Forum Post: The Approaching Storm Part 1: Derivatives & Program Trading
Posted 12 years ago on Jan. 19, 2012, 10:03 p.m. EST by rcamblin
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I'm putting together a series of short videos to clearly articulate what I feel we need to go after and the demands I think we should be making (the low hanging fruit). The first provides the basic facts on derivatives and program trading and the damage they're doing to world economies. I've just uploaded the first one to YouTube, the URL is http://www.youtube.com/watch?v=tBy6mOeszJ0 . If you think this information will help the cause, please share it broadly. Thanks for your engagement!
It's this kind of massive ignorance or denial of reality that dooms you to irrelevance. I know, the "big lie" has worked well for the left over the years but frankly, the internet is what will destroy the hard left, just too much truth out there.
You speak of derivatives as some scary, hidden, unknowable financial time bomb getting ready to explode and eat all our babies. You sir, have no idea what you are talking about.
Derivatives, oddly enough, are called derivatives because they are based on an asset. They may get sold 20 times during their predetermined life and what people like our wild eyed OP like to do is total up each sale as a liability when in fact the the contract always remains between the owner of the asset and the current holder of the derivative.
Let's look at a few facts about derivatives:
All derivatives have a predetermined life, they are not sitting out there waiting to explode and eat your babies. They are time based instruments that expire.
All derivatives are based on an asset. No one would ever buy them if they weren't. People who create, buy and sell derivatives are not idiots like our OP hopes you are.
The people who lie to you want you to believe that derivatives constitute an uncontrollable financial liability that will come crashing down and eat your babies. Ask the people who lie to you how, exactly, that will happen.
Derivatives have become an anti-capitalist boogie man used by the people who lie to you because they assume you are too ignorant to understand them. They assume you will blindly accept their lies because you have been trained to do so.
The left loves to tout their critical thinking skills, use them. Try to look at the world as it is, not through the filter of your politics.
I think that was a great video!
Do you know anything about the Wall Street alternative that creates good paying jobs for the 99%? Its called national banking, and involves a banking system that can make low interest rate loans for infrastructure development. It can do this because it doesn't have to pay profit to private owners.
Thats why this protest/movement is called occupy wall street.