Category Archives: capitalism

A Tale of Two International Communities

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When western leaders speak of the “International Community”,they are mainly concerned with western nations. Statements such as “the international community will not tolerate this or that”, for example, can be translated as : the US will not tolerate it. Recent events have demonstrated this point.The International Community will isolate Russia with respect to its policy on Ukraine. It will sanction and punish Russia. So Russia must improve its behavior.,etc,etc,etc,ad nauseum. The US is the leader of this community and the US uses this façade of “International Community” to carry out its foreign policy.This type of behavior is applied to other countries which do not buckle under US pressure. But there is another International Community which I call the “International Community of the Rest”…

This “International Community of The Rest” numbers more than six billion people and contributes more than fifty percent of the world’s gross product. It is composed of the peoples of Africa, Asia, Latin America who have suffered and still suffer from the oppression, exploitation,and plunder of their natural resources.They also possess most of the natural resources of the Earth. One must remember that most of the wealth of the world comes from the resources of the earth through human labour and ingenuity.They are awakening and coalescing around Russia. A perfect example was the May 9th Victory Parade in Moscow.The International Community of the West boycotted the parade,but the International Community of the Rest celebrated the event.They celebrated the ceremony as the symbol of victory over fascism, slavery, oppression, humiliation,and exploitation. The special military forces of China, India, and others marched in the parade, creating a powerful symbol of coalescence.

The Afro-Eurasian land mass is fusing together. This is a  slow process but it is accelerating. “Silk Roads” East and West, North and South are being created. European states will be joining to ensure their economic well being.The future of Europe is tied to Afro-Eurasia. Latin America wants to join and form the block that I would call LAAFROEURASIA (Latin American/Africa/Europe and Asia). That is the fusion of the peoples of the Caribbean, Latin America, Africa, Europe and Asia into an economic and symbiotic relationship. These countries are also de-dollarizing. They will be saying adios, au revoir, auf weider sehen to the North Atlantic. Canada and the US may face isolation. It will be interesting, provided there is no war. Only time will tell…

Why is capitalism in crisis?

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Why is capitalism in crisis? C’est la question du jour! Various reasons are given, and in my opinion, all nonsensical. We are led to believe it is the fault of the oligarchs, politicians, governments, opposing ideologies, etc. but capitalism itself is almost flawless. Just obey the laws of capitalism, whatever they may be, and everything will be great. But it is not so simple.

It is very unlikely that capitalism would have developed without the discovery of the New World and the Age of Discovery. One could say and claim that Queen Isabella and King Ferdinand of Spain were the originators of capitalism because they sponsored the Voyage of Christopher Columbus to find sea passage to India. Immense wealth potential was at the disposal of Spain and subsequently other European states, such as Portugal, France, Britain, Holland, Belgium, and much later, Germany, Italy, Japan, and the USA.Many of these countries, if not all, fought amongst themselves for the wealth and spoils of the world.They were called imperialist wars.

With the conquest of most of the world,all the conditions of capitalism were there- immense continents with limitless natural resources of all kinds,easily subjugated populations,cheap labour, slavery, huge monopoly markets for imperial countries’ goods, and a monopoly of money in gold and silver. Most important of all,strong militaries to impose its will, culture ,domination, plunder, and exploitation of its possessions.The colonial countries became very rich.Technologically advanced to enhance exploitation and plunder of the colonies.Capitalism was described as very progressive, dynamic.

The chief modus operandi of capitalism is debt. For the capitalist economy to grow,debt must grow.When US became the strongest country in the world it crowned itself Emperor of the world in 1944 in Bretton Woods,the so called Bretton-Woods Agreement.With it,the dollar became not only the reserve currency of the world,but also official currency of the world.Everything was traded in dollars.Two institutions were created to indebt and enslave the world: the International Monetary Fund and the World Bank.These two agencies indebted the post-colonial world into a new form of slavery.By de-linking the dollar from gold and placing it on oil, the petro dollar,the enticement of the world became more intense. Even the Hungarian “goulash Communism” was based on debt to the IMF and other banks.

Debt cannot grow to the heavens. It has limits.The Universe maybe infinite but the earth is finite.Debt growth is reaching its finite stage.The energy entering the US economic system is decreasing but the energy needed to maintain its internal and external operation is increasing.The US is simply sustaining itself through the reserve status of the dollar.The world is de-dollarizing itself. US economic power is in a precarious position.It is based on three pillars of paper: the dollar,the bond market,and the stock market and all three are based on debt. As debt cannot grow,there cannot be any recovery,despite zero interest,multiple quantitative easing, whether, they be covert or overt. One or all three pillars of paper will buckle and collapse.It will be very interesting…