©2008 Wendell W. Solomons <CityVista@gmail.


World currency and economic meltdown
Analysis and solutions for a developing nation

Economic growth in agrarian economy based on sharecropping e.g. Ande system

Economic growth pattern in commercial economy

Booms and Busts
•A commercialised economy becomes part of a national and a gigantic circulatory system of the world. •Links of finance and credit lead to the dominance of banking institutions. Such networks make it possible to deploy investment rapidly. The Newly Industrialised Countries (NIC) of Asia can serve us as examples. They benefited in the 1950’s thanks to the transfers of know-how and showers of investment capital. Still, their rapid growth came to be pruned later in 1997 by the Asian Financial Meltdown. This was explained by Mohathir Mohamed as a market run caused by powerful money men.

Вы будете как боги • You shall be wise as gods

Powerful Money Men
The 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. London’s financiers reacted by shifting their weight to the private bank union that they had set up across the Atlantic in the USA. As former BBC journalist Greg Palast reveals in a recent book, this was the best democracy that money could buy. (1) Paul Warburg had been consigned there with his German passport as cover in 1907. (2) London’s finance moguls used the label “US Federal Reserve 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.

Finances and consequences of insider-trading
The Bill of 1913 held out a guarantee that the US Treasury Secretary would send 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 Clinton Administration, 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 Kennedy’s 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.

President John F Kennedy – Those who make peaceful revolution impossible will make violent revolution inevitable.

Aristotle -Revolutions are no trifles, but spring from trifles.

President Kennedy had equipped the Treasury to return with full operational speed to the practice used in the previous Century. An 1866 silver-backed note of the Treasury (issued without private banking intermediaries) is shown here. No pyramid is seen on the reverse.

Treasury dollar…

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 the Treasury dollar from circulation.

Mystery still surrounds the Kennedy shooting. Yet, this photograph taken by newsmen remains available in public record. “Jack Ruby” shoots at short range to seal the lips of alleged assailant Lee Oswald when being moved between jails. FBI agents were then controlled by the controversial Edgar J Hoover.

“Jack Ruby” (the gang 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 streetfighter. 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 met Ronald Reagan’s 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 at economist J K Galbraith

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 French President de Gaul’s 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 one’s neighbour. It encourages opportunism. You “take a trip to heaven on the other man’s shoulders.” •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.

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.

Side effect of the disruption of the Kennedy Treasury dollar backed with silver

Side effect of the disruption of the Kennedy Treasury dollar backed with silver (2)

The danger of insider-trading has not been remedied by the national-isation of the US Federal Reserve, that is, by making it a public Central bank in line with world practice. The private galleon has slipped demo-cratically through the fingers of every administration since President Kennedy. So the cost of money piracy in the commonwealth of 300 million people spreads from the US to other nations of the world. Few institutional economists forecast this because Milton Friedman made them as wise as gods, first placing them on the branch of his tree. Not outdone for compliment, they saw Friedman without murmur to the laurels of a Nobel Prize for Economics. The world can’t expect experience from debt creator drones for tackling the currency meltdown. In 2008 Russia’s President therefore suggested the holding of a conference to stabilise currencies for international trading and the using of several currencies in international trade (as opposed to placing all eggs in one basket.). It is in living memory that thanks to state central planners and relative isolation, the USSR was affected less by the 1930’s Great Depression. President Medvedev has also moved for isolation of the Russian economy so as to reduce risks caused by the Western slowdown.

Solutions 2
Developing 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 joint promotion 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, spares and 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.

Solutions 3
General - Cooperation must be gained locally through sponsoring amity in neighbourhoods and organisations. Tensions must be defused through reconciliation by utilising community, social service, religious and where essential, police and judicial bodies. The 30-year promotion of Friedman’s model instills conceit, haughtiness, high-handedness and notions of personal invulnerability. This increases the risk of ethnic bigotry that we saw ravaging Yugoslavia, Kenya and many other nations. Action against guerilla forces must be reasoned strategy and not draw from hysterical exorcist (shamanist, sacrificial 'kapuwa') rituals as that of 25th July 1983 in Sri Lanka. Mass media must contribute responsibly to enhance community action in emergencies such as the planting of explosives in buses and trains. More, the main funding sources of the LTTE operate not through Sri Lanka but the UK. The high-handed crime of street operatives there has led the UK authorities to arrest several. Therefore, focus on reasoned antiterrorist cooperation with the UK authorities is no less important than action locally in Sri Lanka.

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