Sunday, November 16, 2008
G20 SUMMIT FAILS TO REVEAL, ADDRESS & RESOLVE ROOT CAUSE OF GLOBAL FINANCIAL CRISIS.
The G-20 Financial Summit held in Washington over the weekend to discuss the global financial crisis has brilliantly failed- although not surprisingly - to reveal, address and resolve the root financial cause behind the global financial crisis: namely, both the fraudulent global monetary architecture and the fraudulent monetary policies of the US Federal Reserve Bank – the Central Bank of the US - which is neither Federal and does not have any monetary "reserves."
In fact, the US Federal Reserve Bank (FED)- contrary to what people around the world have fraudulently been misled to believe since its creation in 1913, is not a US government "Federal" institution, but a PRIVATE bank whose shares are held by the largest private banks around the world, that was fraudulently created in 1913 through the Federal Reserve Act, to create and regulate the supply of money of the United States, contrary to and in direct violation of the US Constitution, which specifically and exclusively grants Congress the power and right to coin money and regulate the value thereof, to be strictly backed by gold and/or silver.
However, under the Federal Reserve Act, the privately-owned Federal Reserve Bank literally creates money out of thin air - by printing/counterfeiting worthless paper money ($US bills) and/or electronically creating fiat money, which it then LENDS to the US government at interest, which US citizens are coerced to repay through direct taxation, both in direct violation of the US constitution.
The obvious question that any thinking person would ask, is why would the US government have to borrow money at interest from a cartel of private banks, if the Constitution exclusively gives it the power and the right to "coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures." ( US Constitution, Article 1, Section 8)
I suggest that you put forth this crucial question to Barack Obama, the new president elect of the US, and ask him what he plans to do to put an end to this anti-constitutional, fraudulent and massive counterfeiting monetary system that has been plundering both the US and the worlds' wealth since 1913.
Thus, under this fraudulent counterfeiting monetary system, both US and world citizens have literally become the working slaves of the international banking cartel who - through the counterfeiting of worthless fiat money called US dollars- literally steal and plunder real wealth created and owned by both US and global citizens around the world since 1913.
As Henry C K Liu writes:
" Ever since 1971, when US president Richard Nixon took the dollar off the gold standard (at $35 per ounce) that had been agreed to at the Bretton Woods Conference at the end of World War II, the dollar has been a global monetary instrument that the United States, and only the United States, can produce by fiat. World trade is now a game in which the US produces dollars and the rest of the world produces things that dollars can buy."
As Tolstoy rightly stated:
“ Money is a new form of slavery, distinguishable from the old simply by the fact that it has no visible master-slave relationship.”
In fact, the current global financial architecture has enslaved the whole world through subtle and invisible chains…
And as Goethe rightly stated:
“Those who falsely believe to be free are the most enslaved.”
Why have the G20 so-called “leaders” failed to reveal this global fraud ?
The G20 is on board the sinking US dollar ship: If the dollar sinks, they all sink…
In fact, The G20 countries - and many other countries - are trapped and enslaved by the current fraudulent global financial architecture that is entirely controlled and built around the US Federal Reserve Bank and the global hegemony of the US dollar.
In fact, most export-oriented countries around the world depend on the US market for their exports earnings and thus on the US dollar for their revenue. As a result, over the years the G20 countries have built huge monetary reserves in US dollars- denominated assets which they hold as "reserves" in their respective Central Banks used to sustain the exchange value of their domestic currencies. Thus, if the US dollar collapses, both their US dollars-denominated savings & investments along with the value of their currency would inevitably collapse, immediately destroying their whole economies in the process.
Globalization: Triangular Trade of the 21st century
Secondly, if the US dollar collapses, the US economy will obviously also collapse. As a result, since the G20 countries and many other export-oriented countries around the word largely depend on the credit based and consumerism-driven US market for their export revenue, their largely US export-based and dependent economies would also inevitably collapse.
"It must be now obvious to many that the impact of the financial crisis to China is not only about us buying U.S. treasury bonds that could shrink in value," says Wang Luolin, researcher with the Chinese Academy of Social Sciences. "The end of the U.S. development model driven by consumption means the end of China’s development model based on exports." source: www.globalresearch.ca/index.php?context=va&aid=11140
As of this week China has overtaken Japan as the largest holder of U.S. treasury securities, with 585 billion dollars compared with Japan’s 573.2 billion, for the first time.
In fact, what is referred to as “Globalization” is nothings more than the Triangular Trade of the 21st century. The modern-day economy is based on a new form of triangular trade called “globalization” that 1) exploits raw materials from so-called Third-World countries in located mainly in Africa, South America and parts of Asia, 2) which are then processed in low-wage countries such as China (manufacturing) and India (services) using slave-labor as their “Comparative Advantage”, 3) and are then exported as finished goods in high-income countries -mainly in Europe and in the US - for consumption, with the multinationals and the international banks controlling this modern-day triangular trade reaping all the profits, resulting in the globalization of poverty in the process. In fact, global poverty is the direct result of this profondly unfair, and highly exploitative triangular global trading process which is referred to as "globalization".
Thus, if the US dollar collapses, this entire globalized triangular trading system would also collapse ( which would in fact be a blessing in disguise - although a very painful one ) since it is built on both the hegemony of the US dollar in global trade and the dependence to a large extent on the US market for the earnings of many export-oriented and dependent countries around the world.
Thus, for all these reasons, the G20 countries cannot openly reveal nor change the fraudulent global monetary system without sinking their own US-denominated savings, investments, local currencies and economies along…The G20 countries are in fact trapped and enslaved by the fraudulent global monetary architecture which is built around the hegemony of the fiat US dollar which is entirely controlled by the fraudulent (and US anti-constitutional) monetary policies of the privately-owned Federal Reserve Bank of the US.
At the same time, however, the global financial crisis has created a "hole" in the US dollar ship by beginning to reveal the fraudulent money counterfeiting practices of the FED to the world at large, and thus it is only a question of time before the US dollar ship sinks to the bottom…Thus, as nervous travelling passengers aboard the US dollar ship, the big question the G20 must ask themselves is: Do we try to fix a sinking ship or do we jump off the ship before we all sink with it...?
Judging from both the outcome and the empty deceitful rhetoric preached by the G20 during the Financial Summit held in Washington over the weekend, it seems that they have all chosen to stay on board and try to fix the sinking ship…I hope that they have life saving jackets and can swim, because the ship and all those on board are inevitably going to sink...
It is only a question of time before the world fully discovers and starts to understand the inner workings of the fraudulent and criminal global financial architecture.
"The grim reality has led people, amidst the panic, to realize that the United States has used the U.S. dollar's hegemony to plunder the world's wealth," said Shi Jianxun, a professor at Shanghai's Tongji University.( see full news extract reported by Reuters below)
As one of the ex-governors of the Bank of England stated:
“It is good that people do not understand the workings of the global monetary system; because if they did, there would be a revolution tomorrow…”
That day is not far…
Article published in Peoples’ Daily: "Us plunders world wealth with worthless paper dollars"
BEIJING (Reuters) - The United States has plundered global wealth by exploiting the dollar's dominance, and the world urgently needs other currencies to take its place, a leading Chinese state newspaper said on Friday.
Threatened by a "financial tsunami," the world must consider building a financial order no longer dependent on the United States, a leading Chinese state newspaper said on Wednesday.
The commentary in the overseas edition of the People's Daily said the collapse of Lehman Brothers Holdings Inc (LEH.P) "may augur an even larger impending global 'financial tsunami'."
"The eruption of the U.S. sub-prime crisis has exposed massive loopholes in the United States' financial oversight and supervision," writes the commentator, Shi Jianxun.
"The world urgently needs to create a diversified currency and financial system and fair and just financial order that is not dependent on the United States."
The front-page commentary in the overseas edition of the People's Daily said that Asian and European countries should banish the U.S. dollar from their direct trade relations for a start, relying only on their own currencies.
A meeting between Asian and European leaders, starting on Friday in Beijing, presented the perfect opportunity to begin building a new international financial order, the newspaper said.
The People's Daily is the official newspaper of China's ruling Communist Party. The Chinese-language overseas edition is a small circulation offshoot of the main paper.
Its pronouncements do not necessarily directly voice leadership views. But the commentary, as well as recent comments, amount to a growing chorus of Chinese disdain for Washington's economic policies and global financial dominance in the wake of the credit crisis.
"The grim reality has led people, amidst the panic, to realize that the United States has used the U.S. dollar's hegemony to plunder the world's wealth," said the commentator, Shi Jianxun, a professor at Shanghai's Tongji University.
Shi, who has before been strident in his criticism of the U.S., said other countries had lost vast amounts of wealth because of the financial crisis, while Washington's sole concern had been protecting its own interests.
"The U.S. dollar is losing people's confidence. The world, acting democratically and lawfully through a global financial organization, urgently needs to change the international monetary system based on U.S. global economic leadership and U.S. dollar dominance," he wrote.
Shi suggested that all trade between Europe and Asia should be settled in euros, pounds, yen and yuan, though he did not explain how the Chinese currency could play such a role since it is not convertible on the capital account.
A two-day Asia-Europe Meeting (ASEM) of 27 EU member states and 16 Asian countries was set to open on Friday. Though few analysts expect much in the way of concrete agreements, Shi said it could prove momentous.
"How can Europe and Asia grasp each other's hands and together confront the once-in-a-century global financial crisis sparked by the U.S.; how can they construct a new equitable and safe international financial order?" he said.
"The world is waiting for this Asian-European meeting to achieve big results in financial cooperation."
Source: Reuters (Reporting by Simon Rabinovitch; Editing by Ken Wills)