growth on these underlying fraudulent ponzi schemes is a ponzi scheme what is not a ponzi where it where is there any c. of tranquility and this chaos well it's interesting we should say that. probably not right now but i think that we're reaching a point that there's no more elasticity so i think basically the rubber bands about to snap and i think that people are going to have to do something i read in the papers this weekend that president obama who's on the campaign trail now i'm not political i don't care if a democrat gets elected or republican i vote my conscience and i vote the right thing and i think that's what people in america and that's what people all over the world should do they should get issues that they understand and actually get real answers from the politicians for a change and make them commit to things i mean discussing things that will never happen or just making empty promises people who make empty promises or don't fulfill the promises should not be reelected and should be voted out now i think the latest. thing i heard over the weekend was the administration b

social security is a ponzi scheme but it's a good ponzi scheme well not really all ponzi schemes and in tears social security is running out of money and it will also collapse just like syria gays ponzi scheme and you mention the i.p.o. of facebook this is yet another version of a ponzi scheme called a pump and dump even the president of the united states was pumping shares while the insiders were dumping in this shameless version of who wants to be a millionaire after once being a multimillionaire but there were many people telling the population it was a ponzi scheme don't buy it it's going to zero but they still bought it because you can advertise openly now as a ponzi scheme because people i think. not only have they just given up on ever working again but they think that there's always somebody to write to the rescue these ponzi schemes collapse but ben bernanke he'll lower interest rates to negative something or somebody will bail us out and it will be ok here's the c.e.o. of morgan stanley basically spitting in the face of the i.p.o. investors calling them naive for believing

of the pyramid scheme but in the european reverse ponzi scheme or a ponzi austerity scheme it's not new money that's coming in but new debt at ever higher interest rates so it's a downward spiral of debt a ponzi debt scheme in reverse that's guaranteeing without a question on the doubt what you say is the workouts i call the whorehouse but it's inevitable through apologies game it's a negative berryman's game ever imploding debt yes absolutely look it's very simple as that it is supposed to be belt tightening that these are using the amount of money that you utilizing not to keep your system going whether your system is a household. or state now a state could never work. in there in the years and given the way that that he got picture architecture work so we didn't have a state we had what i call constant state of state because we on the one hand yes we've seen utilizing the eight year old at your belt tightening in the state of the taxpayers into. account of states but these are completely unsustainable effectively us killing all economic life within a year you're creating and majo

scheme but they're both ponzi schemes and they're both resulting in collapse and the bottom line here is i think what we're saying that regulation needs to be regulated by outsiders and not the bankers themselves these bankers at r.b.s. and other bankers they regulate themselves which means that they can point to you know a dead rat on the street and say that's a collateral for a multi hundred billion dollar loan of the something you can do about it well now the global economy is falling apart there's deflation is ravaging the globe because dead rats are not sufficient collateral to hold up the entire g.d.p. of the world let's turn to some other of the least dangerous interrogator's financial interrogators in the world so jamie diamond appeared before the house financial services committee and the headline before he appeared diamond faces harsher and crazier house crowd in second round the house hearing will take more time but won't be nearly as controlled as diamond faces more than sixty lawmakers most of whom are up for reelection in november and motivated to capture local headlines

ponzi schemes and group on another ponzi scheme were getting all public on the public i.p.o. market in america and probably trade down thirty forty fifty percent or more it despite all that information out there that these are just listed ponzi schemes run by rackets and criminals people still buy into these things is it just because it's a casino mentality they're basically addicted to gambling and they gamble all expressively. that they've begun trained by the last fifteen years of financial and credit bubbles to think that the next round in the casino is going to be the winning one for them you know the whole dot com speculative bubble in the late one nine hundred ninety s. and then the whole housing bubble which rose you know globally in the mid two thousand so everyone's looking for the next. casino table to go and make a big winner and of course maybe the casino is a rigged game and there isn't going to be any more big winnings well in a casino roulette wheel there is a chance you could make money whereas on a facebook i.p.o. the chances are zero so casino actually offe

on the euro i start with the projection and try to back out the law object but you're right it is a ponzi scheme i've heard higher numbers and sixty percent as far as how much of the treasury paper new treasury debt the fed is buying but it's really a shell game if you say that the fed is not doing q e three that it's not monetizing it's effectively doing that by making credit almost free to the banks so that they have they have to park it in treasuries and of course in europe the swap arrangement with the u.s. federal reserve makes it possible for italy or europe to have its own monetization but to have it in a currency other than the euro so it really is a big it's worse than a ponzi game it's a fraud that i should think anyone be able would be able to see through at this point right well to be honest. the total aggregate amount of u.s. purchased of its own paper exceeds one hundred percent and if you understand the collusion between itself and wall street this is why the total indebtedness keeps skyrocketing to levels that have historically never ever been achieved and this is as you p

about two billion euros in non realized losses isn't that somebody is taking the pain isn't that a ponzicheme of course yeah this is what we just kicking the can down the road here we're going to call it down the road i can understand the length of the maturities and that's kicking the can down the road but a ponzi scheme is you're creating this relationship between the e.c.b. in the satellite countries where you are you're actually engaging in a lot of massive fraud at the e.c.b. level to fund fraud on the spanish regional level in this bernie made off like ponzi scheme where you're chasing good money with bad money was good to perpetuate the illusion that this is a functioning economy. but i want to move on i want to ask another question which is something in here a lot now in the past week across the wires it says there's a dollar shortage there's a u.s. dollar shortage that there's a scramble for safe assets there's a scramble for u.s. dollars however that would imply that the world is running out of trees that the world is running out of electrons. right because how there's no sense

>> you came three years ago, the failure to detect the ponzi scheme was the giant cloud. what point do you think the sec has recovered from that? >> i think the agency responded in exemplary fashion. as you would expect any entity public or private, we took a hard look at ourselves in terms of what we could do better. the result of that wassing the enforcement division in the most significant restructuring, created specialized units, flattening management, corporation programs to get earlier better evidence of wrongdoing, created a coo function to handle in a better and more efficient matter of a lot of administrative and other tasks so the staff could spend more of their time. a lot of reforms. great deal of talent was available and came to the commission. they were repeated. from where i sit as indicated by the performance, the agency has responded extremely well. you know, done the things that it should do. which sometimes can be difficult to do. but do a gold hard assaysment of what we were doing good and what we were not doing good and making the changes. >> what wer

one hundred and then they borrow with each other they lend to each other they create this massive ponzi scheme and they have the federal reserve of as a model because and in america they've got fifteen sixteen trillion in debt in the whole entire eurozone they've got another ten trillion euros to go before they even match america so why can't that game go on so a bit longer steve all originates because they actually behave like the american central bank you might actually go to get out of this because nobody. having a pretty house right now and nobody in california is declaring bankruptcy. expected . so why the heart but that's the situation there in europe because the european central bank isn't actually a central bank is probably more like a european central disciplinary already where its role is to discipline the sites for all of the fund their activities so because that is the central bank doesn't have the deficits of the individual countries but i have to go to them awkward to do it because they specialise in all rights and now your site is saying what borrow this money from us and

is now tied to this floating of fake securities that the so this is again this ponzi scheme is continuing steve the worst of words words of words the months of bubble going to be punctured well going to puncture the product first night which is the problem here or the state can get away with it certainly sounds like you can get away with it indefinitely two decades now. that's right. they can do it indefinitely but the running a tried surplus my printer i'm never told this is a green and so on with their except in japan and i don't run out of them as i would with a try to get away with it i don't believe america can do it indefinitely because running it right tried deficit with the rest of the will and and europe has also been on the edge they would like to continue and down the road some substantial time but the reality is they're leaving the biggest can still want to unaccounted for that's a little profit and if they actually want to get rid of it what it was brought up with pencils private actually gets rid of it and then we might get rid of a millstone around the necks of the public b

mongering nincompoops at the head of this paper pyramid and ponzi scheme is the solution so you've got to have a swap of activists you can't have spain the indignados in spain and the folks in greece and the folks in portugal all these other working in isolation in a silo they're all together you know maybe i should start the love bomb i am the love bomb i'm exploding in your face with law and i say to get together with your athenian brothers and your irish sisters and come together in your pushback against the paper hatred the devil's paper. be together and embrace each other and that's the way that the wicked witch of the federal reserve system will crumble well max with that love bomb remember there was. the cozy love story between merkel and sarkozy well that's falling apart with the most terrifying words of all at d.s.p. the problem in hind this is former german finance minister peer steinbrück interviewed him build an english headline reads book sees hollande proposal affecting credit so here are the germans and the french the two biggest creditors to all these debtor nations. wh