The "Bail-Out" has hit a snag, but now it's time to educate yourself...

TODAY, we took a step in the right direction. Congress rejected this "Bail-Out" today due to ordinary citizens, taking the time to protect themselves and their families, this does not mean Bush, Paulson, and Bernake will not try again.

This video below, is not some conspiracy video about the Illuminati or "money master's" economic crankery, this video is based on scholarly work done by Rothbard, Mises, and Hayek. This is not a SOCIALIST/COMMUNIST video, it is about REAL CAPITALISM AND FREE-MARKETS, very much unlike our current financial system. This is a serious, yet easy to follow video about money, banking and the business cycles.

This video was produced by "Austrian Economists", from the Ludwig Von Mises Institute. Ludwig Von Mises was the only economist of his generation to have predicted the "Great Depression" and the fall of "Communism", long before they occurred. He was the first to warn Governments that Central Banks along with fractional reserve banking lower interest rates, and give false market signals to Entrepreneurs to invest in new business ventures, which HE (the businessman) would have not taken otherwise had the MARKET RATES not been manipulated. This is what causes the malinvestment in the economy, and hence the inevitable correction which must occur to set capital in its proper and for its most efficient use.

Please watch this video, educate yourself and spread it far and wide. I think people are finally seeing what the "Austrians" have been warning about for decades, that Central Banking coupled with a Fractional Reserve Banking system is bad for real growth in an economy.

This latest FED induced "Depression part II" that we are currently facing I think will be the last straw, which I hope will break the existence of Central Bank in our country. The most important thing about this video to remember is:

1) The Business Cycle (Bubbles and Recessions) is not something that occurs in a vacuum. The existence of the Business Cycle has its roots with Fractional Reserve Banking.

2) A Fractional Reserve Banking System, together with a Central Bank have it in their benefit to Lower interest rates, you see by doing so the Banking System generates revenues. The problem comes when these artificially lowered interest rates encourage Entrepreneurs to take-on risky ventures due to the cheap cost of capital. This sets up the second stage. This is the BOOM phase in the economy. Rational businessmen take on risky ventures, due to IRRATIONAL manipulated interest rates.

3) As banks realize that these loans have been too risky of a venture, to have happened in the first place. Coupled with the growing inflation that both the Central Banks and the Banking system have caused with this easy money, they are forced to raise their interest rates. They raise these interest rates, in order to protect themselves, so as to maintain cash or reserves on hand to meet any RUN on the banking system they may face, which may occur once depositors realize that their money have been loaned-out to ventures which may never yield a return for the Bank. This is the BUST phase in the economy.

These are the primary lessons to be learned from watching this video. That ALL our recessions, depressions, and BUBBLES in the ECONOMY are caused primarily by the CENTRAL BANK working in unison with the Fractional Reserve Banking System. Enjoy the video: (A special Ron Paul appearance to also look out for)

It's a 42 minute video, but better than taking a Money and Banking course at Harvard.



[edit on 30-9-2008 by Gateway]

Flagged and Starred

You work very hard in the interests of this and the wider community

Originally posted by Dock6
Flagged and Starred

You work very hard in the interests of this and the wider community

Thank you,


I love this country, I don't want to see our people grow poorer, at the benefit of the few.

It's time we listen to the "Austrians" they have been right for decades.

Originally posted by Gateway

Originally posted by Dock6
Flagged and Starred

You work very hard in the interests of this and the wider community

Thank you,


I love this country, I don't want to see our people grow poorer, at the benefit of the few.

It's time we listen to the "Austrians" they have been right for decades.

That is where you are 100% wrong. By failing to pass this package you are going to see many more people grow much poorer and for a much longer time than need be. Business closings and thus layoffs, and thus forecloures will start expanding geometrically. You ain't seen nothing yet. The bailout that will be needed for refusing to do this bailout will make your head spend. Everyone will soon see why we have no choice in the matter.

Just remember that when you stand on principle, make sure you are not standing in quicksand. And that is exactly where you are standing with your position. I guess given enough rope people will indeed hang themselves.

Thanks for the video. There is so much momentum and leverage and legistlation built up by the milton friedman school of economics that wide spread change of any sort would need a great depression to leverage the pain into change.

yes now you will have to remove the "den of vipers from the chicago school of business the milton freidman activists " and there various think tanks that have a strangle hold on fiinance who motto is "privatize the profits, socialize the losses"

your right Bernanke and Paulson the wall street man , the fox guarding the hen house , the traitor POS will try again, that's a given , THE MSM will try to say "see the market fell, now how do you feel about the bailout" they will try to pull all the Psychological strings that there think tanks can think of to try to manipulate the will of the voters into supporting a corrupt bailout. Until Paulson is OUSTED i am confident any bailout plan will be devoid of taxpayer protection or fairness OR actually solve anyting (just a handout to his banking buddy's at goldman). If the founding fathers were brought back in a time machine and still held the clout they did in the old days, Paulson would be jailed if not HUNG (if he was lucky), and so would half the congress as well as our president! NO Question! None So would the financial corporations cheerleaders i.e the MSM financial channel shills They would clean house and americans would dance in the streets

[edit on 29-9-2008 by cpdaman]

reply to post by disgustedbyhumanity
That is where you are 100% wrong. By failing to pass this package you are going to see many more people grow much poorer and for a much longer time than need be. Business closings and thus layoffs, and thus forecloures will start expanding geometrically. You ain't seen nothing yet. The bailout that will be needed for refusing to do this bailout will make your head spend. Everyone will soon see why we have no choice in the matter.

This BAIL-OUT, has nothing to do with pulling us out of a recession. This Bail-out is about protecting foreign investors who have bought up these MBS. If this Bail-Out is not given to them then yes they will stop loaning us money. US being primarily the U.S. government; they have been subsidizing our consumption and our warfare welfare state. We have been living beyond our means for decades. It is these foreign investors that have provided us the cash to maintain 135 bases around the world, while maintaining a HUGE Federal government here at home.

NO YOU ARE NO DIFFERENT then the Fear mongers who lied to us into Iraq, lying us into a confrontation with Russia, and have been prodding us into a war with Iran.

It is people like you that prefer this bail-out to go through at the expense of regular Americans, who would thus see their purchasing power of their savings dwindle under inflation. Inflation is far worse than a recession. Go pick-up a book, educate yourself young man, you sound like a fool.



[edit on 29-9-2008 by Gateway]

reply to post by disgustedbyhumanity


The problem is..we don't have money for any bailouts. We are what..11 trillion in the hole now?? Lets pour some more gasoline on the fire.

The economy is headed to the toilet and no bill is going to stop it...but most likely make it much worse. We can't continue to live beyond our means and this will just promote it. Most of us know it's going to get bad....really bad.....but we can deal with it. We'll pick up the pieces and start over again.

I commend the politicians that voted NO and actually listened to the people they are supposed to represent. If our founding fathers were to see what is going on right now...they'd be disgusted at what our government has become.

When did we get so enslaved to the Markets ? How did they end up running the show ?
It is nothing but a bunch of rich men gambling on something other than horses and cards ..(And we are their slot machines) ...The Stock Market scene reminds me of an Elite Las Vegas Gambling casino ......

It is kinda sickening when you think about it ..

Originally posted by disgustedbyhumanity
That is where you are 100% wrong.

And this is where you're wrong, my friend.

Bloomberg
The Federal Reserve will pump an additional $630 billion into the global financial system, flooding banks with cash to alleviate the worst banking crisis since the Great Depression.
....
The Fed's expansion of liquidity, the biggest since credit markets seized up last year, came hours before the U.S. House of Representatives rejected a $700 billion bailout for the financial industry.

We pumped $630 billion into the markets BEFORE the bailout bill went to vote. What happened to the stock market today? It tanked anyway, didn't it?

So how will ... um ... pumping $700 billion via the bailout legislation fix the problem at large? Short answer: it won't.

We almost peed $700 billion of taxpayer money into the wind today.

excellent post, I agree about the fear mongering.

I don't think it's quite as bad as everyone is led to believe by the MSM, and the Govt'.

Actually I think alot of it is contrived for a purpose.

Everyone is being led to believe that "this plan" is the only answer.

Well, it's not, and here is one of the most sound examples offered so far.

www.fedupusa.com...

Watch the videos and read the options offered which have already been faxed to most all in both houses.

Which by the way are backed by over 200 REAL economists.

Don't be fooled by mass manipulation.

make your voice heard.

Later,...... Ausable_Bill

[edit on 30-9-2008 by Ausable_Bill]

[edit on 30-9-2008 by Ausable_Bill]

Originally posted by anachryon
We almost peed $700 billion of taxpayer money into the wind today.

What's more, is that it is still probably going to go through by the end of the week.

$700 billion + $630 billion + $1.2 trillion in market losses at close = a lot of money.

This is all seems like throwing money into the trough and expecting the pigs will know what to do with it.

Originally posted by mattguy404
What's more, is that it is still probably going to go through by the end of the week.

$700 billion + $630 billion + $1.2 trillion in market losses at close = a lot of money.

This is all seems like throwing money into the trough and expecting the pigs will know what to do with it.

I don't know...the American public is TICKED OFF right now. Reps' email inboxes, fax machines, and phone lines are getting a hell of a meltdown from irate constituents over the bailout, and everyone is saying "OH HELL NO!"

The louder people scream, the less chance it has to pass. I'm holding out hope that everyone will continue to voice their outrage. That in itself is amazing, if you think about it. When's the last time the American public rose up and really, truly made their voices heard?? The 60s?
Maybe we haven't become the fat, uncaring sheep we'd feared!

I emailed my Rep a thank you letter today for voting NAY, and encouraged him to keep voting against this travesty. He is publicly stating his opposition to a bailout.

Originally posted by mattguy404

$700 billion + $630 billion + $1.2 trillion in market losses at close = a lot of money.

This is the major point MOST people don't understand. They don't understand what happens when the money supply is increased. They don't realize that living under inflation is far WORSE than a recession or depression for that matter.

Look at this video of the Weimar republic's Hyperinflation.



Inflation destroys:

1)Savings ergo Investment

2) No investment = Higher unemployment

3) Food, energy, clothing, shelter, goods and services all go-up

4) Wages lag behind these increases, hence you buy less goods and services.

Ultimately the ENTIRE economy halts and collapses.




[edit on 30-9-2008 by Gateway]

This Video is No Good

It blames everything on the U.S. Government and portrays the U.S. Government as "In Charge" of monetary policy

This is False

Their hands are tied by the Money Masters, the International Banking Cartel, the World Plutocracy

The problem is EUROPEAN Money Men looking for a "World Dollar"

Originally posted by Gateway


This BAIL-OUT, has nothing to do with pulling us out of a recession. This Bail-out is about protecting foreign investors who have bought up these MBS. If this Bail-Out is not given to them then yes they will stop loaning us money.

Yes, that's a big part of the 'Stabilization Fund' (that $700bn)...

however the Treasury & the Gov't think-tankers also foresee that much of the foreign holdings of USTreasuries will not automatically 'rolled-over' their mature Treasuries...and fewer USTreasuries will be bought in the regularly scheduled auctions.


The Financial Stabilization Fund ($700bn) is also about artifically propping up the banks & firms that are trapped in the 'quicksand' of their own making.
The Paulson-Bernanke-Bush plan has the short term force to allow the executives to sell their positions of company stocks before the financial market floor collapses like a florida Sink-Hole.



in my view, many more banks should fail or merge, as the new landscape will require less credit & loan producing entities...the system had way too many investment banks in the first place,
as the social-economic structure was built around a need/requirement for overnight loans and credit creation, to satisfiy things like payrolls.

With the credit markets and the general dis-inflation which is just beginning
to spread. (in place of the $700bn bailout) basic operations of business and families will change dramatically.
A company might either redeem paychecks at an in-house cash window or present 'Cashier Checks' to the salaried staff.
After a period of economic contraction, a family with the 'new-normal' of a household savings stash, will fund their own capital expendentures (like a home addition or remodel) not with a loan or credit from an outside source ...but by financing from their family savings.


what the bailout failure means, is that a return to a 'Mayberry' or 'Walton's Mountain' type of society & economic architecture can be possible

reply to post by Anonymous ATS


This video is academic in nature, we are not going to solve our problems by blaming some highly incredulous Illuminati-reptilian race. This video discusses monetary issues and how to correct them. As I've stated above in the original post, this is not a conspiracy video full of economic crankery or laying blame on "Semites" for our economic woes. There are other ignorant juvenile racist websites that can provide you with those types of videos, if that's more your cup-of-tea.





[edit on 30-9-2008 by Gateway]

Im no Austrian School expert as you know and you may have already said this above but I do know economics and if these booms we were having were legitimate booms on production & innovation there would not be a need for recessions. That is how I look at it. The bubbles occur when they are artificial booms so we have to feel the pain of the recession to get us where we should be that is in line with our production and innovation. Because we have no production anymore we are just buyers and sellers of paper and consumers we have really not had a real boom that is legitimate except for the tech boom and that was because of innovation. But even that was thwarted because cheap money entered the system which created the bubble.

People need to educate themselves like I have and understand how money works because monetary policy really can sum up a lot of this crap without being an expert. Its simple if there is a large sum of credit created then that credit is retracted then there is not enough money in the system to pay the money at interest. If our money was tied to production this would not be the case but our money is tied to debt or how much we can create.

[edit on 30-9-2008 by mybigunit]

They are just screwing with us.


Los Angeles Times

Where’d the $700 Billion figure come from?

Answer - "It's not based on any particular data point," a Treasury spokeswoman told Forbes.com Tuesday. "We just wanted to choose a really large number."

reply to post by Gateway


OP,

Where Do You Come Up With this "Illuminati-reptilian race", that seems pretty far fetched to me. And why would you want to lay blame on "Semites"?

This is very much a "conspiracy video full of economic crankery", It blames everything on the U.S. Government and portrays the U.S. Government as "In Charge" of monetary policy

This is False

Their hands are tied by the Money Masters, the International Banking Cartel, the World Plutocracy

The problem is EUROPEAN Money Men looking for a "World Dollar"

Fact: US gov 10 trillion in debt
Fact: China and Japan own 40 % of it
Fact: There is no money to "bail" with
Fact: Federal Income Tax will have to rise to pay
Fact: Treasury will indebt US further to do so
Fact: Inflation will ensue
Fact: This is just what the Illuminati want
Fact: THIS IS NOT A BAILOUT, IT IS REWARD FOR SWINDLING