The Cash Crunch: The Short Version...

The New World Order...same as the Old World Order...

No, no, no Saddle,

The OWO have ruled the planet for nearly a millennia, maybe more.

The NWO sek to replace them with a much more saner system, based on enlightenment rather than spooky stories about God.

This is not theory.

The currency will eventually be released, but as you well know, in a fractional reserve banking system - this is a minimal amount - regardless of country.

There must be enough paper currency so that the transition can be hidden. This will not happen in plain sight.

Citizens must demand the change. It is the only way.

When there is little paper money to be had, but electronic currency available in unlimited amounts, this will become the de-facto medium of trade. There will temporarily be an increase on the street value of paper currency.

Slowly, those that trade in cash will be singled out by their own neighbors and government officials. Purchases made in cash (for any amount) will be suspicious and confiscation of paper currency found in concentrated amounts will become the new reality. The normal excuses of hording, drugs, or tax evasion will be used to identify a core of individuals that do not fall into line.

There will be no exchange of any kind - at least not in a "paper to paper" sense. The exchange is to be subtle and gradual.

Once the physical amount of cash in minimized for daily transactions, a methodical constriction of higher value paper will take place. Obviously, the final goal is to remove the paper from the system.

The true and final exchange will be citizens refusing to use paper due to stigma, convenience, and various new laws. They will do the work themselves. At that point, all liquid assets and debts can be modified. This level of monetary policy and power will be unprecedented - it will finally allow for the bulk of national economies to be fully managed via created inflation and deflation as necessary.

In turn, this will usher in systems of control that otherwise could not be achieved politically. Tax evasion through the black market enforcement can more easily be identified by automation. The same can be said of drugs, gambling, and firearms.

It is though this transfer away from paper to an even greater (and eventually, total) reliance on technological systems that extreme control can be achieved with a minimum amount of resources.

Automatic enforcement is the goal. It does not matter if it is a traffic ticket for running a red light or drugs. The automation and integration of these (and all other) discrete subsystems is the overriding reason for this.

A bit crude, but relatively accurate.

The supernatural always has a place in control systems, regardless of source. God, aliens, or ghosts - it does not matter. As long as it does not interfere with the real and adds to the system of control, it is to be encouraged.

agreed and here is why:

I wrote this description of the worlds biggest financial problem so people could understand "in laymens terms" why we are fucked ! I use the dollar in the description of Credit Default swaps for a basis as they could be denominated in any currency.

Understand that the dollar is the defacto “Reserve currency – Petrodollar” that the world uses to transact business. As that dollar becomes more encumbered with "leverage" it's ability to be a store of value has less conviction and faith. The "only" value that a fiat paper currency can retain "is" that conviction and faith.

So, let's look at the reason all faith will be lost in that currency at some point in the future. Since the creation of the FED in 1913 the currency (Dollar) value has been controlled through inflation/deflation. In 1944 the U.S. Dollar through the Brenton Woods agreement was granted “exclusive reserve currency status”.(that status meant that any country wanting to buy oil, food or commodities would have to buy dollars “first” and then they could go into the world market to make their purchase “on” the world market (with those reserve currency notes) also it meant that "If" any country lost faith or trust (through debasement or any other reason) in that currency they could go to "any" central bank in the world and trade that paper currency for physical Gold of equal value.
(Good as Gold) In 1971 Nixon suspended Brenton Woods and took us off the Gold Standard telling other nations that they could not "now" exchange the dollar for Gold as previously promised.

Here is the key to it's downfall:

The U.S. dollar (debt) from 1971 through around 1995 was able to be removed from a balance sheet with little implication through accounting techniques claiming (debt) as a loss and could be written off through tax levy offsets called accumulated loss carry forwards and that was the end of it.

Here (around 1995) comes Blythe Masters from JP morgan and she creates what is called a "Credit Default Swap" This is essentially an insurance policy on a default to pay back a debt or loan. So, lets say for shins and giggles Greece is lent 1 trillion dollars by another country. They promise to pay that money back at a set interest rate over time. The CDS (Credit Default Swap) enables financial institutions to purchase a put (Default insurance or a bet against the underlying asset)(loaned debt never being paid back). This would be OK if only "ONE PUT" was taken out against the chance of that debt not being paid back. The problem "of the whole planet situation right now" is that this debt can be "leveraged" by 100 "PUTS" or in laymens terms (for each dollar that was lent to Greece there are $100 betting against "each" one of the dollars, that it will default and not be paid back) So, now you have 100 Trillion Dollars leveraged against the default of a 1 Trillion dollar loan. So, now Greece cannot payback the loan (debt) triggering the CDS and now everyone that bought a "PUT" want's to get paid on their bet. The next problem is that those financial institutions that sold those "PUTS" are only required to have a 6% reserve (Money held in escrow to pay claims) So, in reality those institutions only have .06 cents per dollar to pay those claims and not the “whole” dollar "required or needed" to pay and honor those claims.

This is why all of these bailouts are created so "NO ONE" is allowed to fail "Triggering" these Credit Default Swaps. The original debt is maintained through interest payments from "newly created" debt (bailouts) because the money to pay those (Claims) does not exist.........Yet.
So, you say why can't they just unwind them.
Answer, is that you can't because everyone that purchased these "PUTS" – “CDO’s” wants’ to get paid because they are classified as an asset on "their" balance sheets.

There are 1.5 Quadrillion of "known" CDS's that have been sold. The un-known amount is still a secret. That’s 1,500 Trillion

The unwind would have to consist of a partial payment and a "loss carry forward" credit that could be written off through tax levy offsets.

I would like to add that no one has mentioned the CDS (Credit Default Swap) as a backstop to deflation. If all countries balance sheets go into default, through deflation this will be the trigger to honor the CDS and the massive wave of money that is not even printed yet will drive hyperinflation. Remember that only a 3%-6% reserve is required to sell a dollars worth of CDS coverage. So only .06 cents of that Dollar exists to pay them. Also 99.9% of these deflationists miss the problem of accumulated loss carry forwards sitting on Corporations balance sheets. With "C" corps and LLC's they are on the financial statements and the "S" corps accumulated loss carry forwards are sitting on the CEO's and ownerships K-1 tax forms. These accumulated loss carry forwards are worth over .33 on the dollar and can be purchased for a few pennies. The trade and available aquisition of these accumulated loss carry forwards will assure that big business and the financial institutions never pay taxes for decades to come. So all this talk of raising taxes to increase revenues to sell seats in the gobermant are hogwash and the "real" tax increases will fall to the poor and middle class that cannot afford to buy these accumulated loss carry forwards to offset their income and profits.

I'll give you all a hot lil tip.
2012 federal tax returns will not be given out next year.
Cause : fiscal cliff / debt limit will be given, an Iou will be issued but not for cash. Still try n to get more info .

IF i remember right did they not print up a bunch of $100 bills billions and billion of them and had some problems with them. security or what not. maybe part of the excuse for hoarding.

Yeah, this is the excuse by the Fed (Video in Link)

[link to www.newmoney.gov]

However, my source at the Dallas Fed says this excuse is complete and utter BULLSHIT, they are producing a massive amount of these notes, just not putting them into circulation...

Yet...

Excellent synopsis of events as they are unfolding. Thank you for your input on this thread, it has been enlightening...

Defintely looks like a major derivative credit event could be the trigger to all of this...

According to the FED the total currency or federal reserve notes in circulation is.

1.135 Trillion Dollars.

According to the FED the total credit market debt is currently.

55 Trillion Dollars.

Meaning that there is around a 2% fractional reserve of notes to the total debt outstanding.

Historically it's hoverd around 2 to 3% for decades now.

I haven't read all the pages in this thread so forgive me if this has already been mentioned. Apparently the new $100 FRNs are being withheld due to printing problems. They won't release these notes until the problem has been resolved.
I wonder if this could apply to the other denominations as well?
[link to www.cnbc.com]

Yeah, here is the reasoning behind the Fed holding back the last two years worth of $100 printings...

[link to www.newmoney.gov]

The kicker to this is, my source at the Dallas Fed says this excuse is complete and utter bullshit...

It appears they aren't holding back so much on releasing the other denominations of bills, it's just that almost half of the money printed over the last two years (in dollar value) are in the $100 bills they aren't releasing, and they are still pulling worn and torn $100's out of the system. This is what's leading to the cash shortage we are seeing...

I just watched the video you posted and it didn't strike me as unreasonable that the new notes would be held back due to "printing problems". However, it did strike me as VERY odd that there would be at least a six month lag between the announcement of the notes being released and the actual release date. (1:15-1:30 in the video) The reason given, that businesses will need at least six months to prepare themselves for the release, comes across as a pile of bullshit to me, especially when other denominations are released without any lag time.
Something smells.

Yeah, this is the excuse by the Fed (Video in Link)

[link to www.newmoney.gov]

However, my source at the Dallas Fed says this excuse is complete and utter BULLSHIT, they are producing a massive amount of these notes, just not putting them into circulation...

Yet...

My husband and I have both worked in publishing for decades. He is a Pre-Press Mgr and certified color specialist. Yes, sometimes things go wrong during a print job that worked fine in testing. BUT... there is a color specialist and Press Mgr (and many other press-men) standing right there correcting as they go. Paper jams or wrinkles, you re-set. Ink gets used up sheet-by-sheet being printed, so they constantly color-test and re-set.

There's NO such thing as printing 1.1 billion notes, and not catching it, immediately. lies.

The Fed's justification for not distributing the bills is bogus to anyone in the printing industry. You don't screw up that badly for that long and no one catch it. It's called "stop loss" and cuts into profit.

But... considering that they Print the $$ they probably aren't worried about "stop loss" Wasting $$. so maybe the idiots really did print and waste that much.

Thanks for the website link, but it was oddly robotic in its delivery. wrong inflections. but good to know what the 'official' BS is.

That the Fed put out these two bits of info stood out to me:

First, they say they will give businesses six months preparation time before releasing the "new notes." If a $10 is still $10 and $100 still $100 then who needs 6 months' warning? Does that hint toward major change to deal with.

Second thing is when Michael Lambert, Deputy Associate Director said, "...While we understand that there's not likely to be a silver bullet in this particular case..."

Think he's just speaking off the cuff, or from something that was pre-written for a public statement?

This is why GLP is known to be home to such complete idiots - has it occurred to you that the treasury, unlike people who are PRINTING BOOKS, is actually quite different? Its not the "printing industry" they don't print it like they are printing books. The insane stupidity of "I worked in the for profit printing industry, therefore I can call BS on money printing which is completely different" is laughable.

It takes a criminal genius to build a systems like this. First, in the great depression you soak everyone who turns in their one ounce gold eagles for a $20 sawbuck for a one time forty percent hit when they revalue the gold at $34 dollars per ounce, but you tell them, don't worry, your paper is still backed by gold.

Then in 1972 Nixon takes the dollar off of the gold standard, but maintains the supremecy of the currency through the Petro-Dollar system. Meanwhile, a few years later we move from deflation prior to the removal of the gold standard, to double digit inflation after the removal of the gold standard. Soaking the people for even more of their money...

Now you tell people they're going to have to turn in their fiat currency for a commodity backed currency, and that they'll have to pay (a guess here) two hundred dollars of the old fiat currency for one hundred dollars of the new basket of commodities based currency...

Or, they'll just cut the amount in your bank account in half, meanwhile, the commodities (that they own physically) will double in value...soaking the people once again...

This is Keynesianism refined to a criminal art form...

so what will happen to the money people owe, such as debts and mortgage? If someone borrowed a million old dollar to buy a house, does he owe 1 mil new dollar or half?