You Will Anyway: For those of you with better financial brains...

Monday, April 25, 2005

For those of you with better financial brains...

Mine is actually non-existent, so I don't know if this makes sense or not...

An interesting story appeared briefly a few days ago. Two men were arrested with three trillion (with a "t") in fake US Federal Reserve Negotiable Certificates, sometimes called "bearer bonds". What is interesting about the story is how the US Mainstream media pretty much ignored the whole thing.
[...]
Details of the story are sketchy. Acting on a tip, Philippine police arrested two men in the process of paying for a shipment of some iron boxes to Zurich. Upon opening the boxes, police discovered what was first reported to be Federal Reserve notes, then later corrected to "certificates", totaling three trillion dollars. The two arrested men were released on bail, warrants issued for two other men involved in the crime... and there the story ends.
[...]
[C]ounterfeit beaerer bonds headed for Zurich strongly suggest the destination was a bank.

So, what happens when three trillion shows up all at one time? At the very least, three trillion dollars worth of paper dumped into the US economy at one time would trigger a sudden inflationary spiral; the usual result of too much cash chasing too few goods and services. Three trillion dollars in bonds presented for redemption through the banks in Zurich could trigger a run on the Federal Reserve itself, as even the Federal Reserve does not keep that kind of cash or even gold reserves at hand. Since the bonds were fakes, the ultimate mastermind could care less if the "money" was lost, and anyone willing to "lose" three trillion dollars in just the right way could bring down the entire US stock market.
[...]
Three trillion in fake Federal Reserve Certificates could do huge damage to the nation, yet the mainstream media that screams "terrorism" everytime a taxicab backfires in Bahgdad has totally buried this story.
What Really Happened article

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And other words of wisdom...

It is well to remember that the entire population of the universe, with one trifling exception, is composed of others. -- John Andrew Holmes

There is no inverse relationship between freedom and security. Less of one does not lead to more of the other. People with no rights are not safe from terrorist attack. -- Molly Ivins

[War] is possibly the oldest, easily the most profitable, surely the most vicious [racket]. ... It is the only one in which the profits are reckoned in dollars and the losses in lives ... It is conducted for the benefit of the very few, at the expense of the very many. -- Major General Smedley Butler

Two things are infinite: the universe and human stupidity; and I'm not sure about the the universe. -- Albert Einstein

"The brain of our species is, as we know, made up largely of potassium, phosphorus, propaganda, and politics, with the result that how not to understand what should be clearer is becoming easier and easier for all of us." -- James Thurber

One of the fun aspects of Empire is how many ironies it creates. -- Glenn Greenwald

I had a slightly insane discussion the other day with a winger who wanted urgently for me to understand that the Haditha massacre is the kind of thing that happens in war. Whereas I was trying to point out to him that the Haditha massacre is the kind of thing that happens in war. -- Molly Ivins

Nationalism is power hunger tempered by self-deception. --George Orwell

I am supposing, or perhaps only hoping, that our future may be found in the past's fugitive moments of compassion rather than in its solid centuries of warfare. –- Howard Zinn

It is difficult to get a man to understand something when his job depends on not understanding it. --Upton Sinclair

If we're the greatest country in the world, then maybe we could have the greatest government. -- Lewis Black

A tyrant must put on the appearance of uncommon devotion to religion. Subjects are less apprehensive of illegal treatment from a ruler whom they consider god-fearing and pious. -- Aristotle

The notion that a radical is one who hates his country is naive and usually idiotic. He is, more likely, one who loves his country more than the rest of us, and is thus more disturbed than the rest of us when he sees it debauched. He is not a bad citizen turning to crime; he is a good citizen driven to despair. -- H.L. Mencken

If Tyranny and Oppression come to this land, it will be in the guise of fighting a foreign enemy. -- James Madison, 4th President of the United States

No nation builds a wall out of strength. They build it out of fear. -- Michael Flynn

They call it The American Dream because you have to be asleep to believe it. -- George Carlin

Texas justice is Texas justice. -- Victoria Nuland, US State Department spokeswoman

When you hold up your arm and swear to uphold the Constitution, you don’t say, “Except in wartime.” -- George McGovern

Sometimes I go about with pity for myself, and all the while Great Winds are carrying me across the sky. ~Ojibway saying