Posted on 10/25/2011 4:54:18 AM PDT by alexmai
There is currently $600 trillion in derivative positions on a global economy of $60 trillion. Not a problem eh?
The “cause” is the BANKS lootin and pillaging.They deliberately helped Greece hide its debt.
The “problem ” was the US allowed the banks to defraud the western world.
Finance Superstars Talk About the Massive Fraud in Our Economic System
Nobel Prize-winning economist Joe Stiglitz stated how reducing transparency and hiding information was an essential element to the crisis. Stiglitz concluded, “Innovation was regulator and tax arbitrage Wall Street and the banks deliberately added opacity and complexity to confuse clients and consumers. ”
(Excerpt) Read more at investmentwatchblog.com ...
Nobel Prize-winning economist Joe Stiglitz stated how reducing transparency and hiding information was an essential element to the crisis. Stiglitz concluded, “Innovation was regulator and tax arbitrage Wall Street and the banks deliberately added opacity and complexity to confuse clients and consumers. ”
Rats like to operate in the dark. We need to eliminate the international banking system. It is designed to steal from people and nations.
Hey, at least it’s a business environment unfettered by government regulation.
Somehow I doubt this was all “the US” fooling the rest of the world.
If all those international bankers are so dumb why are they so rich?
“Money” = medium of exchange AND store of value.
The “cause” of the current crisis is the gradual abolition of real money between 1913 and 1971, and its replacement by credit.
There will be no end to the crisis until real money is again made available by governments. In the case of the US, only Congress has the power to coin money and regulate its value.
Eventually, a Congress will come to power (one way or another) that will do its job.
C’mon!! What could go wrong, and how bad could it be?
When it gets to a quadrillion then ther should be cause for concern!
C’mon!! What could go wrong, and how bad could it be?
You forgot LOL!
The stage is set for the engineered collapse of the west so it can be reorganized by the socialists into a single economy.
The islamists have the middle east, China has Asia and nobody wants Africa.
These three powers will rule the world....and eventually fight it out for domination.
They’re far from stupid. Remember, they got a trillion dollar taxpayer bailout and STILL managed to pass out million dollar bonuses. That, my friend, is smart.
Oceania vs Eurasia (Islamists) vs East Asia (Chi-Coms)
Why are these people still breathing?
Hummm...Let us see how many seconds of time 500 trillion would take to pay off if a dollar a second were the was the scheduled method of payoff...And then of course there’s the interest.
A trillion seconds of time = 32,000 years X 600 = ? Well you do the math...
Opps that’s supposed to be 600 trillions not 500. Well as Sen Everett McKinley Dirksen used to say well a trillion here, and a trillion there, pretty soon your talkin real money ......
It was FedGov regulation that caused this mess, by shifting the obligation from those taking the risks onto the backs of the American taxpayers.
When Uncle Sam guaranteed all those risky loans and toxic mortgages, they ceased to be counted as risks. Uncle Sam's perpetual money machine guaranteed them as ASSETS, which were then traded and sold throughout the world.
Our great Social Experiment lead to the collapse. That, and a rise worldwide of cradle-to-grave Socialist Government.
I am a derivatives trader. Anybody who speaks ill of them needs to deal with me.
I am also a conservative.
The ‘notional value’ of derivatives is meaningless.
If I bet you $1 that the Dow will go down tomorrow, the notional value of that derivative is billions of dollars, the total price of the trading in the 30 Dow stocks. However, the most I can win or lose on this bet is still $1.
What about the 75 trillion in derivatives at Merrill Lynch being moved to Bank of America so that they will be covered by the FDIC?
I've tried to explain that before. It's pointless. Big number, bad. LOL!
The fed came into the deleverage process too early and I think we will have many more recession more often in the near future until this derivative drop to a reasonable level...
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.