If people have no money now then where did all the money in the world go to - has the super rich or upper class made off with money that usually circulate from the middle class that makes the economy?

Answer 1

The problem we are experiencing is not a decrease in the money supply, but rather a rapid reduction in the money multiplier due to banks holding excess reserves. Every income bracket is experiencing a decrease in wealth, so it is false to say that someone has "made off" with the money. No. The poor have began to obtain the money of the rich and middle class through socialism and welfare. As a result, the poor have had no need to work, and have begun to stop working towards becoming middle class. The middle class and rich have seen that they have obtained little and nothing from their hard work as it has been given to the poor, and have also stopped working. Although socialism has good-seeking roots, it takes away the economic urge to work of the middle class, poor, and rich, and all stop working hard. The economy is not a pie (as it was thought to be in mercantilism) The amount of wealth in the world can change, as it has. There is less and less wealth in the world. No one, has it. There is still plenty of money in the world. The problem has stemmed from several factors. Poor lending practices from lending institutions around the world to individuals who could not afford it, then repackaging and reselling (over and over again), and then when those who got those loans to start with could not pay them that part of the house of cards fell. Then the automakers (at least two here in the USA, and some around the world), wanted the short term benefits of the huge gas hogs and to hell with making gas efficient or electric vehicles, and now those corporations (along with hundreds or thousands of other companies tied to them) are in the tank. Of course my take on this is that this is just another sign that the return of Jesus is very very soon ! Wealth never disappears it is simply redistributed. Take for instance the problem the USA is having with loan repayments. Once upon a time the USA produced products that it sold to its own population and to other countries. This gave its population work raised their wealth and brought about a situation where people did not suddenly find them selves living in the street. However now these goods are made by countries like China, and the money we are speaking a bout is going there instead. This creates a problem for china in that they have become awash with American dollars and America does not have the ability to buy them back. So they have to lend the dollars they earned from the USA back in order for the USA to be able to keep buying Chinese goods. This leads to a situation where the Dollar becomes progressively worth less and is desperately reloaned to just about any one that says they are committed to repaying it. This in turn leads to a situation where some one says this is a house of cards that can topple any moment and suddenly no one is game to take part in economic activity because they are afraid they will lose their shirt. so this time the Governments of the first world countries have suddenly decided to become socialistically inclined by giving the tax payers money to the very corporations that are exacerbating the problem. To keep the man in the street quiet they throw a few dollars in cash at him so that it feels like something real is happening. Many alternative media pundits believe that several step by step plans are being played out. In 1999 - 2000 US federal legislation was passed that struck down laws from the 1920s that explicitly forbid trading uncovered derivatives. Search >Gramm Leach Bliley "Commodity Futures Modernization Act" 1920s Mortgages OR loans OR backed-securities< Banks and insurance companies involved in the banker bail out were involved in such trading, and over 1.14 Quadrillion dollars were lost / gained in the last few years. Search >quadrillion dollars derivatives mortgages< According to recent calculations, this amount exceeds the entire world economy by a pretty large factor that would make every man, woman, and child on the planet owe about $190 k towards the payment of this debt owed to the winners of these trades. Search >Quadrillion derivatives bubble size world economy< Apparently the Bilderberg Group meeting that took place in 2006 at the Brookstreet Hotel in Kanata, Ontario, Canada had planning meeting minutes leaked to the alternative media where the plans were recorded during news video footage for Internet radio and TV shows. Search >"Bilderberg Group" 2006 meltdown leaked< Video search >"Alex Jones" "The Obama Deception"< Recorded for posterity at some point in that video is that price levels, interest rates, and Stock Market trends could be predicted if the traders were aware of these plans, and, no doubt, the winners of these derivatives trades were insiders who fleeced the losers-which was our banking and monetary system. Was the economic meltdown caused by failed mortgages?-Yes in part. What caused these people to fail in their mortgages?-(a) The boom and bust economic business cycle that is caused by international central bankers caused job losses. (b) The system was encouraged / designed so that real estate was purchased by people who could not afford it or the people's risk of job / income loss during an economic downturn was just too high to risk providing them with a low money down mortgage. Was the economic downturn caused by laziness of socialistic people who would not work?-Yes, the international central bankers are part of a philosophical group known as Fabian socialists (a society) whose efforts are targeted towards centralized control over the world: World Bank, World Trade Organization, Nato / UN Troops, Codex Alimentarius (a Nazi-established control categorization over trade of food), Bilderberg Group, the Council on Foreign Relations (CFR), the Trilateral Commission, and other various round table groups world-wide. Some claim that this group is headed by members of various secret societies one of which is the Illuminati. The Zeitgeist videos have some philosophical flaws regarding their goal of a Utopian society (and some factual flaws too), but correctly point out in their Addendum version video that international bankers have teams that go out to destabilize poorer nations by forcing them to take out huge loans that they have no hope in paying back. These poorer countries are just like the working poor who were tricked into taking out mortgages that they could not afford. The countries end up having to give up their sovereignty of their ports, highways, Natural Resources, and laws so that multinational corporations can come in and take over. It would be different if the multinational companies were invited to participate in a competitive environment in these places, but this isn't happening. One of the reasons that Iraq was invaded was that Saddam knew all about this, refused to take out loans, and thereby, would not permit multinational corporations to take over his country. The weapons of mass destruction were just a smoke screen for taking over Saddam's natural resources such as oil for a world market hungry for this precious resource. Video search >Zeitgeist Addendum< Money, credit, debt and risk can be gained or lost. One place this happens is on the stock market depending on the part of the economic cycle that we are experiencing-upturn (boom) or downturn (bust). The wealth of the world is manipulated by the elite rich. They have entire organizations of minions looking out for their interests, and have these agents working for their best interests in many of the governments of the world. The US Federal Reserve is a privately owned corporation incorporated in Delaware. It is owned by regional Federal Reserve banks who are in turn themselves privately owned. The ownership is kept secret. Leaked information from time to time emerges that indicates that large New York banks own some, and European banks own another large part. J.P. Morgan, J.D. Rockefeller, Paul Warburg, Jacob Schiff, Lehman Brothers, Solomon Brothers, Kuhn Loeb, American Express, and NM Rothschild were known to have varying levels of ownership stakes in the corporation when it started. Video search >Federal Reserve< The Fed apparently intervenes in markets such as gold, oil, bonds, stocks, US Treasury Bills, commodities, and so on. The US Fed chairman does not want to disclose what things the Fed is doing in regard to market intervention, nor money supply levels. Minion mouth pieces for the Fed sing its praises and say that all conspiracy theories regarding its activities are false. However, pundits in the gold commodities market claim that prices are being artificially held low by practices like gold leases rather than selling gold to electronic circuit board manufacturers for signal connector contact metals. Obviously the gold that is leased is ultimately used and sold to end computer users for their expansion cards and mainboards, so the leased gold will never be returned to end the lease. Most of the gold available for purchase, sources say, is "coin melt" (usually an alloy) that is not pure. If no one is privy to the Fed's activities except its own insiders, auditing is non-existent so laws governing its actions will be unenforceable. The only way to take advantage of the stock market is not to listen to what minions are saying, but observe what they are doing in the market. Certain companies monitor such liquidity flows of cash into and out of the equity markets. By knowing about these in / out flows, the direction of the market (rising or falling prices) is then no longer a mystery. Exactly timing the market will still be impossible if insiders act suddenly. When the increase in the money supply out paces productivity, this causes inflation. When the money supply or credit markets are tightened, then there deflationary pressures that start to happen as more people become unemployed due to the resulting contraction in the economy. Inflation is an invisible tax on everyone's savings because the buying power of each dollar is reduced. Some people believe that returning to a gold standard would prevent inflation, but gold as a commodity can be manipulated by those who control most of it already. The interest owing on the debt to the private Federal Reserve system is about 1 trillion dollars per year, and the private income taxes paid by all individual tax payers just manages to cover this amount-leaving none to go into running the government, building new schools, building new roads, and so on. The corporate income tax collected coincidently is usually the amount spent on the military budget. So when the government gets more into the war on drugs, the war on terror, expands military spending, expands homeland security, puts more non-violent citizens in more and more privately owned / operated prisons, all of this operational money must be added to the debt owed to the Federal Reserve system, creating a downward spiral into tyranny. The people of the USA, Canada, and Mexico do not want to give up their democratic rights, but that is exactly what their leaders started during "the three amigos summit" where the Security Prosperity Partnership (SPP) agreement was signed by US President Bush, Canadian Prime Minister Martin, and the Mexican Prime Minister a few years ago. Lou Dobbs covered the event and said that these men signed an agreement that will end the countries as we then knew them. The managed trade agreement will have unelected bureaucrats creating laws under which we will all have to live, and our police forces and judges will be in charge of enforcement of these undemocratic laws and regulations. The health effects of cannabis has been analyzed numerous times in the past and found to be less addictive than coffee, and contrary to the long ago falsely publicized "reefer madness," the natural flower buds from the plants causes a calming / pacifying effect. The combustion gases given off are non-toxic, and non-carcinogenic. One study was faked. Cannabis was found to kill brain cells only when "smoke only" was supplied to the tested animals, depriving them of any oxygen for a period of many minutes (oxygen deprivation during which brain cells will always die). Even drug manufacturers have attempted to make a synthetic replica of the active THC ingredient from the plant. Video search >The Union Business of Getting High< It is stated in the above 2007 video that more than one million non-violent Cannabis possession people are serving stiff sentences in jail, wasting tax payer money of a considerable sum on a yearly basis just for incarceration, and less than 10 percent of the budget for the war on drugs is spent combating really dangerous, addictive drugs like cocaine, heroine, and speed. In a Spring 2009 video, it is claimed that the number of non-violent drug possession prisoners has reached 2 million. Even if the Canadian government enacted legislation to legalize cannabis and hemp there, the trade zone harmonization of the SPP might mean that the Rockefeller / drug company-illogically imposed cannabis ban may still be imposed on them by the USA. Bio fuel, paper, and medication industry could spring into life if cannabis was legalized. It would be carbon neutral because the burned fuel would be recycled by the next crop of growing green plants. Many drugs would go obsolete, somewhat reducing the Rockefeller family's iron grip on western medicine. The price for the natural cannabis weed would go way down if people were allowed to grow it in their back gardens, circumventing Rockefeller control on drug production.