Rarely does one hear the financial terrorism of the banks distilled with such clarity into a single paragraph…

Max Keiser (begins at 17:42):  If we look at the recent history of these financial predators going back 5 or 6 years, they were making these no-income, no-asset loans–NINJA loans–to people, really in a way that was completely asymmetric, if you will, in terms of their risk. Because the banks were able to sell that risk on whereas the homeowners accepted all the risk. They got these homeowners into enormous debt. Then all the banks decided, “You know what, we’re going to go into debt, we’re gonna have a banking crisis because we inflated a huge bubble.” Then they went in and they illegally foreclosed on these properties—they stole the property from these people that they fraudulently sold the mortgages to to begin with, trading on inside information against their clients as Goldman Sachs did. Now what you’re saying is, 5 or 6 years later, after basically throwing these people out in the street, they end up buying them for all cash, with money that they get at 0% interest rate. They charge them rent on people that were living there to begin with, and now they’re in a crisis again, which will probably lead to another bailout of the hedge funds like we saw with Long Term Capital Management. Is that about it?”

Michael Hudson (nodding in agreement during the entire breakdown above): That’s EXACTLY what’s happening, Max. You’ve got it.

We’ve been ZIRPed…

About eggsistense

Writer, musician, cartoonist, human being
This entry was posted in Asset Bubble, Debt, Debt Slavery, Financial Terrorism, Foreclosure, Keiser Report, Rent-seeking, Rentier, Wages, ZIRP and tagged , , , , , , , , , , , , . Bookmark the permalink.

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