Debt Deflation on the rise

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Michael Hudson on Bonnie Faulkner's Guns & Butter. Listen Here Guns and Butter: “Debt Deflation in Europe and America” Edited Interview by Bonnie Faulkner with Michael Hudson, September 2, 2011 (first aired on Pacifica, September 14, 2011). “Without consumption, markets are going to shrink. Companies won’t invest, stores will close, “for rent” signs will spread on the main streets and local tax revenues will fall. Companies will lay off their employees and the economy will shrink more. Why aren’t economists talking about these effects of debt deflation, which are becoming the distinguishing phenomenon of our time? They advocate giving more money to the banks, hoping that somehow everything will be okay, as if the banks would lend out the money to fund new ...

Save the Gambling Bankers

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Democracy Now interview: “if they can create a $13 trillion on a computer keyboard, taking over Fannie Mae and Freddie Mac, and the Federal Reserve can simply give this money, why can’t they, over 50 years, pay the trillion dollars for the Medicare and the Social Security? It’s—obviously, it’s a charade.”

Wall Street's Euthanasia of Industry

Michael interviewed on Guns N Butter with Bonnie Faulkner Listen here Transcription “When I was in Norway one of the Norwegian politicians sat next to me at a dinner and said, “You know, there’s one good thing that President Obama has done that we never anticipated in Europe. He’s shown the Europeans that we can never depend upon America again. There’s no president, no matter how good he sounds, no matter what he promises, we’re never again going to believe the patter talk of an American President. Mr. Obama has cured us. He has turned out to be our nightmare. Our problem is what to do about the American people that don’t realize this nightmare that they’ve ...

Greece now, US soon

Geithner says, wait a minute, American banks have made huge billion-dollar–maybe, for all we know, a trillion-dollar bet that the Greeks will repay. They’ve made derivative plays, they’ve made cross-party insurance, and American banks would lose money. Now, if there’s a choice between American banks losing $1 and Europe going into neo-feudalism for a generation, Geithner will support the $1.