Once upon a time (2008 to be exact), there were two countries. One was called Iceland, a small island nation in the North Atlantic. The other was called the United States of America, a rather larger and much more world dominating country extending from the Atlantic to the Pacific. Both were part of the same banking cartel, and both were hit hard by the financial bubble that plagued the world that year.
The banking problems in Iceland stemmed from the fact that the banks promised investors higher interest returns than their overseas competition. Complicating this was all the risky projects the banks had used the investment money on. When the projects went belly up, so did Iceland's economy.
In the United States, the exact circumstances were different, but the results were the same. Banks had approved people for mortgages they couldn't truly afford. More and more people were foreclosed on, and these mortgage investments were tied in very complicated ways to almost every other sort of bank investment. The end result was that the housing market collapsed, and with it pretty much every other market and the economy collapsed along with it.
Both countries initially made moves to keep their economies going by making arrangements with the banks to pay. In Iceland (as they like to do in most European countries), they introduced "austerity" measures. Basically these are cuts to the government economies that typically effect the little people because these measures are tied to employee pensions and welfare benefits. In the United States, politicians authorized the Federal Reserve Bank to print more money to give to the big banks to keep them afloat. Interestingly enough, the two strategies have the same effect: they give more money to the banks. Austerity is used to pay down the banking debt more quickly. Additional interest was added to the already huge national debt of the United States. Who receives the interest money? The Federal Reserve Bank, of course!!!
This is where the stories become completely different. The people of Iceland looked at their financial crisis, and this is what they found. Their politicians had been corrupted by the powerful banking industry. They made laws and approved measures that awarded vast sums of money to the banks while taking that same money out of the hands of the citizens. Icelanders were smart enough to take action. They took those corrupt politicians out of office (and jailed many of them). They also nationalized the banks and kicked the criminal banking cartel out! They guaranteed the deposits of their citizens but refused to pay their foreign debt. They also closely examined all debt. Loans (especially mortgages) that were found to be corrupt were deemed illegal and were forgiven!!! Icelanders even rewrote their constitution!!! They were initially subject to sanctions by other countries of the world because of their refusal to play the banking game. Icelanders had to promote their own internal industry in order to supply their own needs, but it has indeed paid off for them. Their economy has made a big comeback as they have overcome their need for other countries.
The United States of American continued to play the banking cartel's game. More debt (and more payment) continues to be racked up by the US government, just to pay the interest on the national debt. Any infrastructure enhancement is done by asking for more loan money from the Federal Reserve Bank, which increases our debt payment. In the meantime, the big world banks have been found to be manipulating both the interest rates and the markets to line their pockets even more. The criminals in charge are still allowed to run these organized crime rings after being given handslap fines. At present, the United States is on the verge of another collapse as the economy is now based largely on derivatives. In a nutshell, derivatives are bets. They are not actual investments--just "potential" investments. One faulty set can bring down the whole house of cards, and that is in process of happening when Greece defaults on their loans.
So what needs to happen to get the United States (and the rest of the world) out from under the thumb of the banking cartel? The following is a list of understandings the citizens of the world need to make.
Awareness is the key to our freedom.
~CSE
The banking problems in Iceland stemmed from the fact that the banks promised investors higher interest returns than their overseas competition. Complicating this was all the risky projects the banks had used the investment money on. When the projects went belly up, so did Iceland's economy.
In the United States, the exact circumstances were different, but the results were the same. Banks had approved people for mortgages they couldn't truly afford. More and more people were foreclosed on, and these mortgage investments were tied in very complicated ways to almost every other sort of bank investment. The end result was that the housing market collapsed, and with it pretty much every other market and the economy collapsed along with it.
Both countries initially made moves to keep their economies going by making arrangements with the banks to pay. In Iceland (as they like to do in most European countries), they introduced "austerity" measures. Basically these are cuts to the government economies that typically effect the little people because these measures are tied to employee pensions and welfare benefits. In the United States, politicians authorized the Federal Reserve Bank to print more money to give to the big banks to keep them afloat. Interestingly enough, the two strategies have the same effect: they give more money to the banks. Austerity is used to pay down the banking debt more quickly. Additional interest was added to the already huge national debt of the United States. Who receives the interest money? The Federal Reserve Bank, of course!!!
This is where the stories become completely different. The people of Iceland looked at their financial crisis, and this is what they found. Their politicians had been corrupted by the powerful banking industry. They made laws and approved measures that awarded vast sums of money to the banks while taking that same money out of the hands of the citizens. Icelanders were smart enough to take action. They took those corrupt politicians out of office (and jailed many of them). They also nationalized the banks and kicked the criminal banking cartel out! They guaranteed the deposits of their citizens but refused to pay their foreign debt. They also closely examined all debt. Loans (especially mortgages) that were found to be corrupt were deemed illegal and were forgiven!!! Icelanders even rewrote their constitution!!! They were initially subject to sanctions by other countries of the world because of their refusal to play the banking game. Icelanders had to promote their own internal industry in order to supply their own needs, but it has indeed paid off for them. Their economy has made a big comeback as they have overcome their need for other countries.
The United States of American continued to play the banking cartel's game. More debt (and more payment) continues to be racked up by the US government, just to pay the interest on the national debt. Any infrastructure enhancement is done by asking for more loan money from the Federal Reserve Bank, which increases our debt payment. In the meantime, the big world banks have been found to be manipulating both the interest rates and the markets to line their pockets even more. The criminals in charge are still allowed to run these organized crime rings after being given handslap fines. At present, the United States is on the verge of another collapse as the economy is now based largely on derivatives. In a nutshell, derivatives are bets. They are not actual investments--just "potential" investments. One faulty set can bring down the whole house of cards, and that is in process of happening when Greece defaults on their loans.
So what needs to happen to get the United States (and the rest of the world) out from under the thumb of the banking cartel? The following is a list of understandings the citizens of the world need to make.
- We need to recognize the debt owed by governments to banks is fake. It is based on money and resources that don't exist except on a computer monitor.
- We need to thoroughly investigate our politicians to find out where the corruption lies, then we need to take them out of office and prosecute and imprison them where it is warranted.
- We need to make a fresh start and forgive bank loans that are corrupt and unfair (which would probably be most of them).
- We need to change our usury loan system to an asset based system.
Awareness is the key to our freedom.
~CSE
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