Category Archives: oligarchy

The Geo-Political Motives of Anti-Russian Sanctions

General Von Clausewitz stated: War is the continuation of politics by other means. It can also be stated that in addition to war, economic sanctions are the continuation of politics by other means. The US is notorious for using economic sanctions to overthrow the governments that are not willing to be subservient to its’ interests by destroying their economies. Also, the US uses its’ economic clout to force friendly countries to enter into subservient alliances with the US. NATO is a classical example. The US used sanctions against the USSR from the beginning of its existence to its end.

With the demise of the USSR, the West considered Russia to be easy prey. Yeltsin made Russia an easy prey. Even Yeltsin realized when NATO bombed the Federal Republic of Yugoslavia in 1999  that the West was not what it pretended to be. In the 1990’s, the West started to plunder Russia to the tune of hundreds of billions of dollars. The Russian fifth column and oligarchs participated in the plunder. By quirk of fate or by design, Yeltsin appoints Vladimir Putin as the Prime Minister of Russia at its greatest hour of need.

Putin immediately restores the Russian back bone. He made sure that Russia cannot and will not be taken for granted. Tensions develop between Russia and the West. Selective sanctions were applied against Russia by the US using the Magnitsky Act. The big break occurred with the Maidan coup d’état in the Ukraine in the spring of 2014. Crimea splits and returns to Russia via referendum and not aggression. Crimea was gifted to Ukraine in 1954 by Nikita Khruschov, leader of the Soviet Union at that time. Lugansk and Donetsk split from the Ukraine and became independent. The West cried aggression and imposed massive sanctions on Russia. The ruble was attacked, and collapsed from 29 rubles to one dollar to around seventy. The price of oil was collapsed from around 100 dollars to below 40. Russian officials were sanctioned. Credit to Russian banks and corporations was frozen. They tried to ban Russia from using SWIFT, Society for Worldwide International Financial Transactions. They backed off because they feared the consequences.

Russia responded. It banned all agricultural products from countries that imposed sanctions: the EU, US, Canada, Australia, New Zealand, South Korea, Japan, and others. Result: boomerang. The Baltic republics are in super depression because they lost the Russian market for their dairy products, fish, and transport. Greece’s condition worsened with the Western embargo. The rest of the EU is in a recession which can be said to be severe. Some reports state that the EU has lost 500,000 jobs and three hundred billion euros of revenue due to Russian sanctions. Damage to the US has been minimal. The US still uses Russian delivery systems to carry its space capsules to the International Space Station. If the US had prevented Russia from using SWIFT, it is likely that Russia would have refused to transport US capsules to space station. Tit for tat.

Many EU countries are clamoring to end the sanctions. President Hollande will not run for re-election. Marine Le Pen of the National Front {Front National} will win. She will pursue independent economic and foreign policy for France. Chancellor Merkel’s re-election is in doubt. Beppe Grillo of Italy, founder of the Five Star Movement {Movimento Cinque Stella}, may be the next leader of Italy. Populism is breaking everywhere. Movements from subservience to Independence are evident on all continents

The idea behind the sanctions was to destroy Russia economically, partition it and control its immense natural wealth. The Ukraine was the first step. The Ukraine’s future is only with Russia. Russia is the Ukraine and the Ukraine is Russia. They have a common culture, blood, and soul.

Clausewitz stated: Russia cannot be defeated.

 

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No te rindas, Venezuela

All of Latin America is in trouble but Venezuela stands out in a way that cannot be ignored. What happens in Venezuela will have a profound effect on the rest of Latin America and the world. The Bolivarian Revolution of Hugo Chavez is under vicious attacks by the domestic oligarchy and the oligarchs are willing to destroy the country in order to win; they also have the unconditional support of London and Wall Street bankers.

Venezuela is a beautiful country whose name means little Venice. It was named Venezuela by Amerigo Vespucci, an Italian explorer in the service of Spain. It is claimed that Amerigo saw houses on stilts on Lake Macaraibo as in Venice and thus came about the name. Others claim that it was named for an Indian tribe of similar name. Whichever story is true, Venezuela is a significant country of Latin America and the world. ( Incidentally, the “Americas” were named after Amerigo Vespucci in early 1500.)

Venezuela is a fairly large country with an area of over 900,000 square kilometers and a population of over 33 million people. It is very rich in natural resources, especially oil, minerals, and land with multiple bio-diversity. President Hugo Chavez changed the character of the country. His Bolivarian Revolution enacted programs that benefited the people. The oligarchy went berserk and attempted a coup d’état in 2002 that failed. He nationalized the Venezuelan oil company and returned gold from abroad. Unfortunately, he died in 2012. Nicholas Maduro, a former foreign minister, was elected president.

In 2014, the price of petroleum collapsed, hitting Venezuela very hard. The oligarchs, or the fifth column and their external supporters rejoiced. Shortages occurred of basic consumer goods such as toilet paper, the result of private corporations hoarding them. Revenues of the government collapsed because the price of oil had collapsed. Inflation ensued and shortages of goods worsened. The value of the Venezuelan currency, the Bolivar, collapsed. Opposition of the lower house of the Venezuelan Congress was won by the oligarchs. The oligarchs want privatization, austerity, and the impeachment of President Maduro. External forces are so happy and they are doing all they can to overthrow the Bolivarian Revolution of Hugo Chavez.

Will they succeed? It is difficult to say, because, since the Bolivarian Revolution, the Venezuelan people are politically awake. They will demand and protect their rights, so the Fifth Column must be careful, because a true revolution might arise that will sweep the oligarchs into the dustbin of history. The people know that the economic depression is due to the collapse of the price of oil which may have been engineered by the same forces who want to destroy Russia. Subsequent shortages of goods caused by private corporations in order to destroy the Bolivarian Revolution. The same process is going on in Brazil with the impeachment of President Dilma Rousseff. The real revolution might just be around the corner, not only in Venezuela, but in Brazil and the rest of Latin America and the Caribbean. Ne te rindas, Venezuela. Only time will tell.

 

 

Donald Trump, A Force of Nature

In previous posts I have stated that the US socio-economic system is based on three economic classes: the ownership class, 1%, doing extremely well; the overseer class,4%, doing quite well; and the PRECARIAT class, 94%, doing very badly. The middle class is gone or it never existed. What existed from 1945 to 1980 were high paying jobs which were the envy of the world. I do believe that 1980 was the first year that the US experienced annual account deficits, and they have been negative ever since on a larger and larger scale. The Precariat class is getting angrier and angrier.

If one watches American media, one sees the members of the overseer class bloviating and pontificating about how things are great. Occasionally, they will have members of the ownership class on these programs in whose presence they will prostrate themselves.

2016 is the Presidential Election Year and the Precariat class has a chance to express itself. They are up against the status quo. All candidates, Democratic and Republican, are beholden to the ownership class or oligarchy except for one: Donald Trump. Mr. Trump is very unusual in that he is very intelligent, emotionally honest, has a sense of justice, and appears to be very common as if he were a member of the Precariat class. In Mr. Trump, they see hope.  The Republican establishment is in panic mode. The modus operandi of the establishment is no longer working. If the ruling elite allows the democratic process to continue, Donald Trump will win the Republican Nomination and the Presidency of the US. He might just be the person that will be able to restructure the US economic system and bring peace to the world.

If the oligarchy, also known as plutocracy, tries to prevent him from becoming the Republican candidate, violence and revolution are inevitable. The Precariat Class will say: BASTA. If an economic black swan occurs, the upheaval will be inevitable. Some advice to the plutocracy: embrace The Donald, A Force of Nature, he might save your sinful souls and the nation. Only time will tell.

QUO VADIS? AMERICA LATINA

 

Latin America is a huge region, extending from the Rio Grande in the North to Tierra del Fuego in the South. Historical Spanish America extends from the Straits of Juan de Fuca to las Islas de Malvinas (otherwise known as the Falkland Islands, presently under British control). Ibero-America or Latin America is the appropriate term, because it includes Portuguese and Spanish parts. It is a region of over seven million square miles and over seven hundred million people. It will have a great future and great influence in the world provided there is no nuclear war, but we know that some kind of war is in the making…

The first thing Latin America wants and needs to do is to achieve total geo-economic independence; this goes without saying. Latin America has been perpetually dominated by foreigners, first, Spain and Portugal as its’ original colonizing  “Mother Countries”, and then since its independence from them in 1821, by the US. As a matter of fact, around 1800, President John Adams sent a naval squadron to Rio de la Plata to demonstrate that Latin America was to be a vassal in the American sphere of influence. In 1823, President James Monroe in his seventh State of the Union address proclaimed that the US would not tolerate European Powers in Latin America, a proclamation that came to be known as ” the Monroe Doctrine”. And thus the exploitation of Latin America began and continues on to this day. In 1966, US economic entities extracted 44 billion dollars from Latin America. Gold at that time was convertible at 35 dollars an ounce. This exploitation has been very profitable although presently, it has somewhat lessened. In 1966, converting 44 billion dollars into ounces of gold at 35 dollars an ounce was equal to 1. 257,142,800 billion ounces of gold. These gold ounces converted into dollars at today’s gold price in dollars would be over one trillion three hundred billion dollars.

To maintain its position in Latin America, the US established the Organization of American States, officially as a bulwark against Communism, but in reality, an instrument to control Latin America. Canada joined this organization several years ago, but has less and less relevance to it, if it ever had any. The policy of the US towards Latin America was straightforward, and is in keeping with its general foreign policy throughout the world today:  overthrow governments which oppose US policy. First they were demonized and economically squeezed, and, if that didn’t work, they  were overthrown. Some examples of these erstwhile leaders: President Arbenz of Guatemala for opposing the United Fruit Company, aka United Brands; the attempted overthrow of the Cuban Revolution and Fidel Castro in the Bay of Pigs in 1972;  the tragedy of President Allende of Chile on September 11,1973 (the first 911), and there are many others…

Most Latin American regimes are oligarchical, but even they realize they must preserve and protect the natural resources of their countries, and they are no longer willing to submit to the US. They formed MERCOSUR in 1991 (the common Market of the South, or Southern Common Market ( in Spanish, Mercado Comun del Sur, in Portuguese, Mercado Comum do Sul). Member states are: Argentina, Bolivia, Paraguay, Brazil, Uruguay, and Venezuela. Associate members are: Chile, Peru, Colombia, Ecuador, and Suriname. Observer countries are Mexico, and an outsider country, New Zealand; the US and Canada do not participate. There are other fraternal organizations as well. The great leaders of Latin America are deeply respected and provide unity and inspiration to these nations, everyone from Simon Bolivar of Gran Colombia, Jose De La San Martin of Argentina to recent and present leaders such as Fidel Castro, Che Guevara of Cuba, Allende of Chile, Hugo Chavez of Venezuela, Nestor Kichner and his wife, Cristina Fernandes  of Argentina. One must not forget the great leader of Bolivia, President Evo Morales, President Mujica of Uruguay, and ex-President Lula da Silva of Brasil. Also present-day Presidents Guttierez of Ecuador, Daniel Ortega of Nicaragua, Dilma Roussef of Brasil, and Nicolas Maduro of Venezuela. The latter leaders are under attack but they will survive, and there are others…

Whether the leaders be oligarchical or progressive, they know they must protect their independence. They can only do that through the unity of Latin America and now joining forces with Afro-Euro-Asia. Only time will tell.