and we've entered a new time at four thirty with a new show called the capital account that we will start on the seventeenth focused on the economy because all the protests may be going on wall street but at the center trust me decisions are made right here so please watch and have a great night. wealthy british scientists are. sometimes slightly. right that. markets find. find out what's really happening to the global economy with much stronger for a no holds barred look at the global financial headlines tune into cars report.

the sequel. bringing you the latest in some instance or religion from around the world. we've got the future covered. more news today violence is once again flared up first so these are the images the world has been seeing from the streets of canada asked such corporations to rule today.

the official g.o.p. keisha johnson called talk from the. video. on the.

on the cars report the war continues and financial war we called it we predicted it and it states are next kaiser yes this financial war is being played out in not only the propaganda being perpetrated by the mainstream financial media but also in prices that's the important thing to look at here first i want to show you a cartoon from the chattanooga times free press by clay bennett and the title the cartoonist economic trends pitchforks up eight and three quarters and torches that seven and a half yes the war plays out on the big board max this is as we've been saying on the show for many many talking about for years you need to monetize this and you need to get it higher represented as a price because it's a price propaganda so you need to price your dissent first and then get the price

higher i know you are to apply wall street people can wrap your mind around this just open your mind and think yes and one of the elements of this why pitchforks the price is going up and soaring on the big board there is as president obama had famously said to the bankers i'm the only thing that stands between you and the pitchforks but the fact is that there has been no justice no none of these big. anchors have been delivered to justice and so it ends up being pitchforks and beheading so i don't understand why in a country that's so eager to execute people down in the state of texas they they kill hundreds of people down there for trivial crimes why are they so shy about going after baggers who are committing unbelievably horrid wretched financial crimes of rape and terror surely there's a hot chair or a lethal injection or a good plea for them now let's look at how again this war thought in prices

bull's bust out in final hour dow is up three hundred seventy seven points for low and bank reversal so markets soared suddenly in the last half hour and apparently the cause according to zero heads is f t causes massive short squeeze with mother of all end of day rumors well the end of the day we were it was yet another potential bailout for europe but again it was a rumor and if you actually read past the headline on the f.t. apparently it was like well this is these are just discussions there is no real plan it's because obviously for the ninety nine percent of americans who are not directly to larceny on wall street the number that they would want to see go up is the number of jobs and the fact that you have all these millions of americans rooting for stocks to go which only benefit a few guys on wall street is absurd and it just shows you the propaganda is

brilliance that higher prices at the end of the day somehow are good for us this is an amazing triumph of propaganda in the twenty first century time prices to a pavlovian response amongst the population yeah and again it's war and this is being fought intentionally to see these are intentional moves as they have been said there was a. short squeeze so they were trying to destroy anybody that would bet against the markets yes there are professional hedge fund managers and others to take these enormous sell short sell short positions against the market they're fighting the government who's got their infinite credit capacity to hit them with buy programs and automated program trading so you've got one group of hedge fund a few hundred guys who have several trillion dollars in credit versus the federal government and there are several trillion dollars in credit the people in the

middle the ninety nine percent of the world that is not on either one of those two camps are suffering and asked to accept austerity measures that get worse every single day now i just spoke of people who short the market anonymous analytics acquiring information through unconventional means this is apparently anonymous hackers set up activist hedge fund this is fantastic because anonymous has picked up the ball you know we introduced the concept of marrying short sales and market activity with activism and boycotts you know if you google karma bank you'll find the history of this goes back to two thousand and four when back in london we have the hedge fund set up and so this is really a fantastic development for the occupy wall street campaign because it gives the occupiers some. some real firepower so you go to a gun fight with a gun you don't go to a gun club with a knife actually the f.t.

interviewed somebody from the anonymous group and they referred to the fact that occupy wall street doesn't have any real fire power and they're saying the only thing that matters is the share price and this isn't why they are creating this fund which they've published a thirty eight page report on modern agriculture which is apparently one of the biggest agriculture producers in china and so they claimed that they provided evidence of one of the home. kong exchanges largest the longest running frauds and then there were reports according to this article is prefaced with a legal listed disclaimer and unusually for an activist group states that it will profit from any collapse and shout his share price that's right i'm so proud of anonymous thank you guys for you know fighting the good fight they should contact reggie middleton and get his work done j.p. morgan go after j.p. morgan with their short sells their naked short sell softly and take that stock price down to zero profit wildly and share the goodies but imagine had they existed

and released this information about all the c.d.o. for example that for years nobody knew other than the bankers themselves who had packaged these fought fraudulent securities only they had the advantage of being able to short those securities they were creating because they knew themselves as having packaged it that they were toxic imagine if anonymous have been able to release as they've done here the inside e-mails that these people like goldman sachs we know were referring to. deals so imagine have they they released those in two thousand and five when these fraudulent securities were being packaged right while goldman sachs was shorting the products that they themselves created knowing that they were toxic and worthless a hedge fund run by a group like anonymous could have also been selling short c.d.o. and other toxic products but the profits that were generated in the anonymous out front could have been distributed to building up the occupy wall street campaign

around the world and to go to war with the wall street terrorists so they have the potential to make billions and billions of dollars in a hedge fund like this this is an untapped market and there's very little correlation the problem that's what industry right now is that everything is correlated with everything else so everyone's making the exact same bet apple computer for example is one of the biggest holdings in over one hundred eighty hedge funds they're making the exact same bet there's nobody doing something. different except now you've got a major player they should make billions and billions of dollars what they do with the profits it's obvious where the property go the indian people have been viciously attacked by coca-cola workers in colombia who were murdered by coca-cola they should be countered capitalist reverse capitalists again so anonymous will be vilified for this just as alessio responding was the five for not being too big to fail trader now look at this headline which won't get any attention and shock from the likes of fox and friends meet the texan investor who made millions from the

credit crunch and now he's betting europe will go down the drain so first he made money on the subprime mortgage crisis because he believes as the subprime market collapse that the financial crisis was being hidden by rich western governments so because of this he's now buying credit default swaps on places like greece and he'll make hundreds of thousands of dollars if greece defaults now he's attacking these countries with these credit default swaps he doesn't own their day he's just betting against them. is he vilified no no because he knows how to play the game and he pays off politicians like in the murdoch enterprise totally corrupt he he will pay off the tories and cameron and us more completely corrupt so therefore his marauding in the markets and making money by shorting stocks arkan's is considered a necessary lubricant for markets whereas the rest danny who simply is doing

something exact same thing but on a smaller scale he's like a home version of a financial terrorist he's held up as being oh my god this guy's absolutely that's a mental to our operating the economy and he should be vilified but he's just a low low plain low level punk this guy is a full fledged global financial terrorist mccarron who in gore says this type of looting but puts kids to loot a bottle of milk in jail he's been shown not to be completely deployed to this and you know let me just quickly decide that again with the anonymous so it's fun the billions and billions of profits that they make obviously if they buy physical silver with that it would jack the price up to sixty seventy eighty nine hundred dollars an ounce which of course would benefit everybody and could take down j.p. morgan because i want to bring up this this and not this texas investor is kyle bass kyle bass is the one that ended up collapsing bear stearns which was handed to j.p. morgan which was then delivered all of those shorts on the silver market so kyle

bass remember he was the one that was speaking to c.m.d. c. and told them that he started the rumor that he couldn't get the payoff on his credit default swap on bear stearns but in fact the next morning it was paid off so he's inside manipulating markets he's a financial terrorist causing human misery death and deprivation but cameron and obama are on their knees telling him he's a god that they worship and meanwhile want to expose that some low level people are doing the same thing oh my god above can we survive with those yeah if you're not taking the. banks in order to hand them to j.p. morgan for pennies on the dollar then you're the bad guy now i want to look at some more you brought up precious metals some more propaganda against the population pairs from the f.t. it's an opinion piece gold bugs beware the bubble is finally bursting this is from a professor at boston university and he says gold's recent volatility scooping

investors and destroying demand he claims even though imports to turkey up six hundred forty four percent imports to india the biggest consumer of gold in the world up many many times over so where is this guy he says pulling fabricated idea out of its bottom again its its price propaganda he is seeing a price fall commensurate with demand fall demand for gold and silver is increasing the fact that the price is not going up is because these markets are manipulated by the financial times and people support the financial times the people support a corrupt banking system that's the impeachable truth and then part of his propaganda is he's saying that if gold is falling in a weak economy imagine if it eventually moves from chaos to prosperity how bad gold will do exactly but as we said at the top of the show the price of pitchforks is going higher in the world we see around us in the occupy wall street occupy as an

occupy melbourne in the occupy los angeles and occupy the city of london you're that's the price of pitchforks justice has not been delivered so there will be no prosperity this guy just doesn't get it does of occupy wall street it's fun tells everybody in the world and all the cities who are protesting to start buying silver physical silver one ounce at a time and they themselves are buying it billions of dollars at a time due to their short sales and they could store sells of corrupt institutions like j.p. morgan and other banks and other companies that are committing financial fraud and financial terrorism the. that's all dynamic of the global market shifts away from the people getting a b. is that they then become the rulers against the class of people that are doing the abusing state sara thanks so much for being on the kaiser report thank you max don't go away my for coming away so stay right there.

you know sometimes you see a story and it seems so you think you understand it and then you glimpse something else and you hear or see some other part of it and realize everything you thought you knew you don't i'm sorry welcome to the big picture. if. i welcome back to the kaiser report i'm max keyser time out of london and speak with professor steve keen steve is the author of deep on economics which is just

been rereleased as the bone king economics to the naked emperor dethrone steve keen welcome to the kaiser report thank you max good to be here and good to be holding the line you addition to be bucking economics all right steve king you've been in europe for the past week while extreme volatility has returned again to the sovereign debt and equity markets is this a classic minsky moment type collapse action if so tell us what of linsky moment is well it's actually a mystery moment doesn't diminish the jostling is more this is more luck is the mystery millennium because this process began with the debt bubble that took fifty or sixty years to build up in america and will take something like about ten at least ten to fifteen maybe twenty years to unwind if we go through the same sort of in nine policies that politicians currently following by you know following the dos of the morons whose theories i write this book about me across the look on the mists so it's a it's

a permanent shock and that the minsky moment comes down to saying that they can do a period of extreme rational exuberance providing through the economy what minsky calls euphoric expectations leading capitalists in general but in particular ponzi scheme is punching merchants people who make money by gambling on rising asset process to take out more and more debt and get to the size of the such a level of debt laden on society that no one wants to take anymore at one point and when the debt stops growing we go from a period of growing dead boosting demand to reducing debt cutting demand and that period of day leverage ing is the beginning of a minsky moment because we've got such a huge level of private debt run up in this speculative bubble in america particularly in the last. when he is with us and really going back sixty years it could take two one or two decades for that level of debt to be driven down so that it's a miniscule any i'm right and basically what we're seeing now is the revelation that this debt field so-called growth is nothing more than an enormous ponzi scheme now

steve cain i'm going to be in ireland next month at the hilton omics best of all and i'm sharing the stage with jeffrey sachs was all the fun who's got to be considered a classic economist from academia somebody who in your book i'm sure would qualify someone to deep on what should i bring to the stage when i'm on stage jeffrey sachs your thoughts what you could ask him is what is the what does he think about what happened in russia because jeffrey sachs was a major proponent of what i call the shock therapy approach for russia that said that the way to go the transition from a socialist system to a capitalist system was to do it as quickly as possible in the belief that the market would instantly jump from wherever it was in the social system to an equilibrium of the market economy and the original plan that he pushed through was supposed to take a five hundred day period to go from socialism to free market capitalism now in fact that wasn't fos enough for them they made it one hundred fifty dies now us and

russia just recently speaking with people at the university humanities there and one of the head of the department told me that a large number of his colleagues dawud in that transition because what happened was the actual change from a socialist process to free market processes a could was set in one day i think he said it was the first of january of the second of january and so they woke up to find their wages haven't changed their process of increase by a factor of four das difference actually about that because he certainly you know he was a proponent of that he's now a chinese spots and he joined in with gone and gone in a socially progressive eccentric setter and again give him credit for that but i asked him to honestly discuss what happened. what advice did he give product transition in russia and what happened because of the transition and wanted to move to equilibrium or chaos ok so it's a free sacks in russia with his fault theories resulted in deaths people died because of his the hearings to the. orthodoxies in economics which have

been proven to be a shambolic now on wall street there's the occupy wall street protest because a lot of the bankers on wall street who are creating these financially engineered products that are based on equally faulty economic assumptions are also causing death and disease all over the world in the united states and around the world what should be the punishment for economics and wall street traders and bankers who end up visa v. their policies killing people one of my favorite cartoons is the wily cartoon and at one stage there's a cartoon with a bunch of people being dragged down you know obviously in a hill leading down towards the ultimate punishment and there's the devils sending over a lecture theatre saying the eternal economic seminar and one person and one one one because of a god it's worse than i thought i think i should listen to their own stuff interminably in

a sensory deprivation trying to. get them to pay back for the nonsense they've unleashed the crazy thing is a lot of the wall street tried as new there was scamming there's plenty of for orders are now in the finance sector and the academic economists who push this stuff out actually generally speaking believe it and actually think they're doing good and i have a little analogy that i have included in the second edition of the book from one of my old school teachers a brilliant philosopher is a turned out he does have free discussions in what was posed to be religion classes and we were discussing a particular politician back on about it saying is all seven saying is all and one of this all the students in the cross said about this quote but at least his sincere on the whole cost chimed in yeah yeah because they do you see sincere. and the teacher who normally shut off and didn't so i would pop up and say don't overwrite sincerity the most dangerous people in your post know me in your life is the is the maniacs and seal each i can go down the road with the next trying to chop your head off in the belief it will be good for you well that's kind of eventually what nicole economists have done been naive that he has caused this

crisis yeah and this is a been played out recently with the mainstream media in america covering the the wall street occupation and other campaigns going on that while the bankers are sincere in their attempts to do something and this is resulted in a huge missed match and even crypto conservatives like jon stewart can't seem to wrap their mind around the fact that they're dealing with quite an opposing force of destruction well let's move back to europe for a second your thoughts on the european financial stability fund even the proposed revised expanded and leveraged version. how's this going to save europe steve came oh is going to say goodbye bearing in on the old debt i mean you do need a government check to stimulating the economy when you go down in the private sector but this whole thing is trying to solve a debt crisis by assuring more debt disavow to be paid back you go to come back tomorrow hudson's question in this whole point it's that contrie replied won't be

replied what we need is not a bit more and more debt rescheduling zen and leverage ing of current levels of risk you would get mold at the and battle country has to pry we need to abolish that estate that should never been issued in the first place and it's the finance sector the should weigh the pie and not the ordinary person in greece or the rest of europe well yeah i mean look the the debt that was created by these economists and bankers falling corrupt theories and their own larcenous stick ends are creating the austerity measures that are causing poverty disease famine and death so they're killing people literally there's an there's an axiomatic relationship more debt equals more death you know we need something like that because we still want to fight as we were. denying that this is a long term process people still think you're going to come out of this saying you know it just because of this this package will get a cyberspace call that cyclists move back for the next term that's the same attitude they had a nine thirty one thirty two in the great depression of hope in a long time to realize hill this is serious we're stuck here and it took the

turning point in the political approach to the process and then on it which got us out of the great depression to some extent the one for sure the second world war by the major role there was a commission now is the core a commission where an absolutely rabid prosecutor went for the head of j.p. morgan and basically got him and completely crippled the political power of the bankers at that stage and set the scene for the new deal and result speeches i think what he's trying to bank is out of the palace we need a political shift like that in many ways i think that occupy wall street movement which i now see is replicated in my own country with occupy talk across sitting upon milligan and a few other psyching up around the world that public movement may be what's needed to shift the politicians and stop them being in the pockets of the bankers and put the bank has behind bars instead because if it until a few of them end up there the same behavior is going to continue yeah i'm on a mailing list with dylan ratigan matt me and others

bill black and they're all debating what the demands should be and even if they should make any demands but steve king would you say that a simple demand it be we need a new pechora commission yes absolutely we need somebody with balls running i'm built like as my office and on a national day bill did a brilliant job of deciding to lunch commission he put hundreds of people behind bars who belong there for fraudulent behavior in the siding for lunch process that was a drop in the water compared to what happened since then with the dot com bubble and then sub prime but nobody's going to jail over it now there's absolutely bucket loads of fraud in the entire system and you need somebody with the bulls to tighten on and put people behind bars of it this and start breaking down the political power. that wall street still has yet to bill black needs to get medieval and jamie diamond. all right let's spend the next minute or so talking about australia you famously have been calling for the australian real estate market top out and started decline of all your work steve came this is the one prediction that has

a lot of the others but it seems as though you're being vindicated to bring us up to date. i made that call about house prices falling forty percent over ten to fifteen years in about i think oldest of two thousand and seven and in. two thousand and seven the government brought in what i prefer to call the first time vendors boost where rather than giving the first time seven thousand australian dollars was a tip as a deposit towards the first time they gave them fourteen thousand and twenty one thousand they bought a new place in states like victoria lachlan after an extra fifteen thousand dollars so in the eyes of victoria depending on where you bought you can get a thirty five thousand dollars check from the government simply saying you've got to go and buy a house now that restock of the bottle which had started to boost at the time so i went on my diet cool house process would fall in about five percent on an annual basis from that point. the first time going to be in about one hundred billion

dollars more borrowed money was injected into the market and house process rose about on the right ten percent across the country and now that it takes off in that dimension to turn around and it's finally started turning around and of course the success of the vendor's boost was by dragging people who were going to buy in two thousand and ten and two thousand and eleven into two thousand and eight and two thousand and nine so it actually keeps itself and it's on. the end of it there are just simply a lot of many blogs out there anymore you're starting to get the flow of new demand being wished on the floor and you supply the processor to discourage people in any way so that overhang which is the pearl you to a fall in a housing market is well and truly established now and we're seeing crosses turning down in every market except apparently sydney which is still slightly positive over . on an annualized basis but certainly perth and grisman ironically but two capitals of the two major mining sites are seeing quite sort of substantial falls and crosses already and a minimum of the world is really growing right steve king that's all the time we have thanks for being on the kaiser report you're welcome i think again all right

that's going to do it for this edition of the kaiser report with me max geyser and stacy herbert i want to thank my guests pick up his new book debunking economics the new expanded version if you want to send me an e-mail please do so at kaiser reported r t t v are you until next time this is maxed out are saying well. you know sometimes you see a story and it seems so you think you understand it and then you glimpse something else you hear or see some other part of it and realize that everything you thought you knew you don't know i'm sorry is a big check.