Populist Party Blog » debt

Web of Debt

Stephen Lendman — Mon, 11 May 2009 18:06:41 +0000

This is the first of several articles on Ellen Brown’s superb 2007 book titled “Web of Debt,” now updated in a December 2008 third edition. It tells “the shocking truth about our money system, (how it) trapped us in debt, and how we can break free.” Given today’s global economic crisis, it’s an appropriate time to review it and urge readers to digest the entire work, easily gotten through Amazon or Brown’s webofdebt.com site. Her book is a remarkable achievement – in its scope, depth, and importance.

In the forward, banker/developer Reed Simpson said:

“I have been a banker for most of my career, and I can report that even most bankers (don’t know) what goes on behind (top echelon) closed doors….I am more familiar than most with the issues (Brown covered, and) still found it an eye-opener, a remarkable window into what is really going on….(Although many banks follow high ethical practices), corruption is also rampant, (especially) in the large money center banks, in one of which I worked.” FULL ARTICLE

Don't be Fooled by Inflation

Peter Schiff — Mon, 11 May 2009 07:47:08 +0000

Over the past few months, the government has literally blasted the economy with trillions of new dollars conjured from the ether. The fact that this “stimulus” has blown some air back into our deflating consumer-based bubble economy, and given a boost to an oversold stock market, is hardly evidence that the problems have been solved. It is simply an illusion, and not a very good one at that. FULL ARTICLE

Maxed Out Nation

Peter Schiff — Mon, 27 Apr 2009 11:20:11 +0000

Higher losses among credit card lenders and higher rates for credit card users would greatly diminish both the availability and desirability of consumer credit. Fear of losses and the absence of a secondary market to unload risk would force lenders to more judiciously extend credit. Simultaneously, higher rates would reduce the appeal of credit card debt, causing fewer Americans to partake. FULL ARTICLE

The Fault Lines Emerge

Peter Schiff — Mon, 30 Mar 2009 10:42:23 +0000

Washington is telling us that our problems result from a lack of consumer spending. Therefore, the solution is for government spending to pick up the slack. However, if Americans are too broke to spend, then how can our government spend for us? The only money they have is taken from us through taxation. FULL ARTICLE

The US Dollar, RIP

Peter Schiff — Mon, 23 Mar 2009 18:02:14 +0000

Last week the Federal Reserve finally made clear what should have been obvious for some time – the only weapon that the Fed is willing to use to fight the economic downturn is a continuing torrent of pure, undiluted, inflation. The announcement should be seen as a game changer that redirects the fury of the financial storm directly onto our shores FULL ARTICLE

Who's Calling the Shots Now

Dave Lindorff — Mon, 23 Mar 2009 11:53:01 +0000

It may not be obvious today, and certainly it’s not how the corporate media reported it, but future historians are likely to look back at March 13, 2009 as the day that American imperialism began it’s inexorable decline. That’s the day that Chinese Premier Wen Jiabao announced that his country was “worried” about its holdings of over $1 trillion in US treasury securities, and warned that he wanted the US to assure China that it would maintain its good credit and “honor its promises” and “maintain the safety of China’s assets.” FULL ARTICLE

Credit Card Cancer

Peter Schiff — Mon, 16 Mar 2009 10:25:46 +0000

What everyone seems to have forgotten at this point is that credit does not come from thin air. Even in a system in which bank reserves are leveraged many times, someone has to put savings in a bank for the bank to turn around and make a loan. As a result, the bedrock is the savings, which allows for the credit to flow. Credit extended without adequate savings inevitably leads an economy into disaster. FULL ARTICLE

Putting the Economic Cart Before the Horse

Peter Schiff — Sun, 01 Mar 2009 08:17:08 +0000

The central tenets of Obamanomics appear to be that access to credit will enable people to borrow money to buy stuff, the spending will spur production and employment, and thus the economy will grow. It’s a neat and simple picture, but it has nothing whatsoever to do with how an economy works. The President does not understand that consumption is made possible by production and that credit is made possible by savings. The size and complexity of modern economies has obscured these simple concepts, but reducing the picture to a small scale can help clear away the fog. FULL ARTICLE

More of the Same?

Michael Boldin — Wed, 25 Feb 2009 02:34:25 +0000

This is what I hear when as I listen to Barack Obama talk about his economic recovery plan:

Debt is what drives our economy, and too much debt has caused a lot of problems. So, to solve this crisis, we need to make sure that you start taking on even more debt.

Yup, more debt is what he wants…more debt for you and me…to buy more stuff that we just don’t need. We don’t need more cars, or more houses, or more plasma tv’s. We’ve got plenty of that stuff already!

Makes me think of a short video from a couple years ago, “The Story of Stuff”

Predatory Legislators

Peter Schiff — Sun, 22 Feb 2009 14:33:03 +0000

Faced with a prospect of downgrading its lifestyle, the U.S. government is instead borrowing trillions of dollars to artificially inflate our deflating bubble economy. The money is being used to both expand the size of government and finance additional consumer spending. Given our financial position, this is the exact opposite of what we should be doing. FULL ARTICLE