Busted: Bankers and The Global Economy

April 14, 2009

Bernanke: It’s All About the System

monopoly moneyPresident Obama declares that the sun is coming out as the economic storm wanes. “The financial and economic risks posed by a collapse of AIG would have been at least as great as those created by the demise of Lehman. In the case of AIG, financial market participants were keenly aware that many major financial institutions around the world were insured by or had lent funds to the company. The company’s failure would thus likely have led to a further sharp decline in confidence in the global banking system and possibly to the collapse of other major financial institutions. At best, the consequences of AIG’s failure would have been a significant intensification of an already severe financial crisis and a further worsening of economic conditions. Conceivably, its failure could have triggered a 1930s-style global financial and economic meltdown, with catastrophic implications for production, incomes, and jobs. The Federal Reserve and the Treasury agreed that in the environment then prevailing, AIG’s failure would have posed unacceptable risks for the global financial system and for our economy.” – Ben Bernanke in speech to Morehouse College

Magic Money T-ShirtThe American taxpayers have been put on the hook to bail out Wall Street.  Success is still not guaranteed despite a recently sunny disposition. Meanwhile the European Union supports a new monetary system and retirement of the dollar as the prop of the global community that central bankers have long proffered. The general undercurrent in much of the EU underwrites “the collapse of the Bretton Woods system based on the US Dollar as sole pillar of the global monetary system.” This was predicted by some parties in the EU last year, but so far has not come to pass because of the creativity and financial manipulation of the International Society of Central Bankers.

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October 19, 2008

United Nations wants in on Economic Authority

As the world basks in turmoil of a global financial crisis and proposals of special summits by various world leaders, the United Nations has offered French President Nicolas Sarkozy the U.N. headquarters in New York access and use of their facilities for an international summit. Not long ago, the European Union and Sarkozy sought out U.S. President George Bush. The resulting insider news is that George Bush will be sponsoring a global economic summit in hopes of responding better to the crisis. Sarkozy has appealed to prime economic world leaders to act aggressively and in unity to address the economic meltdown at a summit by December.

The United States has been somewhat hesitant to initiate many of financial policies that some European Union leaders are eager for and relunctant to get involved with the U.N. and Europe. Instead, the Bush administration is working feverishly to put out the nation’s economic fires and to deal with them successfully behind the scenes.

What does the United Nations say? The United Nations considers itself as “the symbol of multilateralism.” U.N. leadership believes that it holds the keys to a universal legitimacy to the endeavor to “demonstrate a collective will to face this serious global challenge.” The United Nations needs the good publicity and a way to wield global influence as well. What better way wield influence than to sponsor a global economic summit in a time when the world scene looks so dark?

Sarkozy is calling to overhaul the global financial system so that it can be better supervised in the wake of the crisis. “Together we need to rebuild a capitalism that is more respectful to man, more respectful to the planet, more respectful to future generations and be finished with a capitalism obsessed by the frantic search for short-term profit.” Those seem to be poetic words for a hurting world that is seeking solace and security from a global debacle wrought by speculation and greed. What will national leaders give up to secure a better future in the eyes of politicians and global economists? The future of currency systems seems to be in question now with some “new ideas” that are likely to be presented. ~ E. Manning

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