United States ship of state going under? VT article.

[spiritguide]

Article lines up some facts about the issue and question what if.

Titanic Goes Under

Glug, glug, glug, the United States ship of state is going under. The credit markets are in turmoil, the only thing holding the financial ship afloat is confidence. What happens if confidence vanishes, what happens if those holding US Treasury Bonds decide to jump ship? What is confidence and why is it so important? Do the current bunch of thieves, liars, and crooks in D.C. inspire confidence? Why does anyone fund these war criminals? Do they actually think they are going to be repaid? If Washington is willing to bomb whole nations into ruin then what are your chances of getting your bond money paid in real dollars? Zero. Criminals don’t play by the rules, they make them up as they go along. The gangsters in China are worried, they foolishly lent over a trillion to America. Washington is playing them like a fiddle.


America is considered unsinkable like the Titanic. The rich will saves themselves leaving the rest to drown in a sea of debt.
This Congressional game of chicken is a Libertarian dream come true, for those of us who love freedom BigGov shutdown is a blessed good thing, hopefully they will never reopen. The terminator ran out of juice, too bad. Good bye and good riddance! We really don’t like the Federal Government, for one thing it does not govern, all it does it loot and kill, it is like a wrecking ball gone crazy making a mess everywhere on the planet. How many wars and how many people have they killed, maimed, displaced by the American state as it whores itself to Wall Street, the war machine, and crazy little Israel? It is horrific, the crimes are so big that most of us think its Apocalypse Now. With the Federal government gone, so are all of the restrictions to freedom, the Federal shutdown is the greatest single pro liberty event ever! Quick, call your congressional whore and tell them not to budge!

Say Goodby to Zionist Evil

Just think, with the Federal State gone, no more wars for Israel, no more taxpayer money to Israel, no more AIPAC lobby domination of American foreign policy, no more subversion of liberty for Jewish supremacy. Think about what the Zionist Federal Government is, an extension of Rothschilds’ demonic little state of Israel, America has become the military arm of the Jewish World Order. It does not represent us, nor does it have our values, it has become antithetical to everything of what America stands for, decency and liberty. Our elected representatives are whores of the beastly system of world domination, not exactly what the founder’s envisioned.

Israel is our best friend.

America went bankrupt because of the Israel Lobby, American lost its way because of Israel, America went to hell for Israel, America will burn because of Israel. Yet everyday the Evangelicals sing hosannas to Israel, the situation is sickening, we are in end times madness caused by religious belief systems gone crazy. Clearly, most Americans are mentally ill, delusional consumers in debt bubble land driving huge behemoth SUVs with ‘support our troops’ bumper stickers on one side and ‘Jesus is my savior’ stickers on the other side.

The US government has no money, it is flat broke and in hock. So how does it pull off this endless string of wars? By borrowing money from the private Federal Reserve corporation. It has no intention or ability of paying that borrowed money back, but the reason people lend to them is that they have confidence that they will paid. It’s a fools game. Eventually the debts pile high and we all intuitively know that something has to give, something is going to trigger an avalanche of defaults, some wild card will be overturned, the infamous black swan event that is the proverbial pin that pricks the bubble.

The world has caught on to Israel, America was the last nation to grasp the obvious that Israel is nobodies friend. Israel is a rogue nation hell bent on world domination. The bust is going to change America’s relationship with Israel, Americans are going to demand an end to foreign aid when they themselves are bankrupt and starving. Ant-semitism is going to become very political in the near future.

Link to rest of article...

http://www.veteranstoday.com/2013/10/08/the-titanic-goes-under-2/

Peace!

[Calz]

The US government has no money, it is flat broke and in hock. So how does it pull off this endless string of wars? By borrowing money from the private Federal Reserve corporation. It has no intention or ability of paying that borrowed money back, but the reason people lend to them is that they have confidence that they will paid. It’s a fools game.




This portion of your post I agree with fully.

Drunken sailor comes to mind.

Why you ask ... well obviously there is no expectation to repay due to whatever "end of cycle" "endgame" "apocalyptic" portion of "reality" they seem to find themselves privy to.

What's this??? Time to hit the DUMBS (bunkers).

Gosh ... guess whatever quadsupersizedzillionsofimaginarypaper you were expecting has been "forgiven" ... bankrupt ... vanished (just like the gold in fort knox).

[indigopete]

I thought I'd just add something into the mix here because I don't think this commentator quite does justice to the complexity of the situation.

The fact that the debt can "never be repaid" doesn't necessarily matter, because in the modern economy, almost all money (at least commercial bank money which now represents about 90% of economic liquidity) IS debt.

Ergo, if all the debt was repaid, there'd be no money and all economies would immediately grind to a halt due to lack of liquidity - even if there was a healthy level of supply and demand for goods & services.

What matters more these days is the "quality" of the debt floating around, not the amount of it (although the amount does directly affect the quality). For example, if some bank or investment fund is sitting on a lot of assets in the form of securitised debt and those assets go toxic (their "quality" reduces), the bank may suddenly find itself short of capital and end up overly levered.

These massive levels of debt can go on for a long time and may even be sustainable as long as nobody defaults. Look at Japan - they've had 20 years of it.

The reason Obama is desperate to get the debt ceiling lifted is because then the Fed can go on printing, buying US treasuries and the Government can pay it's bills with the new Fed money. This whole car crash happens in such slow motion that the central banks have got lots of time to react and develop new scenarios. For example, they've been doing massive QE for years now and it hasn't lead to runaway inflation. I don't quite understand why that is myself but I think it's got something to do with the fact that the new fed money is going into bonds and ending up back on the Fed balance sheet instead of going into the real economy.

Also, a large portion of it gets used by the Government to pay off maturing bonds, thereby "extinguishing" the credit that had been generated by those bonds.

[Just to clarify, the way money gets into the economy is that it has to be borrowed into existence, e.g. by someone taking out a mortgage. Likeways, governments can borrow money into existence and spend it into the economy. By definition, only 'borrowed' money is ever in circulation].

I think they can keep this going - the numbers just keep getting bigger but the economy doesn't 'crash'. On the other hand, if countries start defaulting on Sovereign debt then the central banks could start losing control due to a crisis of confidence. Thats why it's essential for them that they keep everything locked down and operate as a co-ordinated unit globally. Of course eventually, all the currencies end up valueless, but by that time economies will have evolved onto different trading bases (e.g. the new 'brics' gold backed dollar, cryptocurrencies etc).

I don't think that commentators such as the one in the VT article have really grasped this. It's grossly over simplifying the situation to say that the "debt can never be payed" because it never was the idea that it should be paid.

[sigma6]

I agree with most of it, but the underlying premise that America wasn't aware... of what was going on with Israel overlooks the historical bloodline relationship that is scientifically proven and in everyone's face the US government is a sham was from day one, the relationship between Israel and Britain, then to the US (forget Canada, it's just a stooge that provides commodities, corporate lackies that define their national identity according to Molsen beer commercials...) and from Britain the money ties back into the Vatican This is a money sucking vacuum... on a global scale... is it any wonder Russia, China, are disgusted and maintain their separateness of political ideology... American democracy?

Confidence? they are pretending they can't even pay their interest and they want to make a global spectacle of the event? We don't know what the real game is... just know that you are watching a 3 ring circus... and the fat lady is coming out to sing... while somewhere, I can picture Bush, and Cheney and Obama, and Bernanke, et al doing the harlem shuffle dancing out the back entrance of the tent... LOL...


http://www.veteranstoday.com/wp-content/uploads/2013/10/m19_25457263.jpg
“Wow, that’s some good bud, Achmed!”

[sigma6]

I thought I'd just add something into the mix here because I don't think this commentator quite does justice to the complexity of the situation.

The fact that the debt can "never be repaid" doesn't necessarily matter, because in the modern economy, almost all money (at least commercial bank money which now represents about 90% of economic liquidity) IS debt.

Ergo, if all the debt was repaid, there'd be no money and all economies would immediately grind to a halt due to lack of liquidity - even if there was a healthy level of supply and demand for goods & services.

What matters more these days is the "quality" of the debt floating around, not the amount of it (although the amount does directly affect the quality). For example, if some bank or investment fund is sitting on a lot of assets in the form of securitised debt and those assets go toxic (their "quality" reduces), the bank may suddenly find itself short of capital and end up overly levered.

These massive levels of debt can go on for a long time and may even be sustainable as long as nobody defaults. Look at Japan - they've had 20 years of it.

The reason Obama is desperate to get the debt ceiling lifted is because then the Fed can go on printing, buying US treasuries and the Government can pay it's bills with the new Fed money. This whole car crash happens in such slow motion that the central banks have got lots of time to react and develop new scenarios. For example, they've been doing massive QE for years now and it hasn't lead to runaway inflation. I don't quite understand why that is myself but I think it's got something to do with the fact that the new fed money is going into bonds and ending up back on the Fed balance sheet instead of going into the real economy.

Also, a large portion of it gets used by the Government to pay off maturing bonds, thereby "extinguishing" the credit that had been generated by those bonds.

[Just to clarify, the way money gets into the economy is that it has to be borrowed into existence, e.g. by someone taking out a mortgage. Likeways, governments can borrow money into existence and spend it into the economy. By definition, only 'borrowed' money is ever in circulation].

I think they can keep this going - the numbers just keep getting bigger but the economy doesn't 'crash'. On the other hand, if countries start defaulting on Sovereign debt then the central banks could start losing control due to a crisis of confidence. Thats why it's essential for them that they keep everything locked down and operate as a co-ordinated unit globally. Of course eventually, all the currencies end up valueless, but by that time economies will have evolved onto different trading bases (e.g. the new 'brics' gold backed dollar, cryptocurrencies etc).

I don't think that commentators such as the one in the VT article have really grasped this. It's grossly over simplifying the situation to say that the "debt can never be payed" because it never was the idea that it should be paid.

this is all based on the assumption that debt is the only source of money which a patently false, it is used because people don't understand what it means and allows the bankers to double dip everytime you receive a bill, and you pay with a debt you just increased the debt even more... it's a shell game. you didn't pay anything... a vastly complex and hidden system of drawing away the wealth and energy of the people set in motion over a hundred years ago... this was all predestined... the second they gave control of printing money to private banking families... and promised never to audit them for a hundred years??????????????????????????????????????????????????????????????