Keiser Report: ''Wall St. Vomitorium'' (E362)

From RT.com.......................''In this episode, Max Keiser and Stacy Herbert discuss how Wall Street has won big time with zero interest rate policy and that the biggest winner, JP Morgan Chase, has seen its deposits increase by 46% from 2007 (pre ZIRP) to 2012 and yet its interest expenses declined by nearly 89%. They also discuss the Vomitorium in Florida where Obama's 'historic' mortgage settlement may be used to plug government deficits or political pay rises instead of helping the 11% of mortgage holders in foreclosure. In the second half, Max Keiser talks to former Goldman Sachs banker, Nomi Prins, discuss the lost lessons of the Great Depression.''

MISH on Capitol Account

From RT.com.........''Welcome to Capital Account. The IMF lowered growth forecasts and warned of a world-wide recession in its World Economic Outlook report. This was the IMF's bleakest assessment of global growth prospects since the 2009 recession, according to the Wall Street Journal. Is the IMF late to the party? It upgraded growth prospects for only one major nation from its previous forecast: the US! Did the IMF take into account that the US is in a QE induced coma? We talk to Mike Shedlock about the meaning behind the IMF's report.''

'The Crash of 1929'

''Originally produced in the mid-1990s, this film remains the most authoritative account of the Crash of 1929, and includes rare testimony from the people who worked on Wall Street at the time''

''Why Central Bankers Prefer a Long Depression''

a must read from 2011.....................From Daily Reckoning Australia

''Savers didn’t care how the bank was managing its loan book.  They didn’t care they were helping to inflate the housing bubble.  Savers just wanted the best interest rate.  How many savers connect a higher savings rate with the possibility the bank is taking a higher risk with its loans?''

Not many we’d wager.

And that’s the ultimate reason why the banks were bailed out.  A failure to bail them out would have destroyed faith in the banking system.  And this would have made it hard for the surviving or new banks to attract depositors.

And naturally that would make it hard for those same banks to extend credit – which would be disastrous for them given the engorged size of their loan books.  How would they keep the Australian housing Ponzi scheme going then?

They couldn’t.

That’s why banks worldwide had to be bailed out at all costs.  Failure to do so would have resulted in the end of the current banking and money system.  And when housing markets crashed overseas, the banks needed more bailouts.

Without it, it would have meant an end to the privileged position of the bankers and central bankers… no wonder they prefer a long rather than a short depression.''

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''Bob Murphy on the debt crisis, the Great Depression, and gold''

From GoldMoney............''Subscribe to our newsletter at http://www.goldmoney.com/goldresearch. GoldMoney's Alasdair Macleod discusses Austrian economics and the current state of the world economy with the Mises Institute's Bob Murphy, who also runs the website http://consultingbyrpm.com/blog. Murphy gives a broad outline of how Austrian economic analysis differs from Keynesian analysis, and how this leads economists from these rival schools to propose radically different policy recommendations.''

''Richard Duncan on Riding out this Depression on a Deflationary Debt Raft! ''

From RT.com

''St. Bernanke's Fight Against the Deflation Dragon''

From dshort.com
By Lance Roberts

''The "dragon of deflation" today strikes fear in the hearts of both Fed official and economist alike while the townspeople struggle with its ramifications. Deflation, as an economic pressure, is very dangerous, and once entrenched is difficult to break. For the Fed the fear of inflation is far less worrisome than the concerns of a severe deflationary bout in the economy. This is why the current Administration has continued to feed the dragon with no apparent success in appeasing its voracious appetite.

However, even as I write this, I can hear the screams from the masses that hyperinflation is all but around the corner due to the deficits, a fiat currency and expanding debt levels. It is likely that the inflation will show up in the future, and it could be a far stronger pace of inflation than we are currently imagining. But for today, and most likely over the next few years, that is likely not to be the case.''

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''The road to hyperinflation is via hyperdeflation''

From Barons
Interview with Hugh Hendry 


"To lay the seeds of hyperinflation, you need really, really bad things to happen. I thought the U.S. housing market having a massive crash would be hyperdeflationary. But then my Chinese friends pumped $1 trillion of credit into their $5 trillion economy, and created a global recovery, which has just come to an end. I'm speculating that hyperdeflation happens before hyperinflation. What's the worst that could happen? But the sum of all my fears would be China having a real hard landing of minus 5% or minus 10% GDP growth. If we had that—and Europe—the Fed would be printing $20 trillion, and I would have gold at $5,000. You can have a modest amount of gold, but you can't have all your assets in real assets, in case we get that hyperdeflation event."

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Greece: ''income down 25% in 2011, says OECD''

From Ansamed

"For all of these reasons, the central bank predicts that income for public and public sector workers will suffer a further fall of around 20% between 2013 and 2014, while the rate of unemployment will remain above 19%."

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''First Deflation then Inflation, Phase One and Two''

From Kitco

"Ok if all that incredible amount of money (and we are only talking the Fed at the moment, not the Chinese, the Japanese, nor the ECB all with say at least another close to ten $trillion USD worth, meaning in their own currency but we just use the USD to compare the amount here) they all threw into the flames….

Flames is a good analogy. What happened is this…They are attempting to keep alive a world awash in debt and all that money is merely being used to cover huge losses at financial institutions…which are basically like zombie banks now…and all the while the public funds are being depleted at a rapid rate."

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''Growth vs. inflation debate sharpens''

From Reuters


"Two key central bank meetings and a string of big data releases in the coming week should sharpen the debate over slowing growth and rising inflation risks, and may shake the markets out of the doldrums which followed a bumper first quarter for asset prices.

The U.S. Federal Reserve's monetary policy committee will update its economic forecasts for the first time since January at its mid-week meeting, when no policy change is expected but where recent indicators have disappointed investors."

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''Abandoned cars in their thousands cause problems for Dubai communities''

From The National

"A few years ago, when the financial crisis began to bite hard in the UAE, many debt-ridden expatriates cut their losses, abandoned their cars and headed to the airport.

The global depression may be easing, but one of the obvious signs of hard times is still evident - and is even on the rise.

Dubai Municipality figures for the first quarter of this year show 3,040 cars were abandoned across the emirate. This compares with 2,738 over the same period in 2011."

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''Economic Depression and Deflation''

From Market Oracle

"A deflationary crash is characterized in part by a persistent, sustained, deep, general decline in people's desire and ability to lend and borrow... The U.S. has experienced two major deflationary depressions, which lasted from 1835 to 1842 and from 1929 to 1932 respectively. Each one followed a period of substantial credit expansion. Credit expansion schemes have always ended in bust. The credit expansion scheme fostered by worldwide central banking...is the greatest ever...If my outlook is correct, the deflationary crash that lies ahead will be even bigger than the two largest such episodes of the past 200 years.

Is there evidence now that a deflationary trend is underway? Dear reader, the evidence is abundant and growing by the day."

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''Census documenting Great Depression to be released''

From My San Antonio

"It was a decade when tens of millions of people in the U.S. experienced mass unemployment and social upheaval as the nation clawed its way out of the Great Depression and rumblings of global war were heard from abroad.

Now, intimate details of 132 million people who lived through the 1930s will be disclosed as the U.S. government releases the 1940 census on April 2 to the public for the first time after 72 years of privacy protection lapses."

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Jim Rickards: "Why We Should Still Be Worried about a Double-Dip Recession"

"There's another way to view the economic data since 2007 that casts all recession analyses in a different light. The better analytic mode is to bring back a word mainstream economists have abandoned—depression. When you realize the world has been in a depression since 2007 and will remain so indefinitely based on current policies, talk of recession, double-dip, and economic cycles is seen differently."


from usnews....

''The Petro Business Cycle''

"Oil is the lifeblood of modern society, powering over 90% of our transportation fleet on land, sea, and air. Oil is also responsible for 95% of the production of all goods we buy and ultimately drives the natural rhythms of recession and recovery. We define this as the “Petro Business Cycle”

from financial sense...

Steve Keen: "We are in a Depression"

video from the bbc.......


lets call it what it is and deal with it........CLOSE DOWN THE BIG MONEY CENTER BANKS....

'IMF’s Lagarde warns of decade lost to financial crisis'

from france24....

"Without bold, coordinated action, the world might face worsening financial instability and a possible collapse of demand, said Christine Lagarde, on her first visit to Beijing since becoming IMF managing director in July.

"Ultimately, we could run the risk of what some commentators are already calling a lost decade,'' she told reporters"..........READ MORE

'Global recession grows closer as G20 summit fails'

from the guardian....


"A world recession has drawn closer after a fractious G20 summit failed to agree fresh financial help for distressed countries and debt-ridden Italy was forced to agree to the International Monetary Fund monitoring its austerity programme.

Financial markets fell sharply after the two days of talks in Cannes broke up in disarray, amid concerns that Italy will now replace Greece at the centre of Europe's deepening debt crisis.

UK hopes that the Germans would relent and allow the European Central Bank to become the lender of last resort for the euro were also dashed"............READ MORE

'Slouching toward the 1930s'

from american thinker.....


"The current economic crisis rivals the one of the 1930s.  Despite shameless propaganda by government and its cronies in the media, people understand that the situation is getting worse.  Consumer confidence continues to decline as does confidence in the future.

We are headed for an event that history will record as worse than the Great Depression.  It is unavoidable"....READ MORE