Wednesday, August 24, 2011

Economic Depression by Design

Catherine Austin Fitts

Here's one for the deep thinkers, those who explore the "Realpolitik" behind today's world events.
Catherine Austin Fitts is brilliant. In this brief piece she gives voice to something that we suspect has been going on throughout history, repeating itself in a cyclic continuum.
The key points are that there is a planned economic re-engineering occurring, involving targeted intentional collapse. This has been forced against the third world over and over, with tools such as debt for equity swaps. In other words, sources like the IMF or private banking concerns load the third world up with debt. When the bill comes due and is unpaid, the Banksters come in with a big tow truck and sweep up (privatize) natural resources of the target country.
Fitts calls this "The Central Banking Warfare Model".
The bad news for us is that they're screwing the first world now. We are witnessing the biggest transfer of wealth from the public commons to the global bankers, a staggering amount of wealth flowing upward from you and me to people who consider themselves "The Ruling Class".
As Fitts concludes; "Now that they've got your money, they're going to change the deal".

Here's a perfect example from "The Street":

"NEW YORK (RealMoney) -- The largest transfer of wealth from the public to private sector is about to begin. The federal government will be bulk-selling the massive portfolio of foreclosed homes now owned by HUD, Fannie Mae and Freddie Mac to private investors -- vulture funds.

These homes, which are now the property of the U.S. government, the U.S. taxpayer, U.S. citizens collectively, are going to be sold to private investor conglomerates at extraordinarily large discounts to real value.

You and I will not be allowed to participate. These investors will come from the private-equity and hedge-fund community, Goldman Sachs(GS_) and its derivatives, as well as foreign sovereign wealth funds that can bring a billion dollars or more to each transaction.

In the process, these investors will instantaneously become the largest improved real estate owners and landlords in the world. The U.S. taxpayer will get pennies on the dollar for these homes and then be allowed to rent them back at market rates
Assuming taxpayers don't push back, the next step will be to issue a Request for Proposals (RFP). The RFP will be the bid and plan for these homes by investors.

The way to keep taxpayers from pushing back is to structure the RFI so that the real intention, the bulk sales, is masked by feel-good goals, such as stabilizing neighborhoods and increasing the supply of rental properties.

As intended, the mass media are playing their part in classic style. Every major newspaper in the U.S. has run articles discussing the plan as a rental conversion, allowing readers to assume that Fannie, Freddie and HUD will be renting the properties directly to families who need housing. And although there is an allowance for these kinds of rentals, it is a minor political facade to the obvious true goal of bulk-sale privatization of these homes."

Feel free to discuss...


B said...

I'll say this much: I find it disturbing that the Tea Bag Party opposes a tax increase on the rich.

"The Republican position, in other words, is not that taxes should be lower in general, but that—in spite of what Warren Buffett says—the rich bear too much of the tax burden. They also argue that cutting taxes on the rich will do more to stimulate the economy than than cutting taxes on the poor, even though the consensus among economists is that the reverse is true. But ultimately what most Republican politicians want—Rep. Ron Paul (R-TX) is a notable exception—is not to lower taxes, but to shift the tax burden on to poorer Americans. "

Dojo Rat said...

Good link.

George Bush Sr. used the old illuminist term "New World Order".
He knew exactly what he was talking about.
It's this re-engineering of the world economy.
Americans will be paid the same as Mexicans and Indians and Pakistani's and Haitians.
Corporate America is giving up on an American middle class. Huge economies are opening up in Asia, India and elswhere.
They won't stop until we live in a society based on Neo-Fuedalism.

More on that later, I'd better get back to martial arts for now...

Energy Prices said...

People who had lose their jobs are the real victim in an economic recession, just imagine them losing the income they once had it would be hard for them to maintain or keep up with their household bills, budget and so on.