Getting Back on Track -- Creating a Legitimate Financial System

The second wave of the World Economic Depression is upon us, states Webster Tarpley. I certainly don't agree with all of Mr. Tarpley's conclusions, because he doesn't seem to think Franklin Roosevelt ever did anything wrong and he seems to despise all that was Ronald Reagan, but I listen to his articulate points of view, because much of the historical context from which he speaks are very logical and well thought out.

He has spoken thoroughly on the subjects of the current economic crises faced by Greece and Iceland. He states that what we are seeing is Hedge fund mayhem -- Hedge funds vs. World Civilization. I don't see how anyone can disagree with this, especially when we see Goldman Sach's fingerprints all over these scenarios that have unfolded.

We have seen what has happened with the ratings agencies who are supposed to tell us how worthwhile investments are supposed to be. How many times over the last few years have Moody's and Standard & Poor's told us that these Country's and Corporate interests were fine, that everything was fine, only to wake up the next morning to see a tidal wave wash over companies where they have told us that everything was just fine. Look in hindsight at the health of Bear Stearns, Lehman Brothers, Merrill Lynch, AIG, Fannie Mae, and Freddie Mac. Where were these ratings agencies? They certainly don't seem to have much more of a clue than anyone else.

First of all, the accumulation of Financial derivatives that have created the economic debacle we are in needs to be reigned in. In my opinion, no one can legitimately intimate how these financial instruments benefit society. We have seen this time bomb go off and it is impeding the creation of capital. We need to begin fully regulating all of these instruments and the hedge funds that are so heavily invested in them.

Many of these Derivative instruments are nothing more than legalized gambling. Would you want your country or society invested in a Las Vegas Roulette wheel?

There needs to be a few things done in my opinion:

1) We need to Nationalize the Federal Reserve System.

It is obvious to me that the Fed has abrogated it's responsibility in overseeing Holding Companies and Financial Institutions. Once the Fed is nationalized, then we need to inspect the various Financial Institutions to discover where fraud has been committed in dealing with the derivatives issue and then render those contracts null and void. We must clean up this derivatives system in order to restore the viability of our financial system.

2) I agree with Tarpley and others who believe in a few simple steadfast underlying financial benchmark rules:

a) No more Adjustable Rate Mortgages.
b) No more Pay Day Loans and Usary laws need to be reinstituted and enforced.
c) Full regulation of Collateralized Debt Obligations (CDOs) and outright banning of Credit Default Swaps.
d) Limit the size of banks in some manner. We need to get away from the too big too fail scenario.
e) Reinstitute some form of Glass-Stegall to insure that Holding companies are limiting risks.
f) There should be a reserve requirement that obligates a financial institution that creates an instrument to hold a certain percentage of that instrument.
g) Institutional trading should be taxed (I believe at 1%). The "Too Big to Fails" created this mess. They need to pay to clean it up.

3) When it comes to fixing the local community economies in the United States:

a) It is time to institute fair trade policies at the national level. No more "Free for All" trade.
b) Create a local stock exchange, in which inhabitants of a community can invest in local businesses for capital generation.
c) Create a Micro-Lending syndicate in which entrepreneurs can obtain small capital, short term loans.
d) Invest in local educational infrastructure by creating partnerships with local businesses to offer mentoring and scholarships.
e) A transformed investment model should take into account what impact an investment has on the community. Any investment needs to have a positive impact on what Catherine Austin Fitts terms the "Financial Eco-System" as well as yourself. If you make money, but everyone around you goes broke as a result of your investment, have you truly increased your own wealth?
f) We need to move away from trying to control symptoms of our structure of governance and finance and move towards relating the framework of the structures to modern society.
g) Don't let politicians try to buy you with you and future generations money, after all it is our money not theirs. It is time for accountability and for investments to be logical. Investments should create value.
h) It is time to get unreliable information and data out of our lives. Turn off the TV and start delving into information yourself to get a more well-rounded picture of the subject of study. Corporate media outlets have an agenda and agendas impede intellectual growth.
i) Decrease your debt. Debt comes with strings. The less debt one has, the more liberty one has. Invest in tangible non-perishable assets, such as non-perishable food and food production systems, water filtration, and methods to get off the electrical and financial grid.
j) The greatest investment that one can make is in their being - mind, body, and spirit.

Do You Believe in the Pledge of Allegiance or is it just a ritual? Why do you say it, if you don't believe what it stands for? I would certainly respect you more if you don't say it, because you don't believe in it.

Because you know what it says, "I pledge allegiance to the flag of the United States of America and to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all."

If you don't want to live in an Authoritarian-Banana Republic with Cronyism underpinning our Financial and Cultural Framework, then you better realize that we are going to have to take drastic measures, because we have gotten way off track. You need to realize that it rolls down hill. You might think, in the back of your mind, that you are a top dog and you will be alright; because you can take advantage of people on some level, but there will always be someone bigger and the time will come when they will roll right over you and not even think about it, like some don't think about the repercussions of what they are doing now.

If you want to save our republic, then we must have equal justice for all and the first step towards getting back on the right track is saving our financial system and demanding accountability from those in positions of power, from top to bottom, relating to that system.

Do you enjoy "Dog eat Dog?" Without equal justice for all, we are afforded a World of "Armageddon Rules" -- there are none!