr. Paulson, the Secretary of the Treasury, is, by virtue of his ascension to the throne, now the head of the shadowy President’s Working Group of Financial Markets (which was created by Presidential Order 12631) and he is insisting that they meet more often, namely every 6 weeks!

This whole Working Group thing was originally set up as a fallback, ad-hoc, if-then defense to deal with possible economic emergencies, but now they are routinely meeting every 6 weeks. He has even ordered Jim Wilkinson, his chief of staff, to ‘oversee the creation of a Treasury Command Center to track markets world-wide and serve as an operations base in a crisis”! (Wall Street Journal) World-wide!! The American government is moving to take control of the world-wide economy as the result of an anticipated crisis? Yikes!”

Daughty goes on to say: “So a lot of the hubbub is obviously being caused by some approaching upheaval, perhaps reflected in something sent to me by Phil S., which is the Global Europe Anticipation Bulletin No8 which reminded us that last May they predicted that the economy would have a ‘phase of acceleration’ that would begin in June, and it “would be spread out over a period of a maximum of 6 months’, which it subsequently did. They said then, and are saying again now, that a ‘phase of impact will begin in November 2006’, and that this impact phase would be the ‘explosive phase of the crisis’.

This ‘phase of impact’ that is due to begin momentarily is, they explain, ‘a period when a series of brutal crises starts affecting by contamination the total system. This explosive phase of the crisis, which will last 6 months to one year, will affect directly and very strongly financial players and markets, the owners of investment schemes with fixed incomes in dollars, pension funds and the strategic relations between the United States on the one side, and Europe and Asia on the other.” (Richard Daughty; “The Phase of Impact” Kitco.com)

Predictions, of course, are rarely reliable and Daughty’s scenario may be a bit too apocalyptic for many. But if we accept the premise that the tax cuts, the expansion of the federal government, the doubling of the money supply, and the $10 trillion that was sluiced into the housing bubble were not merely “honest mistakes” made by “supply side” enthusiasts; then we must assume that this is all part of a loony plan to demolish the economic foundation-blocks of the current system and remake society from the ground up.

Domestically, that plan appears to involve the activation of the police state.

In the last few weeks the Bush administration has passed the Military Commissions Act of 2006 which allows the president to arrest and torture whomever he chooses without charging him with a crime. Also, unbeknownst to most Americans, Bush signed into law a provision which, according to Senator Patrick Leahy, will allow the president to unilaterally declare martial law. By changing The Insurrection Act, Bush has essentially overturned the Posse Comitatus Act which bars the president from deploying troops with the United States. The John Warner Defense Authorization Act of 2007 (as it is called) also allows Bush to take control of the National Guard which has always been under the purview of the state governors. Bush now has absolute power over all armed troops within the country, a state of affairs which the constitution purposely tried to prevent. The administration’s dream of militarizing the country under the sole authority of the executive has now been achieved although the public still has no idea that a coup that has taken place.

Internationally, the falling dollar means that America’s debt will be reduced proportionate to the percentage-loss of the dollar in relation to other currencies. This is a great deal for the U.S. First the Fed prints fiat money to buy valuable resources and manufactured goods and then it nabs a discount by depreciating its currency. It’s a “win-win” situation for Washington, although it will undoubtedly cheat unwitting foreign-creditors out of their hard-earned profits. It’s doubtful that their interests will weigh very heavily on the money-lenders at the US Treasury or the Federal Reserve.

The dollar faces a second crisis at home which is bound to play out throughout 2007. The $10 trillion dollar housing bubble is quickly losing air causing a precipitous drop in GDP. The housing industry is seeing its steepest decline in 30 years and home equity is beginning to shrivel. Housing has been the one bright spot in an otherwise bleak economic landscape. With the housing market slowing down and prices decreasing, the $600 billion of consumer spending which was extracted in 2005 from home equity will quickly evaporate triggering an overall slowdown in the economy. (Consumer spending is 70% of GDP)

By the Fed’s own calculations; “The total amount of residential housing wealth in the US just about doubled between 1999 and 2006 up from $10.4 trillion to $20.4 trillion. (“Times Online”) If these figures are accurate than we can assume that much of America’s “perceived” growth has been nothing more than the expansion of debt. In fact, that seems to be the case. Wages have been stagnant since the 1970s, 3 million manufacturing jobs have been outsourced, savings have shrunk to below 0%, and personal debt is soaring. We have become an “asset-based” society and when the principle asset begins to loose its value, we are in deep trouble. As housing prices continue to decline through 2007 we can expect a full-blown recession. If energy prices rear their ugly head again, (were they lowered for the elections?) it will just be that much worse.

So, how will recession affect the dollar?

Capital has no loyalties. It follows the markets. When America’s bustling consumer market stalls, we’ll undergo capital flight just like everywhere else. The 3 million lost manufacturing jobs, the 200,000 lost high-paying high-tech jobs, the tax incentives for major corporations doing business outside the country; all signal that corporate America has already loaded the boats and is headed for more promising markets in Asia and Europe. A sluggish consumer market could further weaken the dollar and force Americans to begin saving again but, (and here’s the surprising part) the decision-makers at the Federal Reserve and the Treasury Dept don’t really care if the face-value of the greenback goes down anyway.

What really matters is that the dollar retains its position as the world’s reserve currency. That allows the Federal Reserve to continue to print the money, set the interest rates, and control the global economic system. The dollar presently accounts for 66% of foreign currency reserves in central banks across the globe, an increase of nearly 10% in one decade alone. The dollar has become the international currency, a de-facto monopoly. This is the goal of the globalists and the American ruling elite who dream of one system, the dollar-system; with us running it.

So, how will this cadre of plutocrats coerce the other nations to continue to use the dollar while it plummets from its perch?

Oil.

As long as oil is denominated in dollars, the central banks will be forced to stockpile American scrip regardless of its value. It’s no different than holding a gun to someone’s head. They will use our debt-plagued greenbacks or their cars and trucks will sputter, their tractors and factories will wheeze, and their economies will grind to a halt. It’s just that simple.

America cannot maintain its superpower status unless it continues to control the global economic system. That means the linkage between the dollar and oil must be preserved. The Bush troupe sees this as an existential issue upon which the future of America’s ruling class depends. By 2020, 60% of the world’s oil will come from the Middle East. Bush will do everything in his power to control the resources of the Caspian Basin, thereby expanding US dollar-hegemony and paving the way for a new American century

http://informationclearinghouse.info/article15440.htm

Considering the prophetic events that are now transforming before "US".......The timing is very interesting........AS a truck driver would say ,....this could be construed as "On time delivery".....................................benny