Category Archives: great upheaval

Brief Observations

North Korea, I have said in my tweets, is a side show. The US is caught in Zugzwang. If it opts for war it will lose all its teeth and lower jaw. South Korea and Japan would be severely damaged or even destroyed. The US fighting North Korea is like a lion fighting the porcupine. If a porcupine quilt gets into the lions mouth, the lion will have a miserable fate. The US will huff and puff, but will back off. The nuclear option is off. However, tension could increase to war if the dollar position as reserve currency is threatened. China will start trading oil in yuan backed by gold. The US is upset and may sanction China. The chance of war with the Koreans will considerably increase?

The Ukraine situation is critical. The Ukraine is dying. Ukrainians are ready to revolt. Most of the Ukraine is Ethnically Russian. The Ukraine will rebel. The uprising will be massive. Donbass will help liberate the Ukraine. Poroshenko and company will be hunted like rats. The Ukraine will return to Russia. The US and EU will huff and puff but will be helpless.

Venezuela will not buckle. The opposition has no credibility. They are sold souls. External forces with the help of the opposition will try to overthrow Chavismo but they will fail. The barrios and armed forces will not allow Chavismo to fail. Venezuela is abandoning the dollar. It will set an example for the rest of Latin America.

Middle East Conundrum. A huge Islamic Alliance is forming: Hesbollah of Lebanon, Syria, Iraq, Iran, Turkey, Qatar, Yemen, and others. This alliance has thrown its weight behind Assad of Syria. External forces will try to assassinate Assad, but they most likely will not succeed. Panic is gripping Israel and Saudi Arabia. Assad is winning and that is anathema to Israel and the US. Big war is in store over water, strategic resources, and control of the area.

The biggest problems facing the world are the debt and the dollar. Debt is  becoming unbearable for most countries. Most debt is denominated in US dollars. This has given the US a power that has no parallel in world history. It is unique and flawed. This system is neo-slavery. By trapping the Third World in dollar debt, the US gets all the natural resources on a dollar plate for free. The enforcers of this arrangement are the International Monetary Fund and the World Bank, backed by the Pentagon.

But the world is waking up and questioning this arrangement. Nations are moving away from subservience to economic independence, and this is the Achilles Heel of this economic arrangement. As more nations abandon the dollar, a huge economic crisis of epic proportions is unfolding.  The system is entering Kaput stage which could lead to war. We will see.

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The Age of Survival Economics

Survival economics have been in existence since life began on Earth. The primary instinct of all life on Earth, be it plant or animal, is survival, and perpetuation of its own kind. Mankind has been no exception.

With the discovery of the New World, the Colonial powers of the West extracted immense wealth from the rest of the World. New settlements and new countries were founded. The new countries rose to immense prominence such as the US, and others such as Brazil, Argentina, Canada, Australia, etc. to lesser prominence. They prospered and grew, along with the US, as the Lands of Opportunity. Nobody, but nobody could equal the growth, the innovation, the power, and the wealth of the US. The dollar became the Reserve and Official currency of the World in 1944, and was proclaimed as such in Bretton-Woods, New Hampshire, USA. All the world’s debt and trade was denominated in US dollars. The dollar was convertible to gold at 35 dollars an ounce. The US became the master of the world. The only country that would not buckle was the war damaged USSR. The Cold War was instituted to destroy USSR. The Soviet Union collapsed in 1989 through it own internal decay and weakness. The End of History was proclaimed and Western Liberal Ideas were proclaimed as supreme and immutable like the Laws of Nature.

But it was not to be so. Man made concepts cannot be compared to the Laws of Nature. Economic systems are concocted to serve the economic interests of the ruling elite. Laws and ideas are created to brainwash the masses. Eventually, the system starts breaking down and no laws or recycled ideas can save it. We are at such a period now.

Despite denials, the world is in recession. Actually, some areas of the world are in depression. Wages have stagnated, especially in the EU, Canada, and the US. Jobs created in the US are low wage and part time. Attempts to stimulate the economy through quantitative easing have not worked. SNAP {food stamps} have been expanded to help the poor. Under President Obama, the SNAP program has expanded from twenty three million in 2008 to nearly forty five million in 2016. The food program is a double edged sword. It keeps the poor from starvation but it entices them to buy junk food and drinks which leads to obesity and ill health. They buy processed food because it is cheap. At the same time, the SNAP program is a huge subsidy for giant Agri business, food processors, and giant food chains.

There can be no recovery because the US is suffering from negative energy flow which is reflected in the growth of debt, individual, corporate, and governmental at all levels. Wages are stagnating. Whatever positive energy there is, goes mostly to one percent of the population, the ownership class. Some energy goes to around five percent of the population, the overseer class. The overseer class faithfully serves the ownership class, and some members are abundantly rewarded. The Precariat Class which is around ninety percent of the population gets very little, if any, of the positive energy flow. The Precariat Class has some positive energy flow in the form SNAP, etc, which is a form of subsidy to giant corporations.

In the end, everything flows to the ownership class. Tax cuts, deregulation, and infrastructure renewal will not help because it will be based on more debt. Survival Economics is already the Modus Vivendi for the Precariat Class. Massive violence in society could be next.

Is the US facing the same problems as Third Century Rome?

The world, but particularly the US, is entering a period of great uncertainty, as did Rome in the third century AD. There were external threats and internal instability. Inflation was destroying the internal fabric. The coinage was diluted of its precious metals, silver and gold. People lost faith in its institutions, its army and its emperors. Through such inflation, the people were getting poorer. The longevity of its emperors was very short after the assassination of the Emperor Alexander Severus in 235 AD  The Empire fragmented and was in danger of collapsing. Two external threats were ever present: the Tribes of Northern and Eastern Europe were pressing on the Empire and in the East, there were Persian threats. Three emperors lost wars with Persia, and one, Emperor Valerian, was even captured by the Persians in 260 AD through a ruse.

The 42nd Emperor Claudius Gothicus, (268-270), stabilized the frontiers by defeating the Alemani and the Goths, but unfortunately, died of some kind of infection.  The 51st Emperor Deocletian, (284-305), further strengthened the Empire by reducing inflation, further stabilizing the frontiers, and introducing tetrarchy to government. Tetrarchy is four person rule.  Deoclitian split the administration into a Western Empire centered in Rome, and an Eastern Empire centered in the future city of Constantinople to be founded by Emperor Constantine the Great in 330 AD. When the Western Empire fell in 476 AD, the Eastern Empire or Byzantine Empire lasted for almost one thousand years until Contantinople fell to the Turks in 1453.

Is the US in a similar situation? Possibly?  The US has been in decline since President Nixon defaulted on the gold obligation of 35 dollars for one ounce of gold. Nixon proclaimed it would be temporary, but almost 50 years later is still going. As a result inflation became rampant, Congress became generous and passed the law that allowed Americans to own gold again. President Roosevelt and Congress banned ownership of gold except in jewelry in 1933.

Economic conditions were deteriorating slowly. Inflation in the seventies, Reaganomics in the eighties, Clintonomics in the nineties, subprime mortgages and the tech bubble in the first decade of the new millennium and a severe bust in 2007-09 that nearly collapsed the entire system. Throughout this period, living standards for Americans were going down. The main culprits were debt, public and private, quality job losses, inflation, lack of affordable universal health care, expensive education, and foreign military interventions.

As I mentioned in my previous posts, the three pillars of paper, all based on debt, are keeping this system afloat, but just barely, and they are the dollar, the stock market, and the bond market. The Federal Reserve and the Treasury are keeping the system going by shunting new money into stocks and bonds creating conditions for a financial shock that is becoming inevitable. Zero interest rates and quantitative easing are propping up the system, but not curing it; it cannot be cured.

One could call the US economy a “mirage” because there has been no actual growth since the late 1960’s. The living standards of the people have been going down and down, but the lies and deceptions have been going up. One does not know whom to believe. In socio-economic terms, three economic classes have developed in the US: the owner class of 1%, the overseer class of 4-5%, and the Precariat class of around 95%. The Precariat Class is composed of all ethnic groups, religions, and races, but it is kept divided by the Ownership Class for its own interests. The Precariat is on the whole totally dispossessed, and they live from pay cheque to pay cheque, with the loan sharking firms eating them in between.

The present recovery after the almost system collapse 0f 2007-8, has been nothing but “a mirage”, a statistical “recovery” propped by a series of quantitative easings and zero interest rates. The ownership class and the overseer class are doing extremely well, but the precariat class is barely surviving.

In foreign policy, the US, a hegemonic power, has become a reactionary force in order to maintain its world wide empire based on dollar indebtedness and exploitation of the rest of the world. Through its policy in the Middle East, it has lost Iran and now may lose Turkey, two large countries dominating the key strategic areas of the Afro-Eurasia. It is true, the US has gained  eastern Europe through the European Union and NATO, but Europe itself has become unstable.

In the Middle East, some claim that the US and Israel have created ISIS and Al-Qaeda  to destroy Syria and Iraq in order to get to Iran, and take total control of the Middle East and its natural resources. If Turkey switches to Eurasia, and a compromise is reached between Syria and Turkey, the US will lose the Middle East. The next shoe to drop will be Saudi Arabia because of its disastrous war in Yemen, as well as internal dissension.

Never before in its history has the US faced such complex problems as a dying economy  reflected in dying cities, dilapidated infrastructure, poor but costly education and health care; city violence could be a precursor to a general revolt.

The world is waiting with bated breath the results of the US presidential elections, The precariat class is flocking to Mr. Trump for salvation and the ownership class is in a panic. How the elections will turn out nobody knows, but if there is a financial collapse Trump would win massively. In that case, it is quite likely that martial law would be proclaimed and the elections postponed. Only time will tell.

Is war between Russia and the US inevitable?

The question, whether war between Russia and the US is inevitable needs serious analysis. The US considers Russia an existential threat, even though it is not. Biblical religions believed that the earth was flat, and anybody who questioned that faced serious consequences, yet, we know that the earth was never flat.  The US wants to destroy Russia, and impose Unipolarity on the  World. Duality or bipolarity is the natural phenomenon of the Universe. Good and Evil are the duality of the Universal Force, and whether Russia or the US is pursuing the policy of good or evil will be revealed by coming events.

The plan to destroy Russia is many, many centuries old. We know the plans of the Teutonic Germanic Knights, and how they ended in 1242, when Alexander Nevsky, lured the German armored cavalry on the frozen water of Lake Ladoga, and destroyed them. A brilliant strategy that is not taught in Anglo- American schools, as is not the greatest scientist of the 20th Century, Nikola Tesla. The US attempt is the latest of many attempts to destroy Russia.

The Cold War was an attempt by the Anglo-Americans to destroy Russia. The dissolution of the USSR was started by Khrushchev and finished by Gorbachev and Yeltsin. It is ironic that the name of Khrushchev is derived from the Russian word for beetle, Hroshch. The USSR dissolved but, Russia, like the Phoenix, underwent resurrection.

Russia in 2016 is facing the possibility of preventive war of total annihilation by the US on Russia. Russia today is in similar situation that USSR was in 1941 when Germany with all of the Europe under its control, unleashed total, destructive war of annihilation against the USSR. We all know how the German war ended in the invasion of the USSR.

There is a danger that preventive war of annihilation by the US against Russia led by Neo-cons who essentially control the US, may start at any moment. American People do not want war and that is one of the reasons that Americans are flocking to Mr. Donald Trump, and that is one of the main reasons why the Neo-cons and their allies hate Trump. Trump wants to develop a Modus Vivendi with Russia.

May I remind the Neo-cons that in the case of preventive war against Russia, a Russian counter strike would be super, super massive. A hydrogen bomb of a hundred million tons of TNT, the tsar bomba, if it hit the San Andreas Fault, would make California the new desert island of the Pacific Ocean. Just imagine what would happen to the rest of the country. My advice to the Ruling Elite of the US is to make a symbiotic Modus Vivendi, not only with Russia, but also with the rest of the world. Live peacefully and do not try to  rule the world.

Only time will reveal whether my analysis is true.

 

The Precariat Class

In my previous posts I stated that the economic system of the US is based on three pillars of paper, and all three are based on debt. The three pillars of paper are the dollar, the bond and the stock market. If one falters, all three will collapse, and the economic system which is so blindly venerated will collapse. The capitalist system of the West has become totally parasitic, and it no longer can  grow  at the rate that is needed to sustain itself. The debt or usury rate has to grow. Every year the growth of debt has to be much bigger than the previous year. If debt grows but not as fast as in previous years crisis develops which may lead the system into total collapse. This is happening right now.

The Western economic system since 1980 has had no real growth. Immense debt growth has been used to claim that there was real growth. Reaganomics was the last “hurrah.” The middle class has collapsed because the good jobs have disappeared. Now we have three economic classes in the US: the ownership class {one percent], the overseer class {five percent}, the Precariat class {ninety four percent}. Precariat means uncertain in Latin. Ninety four percent of Americans live in great uncertainty, hence, the Precariat Class.  The country is decaying: infrastructure, education, health, housing. The Precariat class senses that there is something profoundly wrong with the country, and that it will get worse. No recovery but great upheaval is awaiting the country.