- KINGSTON, NY -- The biggest
financial bubble in history is being inflated in plain sight, said Gerald
Celente, Director of The Trends Research Institute. "This is the Mother
of All Bubbles, and when it explodes," Celente warns, "it will
signal the end to the boom/bust cycle that has characterized economic activity
throughout the developed world."
- Either unwilling or unable to call the bubble by its
proper name, the media, Washington and Wall Street describe the stupendous
government expenditures on rescue packages, stimulus plans, buyouts and
takeovers as emergency measures needed to salvage the severely damaged
- "All of this terminology is econo-jargon,"
said Celente. "It's like calling torture 'enhanced interrogation techniques.'
Washington is inflating the biggest bubble ever: the 'Bailout Bubble.'
"This is much bigger than the Dot-com and Real Estate bubbles which
hit speculators, investors and financiers the hardest. However destructive
the effects of these busts on employment, savings and productivity, the
Free Market Capitalist framework was left intact. But when the 'Bailout
Bubble' explodes, the system goes with it."
- The economic framework of the United States has been
restructured. Federal interventionist policies have given the government
equity stakes, executive powers and management control of what was once
private enterprise. To finance these buyouts, rescue and stimulus packages
-- instead of letting failed businesses fail and bankrupt banks and bandit
brokerages go bankrupt -- trillions of dollars are being injected into
the stricken economy.
- Phantom dollars, printed out of thin air, backed by nothing
... and producing next to nothing ... defines the "Bailout Bubble."
Just as with the other bubbles, so too will this one burst. But unlike
Dot-com and Real Estate, when the "Bailout Bubble" pops, neither
the President nor the Federal Reserve will have the fiscal fixes or monetary
policies available to inflate another.
- With no more massive economic bubbles left to blow up,
they'll set their sights on bigger targets. "Given the pattern of
governments to parlay egregious failures into mega-failures, the classic
trend they follow, when all else fails, is to take their nation to war,"
- Since the "Bailout Bubble" is neither called
nor recognized as a bubble, its sudden and spectacular explosion will create
chaos. A panicked public will readily accept any Washington/Wall Street/Main
Stream Media alibi that shifts the blame for the catastrophe away from
the policy makers and onto some scapegoat.
- "At this time we are not forecasting a war. However,
the trends in play are ominous," Celente concluded. "While we
cannot pinpoint precisely when the 'Bailout Bubble' will burst, we are
certain it will. When it does, it should be understood that a major war
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