Tag Archives : global financial system crashes

Bill Proposed To Allow Voting Without US Citizenship

Bill Proposed To Allow Voting Without US Citizenship

Tyler...
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14 people made more money than Food Stamp budget for 50,000,000

14 people made more money than Food Stamp budget for 50,000,000

Paul...
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11 Things You Didn’t Know You Could Buy With Food Stamps

11 Things You Didn’t Know You Could Buy With Food Stamps

Hannah...
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How Big Banks Are Cashing In On Food Stamps

How Big Banks Are Cashing In On Food Stamps

Virginia...
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US Congress to cut food stamps by $9 billion

US Congress to cut food stamps by $9 billion

Lawmakers...
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How Hunger Makes Sheeple Support The Nanny State

How Hunger Makes Sheeple Support The Nanny State

People...
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Americans headed over ‘food stamp cliff’

Americans headed over ‘food stamp cliff’

Millions...
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Why are 47 million Americans on food stamps? It’s the recession — mostly.

Why are 47 million Americans on food stamps? It’s the recession — mostly.

Brad...
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Households On Foodstamps Rise To New Record High: More Americans Live In Poverty Than The Population Of Spain

Households On Foodstamps Rise To New Record High: More Americans Live In Poverty Than The Population Of Spain

Zerohedge There...
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Food Stamps May Be Split From Farm Bill In House

Food Stamps May Be Split From Farm Bill In House

Republicans...
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Obama administration openly pushing food stamps to illegals; no citizenship required, no income status checked

Obama administration openly pushing food stamps to illegals; no citizenship required, no income status checked

Mike...
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US food stamp use swells to a record 47.8 million

US food stamp use swells to a record 47.8 million

Kate...
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46,609,072 People on Food Stamps in 2012; Record 47,791,996 in December

46,609,072 People on Food Stamps in 2012; Record 47,791,996 in December

DANIEL...
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US government spent $80.4 bn on food stamps in 2012

US government spent $80.4 bn on food stamps in 2012

The...
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Shadow banking hits $67 trillion globally: task force

Shadow banking hits $67 trillion globally: task force

John O’Donnell and Douwe Miedema The shadow banking system – blamed for aggravating the financial crisis – grew to a new high of $67 trillion globally last year, a top regulatory group said, calling for tighter control of the sector. A report by the Financial Stability Board (FSB) on Sunday appeared to confirm fears among policymakers that the so-called shadow banking system of non-bank intermediaries continues to harbour risks to the financial system. The FSB, a task force from the world’s top 20 economies, also called for greater control of shadow banking, a corner of the financial universe made up of entities such as money market funds that has so far escaped the web of rules that is tightening around traditional banks. “The FSB is of the view that the authorities’ approach to shadow banking has to be a targeted one,” the group wrote in a report, noting the current lax regulation of the sector. “The objective is to ensure that shadow banking is subject to appropriate oversight and regulation to address bank-like risks to financial stability,” it said. Officials at the European Commission in Brussels also see closer oversight of the sector as important in preventing a repeat of the financial crisis that has toppled banks over the past five years and rocked the euro zone. The European Commission is expected to propose EU-wide rules for shadow banking next year. The United States is already rolling out a framework of new rules for the $2.5 trillion money market industry, which pools money from investors to put in low-risk financial assets that resemble deposits in a bank. During the crisis, heavy exposure to collapsed investment bank Lehman Brothers caused the net asset value of one fund – the Reserve Primary Fund – to drop below $1 per share, breaking an implicit promise of a guaranteed minimum value. Unlike banks, such funds are not backed up by the Federal Deposit Insurance Corporation, and critics say a sudden depositor flight from the sector could have equally devastating consequences as a traditional run on a bank. The Financial Stability Oversight Council (FSOC) – a new body of regulators including the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) – said last week it would not limit itself to money market funds. It said that “regulated and unregulated or less-regulated cash management products may pose risks that are similar to those posed by money market funds” and that it would address any risks arising in those areas. AMERICA HAS LARGEST SYSTEM The FSB has signaled a two-pronged approach to regulating shadow banking, with tough rules such as possible capital charges and limits on the size and nature of a mainstream bank’s exposure to shadow banks. Other shadow banking activities which are seen as less systemically risky could face greater transparency requirements. Critics of this regulatory drive say that the definition the FSB uses to describe shadow banks is intentionally vague, allowing them to probe and potentially regulate corners of the financial universe that are seen as harmless. The FSB said shadow banking around the world more than doubled to $62 trillion in the five years to 2007, and had grown to $67 trillion in 2011 – more than the total economic output of all the countries in the study. America had the largest shadow banking system, said the FSB, with assets of $23 trillion in 2011, followed by the euro area with $22 trillion and the United Kingdom at $9 trillion. The U.S. share of the global shadow banking system has declined in recent years, the FSB said, while the shares of the United Kingdom and the euro area have increased. The FSB advocated better controls, but cautioned at the same time that the sector can also be a source of much-needed credit for business and consumers. “Non-bank creditors that smell, feel, and sound like banks but aren’t in name are clearly the problem; while non-bank creditors that do not, and are not linked to the banking system, surely offer us a welcome reduced dependence on banks,” said Pete Han from the Cass Business School in London. Forms of shadow banking can include securitization, a method to transform bank loans into a tradeable instrument that can then be used to refinance credit, making it easier to lend. In the run-up to the crisis, however, banks such as Germany’s IKB stored billions of euros of such instruments in off-balance sheet vehicles, which later unraveled. Another example is a repurchasing agreement, or repo, where a player such as a hedge fund or a blue chip company sells securities to a bank, agreeing to repurchase them later. The bank may then lend those bonds onto another hedge fund, taking a position on the government debt. Such agreements are used by banks to lend and borrow. A risk could arise if one of the parties in the chain collapses. (Reuters)
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Explosive video indictment of Obama rocks YouTube

Explosive video indictment of Obama rocks YouTube

Chelsea...
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Food Stamp Nation: What a Modern Day Bread Line Looks Like (Infographic)

Food Stamp Nation: What a Modern Day Bread Line Looks Like (Infographic)

Mac...
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Reality: More People Requested Emergency Food Assistance Than Found Jobs

Reality: More People Requested Emergency Food Assistance Than Found Jobs

Mac...
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US Foodstamp Usage Rises To New Record High

US Foodstamp Usage Rises To New Record High

Tyler Durden Zerohedge While the 0.4% perfectly unmanipulated and totally coincidental swing in the unemployment rate in an Obama favorable direction one month before the election came at a prime time moment for the market, one hour ahead of the open, setting the market mood for the rest of the day (which despite all best efforts still closed red, valiant efforts by Simon Potter and the FRBNY’s direct pipe to Citadel notwithstanding), there was one other, far more important data point released by the government’s department of agriculture, sufficiently late after the market close to impact no risk assets. That data point of course was foodstamps (or the government’s Supplemental Nutrition Assistance Program, aka SNAP), and we are confident that no readers will be surprised to learn that foodstamp usage for both persons and households, has jumped to a new all time record. At 46,681,833 persons hooked on SNAP, the July number crossed the previous record posted a short month before, as the foodstamp curve continues ‘plumbing’ newer and greater heights each month. More disturbing is that in the same month, the number of US households reliant on foodstamps rose by a whopping 99,493 to 22,541,744. Assuming a modest 2 persons per household, the increase means that more people went on Foodstamps in the month of July than found jobs (181,000 according to the latest revised NFP data). Furthermore, it appears that buying votes has become a tad more expensive in the past month. After the benefit per household dipped to a record low in April at just $275.81, this has since retraced some of its losses and is now at an inflationary $277.92. Oh well: inflation. Adding the number of disability recipients in the month of July, which in that month rose by 20,474, and one can see why the government is quite happy with dumping this particular release long after everyone was on their way back home for the weekend. Finally, and putting it all into perspective, since December 2007, or the start of the Great Depression ver 2.0, the number of jobs lost is 4.5 million, while those added to foodstamps and disability rolls, has increased by a unprecedented 21 million. Oh and about $7 or $8 trillion in debt. Who’s counting really. And this is the real and only key economic statistic of today that nobody wants to talk about, because it is equally the fault of both parties. Total foodstamp recipient persons: Total foodstamp recipient households and benefits per household. Putting it all into perspective: Jobs versus Foodstamps/Disability:
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June Foodstamp Recipients Hit All Time High As Three Times As Many Americans Enter Poverty As Find Jobs

June Foodstamp Recipients Hit All Time High As Three Times As Many Americans Enter Poverty As Find Jobs

Tyler...
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