What is the condition of the PIIGS and some facts surrounding their position?

Dr. Steve Keen Author of Debunking Economics

Press TV-On the edge with Max Keiser-05-14-2010(Part1)


Press TV-On the edge with Max Keiser-05-14-2010(Part2)

Where is the Systemic Crisis now in 2010-11, are we on the way out?

In response to the heading, it depends upon how you interpret the phrase "on the way out". Let's look at the facts. Deflation has taken hold of the world's GWP to the tune of -12% in 2009-10. The US is in a deflationary spiral. Whilst the UK is showing some inflationary conditions, and is throwing sugar coated sovereign debt at the diabetic Deflationary Monster. Where do I see the outcome? Where it has been since 2008, knowing the situation of the financial system of the Central Banking Cartels. The system is bankrupt. The global financial system of capital is completely fraudulent. This is not a politically extremist statement this is an informed objective summary of the state of global finance.

Players in the Crisis.
I see the attempts by Governments and Central Banks who are trying to retake control of the failed financial system of capital, which has developed into a struggle to control and regain control and power. The Systemic controllers and currency value manipulators (Central Banking Cartels and International merchant Banks, Forex and Stock Market players et.al and Industrial Cartels) and the State system, which unlike the bracketed group have civil society to answer too in addition to those groups. The reality is, they (governments) are armatures (prefects' with a badge), part timers, in the art of government and finance. They have no control over their real masters who control the flow of money, and sit in Foundations around the world, philosophising on public policy, the state and money; old money only infer to such subjects.

Quantitative Easing Crisis Response.
So what does the future hold for the West? The Central Banking System and BIS, is doing what they were created to do, to inflate the Fiat Currencies of the world. Even if the Global GWP grows over the next year or two (from its present decline), it will be the result of the East not the West. I see more real deflation (even if Governments become the national employer). Sovereign Debt will continue to rise at an unprecedented rate over the coming years. BIS's national Central Banks with their Quantitative Easing programme have become the Caboose and the coal mine for the economic engine. Whilst this action has helped the Banksters and their minions, it will only rob the average man, woman and child of their comfort -and their futures. I said back in 2008 that, "the inflation of the 1970s will look quite tame" and it will! The interest rate issue will also need to be added to this pot, once cheap money and the BIS stop buying Bonds/Securities and look for private market buyers through improved incentives and their guarantees must be assured. The present Bond Market is already showing explosive fuses and from every marketable type of Bond that is T-Bills and Bonds.

Interest Rates.
By the BIS inflating currencies as is their primary role in life, as previously stated. Their logic is as follows. Monetary Inflation takes place annually in good times, but, whilst the system is debt ridden, QE is the natural mechanism of the central bank, allowing the debt to become both cheaper and payable. The objective is, as the servicing of debt becomes overwhelming to the groups (Banks, Commercial and public as well as private borrowers), by a QE policy you reduce the debt to the Banks and the commercial, public or government groups, with new money. This in tern reduces the value of products and services so increasing the cost to the public. Ironically, the people in turn are expected to produce the market's insulin with their transacting, which will become scarce under such deflationary conditions. Also, reducing their risk of defaulting on their recorded debt with banks et.al. With low interest rates for the banks and high interests for the public, comparatively, lenders gain some control of the system of debt default and can adjust their pressure on the risks.

Deflation and summary.
The double hammer on the cards and unaccounted for by the BIS's system of money control and inflationary policy is the [deflationary hammer]. If the system continues to see deflation and particularly if government interference can not halt the continuing deflation of real GDP, and monetary inflation continues, then, the system has a real risk of collapsing.

What is quite obvious when you consider the facts. How can you have a reduction in production -and labour value, whilst still servicing your debts at a time of inflation? This can only have one outcome under such circumstances DEFAULT. But, when that combination of excessive sovereign debt, debt ridden finance system, systemic market fraud and public debt. And yes there is more. Deflationary market economy, with an economic depression and quantitative easing programme, buying state debt and devaluing the products and services and producing inflation when real incomes are going down. Do I need to say more? Can you see these elements in our western liberal societies. Can you see the markets going back to pre 2007 excesses? I see a real possibility of 20-25% deflation in the West, in real terms on previous output, when you recall production during the credit and debt accumulation period, when both were in vogue.

The East has all the cheap labour and internal markets among themselves. The UK and US and Europe in general, though not so for Europe's Germany, will continue to have balance of trade issues, due to their poorly competitive export products, untrusted and out of vogue, at the table of exports. Equally bad too, after seeing the corruption in the West's finance system the East have no reason to trust the finance services coming to them from the West, where some have already flown off to new markets. Those fresh Eastern markets will be where the West's new Head Offices reside in the future, adding to the Hedge Fund Manager and Bankers already there. In addition to well educated and locally speaking cheap general labour, who are on tap. The developing and new Cartels will be centring themselves in the East in the future, on a flight from the West. It's worth taking a look at my 2008 posts and look for the options and choices to be made.

Is this the beginning of the end for Europe's Euro?

I said back in 2008, as Congress agreed to bailout the Banks in the US, that, the effects of this, may be the expo sea of an underlying agenda and the beginning of the end, or at least, the beginning of a systemic change -and an anti-democratic change -and a further shift of power to an elite group. One of the side effects of that shift of power, would be, that under a system of Professional Bankers and linked Institutes (BIS, et al.) we may now be moving to the next stage of a systemic finance repositioning. This new chapter is born out of Systemic Bankruptcy and the philosophy of Realpolitik. As the Anglo-American interests in Marjah unfold, the Euro Zone also has their battle, as well as the attention and Anglo-American interests who look on. I said "The European Monetary System may be on its way out,"and its present condition might require a little push or no push at all (when a push was in-need) to increase the stress on the Euro Zone, of which we see both.

Are we seeing a concerted effort on the part of the UK and US to drive the stake into the heart of the Euro or are they trying to help? As their Oligarch inside Basel (their Central Banking Anglo-American click) and media machine cranks up the revs, with their fanning of the EU's fires and their problems being framed, the pressure is now on the Euro.

The IMF with their interest in being inside the struggle, under the pretence of wanting to help, whilst stating they were not offering financial support at this point, only advisory support. This institute has its origins and form based in America, which will expose its nature during this crisis,as we saw during the Fed and Goldman Sachs actions, when Lehman Brothers had their extra little push. Or the Northern Rock push by the Tripartite system of the UK. I said recently that the Banking cartels will require another convulsion to stimulate new fertile crops,(and too loose another competitor is a bonus), well, look what we have hear? Is pressure being put on the EU at this time by politicians and media of other States. Are they fanning the fire in the Fiat Currency confidence game, you do not want cries of no confidence in the F.C game?

The FX Market will cease the opportunity for short term profit and sell off the Euro on mass. This in effect, will be a inverted run on the currency. There could be as much as a 4 to 6% fall in the coming week, before action to halt the slide is enacted on the Market. There will be an Anglo-American party held in private, in the small hours, after the market crisis for the EU. The irony giving power back to the Euro, is a weak, but not dead Euro, could make the Euro interesting to import/export markets for foreigners, so injured is not as useful as dead.

Here is an example of hitting at the nature of Fiat Currency, Confidence destroying.



The Dollar vs The Euro

Where are the next 12 months going internationally?

I stated back in March of this year that I believe there will be a major event, which will bring the Global Crisis into its next period of convulsion. The States effected directly, will be, the US, UK and Europe. These States will be the most seriously effected by this event, producing another free fall period in the markets. These videos share a number of the technical reasons behind this view.

If you understand specific areas of the Global System and the interrelationships the Central Banks' have with Banks -and the Finance Markets, as well as the Securities Market and the Government's of these States -and their present course and the effects of their policies. It's not hugely difficult to see the future, with these studies under your belt. Setting dates for these events is far more difficult, due to the actors' interaction and behaviour with one another, or 'cause and effects'.

They appear to be passing cards under the table, (insider dealing) with one another, to keep their game alive -and on the table. As well as to grab what real chips they can, whilst selling counter-fits where they can right now. This would be fine, if the game didn't require losers, but, some one has to lose, for there to be a winner in this particular game. As a result of the chips being counter-fit for so long and the cashiers, (the real savers and investors) now being so cautious due to the collapse and their loses. Many of the new or successful players are waiting to put their good chips on the table, with so much controversy on the tables -and with so many losers, who thought they had real chips, destroyed or left feeling cautious right now. There are very few real chips arriving from any new players at the moment, with the exception of China, Russia, and certain Asian sectors, based around commodities and specific stocks. With Fiat Currencies diluting the existing chip asset values, there is a real risk that these Assets could turn into counter-fit chips, so increasing the pressure on the system.

This metaphor for bad chips, refers to Stocks, Securities, Derivatives and Hedge Fund Manager's Instruments for investment, Government Bonds, Gilts and most importantly, the Fiat Currencies. Assets, for investment vehicles have been turning to ice in the sun. Only those with cash are getting into the real chip games, or, are waiting for a specific game to develop. The groups, still on the tables, cannot go to the cashier with their counter-fit chips, because the cashiers have been warned there are huge numbers of counter-fit chips on the Global Table. This means the current big players are playing, whilst hiding their chips from view, in case, they are caught out and thrown off the table or attack by the other payers.
These videos will support more of the factors.

CNBC - Brace For October Crash The Economic Clock






7/15/2009 The Upcoming Market Crash by Enzio von Pfeil and his Economic Clock Site.



Goldman Sachs = Neo-Slavery = Government

Are we seeing the 22nd December 1913 at its next level?

Are we looking at what the Finance Market’s call, the Bottom Out position? Is up the only way now? The present situation is too serious for me not to state my own opinions. This action by the governments, to bail out the Banks will feed the group that collectively expose the Nature of the Banking world.

At the risk of destroying the credibility of myself and my Site, if my worst suspicions were correct, we could be looking at the beginning of the end of the Finance System not just the beginning of a change in the system. If the sums or debt are as bad as they may well be, the debt in the system could be above 99:1 or hugely above this figure. No amount of newly printed money will restart the system under a call to Tax Payers around the world, to take hold of such a debt ridden system. Governments will not get or share the facts as various groups attempt to hide the facts from one-another. The system is not recoverable without re-rationalisation of debt and loses. In this situation my opinion is to allow the system to go down to its real position of value of tangible commodities as the only way to avoid an environment primed for Hyper Inflation in the future of many States.

My best/worst position in concerns are that, we will still see the outcome of Major Recessions and potentially Hyper inflation in a number of Western Liberal Democracies and their Associative States, as well as other Economies around the world. This has been made worse by the global Government Lending to the failed system of finance. Now, that the system has the resources, the Banks with this pregnant pause, have shown they will not support the Finance Market's. Their past and present actions, lead me to believe their next move after recovery, will be to find new markets away from the areas of depression and collapse, whilst looking for profits. Not immediately, but in an insidious and covertive manner over the next five years. Inflation and Depression do not have the Bank's profit margins in them.

The present banking system will only invest where profit and growth exists. We only have to look at the crisis to see, that, even under systemic pressure and an injected liquidity to the environment, as well as the sale of the Markets bad debts, bought by governments', as Assets and Share purchases. The future is bleak for many Governments’ who try to manage the peoples’ economy through banks. I dread to think of the Climate issues we are seeing as well as those that are developing, as growth requirement of the New Order continue to take effects. The picture of our future will be painted by both forces clashing massively in the near future.

So what is next? I feel the Banks but less so Finance Markets have taken their biggest gable yet -and won over governments. They will only restart the machine when it suites their interests. By the end of the finance crisis for the banks and their Colonic Purging of debt (Dead Assets etc.), Sub-Prime Assets and Equity and Liquidity Requirements, which we see through the collection of government bailouts. We are now seeing their position improve with these Government Purchases of debt and Colonic waist. All this appears to be a logical manoeuvre by Banks under the present conditions, if One can control the system. Let's not forget who the professionals in this crisis are.

As their terminal experience appears to of passed and the poison venom consumed by Governments that venom from banks and the finance markets have been swallowed. We will begin to see the Asian Industrial Markets and The Adriatic Regions of Eastern Europe as the next short term fertile ground for investment. Banks will leave the Recession Markets without the support they need to recover. The Banks will say that the Recession belongs to the Governments of the world, whilst they get on with looking for growth markets. We’ll see if they are prepared to support those who pulled them from the abyss.

For those who can be bothered to read this summary of our position in my view. Look to the East for the location of Capital and Development in the future of the Capital Markets.

My last view can not be substantiated by a single peace of evidence, as there are many elements to this perspective. The European Monetary System may be on its way out. Much to the long term objective of certain groups and their ideological long term interest are playing themselves out. With the continuous developing power of Europe, as a collective Monetary System and the Euro as well as its Markets. There will be those who would celebrate the removal of this collective group in the present form. So, watch this subject in the short and long term crisis ahead.

We have by concurrence and silence supported the present failed system. We have given life and renewed vitality to a system that has failed and will fail again, due to its systemic nature and appetite. Leaders and intellectuals have warned us repeatedly through history. He who controls the flow of money controls the world.