{"id":18465,"date":"2012-04-09T12:00:46","date_gmt":"2012-04-09T11:00:46","guid":{"rendered":"http:\/\/www.transcend.org\/tms\/?p=18465"},"modified":"2012-04-07T16:33:44","modified_gmt":"2012-04-07T15:33:44","slug":"destruction-of-spains-economy-duplicates-greece","status":"publish","type":"post","link":"https:\/\/www.transcend.org\/tms\/2012\/04\/destruction-of-spains-economy-duplicates-greece\/","title":{"rendered":"Destruction of Spain\u2019s Economy Duplicates Greece"},"content":{"rendered":"

More than two years ago I began warning readers of the most heinous acts of fraud ever perpetrated by the Western banking crime syndicate, which I dubbed \u201ceconomic terrorism\u201d<\/a>. These swindles involved nothing less than the destruction of entire European economies, solely so that the banksters could profit on approximately $100 trillion in bets<\/em> they had placed on the debts of these economies.<\/p>\n

The mechanics of this economic rape<\/a> have been explained many times in the past.\u00a0 First of all the bankers duped governments and institutions all over the Western world into placing trillions of dollars (and\/or euros) in bets that interest rates were about to soar higher \u2013 just before they crashed interest rates to the lowest levels in history<\/em>. This swindle is known as \u201cinterest rate swaps\u201d<\/a>.<\/p>\n

The second (and even more destructive) form of fraud perpetrated against these governments didn\u2019t even require their participation \u2013 merely their na\u00efve acquiescence. The bankers began placing huge bets (totaling at least $60 trillion) that these nations would default, and then had the audacity to call these bets \u201cinsurance\u201d (credit default swaps<\/a>). Note that such \u201cinsurance\u201d had been banned in the U.S. for more than half a century \u2013 based upon anti-gambling statutes.<\/p>\n

Here is the question which these banksters would never answer: how does a third party placing bets on whether someone\u2019s home would burn down provide any \u201cinsurance\u201d to the owner of the home<\/em>? The answer of course is that it doesn\u2019t. What it did do, however, was to create a $60 trillion motive for \u201carson\u201d<\/strong>.<\/p>\n

This is precisely what we have we have seen. After the banksters (primarily based in Wall Street) got assorted chumps to take the wrong side of this $60 trillion, unregulated mountain of bets \u2013 betting that these Euro governments would not default \u2013 they then began to systematically burn-down<\/a> the economies of Europe one by one.<\/p>\n

I have explained this process several times in the past already, so those readers new to this will have to refer to my previous work<\/a>. In a nutshell, the Wall Street terrorists can manipulate the interest rates of these nations to (literally) any number they choose via the fraudulent manipulation of the credit default swaps market. I warned readers that this made Greek default inevitable, since if interest rates can be manipulated to any<\/em> level then any nation can be bankrupted on its debt.<\/p>\n

This is exactly what took place with the destruction of Greece\u2019s economy. Each time that Greece\u2019s government served the bankers<\/em> by announcing a new round of \u201causterity\u201d, the terrorists would immediately drive-up the interest rates on Greece\u2019s debt so much higher that every dollar of budget-cutting was consumed in higher interest payments<\/strong>\u2026plus a little bit more.<\/p>\n

The result was that instead of austerity improving the solvency of Greece\u2019s economy, the Wall Street terrorists always ensured that its economy was worse off after each new round of budget cuts \u2013 immediately creating even more pressure for even more austerity. It was nothing but a totally masochistic vicious circle. At one point the banksters had manipulated Greek interest rates more than 50 times higher than those of the U.S. \u2013 despite the fact that (as I have explained previously<\/a>) the U.S. economy is even more fundamentally insolvent than that of Greece.<\/p>\n

Now the terrorists have targeted Spain.<\/p>\n

What we see taking place in Spain today is an exact, carbon-copy of what we saw in Greece. On the one hand, we have a traitor-government willingly imposing round after round of Friedman Austerity<\/a> on its own people \u2013 despite the utter futility of such sadistic budget-cutting. On the other hand we have the banking crime syndicate (with the gleeful assistance of Big Media) relentlessly driving interest rates on Spain\u2019s debt ever higher, clawing back every penny of that austerity in interest payments to the Bond Parasites<\/strong>.<\/p>\n

Said Spain\u2019s Prime Minister, Mariano Rajoy<\/a>:<\/p>\n

\u201cSpain is facing an economic situation of extreme difficulty, I repeat of extreme difficulty, and anyone who doesn\u2019t understand that is fooling themselves\u2026the alternative is infinitely worse.\u201d<\/em><\/p>\n

Congratulations Chicken Little! Rajoy succeeded in convincing his people that the sky is falling. Unfortunately, what he forgot to tell them was that the budget-cuts he\u2019s imposing have absolutely zero chance of improving things for his own people, while only engorging the Bond Parasites. Already Spain\u2019s government is budgeting \u20ac29 billion this year for interest payments alone, roughly 30% more than one year ago \u2013 while imposing savage budget-cuts on his own people.<\/p>\n

At the same time, Rajoy then increased upward pressure on the country\u2019s budget deficit by announcing \u201camnesty\u201d for the nation\u2019s tax-cheats. Milton Friedman must be smiling from Hell. The wealthy get the \u201ccarrot\u201d in Spanish austerity, while the Little People get only the \u201cstick\u201d \u2013 exactly as occurred in Greece. Even worse, having granted amnesty to tax-cheats once<\/em>, this creates massive incentive\/reward for future tax evasion \u2013 guaranteeing that government tax revenues will plummet lower, and the deficit will soar higher.<\/p>\n

As for Rajoy\u2019s threat\/warning to his own people that \u201cthe alternative is infinitely worse\u201d, Spain\u2019s official (i.e. phony) unemployment rate has already reached 24%, even higher than in Greece and the highest in Europe \u2013 while he rewards tax-cheats and whacks his own people with more than \u20ac27 billion in new budget-cuts. I would suggest that nothing could be infinitely worse than that.<\/p>\n

Meanwhile (exactly as occurred in Greece), immediately after this new \u201causterity\u201d is announced, Bloomberg and the Wall Street terrorists are busily at work manipulating Spain\u2019s interest rates much, much higher \u2013 their reward<\/em> for the budget cuts just announced by their amigo, Rajoy.<\/p>\n

Here is Bloomberg\u2019s salvo<\/a> just for today:<\/p>\n

\u2026Spanish borrowing costs have been going up since Rajoy announced on March 2 that his government wouldn\u2019t comply with the deficit target the previous administration had set with the European Union\u2026The country hasn\u2019t met the EU\u2019s 3 percent [of GDP] deficit ceiling \u00a0since 2007, and the government forecasts debt to reach 79.8 percent of GDP, the highest in more than three decades.<\/em><\/p>\n

What the propagandists of Bloomberg fail to include in their \u201canalysis\u201d (for context) is the fact that the U.S. is currently running budget deficits equal to roughly 10% of GDP<\/strong>. And its $14+ trillion national debt is already 100% of GDP<\/strong>. Yet we have Bloomberg explaining to its readers \u201cwhy\u201d Spain\u2019s interest rates should continue going higher \u2013 even though they are already several multiples of U.S. interest rates.<\/p>\n

Meanwhile, Bloomberg \u00a0(and the bankers themselves) considers it totally appropriate for interest rates on U.S. debt to be at the lowest levels in history, despite the U.S. having the largest deficits and debts<\/a> in the history of the world (even without including the $100+ trillion in \u201cunfunded liabilities\u201d, which it excludes from any\/all official calculations).<\/p>\n

Obviously when the biggest sovereign deadbeat in the history of the world enjoys the lowest interest rates on its own debt in history (see \u201c<\/a>Maximum Fraud in U.S. Treasuries Market\u201d<\/em><\/a>), while lesser debtors see their own interest rates (and interest payments) ratcheted-up inexorably higher this is empirical proof of the fraudulent manipulation of our debt-markets \u2013 wholly deserving of the label \u201ceconomic terrorism\u201d.<\/p>\n

If it isn\u2019t bad enough already that individual European governments are willingly facilitating the economic rape of their own nations, we see\/hear increasing talk of these traitor-governments creating a \u201cEuro bond\u201d<\/a>: one bond for all of Europe, and thus one debt market for all of Europe. Should the bankers be able to persuade (and\/or blackmail) their political lackeys into embarking upon this act of collective, economic suicide; the Wall Street terrorists would then be able to do simultaneously<\/strong> (to all of Europe) what they currently have to perpetrate against these nations one at a time.<\/p>\n

While obviously it is primarily the peoples of Europe who should be demanding the immediate, unilateral repudiation of all credit default swap contracts relating to their own markets, we see absolutely no indications of awareness among their own populations about what is really taking place. Consequently, people in North America should also be very, very concerned \u2013 and actively lobbying to remove the political stooges who permit such crimes-against-humanity.<\/p>\n

For the question we should all be asking ourselves is this: once the Wall Street terrorists have finished laying waste to the economies of their friends<\/em> in Europe, whose debt markets do you think they are going to destroy next?<\/p>\n

_____________________<\/p>\n

Jeff Nielson is from Canada and is a writer\/editor for Bullion Bulls Canada \u00a0www.bullionbullscanada.com<\/a>. He has a personal background in law and economics. Bullion Bulls\u00a0Canada provides general macro-economic and political commentary,\u00a0since the precious metals markets are among the most complex (and\u00a0misunderstood) in the world.<\/em><\/p>\n

Go to Original \u2013 informationclearinghouse.info<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

More than two years ago I began warning readers of the most heinous acts of fraud ever perpetrated by the Western banking crime syndicate, which I dubbed \u201ceconomic terrorism\u201d. These swindles involved nothing less than the destruction of entire European economies, solely so that the banksters could profit on approximately $100 trillion in bets they had placed on the debts of these economies.<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[51],"tags":[],"class_list":["post-18465","post","type-post","status-publish","format-standard","hentry","category-europe"],"_links":{"self":[{"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/posts\/18465","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/comments?post=18465"}],"version-history":[{"count":0,"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/posts\/18465\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/media?parent=18465"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/categories?post=18465"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/tags?post=18465"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}