venerdì 28 febbraio 2014

Central Banker to destroy Ukraine

Central Banker Appointed as Prime Minister of Ukraine

  •  




Kurt Nimmo
Infowars.com
February 27, 2014
A reshuffled Ukrainian Parliament installed following a coup last week has voted to appoint Arseniy Yatsenyuk as the new prime minister of the country. Yats, as Victoria Nuland, the Assistant Secretary of State for European and Eurasian Affairs at the U.S. State Department, called him, is a natural choice. He is a millionaire former banker who served as economy minister, foreign minister and parliamentary speaker before Yanukovych took office in 2010. He is a member of Yulie Tymoshenko’s Fatherland Party. Prior to the revolution cooked up by the State Department and executed by ultra-nationalist street thugs, Tymoshenko was incarcerated for embezzlement and other crimes against the people of Ukraine. Now she will be part of the installed government, same as she was after the last orchestrated coup, the Orange Revolution.
Yats will deliver Ukraine to the international bankers. “Ukraine is on the brink of bankruptcy and needs to be saved from collapse — Yatsenyuk has a strong economic background,” Ariel Cohen, senior fellow at the Washington-based Heritage Foundation, told Bloomberg on Wednesday. “Ukraine faces difficult reforms but without them there won’t be a successful future.”
Discussion with the IMF is crucial, US Treasury Secretary Jacob Lew said earlier this week. In order to cinch the deal, the U.S. government will sweeten the pot. Lew talked with the IMF boss, Christine Lagarde, about Ukraine as he headed back from a globalist confab, the G-20 meeting in Sydney, Australia.
“Secretary Lew informed Managing Director Lagarde that he had spoken earlier in the day with Ukrainian leader Arseniy Yatsenyuk and advised him of the broad support for an international assistance package centered on the IMF, as soon as the transitional Ukrainian government is fully established by the Parliament,” MNI News reported on Monday. “Secretary Lew also noted that he had communicated to Mr. Yatsenyuk the need to quickly begin implementing economic reforms and enter discussions with the IMF following the establishment of the transitional government.”
Ukraine’s story is right out of the IMF playbook. The nation’s corrupt leaders past and present – most notably Tymoshenko, who went to prison for corruption and wholesale thievery – have enriched themselves at the expense of ordinary Ukrainians.
“Ukraine at the dawn of independence was among the ten most developed countries, and now it drags out a miserable existence,” Communist Party leader Petro Symonenko said last year. The nation’s leaders “signed a memorandum with the International Monetary Fund to meet the requirements of the oligarchs, but on the other hand — to timely pay the interest on the IMF loans and to raise the prices for gas and electricity,” Symonenko said.
The Orange Revolution – initiated by NED, IRI, Soros and the CIA – installed a rogue’s gallery of self-seeking sociopaths who further bankrupted a country already seriously debilitated by corruption.
For the IMF and the financial elite, Ukraine is nothing less than a tantalizing bounty. “Its fertile black soil generated more than one-fourth of Soviet agricultural output, and its farms provided substantial quantities of meat, milk, grain, and vegetables to other republics,” notes ABO, a website covering energy resources. “Likewise, its diversified heavy industry supplied the unique equipment (for example, large diameter pipes) and raw materials to industrial and mining sites (vertical drilling apparatus) in other regions of the former USSR.”
After breaking away from the Soviet Union and declaring independence, it was thought the country would “liberalize” its industry and resources, in other words open them up for privatization by transnational corporations and international banks, but this did not happen quickly enough for the financiers and the corporatists.
Ukraine to undertake “extremely unpopular steps” as IMF takes over economy.
“The drop in steel prices and Ukraine’s exposure to the global financial crisis due to aggressive foreign borrowing lowered growth in 2008 and the economy contracted more than 15 percent in 2009, among the worst economic performances in the world,” ABO explains. “In August 2010, Ukraine, under the Yanukovych Administration, reached a new agreement with the IMF for a $15.1 billion Stand-By Agreement. Economic growth resumed in 2010 and 2011, buoyed by exports. After initial disbursements, the IMF program stalled in early 2011 due to the Ukrainian Government’s lack of progress in implementing key gas sector reforms, namely gas tariff increases. Economic growth slowed in the second half of 2012 with Ukraine finishing the year in technical recession following two consecutive quarters of negative growth.”
Now that Yanukovych is out of the picture, the banker minion Yats is lording over the Parliament, and thuggish fascists control the streets and guard against a counter revolution that might threaten Wall Street’s coup, the coast is clear for the IMF to pick up where it left off. Ukraine, now one of the poorest countries in Europe thanks to a kleptocracy supported by Washington and Wall Street, is wide open for further looting.

This article was posted: Thursday, February 27, 2014 

mercoledì 26 febbraio 2014

Fed crime cartel knew about Libor rigging

Fed knew about Libor rigging in 2008 but did nothing

 Section: 
By Katherine Rushton
The Telegraph, London
Friday, February 21, 2014
The US Federal Reserve knew about Libor rigging three years before the financial scandal exploded but did not take any firm action, documents have revealed.
According to newly published transcripts of the central bank's meetings in the run-up to and immediate aftermath of the collapse of Lehman Brothers, a senior Fed official first flagged the issue at a policy meeting in April 2008.
William Dudley expressed fears that banks were being dishonest in the way they were calculating the London interbank offered rate -- a global benchmark interest rate used as the basis for trillions of pounds of loans and financial contracts.
"There is considerable evidence that the official Libor fixing understates the rates paid by many banks for funding," he said.
He added that a newspaper report, which lifted the lid on some degree of manipulation, appeared to have triggered "an outbreak of veracity among at least some" bankers, who started reporting accurately the interest rates they offer each other, which are used to calculate Libor.
Three years after his remarks, it emerged that traders at more than a dozen banks, including Lloyds, Royal Bank of Scotland, and Barclays, had routinely been trying to fix the official Libor rate to boost their own bonuses and profits.
The scandal impacted the finances of tens of millions of ordinary households and businesses and dealt a devastating blow to the banking industry. Financial institutions have paid more than $5 billion (L3 billion) in fines to settle the matter with regulators in the US, UK, and the European Union. A dozen individuals have been criminally charged, and many others lost their jobs -- including Barclays' chief executive Bob Diamond and chairman Marcus Agius, who both resigned over the issue.
The transcript of the Fed's April 2008 meeting raises questions about why the central bank did not move to properly tackle the scandal. There was no official regulator for Libor at the time, and officials at the US Federal Reserve tried to blame British authorities for allowing the benchmark interest rate to get out of control in the first place.
The Fed may have been more than usually willing to gloss over the racket because of the other economic crises it faced at the time. The transcripts, published on Friday, show the members of the Federal Open Market Committee struggling to grasp the scale of the financial meltdown in 2008.
Two days after US officials decided to let Lehman Brothers collapse in September 2008, Fed chairman Ben Bernanke was optimistic that it would be able to limit the fallout. "I think that our policy is looking actually pretty good," he said. "Our quick move [to reduce interest rates in early 2008], which was obviously very controversial and uncertain, was appropriate." As things turned out, an early cut in interest rates was far from sufficient to prevent the crisis that followed.
The Fed declined to comment on the transcripts or why it had not taken firm action.
However, as the crisis unfolded, Mr Bernanke evolved into an assured crisis manager, the transcripts show. They also reveal how farsighted his successor, Janet Yellen, was in predicting the financial crisis, back when she was president of its regional bank in San Francisco.
Mrs Yellen, who took over as Fed chairman this month, saw the US economy "at, if not beyond, the brink of recession" in January 2008, the documents disclose. Most of the Fed's members were relatively upbeat or neutral about the economic outlook, but Mrs Yellen cut a Cassandra figure, as she predicted that deteriorating credit conditions and a slowdown in the labour market were likely to slow down growth.

martedì 25 febbraio 2014

2008: A case of Wilful Blindness

’08: A case of Wilful Blindness

IT’S OFFICIAL. The experts who guided the global economy were flying blind. They failed to see the financial crisis coming because “The macroeconomic models available at the time of the crisis typically ignored the banking system”.
The confession – a case of what lawyers call “wilful blindness” – appears on page 10 of the OECD’s post mortem report into their role in the credit squeeze that struck down western banks in 2008.*
The OECD reported the results of its inquest in London today. Mortified by its failures, the OECD has now embarked on “horizon scanning to help plan ahead for unlikely, but potentially costly, events that might trigger a future crisis that could be very different in nature from the recent financial crisis”.
Those events are not “unlikely”. They are predictable. And the OECD, by failing to enlighten the governments of its 34-member countries, must be held accountable for the tragedies as they unfold.

The Coming Economic Crises

Despite the fine-tuning of their model of the global economy, the OECD and the economists whom they consulted are still flying blind. Take the case of the breakdowns in the new business cycle.
  • Five years from now, a recession will disrupt western economies. The OECD cannot either confirm or falsify my prediction.
  • Fourteen years from now, a depression will strike down the global economy. Again, the OECD is helpless: it cannot refute my forecast.
Why not? Because their economic model suffers from flawed assumptions and gaping holes in the data. As I explained in aprevious blog land values are the key indicator of the health of the economy. True to form, the British government for one has decided to scrap the land price index published by its Valuation Office. Another case of wilful blindness?

The Scapegoats

To be fair, the OECD’s record is no worse than all the other government agencies and private forecasting consultancies. Still, because of their lamentable record, they had to blame someone. At the top of their list is the wage-earner. We are told that the largest forecasting errors over 2007-12 “have occurred in countries with more stringent pre-crisis labour and product market regulations”. Sub-text: inflexible labour markets – which gave some measure of protection to workers – hindered the recovery. Workers were to blame for the forecasting errors!
And so, now, because of the disconnect between the real world and the make-believe world cherished by economists, we learn that the OECD has “relied on a ‘muddling-through’ assumption”. Is this what taxpayers expect for their support for the Paris-based think-tank?

Where the Blame belongs

In the 20 years between the Thatcher/Reagan Big Bang de-regulation of banks in the 1980s, and the Big Bang that bankrupted the banks in ’08, UK and US governments repeatedly lionised the bankers. People were repeatedly assured that financial de-regulation created jobs, increased national income and poured money into the public purse.
So the existence of the financial sector was hardly a secret! Why, then, did the economists who guide governments fail to build the influence of the bankers into their equations?
Through ignorance? The OECD does confess to “limited understanding of macro-financial linkages”.
To conceal a guilty secret? The OECD is silent on who pocketed the big bucks courtesy of junk economics.
Or what?
Whatever the explanation, the foundations of the western economy will continue to deteriorate under cover of wilful blindness. The OECD has decided to centralise its assessments. To what end? Their report explains: “[T]o help ensure that projections for individual countries are based on a common general world view”. If our world is a mad-house, the patients have taken control.
* OECD (2014), “OECD forecasts during and after the financial crisis: A Post Mortem”, OECD Economics Department Policy Notes, No. 23, February.

lunedì 24 febbraio 2014

TPP negotiators received huge bonuses from banks

Obama's TPP negotiators received huge bonuses from big banks

Published time: February 18, 2014 17:12
Stefan Selig.( Reuters / Mike Segar )
Stefan Selig.( Reuters / Mike Segar )

A controversial trade deal being touted by the White House is expected to give American corporations broad new authority if approved. Now according to newly released documents, big banks gave millions to the execs that are now orchestrating the agreement.
Investigative journalist Lee Fang wrote for Republic Report on Tuesday this week that two former well-placed individuals within the ranks of Bank of America and CitiGroup were awarded millions of dollars in bonuses before jumping ship to work on the Trans-Pacific Partnership on behalf of the White House.
The Trans-Pacific Partnership, or TPP, is a widely-contested trade deal between the US and 11 other nations adjacent to the Pacific Rim, and has been negotiated by representatives for those countries in utmost secrecy. According to leaked excerpts of the TPP and remarks from experts following the news closely, though, it’s believed that the arrangement would allow corporations to oppose foreign laws while at the same time limiting the abilities for governments to regulate those entities.
On Tuesday, Fang wrote that two major United States-based financial firms have significantly awarded former executives who have since attracted the attention of President Barack Obama and subsequently been offered positions that put them directly involved in TPP talks.
Former Bank of America investment banker Stefan Selig, Fang acknowledged, received more than $9 million in bonus pay after he was nominated to join the Obama administration in November. And Michael Froman, the current US trade representative, was awarded over $4 million from Citigroup when he left them in 2009 in order to go work for the White House. Republic Report were provided those statistics through financial disclosures included in Fang’s article.
When Selig was asked to head the International Trade Administration by the White House last November — a Commerce Department job — the New York Times considered it “a rare appointment of a Wall Street banker by the Obama administration.” If he is confirmed by the Senate as expected, he will work directly with US trade officials on hammering out final arrangements for the TPP. Froman has been the US trade representative since last June, and according to his biography on that department’s official website, is directly overseeing TPP discussions.
In Fang’s report, he noted that such hefty bonuses aren’t unusual on Wall Street.
“Many large corporations with a strong incentive to influence public policy award bonuses and other incentive pay to executives if they take jobs within the government,” he wrote.
But with the TPP expected to have serious implications on the corporate and financial realms, the appointments of Selig and Froman raise new questions about the potential influence of Wall Street on an already widely-disputed trade deal.
“The controversial TPP trade deal has rankled activists for containing provisions that would newly empower corporations to sue governments in ad hoc arbitration tribunals to demand compensation from governments for laws and regulations they claim undermine their business interests,” Fang acknowledged. “A fact-sheet provided by Public Citizen explains how multi-national corporations may use the TPP deal to skirt domestic courts and local laws. The arrangement would [allow] corporations to go after governments before foreign tribunals to demand compensations for tobacco, prescription drug and environment protections that they claim would undermine their expected future profits.”
“Not only do US treaties mandate that all forms of finance move across borders freely and without delay, but deals such as the TPP would allow private investors to directly file claims against governments that regulate them, as opposed to a WTO-like system where nation states (ie the regulators) decide whether claims are brought,” Boston University associate professor Kevin Gallagher told Fang.
When WikiLeaks released a draft version of a section of the TPP last year, the anti-secrecy group warned that “Particular measures proposed include supranational litigation tribunals to which sovereign national courts are expected to defer, but which have no human rights safeguards
No wonder they kept it secret,” internet entrepreneur Kim Dotcom told RT at the time. “What a malicious piece of US corporate lobbying. TPP is about world domination for US corporations. Nothing else.”
Last month, leaked memos obtained by the Huffington Post suggested that the US has lost almost all international support from the 11 other Pacific Rim nations engaged in TPP discussions.

sabato 22 febbraio 2014

The Federal Reserve Cartel: Eight Families who control the world

Book Release: The Federal Reserve Cartel

Federal Reserve Cartel Cover orig
I have just completed and published my fifth book.  The Federal Reserve Cartel is a brief well-documented history of the Eight Families who control the world’s private central banks and most of the planet’s resources.  For those of you who have read Big Oil…, this new book is essentially Chapter 19: The Eight Families, plus an ending that details a solution.

The 46-page book is $10.00 for paperback and $3.99 for e:book.
For all other e:book and PDF formats go to: https://www.smashwords.com/books/view/407183

giovedì 20 febbraio 2014

The Mega Banks' Most Devious Scam Yet

The Vampire Squid Strikes Again: 

The Mega Banks' Most Devious 

Scam Yet

Banks are no longer just financing heavy industry. 

They are actually buying it up and inventing bigger, 

bolder and scarier scams than ever


By Rolling Stone, February 12, 2014 


The Vampire Squid Strikes Again: The Mega Banks' Most Devious Scam Yet
Illustration by Victor Juhasz
C


all it the loophole that destroyed the world. It's 1999, the tail end of the Clinton years. While the rest of America obsesses over Monica Lewinsky, Columbine and Mark McGwire's biceps, Congress is feverishly crafting what could yet prove to be one of the most transformative laws in the history of our economy – a law that would make possible a broader concentration of financial and industrial power than we've seen in more than a century.
But the crazy thing is, nobody at the time quite knew it. Most observers on the Hill thought the Financial Services Modernization Act of 1999 – also known as the Gramm-Leach-Bliley Act – was just the latest and boldest in a long line of deregulatory handouts to Wall Street that had begun in the Reagan years.
Wall Street had spent much of that era arguing that America's banks needed to become bigger and badder, in order to compete globally with the German and Japanese-style financial giants, which were supposedly about to swallow up all the world's banking business. So through legislative lackeys like red-faced Republican deregulatory enthusiast Phil Gramm, bank lobbyists were pushing a new law designed to wipe out 60-plus years of bedrock financial regulation. The key was repealing – or "modifying," as bill proponents put it – the famed Glass-Steagall Act separating bankers and brokers, which had been passed in 1933 to prevent conflicts of interest within the finance sector that had led to the Great Depression. Now, commercial banks would be allowed to merge with investment banks and insurance companies, creating financial megafirms potentially far more powerful than had ever existed in America.
All of this was big enough news in itself. But it would take half a generation – till now, basically – to understand the most explosive part of the bill, which additionally legalized new forms of monopoly, allowing banks to merge with heavy industry. A tiny provision in the bill also permitted commercial banks to delve into any activity that is "complementary to a financial activity and does not pose a substantial risk to the safety or soundness of depository institutions or the financial system generally."
Complementary to a financial activity. What the hell did that mean?

Colorado Has Made So Much From Weed Tax

As other states struggle to find money for vital programs, Colorado has a different sort of problem. They have more money than they expected and now need to decide what to do with it.
According to the latest budget proposal released by Gov. John Hickenlooper, Colorado’s first official estimate of how much the state will get courtesy of the marijuana tax is $30 million over what voters were told they could expect. Originally, voters were told that the sales and excise taxes on recreational and medicinal marijuana sales would be about $70 million annually, that number now stands at $98 million. It might be the first time in history that voters were told something by a politician and it turned out to be 30 million times better than what was promised.
The enthusiasm for legal weed was much greater than anyone could have anticipated. Colorado, by becoming the nation’s first state that allowed recreational weed, opened the floodgates for people looking to buy the drug safely and legally. Now it is reaping the benefits of being first. Colorado natives and so-called weed tourists are flocking in. Marijuana dispensaries are making a killing. So much, in fact, that economists and policy makers are scrambling to reassess their estimates.
With the extra money, it is up to Governor Hickenlooper and his administration to figure out how to put it to good use. As part of the deal to legalize marijuana, the government had previously vowed to spend its profits on substance abuse prevention and other anti-drug programs. It was a pragmatic political move at the time; the lawmakers certainly didn’t want to seem like they were eager to profit off of the sale of what was once an illegal drug. Now they have cash in hand to make good on that promise.
Hickenlooper’s proposal listed six priorities for spending the pot sales taxes.
The spending plan included $45.5 million for youth use prevention, $40.4 million for substance abuse treatment and $12.4 million for public health.
“We view our top priority as creating an environment where negative impacts on children from marijuana legalization are avoided completely,” Hickenlooper wrote in a letter to legislative budget writers, which must approve the plan.
The governor also proposed a $5.8 million, three-year “statewide media campaign on marijuana use,” presumably highlighting the drug’s health risks. The state Department of Transportation would get $1.9 million for a new “Drive High, Get a DUI” campaign to tout the state’s new marijuana blood-limit standard for drivers.
Also, Hickenlooper has proposed spending $7 million for an additional 105 beds in residential treatment centers for substance abuse disorders. [source]
An additional $40 million that isn’t being included in the tax priorities listed above has been set aside for school construction next year. By years end, Coloradans will be able to see the tangible benefits that their progressive drug laws are having: Drug treatment centers and schools rather than jail and underground drug abuse.
Other states, particularly Washington which will begin its own experiment with legal recreational weed in a few months, are now making note of Colorado’s successes. It’s hard to imagine that only a few months ago, people were still not entirely convinced that recreational marijuana wasn’t a disaster waiting to happen. Those voices are becoming less and less common.

mercoledì 19 febbraio 2014

How Monks and Monasteries Saved Civilization and Killed Usury

How Monks and Monasteries Saved Civilization and Killed Usury

…by Jonas E. Alexis
http://www.veteranstoday.com/2014/02/12/how-monks-and-monasteries-saved-civilization-and-killed-usury/

Christ and the money changers
Christ and the money changers
In the first century, Christ cast the moneylenders out of the Temple, but they gradually arose again during the thirteenth century, which created economic panic among the peasants.
For example, the French town of Villefrance wrote to King Philip IV in the thirteenth century, saying that moneylenders “are absolutely and utterly destroying the town and district.”[1]
The moneylenders throughout the Middle Ages were involved in exploiting the peasants, and thus were hated. Even philo-Semitic historians such as James Parkes admitted that this was the case, where interest rates ranged between 22 and 173 percent.
Similar exorbitant interest rates were widespread throughout medieval England and France. The people behind all of this of course were Jewish moneylenders.[2] During that period, the word “Judaize” took a radical meaning.
Historian W. C. Jordan declared that it meant “to act like an outsider, to regard others not as brothers but under a different set of rules that permitted forms of exploitation that were forbidden to the circle of brothers and friends.”[3]
Jordan also observed that in the thirteenth century Jews in general “never successfully integrated themselves into the local society. They were always conceived as strangers involved in a business that was both extortionate and perverse.”[4]
This was part of the anti-Jewish reaction of that period, for Jewish authorities “suggested that charging interest to gentiles is a religious obligation for Jews.”[5] As a result of exorbitant interest rates,
“many ecclesiastical institutions went bankrupt and were closed down as a result of debts owed to Jews.”[6]
The moneylenders did not suddenly disappear in the early centuries. They evolved into usurious bankers and settled in private institutions which later controlled the ins and outs of nations.
Usurious contracts, which the Bank of England, the Bank of France, the Bank of Italy, the European Central Bank, the Bank of Canada, and the Federal Reserve have used since their inceptions, cannot be ruled out as a cause of the economic collapse.
Jesus-MoneychangersThis again is why serious Western thinkers through the ages saw usury as immoral. Usurious contracts certainly could not exist without “capitalism,” which makes greed, avarice, and many of the vices that early Church Fathers warn about legitimate.
As we have already seen in previous articles, in a usurious society, Mammon always comes first. From a Christian point of view, people have always come first, and using God’s gifts and talents for the benefit of all mankind should always be the ultimate goal.
It is for this purpose that in the seventeenth century many in the Catholic Church were motivated to help the Indians both spiritually and economically. As an alternative to the colonized thought of early Europeans which drove many of the Indians away from the Gospel, many took the path of self-denial and love that Christ had taught His followers.
As a result, a tremendous shift happened both in the economic and spiritual lives of the Indians. This was an alternative to the greed and avarice which capitalism made sophistically legitimate.[7]

BenedictRuleThe Christian principle of self-denial got its chance in the monasteries right after the fall of the Roman Empire. It was based on the principle Christ told a rich young ruler.
“If thou wilt be perfect, go and sell that thou hast, and give to the poor, and thou shalt have treasure in heaven: and come and follow me” (Matthew 19:21).
From this the Catholic Church deduced that priests or bishops ought to follow Christ rather than wealth, which can become a powerful stumbling block.
Hence, the monasteries were dedicated for people who would follow the principle of not only self-denial, celibacy, and obedience, but would also abstain from worldly attractions such as wealth.
Celibacy was important because “those who did not marry did not need money to support their families, nor did they need the autonomy necessary to use that money wisely as heads of households.” As E. Michael Jones points out,
“The monasteries became wealthy in the mundane sense by ignoring wealth. The individual monks renounced money, but their labors produced enormous wealth for the monasteries. The wealth grew over generations because the monks did not have children or the expenses they require.
“More importantly, their lands were not constantly divided as children inherited the land from their father. The monks who had turned their backs on wealth ended up living lives of wealth, and wealth led to moral decay. The enemies of the Gospel used that moral decay to justify their attack on a supernatural way of life deeply repugnant to the carnal mind.
“Christ told his followers that those who live according to the Gospel will elicit hatred from the carnal; the monasteries were no exception…Wealth can promote its own decline. Carnal clerics fuel resentment and oftentimes the very resentment their own immoral behavior has fostered in others.”[8]

9780226482057_p0_v1_s260x420Monasticism became the religious institution that sought to restore balance in pagan societies after the fall of the Roman Empire.[9] Monks were not only interested in prayer and fasting, but in saving a vast strata of life during the Middle Ages.
In fact, had it not been for their laborious work, Europe as we know it would have been a by-gone continent after the fall of the Roman Empire.[10] Cambridge Medieval historian Christopher N. L. Brooke acknowledges,
“The monastic library, along with the cathedral library, became the repository that ensured the survival of some part of the legacy of ancient literature.”[11]
Other leading scholars in this field, such as the late David Herlihy, have made similar remarks.[12] The academic and intellectual life, according to Brooke, began with Cassiodorus, who lived between 485-580 A.D. and who took a great effort to transmit Greek works into the West.
“His library was the last really massive collection of books that the ancient world produced….
“In the eleventh and twelfth centuries, when learning revived for good and all, his scheme provided one of the chief foundations for the reintegration of learning, sacred and profane, of Roman literary science and Christian theological science based on the study of the Bible.
“Cassiodorus was one of the most distinguished of a group of men who tried to gather in encyclopedic form the best of ancient learning before the failure of education and the barbarian onslaught destroyed it.”[13]
In addition, throughout the ninth, tenth, and eleventh centuries, monks were highly trained in the scholarly world.[14] Monks also participated in saving what knowledge was left about almost every aspect of life, including agricultural life.[15]
Those monks knew that they were working primarily for the glory of God, and as such they took some of the most “difficult and unattractive” jobs, such as working in swamps, which used to be considered not only a low occupation but “sources of pestilence.”
One of the primary reasons again was that civilization must reflect God’s creation and beauty.
grantThe Benedictine Rule emphasized that monks were obligated to participate not only in worship and contemplation, but also had the responsibility of doing manual work.[16] Benedict declared,
“Idleness is the soul’s enemy, and so at certain times the brothers ought to be engaged in manual work, and again at certain times in spiritual reading.”[17]
The work hours were varied, but on several occasions they would consist of more than twelve hours—from 2 am until 6:30.[18] In general, a typical day for monks “was given to labor, reading, teaching, hospital work, charity, and rest.”[19]
In 1197, when a famine hit a particular place in Europe, 1,500 people were taken care of; one monk remembered that they helped “all the poor who came to us.”[20] During the same crisis,
“A Cistercian abbey in Westphalia slaughtered all its flocks and herds, and pawned its books and sacred vessels, to feed the poor.
“Through their own labor and that of their serfs, the monks built abbeys, churches, and cathedrals, farmed great manors, subdued marshes and jungles to tillage, practiced a hundred handicrafts, and brewed excellent wines and ales.”[21]
In the process of time, “they managed to dike and drain the swamp and turn what had once been a source of disease and filth into fertile agricultural land.”[22]
This was so impressive that nineteenth-century historian Comte de Montalembert admitted,
“It is impossible to forget the use they made of so many vast districts, uncultivated and uninhabited, covered with forests or surrounded by marshes.”[23]
In a nutshell, the monks “taught metallurgy, introduced new crops, copied ancient texts, preserved literacy, pioneered in technology, invented champagne, improved the European landscape, provided for wanderers of every stripe, and looked after the lost and shipwrecked.”[24]
From villages to villages, cities to cities, and countries to countries, monks followed the same method of industry,[25] and thanks to them, Western civilization was restored during the Middle Ages; by that time, the works of art, biography, and history had began to shape Western culture[26] and later set the backdrop for the scientific revolution and the progress in abolishing slavery.[27]
The monks’ contributions to Western civilization were not limited to agricultural life and farming; they also restored the education that was largely destroyed by the barbarians after the fall of the Roman Empire.[28]
Universities, within a few centuries, got built. That monks constituted a central part in preserving a large section of Western civilization has been acknowledged even by some historians who were not sympathetic to monastic life. And all of this was done for the glory of God and for the benefit of His creatures and creation.[29] By the Middle Ages, as philosopher of science David C. Lindberg puts it,
“the church was one of the major patrons—perhaps the major patron—of scientific learning.”[30]
A proper survey of monks’ contributions to Western civilization has been lacking in works written by a number of writers and historians of some repute.[31] Maurice Keen in The Penguin History of Medieval Europe tells us that logic in particular “was uncongenial to the religious, reflective cast of monastic thought. It was not a subject to which the fathers or Holy Writ devoted much attention.”[32]
Within two sentences and with no historical depth and balance, the works of Aquinas, Athanasius, Tertullian, Ambrose, Jerome, Augustine, St. Anselm, among others who laid the intellectual foundations of Christendom, were dismissed! However, historian David Herlihy, who was one of the leading scholars in this field, tells us quite the opposite. He writes,
“Christian writers, and the tradition of Christian theology they developed, were instrumental in preserving at least in part classical rhetoric and logic—the fruits of the ordered intellect of antiquity.”[33]
Had it not been for the Church, according to Herlihy, the art of rhetoric, philosophy, and “orderly thought” would not have been preserved into the Middle Ages.[34]
Jewish historian Norman F. Cantor agrees that the Benedictines “were the pioneers in whatever rudiments of agrarian science the early Middle Ages possessed,” yet he goes on to indicate that they got their power from monopolizing others.
In Cantor’s view, their powers increased “as a result of the monastic monopoly of learning.”[35] Congruent with this view is the popular idea that the Church got rich in the Middle Ages because it plundered the wealth of others for its own gain. Moreover, the Church allied with the state primarily for political and lucrative reasons.
judithThere are other historians, however, who try to be fair and honest about the Middle Ages. George Homes in his quite balanced work The Oxford History of Medieval Europe tells us that there were many who converted “for political and financial backing,” but he also acknowledges that
“the Church had scored notable successes in establishing a Christian view of kingship, in setting up enduring centres of education and learning, in moving toward standardization of usages and, most important of all, promoting itself as a distinct elite corporation whose institutional and sacramental structure was intended to lead man to salvation.”[36]
Judith Bennett of the University of North Carolina, Chapel Hill, in her widely read college textbook Medieval Europe: A Short History, tells us that Benedictine monks and nuns
“controlled the main repositories of learning, producing most of the scholars of the age and preserving many texts that would otherwise have been forever lost. They were eager vessels of missionary activity, spearheading the penetration of Christianity into the forests of modern-day Germany and later into Scandinavia, Poland, and Hungary.
“They produced scribes to record the business of lay courts, advisers to princes, and candidates for high ecclesiastical offices.
And as recipients of numerous gifts of land from pious donors, they held and managed large estates, some of which were models of intelligent agricultural organization and technological innovation.”[37]
Bennett does not raise the theological plausibility that monks and nuns acquired that much power because they sought first the kingdom of God and His righteousness (and this is perfectly understandable),  and as such they were trusted with worldly goods which could not affect their souls and which they largely used for the glory of God.
In a message to me, Bennett conceded the point that she focuses on “the worldly intrusions that disrupted and guided monastic life that I underplay its spiritual motivations and benefits—both for monastics and for the laypeople for whom they prayed.”[38]
Previously, Bennett likened some of the activities in the monasteries to universities, and stated that there was a “need in secular society for the skills that could be acquired only in monastic schools.”
Judith Bennett
Judith Bennett
Bennett continues to declare that as a result of their dedication, hard work, and the wealth they accumulated through that, Benedictine monks and nuns “had an enormous impact on the world they renounced.”[39]
This of course is consistent with the teaching that Jesus told His disciples in Matthew 6:33, and which monks and nuns in general tried to apply. The only historian who was unashamedly fair on this particular issue was Will Durant.
After the monasteries trained monks and nuns to seek first the kingdom of God, “In the course of time the growing wealth of the communities overflowed into the monasteries, and the generosity of the people financed the occasional luxury of the monks.”[40]
Yet monks, like all other humans, were not immune to worldly temptations.
“Morals fall as riches rise, and nature will out according to men’s means. In any large group certain individuals will be found whose instincts are stronger than their vows. While the majority of monks remained reasonably loyal to their rule, a minority took an easier view toward the world and the flesh.”[41]

John William Draper
John William Draper
What we have been told for more than fifty years by a number of writers is that monks not only drew Europe to backwardness but stopped Western civilization from progressing. In addition, science reputedly moved backward during the Middle Ages and beyond because Christianity was out of touch with scientific enterprise.
This widely held view was popularized by John William Draper in his 1874 book History of the Conflict Between Religion and Science.[42] Draper’s thesis got refined a little by Andrew Dickson White in his 1896 book A History of Warfare of Science with Theology in Christendom.[43]
Yet those ideas were shown to be demonstrably and hopelessly false.[44] By the end of the twentieth century, the White thesis was completely abandoned by a vast majority of historians of science and intellectuals precisely because it was inadequate and unnecessary.[45]
Historian of science Ronald L. Numbers calls it “the greatest myth in the history of science,”[46] a myth that people like Sam Harris and Richard Dawkins still hold.[47]
As celebrated historian of science Edward Grant argues in his magnum opus Science and Religion, 400 B.C. to A.D. 1550: From Aristotle to Copernicus, the Middle Ages in particular were not “a time of ignorance” but “a period of striking innovation.”[48]
Yet the idea that science is in conflict with Christianity has survived in popular books by the “New Atheists.”[49] And, like Charles Darwin before him, White did not write his book on the basis of the sciences.
Darwin rejected Christianity primarily on the issue of suffering,[50] and White was reportedly motivated by his antipathy toward his sister for embracing Catholicism.[51]
Harvard scholar Julie A. Reuben made the point that White “cloaked his book in anti-Catholic rhetoric,”[52] an argument that later proved to be attractive in secularized Protestant culture which inevitably and indirectly produced racialist groups.[53]
White, who obviously had little knowledge of the history of science and religion, framed the conflict in non-negotiable terms: It is either science, which to White produced truths the Church had suppressed for centuries, or Christianity. In that sense, White also took issues with his fellow Protestants. He wrote,
“The two rival divisions of the Christian church—Protestant and Catholic—were thus in accord on one point: to tolerate no science except such as they considered agreeable to the Scriptures.”[54]
It is no accident that White was confused about the history of science and religion, and that thesis became so embarrassing that no serious scholar in the history of the sciences would advance it today, though it has been repeated ad infinitum in so-called atheist books.

monkeyThe Protestant Reformation changed a significant number of views. What was considered sinful became normal and what was normal became sinful. We saw in a previous article that the Church universally condemned usury as sinful, but Luther and Calvin superficially said otherwise.
And with the emergence of capitalism, virtually everything turned upside down. It used to be that England was a safe haven for the poor and needy, and one historian noted that a person would only walk a few yards in England without finding a place to stay the night.[55]
As Benedict’s Rule put it, “All guests who come shall be received as though they were Christ.” Thus, “monasteries served as gratuitous inns, providing a safe and peaceful resting place for foreign travelers, pilgrims, and the poor.”[56]
Motalembert cited another historian saying,
“Let them ask Spaniards or Burgundians, or any foreigners whatever, how they have been received at Bec. They will answer that the door of the monastery is always open to all, and that its bread is free to the whole world.”[57]
In several cases it was the job of monks
“to track down poor souls who, lost or alone after dark, found themselves in need of emergency, where a monastic hospital had been established amid the mountains of the Rouergue in the late sixteenth century, a special bell rang every night to call to any wandering traveler or to anyone overtaken by the intimidating forest darkness.”[58]
It is the same thing with monks living near the sea, setting up what we would consider in our modern time “stop signs” warning sailors of dangers ahead. In the case of shipwrecks, monasteries were already mobilized in places like Copenhagen to help.[59]
The monastic life, from its very inception with people like St. Anthony (251-356) in the third and fourth centuries, emphasized a humble spirit with respect to the poor and needy. When a merchant by the name of Apollonius became a monk, he immediately bought medicines and store houses in Alexandria, Egypt, to care
“for all the brotherhood in their sickness, for twenty years going the round of the cells from daybreak till three in the afternoon, knocking at the doors to see if anyone was sick.”[60]
Late Cambridge historian J. B. Bury acknowledges that there were some who wanted to abuse the system, where “impostors and charlatans under the guise of pretended austerities deceived the simple and lived upon alms received on false pretenses,”[61] and that many of those impostors got involved in “ecclesiastical politics and the theological controversies of the time” and spread those politics in places like Syria by the middle of the fifth century where again they immersed themselves in “violent and fanatical” episodes.[62]
GalileoGoestoJailBut in its ascetic conformity monasticism was generally based on self-denial and was conceived of as a haven for those who wanted to abstain from this world’s pleasure and seek first the kingdom of God.
In the process, work as well as prayer was of primary concern.[63] St. Basil (329-379) followed the same method of charity and taking care of the poor and other fellow men. St. Basil made it clear that
“work is of greater value than austerities, and drew the conclusion that fasting should not be practiced to such an extent as to be detrimental to work. All this represents a new range of ideas.”[64]
In the process, “orphanages were established, separate from the monasteries but close at hand and under the care of the monks, in which apparently children of both sexes were received. Boys also were taken into the monasteries to be educated, and not with the view of their becoming monks.”[65]
Yet monastic life, despite its widespread influence, did not come into full bloom until St. Benedict came along and made it “admirably suited to Western” conditions.[66]
This had tremendous and powerful results, and preserved much of Europe during the chaos after the fall of the Roman Empire.
By the time Charlemagne was crowned in 800, usury was already forbidden in the monasteries and Charlemagne reinforced that teaching. Charlemagne was a powerful force for spreading literacy and he even instructed those in the monasteries:
“Take care to make no difference between the sons of serfs and of freemen, so that they might come and sit on the same benches to study grammar, music, and arithmetic.”[67]
Yet greed later took over many of the monasteries, which indulged in gathering wealth and brought depravity and reproach upon themselves.[68] Sometimes it was negligence and carelessness on the part of the church. Durant writes,
“The papacy for a time entrusted financial affairs in England to the Cahorsian bankers; but their ruthlessness so offended the English that one of their number was murdered at Oxford. Bishop Roger of London pronounced an anathema upon them, and Henry III banished them from England.
Robert Grosseteste, Bishop of Lincoln, lamented on his deathbed the extortions of ‘the merchants and exchangers of our lord the Pope,’ who ‘are harder than the Jews.’”[69]
Durant however goes on to dismiss Jewish participation in money-lending,[70] but recent historical record tells us otherwise.[71]
By 1500, the church had already yielded to outside pressure from businessmen and lawyers that led to the reinforcement of usury. The church’s previous teaching with respect to economic life was strictly ignored. By this time, much of the earlier religious tradition had been secularized, and gradually the church lost its teachings, most particularly with respect to usury.[72]
In the process of time, kings and queens began to have power
“to nominate archbishops, bishops, abbots, and priors…Ferdinand and Isabella overrode the popes in filling many ecclesiastical vacancies in Spain. In the Holy Roman Empire, where Gregory VII had maintained against Henry IV the papal right of investiture, Sixtus IV conceded to the emperors the right of nomination to 300 benefices and seven bishoprics.
“The kings often misused these powers by giving church offices to political favorites, who took the revenues—but ignored the responsibilities—of their abbacies and sees. Many ecclesiastical abuses were traceable to such secular appointees.”[73]
durantIn this respect, Durant is more honest than many modern historians who see no difference between those within the church who loved their Mammon and those who wanted to follow the teachings of Christ. Carter Lindberg complains,
“The church could not change its long history of condemning usury, but the church did learn how to profit from what it condemned.”[74]
Who were those who profited from usury? Lindberg never tells us. The law of the United States condemns stealing. Suppose thousands of police officers steal. Does that prove that the law or the police force is a fraud?
Some scholars declare that capitalism evolved during the ninth century among Catholic monks who “were seeking to ensure the economic security of their monastic estates.”[75]
But none of these scholars take into consideration the fact that kings and queens appointed their own “bishops” and “monks,” many of whom were sinful people that ended up following the course of this world, something that was radically different than the ways early monks saw the monasteries.
There is ample evidence which shows that lending money at interest was even practiced among some bishops in the eleventh, twelfth and thirteenth centuries,[76] but in every case these people were appointees who had been seeking an earthly kingdom.
Durant declared, “As wealth mounts, religion declines,”[77] a statement which seems to reflect what the early church stood for: that seeking wealth for the sake of wealth and building an earthly kingdom by oppressing the poor through usury is contrary to the teachings of Christ.
Businessmen of course were the first to shout for joy when the teachings of the church with respect to usury declined. By the sixteenth century, the selling of indulgences led to a violent reaction which fueled the Reformation.
Yet seldom are these practices placed in comparison to those monks who actually repudiated the practice of usury and even indulgences.
The only person able to do such differentiation (to my knowledge) is Edward Gibbon. Gibbon blamed the Church for the fall of the Roman Empire, calling those monks “unfaithful stewards” who were involved in “rapacious usury.”
But Gibbon also suggested that this was not a widespread phenomenon. Pagans were in awe of the Church’s charity in taking care of the poor and needy; this “materially conduced to the progress of Christianity.”[78]
A final point we should emphasize here is that during the Middle Ages and beyond, the Church established the most highly regarded institutions in the world.
Oxford and Cambridge, along with other universities in places such as Toulouse, Orleans, Naples, Salamanca, Seville, Lisbon, Grenoble, Padua, Rome, Perugia, Pisa, Modena, Florence, Prague, Cracow, Vienna, Heidelberg, Cologne, Ofen, Erfurt, Leipzig, and Rostock were founded solely for the glory of God and the benefit of His creatures.

[1] Ibid., 66; also E. Michael Jones, “John Law and Paper Money,” Culture Wars, April 2012.
[2] MacDonald, Separation,47.
[3] Ibid., xxiv-xxvi.
[4] Ibid., 47.
[5] Ibid.
[6] Ibid.
[7] For a brief study, see E. Michael Jones, “Adam Smith, the Jacobite Rising, and the Catholic Alternative to Capitalism,” Culture Wars, June 2012.
[8] E. Michael Jones, The Jewish Revolutionary Spirit and Its Impact on World History (South Bend: Fidelity Press, 2008), 156.
[9] See Christopher Brooke, The Age of the Cloister: Monastic Life in the Middle Ages (Mahwah, NJ: Paulist Press, 2001); David Herlihy, Medieval Culture and Society (Prospect Heights, IL: Waveland Press, 1993).
[10] One historian who has gone to great lengths to document these historical accounts is Christopher Dawson,The Making of Europe.
[11] Christopher Brooke, The Age of the Cloister: The Story of Monastic Life in the Middle Ages (Mahwah, NJ: Paulist Press, 2003), 52.
[12] David V. Herlihy, Medieval Culture and Society (Prospect Heights, IL: Waveland Press, 1968), 13-17.
[13] Brooke, The Age of the Cloister, 53.
[14] Ibid., 52.
[15] Thomas E. Woods, How the Catholic Church Built Western Civilization (Washington, DC: Regnery, 2005), 29-30.
[16] David C. Lindberg, The Beginnings of Western Science: The European Scientific Tradition in Philosophical, Religious, and Institutional Context, Prehistory to A.D. 1450 (Chicago: University of Chicago Press, 2007), 154.
[17] Brooke, The Age of the Cloister, 72.
[18] Ibid., 71.
[19] Durant, Age of Faith, 785.
[20] Ibid.
[21] Ibid., 785-786.
[22] Woods, How the Catholic Church Built Western Civilization, 29.
[23] Ibid., 30.
[24] Ibid., 45.
[25] Ibid., 30-31.
[26] Brooke, The Age of the Cloister, 142.
[27] See Rodney Stark, For the Glory of God: How Monotheism Led to Reformations, Science, Witch-Hunts, and the End of Slavery (Princeton: Princeton University Press, 2006).
[28] Woods, How the Catholic Church Built Western Civilization, 29, 44-45; Herlihy, Medieval Culture and Society, 13-17.
[29] See Jean Leclercq, The Love for Learning and the Desire for God: A Study of Monastic Culture (New York: Fordham University Press, 1982).
[30] Lindberg, Beginnings of Western Science: The European Scientific Tradition in Philosophical, Religious, and Institutional Context, Prehistory to A.D. 1450 (Chicago: University of Chicago Press, 1992), 151.
[31] See Susan Wise Bauer, The History of the Medieval World: From the Conversion of Constantine to the First Crusade (New York: W. W. Norton, 2010); Morris Bishop, The Middle Ages (New York: Mariner Books, 2001); Robert S. Lopez, The Commercial Revolution of the Middle Ages, 950-1350 (New York: Cambridge University Press, 1998).
[32] Maurice Keen, The Penguin History of Medieval Europe (New York: Penguin, 1991), 96.
[33] Herlihy, Medieval Culture and Society, 6.
[34] Ibid., 8.
[35] Norman F. Cantor, The Civilization of the Middle Ages (New York: HarperCollins, 1993), 154.
[36] George Holmes, The Oxford History of Medieval Europe (New York: Oxford University Press, 2001), 45.
[37] Judith Bennett, Medieval Europe: A Short History (New York: McGraw-Hill, 2002), 77.
[38] Personal correspondence with Judith Bennett.
[39] Bennett, Medieval Europe: A Short History, 77.
[40] Durant, Age of Faith: A History of Medieval Civilization (New York: Simon and Schuster, 1050), 786.
[41] Ibid.
[42] John William Draper, History of the Conflict Between Religion and Science (New York: D. Appleton, 1874).
[43] Andrew Dickson White, A History of the Warfare of Science with Theology in Christendom (New York: Prometheus , 1993).
[44] See for example Lindberg, The Beginnings of Western Science; Jean Leclercg, The Love for Learning and the Desire for God: A Study of Monastic Culture (New York: Fordham University Press, 1982); Edward Grant,Science and Religion,400 B.C. to A.D. 1550: From Aristotle to Copernicus (Baltimore: Johns Hopkins University Press, 2004); for similar studies, see Toby E. Huff, The Rise of Modern Science: Islam, China, and the West (Cambridge: Cambridge University Press, 2003); Peter J. Bowler and Iwan Rhys Morus, Making Modern Science: A Historical Survey (Chicago: University of Chicago Press, 2005); Peter J. Bowler, Monkey Trials & Gorilla Sermons (Cambridge: Harvard University Press, 2007).
[45] See Ronald L. Numbers, ed., Galileo Goes to Jail and Other Myths about Science and Religion(Cambridge: Harvard University Press, 2010); Gary Ferngren, ed., Science and Religion: A Historical Introduction (Baltimore: Johns Hopkins University Press, 2002); John Hedley Brooke, Science and Religion: Some Historical Perspective (Cambriege: Cambridge University Press, 1998); David C. Lindberg and Ronald L.
Numbers, God and Nature: Historical Essays on the Encounters between Christianity and Science (Chicago: University of Chicago Press, 1986); When Science and Christianity Meet (Chicago: University of Chicago Press, 2003).
[46] Numbers, Galileo Goes to Jail, 1.
[47] See Sam Harris, The Moral Landscape: How Science Can Determine Human Values (New York: Free Press, 2010); Richard Dawkins, The Blind Watchmaker: Why the Evidence of Evolution Reveals a Universe Without a Design (New York: W. W. Norton, 1996).
[48] See Grant, Science and Religion, chapter 1.
[49] See Daniel C. Dennet & Alvin Plantinga, Science and Religion: Are They Compatible? (New York: Oxford University Press, 2010).
[50] See Adrian Desmond and James Moore, Darwin: The Life of a Tormented Evolutionist (New York: W. W. Norton, 1991).
[51] Ronald L. Numbers, ed., Galileo Goes to Jail and Other Myths about Science and Religion (Cambridge: Harvard University Press, 2010), 3.
[52] Julie A. Reuben, The Making of the Modern University: Intellectual Transformation and the Marginalization of Morality (Chicago: University of Chicago Press, 1996), 34.
[53] For a historical survey on a similar topic, see for example Brad S. Gregory, The Unintended Reformation: How a Religious Revolution Secularized Society (Cambridge: Harvard University Press, 2012).
[54] Ibid., 34.
[55] William Cobbett, A History of the Protestant Reformation in England and Ireland (London: Charles Clement, 1824).
[56] Woods, How the Catholic Church Built Civilization, 38.
[57] Ibid., 38.
[58] Ibid., 38.
[59] Ibid., 38
[60] J. B. Bury, Cambridge Medieval History (New York: MacMillan, 1911), 1:523.
[61] Ibid., 1:530.
[62]Ibid., 1:530-531.
[63] Ibid., 1:530-535.
[64] Ibid., 1:528.
[65] Ibid.
[66] Ibid., 1:536.
[67] Jones, Jewish Revolutionary Spirit, 155-156.
[68] Mooney, Usury, 41.
[69] Durant, Age of Faith, 628.
[70] Ibid., 628-630.
[71] See for example William C. Jordan, The French Monarchy and the Jews: From Philip Augustus to the Last Capetians (Philadelphia: University of Pennsylvania Press, 1989).
[72] Jones, Jewish Revolutionary Spirit, 156.
[73] Durant, The Reformation, 14-15.
[74] Ibid., 15,
[75] Carter Lindberg, The European Reformations (Malden, MA: Blackwell, 2010), 114.
[76] Stark, The Victory of Reason, 55.
[77] Ibid., 60-61.
[78] Edward Gibbon, Decline and Fall of the Roman Empire (New York: Penguin, 1994), 1:463.
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