Michael Hudson: The Law of Fraudulent Conveyance and the Modern Debt Crisis

27 Jun

This June 26 Max Keiser interview with Michael Hudson may be the most timely and important piece we’ve encountered in months.

Not only because it addresses the real issues and factors which cause the current situation; but also because it does not waste any time trying to ‘fix’ or ‘present’ the current economic catastrophe as something other than what it is.

No drilling into piles of jargon rich nonspeak from the Treasury or some Pretty Boy Bank executive here; just absolute substance on what is going on and what has to change to fix it.

If you have not been following Michael Hudson, it might be time to start.

Hudson has been traveling around the globe advising imploding sovereign nations on how to handle the ‘debt crisis’.

His position is not the typical Bailout Scenario, and his prognosis is not the typical ‘austerity’ commentary we have grown all to used to hearing.

Michael Hudson is an economic historian who has been studying the larger patterns and movements of economics and public policy, or perhaps better stated, international corporate and banking control policy based on egregious debt.

In his estimation, we have it backwards and have now forgotten the lessons of the 19th and 20th centuries which is that highly paid labor is ultimately more productive and leads to a thriving economy, while debt laden labor tends to implode and destroy economic systems.

By shifting the vast ficticious debt generated through the financial sector and its relationship with central banks and governments to the productive labor force of a nation you inherently destroy its infrastructure which is the productivity of its people.

Hudson demonstrates that this exact tactic was used throughout the 20th century in places like South America, and around the globe it has always led to the same result: a broken nation, a broken economy and a collapsing infrastructure. All the way back to the collapse of the Roman Empire.

So now the question is before us. The real question is whether or not we will consider it important enough to spend our time solving, or whether we will simply go down as the next casualty in the long line of what is euphamistically called ‘human civilization’.

If we choose to tackle the challenge and re-order our international and national relationships and systems so as to eliminate agregious debt and feudalism in the markets, we could actually be on the verge of creating the greatest civilization ever known to the modern age. But if we stand around and pretend it isn’t happening and allow the same corrupt forces which created this disaster to ‘manage it’ for us then we are pretty well guaranteed to get what we ‘paid for’… or, ‘allowed’.

OTE60] On the Edge with Michael Hudson – 26 June 2010

June 27th, 2010 by stacyherbert

Stacy Summary: Max talks to Michael Hudson about debt, deficits, austerity, Greece and more.




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