Tapsearch Com EditorThe funny money global monopoly games
February 7th 2010 00:06
Rolling the funny money dice in the global economic economy by Ray Tapajna
We were warned about the funny money games in the global economic casino years ago . It is not something new.
The financial crisis stems from making artificial money products independent of real production products from industry.
The stock market remains suspect as to its real mission of adding value to the economy.
Back in 1999, there were even money products where traders bet on the outcome of the Y2k crisis. Traders bet that the cost of money would surge in December of 1990. They bet computers could lose track of money transactions with banks then becoming reluctant to make loans. The Y2k crisis also funneled artificial money into the economy as governments and private business spent money they did not have in resolving the computer problems that were ignored for years related to the turning of the century to the year 2000.
There were also all sorts of hedge funds in motion. In 1999, Federal Reserve had to orchestrate a $36 billion dollar infusion of cash into a Long-Term Capital money game played by a consortium of major lenders - a group of top Wall Street's biggest banks The Federal Reserve had to react to a hugh speculative fund that invested money for rich people and large institutions. If they did not react, there would be a negative domino effect throughout the economy. The fund had fallen from $4.l billion dollars to $2.3 billion in one month's time. The 21 days later it fell to $600 million.
One Connecticut hedge fund, owned by the super rich also looked like it was going to bring down the world financial system. Long-Term Capital Management had borrowed tens of billions of dollars from pension funds and other savings around the world making super bets turn into sand. The bets involved so many financial products, many money experts feared a panic attack worldwide in the global economic casino. The core funds were derivative investments tied to securities worth more than $1 trillion dollars.
Many critics warn that bailing out these funds would send a signal to the super rich investors that they can bet all they want and get rescued if the bets did not go their way. It was high stakes played out in a global casino.
In the late 1990s in Clinton's land of is everything seemed to be based on what your own definition of is - is . The Long-Term Captial , left out what would happen if the Russian ruble would collapse as it did.
All the financial wars were hidden away during the Bush era while President Bush
kept everyone eyes on his pre-emptive shock and awe real wars. The supranational financial gambling went on. And the super rich and the super banks made mone by conning the workers of the world. They pushed free trade which deflated the value of workers and labor by moving production from place to place for the sake of the cheapest labor markets. However, as Manuel Castells, who predicted the "Bewildered New World" very bad things happen when the money products are separated from production. The little guy who was conned into buying a home at a variable interest rate was set up to be hammered.
Wall Street ended up cutting 3,400 workers and the executive who managed Merrill Lynch & Co.'s global risks was fired too. In addition, Salomon Smith Barney, the brokerage arm of the newly formed Citibankgroup cut 100 workers in is bond department.
The coming financial storms could have been forecasted easily. Instead many of these same people received bail outs by President Obama and given jobs to fix the economy that they broke. They played the funny money monopoply games and President Obama gave them the get out of jail card.
And the Bible tells us the only time Jesus became angry was when he encountered the money changer in the temple. I wonder why many of our spritual brethren to not connect all of the above with this, when they preach prosperity theology. Our economies based on making money on money instead of making things are burning out in the meantime.
Sources: Kathleen Day, Washington Post, Elizabeth Sullivan, ( current editorial page editor at Cleve Plain Dealer ) and articles from the Associated Press in 1999
We were warned about the funny money games in the global economic casino years ago . It is not something new.
The financial crisis stems from making artificial money products independent of real production products from industry.
The stock market remains suspect as to its real mission of adding value to the economy.
Back in 1999, there were even money products where traders bet on the outcome of the Y2k crisis. Traders bet that the cost of money would surge in December of 1990. They bet computers could lose track of money transactions with banks then becoming reluctant to make loans. The Y2k crisis also funneled artificial money into the economy as governments and private business spent money they did not have in resolving the computer problems that were ignored for years related to the turning of the century to the year 2000.
There were also all sorts of hedge funds in motion. In 1999, Federal Reserve had to orchestrate a $36 billion dollar infusion of cash into a Long-Term Capital money game played by a consortium of major lenders - a group of top Wall Street's biggest banks The Federal Reserve had to react to a hugh speculative fund that invested money for rich people and large institutions. If they did not react, there would be a negative domino effect throughout the economy. The fund had fallen from $4.l billion dollars to $2.3 billion in one month's time. The 21 days later it fell to $600 million.
One Connecticut hedge fund, owned by the super rich also looked like it was going to bring down the world financial system. Long-Term Capital Management had borrowed tens of billions of dollars from pension funds and other savings around the world making super bets turn into sand. The bets involved so many financial products, many money experts feared a panic attack worldwide in the global economic casino. The core funds were derivative investments tied to securities worth more than $1 trillion dollars.
Many critics warn that bailing out these funds would send a signal to the super rich investors that they can bet all they want and get rescued if the bets did not go their way. It was high stakes played out in a global casino.
In the late 1990s in Clinton's land of is everything seemed to be based on what your own definition of is - is . The Long-Term Captial , left out what would happen if the Russian ruble would collapse as it did.
All the financial wars were hidden away during the Bush era while President Bush
kept everyone eyes on his pre-emptive shock and awe real wars. The supranational financial gambling went on. And the super rich and the super banks made mone by conning the workers of the world. They pushed free trade which deflated the value of workers and labor by moving production from place to place for the sake of the cheapest labor markets. However, as Manuel Castells, who predicted the "Bewildered New World" very bad things happen when the money products are separated from production. The little guy who was conned into buying a home at a variable interest rate was set up to be hammered.
Wall Street ended up cutting 3,400 workers and the executive who managed Merrill Lynch & Co.'s global risks was fired too. In addition, Salomon Smith Barney, the brokerage arm of the newly formed Citibankgroup cut 100 workers in is bond department.
The coming financial storms could have been forecasted easily. Instead many of these same people received bail outs by President Obama and given jobs to fix the economy that they broke. They played the funny money monopoply games and President Obama gave them the get out of jail card.
And the Bible tells us the only time Jesus became angry was when he encountered the money changer in the temple. I wonder why many of our spritual brethren to not connect all of the above with this, when they preach prosperity theology. Our economies based on making money on money instead of making things are burning out in the meantime.
Sources: Kathleen Day, Washington Post, Elizabeth Sullivan, ( current editorial page editor at Cleve Plain Dealer ) and articles from the Associated Press in 1999
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