With more chaotic weather and severe storms being a possibility, it is good to be prepared with the knowledge of what to do in a flooding emergency. Here are a few tips and things to consider when stuck in a flood.
It's more crucial now than ever for people to consider extracting a portion of cash from their bank accounts.
- The banking system runs on liquidity
- Banks will do anything to keep it flowing -- including raiding their depositors
- The risks of a global liquidity crunch are dangerously high today
- Why extracting physical cash from the system is highly advised
If you have not yet read Part 1: In A World Of Artificial Liquidity – Cash Is King available free to all readers, please click here to read it first.It's All About Liquidity For The Banks
Liquidity is the buzz-word that central banks used to justify their policies of keeping short term rates at zero (give or take) percent and buying bonds from banks in return for giving them more of it. Central banks say their primary responsibility is to balance full employment with low inflation, but that’s just code for being able to keep the largest banks solvent in times of emergency by all means possible. This current emergency has lasted nearly seven years and counting.
Here are my laws of liquidity behavior:
The first law of liquidity – when it is most needed, it will be least available.
The second law of liquidity – the easier it is to get, the less value it holds for the recipient.
The third law of liquidity – the harder it is to find, the greater its systemic cost.
Banks gain on multiple fronts from “accommodative” monetary policy with respect to their liquidity needs. First, they can borrow money at next to nothing. Second, they can hoard that extra cash under the guise of complying with capital reserve requirements and get brownie points for passing stress tests because they are holding the cash or high quality assets bought with the cash, that central banks provided them to begin with. Third, they can sell bonds they don’t want or need at full value to central banks, and afterwards mark similar bonds at higher levels than the market would otherwise value them.
This is all shell-game finance. It is why people should be diligent about...
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In this week's Off The Cuff podcast, Chris and Charles Hugh Smith discuss:
- Queasy Markets
- Deflationary forces appear to have gained the upper hand
- Big Trouble In Not-Little China
- Suddenly, its stock and real estate markets are in violent correction
- Greece And The Future Of Europe
- Who is going to take the losses of a Grexit?
- The Path To Collapse
- Is Greece giving the rest of us a preview of what to expect?
Click to listen to a sample of this Off the Cuff Podcast or Enroll today to access the full audio and other premium content today.
- Why You Should Ignore the Grexit Panic
- Bill Holter Warns “Greece is Going to Happen Here”
- Bank closures taking their toll on businesses across Greece
- What Key Players Are Saying About the Greek Crisis
- Gold Is A Necessary Insurance Against Dysfunctional Governments
- Silver About to Turn More Volatile
- Who Will Be The Last To Crash?
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Learn how to build a water heater by using a wheelie compost bin setup and the heat generated by the creation of compost.
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- White House: No federal bailout for Puerto Rico
- Puerto Rico poses bigger threat to U.S. investors than Greece
- Spain's PM says Greek exit could send message euro is reversible
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- Brazil Posts Widest Primary Budget Deficit of the Year in May
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- Eurozone inflation eases, reviving deflation fears
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- China Rate Swap Drops Most This Quarter Since 2008 as PBOC Eases
- Canada Surprise April Contraction Opens Door to 2nd Rate Cut
- ECB Billions Can’t Save Euro-Area Bonds From Worst Quarter Ever
- Greece faces supply-chain crunch as crisis deepens
- Here’s where some Greeks are stashing their cash — in gold sovereigns
- The next Greece may be in the U.S.
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Current economic practices have led to widespread deprivation, argues economist Juliet Schor. (Huffington Post)
Article and images cross-posted from Co-operative News.
Over 300 people are producing 340 items for food co-operatives across a 15 hectares site.
Korea’s first eco-friendly organic food cluster, Gurye Natural Dream Park, produces rice, bakery products, dumplings, Korean traditional cookies, rice wine, and processed duck meat.
In the United States, top corporate execs sometimes make more in an hour than their workers can make in a year. At Mondragon, one of Spain’s largest companies, no execs can make more in an hour than their workers make in a day.
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There has been a lot of talk lately about placing the face of a notable American woman on one denomination or other of U.S. Federal Reserve note. I strongly support that effort and a number of worthy candidates have been suggested.
The big question is “Which of the present male images will be displaced?” Several people have proposed that Andrew Jackson get the axe. I have a strong opinion to the contrary, and a recent op-ed in the New York Times prompted me to express it in writing. Unfortunately, the Times chose to not publish my letter, so I offer it here below.–t.h.g.
To the editor, New York Times:
Steven Rattner’s op-ed (NYT, June 20) proposed to “Leave Hamilton Alone” and “Evict Andrew Jackson.” There are compelling reasons to argue the opposite.
Hamilton may well have been a “visionary genius” but his talents were applied largely in the service of anti-democratic and elite interests. He was an avowed monarchist and was “distrustful of ordinary people to rightly judge matters,” siding with those who urged George Washington to declare himself king. According to Thomas Jefferson, “Hamilton was, indeed, a singular character. Of acute understanding, disinterested, honest, and honorable in all private transactions, amiable in society, and duly valuing virtue in private life, yet so bewitched and perverted by the British example, as to be under thorough conviction that corruption was essential to the government of a nation.”
Many of the measures that Hamilton proposed, like those employed to encourage loyalty to, and establish and the credit of the federal government, were clearly important in making the fledgling United States better able to stand up to the European imperial powers. But his insistence on establishing a central bank, modeled after the Bank of England, was intended to establish aristocratic rule indirectly by financial means.
Andrew Jackson, on the other hand, despite his many faults, was a champion of “government by the people.” He was devout in his commitment to safeguard the Republic from corrupters and usurpers. This is best exemplified in the so-called “bank war” which pitted him against Nicholas Biddle and the Second Bank of the United States. His 1832 veto of the bill to re-charter the Second Bank saved, for a time, the American republic from an insidious scheme to swindle the American people and to take power from the elected government and hand it over to a self-serving elite who were already entrenched in Europe.
In Jackson’s Veto Message he declared his objections to the Bank which included its monopoly privilege that was to be granted “for many millions less than it is worth,” its “gratuities to foreigners and to some of our own opulent citizens,” and most of all, its establishment of a power that could rival that of the elected government and create “a bond of union among the banking establishments…, erecting them into an interest separate from that of the people.”
While Jackson’s monetary policies may not have been the best, the financial turmoil that followed the closing of the central bank can be blamed on the nefarious work of Biddle in restricting credit, and the period of “free banking” that ensued was actually of great importance in building the American economy. Even former Fed chairman Alan Greenspan has acknowledged that “The perception of the free banking era as an era of “wildcat” banking marked by financial instability and, in particular, by widespread significant losses to noteholders also turns out to be exaggerated.”
Unfortunately, Jackson’s victory was short-lived. The elite forces have, step-by-step, tightened their grip on power, arrogating to themselves, in the name free trade and national security, ever more power until democracy has become a mere charade. The present global interest-based, debt-money, central banking regime has corrupted the political process, drowned all nations and their peoples in ever-increasing debt, and all but completed the creation of a neo-feudal “new world order.”
If for nothing else, Jackson should be honored for taking a stand for democratic government and warning the people of the deceptive schemes that have been, and continue to be employed to undermine and defeat it.
Thomas H. Greco, Jr., author, The End of Money and the Future of Civilization
The multiple global bubbles in search of a pin may have found one in Greece. The carnage there is clearly accelerating, and the central planners are straining mightily to get control back.
While the odds favor them doing so, the risk is very high that they may not and that we are now in the 'descent' phase that follows the inevitable ending of the 'virtuous' phase (if we can call it that) of the money-printing experiment.
Casa Jasmina is a combination laboratory and gallery highlighting open source, Internet-of-Things innovations from Torino-area makers. (Casa Jasmina)
Photo credit: Design Thinking & Beyond
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Article cross-posted from the Anti-Media blog. Written by Claire Bernish.