October 7, 2009

Addicted to Money: Part 1 - Who Killed the Economy?

Posted in Media · 17 comments ·

Trailer for part 1 of the three part series, Addicted To Money

Who Killed the Economy?

In Episode 1 `Who Killed the Economy?’ we go on a forensic investigation to work out the root cause of the Global Financial Crisis. Using the analogy of ‘easy credit’ as a form of drug that we all became addicted to, David guides us through a tangled web of this economic underworld – the seduction we all went through, our increasing need for more and more credit, shady back door banking deals, blatant corruption, greed and blind witnesses. We climb the various levels of the economic drug pyramid from the streets where the quality of the drug was diluted by the many dealers taking their cut, back up to the top where the drug was at its purest. We explore the workings of the cartel – who was making it, who was pushing it, who was using it, who was turning a blind eye and who was making a massive profit.

Further information on the RTE website.

  1. Alan42

    Any idea of when it is being aired in Australia ?

  2. gibbonm

    Good program. Watched Prime time befor hand there was an interesting interview with Nobel Pirze winner Stiglitz. According to him, over paying for Nama Assets is a crime, and the Gov is robbing the tax payer, he also mentoned debt/equity swap as a way of dealing with the current crisis. The description of the derivitaves as good loans mixed with bad so investors did not know what they were buying is a good one. It also describes NAMA perfectly, we the tax payed are being asked to overpay for a mixed bag of loans, we do not know how many toxic assets we are buying. looking foward to the next episode.

  3. cozzy121

    Great program David, congrats to all involved. Some of the facts were truly frightening (derivatives market worth over $600TRILLION, US bank executives paying themselves $95 Billion in bonuses between 05 to 07) and some good digs at our incompetent regulator and at NAMA.
    Will be watching the next one!

  4. adamabyss

    The whole thing was a bit too flashy for me, but that’s the way of the world today I suppose. It’s like David’s books – I enjoy the economics explanations which are great for a layman like me but the caricature chapters or passages get boring after the first couple of paragraphs. Anyway, well done David – your final words were quite provocative – ‘Are you going to let them get away with it?’ or ‘What are you going to do about it?’ – words to that effect anyway. I have just arrived back in Ireland in the last week and been confined to bed since then with a bad flu but the tension in the country is palpable. I spent the last week holed up reading ‘The Pope’s Children’ and ‘The Generation Game’ – books that I couldn’t pick up easily in the Caribbean or the US. I also read ‘Irelands Economic Crash’ by Kieran Allen last night, which was quite informative and seems to agree mostly with you. He’s another man who wants a revolution or at least a reaction here in Ireland and is waiting for a new caring socialist state – a dream he freely admits is utopian and unlikely to happen. Well let’s see what happens, personally I will be back overseas as soon as humanly possible. I’ll still be here next Tuesday though when part two comes out so I’m looking forward to that. For readers of the site there’s not a lot of new info in the program but at least it’s presented through a different medium. Hopefully more people might catch on to the biggest bank robbery in human history. Good luck to you David. Keep up the good work. Looking forward to the new book too. Adam.

  5. biskalero

    Very good show , just the timing of it though is bit weird , why not before the Lisbon Treaty after all the EU has control over our Monetary system therefore is in line with the banks. Also the EU are backing our legal robbery scheme ( NAMA ). I honestly nearly cried on the fourth because people have been hoodwinked into voting yes. The last few days it’s been all about “John cash O’Donogue” and not a word abot the treaty about NAMA , it’s shocking how are media latches on to meaningless stories to deflect us away from the crimes that are being committed against this beautiful country of ours. I hope people really open their eyes and wake up out of their slumber because our country has been robbed and our freedom has been eroded by these criminals.

  6. MK1

    Hi David,

    Watched the show online (just about) and thought it was good.

    Yes, easy credit and indeed credit itself was the drug. Coincidentally, I used the drug analogy on your blog way back, where credit = heroin and I think several lambasted the idea. But credit is addictive and we as a planet have fallen into that trap.

    You mentioned the cash savings doubling from 36 trillion to 72 trillion, but what about the other part of the global “balance sheet” and our debt, which is MORE than this? Earth is in net debt, to itself!

    You didnt mention Basle I and II specifically, again two factors which have allowed banks to reduce their retained capital to manage those “drug/credit users” that over-indulge.

    I wasnt au fait with the SEC restraints on borrowing being lifted, but I was amazed over the years 2005+ how the Investment Banking community’s profits exploded to the upside. Regulation was clearly asleep at the wheel.

    Lehman is but a fraction as you correctly point out, but you are 100% correct when you state that money/credit systems are all based on trust. They are. In 2008, that trust wobbled and all the governments interventions since then is to shore up the ‘drug’ environment. Not to repair it. That requires us weaning off credit.

    Have you seen David Faber of CNBC and his House of Cards documentary? Similar points and causes to yours.

    Your programme has outlined some salient points but will it change “our” (= their) practices? Thats what we need to do.

    Hopefully the other episodes will further educate and shock some people into action, especially those in power.

    Whither a social revolution ,……


  7. Ciaran

    Enjoyed the programme too, made in an easy to understand way. I like the way you didn’t let the Fed off the hook even though Chinese savings & others were also responsible for the glut of credit in the economy.

    Kudos on getting Peter Schiff on the programme too, I’m looking forward to next week.

    Keep telling it as it is.

  8. biskalero

    I believe people witin our governement deserve to be tried for treason against the Irish people plain and simple. They sold our country out.
    Treason Act 1939

    2.–(1) Every person who encourages, harbours, or comforts any person whom he knows or has reasonable grounds for believing to be engaged in committing treason shall be guilty of felony and on conviction thereof shall be liable to a fine not exceeding five hundred pounds or, at the discretion of the Court, to penal servitude for a term not exceeding twenty years or imprisonment for a term not exceeding two years or to both such fine and such penal servitude or imprisonment.

  9. Ruairi

    Easy peezy Japanesy lads and ladies!

    Just send Bono out to the 4 corners and get them to forgive our debt.

    • Deco

      How about getting Bono to start paying PAYE like the rest of us.

      I believe Bono is big into ‘solidarity’ as long as he is not the one who has to do it !!

  10. jeycon

    Any idea if it will be shown on UK tv? We can’t watch over the web because of the “outside Ireland Blackout” on RTEplayer. Will David be giving access to the programme via this website sometime soon?

  11. naughtv3

    Great show, and a great eye-opener for us non economic people, but one thing let it down – really bad production, cheesy transitions and poorly executed motion graphics. Maybe next time spend less on your travel budget and beef up/invest in the production of your documentaries, the DMcW brand suffered from it!

  12. scrawb

    I’m just an ordinary ‘Joe Sixpack’ who spent 3 years sweeping housing estates where people were moving in while walking up to their ankles in mud. Even their cars were covered in mud and, until I came across your perspective on this scenario, I couldn’t reconcile what I was witnessing.
    From the picture that you present in ‘Addicted to Money’ it appears that the inept Irish government are now borrowing money that doesn’t exist just to hang on to power. With a bit of luck some of the ‘architects’ of this mess will pay a ‘suitable’ price before we, the poor, end up at each others throats for basic survival.
    But, if matters get to critical proportions, at least we have election of Bertie Ahern as President of Ireland to look forward to!

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