Tuesday, 23 December 2014

Paul Craig Roberts - US Government Most Corrupt on Earth


On the teetering economy and possible economic collapse, former Assistant Treasury Secretary Dr. Paul Craig Roberts says, “We know something serious is wrong. The only provision of Dodd-Frank that has any teeth is the provision that says if the big banks are going to be casinos and gamble on derivatives, they cannot do that in the depository institution where depositors have their accounts. They have to farm it out into subsidiaries. So, if the subsidiaries get into trouble, the subsidiaries have no access to depositor’s money. This is the only real reform part of Dodd-Frank. Citigroup got put into the recent spending bill, the repeal of this, so banks can gamble on derivatives, and taxpayers and depositors are on the hook for the losses. Why would you do that unless you had a lot of derivatives trouble. It could easily be the oil derivatives. . . . The banks can gamble all they want and they are covered by the FDIC, which has no money. . . . This gives the banks access to depositor’s money. . . . This is sick, and it shows the United States government is the most corrupt government on earth, far more corrupt than Russia or China.”



The economic friction between the US and Russia is a very serious affair. The US may be looking for a scapegoat to cover for the failure of their crooked financial system. Take note.

Related Info:

Paul Craig Roberts – Russia To Unleash Ultimate Black Swan Against The West

“Suppose the Russian government says, ‘Well, since the attack on the ruble is political and you guys are attacking the ruble and causing us so much trouble, we are just not going to pay off the next traunch of our debt that comes due early in 2015.'

Well, the European banking system would collapse because those banks are terribly undercapitalized. Some of them have loans to Russia that almost absorb the entire capital base. So the Russians don’t even have to default. They can just say, ‘We’re not going to pay this year. We will do it later. We’ll do it when the ruble stabilizes.’ (Laughter).

You can understand the impact of such a decision by the Russians on the West. And given all the linkages and the interconnections — when Lehman Brothers went down it had just about as much adverse affect on Europe as it did the United States.
http://kingworldnews.com/paul-craig-roberts-russia-unleash-ultimate-black-swan-west/
[Posted at the SpookyWeather blog, December 23rd, 2014.]

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