[Secretary of State, John ] Kerry, wallowing in his arrogance, hubris, and evil, has issued direct threats to Russia. The Russian foreign minister has dismissed Kerry’s threats as “unacceptable.” The stage is set for war. – Paul Craig Roberts [Read more...]
Paul Craig Roberts, Assistant Secretary of the Treasury in the Reagan Administration, has voiced his concerns about the strength of the US economy, US politics, and US civil liberties. Roberts also believes the US is playing fast and loose with the monetary system and the value of the dollar. He speculates that, as the German Bundesbank has begun repatriating its gold from overseas out of storage in places like the Federal Reserve, the Fed will not be able to make delivery because it doesn’t physically possess the gold.
Perhaps this explains the Buba suddenly dropping its original 150 ton gold repatriation request from the Fed? [Read more...]
Driving down the price of gold assists the Fed in its efforts to support the dollar, and the Comex is running out of physical gold available to be delivered to those who decide to take delivery of gold instead of cash settlement.
Manipulation of the gold price is a foregone conclusion. The question is: why is the Fed tapering? The official reason is that the recovery is now strong enough not to need the stimulus. There are two problems with the official explanation. One is that the purpose of QE has always been to support the prices of the debt-related derivatives on the balance sheets of the banks too big to fail.
The liquidity that the Fed has created found its way into the stock and bond markets and into emerging economies. Curtailing the flow of liquidity crashes the markets, bringing on a new financial crisis.
The growth of US debt and money creation is causing the world to turn a jaundiced eye toward the US dollar and toward its role as world reserve currency.
The Fed knows that the ability of the US to pay its bills in its own currency is the reason it can stand its large trade imbalance and is the basis for US power. If the dollar loses the reserve currency role, the US becomes just another country with balance of payments and currency problems and an inability to sell its bonds in order to finance its budget deficits.
In other words, perhaps the Fed understands that a dollar crisis is a bigger crisis than a bank crisis and that its bailout of the banks is undermining the dollar. The question is: will the Fed let the banks go in order to save the dollar? [Read more...]
Economist Dr. Paul Craig Roberts says, “We have a situation where all the markets are rigged. All the markets are manipulated.” As an example, Dr. Roberts points to the stock market. Dr. Roberts contends, “We have a stock market at all-time highs, and where is the economy? There’s not one. There’s no recovery.”
Dr. Roberts goes on to say, “53% of Americans earn less than $30,000 per year. Well, the poverty rate for a family of four is something like $24,000. . . .
If there is no income to drive the economy and there is no credit expansion to drive the economy, then how does it go anywhere? You can’t possibly have a recovery.” [Read more...]
Former Assistant Treasury Secretary Dr. Paul Craig Roberts says, “Let’s cut to the chase. It’s got nothing to do with Syria. The reason they are looking for a fabricated excuse to attack Assad is to continue the radicalization of Muslims in the hopes this spreads into the Muslim populations of Russia and China. . . .
Washington intends to weaken the two giants it cannot run over.” Dr. Roberts goes on to warn, “I think this will lead to World War III, and that, of course, will be nuclear.” One big dilemma Dr. Roberts points out, “The issue is will any aspect of the government have any credibility if they back Obama when the rest of the world already knows he’s lying through his teeth? . . . This time the big lie didn’t work like it did in Iraq.” On the economic front, Dr. Roberts worries, “If they start abandoning the dollar, the collapse of the exchange rate will bring down the whole house of cards in the United States. The Fed will lose control. The banks will fail. Prices will rise dramatically. People will essentially not be able to pay their bills. It will be an unbelievable mess.”
What would happen to gold with a Syrian war? Dr. Roberts says, “If you get a real collapse in the dollar, gold could be $30,000 an ounce. Who knows?” Join Greg Hunter as he goes One-on-One with economist Dr. Paul Craig Roberts. [Read more...]
Former Assistant Treasury Secretary Paul Craig Roberts says, “The country is not being run by the President. It is being run by spy agencies and private interest groups, Wall Street and military security complex . . .They run the country. The President is a puppet, a figurehead.” Dr. Roberts contends, “If you are a lawless state, which the United States is, it obeys no international law. It does not obey the Geneva Convention . . . It tortures people. It doesn’t obey the Constitution. It doesn’t obey anything. It does what it wants. . . . If you are a lawless state, you disguise yourself as a democracy.” Former President Jimmy Carter agrees. Just last week, Carter said, “The U.S. has no functioning democracy at this moment.” Why hasn’t the mainstream media picked up this astounding comment from a former Democratic President? Dr. Roberts says, “Five firms now own what used to be a large dispersed independent media. Nobody can open their mouth, they’d get fired. They have become a propaganda ministry for government and corporations.” Dr. Roberts goes on to say, “My prediction or expectation is by winter, the second downturn of the Great Recession will be in place. Unemployment will explode, more foreclosures are coming. It’s going to be worse than the Great Depression.” Join Greg Hunter as he goes One-on-One with economist Dr. Paul Craig Roberts. [Read more...]
Former Assistant Treasury Secretary Dr. Paul Craig Roberts says new Trade deals with the EU and Asia are meant to backstop the dollar.
Dr. Roberts contends, “Washington is arranging that many countries have a stake in supporting the dollar. That frees them from the consequences of the printing press for now and a number of years.” It may already be working as Roberts points to the recent plight of NSA leaker Edward Snowden. He says, “Snowden tells the whole world the Americans are listening in on your every communication. You have no privacy whatsoever from the Americans and, yet, nobody will step forward and give him asylum. . . . They’d rather have American money than defend the guy who brings them the truth.” Not every country thinks the U.S. will be successful in saving the dollar. Dr. Roberts points out, “China is importing a tremendous amount of gold. They seem to not have much confidence in the longevity of American plans.” Even so, a dollar crash might be pushed back. Dr. Roberts contends, “They can put that off for a long time if these various schemes work.” And if they don’t work? Roberts says, “Well, there’s going to be a big blowup. I think there will be a big blowup anyhow.” Join Greg Hunter as he goes One-on-One with economist Dr. Paul Craig Roberts. [Read more...]
Paul Craig Roberts was Assistant Treasury Secretary in the Reagan Administration, and he warns, “America is going to crash big time.” Dr. Roberts says, “The real problem is not the fiscal cliff.” The dollar is on very thin ice. Dr. Roberts says, “They can’t stop hemorrhaging the debt, and the way they cover that is to hemorrhage the dollar.” In this real time scenario, Dr. Roberts goes on to say, “When you have debt pouring out and dollars pouring out, the dollar can’t keep its value forever. At some point, people will run away from it, and it will start abroad.” Dr. Roberts thinks there is “an impending collapse of the exchange value,” and the U.S. dollar could unexpectedly plunge in buying power. Dr. Roberts contends, “All of a sudden, people walk into Walmart, as usual, and they think they’ve walked into Neiman Marcus.” Dr. Roberts says there are no quick fixes to the bulging debt because “there’s no way to close this deficit when corporations are moving the tax base off-shore.” Join Greg Hunter as he goes One-on-One with Dr. Paul Craig Roberts. [Read more...]
In this excellent interview, American economist Paul Craig Roberts who served as Assistant Secretary of the Treasury in the Reagan Administration discusses the impact of Eurpoean austerity measures on world markets amidst ongoing riots and the fiscal and political situation in the USA, which Roberts states is the NEXT BANANA REPUBLIC. [Read more...]