Category Archives: the USSR

Turkey vs the US

In one of my previous posts, I stated that Turkey was one of the most geostrategic pivots in the world. That is true. This geostrategic pivot gives Turkey immense power and advantages vis a vis any power outside the region of the Balkans, Bosporus, Black Sea, and the Middle East.
In the year 2018, it is asserting its power to impose its will on the Kurdish enclave of North Syria to the Iraqi border; this means Turkish confrontation with the US.

Turkey is totally opposed to the US policy in Syria. The US wants to partition Syria, not because it is a threat to the US, which it is not, but because it would enable Israel to expand into both Lebanon and Syria. It would thereby obtain the waters of Lebanon.

Turkey considers the US presence in Syria and Iraq a threat to Turkish security and independence. Turkey has a large Kurdish population, up to 30,000,000 people in its South East Region. There are about 3,000,000 in Syria and Iraq respectively; approximately 3,000,000 in Iran. ( Actually, Kurds are scattered all over the Middle East. ) Kemal Ataturk was a Kurd. He defeated the British at the Battle of Gallipoli in 1915, in the 1st World War. Churchill was eager to conquer Constantinople for the British, and not to help the Russians as claimed by the British. Kemal Ataturk developed very close relations between Turkey and the new country of the USSR.

A large Kurdish State in the Fertile Crescent would mean the end of Syria, Iran, Iraq, and Turkey. A Kurdish state allied to Israel would dominate the Middle East. Turkey, Iran, Iraq, Syria, and Lebanon want to prevent this scenario; most of the Islamic world is against such a scheme.

What now? Turkey means business. It is prepared to face the US in Syria, possibly in Iraq as well. Confrontation is inevitable. It depends on what scale, but it will be on big scale. Let us analyze.

The US will not leave Syria. It will leave only if forced. Turkey will not back off. All of Turkey is upset with the US. Both countries are members of NATO, but the US runs NATO. What the US says goes. That has been the internal relationship of the organization since its inception in 1949. Turkey has been a member of NATO since 1952, a faithful US ally in the Korean War,1950-53. Since a failed coup d’état of July 15, 2016, the US/Turkish relationship has been very strained. Turkey has abandoned a policy of subservience to the US and chosen a policy of national interest and independence. National interests of Turkey are in direct conflict with US strategy. The policy of restraints on Turkey that the US is pursuing only irritates Turkey even more.

Before a complete rupture occurs, the US will try another coup d’état. If it succeeds, Turkey will go back to the NATO stable, and the US will again have a subservient Turkey and will be able to create Kurdistan in Syria. However, the coup may not succeed.

What is evident in this struggle is that Turkey is not afraid. Turkey is an advanced economy. It has powerful armed forces. Turkey may be in possession of nuclear weapons which gives it a nuclear back bone to face any opponent, including the US. The West was hoping to start a Russo-Turkish war after the Turks shot down a Russian jet in Syria on November 24, 2015; it did not succeed.

If Turkey goes all the way to conquer Syrian Kurdish region, it will inevitably come in conflict with the US special forces advising the Kurds. If the US sustains casualties, the US will respond and open conflict will occur. The Turks will not back off. Neither will the US. The conflict will enlarge. If no armistice is reached, both sides will pour troops into the conflict. NATO will be in a dilemma. Many NATO members would refuse to join the US vs. Turkey conflagration; NATO would break. The Islamic World would side with Turkey, and the Third World War could break out.

Short of a general nuclear war between the US and Russia, the US-Turkish War would severely damage the world’s economy, let alone cause massive environmental and structural damage to the world. The consequences would be unpredictable; we will see

Delenda est Russia

The idea to destroy Russia is not a new idea for the West. The most recent example was in Germany, 1941- 1945. The US declared war on Germany only after the German declaration of war on the US, which resulted from the Japanese sneak attack on Pearl Harbour, Hawaii. Hawaii at that time was a colonial possession of the US. Britain declared war on Germany after Hitler invaded Poland. Britain was obliged to honor its commitment to France. France and Poland were very close to each other, like hand in glove, but many in Britain opposed the declaration of war.

The Japanese attack on Pearl Harbour was choreographed by the US. The US embargoed the oil supply to Japan from all Western controlled oil sources. Also, Japan was forbidden the use of the Panama Canal. Japan had no choice: surrender or fight. So Japan chose to fight, hoping for a knockout blow. It didn’t work out however because the US broke the Japanese secret code. So the US decided to play the victim, leaving a few battleships in the Harbour; this Japanese venture was doomed to failure from the start. And the result: Japan is now an occupied country loaded with US military hardware.

The US played differently with Germany though. It declared war on Germany only after Hitler declared war on the US in December, 1941. By default, the US became a reluctant ally of Russia. Russia, alone, faced the combined might of Germany and all of occupied Europe. The British campaign in North Africa was a minor side show. The US lend lease to Russia was fully paid back by the USSR by the early 1950’s.

The Cold War started at the end of the Second World War. But even before the war ended, Churchill had suggested, ‘Operation Unthinkable’: Britain and the US to join the Wehrmacht in fighting the USSR. The decay of the USSR started with its de-Stalinization under the leadership of Nikita Khrushchev. The USSR was kaput by 1991. A decade of plunder began under Boris Yeltsin, and the end of history was proclaimed. Had Western liberalism triumphed?  US hegemony was peaking and Russian weakness was bottoming out.

By 2000, Russia was weak but not defeated. Under a new leader it rose like the Phoenix from the ashes, resilient and getting stronger by the day. And all along since 1945, the US has been playing the dollar card. All the financial games of the world have been controlled by US institutions: the Federal Reserve, the IMF, the World Bank, the Bank for International Settlements, and the Bank for International Development.

After the Ukrainian coup d’état of 2014, the US decided to destroy Russia economically and it applied an economic squeeze; they attacked the ruble. In a matter of weeks, the ruble dropped from around 29 to the dollar to over 70 to the dollar. Oil prices collapsed from near a hundred dollars per barrel to less than thirty dollars per barrel. This hurt Russia badly, but Russia did not buckle. The West then applied sanctions on Russia. They tried using SWIFT, Society for World Wide Financial Transactions, to ban Russian transactions but backed off; Russia now has its own version of SWIFT.

The Third Law of Motion states: For every action there is an equal and opposite reaction. Russia banned agricultural products from the West. It stopped using Baltic state ports and rail systems which had been built by the Soviets. The result: hardship for the farmers of the EU and severe economic injury to the Baltic republics. Russian agriculture is now booming. Russia has become the number one wheat exporter in the world. Western sanctions should remain permanent because they only help the Russians, they are a blessing in disguise. It must be understood, Russia is an autarchic power par excellence, the only one in the world; it cannot be destroyed economically.

Russia cannot be destroyed economically, because Russia is an autarchic power. So, the West will try  to control Russia militarily by using enhanced nuclear weapons which are very unique. Whether the Russians or the Chinese have any inkling of these weapons is unknown. China and Russia must be destroyed at the same time for the West to be successful. That is the theory and the belief of the planners. However, the destruction of the planet Earth, will more likely be the result.

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.

 

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.

Obesity, Toxic Side Effect Of Capitalism

Obesity has become a serious problem for most of the world, but nowhere is the problem as acute as in the USA. Throughout history, in all civilizations, there were individuals who were obese, either because of some illness or most likely because of gluttony. (Gluttony or gula in Latin is one of the seven mortal sins in Christian Faith.)

Modern obesity really took off with the processing of food. Food processing is a highly profitable business for giant food corporations that have world wide operations. Giant Agri-businesses and giant food processors  are one of the key pillars of capitalism, but they are very, very harmful to human and animal health, and very, very damaging to the environment.

The ascent of obesity began with the beginning of the Cold War with the USSR in 1947. The US wanted to present itself as the land of the cornucopia, but it is ending up as the cornucopia of garbage. The US leads the world in the production of “dead food”, food with no nutrient value, but with an immense profit margin. That is all that matters, profit, regardless of the human and environmental costs.

All life depends on the sun’s energy from the tiniest sub particle to the largest trees and animals. Cold blooded animals recharge themselves by laying in the sun and soaking up its’ energy. They may eat fewer than a dozen times a year to obtain nutrients and materials to maintain and repair their bodily structures. The accumulated sun’s energy keeps them going in between meals. When the cold season comes, they go into hibernation.

Mammals, including humans, eat food that contains the stored energy of the sun. Apples, oranges, bananas, strawberries, pears, figs, dates are sources of the stored energy of the sun. They should be eaten raw. Legumes are to be cooked, as well as grains. Meat should be prepared fresh and not frozen or processed.

All processed foods destroy the energy of the sun and its’ nutrients, and only the calories remain. People who eat processed food suffer from what I call ” physiological starvation.” They are constantly snacking and eating because they are not receiving sufficient nourishment from these nutrient-deficient foods. The end result is obesity, morbid obesity, and the cornucopia of illnesses which are gifts to pharmaceutical-medical industry. Physiological starvation means the body does not have access to the nutrients that it needs to maintain and repair itself.

Pesticides and monoculture agriculture based on nutrient depleted soil produce nutrient deficient foods which are further destroyed by processing. Trans fatty acids, chemical additives, and GMO’s  complete the cycle of evil in this production of obesity and illnesses, but at the same time, produce immense profits for agri-businesses, food processors, and pharmaco-medical complexes which are key pillars of the system. The profits are beyond imagination, but the environment and the very existence of all life is in danger. This parasitic system, capitalism, is destroying life on earth, and in the process will destroy itself. Only time will tell.

 

 

Exitus Acta Probat

The Modus operandi of modern imperialism  is based on the principle of Exitus Acta Probat, Latin for the end justifies the means. Imperialism and Capitalism are two sides of the same coin. It can be said that without colonialism there can never be imperialism, and, subsequently, no capitalism. The main proponent of Capitalism is the British-American Alliance, and the instrument of that power is the Dollar.

The World Capitalist System is in severe crisis because of negative energy flow, that is, the extraction of wealth from the rest of the world is decreasing, while the energy needed to maintain the viability of the Anglo-American System is increasing. That is not sustainable.

The Anglo-American leadership is convinced that, if it  took control of the regions of the former Soviet Union and the natural wealth of that area, it would be in control of the world for the next several centuries. As a result, the confrontation with Russia is inevitable. Only time will tell.

Gold Will Not Be Available At Any Price

In one of my previous blogs, I stated that gold does not need the dollar or any other currency, but the dollar needs gold to be the Reserve Currency or Official Currency of the World. Without the connection to gold, a Fiat Currency is a useless piece of paper that is imposed on the people by legal tender law. No other currency can be used in the US except the Dollar. The Bretton-Woods Agreement made the Dollar the official currency of the world with the convertibility of the dollar into gold at 35 dollars an ounce. All trade in the world was conducted in dollars. The US became Master of the World.

In 1950, the US had twenty thousand tons of gold and the rest of the world had very little. The gold reserves of the USSR were secret, but Western Intelligence analysts concluded that they were significant. By 1968, the run on the gold was significant, and in 1971 President Nixon defaulted on the US gold obligation of 35 dollars for an ounce of gold. Very significant events took place after the US defaulted. The War of October 1973 started between the state of Israel and the Arabs, which Israel would have lost without US help. In 1973, OPEC, the Organization of the Oil Exporting Countries, was formed with the help of the US. The US was the godfather of the OPEC, and OPEC promised that the dollar would be its’ official currency. The price of oil was encouraged to rise many, many fold. Third World countries went into massive dollar debt buying needed oil. Inflation ensued, followed by high interest rates imposed by Paul Volcker, the Federal Reserve Chairman.

So far so good. The US economy boomed due to the growth of debt. The Crash of 1987 did not matter. In 1989, Communism disappeared, the USSR collapsed, and Japan, the economic power house, went into irreversible decline, which continues to this day. The 1990’s were characterized by the plunder of the Russian Federation under the leadership of Yeltsin. In 1998 occurred the Russian default. The Stock Market boomed, not because of the NASDAQ dot com bubble, but because of the plunder of the Russian Federation by the West with the help of the Russian-Jewish mafia. Vladimir Putin is appointed Premier of Russia by President Yeltsin and the US stock market took a plunge, because the plunder of Russia was about to end.

The economy was on the skids, so  September 11, 2001, happened, but we do not know for sure who is really responsible, but it was good enough reason to declare the War on Terror to revive the economy. Osama bin Laden and his people were blamed. Osama was in Afghanistan, so Afghanistan was bombed and invaded. The Afghani War continues to this day with no end in sight. After the invasion of Afghanistan, the opium trade boomed as production rose from 96 tons annually under the Taliban to over 6000 tons presently and that is more than a several trillion dollar business, the biggest business in the world denominated in US dollars and controlled by the US. (The US dollar is not only the Petro-Dollar but also the Narco-Dollar.) In 2003, Iraq was invaded and Saddam Hussein hanged, not because of weapons of mass destruction but because Saddam refused to sell Iraq oil for dollars. The war in Iraq still continues; the War on Terror keeps the Western Economy alive.

In 2008, due to subprime mortgages and too much debt, the Stock Market and financial markets everywhere faced serious collapse. Under the leadership of Hank Paulsen, the US Treasury Secretary, the system was propped up. By 2011, gold went up to over 1900 dollars, and silver went up to near fifty dollars. After the economic debacle of 2008, the US and the World has been enduring negative energy flow. There is no real economic growth in the US, but statistically there is a concocted growth. Europe is just as bad, if not much worse, and Japan is dying. China is in a precarious situation as well. Third World countries are in depression or even super depression. Eastern Europe is similar. Russia is suffering, but is self sustaining, with very little debt and is the cleanest shirt in the laundry…

Non Western Central Banks are buying and hoarding gold by the tons. Some Western countries are repatriating their gold. People all over the world are buying physical gold and silver. People who buy physical precious metals do not sell them unless forced by circumstances. OPEC is in disarray, many members are selling their oil for other currencies such as the Euro and the Yuan. The dollar is still important but no longer absolute. The world is de-dollarizing. A point will be reached when there will be a panic for buying of gold and no gold will be available. Gold trading will be closed and gold will not be available at any price. The well being of countries such as the US will be changed for ever. Only time will tell.

 

 

The Dollar Armageddon

The essential plan of the West is total domination of the Earth, which would result in the flow of all natural resources and all natural wealth to the International Community of the West from the rest, as was done under Colonialism. This new phase of exploitation is being carried out under the banner of Globalization. The Anglo-Americans, the British Empire and the US, were the organizers of the new financial system in 1944 at Bretton Woods, New  Hampshire, US., today known as the Bretton Woods Agreement. The chief players were John Maynard Keynes of the UK, Harry Dexter White, and Henry Morgenthau Jr. of the US Treasury.

The Anglo-Americans realized that the Colonized World wanted to be decolonized and independent, and since they could not prevent decolonization, they decided they could slow it down and install their own puppets. Any new leader who rebelled against Western control would be overthrown or even killed. Winston Churchill proclaimed the Cold War against the USSR in 1947 in Fulton Head, Missouri, USA. Patrice Lumumba of the Belgian Congo comes to mind. He was impaled and killed in 1961.

Globalization began. Beautiful phrases, such as “Food for Peace” programs were used to entrap  newly independent states. Foreign Aid was used not to help but to enslave. The International Monetary Fund{IMF}, and the World Bank were the chief agents of debt enslavement.The Cold War was in full swing.

Despite the massive destruction of the USSR caused by the German invasion in the Second World War, the basic living standard of the Soviet Union was higher than that of the US.  Housing was tight, and families lived together in cramped quarters because of the war destruction, but the Soviet People had jobs, free education, free health care, one month vacation, and one year maternity leave with pay. Public transportation was available. Just compare the metro systems of the two countries in the nineteen fifties. Basic consumer goods were available, but an abundance of consumer goods was not. The Soviet People had job security and a sense of serenity which was not available to the West.

Western policy makers decided to push three things on the world: abundant consumerism vs socialist austerity, wide spread debt at home and abroad, and world-wide militarization as exemplified by NATO, SEATO, and CENTO*; in other words globalization. US banks and corporations were everywhere. American Culture, food, and military bases were everywhere; the US was omnipotent. Credit cards were introduced in the 1960’s. (Remember the commercial for American Express? “Don’t leave home without it.”) Western corporations yearned for profit and huge profits were associated with cheap labour. Western factories were moving East to China, when China opened up in 1979, and to other countries of the East and South as well.

Wages in the US were deteriorating for the working class since the early sixties of the last century, but the US corporation has been doing great. In the 18th and 19th centuries Western corporations were moving slaves from Africa to the plantations of North America, the West Indies, and South America. In the latter half of the 20th Century and the beginning of the 21st Century, corporations have been moving their plantations, factories, to the slaves. 95% of Americans today belong to what I call the Precariat Class, a totally dispossessed economic class.

In 2016, Americans still don’t have tax based universal health care, no free education of superior quality, no affordable housing, no public transportation, and outright home ownership is only around 11%. No wonder Americans are angry, and this is why Donald Trump is winning. The ownership class cannot stop him in an “honest way”, so they will try to stop him either by hook or by crook. Massive demonstrations may occur in defense of Trump. Martial law may be imposed, and the presidential election may be postponed or even cancelled.

Economic conditions are no better. Real unemployment is high, anywhere from 20% to 42%. Wages are stagnating. Ninety million Americans are not working. Obesity, a side effect of the American economic system, is in epidemic mode. Sixty six percent are obese and thirty seven percent are morbidly obese. Chronic diseases such as diabetes, hypertension, cancer are rampant. Life expectancy is going down. Basic infrastructure is collapsing. People are over medicated. Grocery stores are full of embalmed, genetically modified food ( but beautifully packaged!). All for profit, and without giving a damn about people or the environment. Just look at Flint, Michigan and their drinking water. The US, the hope of mankind, is becoming a third world country.

The world economy is no better. Much of the world is either in severe recession or depression. The Baltic Dry Index has imploded, with slight improvement lately. World consumption has collapsed, hence massive slowdown from South Korea to Germany. Japan is in perpetual depression. China is slowing down. Latin America, Africa, and South Asia are either in near or full depressions. Canada, Australia, the European Union are either in severe recession or are entering one. The Ukraine is on the verge of exploding. The Middle East is a cauldron that will enlarge. The only area of stability is Russia and the Commonwealth of Independent States. Sanctions against Russia are great blessings in disguise. Import substitution and self reliance are engines of growth and power. Presently, Brazil and Venezuela are being destabilized from outside and inside.

In summary, unnecessary consumption is collapsing world wide. Debt in dollar terms is still growing  but at a snail’s pace. World wide trade is collapsing. Countries with an independent foreign policy such as India, Iran, China, Russia, and others are accumulating gold and shunning the dollar. This is a nightmare for the US. It is quite possible that some obscure company somewhere in the South Asian region will reject trade in dollars, but will accept gold or Chinese yuan. Panic will set in. The dollar could drop by twenty percent in overnight trade. Gold and silver would sky rocket. Trade between the US and the world would collapse. Interest rates in dollars would rise to an unbelievable level, but would not help the dollar. The US could not import anything with its currency, but only with gold or some foreign currency which was convertible to gold. The Armageddon of the dollar is coming. The ownership elite of the US will know for the first time in its history what it’s like to actually work for a living rather than living off the suffering and labor of others. My analysis is very, very correct and true but only time will reveal that.

 

*= NATO: North Atlantic Treaty Organization SEATO: Southeast Asia Treaty Organization

     CENTO: Central Treaty Organization

 

 

 

How much is the dollar really worth?

The dollar is a fiat currency. It is created out of thin air through debt. A person goes to the bank and wants to borrow 10,000 dollars and if the borrower meets the criteria of paying back the sum plus interest agreed on, the bank issues a cheque of 10,000 dollars or direct deposits the amount to his account. Money has been created out of nothing to enslave that person for 10,000 dollars which he must now pay back at a certain interest rate for a specific period of time. In other words, he sells his labour, his life force, to pay the debt. He is exploited, he is a slave. This is the essence of capitalism, and the fiat currency is an instrument of enslavement.

Initially, the dollar was a gold backed currency as were other world currencies. President Franklin Delano Roosevelt, early in his presidency devalued gold from 20.67 dollars an ounce to 35 dollars an ounce. Also, he made it illegal for Americans to own gold, unless it was in a jewelry form of 18 karats or less. The Bretton-Woods Convention made the dollar the Reserve Currency of the World. The US would keep the gold and the rest of the world would keep the dollars. Other central banks could exchange dollars for gold at 35 dollars an ounce. Gold, however, would be stored in the US and some would be stored in London. This arrangement was propped up by fear that “the Communists” would take over if the gold was not stored in the US. Publicity  made Fort Knox, Kentucky, infamous as the storage place  for the world’s non-communist gold. General Charles de Gaulle, President of France, was not fooled. He realized it was the perfect scam. He had never trusted the Anglo-Americans. He knew how perfidious they were during the Second World War II. The Anglo-Americans hated him, and of course, he reciprocated. He withdrew France from N.A.T.O. and sent French warships to retrieve French gold from the US. Other European countries followed. A run on gold followed…

The gold drain from the US followed. President Nixon closed the Gold window. This closure was permanent, contrary to the President’s statement that  it was temporary. The US was running trade deficits and the Vietnam War was draining the country of its real wealth, gold. The dollar paper drainage was no big deal, because it was only paper. The Arab oil embargo saved the dollar and the US. The US told the oil producers to increase the price of oil but just have it denominated in dollars. The excess dollars of the world poured into US treasuries and helped finance government operation. The decade of 1970’s showcased growth throughout the world but with inflation. Gold was allowed to reach its equilibrium value of 850 dollars an ounce. Silver, taken out of circulation in 1965, went to 50 dollars an ounce in 1979-80. Interest rates were high because demand for money was high. Demand for real money, gold and silver, was high. But the dollar was losing value. In 1969, one could get four Swiss Francs for one dollar, but in 1979-80 period, the Swiss Franc was on parity with the dollar.

President Carter appointed Paul Volcker Chairman of the Federal Reserve Bank. The Prime Rate went to almost twenty percent. The price of precious metals collapsed and value of the dollar rose. Money from all over the world poured into the US. By 1992, the USSR and communism had disappeared in Europe. The end of history was proclaimed. The plunder of the ex-USSR and Eastern Europe, along with the rest of the world began with increasing tempo. A unipolar world of ten years duration was achieved. In Nature, when one extreme is reached, opposite forces start building momentum, and new forces started brewing on the horizon…

Vladimir Putin was appointed Prime Minister of Russia in 2000, and the economic decay started in the first decade of the New Millennium in the West. It is now worsening and encompassing the entire world. The central player in all this has been the dollar. It has no intrinsic value like gold, land or water, but is the instrument of US power. The US wants to maintain that power come hell or high water, and in order to maintain it, debt in dollar terms has to grow. The IMF and World Bank, along with other private organizations, are working overtime to trap more and more countries into unsustainable debt and milk them for all they are worth. This is the MODUS OPERANDI of capitalism…

But opposing forces are rising, and the de-dollarization of the world has began. The World is trying to dis-infect itself from the dollar. Very interesting and dangerous times are approaching. But the US will not willingly give up its instrument of power. It is negotiating trade deals with Europe, South America, and South East Asia to insure the dollar to be the supreme currency. It is confronting China in the South China Sea, but at the same time, it is enticing  it to join the IMF arrangement of Special Drawing Right Currency. The US wants the China to row the dollar-SDR boat, and the US would steer it. Whether China falls for it or not remains to be seen. China, Russia, Brazil, Iran, and other countries that have backbone are trading amongst themselves in their own currencies. The river of history is flowing and it cannot be reversed.

How much is the dollar really worth? Nothing. It is merely an instrument of power, intimidation, and war, like aircraft carriers. And history will be unkind to both. Only time will tell.

The North Atlantic Concept is Dying.

In many ways, the present world situation was created in the 1930’s. The Soviet Union was considered the main threat to Western control of the world. The Soviet Union supported anti-colonial struggles throughout the Colonial World, which was controlled by Western European States and the US. Hitler was appointed Chancellor of Germany by President von Hindenburg on January 31,1933. The Nazis were the largest party in Germany. Every leader in the West knew who Adolf Hitler was. German-American and British-German friendship societies were formed glorifying German-Nordic race and culture. France and other Latin Countries of Europe were not included, even though they were the main pillars of European and Western Civilization. One cannot imagine Europe without its Greco-Roman foundation. All the sophisticated aspects of the English language are Latino-French.

Overnight, Germany became the dominant European power under Hitler. France, on the other hand, was not as influential and demanding as Germany; it had lost élan, vital in the Franco-Prussian War of 1870-71. Germany became unified under the leadership of Otto von Bismarck, the Iron Chancellor. France was easily defeated, and the Emperor, Napoleon III, was captured at Sedan in northeast France. France with its Allies was victorious in the First World War but the war was highly exhausting and destructive. In the interim period between the world wars, France had weak governments of short duration. Britain was also weak, but enjoyed a special relationship with the US. France, despite being the longest running ally of the US, did not have this special relationship…

The USSR was isolated. Despite its efforts to form an Anti-Hitler coalition, Russia had been spurned. The only ally remaining to it was Mongolia. The USSR and Mongolia defeated the Empire of Japan in the Battle of Khalkhyn Gol, Mongolia in 1939. Europe was sliding towards war. The only western European leader who could have prevented the Second World War would have been General Charles de Gaulle. Had he been the president of France during the 1930’s, he would have formed a military alliance with Russia. Germany, under Hitler, then would have been contained. De Gaulle would also have been able to restore the French elan.

In the 1930’s Hitler was on the march. All his foreign demands had been met and it was Anschluss with Austria in the spring of 1938 and then the takeover of Czecho-Slovakia in the Autumn 1938, via Munich Agreement. The USSR wanted to defend the  Czech interests but was not invited to attend Munich. The secret British and American idea was to entice Hitler to attack Russia, and establish Lebensraum {Living space}, for Germany in the East, which had been Hitler’s goal from the very beginning. The wheels of war were set into motion secretly by the West. When the Soviet-German Non Aggression Pact was signed in August,1939, the West was indignant. Russia, how dare you ! Only the West is allowed such games. The invasion of Russia was then postponed, but not for long…

When Hitler attacked Poland on September 1, 1939, Britain and France declared war on Germany with reluctance. The “Phony War” followed on the Western Front. Britain and France were more interested in helping Finland in the Soviet-Finnish War than fighting Germany. After the French defeat and the British graceful exit from Dunkirk, Hitler was ready to attack Russia on June 22, 1941. The Western press gloated. Germany would win in about six to sixteen weeks. There would be tripartite control of the world, the British Empire, Germany, and the US. Germany would control the USSR land mass, Britain and the US would control the rest of the world. The US and Britain gave Germany about three years to defeat the USSR, but it never happened. By 1944, it was apparent that Germany would lose the war in the East,  and the Western Allies panicked. The Second Front was organized with the Normandy invasion to share in the division of Europe. The Cold War started long before the Second World War had ended. Operation Unthinkable was suggested by Churchill, as well as other plans by the Americans to destroy the USSR. And the Cold War never ended when USSR dissolved…

The Cold War continues today in multiple forms. NATO is expanding even though it is decaying. The Montenegro elite want to join NATO. The currency war against the ruble is raging. Oil prices were decreased in an attempt to hurt Russia. Sanctions and trade embargoes are being waged. Russia and ISIL have been declared enemies of the US. This is crazy. This US wants to destroy Russia to save its failing economic system which ultimately cannot be salvaged. The boomerang of sanctions and embargoes against Russia are only hurting the European Union. The European economy is just as bad as the US’s, if not worse. The onslaught of refugees is destroying the fabric of Europe. The Russian plane and Paris tragedies are changing the very policies of Europe. Europe will drift away from the North Atlantic and embrace Afro-Eurasia. Latin America is already embracing Afro-Eurasia. The US is Introducing counter measures such as the Trans-Pacific Partnership and Trans-Atlantic Trade and Investment Policy, which may or may not work.

The US is in a difficult position. The world is coalescing around Russia and China, and it cannot do much about it. The US  has only known one means of control: the policy of confrontation and intimidation it has used since its very inception. The Ruling Elite of the country will not change, although some members of the Elite perceive the danger. In a previous post, I said that US finance capitalism is supported by three pillars: paper (the dollar), the stock market, and the bond market, and that all three of these are based on debt. If one falters, all three will fall and the US economy will enter a black hole, and the European Union will drift away from Canada and the USA. Only time will tell.