by Alex Christoforou, The Duran:
I haven’t followed much Ukraine news for over a week. Lately, with the yen carry trade unwind, I’ve been focused specifically on economics. I posted videos before with Raoul Pal. While he’s insightful, he’s not entirely honest when blaming what happened on simple people, as he mentioned in the last video I posted:
TRUTH LIVES on at https://sgtreport.tv/
“Politics has gone like this because everybody’s so bloody angry. They can’t figure out who’s screwing them, and they’re blaming each other. What screwed them is that there were too many old people, and they borrowed too much money.”
This is complete nonsense, which is explained in another video also attached to this post. All of this started in 1995, during which the fight was on to help low-income earners. The U.S. government passed laws to decrease discrimination against poorer home borrowers. Banks lowered lending requirements, offering packages like reduced payments for several years.
Soon after, in 1999, the U.S. government repealed a law that stopped commercial banks from participating in investment banking activities. This law was the Glass-Steagall Act, which was ironically enacted in 1933 to stop the speculation that fueled the Great Depression. Its repeal in 1999 was a fatal mistake. From that point on, banks that had previously been conservative turned to riskier investments, all in an effort to increase their returns. Banks cared less about their customers and more about Wall Street profits. According to Nobel economics laureate Joseph Stiglitz, this move played a significant role in the financial collapse that followed.
Here’s the current situation, as well described by Raoul Pal:
7:32
“What they’re actually doing is devaluing the purchasing power of money by 8% a year, which is the increase in global liquidity. But most people don’t understand it. You have a savings account, you think you’re doing all the right things, and suddenly you still can’t buy a house, can’t buy as many shares of Tesla as you wanted, and can’t buy as much gold as you wanted. You’re like, ‘Why? I’m saving money, I’m working hard, but I can never get up the ladder.’ That’s what debasement is about.
Read More @ TheDuran.com
