SOS Who control the world?

Whoever control the printing machine and oil, control the world.

In the ancient eastern world, it is call loan shark, in the western world, it is called investment bankers.

The best innovation that US of A for the last 40 years, cannot be denied is not iPhone or MacBook, it is called DERIVATIVES. It is one of the most unregulated legalized institution in the world. PIMCO called it Shadow Money-Lending System, i.e. can create debt out of thin air, CDO, CLO, CDS, Swap, MBS, etc and of course, receive interest on that. Debt created out of thin air is classified as asset in their books and receive interest revenue. For more details on derivatives, you can read Mr Buffett by Janet Tavacoli.

If we dig further, we will know why derivatives is called the weapon of mass destruction by Mr Warren Buffett. Investigate the following

1. LTCM
2. Enron
3. Lehman
4. Bear Stern

They are only the tip of the iceberg. The notional value for derivatives is about USD582 trillion. Of course, one may argue, it contra off each other, the net exposure to bankers is not significant. But the funny part, NOBODY can give us a figure, so, no point debate over it.




President Thomas Jefferson once said, if the American people ever allow private banks to control the issue of currency, first by INFLATION, then by DEFLATION, the banks and the corporations which grow up around them will deprive the people of all property until their children wake up homeless on the continent their fathers founded.


MyView

Thomas Jefferson have the foresight. USD already depreciated 97% since 1971, after the paper money is created, now, what next DEFLATION? Currency depreciation mainly derive from supply of money (not much compared with CREDIT) & CREDIT or Debt (digital fiat money). I believe, when Debt creation comes to an end, Deflation will follow, then Depression. Unless there can find another asset to print.