Dollar Collapse and Banking Bailout

[worldnewsbbc1]

Banking gets a big bailout because banking is the back bone of the economy. If you want to point to banking's influence on govt, then focus on the drive to deregulation which is the cause of both the S&L meltdown and the 2008 meltdown. Financial services industry was very stable until deregulation started in the 80s. There were no bailouts. because regulations prevented excessive risk taking with tax payer insured deposits.

[tj0686]

The bailout didn't help the average American at all and we are the ones paying for it. I have a better solution since the taxpayers are paying for all of this then what about a plan that REALLY helps us. Here's the plan give every American citizen over the age of eighteen $150,000 tax free (bad words in washington). That would cost roughly four billion dollars total. Most Americans would spend the money to either pay off their homes,cars,credit cards, and buy things they want. Some would save

[pigboykool]

Awesome video. You are 100% correct on exactly what happened in the crisis. I wish more people in America will watch and understand your video!

[Annafin62]

So- have you an idea, how long this is going to go on, before taxpayers just get tired? I haven´t seen figures, how much is really given to war spending, but it isn´t small amount either.

[geehuckwow]

If the rich were killed, they couldn't steal our money anymore....

[tuzmor]

You gotta love this guy! He says half truths with a very fuckable smile.

8 cuts in the video. Apparently, this guy is unable to talk longer than 40 seconds.

Fuck you very much for the stupid bullshit.

[MonsieurLeProf]

Your response has convinced me that you are on a far inferior intellectual level than the insightful commentator featured in this video.

[Itsg0inDown]

L2Bweb(dot)com WOW!!!! WHAT A GREAT SITE. THEY HELP YOU BECOME RICH THROUGH THE INTERNET. IT STILL TAKES EFFORT BUT THEY MAKE IT SO MUCH EASIER!!!!

[favorunmerited]

@Itsg0inDown I've begun giving a thumbs down to all comments that shout (all caps) and don't have anything wonderfully informative to add to the discussion. I refuse to give them a thumbs up, unless it's the best piece of information I've received in weeks.

Just thought you'd want to know. Anybody want to join me in this?

[lukkbox]

you missed something important brother

the bailout had a condition on its repayment that should the country default on the loan they could take the citizens themselves as collateral on the loan, but the interest will last in perpetuity

that means from now on, you, your children, and their children, are born in perpetual debt

to a private organisation

enslaved forever, on the queit, under the guise of being a savour, from a situation they themselves contrived

oops

[deathmarch5]

I prefer a libertarian system with limited government with the people at the controls. Not the oligarchs

[NoCryingNowYes]

Nice! I didn't know you were educated in austrian economics, lorax.

Is your ideal society a small government or none?

[trufiend138]

we have to take the federal bank back from private interests.

[8888ggggggg]

The Middle class = Slave

THe rich= Dictate

Who are You? Dumb or Smart? If you are poor then you are

dumb.

[christo930]

I'm the 10k view. YEAH!

[DJBucs2005]

I started reading "The Creature from Jekyll Island" Very good read and not hard to understand. Very good recommendation, Loren. THank you.

[deathmarch5]

watch the money masters on youtube or google its a very long series but very informative.

[brightlightbabe]

350 Billion financial bailouts and Trillions more to come holy cripes!!

[longbeachboy57]

Sound money means that if somebody wants to build a house, he may be told "No sir, there is not enough gold"

[garydonpowell]

We need to go back to Bartering and ridng horses!

[garydonpowell]

He who controls the money, controls the country!

[gn0m1k]

The taxpayers wouldn't have to pay the debt sustained by the government if they just abolished it the moment the government raises taxes, now would they?

That's not to say that the money borrowed hasn't helped to maintain our present lifestyle collectively, but the question still remains.

[fj6474]

You appear to really know what you are talking about. You want to learn some real truth, look into "Treasury Deposite Account" and your "Strawman" Ever wonder why you full name in in caps on your SS card, credit cards, ect? We need to talk. I need to get a network of more people like you.

[ZeketheSwede]

The Swedish economy is far more sound than the US economy. Despite of this, the dollar has got substantially stronger (about 35 %) against our currency in just the last two months, in the middle of a severe crisis with roots in America! This is because the dollar is still the premium currency in the world, everybody wants it, which makes a collapse unlikely.

[lorax2013]

I agree and used to be frustrated by the same thing. You may be interested to check out my video "how i found freedom" and then read that book.

[BatmanForever9]

Why will almost no one in the media explain this to people? It is so crazy. Both parties are together on this stupidity. I'm convinced that most of thhe people in congress don't understand anything about economics or business and are just going along with what the 'experts' (people with connections to the banking industry) are telling them. Good point on the owning real things. I'm telling this to everyone I know but no one will listen to me. REO Houses are cheaper than ever. Banks want out.

[gorgeousbutterfly]

but what i don't get is that the govt makes money. how can they be bankrupt why can't they make more money why make us pay for their mistakes?

[grazzhood]

poreousbutterfly

They(USA govt) print money out of nothing.. now their creditors started asking what is the value of this paper you gave us. Well b4 1971 you promised us gold, then you promised us America sound economy, now the creditors start to realize, hey you have nothing to backed up your paper with. get the picture??? The sad thing is usa GOVT BORROWED THIS MONEY FROM THE fEDERAL RESERVE WHICH IS OWNED BY INDIVIDUALS NOT AMERICAN GOVT

[SpectralEnforcer]

Actually, it isn't the Government that prints the paper money. It's the Federal Reserve. Which is, in reality, not part of the Government. The problem with printing more money is that, as more paper money is dumped into the economy the value of that money begins to drop off real fast, until finally it is worth nothing and you cannot get enough to pay for anything.

It just amounts to "supply and demand". The more of something there is, the less it will be worth since it is so common.

[Joyriser]

And while we are on the subject This "bail out" wont work and interest rates will have no effect! Its a token gesture and this bad debt is only going to get worse! its suddenly going to become good debt in this economy is it? They are really SCARED because the truth that it has all been a facade is finally out!That is the real reason for the panic as they have to admit that the rich have been doing really well but everyone else is struggling to make ends meet!!!

[Joyriser]

You are absolutely right and if you or I walked out of the door to protest I think we would be stood alone getting strange looks!Its absolutely pathetic the way some people dont question anything and stand at these election rallies like its a day out a disneyland!!!

[dlars3]

Other than that...Good video!

[dlars3]

"Only the banking industry gets bailouts"....I'm pretty sure the automobile industry has gotten a few bailouts, including one just a little while ago.

[qkholster]

He said of such a magnitude. Pay attention next time.

[dlars3]

In terms of a % of the size of the industries...I'd bet the bailouts are very similar in size

[ExplicitContent81]

Hey Lorax2013,

I'm a huge fan and appreciate the videos. I was wondering if you could give me some advice? My mom lives in San Diego and wants to buy a home. She has 100,000 to put down on a 500,000 home with a 750 fico score and she can afford the payments with her current job. My question is with the economy going the way it is and all should she buy a home right now?

Thanks for any advice you may give, she has no idea what to do or who to even ask.

[icannotthinkofone]

what i would do in her situation, is buy a house that costs 100,000 or less. therefore, if she loses her job, youll still have a house.

[rseveran]

I agree with icannotthinkofone. Loren himself bought a house with cash. No debt to the banks.

[ExplicitContent81]

yeah but you can't buy a decent home in San Diego for anything near that price. Shes thought about moving but she has a great job now and loves San Diego

[magnifysumthn]

what you should do is learn the real estate business ... find the understanding of buying homes at wholesale prices for cash.

[PeaceIsRad]

Power to the People!!!

Take your country back by educating yourself and getting the TRUTH out there!

go to zeitgeistmovie dott comm

Watch "ZEITGEIST ADDENDUM"

[He101A]

There are problems to every monetary system. The best monetary system is one backed up by real assets, like services, manufacturing capacity, resources, precious metals, etc. The gold standard has problems, and it is highly deflationary. A fiat money system like we have can work if the people who run the Central Banks are responsible. They can fix the current mess if they increase interest rates to 15-30%, but they don't because they don't want a depression.

[tombstonetom]

The problem with currency backed by gold or silver is gold and silver are highly valued commodities that we need in the market. In order to take trillions of dollars in gold and silver of the market we would artifically inflate their value and rarity.

[stovis]

Good video until the end. If you concentrate on earning money, but that money is collapsing - then yes, you do have to worry about all of this.

[rseveran]

Loren does say to hold something of value, like commodities, land, etc.

His other money videos state how to save "money" (not paper dollars) in a more thorough fashion.

[11martini]

Look, banks are freakn important. I know the executives are greedy. I hate them too. But they hold credit, and our economy can't survive without it.

The 700B does not just bail out banks. It buys our own mortgages. It prevents massive foreclosures. Essentially we buy these mortgages at a *discount*. We invest in the mortgages and their eventual bounce back.

Look, JPMorgan and Bank of America wanted to buy mortgages so bad they bought WaMu and C-wide. They are good investments.

[MillionthUsername]

"The 700B does not just bail out banks. It buys our own mortgages. It prevents massive foreclosures"

You don't understand what's going on. There's no value there. The bubble has burst. In order to re-inflate it to match nominal values they have to print an enormous amount of money. That destroys the dollar. Do you

prefer hemlock or sleeping pills?

"They are good investments."

Yeah, up is down and black is white. War is

peace, and the government is your friend.

[11martini]

No value? I didn't get the memo that houses were now worthless and no longer provide shelter. Most of these mortgages are not the subprime toxic writeoffs, many are in good condition, or would be fine after refinancing. The idea is not to inflate the values but to provide some breathing room for banks and homeowners to refinance and unclog the credit flow. Everyone involved knows the values will drop further before coming back, this plan does not prevent a recession, but prevents a depression.

[MillionthUsername]

It isn't homes that are worthless. They are talking about "mortgage backed securities". That means every piece of bad paper and all of their derivatives. They already bailed out Fannie and Freddie - holders of half the mortgages in the country. This is Wall Street garbage "securities" - leveraged paper "assets" BASED ON some underlying mortgage. No one knows how to value these things, otherwise they would sell them in the market.

No value in derivatives after a bust!

[Jacquinot1982]

agree 100%

[funkeymichaelmc]

Blah Blah Blah Blah Blah. Boring!

[nick5905]

you sir are a fool !! this was all predicted by ron Paul and others in finance,youi just thik you are very smart and perhaps you have the ability to get very good grades in all of you studies but you are still a fucking idiot!!!

[SilverWealth23]

Awesome video! You have been right on point for months now! This bail out will not fix things, the dollar will only lose more value and hyperinflation will come into play. I hope everyone is prepared!

God bless

[bubburubb]

Excellent analysis, as always.

[3rdSuspension]

You sir are a moron; EVERY SINGLE time something like this happens you Americans begin to bitch about your TAX DOLLARS - Well, to shed some light on you Idiots, YES THIS BAILOUT WILL HELP YOU AND THE FINANCIAL SECTOR! How? I don't have enough space to get my facts across you bone heads.

If this bailout wasn't an option, you can pretty much kiss the American Dollar goodbye, then you would have bigger things to worry about other than your pathetic "my tax dollar" excuse.

Americans are Pathetic

[djpoppyt]

Lol not all of us, just the majority -_- People bitch about taxes but what they don't realize is that if the government didn't collect taxes it wouldn't be able to provide the conditions we live in. (fire-police departments,direct or indirect funding for schools and hospitals)It's not really the fact that we pay taxes it is more the fact that "they" choose what to do with the money that pisses people off, even if they don't realize it.

[sec0f111]

You sound so crass and unintelligent, kind of like a "stupid American"

[3rdSuspension]

lol.. don't make me laugh idiot, I'm smarter than the avg. person.

I stand by my comments, don't know why I have so many thumbs down if I'm telling the truth.

[BanjoNaps]

Just look at Michigan 1830-1850. No time in history had a people lived such a small government, one ruled by law. The government was not allowed to issue regulation or law in the following: Land, transportation, religion, science, fire control, banking, labor, and commercial exchange. Within ten years Michigan went from a fledgling state that was bankrupt to the center of world trade. It remained their until regulations strangled it and Illinois took over, can you say Chicago? Idiot.

[3rdSuspension]

Uh, yes, yes I can. "CHICAGO"

Did that make you happy moron? Did that make your day??? C.H.I.C.A.G.O.!!

[BanjoNaps]

yes, ignorance is bliss. Even for others. Say hi to Mr. Bilderburg for me some time.

[USconstitution1789]

one tool we have as citizens of this country is our power to vote. I would suggest to all that when you get in the voting booth this year you vote the bums out, regardless of which party they are affiliated with.

[runningchance]

Are you serious? Don't make me laugh! Congress will sign the bill this week as they have been told to do and you will pay it for the rest of your life. That sounds like a good plan to me.

[danger0usknowledge]

I wonder who was in power during the S&L bailout? I think it was a guy named Bush. There was a guy named JMC up to his neck in S&L scandals & even with that it took a guy named Clinton to beat Bush who deserved to be beaten. JMC & Obama are too close. Any close election goes to the lying rug party. The RNC will manage both JMC & Sar-ah like they did with Reagan falling asleep. JMC is too old & Sar-ahhh, well she will have to edgeumacate herself taking notes outlined with magic markers.

[Ugluk1000]

Noone else gets special treatment like this because the banking sector is the only sector that thread's itself throughout the entire economy. Its just the nature of the industry, and so you would expect government to treat it different to a company that just buys, builds and sells cars.

[runningchance]

Amen, my grandfather was a wall street lender and so was my dad. We deserve preferential treatment. This nation is a bunch of cry baby whiners! We deserve so much more than the working class and you all should be glad that this bailout is going to help my family, perhaps we will show some of you mercy one day and let a few of you work as our gardners or cooks, this is called trickle down you pathetic losers.

[DJBucs2005]

Go fuck yourself, cunt.

[DJBucs2005]

Comment is directed to runningchance, not Lorax.

[runningchance]

As I write this congress will bow down to Bush and Paulson just as they always do so watch your mouth before I repo your trailer house and make you pay for it out of your taxes.

[DJBucs2005]

Yeah, you really know me, don't you, you little cunt boy. I don't live in a trailer house, you elitist snob. Go do yourself a favor and kill yourself.

[runningchance]

When our boy Johnny McCain wins by a landslide this fall he is going to give my family a even bigger tax break and guess what? You and your borderline intellectual friends will pay for this mess so do yourself a favor and learn how to beg for our crumbs. This is such a nice day, I suppose I will go sailing and start counting all the money my family will get as soon as our puppet congress passes this proposal.

[neuraxianfusion]

Superb trolling. Honestly, you've done a fine job of forcing people to realize that grenades and handguns are better than internet bitching.

[DJBucs2005]

How did that work out? That's what I thought.

[djpoppyt]

Lol rich people........money doesn't stand for good morals or intelligence it just means that you or your relatives made a killing and all the newer generations in your families are born into money. Oh and by the way you should take care of your own damn yard, and cook your own damn food. Sorry you never learned the value of a dollar, much sympathy to you.

[runningchance]

Don't all the televangelist that you peasants love so much promise you godly riches by sending them money, seems to me that it is the poor trash that worship money and in return you peons treat us as though we are Angels.

[certifiedhealthnut]

good work brother....it's all coming down soon, it is written in the stars....all the ancients including the Mayans knew it.

[biggori]

The Mayans?  They did not predict the stock market collapse, you are an idiot.

[certifiedhealthnut]

2012 and what the Mayan texts talk about are cycles of energy not predictions and the transformation of consciousness as WE know it...good luck in the coming times.

LOVE & BLESSINGS

[rseveran]

I hope that the Fed and the banks have a karma that will not just let them escape this. The news frequently talks about a "lack of regulation" -- how about regulating the Fed? Their 1% interest rates helped create the bubble.

They're going to be blaming oil speculators again very soon, as opposed to the massive inflation they have just caused.

[MagnaCartaFreedom]

Your right it does give some important lessons,dont elect Presidents who don't have 2brain cells to rub together.

[bjmccullough]

your intellect is much appreciated by me...thanks bruce

[nycole69]

Lorax...if the dollar collapses what happens to us?

[endlessmountain]

excellent video, thank you very much for the update. Best of luck to ya

[CharlestonArtist]

Lorax,

The world has had quite a number of speculative bubbles, famines, depressions, and other horrors even when and where the market was supposedly free - with the other attendant horrors of child labour, slavery, etc.

[CharlestonArtist]

Even a 'free market' as touted by its modern apologists has extraneous moral strings attached (rejecting slavery, etc), reflecting a newer moral zeitgeist which bears no relation to anarcho-capitalism or its cryptoid variants.

I quite agree with you that fractional reserve banking is a scam and a fraud, and that its masters are not only in collusion with the government, but are the government.

[CharlestonArtist]

But do you think that instead allowing a Great Depression, the likes of which the world has never seen, would be the better course than these masters shifting pretend, binary money from one account to another? (or, shall we say, simply creating new binary fake money from the ether).

We've got to think of a way to change the system beyond simply rooting for an economic holocaust, which would hurt the common people far more than the elites (barring a Robesperrean-style response).

[lorax2013]

I may do a vid in the future on various options to reform the system.

[frgtmygld]

Charleston, you are quite correct that we need to do more than root for an economic holocaust. I'm looking forward to hearing what Lorax (or you) might suggest. However, our current problem rests in a sea of bad debt, and I know of no example where debt was eliminated without someone getting hurt. Given our present circumstance I think our future will be governed by ECONOMIC LAW, and we mortals will only be able to determine who bears the brunt of the fallout and determine future remedies.

[SidneyBou]

@CharlestonArtist How would we see a Great Depression like the world has never seen with savers insurance at the banks? Didn't they close the banks and steal everyones money? Wasn't the rest of the problems caused by the federal reserve.

And of course the last question "Who pays you."

[fuzzywzhe]

@CharlestonArtist "But do you think that instead allowing a Great Depression, the likes of which the world has never seen,"

How do you feel about the dollar going to 0 and the banking system going insolvent anyhow? That's what is going to happen.

You see, the government should have been enforcing laws over the last 20 years against the banking sector, but they don't enforce any laws against the banks at all. From naked short to securities fraud - nothing is prosecuted if they do it.

[TheWarOnDebt]

I agree. The FRS is at the root of this systemic problem. Rock on!

J.

[patternsinchaos]

So the banks sit with all these repo'd homes until they collected the defaulted mortgage from the govt and then they sell the houses? How many banks are getting the house and the money for the loan?

[XxTrailofDeadxX]

Probably one of the most sound opinions about economics and politics. Thanks for the video.

[lorax2013]

A couple clarifications: I should have said the S&L bailout was around $500 billion in current dollars. (think it is cited between 100 - 200 billion in 1980s dollars).

Regarding the debate over an organized conspiracy. I just tend to think it is more of a collective unconscious "conspiracy". Not that it matters. I think the response is the same either way - protect yourself and educate others. The conspiracy debate normally just distracts from focusing on what needs to be done IMO.

[Bocbo]

So give a scenario or two of what You feel is most likely to occur worldwide over the next few months/years.

[commodore256]

We don't even have fractional reserve anymore, the US currency just gets inflated until one day the currency collapses.

[eurohim]

You're right, all these bailouts are is a transfer of wealth from the middle class (vast majority of tax payers) to the rich. I'm sure they higher ups in the companies we bail out give themselves nice big bonuses while laying off thousands. I know they did that when we bailed out the airlines.

[DividedLove]

Great video! Thanks for taking the time to break this down with an open mind, as you always do! What about when you own land and a house and have to pay property tax, which to me is like paying the government rent who actually owns your property? As we move towards a more and more socialized gov! I think that this is turning out to be more like a huge conspiracy. What about the enron info that went down with building 7 on 911?

PLEASE WATCH: FREEDOM TO FASCISM, MONEY MASTERS, RING OF POWER...

[Priorityheat]

Typical - Your right that the average guy is going to twist in the wind. Damn millionaires get the bail out and "we" get screwed. They should let Wall Street crash and use the 750 billion to pay off my mortgage directly! This is the clearest violation of a free market economy. Must be nice to print more money when to going gets tough. America needs this collapse to break the illusion that we currently live in.

[EntouchNetwork]

It's NOT just that......they were set up in an 'illusional' system in the first place with lies, manipulations, draconian smiles and a lot of 'untold storeis' with a currency which was not only wrapped around the the instiutionalized system, but totally integrated within that system...to know everythng about you and even where and when you spend your assets/ Is that not the ULTIMATE in INSANITY!

[ndclark]

I am also glad to hear more of your commentary on the current economic crisis. Thanks! I will be watching.

[OghamTheBold]

Constructive critisism - vid OK except for some classic whining (duh 'powerful people get what they want' - we'll have to remember that nugget)

That other person - 'Predicted in the Bible' - not. Now everyone thinks the Bible is some Nostradamus fiction - great job

[zupf]

You subjects of the crown are so comical. Who elected your queen again?

[freedomfighterone]

No, because the criminals who control the Federal Reserve have run up the debt on American people in the trillions of dollars. If you are an American, you should not be happy about that.

Why should taxpayers pay to bailout private banks for bad investments. That's not capitalism. If you make bad investments, no one is going to bail you out.

[scutterbear]

Enjoyed the vid as I always do and agree with you on most of it.

the only thing I disagree on is that you make it sound like the average person out there who isn't in the stock market doesn't really have anything to worry about. I disagree. What is happening right now affects ALL of us in one way or another and folks really need to start understanding that. Getting the basics such as food may become a difficulty very soon.

[DeluxeGoldTop]

Good video. ****

I agree to an extent. I just don't blame the problem the problem on the FED or banking industry as much as I do government policy changes. But we went over this already.

[freedomfighterone]

Get out of America. Why should Americans pay for this?

[faszika]

but dont own shit :/ i dont even have a bank account :o

[FartheadOgre]

sounds like anti-semitism to me! hahaha

[amdura]

Call, write, email your US Congressman and Representatives.

Do it now and tell them to stop the bailouts. If the Fed and Treasury want to provide "liquidity", then they need to give the money back to the people.

Giving money to failed financial institutions that are going to fail and leave us holding the bag, will bancrupt our country.

[bubonicnate]

good to see you makin vids lately!

[MonicaLewandowski]

I disagree with you in the sense that there is a conspiracy and the market is being manipulated for a reason. That reason being they want to bring in the NAU, the only way to do it is to get people to give up their liberties our of desperation. I wonder, is socialism so bad? I value my civil liberties and I take pride in the history of our nation, but much of what is happening has been predicted in the Bible, and so I don't know that much can be done about it. I suppose I'll keep gardening.

[BanjoNaps]

you are insane.

[Stupidprofessor]

You are insane for thinking I am insane. I mean, honestly Banjo, what is your point? You don't mind that the constitution has already been dismantled? While the American people made it a point to watch idiots on American idol rather than concern themselves with the future of their country? Or learn about how their civil liberties are at stake. I have no more freedom, technically, but I think I'll go buy some shoes. Just wait and see what happens.

[captcaveman4201]

no they are GOVERNMENT! understand this.. they are doing this to keep their power over you.

[jfcrow1]

Voice of reason in a disasterous situation.

[panam77]

thanks for posting, couldny agree with you more. The poor old taxpayer yet again gets it in the neck and the directors of these failed corporations get the million dollar handshakes... classic fiat currency manipulations. O to be beack in silver and gold!!