Business

Top U.K. Economist: Governments are Trying to ‘Rig’ the Financial System

Stephen King (not the author) is HSBC’s group chief economist and the Bank’s global head of economics and asset allocation research. In other words, he knows what he’s talking about. And right now he’s talking about financial repression. What is it and why should you know about it? He explains:

Financial repression is a situation where the government jumps to the front of the credit queue to make sure it can fund itself very, very easily often at very low interest rates … and it does so because they’re in a situation where the government perhaps has too much debt. And so therefore, trying to effectively rig the financial system to allow it to borrow more easily at the expense of others is a very neat way of trying to deal and live with these very high levels of government debt.

Business Insider sums up his argument:

“In other words, with the governments of big Western nations running up so much debt, they’re resorting to various tricks to keep funding themselves — tricks like QE and so on, which hurt savers, etc.”

King especially sees this in the western world, where financial repression is becoming one way of dealing with high debt. According to him, the issue is no longer how you reduce government debt, but “how you live with it.”

Watch his interview below:

Comments (46)

  • Individualism
    Posted on April 28, 2012 at 9:19pm

    Who is the goverment controlled by corporations and big bankers, find out which ones and those are your targets for boycott to collapse and destroy them.

    Report Post » Individualism  
  • whick1
    Posted on April 26, 2012 at 11:51am

    It was all foretold a very long time ago.Read your bible. When Satin kills you for refusing to worship him and take his credit card under your skin,he is doing you a favor. Praise GOD,and remain steadfast,your reward will last forever.

    Report Post »  
  • mrsuperpat
    Posted on April 25, 2012 at 10:58pm

    And Romney has no problem with this Keynesian Central Planning. He sees no need to audit the fed or cut spending in a meaningful way. Doesn’t matter it will all come crashing down and thats when this massive government will put the boot on your neck. You guys were right, Ron Paul is a kook for wanting to address any of the real problems.

    Report Post »  
  • LT-prep
    Posted on April 25, 2012 at 11:31am

    When the ballot box fails, the “Arsenal of the People” must be opened – this is simply unavoidable, natural law. If the government manages to supress that, then we will see another world war.
    The radical violence (under cover of racial motivations) we are presently seeing is our Kristalnacht. http://en.wikipedia.org/wiki/Krystalnacht

    In Nazi Germany,The SA (unions) and civilians killed Jews and destroyed their homes, businesses, and Synagogues – the government looked on and did nothing to stop the violence. In fact, they rounded up and incarcerated over 30,000 Jews in concentration camps… the beginning of the “final solution”. Yes, the first camps were already built and ready for prisioners.

    This should sound familiar – FEMA/DHS has the American Concentration Camps ready for prisioners now. We have the Patriot Act, NDAA, and National Defense Resource Preparedness E/O in place to cast the color of law over the pogrom to come, and the rounding up of civilains who disgree with the government.

    WE HAVE BEEN WARNED – IT CAN HAPPEN HERE. IF WE ALLOW FASCISM TO TAKE HOLD HERE IN THE USA, OUR OUTCOME WILL BE FAR WORSE THAN NAZI GERMANY’S, AND IT WILL TAKE MANY GENERATIONS TO RECOVER FROM IT…

    Report Post »  
    • lukerw
      Posted on April 25, 2012 at 12:19pm

      Once a people have Freedom… and loose it… they never Recover it!

      Report Post » lukerw  
    • Deb C
      Posted on April 25, 2012 at 9:58pm

      Did Bernanke look scared today ? Where’s Tonya Reiman when you need her ??

      Report Post » Deb C  
  • G-WHIZ
    Posted on April 25, 2012 at 11:12am

    They ARE governments…soooo, this is news??????????????????????

    Report Post »  
  • ChiefGeorge
    Posted on April 25, 2012 at 11:08am

    The world is spiraling ever closer to a one world government. The EU is the revived roman empire, they are miry clay and iron. Which will not mix together. They have the strength of some iron but the empire is brittle…why, well its because the seed of men will not cleave together…this is the races! Nationhood is what God gave us, Satan gives us the idea of empire and world domination. One nation under God will defeat Satanic forces arrayed against it, that nation is the tiny Nation (not state) of Israel. They will stand alone in a see of hatred and evil set upon it to remove it and make it a nation no more…they will be defeated. God exalted!

    Report Post » ChiefGeorge  
  • Razlord
    Posted on April 25, 2012 at 10:52am

    IRS To Confiscate Guns At Will!
    A new bill set to pass Congress would give the IRS the unconstitutional power to take guns from law abiding Americans for any reason without trial.
    http://www.infowars.com/irs-to-confiscate-guns-at-will/

    De…ath Loving Sociop…athic Professor Calls for Global ‘Gen…ocide’ to Save Earth
    http://www.youtube.com/watch?v=m7oYXYrlj3U&context=C45f8cdcADvjVQa1PpcFONVZw42gR96-VO-rT2lHF4SfAr4QRm6AM=

    Report Post »  
    • G-WHIZ
      Posted on April 25, 2012 at 11:18am

      UNIONS, TheBlkPanters, OWS, IRS= all parts of the private-army “the same size,the same strengh,the same paid as our armed-forces…”.

      Report Post »  
    • lukerw
      Posted on April 25, 2012 at 1:02pm

      OH, Crap… A List of people that are Pro 2nd Amendment… to be Targeted by the IRS extra-judicial System… to Ban Sales, Confiscate personal Weapons, and Void Licenses!

      Sneaky Bastards!

      Report Post » lukerw  
    • TheSitRep
      Posted on April 25, 2012 at 2:08pm

      G-Whiz, you are spot on as the limeys’ say.
      And the world as we know it will change drastically in several stages produce by several orchestrated events before the end of the year.
      Obama is the puppet master of.
      Public sector unions ( cops)
      IRS, FEMA and Home land security.
      OWS via Van Jones
      The media ( all commie pawns)
      the education system K thru PhD
      The NBPP

      Gird your loins.

      Report Post » TheSitRep  
  • Sue Dohnim
    Posted on April 25, 2012 at 10:19am

    Ah yes financial repression…
    a scheme to reduce Government debt by stealing from savers and producers… and giving to debtors through devalued debt obligations.

    Artificially suppress interest rates..
    Create inflation far above those rates while understating official inflation.
    Currency is devalued.
    This creates negative real rates which over time can decimate wealth held in money or bonds.

    Keynes was a Fabian Socialist and Keynesian Economists are all Central Planning Socialists aka Krugman, the actions and operations of the FED are Socialist and redistribution of wealth from SAVERS/PRODUCERS to DEBTORS, the price of money is controlled by small group, NOT BY THE MARKET.

    So, financial repression is a massive wealth redistribution scheme managed by the FED to steal from responsible savers to support irresponsible debtors…

    Very short free online book KEYNES..(A fabian Socialist) Economic deception by the Left..
    http://www.keynesatharvard.org/book/index.html

    Simple video Economic Repression
    http://www.youtube.com/watch?v=YfsjuRRLdxk

    Report Post » Sue Dohnim  
    • Razlord
      Posted on April 25, 2012 at 10:49am

      nice thanks.

      Report Post »  
    • The_Cabrito_Goat
      Posted on April 25, 2012 at 12:50pm

      Very cool, I’mma book mark this. Those reading this should consider it as well!

      Report Post » The_Cabrito_Goat  
    • justangry
      Posted on April 25, 2012 at 1:44pm

      So anyone supporting Keynesian economics is essentially supporting the Fabian Socialist movement? GB must have skipped that chapter. He skipped a lot on the progressive movement as well. Social Conservatives still don’t realize the justification for feds to police vice stems from the same justification used by the Supremes at the start of the progressive era. Thanks for doing your homework. I actually feel like a learned a little something today. Beck opened a can of worms he can’t put the lid back on, didn’t he. lol.

      Report Post » justangry  
    • Sue Dohnim
      Posted on April 25, 2012 at 1:45pm

      Yes, IMO, it is the missing piece of the puzzle and explains the (Fabian Socialist/Leftist) subversion of the individual through the imposition of a Centrally Planned Monetary authority and its enabling of the massive state expansion through Debt/Money creation.

      Keynesianism is a Socialist mechanism to Legitimize Statism. for the economic, political, intellectual elites.

      I wish GLENN BECK would read this… everyone should

      http://www.keynesatharvard.org/book/index.html

      Report Post » Sue Dohnim  
    • Sue Dohnim
      Posted on April 25, 2012 at 2:27pm

      @jUSTANGRY

      Fabian Socialism is just “elitism”, a group or coalition controlling, shaping and extorting productivity from the masses.

      So, those that support Modern Keynesianism are undermining individual Liberty and promoting “ELITISM”. This is what is so frustrating that many Republican leaders embrace Keynesianism while all Democrats do.

      Report Post » Sue Dohnim  
    • justangry
      Posted on April 25, 2012 at 2:52pm

      I’ve heard the arguments between Keynesian vs. Austrian economics, and have a simple understanding, but never had anyone tie that school of thought to the Fabian Socialists. Pretty spooky stuff. Makes the loss of our constitutional rights even more important.

      Report Post » justangry  
    • Sue Dohnim
      Posted on April 25, 2012 at 4:41pm

      Fascinated video Hayek on Keynes,,

      He claims that Keynesianism was promoted by Keynes students after his death and that Keynes would have not accepted what is now considered Keynesianism, he was willing to change his views. But, Socialists, use or co-opted Keynesianism to promote “collectivism” and the State empowerment to advance their ideology, unfortunately at the expense of individual liberty. So, today, we have “collectivism” legitimized in bad economic theories promoted and persistently advanced by ideologues who did not develop it and will not challenge it.

      http://www.youtube.com/watch?v=l5DQLQzavuU

      Report Post » Sue Dohnim  
  • breakobamanow
    Posted on April 25, 2012 at 9:49am

    Follow the money and you will be shocked at the overall plan. Most people know and have known about this for a long time. Governments are compliant because their elite existance depends on it. Those of us at the bottom are being manupliated and decieved. You can make the choice to opt out!

    http://www.thrivemovement.com/the_problem-follow_the_money

    Report Post »  
  • perry1980
    Posted on April 25, 2012 at 9:36am

    Of course they are trying to “rig” it so that they can continue to Control You and I.

    Report Post »  
  • Mandors
    Posted on April 25, 2012 at 9:36am

    And Keynes is laughing in his grave.

    Report Post » Mandors  
  • HKS
    Posted on April 25, 2012 at 9:13am

    Gold.

    Report Post » HKS  
  • Razorhunters
    Posted on April 25, 2012 at 8:49am

    Ron Paul Winning: MSM Decides its Safe to Announce Delegate Wins
    Now three people have won Iowa during this primary season. Last night, Ron Paul’s delegate finagling strategy paid off as he guaranteed himself at least half of the delegates in Iowa and Minnesota.

    Report Post » Razorhunters  
  • NOTALOTTAYITTAYADDA
    Posted on April 25, 2012 at 8:49am

    People know this, and protest. But the MSM demonizes those who try to point these facts out, like OWS, G8 protesters, or even T-party. Look how any large group of people calling for change get attention like “kill the SOB” or they are racist. Blaze even beats the same drum.

    Report Post »  
  • HaroldHeard
    Posted on April 25, 2012 at 8:47am

    Glad to have the confirmation, from yet another source. My plans have not changed course I continue down the path of “no debt” and saving up on “stuff”, you know like Gold, Silver, Food and Lead. I guess you could say I like the commodities market instead.

    Report Post » HaroldHeard  
  • Razorhunters
    Posted on April 25, 2012 at 8:46am

    CISPA Amendment Allows DHS to Intercept Tax Returns
    http://www.infowars.com/cispa-amendment-allows-dhs-to-intercept-tax-returns/
    Paul Joseph Watson
    Infowars.com
    Wednesday, April 25, 2012

    An amendment introduced to the controversial CISPA bill by perennial big government advocate Rep. Sheila Jackson Lee would empower the Department of Homeland Security to intercept online IRS tax returns and any other Internet traffic deemed to transit networks owned by the federal government or operated on its behalf.

    “Jackson Lee’s amendment (PDF) is broad enough to sweep in government contractors and university networks such as Internet2 and CENIC, said a telecommunications attorney who did not want to be identified because of client sensitivity. It also appears to cover open Wi-Fi networks run by federal agencies and networks in government-provided housing,” reports CNet’s Declan McCullagh.

    Report Post » Razorhunters  
    • Walkabout
      Posted on April 25, 2012 at 9:26am

      I have not seen or heard one black female Democrat Representative that wasn’t a crackpot.

      There is nothing wrong with the black brain. There is a lot wrong with the black brain coded with leftist idealogy. It wrecks black intellect just as thorou8ghly as it does with whites.

      Report Post »  
    • Razlord
      Posted on April 25, 2012 at 10:55am

      have to agree…
      all out of their minds

      Report Post »  
  • grandmaof5
    Posted on April 25, 2012 at 8:30am

    If he had been listening to Glenn for the past few years he would have known that sooner and, perhaps, avoided the looming crisis. I hope he sounds the alert long and loudly, and that others will listen, and it won’t be too late. Perhaps give away some GBTV memberships to various leaders (the ones who might listen) around the world.

    Report Post »  
    • Snowleopard {gallery of cat folks}
      Posted on April 25, 2012 at 8:39am

      Indeed, we have known this for some time. Wonder how many others will be waking up just as the collapse commences from Europe to the world?

      Morning to you Grandmaof5.

      Report Post » Snowleopard {gallery of cat folks}  
  • Gonzo
    Posted on April 25, 2012 at 8:27am

    This Stephen King doesn’t peddle fiction.

    Report Post » Gonzo  
  • Popp40
    Posted on April 25, 2012 at 8:24am

    When are we going to hold those in power truly responsible for this accountable? When are we going to serve them with the proper justice they deserve, instead of giving them them a pay increase and more power?

    Report Post »  
    • kaydeebeau
      Posted on April 25, 2012 at 8:49am

      November…..

      Report Post » kaydeebeau  
    • Popp40
      Posted on April 25, 2012 at 10:13am

      Honestly….will we even make it to November? What as things start picking up in speed, the Left have been putting this plan together for over 100 years, do you not think that they aren’t going to do all they can to turn the key and start their “wonderful’ creation of total control.

      Report Post »  
    • Razlord
      Posted on April 25, 2012 at 10:58am

      lame duck president…

      ouch.

      need to arrest this pos and null and void his laws.
      barry is a criminal felon.
      id fraud.

      Report Post »  
  • NewLife56
    Posted on April 25, 2012 at 8:23am

    Anyone with an IQ of above 1 has known this for many years now. Not to mention a One World Government is part of Prophecy. And like we didn’t know this was going to happen?

    Jesus: I’ll be back to get you soon Kids.

    Report Post » NewLife56  
    • lisa2994
      Posted on April 25, 2012 at 2:54pm

      That is true but we should always fight for the good guys but at least we can go down fighting and know we did not give in!!!

      Report Post » lisa2994  
    • lisa2994
      Posted on April 25, 2012 at 3:06pm

      That was supposed to be the greater good! GOD would expect no less from us!

      Report Post » lisa2994  

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