Essential reading for anyone wanting to understand America's financial power
587692
It is rare to find a book that tells the reader something vastly consequential that no other book has told before. Treasury's War is such a book.

As Iran races toward the bomb, as North Korea races toward miniaturizing the one it has, and as Syria uses chemical weapons largely acquired from North Korea and paid for by Iran, journalists and academics falsely assume that policy-makers have only two options -- military force, and the same diplomatic strategies that have failed, consistently, for decades.

Treasury's War is an insider's account of how Treasury Department lawyers and regulators bled Al Qaeda dry, brought North Korea to the brink of financial collapse, and have since done the same to Iran -- all without firing a shot. This new financial strategy, if used carefully and selectively and in concert with other tools of national power, may give our diplomats the leverage they've long needed to deal with rogue regimes that are not deterred by threats of force from a war-weary America. It's also apparent that some diplomats will first need a better understanding of how to use that leverage effectively.

The key to this new strategy is the status of the U.S. dollar as the world's reserve currency, and New York's banks as the hub of the world financial system. (If nothing else, this should be required reading for those who would deny the implications of a U.S. default.) All international wire transactions denominated in dollars require access to U.S.-based "dollar-clearing" services and correspondent accounts. Treasury regulators can deny bad actors access to that system at its hub, and as Zarate explains, the consequence for the target is economic devastation. Treasury's global reach derives from the adage that capital is a coward. Banks can't afford to suffer harm to their reputations or a loss of access to the hub of the financial system.

Thus, blacklisting one bank in Macau in late 2005 for laundering North Korea's counterfeit currency had a global ripple effect, with banks everywhere distancing themselves from North Korea, at least until the State Department forced Treasury to reverse itself in early 2007.

Zarate's chapters about North Korea portray the Bush Administration's State Department, particularly its negotiator Christopher Hill, in an unflattering light. For years, North Korea counterfeited U.S. currency and used the financial system for proliferation and money laundering (which it continues to do to this day). Treasury acted to isolate North Korea, and to protect the dollar and the financial system against those threats. Banks everywhere responded, and the resulting pressure drove Kim Jong Il back to the bargaining table. Unfortunately, in his desperation for a deal and ignorance of how the financial authorities worked, Hill forced a clumsy, embarrassing, and unilateral roll-back of Treasury's campaign. This not only failed to address North Korea's illicit activity, it removed the very pressure Hill would later need to prevent Kim Jong Il from reneging on his agreements. The results were predictable.

Today, an even more intense campaign of financial pressure has brought Iran's economy to the brink of collapse, and Iranian negotiators back to the table. Will State fail to learn the lessons of North Korea?

If you're looking for great literature, look elsewhere. Zarate's simple prose is meant to explain complex ideas to those us who aren't bankers, and it does this effectively enough. Zarate's last chapters are a rushed litany of ideas whose vast importance the reader will grasp, but just barely. Unfortunately, Zarate doesn't quite pursue them to conclusion with concrete recommendations. There may be material enough here for another book. Until then, no person can fully understand U.S. foreign policy without also understanding its growing financial component. No single source explains that component better than Treasury's War.
1092971
this is a must read for any american that is interested in being prepared for an uncertain future.  it is exceptionally well written and lays out a blueprint for future financial security.  jmh
2944755
In the late summer of 2008, many Americans were stunned to learn that their tax dollars were required to bail out large financial and insurance corporations that had become "too big to fail."

With a thorough grounding in both the free market and freedom; the authors of this book spoke presciently in 1936 in terms so timeless that their words seem as though they were written last year. Who Owns America explains this phenomenon and also how it can be fixed and avoided in the future WITHOUT resorting to statist economic models such as socialism.

In a series of essays written during the Great Depression, the authors lead the reader through a comprehensive re-thinking of economics, employeeism and priorities.

Too often, economic ideas are presented along a continuum between socialism and capitalism; with the implicit message that options along that continuum are all that is available. For the first time for many readers, this book will open the eyes and the mind to a whole new world of very worthwhile ideas that fall outside of the artificial limitations imposed by economic labels.

I recommend this book very highly to anyone who would like to REALLY understand the fundamental economic issues we are facing instead of blindly accepting the re-digested garbage from people with a current political axe to grind.
3981623
This is simply the most thorough, researched, and up to date book of its kind.  I would call it essential to have,  as the national and global economic situation is entering right now into the dramatic and tumultuous throes of the end of the 100 year or more Ponzi scheme that IS our national economy.  There have been terrific books by Griffin and Mullins and quite a few others describing the origins of the monetary system that has brought us to this point of collapse and ruin;  but they are 20 to 30 years old,  and do not include and explain the latest machinations of the Debt/Money machine, such as derivitives,  hedge funds, naked short selling, plunge protection teams, the petro dollar, the housing bubble and more.  And  all is explained, despite the book's historical breadth and up to date detail,  in a story line narrative fashion that is personable and enjoyable, with a great sense of discovery.
  The best part is the optimistic presentation of what a sane and sensible money system might look like,  that is free of deception and theft from hidden corporate masters.  And the solution is not a simple reversion to a sort of fundamentalist gold approach.... The subject of gold is actually explored in all of its history of past abuse and control by the same sort of masters we now have,  as well as the current pitfalls we would face.  Solutions are based, however, upon the ideas and practices of some of America's founders,  and on workable examples based upon what a community and nation' real wealth consists of.
  Can be read as a narrative,  or you can jump in on any chapter and clarify a multitude of mysteries about just what levers are being pulled by the guys behind the curtain.  I think the author goes in the right direction for a way out,  but the book begs for a sequel dealing with the detailed design of such a plan,  so it, too, does not become a trap a century later.
2890773
Bookstaber has written a cogent, understandable and witty guide to the structural and human underpinnings of the current financial crisis.  While this book requires thoughtful reading, it does not assume that the reader is technically savvy about markets or the plethora of financial instruments that have come to have such a dramatic impact on U.S. and world economies.  I unhesitatingly recommend this book to anyone wishing a deeper understanding of the problems that can and have been created by financial markets and instruments.
2820447
I had heard of this book, and 'on a lark' bought it. Reading this was a real educational event. EVERY AMERICAN should read this.
Mrs. Huffington, gives names of CEO's that have been convicted, ones investigated, outlines what they did to amass their fortunes. Mrs. Huffington (who is a Rhodes Scholar), explains  corrupt methods, used by many of these CEO's, in a such plain terms, anyone should be able to understand.
How did you lose your 401K, you pension, why did your job go overseas? Let me quote from the excellent book:
[quote]

  "Since the beginning of the new century [2000], over 570 public companies--including most famously Enron, Global Crossing, Adelphia, WorldCom and Kmart--have declared bankruptcy."
  "Nearly $9 trillion in market value has been lost on Wall Street. But while the average American has suffered staggering losses in 401(k) and pension value, and many have struggled to stay afloat, the average CEO has added millions to his personal wealth. In corporate America, apparently, nothing succeeds like utter failure."
  "At Enron, after tens of billions of dollars vanished--including over $1 billion in employees' pension funds---and over 4,000 employees had been laid off, Enron's "Kenny Boy" Lay strolled out the door with over $100 million."
  " In his last three years at Tyco, Dennis Kozolwski received $466.7 million in salary, bonuses, and perks. He did such a bang-up job that since the summer of 2001, Tyco has closed or consolidated 300 plants and laid off 11,000 workers."
  "When Bernie Ebbers resigned from WorldCom--claiming he didn't understand that WorldCom was defrauding investors of $7 billion--and received over $44 million in pay; His severance package promised him $1.5 million a year for the rest of his life, and the use of the WorldCom jet for 30 hours a year. And medical benefits. And life insurance. And a desktop computer."

Source-"Pigs At The Trough"-Arianna Huffington;copyright-2003; ISBN 1-4000-4771-4;-page-38-9
Do you wonder why the price of prescription drugs remain high?
[quote]

  "The pharmaceutical industry spent a whopping $177 million on lobbying in just the last two years. And of their 623 registered lobbyists, more than half are former members of Congress or former government employees. Which is nice, because if you're a young politician selling off your vote and your integrity, it's easier if there's a seasoned veteran involved who was once in your shoes."
  "Secretary Donald Rumsfeld was formerly CEO of drug giant G.D. Searle, and White House Budget Director Mitch Daniels was a senior vice president at Eli Lilly."

Source-"Pigs At The Trough"-Arianna Huffington;copyright-2003; ISBN 1-4000-4771-4;Page-139
Everyone should read this book.
1046469
Bob Sullivan is on a mission to educate Americans and change the way we view and spend our money.  He genuinely writes to help people; in this case, help people realistically improve their financial situation simply by using the money they already have in smarter, more creative ways.

He writes as if he has an established relationship with his readers. (He does.)  He made me come face to face with my own quirky habit of sloughing off responsibility for paying attention to the little numbers.  As he explores throughout the entire book, it's those little numbers that add up, ultimately creating opportunity for the long term financial stability that many Americans crave these days.

But he does more than just point out the little numbers and why they are important.  He actually takes it further and explains the system, and then how we as consumers can use that knowledge of how the system works to move our money smartly and avoid paying unnecessary fees.  There is in-depth explanation of how recent changes in the banking system throw some of our conventional thinking about credit cards, checking accounts and ATM transactions upside down, and what we can do as account holders to maximize our benefits and eliminate financial penalties.  As a consumer, I can refer back or skip ahead to different sections of the book as/when needed for specific tips on buying a car, shopping for a mortgage, paying for college, negotiating cable TV and cell phone service companies, whatever is most relevant to my daily life that will translate to long-term financial health.

My guess is that I will easily pocket the cost of this book time and again simply as a result of being educated by it and knowing I have the option to go back and refer to it as needed.
4883493
The author bends over backward to make this miraculous and challenging book understandable. Piketty's mission clearly is not to espouse an ideology or to forecast the future but to present  an unassailable amount of data to support his analysis of wealth inequality in various parts of the world since the 1700's.  He makes his main points with clarity and frequent summations. This is essential reading for an understanding of capitalism and out current economic crisis.
1131376
The author is speaking from an academic standpoint as well as an experienced Washington insider. Any American who is a member of the current middle class should read this book and learn how much their portion of the technological boom  has been given over to the super wealthy.
2217958
I used to have a Churchillian thought pop into my head whenever the topic of the Federal Reserve came up, "It was a riddle, wrapped in a mystery, inside an enigma." But then I found the key: The Power and Independence of the Federal Reserve. This book is a must-read for people like me who have little to no background in law, banking, finance, or economics (outside the occasional article from the WSJ or the Economist) and who want to understand what the Fed actually is and what it actually does. Instead of amplifying the Fed's intimidating mystique, Peter Conti-Brown punctures it with straightforward metaphors, easy-to-read prose, and a handful of simple yet effective visual aids. As an avid nonfiction reader, my test for this type of book after reading it is whether it I feel I could explain its subject matter to fellow laypeople in terms they could understand. This book passes that test with ease.
1307810
Steve makes a compelling case about the need to pay attention to what the Fed is doing to the value of our money. This is not just a financial issue, its a strategic security issue as well. The US is as strong as its currency is, when the world knows they can count on the dollar they invest in the dollar and the United States. Steve explains these issues in clear and direct terms with easily understood solutions to the problem. He does so in plain direct terms not economic jargon. I find the book a compelling read and one that focus the mind on the dangerous course the Fed is taking, everyone would benefit from reading and giving this issue great thought.
2921642
After the 2008 crash, TARP, and all the other alphabet list of Fed intervention and political machination, I immersed myself in learning what is really happening with our markets and country.  This book provides a solid foundation for that understanding.  It breaks new ground in identifying specific causes, and unnecessary prolongation, of the Great Depression. Smoot-Hawley tariffs and the Crash of 1929 are identified as mercantilist actions which were then compounded by wave upon wave of destructive economic legislative and executive actions, assuring the decade long Great Depression.  It traces from 1880 to the present the forces which drain capital from the middle class by using government influence.  Official malfeasance which serves the interests of the mercantilist is occurring at an alarming rate today and portends the end of our Republic if allowed to continue unchecked.  Framed in the perspective of classical economics, it lifts the curtain on the forces that actually determine markets and events.  It is a wake-up call for anyone alarmed by the current political and financial turmoil.
866367
I am half way through the book and I have to admit I have found excellent succinct answers to a lot of general questions I've had throughout my life - how can you forecast an economy? Why did exactly the Soviet Union collapse? What are the presidents like in person? How is that supposedly big-government democrats end up with budget surpluses, but small-goverment republicans with huge budget deficits?
Alan Greenspan is one the most important people to have lived the past 30-40 years, and has had a hand in every important political/economic decision either directly or through side participation. I find his penmanship outstanding and his personal views very insightful and refreshing. His writing is definitely not Fed speak and on the contrary very engaging. Now you do need to be at least an amateur economist to understand some of the concepts in there. But it is truly amazing that a guy who wanted to be a musician and learned to play sax with Stan Getz, actually ended up running the biggest economy in the world. I think this book would prove to be a fascinating read for everyone who reads the Wall Street Journal on a daily basis.
2640646
Finally, an insightful, detailed, and massive compilation of America's economy and investment markets.  This book is HIGHY recommended.

The reviewer below is actually wrong in his simplistic assumption that deflation is the exact opposite of inflation.  While deflation tends to cause a relative increase in buying power, this effect is only when deflation is modest and in the early stages.  During a more prolonged period, deflation creates a decline in GDP and therefore purchasing power due to the relative effects on currency exchange rates.

I find it amazing that a person could give such a bad review over one statement that he thinks is wrong (when in fact it is not) despite all of the massive data and extensive coverage of material.  If a reader chooses to cherry pick from within a massive resource such as this book, they will miss the forest from the trees.
4362999
Mark Grimaldi and G. Stevenson Smith have written an interesting, readable book about the devolving financial system we find in America and the rest of the world today.  The prose is clear and concise.  People who are worried about the financial future of America should read this book (and that should be everyone, by the way).  The authors do not only explain what the problems are, they also offer countermeasures that individuals can take to protect their hard earned net wealth in the future.
3535204
This should be a must read for anyone who wants to understand basic economics and how they affect where our worlds money system is going.  Also give an honest expose of the fragile, downward spiraling American dollar and bank system. BitCoins here we come...
3564538
Since the fall of 2008 I've bought and read 35 books on economic related subjects - most from Amazon here - and been scanning 17 blogs by experts such as Krugman and Simon Johnson in my attempt to understand what is really happening - how the current financial crisis evolved and where it is going.

This book gives Mason's (economics editor for BBC's newsnight) perspective in a comprehensive logical detailed way - backed up by 230 footnotes; and gives a logical explanation of where we are probably headed.

He explains how world forces are breaking the dominance of the US oligarchs and will probably force the US into having a responsible financial sector. He describes a future evolving as a struggle between the workers of China - versus the power structure of China - versus the class interests of the West.

It is by far the best explanation I've seen.