Regarding World War II and the Great Depression

I put together a video of an argument last night that I would like to share with you.

If you are a youngin’ and completely lacking in historical context, here’s a bit of it…

That’s it for now, as I went out and about after finishing the video and am now somewhat incapable of consistent coherent thought. I might flesh out the argument tomorrow with more typing, but I hope the video speaks for itself.   If you have any questions, please feel free to put them forth.

UPDATE: Here’s another video of some of the destruction of Germany.  The text of the video makes it VERY clear that the entire purpose of the U.S. bombing campaign was the destroy Germany’s industrial infrastructure.  It was the destruction of the Germans and French and Russians and English and Japanese and Italians and Chinese that allowed the U.S. to establish a naturally advantageous (i.e. still in existence after the war) industrial and economic position that persisted for nearly 60 years.

BTW, this fortuitous situation also fed into the “Project For a New American Century” and their plans to keep this dominance going for another 40 or 100 years.  As we all know now, the centerpiece of that global strategy, invading and controlling IRAQ, was a clusterfuck of such massive proportions it has greatly accelerated the trend to a more level playing field.  Which is to say, screwing up Iraq will be seen in history as the biggest single reason for the end of U.S. economic dominance.   It was not the not the whole of it, but it did serve as a rather large piece of straw on a montrously laden camel.

UPDATE: 2/17/09:

Well, it looks like that move to leveler playing field happened a lot quicker than even I expected.  And the War in Iraq seems to be gone from the economic discussion.  Does not one realize that is why Bush, et. al. had to let the shennanigans on Wall Street continue so long?  Without the myth of great wealth, we couldn’t fund his War.   And that’s where the other 3 trillion went.

Does no one remember that Bush took the deficit from this…

Instead, the president explained, the $5.7 trillion national debt has been reduced by $360 billion in the last three years — $223 billion this year alone.

This represents, Clinton said, “the largest one-year debt reduction in the history of the United States.”

To this…

Are you surprised? Times Square’s National Debt Clock, which has been tallying up money owed by the U.S. government since 1989, is running out of spaces.

In September 2008, the digital dollar sign was eliminated to make way for an extra digit—the “1” in $10 trillion (the national debt is currently $10.2 trillion). Now, a new clock is in the works that will make room for a quadrillion dollars of debt, according to the Associated Press. Anticipated completion is early 2009.

A little history on the clock: It was created in 1989 by Manhattan real estate developer Seymour Durst to inform the public about the nation’s snowballing national debt (back then, it was $2.7 trillion). Seymour died in 1995, and the clock is now owned by his son, Douglas Durst.

Bush ran up a $4,500,000,000,000 tab.

Lest we forget…

It’s a Run on the Banks!!!

WASHINGTON — Alarmed by the sharply eroding confidence in the nation’s two largest mortgage finance companies, the Bush administration on Sunday asked Congress to approve a sweeping rescue package that would give officials the power to inject billions of federal dollars into the beleaguered companies through investments and loans.

Treasury Acts to Save Mortgage Giants – NYTimes.com

In a separate announcement, the Federal Reserve said it would make one of its short-term lending programs available to the two companies, Fannie Mae and Freddie Mac. The Fed said that it had made its decision “to promote the availability of home mortgage credit during a period of stress in financial markets.”

An official said that the Fed’s decision to permit the companies to borrow from its so-called discount window was approved at the request of the Treasury but that it was temporary and would probably end once Congress approved Treasury’s plan. Some officials briefed on the plan said Congress could be asked to extend the total line of credit to the institutions to $300 billion.

I’m watching CNN right now report on this, and interviewing the people currently “running” on the bank.  All they want right now is to get their hands on their money, which is freaking them right the fuck out.  Since the only people worried are those with accounts over $100,000, they are all the rich folks…which makes it a great story for the 24-hour networks.

The banks have actually been running on empty for a good little while.  First there was the extra $200,000,000,000 that the Fed printed up a while back.  Which wasn’t really enough in the face of the disappearing mortgage money, the slowing economy, the weakening dollar, and the atmospheric oil.

Which killed the Bear (Stearns).

Which was the sign that things were already really bad.  What is happening with Freddie and Fannie is that they got stuck with all the crappy loans that filtered through the system. 

I actually know a bit about this topic, as I used to do some work for the FDIC involving closing banks.  Essentially we would consolidate loans and deposits and prepare them for sale to other banks.  The really crappy ones that couldn’t be sold would then be administered by the FDIC untill…whenever.

(note: I just heard a guy on CNN say “You could have a run on the banks” [which would be great for CNN])

So Fannie and Freddie got hit with all of the above and the necessity to take a bunch of shitty loans.  They are the drains for the mortgage industry and they got loaded with a whole bunch of crap, got clogged and the system starts to back up.

More on this later, but I thought it was funny when they were talking to the people waiting in line to make a run on the bank.