Nov 7, 2010

Ethiopia Plans to Rent Out A Belgium-Sized Land Area to Produce Cash Crops.

(I do not expect that any money will trickle down to the population from this scheme -it will be all siphoned off by the rulerz; that is why they want *cash* crops in a country with millions of people dependent on food aid for survival. Moreover, scores will have to be relocalized/deported, voluntarily or not):

Bloomberg.netOctober 26, 2010
- William Davison 

   Ethiopia will lease a land area about the size of Belgium to private investors for growing rice, cotton and other crops aimed at generating foreign-exchange, an Agriculture Ministry official said.
“The Horn of Africa nation plans to rent out 3 million hectares (5 million acres) of farmland over the next five years, Abera Deressa, minister of state for agriculture, said in an interview in Addis Ababa, the capital, on October 22. “The strategy forms part of a government policy that also aims to wean Africa’s second-most populous nation off a donor- funded food program that supports 7.8 million Ethiopians. Everywhere we want to increase the amount of land to be leased,” Abera said. “We have abundant land available.”

“Ethiopia’s government has identified agriculture as the “major source” of the 11% growth rate targeted by the Finance Ministry in a five-year economic plan unveiled in August. The industry accounts for 80% of exports and 43% of gross domestic product in Africa’s biggest coffee- producing nation, Abera said. “Since August 2009, Ethiopia has leased about 200,000 hectares of land to 16 domestic and foreign companies, according to the Agriculture Ministry. Ten of the investors have started developing their allocated plots. “Saudi Star Agricultural Development Plc, owned by Ethiopian-born Saudi billionaire Sheikh Mohammed al-Amoudi, has taken 10,000 hectares in the low-lying western Gambella region, while Karuturi Global Ltd. of India has leased more than 300,000 hectares in Gambella and Baka, according to its website.”

“The government is advising American, Canadian, Chinese, Ethiopian and Indian investors to grow “high value” crops including soybeans, palm oil and bio-fuels, rather than cereals, to help feed the approximately 13 million Ethiopians that require some form of food aid, Abera said.

“If we get money we can buy food anywhere,” he said.  “Then we can solve the food problem.” (Editor: Who’s Money?)

“The cost of plots ranges from 111 Ethiopian birr ($6.89) per hectare in peripheral areas such as Gambella and the north- westerly Benishangul Gumuz region, to 2,000 birr per hectare in the fertile Ethiopian Rift Valley adjacent to Addis Ababa, Abera said. Investors are being offered “good prices” to encourage investment. Ideologically we are against rent seeking,” he said. “We want to see productive economic activity. We want to see investment. The advantage is more than from the land rent.” 

Ex-Clinton strategist Mark Penn: Terror Works

Ex-Clinton strategist: Obama needs event ‘similar’ to OKC to ‘reconnect’ with voters

By Stephen C. Webster
Raw Story
November 5, 2010

Talk about a bad analogy: Appearing on television recently, former Hillary Clinton campaign adviser and current public relations executive Mark Penn suggested that President Obama needs a moment "similar" to the tragic terrorist attack on the Oklahoma City federal building, in order to "reconnect" with voters.He didn't even seem to flinch in making the comment.
Penn is currently president and CEO of Burson-Marsteller, a multi-national public relations firm. He also served in 2008 as chief strategist for then-Senator Hillary Clinton's run for the White House. Before that, Penn advised former British Prime Minister Tony Blair in his third run for the UK leadership post, and served clients such as AT&T, Texaco, Ford, Merck, Verizon, BP, McDonald’s and Microsoft.
After the events of Sept. 11, 2001, President George W. Bush experienced the highest approval ratings of his presidency, but the same could not be said of President Clinton after the Oklahoma City bombing.
Continued. . .

Instead of printing money to create jobs at home and prosecuting banksters for the massive mortgage fraud they have committed, the US Government through the Fed is giving $600B to these very same banksters who are using it -- not to restart the economy -- but to enrich themselves further by waging a currency war that will result in devaluing the dollar.

Bloggers Note: Just last night I posted an article by Michael Hudson that explains all of this. But it's a difficult read, so if you want to understand the story without reading it, watch this video which fortuitously just came out today. You may also want to watch the Bill Black videos that immediately preceded Hudson's article.


New $600B Fed Stimulus Fuels Fears of US Currency War

The Federal Reserve will pump $600 billion more into the US economy and keep interest rates at historical low levels. The short-term impact of the Fed’s move, known as quantitative easing, has been a jump in stock prices across the globe. Many nations, however, have accused the United States of waging a currency war by devaluing the dollar. We speak to former Wall Street economist and University of Missouri professor Michael Hudson. "The object of warfare is to take over a country’s land, raw materials and assets, and grab them," Hudson says. "In the past, that used to be done militarily by invading them. But today you can do it financially simply by creating credit, which is what the Federal Reserve has done."

Michael Hudson, President of the Institute for the Study of Long-Term Economic Trends, Distinguished Research Professor of Economics at the University of Missouri, Kansas City and author of "Super-Imperialism: The Economic Strategy of American Empire."

Goldman: QE2 Will Continue Into 2012, Will Be Over $2 Trillion, Models Do Not See Rate Hike Until 2015

Bankruptcy of U.S. is ‘Mathematical Certainty,’ Says Former CEO of Nation's 10th Largest Bank

Richard Russell - US Bankrupt, Gold Rocketing Higher

US Federal Reserve stokes global currency war

Al-Qaeda, Western-made group: Yemen

PressTv Sun Nov 7, 2010 Yemeni Prime Minister Ali Mujawar has sharply criticized the West for linking al-Qaeda to his country, accusing Western powers of having helped create the terrorist group. “Al-Qaeda is mainly a Western-made group,” Yemen’s Saba news agency quoted Mujawar as telling ambassadors of Asian and African countries to Yemen on Saturday. [...] Related posts:
  1. Dozens killed in Yemen air strike on al-Qaeda suspects At least 30 suspected al-Qaeda militants have been killed...
  2. Clerics threaten to declare holy war if foreign troops land on Yemeni soil A group of influential religious leaders in Yemen has...
  3. Saudis say al Qaeda targeting France – minister Editors note: Undoubtedly al Qaeda groups would love to strike...
  4. Fake “War on Terrorism”: In Yemen the US is Fighting against Democracy, not against Al Qaeda Interview with Mohamed Hassan by Gregoire Lalieu and Michel Collon...

"GOYIM, These Videos are VERBOTEN!"

Dr. Alan Sabrosky, former Director of Studies at the U.S. Army War College, on audio. The video details evidence on why it is 100% certain that Israel did 9/11 and the official story is a pack of lies.


Rice University Jewish Studies Professor calls police over youtube 9/11 video

A Houston man who sent a Rice University professor a youtube link via e-mail in October was contacted by police investigators shortly thereafter. The video, entitled 'History They Don't Teach You in School', covers the history of false flag terrorism, Israeli Zionists, and Israeli involvement in the September 11, 2001 attacks.It was e-mailed to Rice University Jewish Studies professor Rabbi Shira Lander, Ph.D, after the man had seen fliers advertising her Jewish studies anti-semitism class.

History They Don't Teach You in School Part 1


How to Flunk a College-Level History Course

Penn State 'Holocaust History' Course: A Lesson in Ignorance: Professor Responds to Revisionist Question By Calling Police

When Karl Striedieck signed up in January for Professor Rose's three-credit "Holocaust History"course at Pennsylvania State University, he wasn't expecting a warm welcome for his skeptical views. Still he wasn't quite prepared for the bigoted reception he did receive.

Striedieck, who served for 23 years as a US military fighter pilot, says that he decided to sign up for course 297C "to broaden my knowledge of the subject in a university-level course, taught by an accredited specialist on the subject."

On the first day of the Spring term class, Dr. Paul Rose warned students that they should not read any of the writings of Robert Faurisson, Arthur Butz, Arno Mayer, David Irving, or Mark Weber, or any of the publications of the Institute for Historical Review. These Revisionist historians are so clever, Rose explained, that students aren't able to see through their deceptive arguments. Thinking this a rather odd approach to take by someone supposedly dedicated to open-minded inquiry, Striedieck informed the teacher that he had, in fact, already read works by these individuals, and would appreciate a critique of their arguments. Rose responded by suggesting that the student immediately drop the course.

The dark history of communism and what the Jews don't want you to know about it. Part II


Greatest Mass Murderers of Modern Times were Jews
And us, the Jews? An Israeli student finishes high school without ever hearing the name "Genrikh Yagoda," the greatest Jewish murderer of the 20th Century, the GPU's deputy commander and the founder and commander of the NKVD. Yagoda diligently implemented Stalin's collectivization orders and is responsible for the deaths of at least 10 million people.

Many Jews sold their soul to the devil of the Communist revolution and have blood on their hands for eternity. We'll mention just one more: Leonid Reichman, head of the NKVD's special department and the organization's chief interrogator, who was a particularly cruel sadist.

In 1934, according to published statistics, 38.5 percent of those holding the most senior posts in the Soviet security apparatuses were of Jewish origin
Stalin's and his Jewish Death Squads were responsible for the murder of at least 20 million Russian Christians and peasants

For a partial listing of the University of Israel Penn State campus 'Chosen Ones' faculty, click here.

9/11 All Over Again? Israeli's Spying in and Around US Military Airports


QE2: Last Rites for the World's "Reserve Currency"

By Mike Whitney
November 06, 2010 "Information Clearing House

-- Millions of Americans have no idea what Quantitative Easing is or how it will effect them personally. That's why Wednesday's announcement that the Fed will purchase another $600 billion in US Treasuries merely reinforced feelings of helplessness and a sense that government spending is out-of-control. Unfortunately, Ben Bernanke's rambling explanation of QE2 in a Washington Post op-ed on Thursday only added to the confusion. The article is loaded with half-truths and omissions that are meant to mislead the public about how the program works and what the Fed's real objectives are. It's another missed opportunity by Bernanke to come clean with the people and let them know what policies are being enacted in their name. Here's an excerpt from the article:

"The Federal Reserve's objectives ---- are to promote a high level of employment and low, stable inflation. Unfortunately, the job market remains quite weak; the national unemployment rate is nearly 10 percent, a large number of people can find only part-time work, and a substantial fraction of the unemployed have been out of work six months or longer. The heavy costs of unemployment include intense strains on family finances, more foreclosures and the loss of job skills.....Low and falling inflation indicate that the economy has considerable spare capacity, implying that there is scope for monetary policy to support further gains in employment without risking economic overheating. The FOMC decided this week that, with unemployment high and inflation very low, further support to the economy is needed.....the Federal Reserve has a particular obligation to help promote increased employment and sustain price stability. Steps taken this week should help us fulfill that obligation."

Bernanke mentions employment/unemployment 5 times in the first 3 paragraphs to give the impression that QE is about creating new jobs. But everyone knows that's baloney. If Bernanke was really worried about jobs, he would have appealed to Congress for a second round of fiscal stimulus in his speech, which he didn't, because he remains hawkish on deficits like his colleagues in the GOP-led congress.

Also, if QE2 is mainly about jobs, than why not settle on benchmarks to determine whether the program is successful or not? In other words, if unemployment is still hovering at 8 or 9% in June 2011, when the program ends, then we can assume that Bernanke was either wrong in his calculations or deliberately misled the public about what the program really does.

The truth is, Quantitative Easing will not reduce unemployment, narrow the output gap, or increase aggregate demand. At best, it will lower long-term interest rates (slightly) and buoy asset prices. That may be good for the stock market, but it won't lay the groundwork for a strong recovery. In fact, it might not even be enough to keep the economy from slipping back into recession. As last Friday's report from he Bureau of Economic Analysis indicates, most of 3rd Quarter GDP was from rebuilding inventories. Remove inventory restocking, and final demand was a sickly 0.6%. So, how will Bernanke's bond purchasing program increase final demand?

It won't. If the Fed buys Treasuries, Treasury yields go down which pushes investors into riskier assets (like stocks). That pushes stocks higher, investors feel richer, spending takes off, businesses hire more workers, and the economy grows. It's a great theory, but it doesn't work. Yields are already at record lows and businesses are still not hiring because there's no demand for their products. The problem cannot be fixed from the supply side, which is to say, that it doesn't matter how cheap money is, if no one is borrowing. And no one is borrowing because they are either broke or out-of-work. Bernanke's grand plan doesn't get money to the people who need it, so the economy will continue to sputter.

Also, Yields on the 10-year and 30-year Treasuries have already dipped in anticipation of QE2, but is there any sign that businesses are planning to start hiring again? Of course not, because low interest rates don't matter in this environment. Case in point; record-low interest rates haven't increased home sales at all. Cheap money doesn't generate demand when personal balance sheets are underwater. Bernanke knows this because he's studied Japan's Lost Decade and understands what happened. They initiated two massive QE programs and got zippo---bank loans and credit continued to go sideways. So, Bernanke is being disingenuous. But why?

The reason is that the Fed is locked in a violent exchange-rate war to push down the value of the dollar. Bernanke wants to trim the current account deficit to boost exports. But he'd rather not tell the American people that he's using their currency as a bludgeon to beat trading partners into submission. It's easier just to scribble some gibberish about "generating jobs" and send it off to the Washington Post.

The Fed is at war; that's the truth of the matter. Economist Michael Hudson calls Quantitative Easing (QE) "a form of financial aggression." But Hudson probably understates the case; "monetary terrorism" (moneterrorism?) is probably closer to the truth. QE is flooding emerging markets with cheap capital that's forcing their leaders to take defensive action to protect their economies. EM's have already seen the first wave of liquidity surge into their markets raising havoc with prices and forcing central banks to raise rates. But emerging markets aren't taking it laying down. They're throwing up protectionist barriers and monitoring capital flows. If Bernanke's going to print more money, they'll print, too. Mass competitive devaluation will ignite a full-blown currency war that leaves the present trade regime in tatters and the dollar in the dustbin.

This is from Richard Portes in an article titled "Currency wars and the emerging-market countries":

"If the large developed market countries do more QE, however, then the flow of liquidity to the emerging markets may force the latter to respond. They may try to resist exchange-rate appreciation by intervening in the foreign exchange markets. Here we do have competitive devaluation - the "currency wars"....

This is why we see statements like "The US will win this war: it will either inflate the rest of the world or force their exchange rates up against the dollar" (Wolf 2010). But there is a potential downside for the US. Substantial dollar depreciation will weaken the global position of the dollar, as it did in the late 1970s. (Chinn and Frankel 2007)

The Fed will proceed with QE. It will not accept foreign constraints on its monetary policy, nor will it run an internationally "coordinated" or "cooperative" monetary policy." ("Currency wars and the emerging-market countries", Richard Portes, VOX)

See? This isn't about jobs at all. It's about power. It's about who is going to dictate policy to the rest of the world. Bernanke wants emerging markets to bear the costs of a financial crisis that originated on Wall Street and was nurtured every step of the way by the easy money policies of the Federal Reserve. Rather than accept responsibility for his actions--by restructuring the banking system and forcing them to write down their debts-- Bernanke has decided to create inflation by opening the sluice-gates and releasing a wall of liquidity that will (inevitably) produce asset bubbles and turmoil in foreign markets. The plan will put the dollar under severe pressure and could trigger a flight from dollar-backed assets, particularly US Treasuries. That would spark the Doomsday Scenario; a disorderly unwinding of the dollar and a swift plunge into crisis. That possibility is not as remote as many think. Here's a clip from the UK Telegraph's Ambrose-Evans Pritchard:

"The Fed's "QE2" risks accelerating the demise of the dollar-based currency system... a chorus of Chinese officials and advisers is demanding that China switch reserves into gold or forms of oil. As this anti-dollar revolt gathers momentum worldwide, the US risks losing its "exorbitant privilege" of currency hegemony." (QE risks currency wars and the end of dollar hegemony, Ambrose-Evans Pritchard, Telegraph)

Or, this from Nobel prize winner, Joseph Stiglitz:

"The world is on the verge of moving to another regime of managed exchange rates and fragmented capital markets....A new global reserve system or an expansion of IMF "money" (called special drawing rights, or SDRs) will be central to this co-operative approach. With such a system, poor countries would no longer need to put aside hundreds of billions of dollars to protect themselves from global volatility, and these would add to global aggregate demand.... with such a system, the US would no longer enjoy the extraordinarily cheap borrowing that comes with being the minter of the most important global reserve currency. But the current arrangement is an anomaly. The world is at a critical juncture." (A currency war has no winners, Joseph Stiglitz, The Guardian)

Or this from economist Michael Hudson who believes that the rising powers Brazil, Russia, India and China (BRIC) will challenge the current dollar-dominated regime leading the way to a new multi-polar world order. Here's what he says:

"The most decisive counter-strategy to U.S. QE II policy is to create a full-fledged BRIC-centered currency bloc that would minimize use of the dollar....A BRIC-centered system would reverse the policy of open and unprotected capital markets put in place after World War II. ... In September, China supported a Russian proposal to start direct trading using the yuan and the ruble rather than pricing their trade or taking payment in U.S. dollars or other foreign currencies. China then negotiated a similar deal with Brazil. And on the eve of the IMF meetings in Washington on Friday, Premier Wen stopped off in Istanbul to reach agreement with Turkish Prime Minister Erdogan to use their own currencies in a planned tripling Turkish-Chinese trade to $50 billion over the next five years, effectively excluding the dollar."

It won't happen overnight, but the transition away from the dollar has already begun. The financial crisis has greatly eroded US moral authority and the trust that's needed to preserve America's role as the steward of the world's reserve currency. Bernanke's misguided hyper-monetarism is merely hastening the dollar's decline. QE2 could very well be the straw that breaks the camel's back.

Is the USA having a Bank Holiday to Devalue the Dollar?

Just in from Philip Brennan:

Ok, this is what I have so far. This is not going to be one of my usually well written posts - this is going to be pure information with no bells or whistles.
Twitter is going crazy with reports of ATMs and online accounts going down as of 01:00 hours EST of the 7th of November 2010. This is happening to many banks all across America. Some are trying to say that it is a computer glitch to do with the change in Daylight Savings Time, but I will call BS on this as we manage to put our clocks back over here in the UK without knocking out ATMs and online accounts nationally.
The GodlikeProductions forum is going crazy with reports of multiple banks locking their customers out of their accounts. With various rumours that have been floating around this past week of a Bank Holiday in the USA to devalue the US Dollar or move completely over to the Bancor SDR, and the Web Bot going crazy, it is a distinct possibility that this is, in fact, happening as we speak.
The affected banks are as follows (to the best of my knowledge):
  • US Bank
  • Bank of America
  • Wells Fargo
  • Compass
  • USAA
  • Suntrust
  • Chase
  • Fairwinds Credit Union
  • American Express
  • BB&T on the East Coast
Small credit unions are thus far unaffected, but there is no guarantee that they will not be forced to close their tellers in the event of a full bank holiday dollar devaluation.
This is all I have for now, but I will update this post if I get any more information.


Regulators close four banks, 2010 total now 143

ForeclosureGate Could Force Bank Nationalization

ForeClosureGate and The Economic Crisis, Spiralling Gold and Silver Prices