Preface for Zero Hedge readers: This is on-topic because terrorism is bad for the economy.
Forget the claims and allegations that false flag terror - governments attacking people and then blaming others in order to create animosity towards those blamed - has been used throughout history.
This essay will solely discuss government admissions to the use of false flag terror.
For example:
* The CIA admits that it hired Iranians in the 1950's to pose as Communists and stage bombings in Iran in order to turn the country against its democratically-elected president
* Israel admits that an Israeli terrorist cell operating in Egypt planted bombs in several buildings, including U.S. diplomatic facilities, then left behind "evidence" implicating the Arabs as the culprits (one of the bombs detonated prematurely, allowing the Egyptians to identify the bombers, and several of the Israelis later confessed) (and see this and this)
* The well-respected former Indonesian president admits that the government probably had a role in the Bali bombings
* The former Italian Prime Minister, an Italian judge, and the former head of Italian counterintelligence admit that NATO, with the help of the Pentagon and CIA, carried out terror bombings in Italy and blamed the communists, in order to rally people's support for their governments in Europe in their fight against communism. As one participant in this formerly-secret program stated: "You had to attack civilians, people, women, children, innocent people, unknown people far removed from any political game. The reason was quite simple. They were supposed to force these people, the Italian public, to turn to the state to ask for greater security" (and see this)(Italy joined NATO in 1949, years before the bombings occurred)
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