6139008-History-of-Money

The deflationary collapse, if there is one, will destroy the profitability of highly indebted companies, bringing down banks,government bond markets, and government currencies. This will diminish the demand for commodities, thus decreasingtheir value. Owners of any asset class that rise substantially in value during the deflationary collapse, will gain and wieldtremendous economic and political power. This begs the question. In the event a powerful interest group sought to controlthe World economy, such as the Illuminati banking dynasties, would they not create a situation, whereby all assetscollapse in value - except for a particular asset class that they alone own or control? Should ALL assets collapse in value,there would be no major economic advantage to this powerful interest group. Therefore, it logically follows that oneparticular asset class must rise substantially in value for this interest group to obtain control of the World economy. In ahypothetical World of falling stock markets, accompanied by government currencies and bond markets being wiped out,the only asset class that could rise substantiality in value would be gold, silver, and diamonds -- which have traditionallybeen a store of value in times of war or severe economic upheaval. If the current deflationary deterioration - nowspreading through World economies - was indeed planned by a powerful interest group, then as they are causing Worldeconomic collapse, they will be simultaneously be driving up the value of gold, silver, and diamonds. We are all well awarethat gold, silver, and diamonds are not essential for the survival of mankind. Nevertheless, should this asset class risesubstantially while all other asset classes are falling, it will be due to the promotion of a powerful interest group - whichhas altered our perception of value of the asset group that they control. Is the methodical maneuver occurring now? Willthe large gold demand/supply imbalance and a short position estimated at 8,000 tons (which physically cannot ever becovered) be the eventual springboard to much higher gold prices?Should we view the International Monetary Fund's (IMF) policies in Indonesia, Korea, Thailand and Russia as unintentionalblunders, or are they deliberate and premeditated attempts to destroy the economies of these countries? To helpunderstand some of the potential problems, consider the Indonesian situation. In Indonesia it is expected that more than100 million people - half the population - were below the poverty line by the end of 1998. Specifically, this means familyincome per person will fall below U.S.$3.60 per month. YES, you read correctly, Three Dollars and Sixty Cents. If aperson's monthly income is more than the cost of one cheese-burger in America, he is considered above the poverty linein Indonesia. The Indonesian stock market is irrelevant because there is negative equity overall. Soon, the bankingsystem may be irrelevant as well. Early estimates put the cost of recapitalizing the banking system at U.S. $20 billion.While no one knows the true cost, some are now speculating that costs could reach U.S. $70 billion. In addition to badloans that are on the books of Indonesian banks, off balance sheet multi-currency derivative instruments and largeamounts of loan repurchase agreements represent huge losses. (Loan repurchase agreements are used by banks to raisecash and hide questionable loans.) For example: In these transactions, Bank A sells a loan to Bank B, but agrees torepurchase the loan from Bank B in the future, paying Bank B a profit. However, if Bank A is unable to repurchase theloan, Bank B ends up with a questionable loan that it may have to write off. When Bank A represents an Indonesian bankand Bank B represents a Foreign bank, unless someone gives Bank A the money to buy back the questionable loan, thenBank B is stuck with the loss. With the Indonesian government and people having no or little money, the only source torecapitalize the banking system must come from foreign investors, which they may not be willing to provide or fromselling out Indonesian lands, minerals and other assets or another military invasion!We are now witnessing World financial markets and currency movements that have been disconnected from and areinconsistent with economic fundamentals. This is because currencies are an imaginary creation of governments andbanks. As governments and banks move closer to insolvency, the value of currencies must fall. In viewing the U.S., wemust remember that its strong economy is the direct result of trillions of dollars coming in from Europe and Asia since1995. Adding fuel to the U.S. economyhas been the 50% increase inconsumer debt over the last fouryears. Consequently, the seeminglystrong U.S. economy is not aboutrobust fundamentals. Just the contrary.Americans do not save (savings rate isless than 3.5%). And the U.S.habitually runs a huge trade deficit -and owes a large percentage of debt toforeigners. The Asian deflationary viruswill soon be hitting U.S. shores.American corporations will losemarkets and profits, which will result injob losses. Consumers faced with joblosses, and falling stock markets willpull back spending, which will send theU.S. economy into a tail spin. This willthen lead to a vast outflow of fundsfrom the U.S. - thus acceleratingeconomic contraction within the 50States and a drop in the value of theUS Federal Reserve Note compared toother currencies. There is atremendous adverse interplay of forcesnow acting on World economies. Currency movements that have been disconnected from economic fundamentals are nowThe Hidden History Of Money & New World Order Usury Secrets Revealed at last! Page 185