find out what's really happening to the global economy with my stronger for a no holds barred look at the global financial headlines. more than a month. in one of the most extreme environments on the plumbers. and people have to be aware that they're far away from civilization. so special and attractive from the wildlife. and the sun. expedition to the bottom of the earth. he.

says. he with. oil libya is on the brink of us was a fuel crisis people on the ground complain the battle against the libyan leader is harming innocent civilians the marxist. israel is a flow of cheap gas is drying up with egypt pushing for a rethink on a key energy deal sealed under the previous regime. which prompted by allegations the. jewish state. of excessive amounts of highly toxic strong. leukemia has been detected in waters around japan's fukushima

nuclear plant scientists also warn that levels of contamination or even to higher than those recorded following. the task are free. and sticking with the fukushima disaster on the kaiser report coming your way right now max and you compare the meltdown of the power station to what's happening to the world markets this is art . i am i skies are this is the kaiser report the eco eco disaster the ecological disaster the economic disaster it's all tied together here at the end of time as we

know it stays here over max yes everybody keeps on being baffled and surprised remember we did an episode dedicated to wall street was baffled by all the economic data coming out showing things are worse than what they say it is and everybody has said it's been a financial and economic melt down well i have a new phrase for you it's melt through and i think this is what we have actually been experiencing is economic melt through well i think i'll just pick up on this for a second because remember after the initial crash of two thousand and seven two thousand and eight we have the stimulus and you also had the bailouts and then you had a bounce which was called a recovery but now even according to time magazine there was no recovery there was the beginning of what you're saying now a melt through you well were you melting through to your melting through to a place called depression has cracked well first let me set up what the analogy

refers to fukushima nuclear plant may have suffered melt through japan admits so the molten nuclear fuel in three reactors one two and three at the fukushima daiichi power plant is likely to have burned through pressure vessels not just the core according to a report japan just gave to the international atomic energy agency. so it is the first time japanese authorities have admitted the possibility that the fuel suffered melt through a more serious than ario they core melt down now let's go to the economic melt through we're seeing in the rest of the world we need an evil plan to for oil our own leaders what one second on the financial meltdown and for a second you mentioned the top go tokyo electric power company they bought off the regulators this is what happens when you let private companies do something that the government should be doing and up with this huge catastrophe and melt through

and of course they're totally silent about and so is the media so too in the financials fear you had a complete meltdown in two thousand and eight when hank paulson went to congress to get two hundred seven hundred fifty billion dollars but because the regulators on wall street are owned by wall street similarly you had an economic meltdown which is happening in real time well this is what this article here is talking about from market watch this is paul b. feral and he's talking about that we need to defend ourselves from the coming american winter and it goes with the nuclear fallout situation this is the financial nuclear winter and he talks about the top one percent had nine percent of the wealth in one thousand nine hundred ninety eight now they have twenty three point five percent he says the elite are violating the secret compact between that higher authority the leader and his people they possess their right to rule as didn't bark aside and khadafi and a revolution is ignited well it calls it the elite contract there's another word

for it going back a couple hundred years it's called a social contract as iterated by thinkers of the enlightenment and of course famously rousseau who talked about the social contract and when the social contract is broken it's imperative that the people revolt and seek a regime change i mean talking about this mel through concept you know i think about people like lloyd blankfein c.e.o. goldman sachs he's. that he's like that monster from alien you know it starts to drip through the spacecraft like lloyd blankfein is like. your assistant. and he's just destroying things because of the toxicity of the derivatives that goldman spews out of their toxic organs into the spaceship earth. i mean. and it's a disgusting display of toxic financial melt through and they don't do jack about it so the melt through in the nuclear industry happens when the container vessel is

breached in the financial and economic system we see a financial melt through of the regulations and the regulators so for example glass steagall was the container vessel for a potential financial melt down because that has been breached we see it melt through and paul be feral says that you need to have a plan he says an evil plan and evil plan to him is something that the elite won't even think of it so it's so masterful available consider it evil and you need a plan now for self defense for counter attacks for survival things are bad out there and they are going to get worst trust no one believe nothing you hear nothing right well on the containment front they've got glass to go of course put in place at the crash of twenty nine when the creation of the f.c.c. and federal deposit insurance corporation f.d.i.c the groundwork that was laid for

the boom that is the american century created by franklin delano roosevelt as a reaction to the banks or in the one nine hundred twenty s. position limits on commodity futures another containment margin limits on commodity futures another containment and all of these things the commodity futures modernization act being screwed introduced in year two thousand scrapping much of the containment these are the elements that open. up the floodgates of toxic derivative trading and the alien like exposure to the global economy from the monsters of derivatives like the blank lines in the jamie diamonds so we're going to look at one little other headline that this is also a puppy feral research firm to and this is from newsweek mad as hell the anger that fueled the arab spring is now boiling over in europe could club wielding protesters be in america's future too the answer of course is in the picture you see in this newsweek article and that is people with images of jamie dimon the head of the

c.e.o. of j.p. morgan chase the biggest bank in america one of the biggest banks and as you see they have sacks of money there that they're saying that he stole from the american taxpayer well that's right the arab spring as they call it sweeping europe will come to america i think when it comes to america it'll take the form of mass street what they call strategic default on all the under ro water mortgages that were fraudulent lee sold to americans and they still find themselves in the real estate market like in miami for example and other locations of it new lows that even despite all of the pumping up by the by the fed in the stimulus by a bomb the real estate market is still crashing and these people are underwater and as a revolt the civil unrest that we'll see in the u.s. will not take the form necessarily of people on the street i think americans are a bit savvier than this i think what they'll do is they'll stage

a multi million single day mass walk away from your mortgage this will be america's cairo moment when somebody organizes on facebook a ten million strong simultaneously simultaneous mortgage default but in the meantime we still have this coming financial melt through happening max and how it happened in tepco situation in fukushima was because the regulators and the people they were regulating were actually. one in the same so let's look at this next headline which is actually a video and this is jamie diamond hijacking ben bernanke use press conference to demand an end to regulations he says we don't need them anymore because we've passed with flying colors the two stress test done upon the banks right one by the treasury and one by the fed but then he also says this made a list of all the things have already been done and a few things are going to be done so we've already done most of it actors are gone they were through all the mortgage brokers and obviously some banks unequivocally

jamie diamond is lying through his teeth he is the number one bad actor they've got a ninety trillion dollars balance you know their j.p. morgan that they use to confiscate wealth from americans and people around the world ben bernanke if he had a spine if he had a pair he want to bitch slap jamie dimon at that conference and told him look we're the boss you're not the boss and then you also would have admitted that ben bernanke is beholden to the european central banks and that's really what's going on the reason you've got so much turmoil in the u.s. is that as obama himself said this past week the u.s. will be applying funds to help bail out greece ok how does that happen through the global banking system was ben bernanke the answers to which jamie dimon is a mere middling management one well but the important word here is actors and both of them are actors they are pretending to the american population that the fed is a regulator and somehow protecting them from the bankers the fed is

a banker they are the private bankers they are jamie diamond jamie dimon is ben bernanke you there is no difference between them so he is lying there and you know what wall street took this performance as bravo they gave it an oscar the next headline wall street loved jamie diamond speech yesterday the response is go jamie yes this is from business insider and one of the. the writer here says just yesterday we got a text from a friend at a big bank who wrote the obama administration continues to beat up on the banks not a great way to get more lending to help with job growth all of the new capital requirements and regulatory uncertainty has everyone grasping onto their cash cash equivalents such a short dated treasuries capital climbers of course being code for cocaine requirements as we reported on the show many times and you also have a situation where it's basically abbott and costello between jamie diamond and ben bernanke remember the famous who's on first routine between abbott and costello

where it's like oh i know he's playing this game it's and he says who's on first and he says i don't know who's on first because though what's on second i don't know who's a second who's up i've totally mangled that region you can look it up on you tube but it's basically two comedians doing a puppet show for a very compliant corrupted in the bag mainstream media who reports on this stuff as if it's somehow meaningful but the response to the performance by wall street was bravo because they know that they are part of this want to be elite that is going to defraud the population but let's look at this next headline a response to jamie diamond's performance in directly jim rogers long silver short g.p.m. so jim rogers was interviewed on c.m.t. c. and he says this approach in crisis that would be worse than two thousand and eight because there's been more debt more debt remember jamie dimon to ben bernanke he was saying we can't raise capital requirements because we need to introduce more debt even more debt we have we are plenty fine now we're so stable but jim rogers

is saying he's he sees something coming a worse than two thousand and eight and he's buying silver he's buying silver he's buying silver he says five times and rice to protect himself and when he's here is asked in in c. and b. c. how to fix it what should they do they should cut spending when they're draconian that matter who should cut taxes and they should cut spending to the bone we cut troops in one hundred fifty countries around the world are not doing this in the good they're making in. that's costing us a fortune there are many many other things that we're wasting money on and that should be stopped but still going to hold long jim silver laying it all out he also says in that interview states are worth any short one big american financial now over derives or speculating that it's probably j.p. morgan i would concur the easiest way to make money for your hedge fund traders out there is to short j.p. morgan go along so you're going to make a bundle of cash and soon as j.p. morgan stock price gets below silver price of their balance sheet is it will whole world one in trouble so finally he says you know that the part of the problem with

our u.s. economy and the global economy is too much war here's j.p. morgan executive tony blair tony blair says west needs wider plans for middle east former p.m.'s call for clearest approach comes with warning to dictators that they must change or be changed so he wants more wars in the middle east j.p. morgan executive tony blair and prince bandar's tony blair there are yeah i'd like to thrive you if the terrorist act most or give me more money there tony buddy. i'll give you all the money you want prince bandar because on the clip to correct. my best british accent oh it stays there and thanks so much for being on the kaiser report. don't go away much more coming your way so stay right there.

we'll. read you the latest in science and technology from the realms where. we go to the future or covered. room. welcome back to the kaiser report time now to go to washington state and speak with david morgan of silver and vaster dot com david mark and welcome back to the kaiserin for a true if you max david morgan as an exciting stuff you've just returned from utah where you took part and and historic event tell us what you were doing there what's going on in utah the house bill three seventy one what's passed in the law signed by the governor of utah i was invited to participate in the ceremonial signing this

is the first state in the several states of the u.s. to put it back in the law the ability on a voluntary basis to do transactions in gold or silver right so walk us through this little bit here david margan in other words i've got a pocket full of solar a bully and i can walk into the store and i can buy a pair of shoes and give them some or biljana as a work first of all the merchant goods selling you the shoes or whatever you want to purchase is going to say yes you accept because he voluntarily does or does not so it's going to be voluntary on both sides the law is very strict of what silver and gold it would accept and for right now bill it's in the law you can only use silver eagles or gold eagles so only core image that's minted by the federal government is accepted by this law at the current time so sort of important so what is going to take place is there is a depository. that is already set up that people can deposit their gold silver

eagles into and be issued a debit card now it makes the whole transaction process pretty transparent where you're able to walk into that merchant and you know use a debit card or similar to a debit card and buy whatever you're going to buy and it just takes the amount of protein medicine the record out of your care. so was this is implemented it should be soon from what i've been told at this meeting i think it could really you know trip you're now david morgan on the political front air it sounds as if you've got a bit of a standoff developing between the states and the federal government because the federal government and the federal reserve bank are really not for this type of conversion out of fact r.c.n. to precious metal based currency is this is part of the stand off are saying between the states and the federal government because it also applies to other political issues as well well said madge yes i do i think what you see is utah as

the ability to stand up for states' rights as outlined in the bill of rights there are certain powers that were given to the federal government of very very limited basis and the states actually have all the power beyond those limited abilities of the total government mccrystal government is you sir all kinds of power really outside the purview of the constitution you trust so say wait a minute states rights no state cell issue anything but gold and silver for payment that's the law we're implementing it we'll put it into law and see what happens what they're like to dress max you probably get to it anyway but. gresham's law you know the idea that well why would i spend it gold coin it's appreciating in value versus the do ya currency this the preachy value because of that back you know how much traction will we get in this you know this movement mark called in utah yeah

well that's a good question i've seen it raised on the blogs and people are suggesting that well this is a way for the state to hat get people to get out of their precious metal possessions and to liquidate those precious metal possessions and it's a way for the kind of the intention being the opposite of what we're suggesting here that there are some benefits and as part of a trend to move away from fat currency. but i would imagine the answer to this would be that you need to start the circulation of precious metals tranda somewhere and once it hits a certain critical mass then it takes on a life of its own and people than the benefits of having a non of having a currency that's not being the purchasing power is not being whittled away from inflation over overcomes that the perceived shortcomings of the fact that you're swapping out of fiat's for precious in the very short term you know you lose both sides what really is the pre-work it's going to make the future commission so there's somebody out there perhaps that walks over to it sooner you momentarily and

so you know i want to spend it and they do does it an example the other examples listed gresham's law clue extreme and that would be if you do a serious price quoted on one of his earlier articles he says it's just the idea that you can now start c.v. in gold and silver maybe people will start saving your nets very little but at least brings the awareness of sound money to the forefront of a lot of people who haven't thought of it before plus you've got to look at the free market maybe a lot of routes will give you a discount if you pay in silver or gold whereas if you're getting fewer you know it's a different price so i mean there's lots of ways that you can see it actually you know get a foothold and move along from there right that's a good point in other words that the merchant is very interested in and getting their hold of this appreciating asset the suppression and currency so they might be willing to offer a discount which again further incentive and in the play make in terms of savings

is a very key point savings is something that as the enver said what most people in america have come to understand to be their daily management of their finances which has been dominated by consumption and debt so here you have a the op the opposite of this which would be savings and watching our savings appreciate and value so let's say that in the state of. and in a few states around the country and maybe one or two countries around the world they say we're going to go to a cell for a standard for prayer for commerce what does this do to the above ground value of the above ground stock of silver of what's depending on who you talk to as let's say between eight hundred million and a billion ounces doesn't increase the demand and if so how does it affect the pie what happens there on the on the dynamics of supply and demand it would put great price pressure on civil war and i believe you know it's already there as you well know but put much much more on it because if you go back into history and you look

at you know what the average wage for the average person wants back in the late eighteen hundred you're looking at a dollar a day and a constitutional dollars and you can house today's u.s. super eagles one ounce i know that the constitutional dollars about seven six of an ounce or roughly three quarters of america the point is simply going to a dollar per day was a pretty good wage at one time so it just did a speed up world that might be one hundred dollars less per ounce and we're not there yet and i believe we're going to get there maybe surpass that once the real value is determined and we haven't been my strong opinion the term of the true value of silver yet you can see lots and lots of upward pressure that's why this question is was kind of important i think about because you know people once they feel that they're getting their value for an ounce or ten ounces or whatever they determine the use of the marketplace then you probably see a lot more transactions take place and broaches metals but if you believe strongly

that it's undervalued then since it's course to save it well let's talk about gresham's law for a second because it's something that bill black former regulator during the s. and l. crisis in the u.s. speaks about often as well as being one of the as. if you will behave your all economic aspect that drives markets and finance underneath underneath the surface. what of it tells you know explain gresham's law how to apply sarah what's what is the law gresham's law is commonly stated that bad money grow so it's more accurately stude bad done it grows out beautifully exchange rates by law but regardless what it really means is that if you've got gold and silver reshooting and. people make a choice and the choice new surely is that i'll spend a few yachts in de prescience art and hold on to the gold and silver so there's a good argument to be a big. you know you want this anathema in utah but there won't be

a lot of incentive for people to spend it go so it sounds almost as if you can apply the same concept that is in the fractional reserve banking system the velocity of money concept which is a say that loans become more plentiful all they more that they are recycled through the banking system you could say apply this to solver and say there's a velocity of summer concept here is that the more it's used the greater demand there is for the solver and therefore the price goes higher so actually by spending your solver you're increasing the price of the savings that you have left in your silver savings account but let's move on to our supply and demand here for a second. the c.p.m. group what's the most bullish data in the report that's just come out and the most bearish i know you track this stuff pretty clear closely over there at the morgan report one of the more bullish aspects is china the amount of demand from china underscores too for there is investment demand in china but particularly the industrial demand it's really never

a thought of the really if you go back to the summer institute's. two thousand issue the amount of story use on a per capita basis in china was once. the amount of silver used in the western hemisphere so united states and canada for example now it's about one twentieth so it's been about our for forty increase in the you. looks over used so flows laptops anything electrical in china as they build in modernize their whole infrastructure that trend continues and continues strongly so right now he's about one twentieth the amount of silver prick out or that they were using you know so many years ago and then again the trend continues so if you look at what's going on in the solar energy feel a lot of solar energy produced in china ingest industrial site in china is huge on top of that you have gold and silver availability or investment in china as well

well it doesn't take much imagination to think about one point four billion people in china certainly not every one of them is going to buy so over a less force that catch on to the mass keyser you don't buy a house situation. seriously there's a lot of pent up demand available in china and of course other places as well i see that would be one of the most bullish things under the various side what's interesting well may is that the recycling as started to increase and as i thought about it more and more it's it's very likely because there are more electronics some of them can be recycled some of them are an economic to recycle but they're mandated by governments to be recycled for example in california some of the circuit boards that are not economical to recycle still the last states that it must be so you've got a loss economically the government has stepped in so that's over mostly recycle so

the idea is that the car free going to you know very low level so over how a lot of thought be in place by digital that recycling would be a major downtrend and it has been for a few years but now starting to come back us and say that it's likely bearish that's not the most bearish they have to find a report all right well that's all. all the time we have for on this episode david margan of the mortgage report thanks as always for your contributions on the so over side of things and i would just say the other trend in the bullish trend of still intact is that your basic bottom line absolutely maris you sumo actually are no luggage and also in france are mixed remove bush you see march in your projections certainly the president goes up and down we're far far far away in the sort of market and that's going to do it for this edition of the kaiser report with me max kaiser and stacy herbert and i thank my guests david morgan of

the morgan report if want to send me an e-mail placed us at kaiser report at r t t v are you at all exxon this is max guys are saying buy off. the.