Quote:
Originally Posted by AndrewJ
Gday Mark
You have it all wrong 
Emission/Carbon "Trading" is effectively using newly created "money" to play the stock market. I reckon it looks like the next No Docs loan system, where the traders make money up front, and the rest lose it ( as nothing is produced inbetween )
Just think that 15 yrs ago, one trader brought down Barings bank after a few weeks of "fun".
Then a few years ago 1000s of traders with access to the mortgages of the US Housing bubble nearly brought down the US underwriters.
Then yesterday ( for a short while ) one trader with one button press reduced the value of a big chunk of the world by 10% 
Give em carbon ( Govt backed with words ) to play with and i reckon they could bring those countries down before lunchtime.
( And if not, the next lot of grads from the US business schools will )
Andrew |
Hi Andrew,
Wrong or right, I might get knocked-off if I keep talking like this.
"where the traders make money up front, and the rest lose it ", if that's the case, it would be even worse, as the increase in the amount of money (paper, ones and zeros, bonds etc) in [proxi] circulation, would still balance with an inflatory effect shortly thereafter (as any assets can be used to offset debt, even speculative returns) - so perhaps the term I should have used was wealth, not money. Then, the trading units will lose their value through the usual underhanded cutting, dicing and diluting process of trade (the laundering process), with the overall value of each carbon trading unit degrading as time progresses...no different to the greenback being 9cents in the original dollar of the late 1940's.
The 'Chicago Carbon Exchange' will be nothing more than a Derivative Market #2...and it will be 10 times Global GDP in 2-3 decades and 1 in 3 shares owners will own the same freekin share units!!!
I feel that what Carbon Trading desperately needed was a dismal failure in Copenhagen, and they got-it. This will put greater emphasis on getting Carbon Trading up and running as soon as possible and as our last great hope...Ding-a-ling-a-ling!!! Jackpot!!! Come in Spinner!!!
Some broader info:
Max Keiser:
http://www.youtube.com/user/RussiaTo...35/pL3n_dqRfQg
Gerald Celente:
http://www.youtube.com/watch?v=JhaEc_4zuFI and
http://www.youtube.com/watch?v=tdxgWQWqsS4
TechTicker:
http://www.youtube.com/watch?v=b0YuESrAu_o
So what happens to the so called "global reserve currency" when Giethner asks Bernanke at the FED start re-print more money for yet another round of Quantitative Easing measures, to purchase yet more 10 year treasury notes and another bucket-load of mortgage-backed securities?!