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Dec 14, 2014

Syrian No-Fly-Zone a Bid to Save Al Qaeda

by Tony Cartalucci, Activist Post:
Recent strikes on Syria by Israel have been alleged to be part of a regional plan by the US, Saudi Arabia, Turkey and Israel to establish a no-fly-zone (NFZ) over Syria, just as NATO did in Libya in 2011 effectively handing the entire nation over to Al Qaeda and now “Islamic State” terrorists. DEBKA File has suggested in its article, “Israel air strikes wiped out Russian hardware for thwarting US no-fly zone plan over Syria,” that:

High-ranking American military sources revealed Monday, Dec. 8, that Israel’s air strikes near Damascus the day before wiped out newly-arrived Russian hardware including missiles that were dispatched post haste to help Syria and Hizballah frustrate a US plan for a no-fly zone over northern Syria.
Regardless of the veracity of this report, attempts to justify and impose a NFZ over Syria has been a stated goal of Western policymakers since 2011 when a similar ploy was used under the guise of “humanitarian intervention” in Libya.

Dec 6, 2014

TOTAL MADNESS: Reckless Congress Just ‘Declared War’ On Russia, Ron Paul Warns

from ZeroHedge:
Yesterday the US House passed what I consider to be one of the worst pieces of legislation ever. H. Res. 758 was billed as a resolution “strongly condemning the actions of the Russian Federation, under President Vladimir Putin, which has carried out a policy of aggression against neighboring countries aimed at political and economic domination.” In fact, the bill was 16 pages of war propaganda that should have made even neocons blush, if they were capable of such a thing.

Dec 5, 2014

The Biggest Bubble in History is About to Pop

From Zero Hedge:

If you are an investor, your big concern should not be about what to stocks… but what happens when the bond bubble goes bust.

For 30+ years, Western countries have been papering over the decline in living standards by issuing debt. In its simplest rendering, sovereign nations spent more than they could collect in taxes, so they issued debt (borrowed money) to fund their various welfare schemes.

This was usually sold as a “temporary” issue. But as politicians have shown us time and again, overspending is never a temporary issue. Today, a whopping 47% of American households receive some kind of Government benefit. This is not temporary… this is endemic.

All of this is spending is being financed by borrowed money… hence, the bond bubble, the biggest bubble in financial history: an incredible $100 trillion monster that is now growing by trillions of dollars every few months.

We do not write that point for effect. The US alone has issued over $1 trillion in NEW debt in the last eight weeks.

The reasons it did this? Because it doesn’t have the money to pay off the debt that is coming due from the past… so it simply issues NEW debt to raise the money to pay back the OLD debt.

Sounds a lot like a Ponzi scheme… but the US is not alone in this regard. Globally, the sovereign debt bubble is over $100 trillion in size. Just about every major nation on the planet is sporting a Debt to GDP ratio of 100%+ and that is just including “on the balance sheet” debts… not unfunded liabilities like Medicare or Social Security.

This is why the Fed and every other Central Bank on earth is terrified of interest rates rising; because anything even resembling the normalization of interest rates would mean entire countries going bust.

Remember when interest rates move, they tend to move quickly.

Nov 29, 2014

Jim Willie: Strengthening US Dollar Killing Global Economy

Published on Nov 28, 2014

Financial Terrorists On The Road—–Krugman And Rogoff Peddling Toxic Advice

From Economic Policy Journal,  NOVEMBER 28, 2014
By David Stockman

Here are a couple of reasons why Keynesian economists are truly a menace in today’s bubble ridden and debt-impaled world. It seems that both Harvard’s Kenneth Rogoff and Princeton’s Paul Krugman are on the global advice circuit, peddling what amounts to sheer snake oil to desperate politicians and policy-makers who have already buried themselves—-so far to no avail—-in unprecedented waves of fiscal and monetary “stimulus”.

But never mind. The professors have a three part solution, and its more, more……and moar! To make room for more monetary stimulus after six-years at the zero bound, therefore, Professor Rogoff has a truly juvenile solution. Namely, to abolish cash. That’s right, this Harvard windbag proposes to confiscate your kids’ piggy bank and any green stuff that may  be left in your wallet.

Meanwhile, Krugman has
 made a quick circuit through Tokyo, where he apparently was instrumental in convincing Japan’s prime minister to cancel the next installment of the consumption tax increase—a move that was utterly necessary in order to stem the nation’s massive flow of red ink. But why not spend a few more years adding to Japan’s staggering debt burden, which is already at 230% of GDP and rising inexorably in a nation that is fast becoming the world’s foremost retirement colony? After all, Professor Rogoff has now perfected a scheme which will allow central banks to monetize all the debt that even the most profligate government can possibly issue.

So start with Professor Rogoff ‘s incredible assault on the peoples’ cash and coins—a necessary prelude to even more fantastic rates of central bank monetary expansion. Here is exactly what he recently advocated at a “prestigious” international policy forum:

“Harvard economist Kenneth Rogoff even argues in the daily paper FAZ that cash currency should be banned altogether. Central banks could impose negative interest rates more easily that way, he explainedTax evaders and criminals would also find life more difficult. From this perspective, banknotes and coins appear superfluous, he said at a presentation at the IFO institute in Munich.Measures to spur the economy could be implemented more easily that way.”

In short, central banks would like to escalate their devastating war on savers by driving interest rates even deeper into negative nominal and real territory. But they are now stymied for two reasons.