Daily WebLogs

Email, Print, Share. CLICK HERE.

We are entering Act II of Financial Crisis, says George Soros

Jun 12, 2010


""The collapse of the financial system as we know it is real and the crisis is far from over." "Indeed we've just entered Act II of the drama."

What does Soros see that makes him so bearish? For one thing he believes that the financial crisis in Europe will worsen and attempts to cut budget deficits will push the global economy back into a recession.

Recessions are caused by having too much debt and not enough money in circulation. So people stop buying and try to reduce their debt load. This, in turn, removes more money from circulation, so the government usually steps in an borrows enough to make up for the people who are paying down their personal debts. These governments spend this new money into circulation until they too collapse because of having too much debt.

You see, the problem with a monetary system that is based on debt-usury is that it is impossible to ever get out of debt. The debt climbs until people can no longer borrow more money. Then when they try to cut the deficits, they create a shortage of money (i.e., a recession).

This is the fruit of the system created by the Federal Reserve Bank in 1913-14. The Fed was given the exclusive right to create money, and the government then had to borow it at interest, instead of creating it themselves interest-free. The only way to get money into circulation is for someone to borrow it at interest and spend it into circulation.

There is never enough money in cirulcation to repay what has been borrowed. Try borrowing $100 and agreeing to repay $105. The only way it can be done is if your neighbor gets another loan, putting another $100 into circulation, so you can repay part of his on your own loan. But then, what about his loan?? It seems to take a college degree in economics to conclude that the system will work just fine forever.

Eventually, it has to crash. Its ultimate demise is built in from the start. We need a Kingdom system that bans usury altogether. God did know what He was doing, but since we apparently disagreed with Him, God has let us go our own way and eventually eat the fruit of our sin.

So when governments assure people that the we are coming out of this recession, and all will soon be back on track, they are lying, unless they intend to declare a Jubilee.

2017 Tabernacles Conference Videos
[Click To Expand]
Notices From GKM Admin (new)
[Click To Expand]
Daily Weblogs
[Click To Expand]

Category: Financial

Dr. Stephen Jones

Add Pingback