Australia’s worsening cost of living crisis, intensified by another bout of skyrocketing fuel prices, is actually global hyperinflation, which can only be stopped by a global Glass-Steagall banking reorganisation, Citizens Electoral Council leader Craig Isherwood said today.
“Official statistics grossly understate Australia’s inflation crisis—but in the real world, hyperinflation is killing us,” he said.
“The cost of housing, electricity, fuel and food is spiraling out of control, crushing pensioners and ‘working families’.
“We are trapped in the hyperinflation crisis which American physical economist Lyndon LaRouche forecast would happen when the world’s central banks started printing money to bail out the bankrupt financial system.”
Mr Isherwood observed that since the U.S. Federal Reserve instituted its second round of direct money-printing known as Quantitative Easing II in November 2010:
-
The “Fed” has bought 85 per cent of all government debt sold by the U.S. Treasury. Its balance sheet has thus risen to an official $2.7 trillion.
-
It has sent up the Dow Jones by more than 1,000 points, and encouraged “investors” to go into riskier and riskier areas—witness the comeback in subprime mortgage-backed securities.
-
It has sent the prices of gold and silver up to near record levels.
-
It has depressed the value of the U.S. Dollar Index—which is down 9.7 per cent since 30th November 2010.
-
It has dramatically increased prices in basic foodstuffs and fuel, thus reducing living standards of the population even more.
Mr Isherwood pointed out that Australia has not benefited from America’s woes.
“Our dollar may have gone up, but that is because we are a target of a carry trade that is pumping money into Australia, to loot us through high interest rates,” he said.
“The high Aussie dollar has not saved us from the hike in petrol prices, which are not being driven up by a shortage of oil, but by a splurge of derivatives gambling by financial speculators in the City of London who are desperately looting the real economy to prop themselves up.”
He continued, “The only answer is to stop bailing out the bankrupt financial system, and reorganise it, through Glass-Steagall—shut down the gambling banks, write off the gambling debt, and protect the real economy.
“Australia must support the Glass-Steagall bill that was introduced into the U.S. House of Representatives two weeks ago, and we must implement our own domestic reorganisation under the Glass-Steagall principle, using the CEC’s Homeowners and Bank Protection Bill 2008.
“We must then establish a national bank to launch an economic recovery, by directing credit into water, power and transportation infrastructure projects, and we must end free trade to stop the imports that cost us dearly in jobs and industries,” he said.
Mr Isherwood appealed to Australians, “Don’t just complain about the system, join the CEC’s fight to change it.”
Learn more about the CEC’s fight over the last two decades to reorganise the bankrupt financial system. Click here for a free copy of the feature DVD, the Homeowners & Bank Protection Bill—The Only Solution.
To buy a copy of What Australia Must Do to Survive the Depression, click here.
Click here to join the CEC as a member.
Click here to refer others to receive regular email updates from the Citizens Electoral Council of Australia.
