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The Globalization Boom and Bust Cycle

"The Anglo-American model surged with its perceived advantages over more managed enterprise economies"? "The free market, multinational led globalization of the 1990s?"

The author misses the macro trend completely. We have lived under a corporatocracy, and not in a free market, for decades. This NY Times article details the bipartisan corruption that allowed Fannie and Freddie to enjoy huge advantages over their truly private competitors: www.nytimes.com/2008/0...

Read Bernanke’s explanation of the malinvestment Congress created with Fannie and Freddie and how this collusion set the stage for today’s problems in his March 2007 speech here: www.federalreserve.gov...

Read this Barrons story to understand how they figure the taxpayer losses as a result of the current mess could end up at 2 TRILLION dollars (subscription required for most Barrons articles): online.barrons.com/art...

Congress colludes with the private bankers at the Federal Reserve, who create fiat money out of nothing and loan it to our gov't. They flood the market with money and credit, inflating the supply and driving down the value of the dollar. This is the major source of inflation. This easy credit creates prolific malinvestment and the long chain of bubbles we have endured. The profits are huge and private; the losses are much more socialized. The facts are right on the Federal Reserve website and in the NY Times and in Barrons, who called for the abolition of the Fed two weeks ago. That’s the new macro trend we need – a return to Constitutional government, with the Fed the first creature of Congress to be taken out and shot!

The NY Times article “The Nixon Recovery” of 2/4/04 admits the Fed is independent and that they print or don't print money to sway elections, causing the runaway inflation of the 70's. (link: query.nytimes.com/gst/... )

The NY Times, article, “The Education of Ben Bernanke” reiterates that the Fed manipulated that election for Nixon, creating the massive double digit inflation of the 70’s and fixing that mess by raising rates and creating the “brutal recession” that followed. We learn that idle builders (my father was a carpenter) “were so enraged that some sent him two-by-fours in the mail.” It admits the Fed is created the housing bubble by pumping easy money in an effort to stem the damage of the dot.com bubble (that they fueled with easy money). It notes the Fed “…has vast powers over the economy” with its “…control over the supply of money” and that “only the…Fed can create new money.” It notes the Fed ignored warnings (of people like Ron Paul) and “the speculative lending continued.” (link: www.nytimes.com/2008/0... )

Bernanke admits Fed caused depression in the conclusion of this 2002 Speech here on Fed Website: www.federalreserve.gov...

Bernanke admits creating money from nothing in a speech on 11/21/02 on the Fed’s website: www.federalreserve.gov.../ (4th paragraph under heading “Curing Deflation”).

This Barrons cover story blames the long chain of bubbles on the Fed: online.barrons.com/pub...

This Barrons article calls for the abolition of the Fed: online.barrons.com/art...