Financial Black Holes and Economic Stagnation: An Explanation

Rodrigue Tremblay

"I believe that banking institutions are more dangerous to our liberties than standing armies. Already they have raised up a monied aristocracy that has set the government at defiance. The issuing power (of money) should be taken away from the banks and restored to the people to whom it properly belongs." ~ Thomas Jefferson (1743-1826), 3rd U.S. President.

Presently, one has the net impression that today's governments, both in Europe and in the United States, have their fingers plugging the holes in the financial dike, but fear that that the entire dam could collapse in the not too distant future with dire economic consequences.

Let's see if we can make sense of it all.

Let's say to begin that most financial crises are the direct result of unsustainable debt levels relative to income that need to be wrung out of the economic system. It has happened in the past (notably in 1873, in 1907 and in 1931, for example), and numerous times in developing countries, and it will undoubtedly happen again in the future. The process is more often than not always the same: some large banks, corporations, consumers or governments take on too much risky debt that becomes unsustainable when economic conditions change, thus launching the entire economy into a devastating process of debt deflation. Sometimes, it may take decades to overcome such a debt deflation and it usually creates an environment of economic stagnation when aggregate demand collapses.

What makes the current financial crisis so troublesome is not only that debt levels are historically high for some countries, but also because the usual instruments and procedures to reduce the debt burden, while doing the least damage to the real economy, have been rendered inoperative, due to a large extent, to the poisonous so-called financial “innovations” that have taken place since 1999 in the general climate of wholesale financial deregulation. As a consequence, financial debt in many countries creates a sort of financial black hole that siphons off money income and prevents it from being re-circulated back into the economy. This creates a serious deficiency of demand (when consumers spend less, when corporations postpone investments and when governments adopt austerity programs) that translates into low output growth, economic stagnation and high unemployment.


Obama's Imperial Arrogance

Stephen Lendman

Candidate Obama promised peace. As president, he double downed Bush and then some, waging multiple direct and proxy wars.

The business of America is war. Washington has a permanent war policy. Republicans and Democrats perpetuate it.

Obama's latest mission adds another to dozens of similar ones ongoing globally. On October 14, New York Times writers Thom Shanker and Rick Gladstone headlined, "Armed US Advisors to Help Fight African Renegade Group," saying:

Obama ordered "100 armed military advisers to central Africa to help regional forces combat the Lord's Resistance Army (LRA), a notorious renegade group that has terrorized villagers in at least four countries with marauding bands that kill, rape, maim and kidnap with impunity."

Independent journalist, war correspondent, African expert, and human rights investigator Keith Harmon Snow challenges major media distortions and lies.

He calls the LRA "a Ugandan guerrilla force....wag(ing) a low-intensity war against" Uganda's Museveni regime since 1987. Ugandan factions back LRA resistance. It's also "clandestinely supported by unnamed factions in Congo, Europe and Washington."

Some believe it's "a tool of the Museveni government used to manipulate public opinion, create chaos across the region, gain international sympathy from foreign donors, (and serve as a) perfect ruse to facilitate permanent foreign military intervention."

In 2001, the State Department named it a terrorist organization. Since 2008, it's been called a Specially Designated Global Terrorist group.

US intervention also targets China's growing African influence to feed its insatiable resource needs, especially oil and gas. WikiLeaks disclosed a February 17, 2010 US cable, saying:

"China's economic ties to Uganda continue to accelerate on all fronts making it one of the country's top foreign investors."

It's also true in other African countries, including resource rich Congo.

"Greater Chinese investment and assistance in Uganda has generated some resentment due to local perceptions that Chinese investments favor their own businesses."

China, in fact, prefers partnership arrangements benefitting both sides in contrast to Washington's one-way deals.


Major Media Liars Never Quit

Stephen Lendman

"How many times was Khamis (Gaddafi) killed?" Still believed to be alive, he's now a legend. "Killed by NATO five times, and resurrected," he symbolizes loyalist resistance.

Whenever major media Libya reports appear, truth is distorted, manipulated and falsified. For seven months, despite daily terror bombing and ground attacks, courageous loyalists bested the ferocity of NATO and its rebel army.

As a result, they control most of Tripoli, Benghazi and other cities across the country. Fighting, however, still rages. Loyalists are holding their own. They're determined to liberate Libya, live free and rebuild.

NATO ravaged widespread areas, willfully targeting civilians and sites unrelated to military necessity. They include hospitals, schools, residential neighborhoods, and at times anything that moves.

Loyalist victories are called NATO ones. On October 17, bogus reports again said Bani Walid fell. New York Times writer Rick Gladstone headlined, "Pro-Qaddafi Enclave in Desert Is Said to Fall After a Battle," saying:

"Libyan forces (read cutthroat mercenaries) fighting the vestiges of (Gaddadi's) toppled government said Monday that (they) were in control of Bani Walid," south of Tripoli.

Claiming it and Sirte are "the last holdouts of pro-Qaddafi resistance," completely ignores reality as loyalists control most of Libya.

Despite years of more credible reporting, Al Jazeera now functions mainly as Qatar's propaganda arm. On October 18, it headlined, "Libyan fighters claim capture of Bani Walid," saying,

"NTC military commanders....said they captured about 95 per cent of" the city."

Al Jazeera's Tony Birtley is a notorious liar, saying:

"We are very much in the center of Bani Walid. (Rebels) came through here just over an hour ago and they are saying this is an almost complete liberation of the town." "The gunfire of celebration is ringing out and they are going completely crazy here because they know this (will) send a very clear message to those pro-Gaddafi elements who are still holding out in Sirte. Basically, there is nowhere left to go."

At least Times reporter Gladstone explained that other claimed TNC victories "proved overly optimistic." In fact, they were willfully falsified. Media scoundrels, including The Times and Al Jazeera, reported them like gospel.


An Indigenous Platform Proposal for “Occupy Denver”

Colorado AIM / Republic of Lakotah

Now we put our minds together to see what kind of world we can create for the seventh generation yet to come." ~ John Mohawk (1944-2006), Seneca Nation

As indigenous peoples, we welcome the awakening of those who are relatively new to our homeland. We are thankful, and rejoice, for the emergence of a movement that is mindful of its place in the environment, that seeks economic and social justice, that strives for an end to oppression in all its forms, that demands an adequate standard of food, employment, shelter and health care for all, and that calls for envisioning a new, respectful and honorable society. We have been waiting for 519 years for such a movement, ever since that fateful day in October, 1492 when a different worldview arrived – one of greed, hierarchy, destruction and genocide.

In observing the “Occupy Together” expansion, we are reminded that the territories of our indigenous nations have been “under occupation” for decades, if not centuries. We remind the occupants of this encampment in Denver that they are on the territories of the Cheyenne, Arapaho and Ute peoples. In the U.S., indigenous nations were the first targets of corporate/government oppression. The landmark case of Johnson v. McIntosh (1823), which institutionalized the “doctrine of discovery” in U.S. law, and which justified the theft of 2 billion acres of indigenous territory, established a framework of corrupt political/legal/corporate collusion that continues throughout indigenous America, to the present.

If this movement is serious about confronting the foundational assumptions of the current U.S. system, then it must begin by addressing the original crimes of the U.S. colonizing system against indigenous nations. Without addressing justice for indigenous peoples, there can never be a genuine movement for justice and equality in the United States. Toward that end, we challenge Occupy Denver to take the lead, and to be the first “Occupy” city to integrate into its philosophy, a set of values that respects the rights of indigenous peoples, and that recognizes the importance of employing indigenous visions and models in restoring environmental, social, cultural, economic and political health to our homeland.


Health topic page on womens health Womens health our team of physicians Womens health breast cancer lumps heart disease Womens health information covers breast Cancer heart pregnancy womens cosmetic concerns Sexual health and mature women related conditions Facts on womens health female anatomy Womens general health and wellness The female reproductive system female hormones Diseases more common in women The mature woman post menopause Womens health dedicated to the best healthcare
buy viagra online