Wednesday, February 11, 2009
$550 Billion Dollar Bank Run - Collapse Of The Entire World Economy In 24 hours
On Thursday Sept 15, 2008 at roughly 11 AM The Federal Reserve noticed a tremendous draw down of money market accounts in the USA to the tune of $550 Billion dollars in a matter of an hour or two.
Within an hour, some $550 billion was electronically withdrawn from the money market accounts. The claim is that had the government not blocked further withdrawals and stared poffering guarantees, the US and World economies would have been collapsed. Maybe.
Obviously there are theories all around as to what happened, and mine is very simple.
Wall Street knew they were in trouble. The American people were no longer asking for new loans that could create new money that would be used to pay the interest on old loans. Collapse was imminent, and worse, the American people rightly blamed the financial shysters for their poverty. People were starting to sue the mortgage lenders and the mortgage-back securities fraudsters.
So the investment banks and brokerages and loan companies pulled off a scam. Working through overseas "cut-outs" they yanked $500 billion dollars to put a scare into the US Government, then turned around and warned that if the bailout was not passed, they would collapse the US economy itself and shift the blame onto the government.
This theory explains the absolute total panic we saw in Congress as they ramrodded through the first bailout despite overwhelming taxpayer opposition.
And the problem is that is this theory is correct, and the Wall Street "Bernies" are blackmailing the US Government with their own financial doomsday weapon, then the bailouts will continue, as blackmailers never stop on their own.
This may be why, even as Congress passes this most recent bailout, word is already coming from the White House that yet another trillion and a half bailout is already being planned.