The "Crash of 2007-08" is Underway

[glenn kangiser]

And if you wondered where the Fed got the $34 billion in liquidity it pumped into the markets on Friday, August 10, you weren't the only one. The answer is that the Fed has a secret room upstairs where it keeps a large "printing press." It's legalized counterfeiting, but as with any counterfeit money, if people accept it in trade it acts just like the real stuff—for a while.

The danger, which many commentators are pointing to, is that the Fed will ignite a hyperinflation, which may be what is happening and may actually be intentional because it devalues debt. It's what happens when debt is used to pay off debt and is in fact an invisible tax. Such inflation is difficult to discern, again because of the government's rigged statistics. The most important indicator to watch is the price of oil, which doesn't show up in "core inflation."

The financiers' worst fear is that if things get too bad the American people might elect a reformer in 2008. So far the corporate press has kept two such reformers—Ron Paul and Dennis Kucinich—in the shadows. Now that Hillary Clinton is starting to sound more progressive, they'll attack her overtly since she is too big a player to be ignored. The Washington Post has already begun.

The whole story.

http://www.countercurrents.org/cook190807.htm

[benevolance]

Glenn they have been printing funny money for years...

When they did away with gold there is nothing securing the currency they print...they can print 800 trillion dollars worth of bills tomorrow and nobody can stop them

How do you think they pay for the oil that america imports to soothe its ugly demand every day...Funny money

[glenn kangiser]

Yes that is true-- but they have recently made some very massive emergency infusions.

[benevolance]

one thing that is very worrisome living in america is that other countries do not want US currency anymore... Europe and China are looking for other ways to be paid for exports and oil exporters are not happy that the international currency of Opec is the us greenback

it is no small co-incidence that saddam and Iran were the Axis of evil when they suddenly stopped using us currency to trade oil and switched to the Euro this put the us green backs security at risk and was one major reason we invaded Iraq...

Day after we took Bagdad you can guess what currency Iraqi oil was sold for once again...

No matter how much funny money they print with the world dependant on oil and the world trading oil in us  currency the oild trade and industry is artifically adding value and stability to the US currency

it is a dangerous house of cards that could topple with the slightest hiccup

sadly I do not think people here truly understand how close we are to systematic collapse that would  destroy those who were mortgaged to their eyebrows

[glenn kangiser]

With our fake war on terror depleting our resources and enriching only the elite, the world has us by the shorthair.  We can't even afford to get armor and safe vehicles to our guys who are being massacred in Iraq and Afghanistan.

Note that the dollar is still being artificially  propped up by China and others due to US threats and their own interests in keeping the US afloat.

http://www.asiaamerica.org/publications/cif/cif-14-2006.htm