Sunday, August 15, 2010

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Fed caused hyperinflation

Fed hyperinflation caused by Helga Zepp-LaRouche If the "H" word shows up even in the mass media, we would have even the most stubborn reality objectors are clear that all signs point to Storm. The decision of the Offenmarktauschusses the Federal Reserve (Federal Open Market Committee, FOMC) of 10 August, the banks trillions more to buy toxic assets to mean simply that the Lost U.S. Federal Reserve has any control and, for the last means to which: the unlimited printing of money. The result will be a very short hyperinflationary explosion as 1923 in Germany, only this time in the world. The influential Washington newspaper Politico, commented that the desperation of the Fed, euphemistically called "quantitative easing 2`, (sitting on banks to at least hundreds of trillions of toxic waste) because of the required amounts of money not only inflationary dangers bring, but hyperinflation in Weimar 1923rd Even the arch-conservative NZZ warned of hyperinflation triggered by the Fed. In addition, the economic data have about the real economy placed in the U.S. Washington and Wall Street panicked. Rising unemployment, falling incomes, insolvent municipalities, a new round of housing crisis with devastating consequences for the construction sector, the expectation of tax increases due to reduced tax revenue - all these factors illustrate the collapse of the U.S.. Lyndon LaRouche and his political action committee, LaRouche PAC have given the real possibility that the financial system for the third quarter did not survive, set a Super mobilization for the immediate reinstatement of the Glass-Steagall standards in motion. The enormous amounts of liquidity, which pumped the Fed and other central banks to rescue the speculators in the markets have huge excess liquidity created that is not of course the savings hidden in stockings of gamers, but is pushing power in the commodity markets. As a result, commodity prices explode, even though the economy in the U.S., the euro area - Germany except at very short notice - and abandoned lies much of the world. Oil, metals and agricultural commodities, especially again are objects of speculation for investment banks, hedge funds and cartels. Of course, try the usual opinion-makers to increased consumption in Asia and the export ban by Russia on the rise in prices of agricultural commodities to blame, but if for example the price of wheat in a single week 50% up fast, then the case is clear. Cocoa, coffee, sugar, maize, barley, etc. to increase by 20-30%, is for the fall for this price increase impact on consumer food prices. If one considers that vonLebensmittelkartellen a handful such as Cargill, Archer Daniel Midland and Monsanto control more than 80% of food production and marketing of seeds and harvest to processing to retail, and these conglomerates are engaged heavily in futures, can be to reconstruct who benefits from price increases. The investment banks like Goldman Sachs and Merrill Lynch have developed complex financial instruments for agricultural commodities. A study FAO said in June, the end, only two percent of the futures on the commodities markets and the real Handelvon goods. Investment banks secure arable land in developed nations, but also in developing countries, operate warehouses and purchase of ships and port terminals. The gambling takes place primarily on the London futures exchange or on the Chicago Mercantile Exchange. Here, investment banks, hedge funds, pension funds etc. as provide real locusts ensure that the food is so scarce that the poor of this world no longer afford their daily bread. After all, who must spend more than 50% of its monthly income on food, for is a 50 per cent price increase for wheat catastrophic. The food riots in 40 nations in 2008 were only the harbinger of what is imminent. The price explosion may very soon lead to a meltdown of the global food which is only by this writer even then required doubling of food production, the absolute elimination of food speculation by a Glass-Steagall Act and the replacement of the current monetarist system by a credit system can be prevented. According to the independent Greek Statistical Office, the inflation rate in Greece despite the draconian austerity measures and the insolvency of a quarter of all businesses are now reaching 5.5%, so the level as before the accession into the euro zone. The British media warn that the inflation rate, the savings can be "obsolete". But all this is just a taste of what is imminent - a hyperinflationary explosion as 1923rd Even then, inflation was not seen for years, though the Reichsbank from 1919 printed pots of money to pay the German war debts and reparations imposed at Versailles can. It was not until the spring of 1923, when it because of the French occupation of the Rhineland to passive resistance and strikes, and thus came to a halt of production, hyperinflation exploded in half a year until the prices were absurd in November 1923. The boom in Germany? In Germany the economy grows stronger than ever "since the reunification," cheered the financial press. But this interim high will be evicted from a storm, because it owes its existence exclusively to the interim increase in exports, specifically mainly exports to Asia and particularly China. But that there are increasing signs of the coming turmoil. The collapse of the consumer market in the U.S. already has a dramatic impact on China. There are also two bubbles that have formed on the internal market, namely a housing bubble and another bubble of bad loans that are about to burst. These are increasing social tensions, one part of conflict between migrant workers and farmers and on the other hand, because the inflation in food prices in July, was 6.8%. The government is currently trying to curb lending and real estate speculation. But the news about the difficulties in China were already wearing now next to the data from the U.S. to the plunging on international markets. Strengthen this development, which is unfortunately inevitable, will end the German "boom" faster than you can pronounce the word "hyperinflation". While in this country dreamed of the supposed "summer fairy tale" of economic recovery, the response to the perceived threat of inflation is obviously completely wrong. The enforce policies of the EU Commission and the German government, the "debt brake" in all of Europe to do is to accelerate the economic decline only. The purpose of Finance Minister Schäuble, save € 80 billion by the deletion of infrastructure projects is to do the wrong thing you can do it. Germany not only has long been an investment backlog in infrastructure of around one billion euros, resulting in poor sections of motorways and roads, unsafe bridges and the like effect, the savings also take what little is left of our productive sector. would be minimal for the repair of some 64,000 km from a total of 400,000 km of local roads, according to the Auto Club Europa (ACE) at least 2.5 billion euros needed, but at present, given the deficit of 15 billion € of communities are not present. The ACE cautions that it's only a matter of time until serious accidents happen. This, of course, negative consequences are for the construction sector as a result of the planned cuts. The calculated Hartmut Mehdorn, Deutsche Bahn as Exchef still remembered for his unsuccessful privatization policy, the Government must now recall that the massive cuts in the infrastructure, undermine the future of Germany as an industrial nation, shows how far it has come. What was needed instead are massive investments in the Modernization of the railway and other infrastructure, including connections for goods and containers to and from seaports. In the time between now and the end of September, the situation will deteriorate so dramatically that the failure of the current policy is set dramatically on the agenda. The coincidence of the economic collapse in the U.S., a serious crisis in China, massive turmoil in the euro zone and a hyper-inflationary price hikes will make it clear that a different financial and economic system is absolutely essential. It is high time the "irrational exuberance" and irresponsible Zockerei to end in favor of less at the expense of the absolute majority of humanity. The toxic waste must be disposed of, and instead, productive loans for large infrastructure projects such as water management project NAWAPA for the Americas, the expansion of the Eurasian land bridge and much needed projects like the Trans Aqua Project for Africa will be made available. The collapse of the system of globalization will make the world a much greater challenge than the collapse of communism has done 20 years ago. Then as now, the construction plans are ready. This time we can not allow again to miss a historic opportunity. The crash into a dark age would certainly

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