John Key is on holiday. He travelled to his Hawaii pad for some much needed R&R and it’s a good thing he believes Rob Fyfe’s crap because I wouldn’t want to be holidaying in radiation rich paradise. He is resting from meeting very important people in Washington and California.
I thought I’s give you the run down on who these characters are from a perspective of someone who has been predicting the total economic collapse of the US and thus the rest of the world for the last four years and who has been reading up on the leading characters in the drama unfolding. So who has John Key been meeting:
Let’s start with Ben Bernanke!
Ben Bernanke according to his Wiki page is a gentlemen of Jewish decent and while he keeps his religion too himself (Like John Key) it is assumed that he is a practising Jew. He is an economics professor who was educated at Harvard and he has been a tenured professor until he became a member of the board of the Federal Reserve. George Bush appointed him to be the Chairman of the board of the Federal Reserve of New York in 2006 and as such has been overseeing the collapse of the US economy over the last 5 years and will be doing so for the next 9 years as the appointment if for 14 years.
Ben Bernanke has a nickname. Ben “Helicopter” Bernanke. He did not get that nickname because he is fond of flying these machines but because of a doctrine he developed and which has been called the Bernanke doctrine. According to its wiki page the doctrine consists of 7 points:
1) Increase the money supply (M1 and M2).
“The U.S. government has a technology, called a printing press, that allows it to produce as many dollars as it wishes at essentially no cost.” “Under a paper-money system, a determined government can always generate higher spending and, hence, positive inflation.”
2) Ensure liquidity makes its way into the financial system through a variety of measures.
“The U.S. government is not going to print money and distribute it willy-nilly …”although there are policies that approximate this behavior.”
3) Lower interest rates – all the way down to 0 per cent.
Bernanke observed that people have traditionally thought that, when the funds rate hits zero, the Federal Reserve will have run out of ammunition. However, by imposing yields paid by long-term Treasury Bonds,
“a central bank should always be able to generate inflation, even when the short-term nominal interest rate is zero …[this] more direct method, which I personally prefer, would be for the Fed to announce ceilings for yields on all longer-maturity Treasury debt.”
He noted that Fed had successfully engaged in “bond-price pegging” following the Second World War.
4) Control the yield on corporate bonds and other privately issued securities. Although the Federal Reserve can’t legally buy these securities (thereby determining the yields); it can, however, simulate the necessary authority by lending dollars to banks at a fixed term of 0 per cent, taking back from the banks corporate bonds as collateral.
5) Depreciate the U.S. dollar. Referring to U.S Monetary Policy in the 1930s under Franklin Roosevelt, he states that:
“This devaluation and the rapid increase in money supply … ended the U.S. deflation remarkably quickly.”
6) Execute a de facto depreciation by buying foreign currencies on a massive scale.
“The Fed has the authority to buy foreign government debt … [t]his class of assets offers huge scope for Fed operations because the quantity of foreign assets eligible for purchase by the Fed is several times the stock of U.S. government debt.”
7) Buy industries throughout the U.S. economy with “newly created money” In essence, the Federal Reserve acquires equity stakes in banks and financial institutions. In this “private-asset option,” the Treasury could issue trillions in debt and the Fed would acquire it, still using newly created money.
In essence it comes down to: “Let’s print loads of money and buy real world assets with it and the rest of the population can go and get fucked.”
He gained the name Helicopter when he quoted Milton Friedman (Who was a close friend of Don Brash) about dropping freshly printed money out of a helicopter as a perfectly sane way of fighting deflation.
He famously refused to tell Congress who he gave money too with the big bailout of 2008 and oversaw the secret handout of some $ 16 trillion US to every bank under the sun in what might be called the biggest helicopter money drop of all times and continues to help the private owners of the Federal Reserve to loot the planet on a grand scale.
Which leads me to another question I would like to ask John Key: Why did you have to meet with him and what did you discuss when you met him?