World Currency and Economic Meltdown

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2008 Wendell W. Solomons

World currency andeconomic meltdownAnalysis and solutions

for a developing nation


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Economic growth in agrarian economy

based on sharecropping e.g. Andesystem


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Economic growth pattern in

commercial economy


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Booms and Busts

A commercialised economy becomes part of a

national and a gigantic circulatory system of theworld.

Links of finance and credit lead to the dominance

of banking institutions. Such networks make itpossible to deploy investment rapidly.

The Newly Industrialised Countries (NIC) of Asia canserve us as examples.

They benefited in the 1950s thanks to the transfers ofknow-how and showers of investment capital. Still, theirrapid growth came to be pruned later in 1997 by the AsianFinancial Meltdown. This was explained by MohathirMohamed as a market run caused by powerful money

men.


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You shall be wise as gods


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Powerful Money MenThe 1-sq-mile financial city of London remains a hub of capital.

That followed the year-1694-chartered Bank of England that was

set up as a private financiers union or guild.

In the aftermath of World War II, this institution was, however,

converted by a Labour government in 1946 into a public sector

Central bank.

Londons financiers reacted by shifting their weight to the privatebank union that they had set up across the Atlantic in the USA. As

former BBC journalist Greg Palast reveals in a recent book, this

wasthe best democracy that money could buy. (1) Paul Warburg

had been consignedthere with his German passport as cover in

1907. (2) Londons finance moguls used the label US FederalReserve System to disguise their union of private banks. (3). This

syndicate was granted a monopoly on the issue of the US dollar on

23rd December 1913 at a time when Congressmen were busy with

preparations to leave for home for Christmas.


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Finances and consequences

of insider-trading

The Bill of 1913 held out a guarantee that the US Treasury Secretary wouldsend a request for new dollars before the US Federal Reserve consortium

could issue banknotes.

Behind the scene, insider-trading would help. In 2008, for instance,

Treasury Secretary Henry Paulson arrived as a long-term principal of

banking house Goldman-Sachs. Previously, Robert Rubin in the ClintonAdministration, came from the same private bank.

The consequences that follow insider-trading were seen by J K Galbraith, a

Canadian-born professor who served as President John Kennedys

Economic Adviser. Born a British subject, Galbraith would have drawn

lessons from the debate on the nationalisation of the Bank of England in

1946.

To limit insider-trading President Kennedy decided to return to a Treasury

dollar supported by silver that would ultimately replace the private issue

banknote. On 4th June 1963 President Kennedy signed an edict facilitating

the US Treasury issue of a dollar backed with silver.


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Aristotle-Revolutions

are no trifles,

but spring

from trifles.

President

John F

Kennedy

Those who

make peaceful

revolution

impossible will

make violent

revolutioninevitable.


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Treasury dollarPresident

Kennedy had

equipped the

Treasury to

return with full

operationalspeed to the

practice used in

the previous

Century. An 1866

silver-backed

note of theTreasury (issued

without private

banking inter-

mediaries) is

shown here. No

pyramid is seen

on the reverse.

Six months after President Kennedy streamlined the emission of the Treasury

dollar, he was shot on 22 November 1963 in Dallas, Texas. A day afterwards,

Texan Vice-President Lyndon B Johnson, signed an order withdrawing theTreasury dollar from circulation.


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Mystery still surrounds the Kennedy shooting. Yet, this photograph taken bynewsmen remains available in public record. Jack Ruby shoots at shortrange to seal the lips of alleged assailant Lee Oswald when being moved

between jails. FBI agents were then controlled by the controversial Edgar JHoover.


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Jack Ruby (thegang name of Jacob

Rubenstein)is an unlikely sympathiser of

President Kennedy. The Stardust Casino

syndicate used him at the time to run a girlie

show following youthful years spent as a street-fighter. The contrasting next illustration shows

economist Milton Friedman. He had come

forward as advisor to Presidential-hopeful Barry

Goldwater in the election of 1964. Their attempt

at regime-change dipped when journalists

discovered that Barry Goldwater was regularly

hosted by the Flamingo Hotel in Las Vegas that

was controlled by the same Stardust Casino

syndicate.

It took Friedman another 12 years to book in as

Presidential Economics Advisor. His track metRonald Reagans through easy money capital

Las Vegas where in stage announcing for girlie

shows, sponsors picked Reagan to run for state

governor. Milton Friedman - used to

strike back ateconomist J K Galbraith


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Adjusting perception

Any notions about the backing of the US dollar with ounces of silver or

gold were removed by President Richard Nixon in 1971 ignoring FrenchPresident de Gauls apprehension.

From 1976 onwards, Milton Friedman - called a cheer leader of finance

capital - contributed his perception adjustment that would extend financiers

control. This adjustment, carried by global TV, was intended to dissolve

any community bonds and increase the vulnerability of the bankers prey,

nations of the world. Friedman produced a book entitled Free to Choose.

This was turned into a video series and piped through the family TV for

perception adjustment.

The trap Friedman used was an appeal to vanity through which social

concerns are downplayed. It encourages the forgetting of ones neighbour.

It encourages opportunism. You take a trip to heaven on the other mansshoulders.

Because my neighbour would want to travel on my shoulders and I on his,

we frustrate our purposes and productivity. Frustration and productivity

slowdowns require that nations go to globalist money lenders who charge

nations for loans.


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Perception adjustment leaves people imagining that they enjoy

the invulnerability of gods. In this myth, the other man is clumsy

and rough. That man will fall if the branch of the tree is cut.


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Side effect of the disruption of the Kennedy

Treasury dollar backed with silver


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Side effect of the disruption of the Kennedy

Treasury dollar backed with silver (2)


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Solutions 2Developing countries, and especially ones without petroleum deposits, are

highly vulnerable.

Exports Companies must enhance intra- and inter-firm cooperation to

safeguard country revenue. Visible, focal projects are vital.

In Sri Lanka, jewellers organise the annual FACETS exhibition for jointpromotion of gems to new buyers. In the Joint Apparel Forum, the Garments

industry has formed a platform for unity.

Imports - Revenue from exports, from new international sources of credit and

from resource savings are needed for imports of petroleum, wheat, rice, lentil

and other legume protein, tinned fish, milk powder, pharmaceuticals, sparesand more.

Services - Sri Lanka must have access to energy products for transport and

lighting. City services such as water purification, sewerage and garbage

disposal must be maintained.


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World Currency and Economic Meltdown

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