Geopolitical Tensions are Designed To Distract the Public from Economic Decline

Tracking geopolitical and fiscal developments over the past several years is a bit like watching a slow motion train wreck; you know exactly what the consequences of the events will be, you try to warn people as much as possible, but, ultimately, you cannot reverse the disaster. The disaster has for all intents and purposes already happened. What we are witnessing is the aftermath as a forgone conclusion.

by Brandon Smith | Alt-Market.com

This is why whenever someone asks me as an economic and political analyst “when the collapse is going to happen,” I have to shake my head in bewilderment. The “collapse” is here now. It is done. It is a historical fact. It’s just that not many people have the eyes to see it yet, primarily because they are hyper-focused on all the wrong things.

For many centuries now, elitists in power have understood the value of geopolitical distraction as a tool for controlling the masses. If you examine the underlying motivations behind the majority of wars between nations regardless of the era, you will in most cases discover that the power brokers on both sides tend to be rather friendly with each other. In fact, monarchies and oligarchies are historically notorious for fabricating diplomatic tensions and conflicts in order to force populations back under their control. That is to say, wars and other man-made conflicts give the citizenry something to react to, instead of hunting down the establishment cabal like they should.

One of the greatest illusions of human progress is the notion that most conflicts happen at random; that there are two sides and that those sides are fighting over ideological differences. In truth, most conflicts have nothing to do with ideological differences between governments and financial oligarchs. The REAL target of these conflicts is the people — or, to be more precise, the psychology of the people. Conflicts are often engineered in order to affect a particular change within the minds of the masses or to distract them from other dangers or solutions.

These scenarios are taken at face value by many because, unfortunately, most people have short attention spans. If an observer in 2007 was to be transported 10 years into the future, in 2017 they would find a world in dramatic and horrifying decline. The shock would be overwhelming. Ask an observer today what they think of the state of the world and they might not see much to be concerned about. The human mind becomes easily acclimated to crisis over time. We are resilient in this way, but also weak, because we forget the way things should be in order to deal with the way things are.

We only seem to take drastic actions to improve our situation after we have already hit rock bottom. The year of 2017 has so far been host to some extreme accelerations in crisis and collapse, and rock bottom is not looking too far away anymore.

Four trigger points around the globe concern me greatly, not because I think they will necessarily lead to a disaster any greater than the one we are already living in, but because they have the potential to effectively distract the public from more serious concerns. I am of course talking about the powder keg issues of Syria, North Korea, China vs. India, as well as Russia.

First, let’s be clear, the ongoing destabilization of our economy should be the primary concern of every person on the planet, most particularly those in the West. We are living within the husk of a dead fiscal system, reanimated with the voodoo of central bank stimulus, but only for a limited time. Economic decline is the greatest threat to cultural longevity as well as to human freedom. Even nuclear war could not hold a candle to the terror of financial disaster, because at least in a nuclear war the slate is wiped clean for establishment elites as well as the normal population. At least, in the event of nuclear war, the elites face anarchy just like we do.

In an economic crisis, the establishment maintains a certain level of control and thus its arsenal of toys – Including biometric surveillance grids, standing military support in the form of martial law, as well as the delusion among the populace that things “might go back to the way they were before” given enough time and patience.

There will be no nuclear war. Perhaps a limited nuclear event, but not a global exchange. There will be no moment of apocalypse as it is commonly displayed in Hollywood films. However, we WILL witness lesser conflicts as a means to turn our gaze away from the economy itself.

To give a quick summary of the economy so far from an American perspective, I must first remind readers of the constant misinformation that is often used by government institutions and central banks in order to hide negative data. For example, recovery proponents will sometimes cite the supposed “decline” in the number of people registered for food stamp (SNAP) benefits from the 47 million peak in 2013 to 42 million recipients today. Yet, they rarely mention the fact that much of this decline is directly attributed to states now enforcing work requirements instead of simply handing out SNAP cards like Mardi Gras beads.

They also still, for some reason, like to cite the decline in the unemployment rate to 4.4 percent while continuing to ignore the fact that 95 million working age Americans are no longer counted as unemployed by the Bureau of Labor Statistics. They argue that this is an entirely acceptable condition, even though it is unprecedented, because “home surveys” from the BLS claim that most of these people “do not really want to work.” These utterly ambiguous surveys leave open ended data to be interpreted essentially however the BLS wants to interpret it. Meaning, if they want to label millions of people as “disinterested” in employment, they can and will regardless of whether this is true or not.

Retail store closures have tripled so far this year, with 8,600 stores projected to close in total in 2017. This far surpasses the previous record of 6,163 stores in 2008 at the onset of the credit crisis.

This incredible implosion in brick and mortar business is often blamed on the rise of internet retail, or the “Amazon effect.” This is yet another lie. Total e-commerce sales only accounted for 8.5 percent of total U.S. retail sales in the first quarter of 2017 according to the commerce department. This means that internet retail is nowhere near large enough to account for the considerable loss in standard retail business. Thus, we must look to the stagnation in consumer spending to explain the situation.

Auto sales continue their steady decline in 2017 as the short lived boom now faces death as ARM-style loans turn over and new buyers become scarce.

U.S. home ownership rates have collapsed since 2007. More households are renting than at any time in the past 50 years.

U.S. household debt has now hit levels not seen since 2008, just before the credit crisis.

Those looking for government spending to save the day should probably look elsewhere. Nearly 75 percent of every tax dollar goes towards non-productive spending on the part of government.

I could go on and on — it is simply undeniable that nearly every sector of the U.S. economy is in steady decline compared to pre-2008 levels. This instability in the fundamentals will eventually weigh down and crash stock markets, bond markets, currency markets, etc. Such markets are the last vestige of the U.S. economy still giving the appearance of health.

So, there will come a time, probably sooner rather than later, when the piper will have to be paid and someone will have to take the blame for our fiscal non-recovery. The international banks and central banks are certainly not going to volunteer for this even though they are the real perpetrators behind our incessant financial rot. But how do they avoid accepting responsibility?

First, by setting the stage for another scapegoat. As I warned for months before the 2016 election, Donald Trump is the perfect target for a redirection of blame for a market crash. He has even been avidly attempting to take credit for the current market bubble, making it easier for the banks to lay blame in his lap when the entire edifice crumbles.

Second, by warping public focus away from the economic collapse altogether and presenting them with a seemingly more dire threat.

In Syria, this has developed into potential conflict with the Syrian government, Iran and Russia. The establishment could at any moment initiate an attempt at regime change. Not necessarily with the intent to actually unseat Bashar al-Assad, but with the intent to create as much chaos as is necessary to terrify the unwitting citizenry. While Donald Trump has been recently credited with “ending the regime change program” in Syria by ending the CIA training and funding pipeline to “moderate rebels”, this by no means equals an end to the plan to unseat Assad. ISIS has moved west into Europe, and now direct action against Assad by western governments is more probable. The Turkish government recently leaked the locations of multiple US bases within Syria, indicating that troops will remain on the ground and that the fractured country will continue on the same path of instability.

The next and most likely scenario for distraction is North Korea. With North Korea’s latest ICBM missile test, the perceived threat to the U.S. is now complete. The idea of North Korea striking the heart of America with a nuclear weapon is enough for many people to rationalize U.S. strike operations. That said, an invasion on the part of the U.S. makes little sense. Any strike by North Korea would be met with immediate nuclear annihilation; meaning a ground invasion to “prevent” an attack is unnecessary and might actually provoke a nuclear response rather than defuse one. Of course, it is likely that the goal in North Korea is not to prevent a nuclear event, but to once again catalyze chaos and confusion while the global economy and more importantly the U.S. economy sinks further into oblivion.

The US government has just issued a travel ban to North Korea starting September 1st. They have asked all Americans already visiting the country to leave immediately.

Next, Russian tensions are reaching a new level, as the U.S. Senate has passed new sanctions based on nothing but fabricated hearsay, and Donald Trump proves me right once again with his signature on the same sanctions, calling the legislation “flawed” while at the same time displaying overt cooperation with the establishment agenda. The Russian response has so far been to expel hundreds of U.S. diplomats from their country, and warn that the sanctions constitute the beginning of a “trade war”.

My readers know well that according to the evidence I view the East/West conflict to be farcical and theatrical, but this does not mean there will not be real-world consequences to the “little people” caught in the engineered crossfire. I believe this will culminate not in a shooting war, but in an economic war. While the international financiers constructed our bubble economy and will benefit from its failure, it will be eastern nations (and Trump) that receive much of the blame for the destruction of these bubbles.

Finally, an uncomfortable level of discord has been sparked the past month between India and China, both nuclear powers, over a border dispute in a remote valley connecting India to its ally, Bhutan. My feeling is that this is leading to diplomatic breakdown, but not necessarily an open war. Unfortunately, the trigger point stands ready to be exploited by globalists any time they need greater distraction. And, to be sure, a war between two of the world’s largest economies would wreak absolute havoc and provide an excellent diversion for a fiscal crash already set in motion by international banks.

I do not see the timing of heightened geopolitical tensions in 2017 as coincidental. It appears to me that these events are perfectly organized with maximum distraction in mind as we hit the top of perhaps the most massive stock and bond bubbles in modern history. The effectiveness of the smoke and mirrors will depend on the ability of liberty proponents to keep our analytical teeth sunk into the jugular of the establishment elite, as well as our ability to remind the public that these conspirators are the true criminals behind our national and international pain. The more extreme the geopolitical disaster, the more frightened people will become and the harder it will be for us to do our job. Knowing the level of difficulty involved in preventing the terror and madness of the mob, it is not a struggle I look forward to in the slightest.

http://www.alt-market.com/articles/3243-geopolitical-tensions-are-designed-to-distract-the-public-from-economic-decline

8 thoughts on “Geopolitical Tensions are Designed To Distract the Public from Economic Decline”

  1. THIS…Is what I mean when I said that GOVERNMENTS are the problem with this Babylonian slave system and are just too corrupt to make needed changes…They would rather lie and deceive the public via “Divide & Conquer” or “Problem Reaction Solution” BS so that the sheeple cannot SEE that THEY are the problem…Along with RELIGION.
    Their BS is catching up with them though!

  2. HERE’S ECONOMIC DECLINE FOR YOU:

    AUGUST 2017 – THE USA & INTERNATIONAL CAPITAL ACCOUNTS

    IF YOU STUDY THE FEDERAL RESERVE’S CAPITAL ACCOUNTS STATS, USA ECONOMY IS IN COLLAPSE. THE REST OF THE WORLD HAS BOUGHT A HELL OF A LOT OF OUR DEBT.

    THE INTERNATIONAL CAPITAL ACCOUNTS SOARED FROM 1990 ($2,585 BN) TO 2005 ($804,222 BN) THEN DROPPED TO $382,446 BN WHERE IT HAS BEEN BOUNCING AROUND BTWN $382,000 BN AND $483 000 BN.

    WHILE FOREIGN DIRECT INVESTMENT WHICH STARTED IN 1/4-1976 @ $628,766 BN TO 1/4-2017 @ $4,000 BN. THE FED MAY USE THE TERM “INVESTMENT” BUT IN FACT IT IS “UNSECURED DEBT”.

    1974 IS THE OFFICIAL BIRTH YEAR OF THE PETRO DOLLAR. THEN STARTING IN THE SECOND TERM OF THE CLINTON ADMINISTRATION WAS THE INFLATION OF THE RE BUBBLE CREATED BY REAGAN’S CONSUMER MORTGAGE PROGRAM. WELL COUNTRIES HAD TO HOLD PETRO DOLLARS UNTIL ABOUT 2001 BECAUSE OPEC ONLY SOLD IN USD. THEN, I’M GUESSING–BUYING “SAFE” MORTGAGE SECURITIES WITH THEIR HIGH RATE OF RETURN WERE BOUGHT TO HELP PAY FOR OIL.

    BUT AMERICANS ARE CONCERNED ABOUT SO MUCH DEBT AFFECTING JOBS AND SPENDING AT HOME, WHILE THE REST OF THE WORLD IS WORRIED ABOUT LOSING INCOME IF AMERICA “DEFAULTS”. FOR THIS REASON I DON’T THINK ANY ONE WANT USA TO GO BUST BUT THEY DO WANT TO FORCE US INTO NEGOTIATIONS FOR A NEW WAY OF DOING BUSINESS. (I MIGHT ADD THAT THE EXISTENCE OF SOCIAL SECURITY IS LARGELY DEPENDENT UPON THE USD MAINTAINING VALUE.)

    SINCE MOTHER’S DAY THE USD HAS LOST 5% OF ITS VALUE AGAINST THE CHF. RUSSIA IS NOW DUMPING LARGE AMOUNTS OF GOLD ON THE SHANGHAI MARKET MAKING GOLD AVAILABLE TO SETTLE INTERNATIONAL ACCOUNTS INSTEAD OF US DEBT. COUNTRIES ARE NOW BUYING OIL IN THEIR OWN CURRENCY WHICH IS CHEAPER THAN BUYING IT.

    I THINK THE AMERICAN PEOPLE HAVE MADE IT CLEAR TO THE POLITICIANS THAT IF THEY DON’T RECEIVE THEIR SOCIAL SECURTY PAYMENT THERE WILL BE A PRICE TO PAY. IF “DOLLARS” CONTINUE TO USE THEIR USE THEIR VALUE WILL DROP. THAT MEANS ALL THE INFLATION THAT THE USA HAS BEEN EXPORTING TO THE REST OF THE WORLD IN THE FOR OF TREASURIES WILL RETURN HOME. GIVING US DOMESTIC INFLATION WHEN WAGES ARE LOW. ARE AMERICANS WILLING TO DRIVE OVER POT HOLES AND DODGE COLLAPSING BRIDGES SO THAT THE PENTAGON RECEIVES ITS TRIBUTE?

    ANOTHER INTERESTING FACT I JUST DISCOVERED IS THAT CHINA IS SELF SUFFICIENT IN FOOD PRODUCTION. BUT THE USA DOESN’T MANUFACTURE ITS OWN CONSUMER PRODUCTS AND MEDICINES. SO IF CHINA CUTS BACK ON EXPORTS . . .

    AS FOR WAR , OUR MILITARY HARDWARE IS OUT DATED, THE NUCLEAR ARSENAL IS AGED AND THE FIGHTING FORCE IS HARDLY LARGE ENOUGH OR MOTIVATE ENOUGH TO TAKE ON NOT ONLY CHINA BUT IRAN AND RUSSIA. AND WOULD AMERICANS WILLING TAKE TO A REINSTITUTION OF THE MILITARY DRAFT?

    ONE MIGHT SAY, “CONGRESS CAN PRINT THE MONEY BUT WILL THEY COME TO BUY IT?” AS I’VE SAID FOR A WHILE, IT IS THE AMERICAN POLITICIANS AND THEIR PUPPETS THAT ARE THE NWO. AND THE NWO HAS BEEN A LONG SERIES OF SCAMS AND CONFIDENCE GAMES SINCE THE 1950IES. BUT NOW I THINK THE POLITICIANS ARE HAVING THEIR BERNIE MADOFF MOMENT WHEN THEY REALIZE THEY HAVE CORNERED THEMSELVES AND HAVE NO WHERE TO GO.

    I THINK THAT IS WHY YOU ARE SEEING A 3-RING CIRCLE OF CLOWNS IN DC. RECALL WE HAD THE CLINTONS AND WHITE WATER AND LEWINSKY FOLLOWED BY BUSHES AND DID HE BELONG TO THE NATIONAL GUARD, DID HE WORK OR GULF AND HIS FAMILY’S CONNECTION TO CRIME (LOL EVERYONE WAS TOO SCARED TO ATTACK CHENEY), THAT WAS FOLLOWED BY TRUMP’S BIRTH CERTIFICATE AND HIS SEXUAL ORIENTATION AND NOW WE ARE WITH TRUMP. CONGRESS HAS BEEN CHECK-MATED AND CAN DO NOTHING BUT WAIT FOR THE END.

    ____________________________________________________________________________________________________________

    IF YOU COMPARE THE INCOME ON THE USA CAPITAL ACCOUNTS AND COMPARE THAT TO THE FED RES’S VELOCITY OF MONEY CHART:

    NET NATIONAL INCOME VELOCITY OF MONEY
    1999 -$4,176 BN* . . . . . . . . . . 2/4-1997 2.209
    2001 $13,198**
    2003 -$1,821
    2005 $13,116
    2006 -$ 1,788
    2008 $ 6,010***
    2011 $ 1,186
    2012 $ 6,904
    2016 – $59
    . . . . . . . . . . . . . . . . . . . . . . . .2/4-2017 1.425 (AS A REFERENCE 1/41960 LEADING INTO A RECESSION WAS1.8)

    __________________________
    NOTES:
    * FUNNY THAT THE HIGHLY PROSPERSOUS CLINTON ADMINISTRATION ENDED WITH NEGATIVE NATIONAL INCOME.
    ** DO YOU THINK THE PERKY ECONOMY OF 2001 HAD SOMETHING TO DO WITH HEDGE FUNDS BEATING ON TH OCCURENCE OF 9/11?
    *** THE 2008 CRISIS ACTUALLY HIT IN DECEMBER OF 2007 THEN BECAME PUBLIC KNOWLEDGE IN THE FALL OF 2008. BUT ACTUALLY THE CRISIS
    STARTED GROWING IN 2006.

    FIRST THING I NOTICED WAS THAT THE PEAK INCOME AMOUNTS DECREASED OVER THE PERIOD.

    SECOND THING I NOTICED WAS WAS THE PEAKS AND TROUGHS GOT CLOSER TOGETHER.

    I THINK THE RE BUBBLE WAS A TRICK TO PROLONG THE ECONOMIC DECLINE AND TO PREVENT CUSTOMERS OF TREASURIES FROM BEING SCARED OFF. WHEN I COMPARE THE NET INCOME BEFORE 2006 WITH AFTER 2005, I SEE TWO DIFFERENT COUNTRIES.

    WHEN I COMPARE THE NET INCOME TO THE VELOCITY OF MONEY IT IS SHOWING A “REAL” DECLINE IN THE USA ECONOMY. YOU CAN INFLATE ALL THE ASSETS YOU HAVE (RE: RE, STOCK, BONDS, ARTWORK) BUT IT WILL ONLY MASK THE DECLINE AND NOT REVERSE IT. WHICH PROVES THAT:

    FREE MARKETS ARE NOT SELF REGULATING AND THAT MONETARY POLICY CAN’T RUN AN ECONOMY BY CREATING NEW JOBS, NEW PATENTS OR NEW MARKETS.

    WHEN WILL THAT CHILD SPEAK UP AND SAY “THE KING HAS NO CLOTHES!”

    @@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@

    Whereas the current account reflects a nation’s net income, the capital accountreflects net change in ownership of national assets. … A deficit in the capital account means money is flowing out of the country, and it suggests the nation is increasing its ownership of foreign assets.
    Capital account – Wikipedia
    https://en.wikipedia.org/wiki/Capital_account
    You visited this page.

    Capital Account – Economic Data Series | FRED | St. Louis Fed
    https://fred.stlouisfed.org/tags/series?t=capital+account
    464 economic data series with tag: Capital Account. FRED: Download … US Dollars, Sum Over Component Sub-periods, Quarterly Q1 1960 to Q3 2013 (Apr 15)

    WIKIPEDIA SOVEREIGN WEALTH FUNDS
    Sovereign wealth funds have existed for more than a century, but since 2000, the number of sovereign wealth funds has increased dramatically.

    The Fascinating Story Of How The Petrodollar Was Born And Lived In …
    http://www.zerohedge.com/news/2016…/secret-story-how-saudi-petrodollar-deal-was-born
    May 31, 2016 – The Fascinating Story Of How The Petrodollar Was Born And Lived In Secrecy For Over 40 Years. Tyler Durden’s picture. by Tyler Durden.
    Major Foreign Holders of Treasury Securities – Treasury International …
    ticdata.treasury.gov/Publish/mfh.txt
    MAJOR FOREIGN HOLDERS OF TREASURY SECURITIES (in billions of dollars) … Oct Sep Aug Jul Jun May Country 2017 2017 2017 2017 2017 2016 2016 2016 2016 … Since U.S. securities held in overseas custody accounts may not be …

    , ,
    Petrodollar Faces Growing Threat with Payments in Gold across Asia
    JULY 21, 2017 COVERT GEOPOLITICS 2 COMMENTS
    Reuters reported, a week ago, that Russia’s Sberbank has begun trading in gold at the Shanghai exchange. This is both a retaliatory move against those who continue to wage an economic war through a broad, extended economic sanction against the federation, and as a long term measure against global terrorism, aka Khazarian Mafia.

    Velocity of M2 Money Stock | FRED | St. Louis Fed
    https://fred.stlouisfed.org/series/M2V
    If the velocity of money is increasing, then more transactions are occurring between individuals in an economy. … There are several components of the money supply,: M1, M2, and MZM (M3 is no longer tracked by the Federal Reserve); these components are arranged on a spectrum of …

  3. WHY THE DOW INDEX IS SOARING

    16 OUT OF 30 CORPORATIONS LISTED ON THE DOW INDEX HAVE PENTAGON CONTACTS. WE ARE GOING TO WAR.

    BOEING
    CISCO SYSTEMS
    CHEVRON
    DUPONT
    EXXON MOBIL
    GENERAL ELECTRIC
    GOLDMAN SACHS
    IBM
    INTEL
    JP MORGAN CHASE
    J & J
    3M CORP
    MERCK
    MICROSOFT
    UNITED TECHNOLOGIES

    The 30 Dow Jones Stocks — The Motley Fool
    https://www.fool.com/investing/general/2015/05/18/the-30-dow-jones-stocks.aspx
    May 18, 2015 – Stocks. DOW JONES INDUSTRIAL AVERAGE. DJINDICES:^DJI. $22,030.46. up. $14.22. The Travelers Companies. NYSE:TRV. $129.08. up. $0.35. Home Depot. NYSE:HD. $151.89. up. Goldman Sachs. NYSE:GS. $226.06. down. Apple. NASDAQ:AAPL. $156.56. down. IBM. NYSE:IBM. $145.11. up. General Electric. NYSE:GE. $25.57. up. Verizon …

    What Is the Real Unemployment Rate? Formula, Examples
    https://www.thebalance.com › … › U.S. Economy Statistics › All About Unemployment
    Definition: The “real unemployment rate” (U-6) is a broader definition of unemployment than the “official unemployment rate” (U-3). The U-3 is the rate most often …
    ILLINOIS COLLAPSE MILTON FREIDMAN FREE MARKETS “TEN LESSON FROM FEDERAL SPENDING”

    LIBERAL REALLY? I LOVE THE REPUBLICANS GOING ALL THE WAY BACK TO YOUR FOUNDING HERO LINCOLN. YOU CREATE HORRIBLE PROBLEMS FOR THIS COUNTRY, AS IN THE CIVIL WAR AND THE GREAT DEPRESSION, THEN YOU BLAME IT ON THE DEMOCRATS. I’VE NEVER HEARD A REPUBLICAN APOLOGY FOR ANY OF YOUR BLUNDERS. HUMILITY IS WHAT ESCAPES YOU CONSERVATIVES.

    “FREE MARKET” AND “SMALL GOVERNMENT” IS WHAT YOU CONSERVATIVES HAVE BEEN DOING SINCE 1980 (SEE THE BELOW ARTICLE TITLED, TEN LESSONS FROM FEDERAL SPENDING. ILLINOIS AND CHICAGO IN PARTICULAR IS THE “CULT CENTRAL” FOR PEOPLE LIKE YOU. ILLINOIS IS IN FINANCIAL COLLAPSE AS IS THE REST OF THE COUNTRY.

    WHY? BECAUSE FREE MARKETS IS A EUPHENISM FOR MONOPOLIES AND A FASCIST STATE THAT LIVES OFF THE WORKERS. WE’VE HAD 37 YEARS OF CHRISTIAN CONSERVATIVES RUNNING THIS COUNTRY. THE FREE MARKET DIDN’T ATTRACT NEW JOBS OR NEW PATENTS. AND WHILE THERE ARE LESS CIVIL SERVANTS IN GOVERNMENT MORE MONEY THAN EVER IS BEING GIVEN TO THE PRIVATE SECTOR IN NO-BID AND SECRET CONTRACTS. THEN OF COURSE THERE IS THE MASSIVE SURVEILLANCE STATE AND ENDLESS WARS THAT CONSERVATIVES USE AS AN EXCUSE TO SUCK EVERY LAST DOLLAR OUT OF OUR POCKETS. AND NOW THERE IS TRUMP CARE WHERE IF YOU ARE POOR AND WANT MEDICAL CARE YOU HAVE TO SHOOT UP WITH HEROINE.

    THIS ARTICLE PROVES THAT UNDER BOTH CONSERVATIVE DEMO AND REPUB PRESIDENTS THE SIZE OF THE CIVIL SERVICE AND PLUMMETED WHILE SPENDING AND DEFICIT INCREASES HAVE SOARED. SO MUCH FOR NEO-CONSERVATIVE “NEO-LIBERAL” APPROACH TO RUNNING THE WORLD’S STRONGEST ECONOMY INTO THE GROUND.

    Articles: Ten Lessons From Federal Spending – American Thinker
    http://www.americanthinker.com/articles/2011/…/ten_lessons_from_us_federal_spending.ht...
    Jun 30, 2011 – One can learn quite a bit just from looking at federal spending over time. The history of our relationship with our government can almost be …

    Milton Friedman, free-market economist who inspired Reagan and …
    http://www.independent.co.uk › News › World › Americas
    Nov 17, 2006 – Milton Friedman, the Nobel-winning monetarist economist who was an intellectual architect of the free-market policies of Republican US …

    Milton Friedman and the Chicago School of Economics – Foundation …
    https://fee.org/articles/milton-friedman-and-the-chicago-school-of-economics/
    Dec 1, 2006 – Milton Friedman, who passed away on November 16 at age 94, once commented that there is no such thing as different schools of economics; …

    Economist Milton Friedman Defends President Ronald Reagan’s …
    https://archives.nbclearn.com/portal/site/k-12/flatview?cuecard=41358
    Economist Milton Friedman says the countrys fiscal policy has been too loose and its monetary policy too erratic.

    Chicago school of economics
    From Wikipedia, the free encyclopedia

    Finally, the school also has been criticized for training economists who advised the Chilean government (and to a lesser extent other South American governments) during the 1970s and 1980s. Whilst they were credited with transforming Chile into Latin America’s best performing economy (see Miracle of Chile) with GDP per capita increasing from US$693 at the start of 1975 (the year Milton Friedman met with Augusto Pinochet; 9th highest of 12 South American countries) to $14,528 by the end of 2014 (the 2nd highest in South America),[23] critics counter there was a corresponding increase in income inequality and that the reforms had a negative influence on the economic policies of Ronald Reagan and Margaret Thatcher. In the years since the reforms were introduced, the economic system implemented by the “Chicago Boys” (a label given to this group of economists) have mostly remained in place.[24] A film titled Chicago Boys, which had a highly critical view of the economic reforms, was released in Chile in November 2015.[25]

    Paul Douglas, economist and Democratic senator from Illinois for 18 years, was uncomfortable with the environment he found at the university. He stated that, “…I was disconcerted to find that the economic and political conservatives had acquired almost complete dominance over my department and taught that market decisions were always right and profit values the supreme ones… The opinions of my colleagues would have confined government to the eighteenth-century functions of justice, police, and arms, which I thought had been insufficient even for that time and were certainly so for ours. These men would neither use statistical data to develop economic theory nor accept critical analysis of the economic system… (Frank) Knight was now openly hostile, and his disciples seemed to be everywhere. If I stayed, it would be in an unfriendly environment.”[19]

    REPUBLICANS CREATED THE WELFARE STATE

    BRIA 14 3 a How Welfare Began in the United States – Constitutional …
    http://www.crf-usa.org/bill-of…/bria-14-3-a-how-welfare-began-in-the-united-states.html
    MINNEAPOLIS—Several hundred men and women in an unemployed … By 1935 , a national welfaresystem had been established for the first time in … But most on general relief were poor dependent persons not capable of working: widows, …. In 1996, a Republican Congress passed and President Clinton signed a reform …

    In 1909, President Theodore Roosevelt called a White House conference on how to best deal with the problem of poor single mothers and their children. The conference declared that preserving the family in the home was preferable to placing the poor in institutions, which were widely criticized as costly failures.

    READ FOR YOURSELF HOW MANY TIMES THE REPUBLICANS USED THE US SUPREME COURT TO STOP AID TO NEEDY BUSINESSES, WORKERS AND FARMERS. UNDER HOOVER THE RELIEF WENT TO THE CITY AND STATE POLITICIANS WHO USED FEDERAL TAX MONEY TO FEED THEIR PATRONAGE SYSTEM. FDR WANTED PROGRAMS THAT WERE ACCOUNTABLE TO THE PEOPLE AND NOT TO THE POLITICAN ELITE. THIS IS EXACTLY WHAT IS HAPPENING IN WASHINGTON TODAY.

    When Franklin Roosevelt Clashed with the Supreme Court – and Lost …
    http://www.smithsonianmag.com/…/when-franklin-roosevelt-clashed-with-the-supreme-cou...
    Buoyed by his reelection but dismayed by rulings of the U.S. Supreme Court, … students, such as the future playwright Arthur Miller, to work their way through college. … the NRA and the AAA, of Roosevelt’s program—than at any other time in the … But early in June 1936, the court, by 5 to 4, struck down a New York state law …

    Judicial Procedures Reform Bill of 1937 – Wikipedia
    https://en.wikipedia.org/wiki/Judicial_Procedures_Reform_Bill_of_1937
    The Judicial Procedures Reform Bill of 1937 was a legislative initiative proposed by U.S. President Franklin D. Roosevelt to add more justices to the U.S. Supreme Court. … During Roosevelt’s first term the Supreme Court struck down several New ….. Roosevelt’s ambitious retirement program would be found constitutional.

    On this day, Supreme Court invalidates key FDR program – National …
    https://constitutioncenter.org/blog/when-fdrs-blue-eagle-laid-a-supreme-court-egg
    May 27, 2017 – On May 27, 1935, the U.S. Supreme Court struck down an important part of … to foster “fair competition,” and a huge public works program.

  4. WHY CONSUMPTION ISN’T THE PROBLEM OF CAPITALISM

    I’M IN MY SIXTIES NOW BUT WHEN I WAS ABOUT YOUR AGE I BEGAN TO REALIZE THAT I WAS CONTROLLED BY MY STUFF: CLEAN, DUST, MEND AND SO ON. THE PROBLEM IS THAT ALL THAT STUFF YOU BUY IS MADE BY SOME BODY. YOU DON’T BUY THEY DON’T EAT.

    I WOULD SUGGEST READING JOHN KENNETH’S GALBRAITH’S BOOK ON THE HISTORY OF CAPITALISM AND THE OTHER BOOK ON “THE MODERN INDUSTRIAL STATE”. ALSO, WM GREIDER’S BOOK “SECRETS OF THE TEMPLE” WHICH EXPLAINS OUR FIAT CURRENCY SYSTEM AND ALTERNATIVES. THEN THERE ARE THE TWO BOOK WRITTEN BY WM ENGDAHL CALLED “GODS OF MONEY” AND “FULL SPECTRUM DOMINANCE” WHICH COVERS CAPITALISM FROM 1914 TO PRESENT.

    CAPITALISM:

    PT MAKES NO CONNECTION BTWN THE WORKER AND THE CUSTOMER–MARX DID THAT AND THE CAPITALIST HAVE NEVER FORGIVEN HIM.

    PT UNDER THE CAPITALIST SYSTEM NO MONEY CAN BE SAVED. IT IS A CYCLE OF EXTRACTION, PRODUCTION AND CONSUMPTION.

    PT THE EARLY STAGES OF CAPITALISM WERE ABOUT IMPROVING THE QUALITY OF LIFE BY CREATING UNIFORMITY IN MANUFACTURE AND BY PRODUCING ENOUGH TO MAKE PRODUCTS AFFORDABLE TO THE MASSES. ALSO BY POST WORLD WAR 2 THE AVERAGE WORKING STIFF WAS ABLE TO DRESS CLOSELY IN THE FASHION ON THE RICH.

    PT BY THE 1920IES THE PROBLEM AROSE OF OVER PRODUCTION. THIS CONTINUES TO BE A PROBLEM TO THIS DAY. HOW MUCH CAN ANY ONE PERSON CONSUME IN A LIFETIME. STUDIES SHOW THAT BY THE AGE OF 30 MOST PEOPLE BECOME CONSUMED-OUT. STUDIES ALSO SHOW THAT IF A CONSUMER IS SATISFIED WITH A PRODUCT THEY ARE UNLIKELY TO SEARCH FOR SOMETHING NEW. AMERICA’S CONTRIBUTION TO THE FACTORY SYSTEM WAS PLANNED OBSOLESCE. YOU KNOW YOU BUY THE DAMN THING AND IT IS BROKEN IN 3 MOS.

    PROFIT TAKING:

    PT WHAT IS NEVER EVER DISCUSSED IN CAPITALISM IS “PRICING” OR “PROFIT TAKING”. HERE IS AN EXAMPLE TO GIVE YOU SOME PAUSE:

    BUY A $40,000 CAR. DRIVE IT OFF THE LOST AND THE BLUE BOOK VALUE DROPS TO $20,000. WHY? BECAUSE THE TOTAL COST TO BUILT AND TO SELL THAT CAR WAS $20,000. ALL THE REST WAS PROFIT. IT GETS WORSE. SO YOU DON’T HAVE THE MONEY TO BUY IN CASH. YOU TAKE AN AUTO LOAN FROM THE MANUFACTURER (GMAC OR FMC) BECAUSE THEIR RATES ARE USUALLY THE BEST. SO YOU BORROW FROM THEM AN PAY $3,000+ IN INTERST. SO YOU BUY A $20,000 CAR FOR $43,000.

    EVERY THING YOU BUY HAS BUILT IN INTER ST. THE USA GDP IS $19 TRILLION DOLLARS. SO, LET’S SAY THAT $8.5 TRILLION IS SHERE PROFIT. THE WORLD’S GDP IS $108 TRILLION. AND MOST OF THE WORLD’S GDP HAS PROFIT BUILT INTO IT.

    PT THEN THERE IS LOUIS HYMAN’S BOOK “DEBT” WHICH EXPLAINS HOW IN THE 1920IES HOW MANUFACTURERS SOUGHT TO OVER COME THE OVER PRODUCTION PROBLEM. INSTEAD OF PAYING WORKERS A WAGE THAT THEY COULD AFFORD TO SHOP, THEY INSTEAD OFFERED THEM CREDIT. IN THE BOOK “GOD’S OF MONEY” IT IS EXPLAINED WHY MONEY WAS SO CHEAP THEM. ANY WHO, PEOPLE BOUGHT ON STORE CREDIT (BANK CARDS NOT INVENTED YET). EVERY THING WAS GREAT UNTIL EUROPE GOT ITS GOLD BACK. SLOWLY WAGES DROPPED, UNEMPLOYMENT INCREASED, CREDIT BECAME MORE EXPENSIVE AND THE SYSTEM BEGAN TO SLOWLY IMPLODE. IT WAS THE REALIZATION (BEFORE COMPUTER INVENTORIES) THAT INVENTORY WAS BUILDING THAT HELPED TO CONTRIBUTE TO THE BURSTING OF THE NYSE BUBBLE. JOHN KENNETH GALBRAITH WROTE A BRIEF BUT POIGNANT BOOK ON THE SPECULATION THAT LEAD TO THE CRASH.

    AFTER WW2 AMERICAN JOBS WERE SENT TO EUROPE. YOU WILL NOTICE PERIODS OF RECESSION. PEOPLE WEREN’T BUYING STUFF. THE BANK CARD WAS CREATED. BUT THE GENERATION THAT REMEMBERED THE ROARING 20IES WANTED NOTHING TO DO WITH CREDIT. SO IT HAD TO WAIT FOR THE GENERATION THAT CAME OF AGE AFTER THE WAR.

    THE FIRST POST WAR CREDIT CRISIS HIT UNDER JIMMY CARTER WHEN PEOPLE WERE TAKING ON NEW CREDIT CARDS TO PAY OFF THE DEBT OF THE CARDS THEY ALREADY HAD. THE PROBLEM WAS TEMPORARILY RESOLVED WITH THE HOME LOAN MORTGAGE THAT TURNED THE MORTGAGE INTO AN ATM MACHINE. THE SET OFF THE BUBBLE. BUT STILL THERE WERE PROBLEM SO THE NYSE HAD TO BE ARTIFICALLY INFLATED. WELL THE SHIT HIT THE FAN IN 2008. BUT WE STILL ARE NOT AT THE END OF THE TUNNEL.

    FINANCIALIZATPON OF THE ECONOMY:

    USED TO BE A GOOD BUSINESS MEN WAS THOUGHT OF IN GOOD TERMS BY THE COMMUNITY, THAT HE PAID HIS BILLS AND THAT HE MADE A GOOD PRODUCT. WELL IN POST WW2 CAPITALISM THE MEASURE WAS CHANGED TO RELENTLESS GROWTH. BUT BY THE 1970IES IT WAS BECOMING IMPOSSIBLE TO SHOW EVER AND EVER LARGER MARKET SHARE. ALSO, PEOPLE GOT FAT AND LAZY. RUNNING A FACTORY IS A LOT OF WORK. IN SHORT IS WAS BECOMING MORE DIFFICULT TO SHOW GROWTH IN PROFIT EVERY QUARTER, QUARTER AFTER QUARTER.

    AND QUITE FRANKLY AMERICANS LOVE THE MAGIC OF THE CREDIT CARD AND THE STOCK MARKET. SO LIKE IN THE 1920IES THE PARTY BEGAN.

    THE PROBLEM WITH A FINANCIALIZED ECONOMY VERSUS A MANUFACTURING ONE, IS THAT IN MANUFACTURING TO BE RICHER YOU MAKE MORE BUT IN FINANCE WEALTH CAN’T BE CREATED IT CAN ONLY BE REDISTRIBUTED. AND THAT IS WHAT ALL THESE BUBBLES HAVE DONE. THE MONEY TRAVELLED FROM THE POOR TO THE MIDDLE CLASS TO THE WEALTHY. THE FINAL PROBLEM BEING THAT THE VALUE OF EVERY THING IS DETERMINED BY THE HUMAN LABOR NEEDED TO PRODUCE IT. THAT DOESN’T WORK IN A FINANCIALIZED ECONOMY THEREFORE THE RICH PEOPLE’S HOARDS OF WEALTH ARE SHRINKING IN VALUE. $20 BN TODAY WON’T BUY WHAT $1 BN DID IN 1970 WHAT $1MILLION BOUGHT IN 1920.

    THE MOST BASIC PROBLEM IS WITH COMPUTERS AND ROBOTS AND DECREASED CONSUMPTION WHAT DO YOU DO WITH THE UNEMPLOYED? EVEN IF YOU FEED AND HOUSE THE UNEMPLOYED ALL THAT TIME ON THEIR HANDS WITH NOTHING INVESTED IN THE SYSTEM WILL RESULT IN A VIOLENT UNHEAVAL OF SOCIETY.

    ANOTHER THING IS THAT IN THE AFTERMATH OF BUBBLES THE PRICES DON’T GO DOWN THAT MUCH. BACK IN THE BRONZE AGE INTEREST CHARGES WERE AROUND 33% BUT NOW THEY ARE DOWN TO 3%. BACK IN THE LATE 70IES A HOUSE SOLD FOR $250,000 WITH A 10% MORTGAGE FOR A TOTAL OF $539,814 IN INTEREST PAYMENTS. TODAY THE SAME HOUSE HAS BEEN INFLATED TO $750,000 AND WITH A 4% MORTGAGE THE INTEREST WOULD BE $503,396.

    IF MY AUTO PAYMENT EXAMPLE DIDN’T TURN YOU OFF ON BORROWING THE MORTGAGE EXAMPLE SHOULD. IT SHOWS THAT INTEREST PAYMENT ARE “WHAT THE MARKET WILL BARE” AND “HAS NOTHING TO DO WITH THE RISK THE LENDER IS TAKING ON.”

    AND WHAT DOES THE LENDER DO WITH THE INTEREST PAYMENTS? OH, YEAH, HE MAKES MORE LOANS. KIND OF SOUNDS LIKE A DRUG DEALER.

    SO, AS YOU, SEE THE SOLUTION TO YOUR PERCEIVED PROBLEM IN FAR MORE COMPLEX THAN YOU FATHOM. BECAUSE IF YOU MERELY CUT CONSUMPTION THEN YOU WOULD GIVE BILLIONS OF PEOPLE NO MEANS TO FEED AND HOUSE THEMSELVES. AND IF YOU THINK THINGS ARE HORRIBLE NOW JUST WAIT.

    I THINK YOU NEED TO BE LESS ESOTERIC AND MORE PRACTICAL. IF YOU GOT RID OF PROFIT-TAKING AND CREATED A WAGE SCALE BASED ON NEED AND NECESSITY THAT WOULD BE MOVING IN THE RIGHT DIRECTION. MAYBE IF WORKERS WEREN’T IN CUT THROAT COMPETITION WITH ONE ANOTHER WHILE SUCKING UP TO THE BOSS FOR A JOB, MAYBE, JUST MAYBE EVERYBODY WOULD HAVE THE TIME TO CONSIDER HOW TO MAKE THE WORLD A MORE JUST PLACE TO LIVE. I’LL TELL YOU A STORY THAT HAPPENED TO ME. EVERY WEEK I’D SEE A WORKING POOR ELDERLY BLACK MAN CUED UP TO BUY TWO TOKENS FOR THE SUBWAY. I GOT TO TALKING TO HIM ABOUT SOCIALISM AND A LIVING WAGE. HE RESPONDED WITH, TO HELL WITH SOCIALISM, IF, I WIN THE LOTTERY THEY’D TAKE AWAY MY WINNING IN TAXES. SO, YOU BETTER BE SURE THAT THE POOR PEOPLE YOU THINK YOU ARE HELPING WANT YOUR KIND OF HELP.

  5. I FIND IT TROUBLING THAT AT A POINT IN HISTORY WHERE FREE MARKETS FAILED TO CREAT NEW AND BETTER JOBS, 2008 WAS A COLOSSAL EXAMPLE OF THE FAILURE OF DEREGULATION, AND USING FINANCIAL THEORY RAN THE ECONOMY OFF THE CLIFT AND SMALL GOVT IS MORE EXPENSIVE AND LESS PRODUCTIVE THAN BIG GOVT, AND WHAT DO I HEAR? COMPLAINT? SOLUTIONS? NO, I HEAR DEFEANING SILENCE.

    AND THIS ARTICLE IS AN EXAMPLE OF IT. WHEN WILL AMERICANS EDUCATE THEMSELVES AS TO WHAT HAS HAPPENED SO WE CAN IMPROVE THE CONSTITUION AND THE ECONOMY?

  6. One of the most informative, if not the best article on the world situation that I have ever read. The financial elite have a world depopulation agenda. And a world financial collapse would get the job done. It’s time to move to Uruguay, Chile or other South American countries. Many of the Financial Elite are purchasing property in these countries to move to when the shit hits the fan.

    1. They are purchasing property worldwide. This is forcing property prices up so that no one else can afford to buy. When this happens then all property will be bought leasehold or rented. This will give them absolute control.

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