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View Full Version : CAF "Did bernanke just order the banks to buy even more derivatives"



Large Sarge
23rd September 2012, 10:59 AM
http://vidrebel.wordpress.com/2012/09/23/did-bernanke-just-tell-the-banks-to-buy-even-more-derivatives/

Hatha Sunahara
23rd September 2012, 06:10 PM
This is a pretty credible scenario laid out here. Sounds like a repeat of what happened around the time of the last election. We had Paulson telling us we needed to give the banks $700 billion to keep the whole system from collapsing. Now it's not necessary for the banksters to even ask for money. Bernanke can just print it up. What's left that the banksters haven't stolen yet?

It occurred to me that there is one huge difference between now and the 1930s. Back then there could be runs on the banks because the money was backed by gold and silver. If the banks couldn't come up with the gold or silver when a withdrawal was requested, they were in default. Not so today. There is no such thing as a 'run on the bank'. You can withdraw your money from all the banks, and they won't be in default. All their reserves are fiat paper money. If they don't have enough reserves, the Fed just creates new fiat paper money and gives it to them at zero interest. The banks don't need your deposits any more. Taking all your money out of a bank won't hurt them one tiny bit. They don't need your money. After they took the gold backing away from the money, they guaranteed there will never be a bank run again. The only way left to kill these banks is to stop using their money.

It also occurred to me that in a time with computers and the internet (with the internet still being relatively free) it would be possible to establish an alternative currency to the FRN. Eventually, as the banksters and Bernanke take us into hyperinflation, we will see a lot of alternative currencies. The big problem with replacing fiat FRNs is to get people to stop using that 'money' and to use something else. That should get easier as the FRNs approach zero value. Along with the vanishing value of the dollar will come the vanishing credibility of the Mainstream Media. I don't see any organized effort by anyone who is not part of the establishment to fill this vacuum. (Dollars and Media Credibility). That fills me with a sense of gloom, as I am sure it does with anybody who understands the fundamental problems of the system. Damn, it's so frustrating living in a nation of sheeple.

Hatha

Horn
23rd September 2012, 08:26 PM
The only way left to kill these banks is to stop using their money.

When it comes flowing out the windows of the Banks, you can be sure they're will be many at the trough.

Bernanke can burn his pile of dollars faster than China can create an oil bourse.