Category Archives: World Bank

The Global Reset: Unplugged

Imagine, you are living in a world that you are told is a democracy – and you may even believe it – but, in fact, your life and fate is in the hands of a few ultra-rich, ultra-powerful and ultra-inhuman oligarchs. They may be called Deep State, Illuminati, or simply the Beast, or anything else obscure or untraceable, it doesn’t matter. They are less than the 0.0001%.

For lack of a better expression, let’s call them for now “obscure individuals”. These obscure individuals who pretend running our world have never been elected. We don’t need to name them. You will figure out who they are, and why they are famous, and some of them totally invisible. They have created structures, or organisms without any legal format. They are fully out of international legality. They are a forefront for the Beast. Maybe there are several competing Beasts. But they have the same objective: A New or One World Order (NWO, or OWO).

These obscure individuals are running, for example, The World Economic Forum (WEF – representing Big Industry, Big Finance and Big Fame), the Group of 7 – G7, the Group of 20 – G20 (the leaders of the economically” strongest” nations). There are also some lesser entities, called the Bilderberg Society, the Council on Foreign Relations (CFR), the Chatham House and more. The members of all of them are overlapping. Even this expanded forefront combined represents less than 0.001%. They all have superimposed themselves over sovereign national elected and constitutional governments, and over THE multinational world body, the United Nations, the UN.

In fact, they have coopted the UN to do their bidding. UN Director Generals, as well as the DGs of the multiple UN-suborganizations, are chosen – mostly by the US, with the consenting nod of their European vassals – according to the candidate’s political and psychological profile. If his or her ‘performance’ as head of the UN or head of one of the UN sub-organizations fails, his or her days are counted. Coopted or created by the Beast(s) are also the European Union, the Bretton Woods Organizations, World Bank and IMF, as well as the World Trade Organization (WTO), and – make no mistake – the International Criminal Court (ICC) in The Hague. It has no teeth. Just to make sure the law is always on the side of the lawless.

In addition to the key international financial institutions, WB and IMF, there are the so-called regional development banks and similar financial institutions, keeping the countries of their respective regions in check. In the end it’s financial or debt-economy that controls everything. Western neoliberal banditry has created a system, where political disobedience can be punished by economic oppression or outright theft of national assets in international territories. The system’s common denominator is the (still) omnipresent US-dollar.

The supremacy of these obscure unelected individuals becomes ever more exposed. We, the People, consider it “normal” that they call the shots, not what we call – or once were proud of calling, our sovereign nations and sovereignly elected governments. They have become a herd of obedient sheep. The Beast has gradually and quietly taken over. We haven’t noticed. It’s the salami tactic: You cut off slice by tiny slice and when the salami is gone, you realize that you have nothing left, that your freedom, your civil and human rights are gone. By then it’s too late. Case in point is the US Patriot Act. It was prepared way before 9/11. Once 9/11 “happened”, the Patriot Legislation was whizzed through Congress in no time – for the people’s future protection – people called for it for fear – and – bingo, the Patriot Act took about 90% of the American population’s freedom and civil rights away. For good.

We have become enslaved to the Beast. The Beast calls the shots on boom or bust of our economies, on who should be shackled by debt, when and where a pandemic should break out, and on the conditions of surviving the pandemic, for example, social confinement. And to top it all off, the instruments the Beast uses, very cleverly, are a tiny-tiny invisible enemy, called a virus, and a huge but also invisible monster, called FEAR. That keeps us off the street, off reunions with our friends, and off our social entertainment, theatre, sports, or a picnic in the park.

Soon the Beast will decide who will live and who will die, literally – if we let it. This may be not far away. Another wave of pandemic and people may beg, yell and scream for a vaccine, for their death knell, and for the super bonanza of Big Pharma and towards the objectives of the eugenicists blatantly roaming the world – . There is still time to collectively say NO. Collectively and solidarily.

Take the latest case of blatant imposture. Conveniently, after the first wave of Covid-19 had passed, at least in the Global North, where the major world decisions are made, in early June 2020, the unelected WEF Chairman, Klaus Schwab, announced “The Great Reset”. Taking advantage of the economic collapse – the crisis shock, as in “The Shock Doctrine” – Mr. Schwab, one of the Beast’s frontrunners, announces openly what the WEF will discuss and decide for the world-to-come in their next Davos Forum in January 2021. For more details see here.

Will, We, The People, accept the agenda of the unelected WEF?

It will opportunely focus on the protection of what’s left of Mother Earth; obviously at the center will be man-made CO2-based “Global Warming”. The instrument for that protection of nature and humankind will be the UN Agenda 2030 – which equals the UN Sustainable Development Goals (SDG). It will focus on how to rebuild the willfully destroyed global economy, while respecting the (“green”) principles of the 17 SDGs.

Mind you, it’s all connected. There are no coincidences. The infamous Agenda 2021 which coincides with and complements the so-called (UN) Agenda 2030, will be duly inaugurated by the WEF’s official declaration of The Great Reset, in January 2021. Similarly, the implementation of the agenda of The Great Reset began in January 2020, by the launch of the corona pandemic – planned for decades with the latest visible events being the 2010 Rockefeller Report with its “Lockstep Scenario”, and Event 201, of 18 October in NYC which computer-simulated a corona pandemic, leaving within 18 months 65 million deaths and an economy in ruin, programmed just a few weeks before the launch of the actual corona pandemic. See COVID-19, We Are Now Living the “Lock Step Scenario“; and Global Capitalism, “World Government” and the Corona Crisis; and Robert F. Kennedy, Jr.: Moderna’s Clinical Trial Results for its Groundbreaking Covid 19 Vaccine could not be much worse“.

The racial riots, initiated by the movement Black Lives Matter, funded by Soros & Co., following the brutal assassination of the Afro-American George Floyd by a gang of Minneapolis police, and spreading like brush-fire in no time to more than 160 cities, first in the US, then in Europe – are not only connected to the Beast’s agenda, but they were a convenient deviation from the human catastrophe left behind by Covid-19. See  The “Corona Hoax”, The Proliferation of Racial Riots: Towards a Military Lockdown?

The Beast’s nefarious plan to implement what’s really behind the UN Agenda 2030 is the little heard-of Agenda ID2020. See The Coronavirus COVID-19 Pandemic: The Real Danger is “Agenda ID2020“. It has been created and funded by the vaccination guru Bill Gates, and so has GAVI (Global Alliance for Vaccines and Immunizations), the association of Big Pharma – involved in creating the corona vaccines, and which funds along with the Bill and Melinda Gates Foundation (BMGF) a major proportion of WHO’s budget.

The Great Reset, as announced by WEF’s Klaus Schwab, is supposedly implemented by Agenda ID2020. It is more than meets the eye. Agenda ID2020 is even anchored in the SDGs, as SDG 16.9 “by 2030 provide legal [digital] identity for all, including free birth registration”. This fits perfectly into the overall goal of SDG 16: Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels.”

Following the official path of the UN Agenda 2030 of achieving the SDGs, the ‘implementing’ Agenda ID2020 – which is currently being tested on school children in Bangladesh – will provide digitized IDs possibly in the form of nano-chips implanted along with compulsory vaccination programs, will promote digitization of money and the rolling out of 5G – which would be needed to upload and monitor personal data on the nano chips and to control the populace. Agenda ID2020 will most likely also include ‘programs’ – through vaccination? – of significantly reducing world population. Eugenics is an important component in the control of future world population under a NOW/OWO – see also Georgia Guidestones, mysteriously built in 1980.

The ruling elite used the lockdown as an instrument to carry out this agenda. Its implementation would naturally face massive protests, organized and funded along the same lines as were the BLM protests and demonstrations. They may not be peaceful – and may not be planned as being peaceful. Because to control the population in the US and in Europe, where most of the civil unrest would be expected, a total militarization of the people is required. This is well under preparation.

In his essay “The Big Plantation” John Steppling reports from a NYT article that a “minimum of  93,763 machine guns, 180,718 magazine cartridges, hundreds of silencers and an unknown number of grenade launchers have been provided to state and local police departments in the US since 2006. This is in addition to at least 533 planes and helicopters, and 432 MRAPs — 9-foot high, 30-ton Mine-Resistant Ambush Protected armored vehicles with gun turrets and more than 44,900 pieces of night vision equipment, regularly used in nighttime raids in Afghanistan and Iraq.” He adds that this militarization is part of a broader trend. Since the late 1990s, about 89 percent of police departments in the United States serving populations of 50,000 people or more had a PPU (Police Paramilitary Unit), almost double of what existed in the mid-1980s. He refers to these militarized police as the new Gestapo.

Even before Covid, about 15% to 20% of the population was on or below the poverty line in the United States. The post-covid lockdown economic annihilation will at least double that percentage – and commensurately increase the risk for civil turbulence and clashes with authorities – further enhancing the reasoning for a militarized police force.

None of these scenarios will, of course, be presented to the public by the WEF in January 2021. These are decisions taken behind closed doors by the key actors for the Beast. However, this grandiose plan of the Great Reset does not have to happen. There is at least half the world population and some of the most powerful countries, economically and militarily – like China and Russia – opposed to it. “Reset” maybe yes, but not in these western terms. In fact, a reset of kinds is already happening with China about to roll out a new People’s Bank of China backed blockchain-based cryptocurrency, the crypto RMB, or yuan. This is not only a hard currency based on a solid economy, it is also supported by gold.

While President Trump keeps trashing China for unfair trade, for improperly managing the covid pandemic, for stealing property rights – China bashing no end – that China depends on the US and that the US will cut trading ties with China – or cut ties altogether, China is calling Trump’s bluff. China is quietly reorienting herself towards the ASEAN countries plus Japan (yes, Japan!) and South Korea, where trade already today accounts for about 15% of all China’s trade and is expected to double in the next five years.

True, China’s exports did decline by about 3% in April 2020 as a result of the covid-lockdown, but US exports decreased by almost 8% in the same period. It is clear that the vast majority of US industries could not survive without Chinese supply chains. The western dependence on Chinese medical supplies is particularly strong. Let alone Chinese dependence by US consumers. In 2019, US total consumption, about 70% of GDP, amounted to $13.3 trillion, of which a fair amount is directly imported from China or dependent on ingredients from China.

The WEF-masters are confronted with a real dilemma. Their plan depends very much on the dollar supremacy which would continue to allow dishing out sanctions and confiscating assets from those countries opposing US rule; a dollar-hegemony which would allow imposing the components of The Great Reset scheme as described above.

At present, the dollar is fiat money, debt-money created from thin air. It has no backing whatsoever. Therefore, its worth as a reserve currency is increasingly decaying, especially vis-à-vis the new crypto-yuan from China. In order to compete with the Chinese yuan, the US Government would have to move away from its monetary Ponzi-scheme, by separating itself from the 1913 Federal Reserve Act and print her own US-economy- and possibly gold-backed (crypto) money – not fiat FED-money, as is the case today. That would mean cutting the more than 100-year old ties to the Rothschild and Co. clan-owned FED, and creating a real peoples-owned central bank. Not impossible, but highly improbable. Here, two Beasts might clash, as world power is at stake.

Meanwhile, China, with her philosophy of endless creation, would continue forging ahead unstoppably with her mammoth socioeconomic development plan of the 21st Century, the Belt and Road Initiative, connecting and bridging the world with infrastructure for land and maritime transport, with joint research and industrial projects, cultural exchanges – and not least, multinational trade with “win-win” characteristics, equality for all partners – towards a multi-polar world, towards a world with a common future for mankind.

Today already more than 120 countries are associated with BRI – and the field is wide open for others to join – and to defy, unmask and unplug The Great Reset of the West.

Economic Epidemic

Dynamic duo:  Same bat virus, same fat profits

From Havana to Helmstedt

The major reason for Cuba’s travel restrictions — always used as grounds for slandering the Cuban state — is the extreme difficulty Cuba has maintaining foreign exchange reserves essential for international trade,  especially since the end of trade-in-kind with the COMECON. Every traveller from Cuba spends pesos that have to be covered by Cuba’s USD or EUR reserves. Since there are already more than enough obstacles imposed by the US embargo, every forex transaction is critical for Cuba’s balance of payments — for its ability to buy what it cannot produce. In fact, those who can still recall crossing from West Berlin to East Berlin will also remember that it was necessary to exchange DM 30 for M 30 for every day one spent in the GDR. This was heavily criticised in the West, especially by travellers who would complain that it was impossible to spend the M 30 in a day since everything was so inexpensive. Of course, the GDR was trying to compensate for the discriminatory exchange rates that made trade with the West a drain on its foreign currency reserves.

While many ordinary visitors complained and the Western media encouraged Germans in the East to complain about the buying power of the GDR mark, the fact is that throughout the world national economies only survived the Bretton Woods regime as long as they maintained currency controls. A major element in the economic warfare waged by the US Empire since 1945 has been to abolish fixed exchange rates. Having rigged the post-war international monetary regime to replace the British pound with the US dollar as the benchmark currency, the International Monetary Fund and World Bank were deployed to stabilise the US dollar with advantage over the old European currencies.

Although officially these were international institutions, they were organised like private corporations. The decisions were to be made by the majority of shares held in the IMF or World Bank. Since the US held the majority of capital in both, it was endowed with the most votes over any Fund or Bank decision. The quasi-currency of the Fund and the Bank was called special drawing rights (SDR). These units of account were based on a weighted value of the underlying “reserve” currencies, mainly the USD. SDRs could be used to resolve balance of payments discrepancies. Members of the IMF were extended SDRs according to the relative strengths of their economy. Based on the SDRs allocated to a country it could draw dollars or another reserve currency in amounts sufficient to pay temporary imbalances between imports and exports, transactions that after WWII were almost all USD business.

As the late Jamaican Prime Minister Michael Manley once pointed out — when the Bretton Woods agreements were signed most of the countries, like Jamaica, were still colonies or protectorates of some European or North American power. Hence no provision was made for them to even have independent economies or national currencies. As a result most of the world’s population and any of the newly independent countries that did not adopt a version of a Euro-American currency had no way to monetize their economic activity in international trade. They were left entirely dependent upon the USD, GBP, and FF for foreign trade of any kind. In order to limit USD hegemony in Africa, the French invented the CFA-Franc. This African franc tied its former African colonies to France by giving the CFA-franc a favourable exchange rate with French franc, although not parity. Overall, however, the post-war independence movements were all faced with the inherent dependence of their currency systems from the machinations of US and European banks with their control over the two major foreign exchange markets, the City and Wall Street. The exceptions to this regime were the Soviet Union and COMECON as and after 1959 Cuba.

When the US economy faced possible financial collapse toward the end of its war in Vietnam (it had been fairly successful in transferring the costs of the Korean War to the “United Nations”), secret negotiations by the Nixon administration with the Kingdom of Saudi Arabia had, through their offices within OPEC, saved the USD by abolishing the gold fixing and establishing the USD as the sole currency for the world oil trade. At one fell swoop any country that did not have domestic oil supplies or had to trade oil on the world market was forced to use US dollars. To prove the point the US regime has never hesitated to wage war against any OPEC member that does not comply with this iron rule. Of course, the US is the only country which can issue US dollars and its banks are the only ones who can sell USD denominated debt, directly or indirectly, hence the central role of the Federal Reserve System — the private banking cartel chartered to issue dollars and control US monetary policy. The US regime has also pursued rigorous policies, even if not always entirely successful, to draw all those dollars back into US assets or to permit US entities to acquire foreign assets through the unlimited capacity to generate USD and to monetize private business (while on the other hand prohibiting the monetizing of public debt for social services, infrastructure etc.)

This is the context in which the current economic war with China and to a lesser extent with Russia has to be seen. This economic war entered a new phase with the Wuhan attack.

Lucrative lockdown

Fast-forward: European and US authorities order various degrees of “lockdown” and international travel, even within the EU itself, comes to a virtual halt. Airlines, hotels, and the rest of the travel sector have practically no more than essential business. The transport sector is also substantially restricted. The everyday economy is almost in coronary arrest.

What are the benefits of the general lockdown in the West? Is it really possible that the corona virus was so shocking that the economy as a whole was only an afterthought? Are we to believe that it was merely an oversight on the part of government to contemplate contingencies for epidemics but not for economics? It would be nice to think that Western governments care so much about the health of their citizens but that is rubbish. What is really very important — in fact, it is the only important issue for those who own our governments is MONEY and, of course, the power that goes with it.

What are the immediate consequences of the lockdown in economic terms?

  1. a) restriction of travel by masses of a generally mobile and consuming population (at least in the EU)
  2. b) restriction — soon to reach extinction of a substantial percentage of SMEs
  3. c) obstruction of supply chain transactions, not least of which with China
  4. d) increased unemployment beyond the already deliberately understated figures
  5. e) inevitable price increases, whether scarcity induced or because of added “safety” costs
  6. f) the creation of potential for a layer of corruption and contraband traffic that will not only raise the prices of everyday life but partly criminalise it.

At the same time we have heard more than a few reports of new QE (aka giving trillions to so-called banks). *

In the Western media one finds accusations that China caused the “corona crisis” to benefit from a fall in asset prices (not only stock markets but also for businesses damaged by the lockdown) to buy them up on the cheap. Personally I follow a golden rule when reading Western official statements, whether directly from regime mouthpieces or through their Great Wurlitzer: what they accuse is what they are hiding. It is like that classic scene in many a classroom: the bully slaps another pupil. Pupil slaps back and bully screams. The teacher only sees the return slap and never the first strike. The slapped pupil is punished and the bully rewarded.

If we ask critically what the new QE is supposed to do — is it to protect all these banks from another 2008 failure? No, not really. Instead it is to fill the “banks” with cash for pre-emptive buying following the price crashes so that China can be blocked out of any further investment in the West’s critical sectors.

It is also survival money so that all the defaults and bankruptcies in the SME sector can be written off without damaging the overall profit line.

In other words a) and b) can be directly linked not only to strategic population control objectives, linked also to the now infamous universal vaccination programme, but also to the imposition of currency controls. In Europe, fewer euros will flow to China and in the US obviously the USD flows will be reduced.

  1. c) The disruption of supply chains is mainly an organisational measure. This will reduce the number of channels by which China can trade in the West. In the first stage it will also facilitate the consolidation of the economy in fewer hands so that those supply chains can be better managed from the top.
  2. d) As argued elsewhere, purchasing power has declined steadily over the past thirty to forty years for most of the working population on both sides of the Atlantic. There is a need for a fundamental demographic adjustment. Germany, for instance, has used imported labour since its reestablishment in 1949. First it was a substitution for labour shortages immediately after its defeat by the Soviet Union.  The so-called Economic Miracle — the reconstruction period — in large part funded by orders from the US war machine in Korea — quickly absorbed its available German labour force. Hence it started to suck workers from impoverished Italy and Greece. If the German government is to be believed, then the domestic labour force is too old or too small to meet current demands, hence while domestic workers are under house arrest, the flow of persons displaced by NATO wars; e.g., in Syria, continues uninterrupted. Thus the new generation of industrial and technical labourers at the bottom of the German social hierarchy will not be Turkish but Arabic speaking. There is no reason that they will be able to return to their homes any time soon since NATO is not finished destroying them.

At the same time the crushing of the domestic small and medium-sized sector will — as it always has — have a positive effect by forcing wages down even more. If the virus is really as effective as some claim at killing people aged 60 and above, then the state pension funds will be able to declare surpluses soon, net revenues from immigrants and a sudden decline in beneficiaries. This sounds cynical but the insurance model for social security installed under Bismarck anticipated much shorter lifespans and fewer eligible retirees than today. The government’s plan to raise the retirement age to 70 cannot solve the problem because there are no jobs for these 65+ citizens. Hence they have to live from savings or the dole. Better just let them die.

If there is an economic meltdown in the West, then these assets have to remain denominated in USD/EUR in order to prop up these currencies and preserve the fortunes of dollar/euro/or sterling billionaires.

Now add to this the lockdown and recall the case of CUBA.

The lockdown makes good economic sense from the commanding heights of the Western economy! By more or less crushing the SME sector with its increasing exposure to China; e.g., import of components and finished goods for resale, a substantial foreign exchange gap is closed. China is deprived of these payments. Thus foreign trade with China becomes ever more concentrated in the few cartels that share control over the monetary policies of the FED, Bank of England and ECB.

For normal mortals this is insane.  Why would the West want to crush the lower third of its economy? For years people have been whining about the 1% but otherwise not doing very much about it. In fact, the 1% can live very well without most of the normal economy as long as they have currency stability for their stores of wealth in the world.

Not only travellers, like for Cuba, but much of the real economy, constitute a genuine risk to the monetary system the great Western private banks created in the BoE, in 1913 with the FED, and later with the ECB. The ECB and the euro can be sacrificed as long as the USD and GBP remain world standards.

  1. e) One of the virtues of the system which could emerge as a short-term or medium-term result of the lockdown and its associated policies and practices is the creation of a new class of criminal activity — the real economy. Since it is unlikely that the West can suborn China and together with Russia impossible, the West has an obvious potential as far as I can see that has hardly been mentioned. Perhaps it is worth recalling from mainstream history the narrative of feudalism: the peasants were tied to the land. The aristocracy and royalty fought over land plus the chattel (the people occupying and working the land). Movement from the land was forbidden without permission by the feudal lord (a prohibition also enforced by the Churc; e.g., through the Inquisition). Pursuing a craft or trade was almost only possible in cities, which may or may not have been “free”. The details can be found in most standard history books about this period.

Casino royale and camino real

However, we have almost no peasantry left — something that can be detected in the abysmal quality of food found in countries like Germany, the Netherlands, Belgium, Great Britain. Instead there are only “free labourers” some of whom imagine they own their homes. Immediately after the collapse of the GDR any traveller could see an explosion in the number of hairdressers and small restaurants or similar personal service enterprises. Much of this business was the desperate attempt to recover earning capacity after West German government and business closed GDR factories and other employing institutions causing an explosion in unemployment that is still vastly understated and concealed by half-hearted social policies. These businesses are vulnerable to taxation and other cost-intensive regulations that are characteristic of modern bureaucratic states like Germany. It is also no wonder that they offer little more than a marginal income that often has to be compensated by some other job or social benefit.

At present that is all very exhausting and frustrating for the vast majority of people in this low-income sector. Yet it is still legal. The first step toward terrorizing the bulk of the soon to be even more under- or unemployed is to restrict or effectively prohibit the personal service sector — for health reasons. Now it is almost impossible to get a haircut or a manicure anywhere because these businesses have been forced to close as part of the policy of “social distancing”. Reality, however, knows no such prohibitions. Those people who have no other means of earning a living except personal services and those who need those services will find a way to meet and transact business.

This is where the spirit of Mr Gates is especially pernicious — but not simply because of some billions more that he may steal. What Mr Gates, as the poster boy, and the whole public health paramilitary/civil affairs regime that is nascent as I write offer us — or may well force upon us — is spiritually and socially akin to the Prohibition regime created by the Volstead Act in the US. Prohibition was introduced ostensibly to control alcohol abuse. However, it failed to get substantial legislative support until people like Henry Ford — then along with Rockefeller one of the world’s richest men — insisted that Prohibition would give them the power to destroy the meeting places of immigrants, especially those from Eastern and Southern Europe where beer and wine were integral to social life. Forbidding alcohol to people who for centuries considered wine and beer part of their diets was a serious attack on their private and family lives. However, since this was a “health” issue the Volstead Act did not violate any constitutional rights. Any place could be closed for serving alcohol of any kind. The meeting venues for almost all immigrants could be shut by armed police wholly within the law.

Although this was a draconian law, it was not really enforceable. In fact, the famous Kennedy political dynasty was only one family whose wealth came from breaking the law. At no time during the period of Prohibition in the US was the ruling class deprived of intoxicating drink. Moreover the covert sale of alcohol, the bribery of police and other officials, the payment of protection money to gangsters, created an entire corporate structure, which survives today although its product range is based mainly on opiates. The illegal and legal drug businesses constitute one of the main pillars of USD supremacy, along with oil and weapons, but that is just a detail here.

The important point here is that the culture of prohibition has clearly mutated into the field of “communicable disease”; i.e., highly infectious viruses. Whether or not Mr Gates and his friends will succeed in their ID2020 scheme — vaccine or subcutaneous identity chips — is certainly a very serious question. But even if this particular model does not get forced under our skin, the struggle in the lower half or third of the population to survive through personal services and hospitality will become a target for the same kind of parasitical class that developed and enriched itself under the Prohibition regime, and in the environment of permanent war (which was what 1984 most nauseatingly described) scarcity and corruption are designer processes — intended to punish and discipline the majority of the population while extracting every bit of surplus from their already meagre incomes. This artificially created illegality will empower a class of people who profit from serving it and have no interest whatsoever in return to normal human relations. The already immanent price increases and due to increased unemployment parallel decline in wages — with the risk that one can be excluded from work or income for “health” reasons — will further enrich those at the top while undermining solidarity downward as people become caught in the net of this policing regime.

Therefore, it is absolutely essential to resist any further imposition of this state of siege. In this matter, I cannot help paraphrasing some otherwise noxious colonial from the 18th century: we must all be sick together, or each of us will be sick separately — in isolation.

There are some people who read George Orwell’s books as prescriptions; after all he spent his last years working for an office in the British “Ministry of Truth”. Then there are those who completely misread his books as attacks on the Soviet Union and communism. However, those who read his books carefully will see that he understood the spirit and actions of his employers very well. Orwell’s fiction is ambivalent, like his entire career and his nonfiction works as well. Perhaps the best way to understand them is as the diaries of a colonial police officer, who knew his duty and no matter how disagreeable did it. That duty was to hold down the hands and feet of the ruled while the rulers emptied their pockets. Orwell knew he was working for gangsters, but he needed the job. That was the price he paid.

AND yes, if Madeleine Albright was ready to see half a million Iraqi children dead for the policies she was appointed to represent, you can bet that some 60 million, dead or enslaved, is also a price the 1%  find worth paying to keep their privilege on this planet intact.

*QE = quantitative easing: a term of financial jargon used by the US Federal Reserve System to denote privileged financial support to the top tier “banks” to prevent them from suffering (or collapsing) under the weight of their own elaborate extractive operations; e.g., debt siphons and gambling rackets. The mechanism involves the quasi-governmental (but actually privately owned and managed) Federal Reserve System purchasing the “bad” or uncollectible debts or gambling chits of these top tier “banks” by issuing Treasury obligations (e.g. so-called T-notes), basically certified claims that these “banks” may then assert against the US government to siphon tax receipts and other public income into their coffers. These claims are negotiable too, meaning they are traded on financial markets and can be used like money to buy non-financial assets.

Why the Coming Economic Collapse Will NOT be Caused by Corona Virus

With Monday’s 1000 point stock market plunge the internet has been set ablaze with discussion of a new crash looming on the horizon. The fact that such a chain reaction collapse was only kept at bay due to massive liquidity injections by the Federal Reserve’s overnight repo loans should not be ignored. These injections which began in September 2019, have grown to over $100 billion per night… all that to support the largest financial bubble in human history with global derivatives estimated at $1.2 quadrillion (20 times the global GDP!).

Sadly economic illiteracy is so pervasive among today’s modern economists that the real reasons for this crisis have been entirely misdiagnosed with financial experts from CNN, to Forbes blaming the volatility on the spread of the Corona virus!

Not the Corona Virus: The real cause of the oncoming financial collapse

As refreshing as it is to hear candid criticisms of the system’s failure and even support for the restoration of Glass-Steagall bank separation from presidential candidates like Bernie Sanders, Tulsi Gabbard or even the lame Elizabeth Warren… we find that in each case, those candidates are on record supporting policies cooked up by the very same oligarchs they appear to despise in the form of the Green New Deal. In spite of what many of its progressive proponents would wish, such a global green reform would not only impose Malthusian depopulation upon nation states globally were it accepted, but would establish a the supranational authority of a technocratic managerial elite as enforcers of a “de-carbonization agenda”.

Due to the rampant lack of comprehension of how this crisis was created such that such idiotic proposals as “green new deals” are now seriously being suggested as remedies to our current ills, a bit of history is in order.

Some necessary background

The money changers have fled from their high seats in the temple of our civilization. We may now restore that temple to the ancient truths. The measure of the restoration lies in the extent to which we apply social values more noble than mere monetary profit.

– Franklin Delano Roosevelt, first Inaugural Address 1933

Knowing that the “money changers” had only been able to create the great bubbles of the 1920s via their access to the deposits of the commercial banks, Franklin Roosevelt made the core of his battle against the abuses of Wall Street center around a 1933 legislation entitled “Glass-Steagall”, named after the two federally elected officials who led the reform with FDR. This was a bill which forced the absolute separation of productive from speculative banking, guaranteeing via the Federal Deposit Insurance Corporation (FDIC) only those commercial banking assets associated with the productive economy, but forcing any speculative losses arising from investment banking to be suffered by the gambler. The striking success of this law inspired other countries around the world to establish similar bank separation. Alongside principles of capital budgeting, public credit, parity pricing and a commitment to scientific and technological development, a dynamic had been created that would express the greatest hope for the world, and the greatest fear for the financial empire occupying the City of London and Wall Street.

The death of John F. Kennedy ushered in a new age of pessimism and cultural irrationalism from which our society has never recovered. The destruction of a long term vision as exemplified by the space program, the St. Lawrence Seaway and the New Deal projects had resulted in a tendency within the population to increasingly look upon present pleasures as the only reality, and future goods as the mystical expression of the sum of present pleasures. In this new philosophical setting, so alien in previous epochs, money was permitted to act as a power unto itself for short term gains instead of serving the investments into the real productive wealth of society. With this new paradigm shift into the “now”, a new economic model was adopted to replace the industrial economic model which had proven itself in the years preceding and following World War II.

The name for this system was “post-industrial monetarism”. This would be a system ushered in by Richard Nixon’s announcement of the destruction of the fixed-exchange rate Bretton Woods system and its replacement by the “floating rate” system of post 1971 fame. During that same fateful year of 1971, another ominous event took place: the formation of the Rothschild Inter-Alpha Group of banks under the umbrella of the Royal Bank of Scotland, which today controls upwards of 70% of the global financial system. The stated intention of this Group would be found in the 1983 speech by Lord Jacob Rothschild: “two broad types of giant institutions, the worldwide financial service company and the international commercial bank with a global trading competence, may converge to form the ultimate, all-powerful, many-headed financial conglomerate.”

This policy demanded the destruction of the sovereign nation-state system and the imposition of a new feudal structure of world governance through the age-old scheme of controlling the money system on the one side, and playing on the vices of credulous fools who, by allowing their nations to be ruled by the belief that hedonistic market forces govern the world, would seal their own children’s doom.

All the while, geopolitical structures foreign to the United States constitutional traditions were imposed by nests of Oxford-trained Rhodes Scholars and Fabians who converted America into a global “dumb giant” enforcing a neo-colonial program under an “Anglo-US Special Relationship”. The Dulles brothers, McGeorge Bundy, Kissinger, and Bush all represent names that advanced this British-directed plan throughout the 20th century.

London’s ‘Big Bang’

The great “liberalization” of world commerce began with a series of waves through the 1970s, and moved into high gear with the interest rate hikes of Federal Reserve Chairman Paul Volcker in 1980-82, the effects of which both annihilated much of the small and medium sized entrepreneurs, opened the speculative gates into the “Savings and Loan” debacle and also helped cartelize mineral, food, and financial institutions into ever greater behemoths. Volcker himself described this process as the “controlled disintegration of the US economy” upon becoming Fed Chairman in 1978. The raising of interest rates to 20-21% not only shut down the life blood of much of the US economic base, but also threw the third world into greater debt slavery, as nations now had to pay usurious interest on US loans.

In 1986, the City of London announced the beginning of a new era of economic irrationalism with Margaret Thatcher’s “Big Bang” deregulation. This wave of liberalization took the world by storm as it swept aside the separation of commercial, deposit and investment banking which had been the post-world war cornerstone in ensuring that the will of private finance would never again hold more sway than the power of sovereign nation-states.

After decades of chipping away at the structure of regulation that FDR’s bold intervention into history had built, the “Big Bang” set a precedent for similar financial de-regulation into the “Universal Banking” model in other parts of the western world.

The Derivative Time Bomb is Set

In September 1987, the 20 year foray into speculation resulted in a 23% collapse of the Dow Jones on October 19, 1987. Within hours of this crash, international emergency meetings had been convened with former JP Morgan tool Alan Greenspan introducing a “solution” which would have the future echoes of hyperinflation and fascism written all over it.

“Creative financial instruments” was the Orwellian name given to the new financial asset popularized by Greenspan, but otherwise known as “derivatives”. New supercomputing technologies were increasingly used in this new venture, not as the support for higher nation building practices, and space exploration programs as their NASA origins intended, but would rather become perverted to accommodate the creation of new complex formulas which could associate values to price differentials on securities and insured debts that could then be “hedged” on those very spot and future markets made possible via the destruction of the Bretton Woods system in 1971. So while an exponentially self-generating monster was created that could end nowhere but in a meltdown, “market confidence” rallied back in force with the new flux of easy money. The physical potential to sustain human life continued to plummet.

NAFTA, the Euro and the End of History

It is no coincidence that within this period, another deadly treaty was passed called the North American Free Trade Agreement (NAFTA). With this Agreement made law, protective programs that had kept North American factories in the U.S and Canada were struck down, allowing for the export of the lifeblood of highly skilled industrial workforce to Mexico where skills were low, technologies lower, and salaries lower still. With a stripping of its productive assets, North America became increasingly reliant on exporting cheap resources and services for its means of existence. Again, the physically productive powers of society would collapse, yet monetary profits in the ephemeral “now” would skyrocket. This was replicated in Europe with the creation of the Maastricht Treaty in 1992 establishing the Euro by 1994 while the “liberalization” process of Perestroika replicated this agenda in the former Soviet Union. While some personalities gave this agenda the name “End of History” and others “the New World Order”, the effect was the same.

Universal Banking, NAFTA, Euro integration and the creation of the derivative economy in a space of just several years would induce a cartelization of finance through newly legalized mergers and acquisitions at a rate never before seen. The multitude of financial institutions that had existed in the early 1980s were absorbed into each other at great speed through the 1990s in true “survival of the fittest” fashion. No matter what level of regulation was attempted under this new structure, the degree of conflict of interest, and private political power was uncontrollable, as evidenced in the United States, by the shutdown of any attempt by Securities and Exchange Commission head Brooksley Born to fight the derivative cancer at its early stages.

By 1999 a politically castrated Bill Clinton found himself signing into law a treaty authored by then Treasury Secretary Larry Summers known as the Gramm-Leach-Bliley Act, which would be the final nail in the coffin for the Glass-Steagall separation of commercial and investment banking in the United States. The new age of unregulated trading and creation of over-the-counter derivatives caused these strange financial instruments to grow from $60 trillion in 2000 to $600 trillion by 2008.

The 2000-2008 Frenzy

With Glass-Steagall now removed, legitimate capital such as pension funds could be used to start a hedge to end all hedges. Billions were now poured into mortgage-backed securities (MBS), a market which had been artificially plunged to record-breaking interest rate lows of 1-2% for over a year by the US Federal Reserve making borrowing easy, and the returns on the investments into the MBSs obscene. The obscenity swelled as the values of the houses skyrocketed far beyond the real values to the tune of one hundred thousand dollar homes selling for 5-6 times that price within the span of several years. As long as no one assumed this growth was ab-normal, and the unpayable nature of the capital underlying the leveraged assets locked up in the now infamous “sub-primes” and other illegitimate debt obligations was ignored, then profits were supposed to just continue infinitely. Anyone who questioned this logic was considered a heretic by the latter-day priesthood.

The stunning “success” of securitizing housing debts immediately induced a wave of sovereign wealth funds to come into prominence applying the same model that had been used in the case of mortgage-backed securities (MBS) and collateralized debt obligations (CDO) to the debts of entire nations. The securitizing of bundled packages of sovereign debts that could then be infinitely leveraged on the de-regulated world markets would no longer be considered an act of national treason, but the key to easy money.

Conclusion

This is the system which died in 2008. Contrary to popular belief, nothing was actually resolved. For all the talk of an “FDR revival” under Obama, speculation wasn’t actually regulated under the Dodd-Frank Act or the Volker Rule of 2010. No productive credit was created to grow the real economy under a national mission as was the case in 1933-1938. Banks were not broken up while derivatives GREW by 40% with the new bubble concentrated in the corporate/household debt sector now collapsing. During this time, nation states continued to be stripped, as austerity was rammed down the throats of nations.

It should be no surprise that in the midst of this despair, a creative alliance was consolidated in defense of the interests of sovereign nation states and humanity at large led by the leadership of Russia and China.

This leadership took the form of the China-led Belt and Road Initiative which has grown to embrace over 130 countries today and looking more and more like an Asian-led version of the New Deal of the 1930s. Indeed, China’s capacity to unleash long term credit for thousands of international long term infrastructure projects was made possible by the fact that it was the only country on the globe which had not given up the principles of bank separation which were destroyed in every other nation. Very few western figures stood up to this self-induced destruction over the decades, but one notable exception here worth mentioning is the figure of the late American economist Lyndon LaRouche (1922-2019) who not only resisted this process for over four decades, but fought alongside the Schiller Institute to promote New Silk Road as early as 1996.

With the 2016 Brexit and election of President Trump, a new wave of nationalist spirit has become a fire which the technocrats have lost their capacity to snuff out. Increasingly, the idea that nation states have a power over the private banking system has become revived and discussion for reforming the now dead Trans-Atlantic system is increasingly shaped not by the calls for a “New World Order” as Sir Kissinger would have liked, but rather for a New Silk Road and a true New Deal. The Eurasian nations are already firmly committed to this new system, and if the west is to qualify morally to take part in this new epoch, then the first step will be a return to a Glass-Steagall.

Why the Coming Economic Collapse Will NOT be Caused by Corona Virus

With Monday’s 1000 point stock market plunge the internet has been set ablaze with discussion of a new crash looming on the horizon. The fact that such a chain reaction collapse was only kept at bay due to massive liquidity injections by the Federal Reserve’s overnight repo loans should not be ignored. These injections which began in September 2019, have grown to over $100 billion per night… all that to support the largest financial bubble in human history with global derivatives estimated at $1.2 quadrillion (20 times the global GDP!).

Sadly economic illiteracy is so pervasive among today’s modern economists that the real reasons for this crisis have been entirely misdiagnosed with financial experts from CNN, to Forbes blaming the volatility on the spread of the Corona virus!

Not the Corona Virus: The real cause of the oncoming financial collapse

As refreshing as it is to hear candid criticisms of the system’s failure and even support for the restoration of Glass-Steagall bank separation from presidential candidates like Bernie Sanders, Tulsi Gabbard or even the lame Elizabeth Warren… we find that in each case, those candidates are on record supporting policies cooked up by the very same oligarchs they appear to despise in the form of the Green New Deal. In spite of what many of its progressive proponents would wish, such a global green reform would not only impose Malthusian depopulation upon nation states globally were it accepted, but would establish a the supranational authority of a technocratic managerial elite as enforcers of a “de-carbonization agenda”.

Due to the rampant lack of comprehension of how this crisis was created such that such idiotic proposals as “green new deals” are now seriously being suggested as remedies to our current ills, a bit of history is in order.

Some necessary background

The money changers have fled from their high seats in the temple of our civilization. We may now restore that temple to the ancient truths. The measure of the restoration lies in the extent to which we apply social values more noble than mere monetary profit.

– Franklin Delano Roosevelt, first Inaugural Address 1933

Knowing that the “money changers” had only been able to create the great bubbles of the 1920s via their access to the deposits of the commercial banks, Franklin Roosevelt made the core of his battle against the abuses of Wall Street center around a 1933 legislation entitled “Glass-Steagall”, named after the two federally elected officials who led the reform with FDR. This was a bill which forced the absolute separation of productive from speculative banking, guaranteeing via the Federal Deposit Insurance Corporation (FDIC) only those commercial banking assets associated with the productive economy, but forcing any speculative losses arising from investment banking to be suffered by the gambler. The striking success of this law inspired other countries around the world to establish similar bank separation. Alongside principles of capital budgeting, public credit, parity pricing and a commitment to scientific and technological development, a dynamic had been created that would express the greatest hope for the world, and the greatest fear for the financial empire occupying the City of London and Wall Street.

The death of John F. Kennedy ushered in a new age of pessimism and cultural irrationalism from which our society has never recovered. The destruction of a long term vision as exemplified by the space program, the St. Lawrence Seaway and the New Deal projects had resulted in a tendency within the population to increasingly look upon present pleasures as the only reality, and future goods as the mystical expression of the sum of present pleasures. In this new philosophical setting, so alien in previous epochs, money was permitted to act as a power unto itself for short term gains instead of serving the investments into the real productive wealth of society. With this new paradigm shift into the “now”, a new economic model was adopted to replace the industrial economic model which had proven itself in the years preceding and following World War II.

The name for this system was “post-industrial monetarism”. This would be a system ushered in by Richard Nixon’s announcement of the destruction of the fixed-exchange rate Bretton Woods system and its replacement by the “floating rate” system of post 1971 fame. During that same fateful year of 1971, another ominous event took place: the formation of the Rothschild Inter-Alpha Group of banks under the umbrella of the Royal Bank of Scotland, which today controls upwards of 70% of the global financial system. The stated intention of this Group would be found in the 1983 speech by Lord Jacob Rothschild: “two broad types of giant institutions, the worldwide financial service company and the international commercial bank with a global trading competence, may converge to form the ultimate, all-powerful, many-headed financial conglomerate.”

This policy demanded the destruction of the sovereign nation-state system and the imposition of a new feudal structure of world governance through the age-old scheme of controlling the money system on the one side, and playing on the vices of credulous fools who, by allowing their nations to be ruled by the belief that hedonistic market forces govern the world, would seal their own children’s doom.

All the while, geopolitical structures foreign to the United States constitutional traditions were imposed by nests of Oxford-trained Rhodes Scholars and Fabians who converted America into a global “dumb giant” enforcing a neo-colonial program under an “Anglo-US Special Relationship”. The Dulles brothers, McGeorge Bundy, Kissinger, and Bush all represent names that advanced this British-directed plan throughout the 20th century.

London’s ‘Big Bang’

The great “liberalization” of world commerce began with a series of waves through the 1970s, and moved into high gear with the interest rate hikes of Federal Reserve Chairman Paul Volcker in 1980-82, the effects of which both annihilated much of the small and medium sized entrepreneurs, opened the speculative gates into the “Savings and Loan” debacle and also helped cartelize mineral, food, and financial institutions into ever greater behemoths. Volcker himself described this process as the “controlled disintegration of the US economy” upon becoming Fed Chairman in 1978. The raising of interest rates to 20-21% not only shut down the life blood of much of the US economic base, but also threw the third world into greater debt slavery, as nations now had to pay usurious interest on US loans.

In 1986, the City of London announced the beginning of a new era of economic irrationalism with Margaret Thatcher’s “Big Bang” deregulation. This wave of liberalization took the world by storm as it swept aside the separation of commercial, deposit and investment banking which had been the post-world war cornerstone in ensuring that the will of private finance would never again hold more sway than the power of sovereign nation-states.

After decades of chipping away at the structure of regulation that FDR’s bold intervention into history had built, the “Big Bang” set a precedent for similar financial de-regulation into the “Universal Banking” model in other parts of the western world.

The Derivative Time Bomb is Set

In September 1987, the 20 year foray into speculation resulted in a 23% collapse of the Dow Jones on October 19, 1987. Within hours of this crash, international emergency meetings had been convened with former JP Morgan tool Alan Greenspan introducing a “solution” which would have the future echoes of hyperinflation and fascism written all over it.

“Creative financial instruments” was the Orwellian name given to the new financial asset popularized by Greenspan, but otherwise known as “derivatives”. New supercomputing technologies were increasingly used in this new venture, not as the support for higher nation building practices, and space exploration programs as their NASA origins intended, but would rather become perverted to accommodate the creation of new complex formulas which could associate values to price differentials on securities and insured debts that could then be “hedged” on those very spot and future markets made possible via the destruction of the Bretton Woods system in 1971. So while an exponentially self-generating monster was created that could end nowhere but in a meltdown, “market confidence” rallied back in force with the new flux of easy money. The physical potential to sustain human life continued to plummet.

NAFTA, the Euro and the End of History

It is no coincidence that within this period, another deadly treaty was passed called the North American Free Trade Agreement (NAFTA). With this Agreement made law, protective programs that had kept North American factories in the U.S and Canada were struck down, allowing for the export of the lifeblood of highly skilled industrial workforce to Mexico where skills were low, technologies lower, and salaries lower still. With a stripping of its productive assets, North America became increasingly reliant on exporting cheap resources and services for its means of existence. Again, the physically productive powers of society would collapse, yet monetary profits in the ephemeral “now” would skyrocket. This was replicated in Europe with the creation of the Maastricht Treaty in 1992 establishing the Euro by 1994 while the “liberalization” process of Perestroika replicated this agenda in the former Soviet Union. While some personalities gave this agenda the name “End of History” and others “the New World Order”, the effect was the same.

Universal Banking, NAFTA, Euro integration and the creation of the derivative economy in a space of just several years would induce a cartelization of finance through newly legalized mergers and acquisitions at a rate never before seen. The multitude of financial institutions that had existed in the early 1980s were absorbed into each other at great speed through the 1990s in true “survival of the fittest” fashion. No matter what level of regulation was attempted under this new structure, the degree of conflict of interest, and private political power was uncontrollable, as evidenced in the United States, by the shutdown of any attempt by Securities and Exchange Commission head Brooksley Born to fight the derivative cancer at its early stages.

By 1999 a politically castrated Bill Clinton found himself signing into law a treaty authored by then Treasury Secretary Larry Summers known as the Gramm-Leach-Bliley Act, which would be the final nail in the coffin for the Glass-Steagall separation of commercial and investment banking in the United States. The new age of unregulated trading and creation of over-the-counter derivatives caused these strange financial instruments to grow from $60 trillion in 2000 to $600 trillion by 2008.

The 2000-2008 Frenzy

With Glass-Steagall now removed, legitimate capital such as pension funds could be used to start a hedge to end all hedges. Billions were now poured into mortgage-backed securities (MBS), a market which had been artificially plunged to record-breaking interest rate lows of 1-2% for over a year by the US Federal Reserve making borrowing easy, and the returns on the investments into the MBSs obscene. The obscenity swelled as the values of the houses skyrocketed far beyond the real values to the tune of one hundred thousand dollar homes selling for 5-6 times that price within the span of several years. As long as no one assumed this growth was ab-normal, and the unpayable nature of the capital underlying the leveraged assets locked up in the now infamous “sub-primes” and other illegitimate debt obligations was ignored, then profits were supposed to just continue infinitely. Anyone who questioned this logic was considered a heretic by the latter-day priesthood.

The stunning “success” of securitizing housing debts immediately induced a wave of sovereign wealth funds to come into prominence applying the same model that had been used in the case of mortgage-backed securities (MBS) and collateralized debt obligations (CDO) to the debts of entire nations. The securitizing of bundled packages of sovereign debts that could then be infinitely leveraged on the de-regulated world markets would no longer be considered an act of national treason, but the key to easy money.

Conclusion

This is the system which died in 2008. Contrary to popular belief, nothing was actually resolved. For all the talk of an “FDR revival” under Obama, speculation wasn’t actually regulated under the Dodd-Frank Act or the Volker Rule of 2010. No productive credit was created to grow the real economy under a national mission as was the case in 1933-1938. Banks were not broken up while derivatives GREW by 40% with the new bubble concentrated in the corporate/household debt sector now collapsing. During this time, nation states continued to be stripped, as austerity was rammed down the throats of nations.

It should be no surprise that in the midst of this despair, a creative alliance was consolidated in defense of the interests of sovereign nation states and humanity at large led by the leadership of Russia and China.

This leadership took the form of the China-led Belt and Road Initiative which has grown to embrace over 130 countries today and looking more and more like an Asian-led version of the New Deal of the 1930s. Indeed, China’s capacity to unleash long term credit for thousands of international long term infrastructure projects was made possible by the fact that it was the only country on the globe which had not given up the principles of bank separation which were destroyed in every other nation. Very few western figures stood up to this self-induced destruction over the decades, but one notable exception here worth mentioning is the figure of the late American economist Lyndon LaRouche (1922-2019) who not only resisted this process for over four decades, but fought alongside the Schiller Institute to promote New Silk Road as early as 1996.

With the 2016 Brexit and election of President Trump, a new wave of nationalist spirit has become a fire which the technocrats have lost their capacity to snuff out. Increasingly, the idea that nation states have a power over the private banking system has become revived and discussion for reforming the now dead Trans-Atlantic system is increasingly shaped not by the calls for a “New World Order” as Sir Kissinger would have liked, but rather for a New Silk Road and a true New Deal. The Eurasian nations are already firmly committed to this new system, and if the west is to qualify morally to take part in this new epoch, then the first step will be a return to a Glass-Steagall.

The World Bank, the IMF, and their Iron-clad Secrecy

The genius of the World Bank was to recognize that it’s not necessary to occupy a country in order to impose tribute, or to take over its industry, agriculture and land. Instead of bullets, it uses financial maneuvering.
Michael Hudson, 2019

In 1944, as WWII was coming to an end, representatives from 44 countries met in Bretton Woods, New Hampshire to form an international exchange system. In order to foster global stability, foreign currencies were pegged to the U.S. Dollar, itself based on gold. The Bretton Woods System ended in the early 1970s when President Nixon detached the dollar from the price of gold.

Also created at Bretton Woods were the World Bank and the International Monetary Fund (IMF). The World Bank was to make loans to assist in the growth and development of Third World countries and other countries in need. The IMF was to facilitate global financial stability and stimulate trade. And whereas the gold-backed Bretton Woods System itself ended in the 70s, both World Bank and IMF have sailed on ever since within their designed environment of such iron-clad secrecy that it takes one’s breath away.

Regardless of its lofty original goals, and despite its glowing description of itself, the World Bank has evolved into a mechanism as powerful as the U.S. military for expanding America’s global supremacy. No economist of note has studied the intricacies of the process more critically than Michael Hudson who describes the World Bank and IMF as having anything but humanitarian aims. His books and many interviews depict the World Bank as a major force of American imperialism, in which countries are manipulated into debt loads that cannot be repaid.

Both the World Bank and the IMF act as fronts for U.S. power, suppressing development in countries that could potentially compete with U.S. interests. Loans are made that include terms giving the Bank authority to require austerity measures, increased taxation, reduction of labor costs and privatization of infrastructure, typically at reduced costs that would naturally attract multinational corporate interest as blood attracts sharks. Terms are tailored to favor American industry and financial interests. The World Bank and IMF “free market” model is an attack on labor. Nevertheless, loans contrary to the interests of Third World countries and their people continue to be made through American control, both politically and militarily, of corrupt leaders.

Economists vary widely in their interpretations of the World Bank and the IMF in the overall neoliberal scheme, and the point here is not to belabor that aspect of the issue but to focus on the degree to which both the World Bank and the IMF have secured for themselves an amazing level of protection from scrutiny.

The World Bank consists of two separate parts: The International Bank of Reconstruction and Development (IBRD) and the International Development Association. Both, and the IMF as well, are defined and guided by “Articles of Agreement” that cover all aspects of the organizations. Typical for all of them is Article VII, “Status, Immunities and Privileges” of the IBRD. Consider the wording of the 5 sections of Article VII posted here:

*****

Articles of Agreement of the International Bank of Reconstruction and Development

Article VII: Status, Immunities and Privileges

Section 4. Immunity of Assets from Seizure: Property and assets of the Bank, wherever located and by whomsoever held, shall be immune from search, requisition, confiscation, expropriation or any other form of seizure by executive or legislative action.

Section 5. Immunity of Archives: The archives of the Bank shall be inviolable.

Section 6. Freedom of Assets from Restrictions: To the extent necessary to carry out the operations provided for in this Agreement and subject to the provisions of this Agreement, all property and assets of the Bank shall be free from restrictions, regulations, controls and moratoria of any nature.

Section 8. Immunities and Privileges of Officers and Employees: All governors, executive directors, alternates, officers and employees of the Bank (i) shall be immune from legal process with respect to acts performed by them in their official capacity except when the Bank waives this immunity.

Section 9. Immunities from Taxation: (a) The Bank, its assets, property, income and its operations and transactions authorized by this Agreement, shall be immune from all taxation and from all customs duties. The Bank shall also be immune from liability for the collection or payment of any tax or duty. (b) No tax shall be levied on or in respect of salaries and emoluments paid by the Bank to executive directors, alternates, officials or employees of the Bank who are not local citizens, local subjects, or other local nationals.

*****

These sections clearly state that the IBRD may do anything within its imagination and nobody is allowed to peek. The bankers are immune from legal process “except when the Bank waives this immunity”, but why would they want to sink one of their own? Careful wording confers such absolute protection from scrutiny, that it would certainly allow for financial colonialism, or any other activity contrary to the well being of humanity, with no concerns about discovery or interference. The concept of “immunity from legal process” and freedom from regulations and controls “of any nature”, places the Bank and its members, whose actions are secret, beyond any law.

The other branch of the World Bank, the International Development Association, has within its Articles of Agreement similar protective language. Sections 4,5,6,8 and 9 of its Article VIII contain virtually the same stipulations as those of the IBRD. And this holds for the Articles of Agreement of the IMF as well (scroll down to sections 3,4,5,6,8 and 9 of Article IX).

Economists and international lawyers queried as to how such an absolute and dictatorial situation could arise and persist claim not to know any details, or they are disinclined to discuss the issue. But one lawyer with many years experience at the World Bank answered with a single terse sentence (personal communication): “This is a major field of legal writing and research in international law circles, dating back before their establishment in 1945 and certainly since.” And that seems to answer the question, as manipulation of the rule of law by the well-connected really is an old story.

Perhaps the single most Orwellian concept for the entrapment of humanity is that of electronic money in a world in which physical cash has been eliminated. In such a world, every exchange is part of the individual’s record, with the credit card therefore a de facto ‘chip’. But it is that toward which such as the IMF is moving us. There are powerful financial forces geared to maneuvering the world toward a central global government ruling over the free flow of capital. Toward this end, nationalism is being deprecated, and the integrity of national boundaries are being eroded to favor “open borders”. The breakdown of identities with unique cultures enhances the creation of a more rootless humanity that can be mobilized where needed. The World Bank and IMF quietly envelop the world with their immense power, and with their loaded deck of beautifully-crafted immunities are major players in this long game.

Incredible Lightness of Quetzalcóatl

From the far distance sounded the muffled howling of a family of monkeys, monos gritones, passing the night in the crowns of the mighty trees. It echoed through the jungle like the roar of an angry mountain lion. Gruesome and terrifying, it seemed to tear the night apart, but it did not disturb the jungle. It sang and fiddled, chirped and whistled, whined and whimpered, rejoiced and lamented its ever-unchanging song with the constancy of the roaring sea.

B. Traven, “Trozas”

Note: This is part two in a series on Mexico and the passion and the glory of an American (me) rejiggering his relationship to finally yawn out of the swill of this sick North American consumer fiesta and move away. We’ll see how that unfolds, as I too am in the grip of viscous repeated battered country abuse syndrome!

*****

She holds onto her role as daughter in this patriarchal land — Mexico. Not sure how patriarchal it would have turned out if the Spanish sword, swine, syphilis, santos, holy see, germs had never set root in this New World.

She’s 52, unmarried, unable to birth progeny. She spent years in the USA to gain a stake so she might get a sliver of her father’s property for which to build a little casita.

Her brothers get the father’s and deceased mother’s land and small houses, small parcels. Claudia has a small school supply store in Axochiapan (her deceased mother’s for years) but she can’t make a living at it thanks to Sam’s Club, Target and Walmart and other box store cancers. She has her younger sister in Cuernavaca, and she works three jobs to barely survive with her technical degree in computer repair and IT. These two women — Claudia and Alejandra — have more “la capacidad” in their pinky fingers than all of America has in its jowls. Claudia was so broke she ended up buying 30 buenas noches (poinsettias for the Christmas time) to sell on the street in upscale neighborhoods in Cuernavaca. She made no sales as Land Rovers and Lexus coupes zoomed by.

The plague of propaganda, low prices, low quality, and brand loyalty has run rampant in this southern land, like dengue mosquitoes lighting upon the children while still in vitro.

Years ago, both Alejandra and Claudia spent time in a print plant in Gresham, Oregon, and most of their siblings had also thrown in around Portland, and many more hoofed it through the causeway to Minneapolis. Many made it to the El Norte without proper papers from the US Gestapo.

Claudia thinks sometime in 2020 she might be eligible to return to the USA. For Alejandra, that’s five years down the pike. We’ll vouch for and sponsor both of them.

Both are proud, smart, feminist, and self-determined. They are full of empathy, and would give the shirts off their backs to help friends, family, anyone in need.

They worked hard in El Norte, conjoined efforts, lived small, and saved money. Mexico was always in their dreams, and they were here to try and build something back home.

Back home, 90 years of bastard politicians in the two parties  — PAN and PRI —  literally have ripped off trillions from Mexico’s coffers;  and the bastards’ bastard, USA, El Yanqui, and the other financiers and the dirty industry honchos, all have a history of theft and murder, and are still readily staged to exploit, which is another word for steal.

Very little is allowed to be manufactured in Mexico — cars, buses, equipment, more. NAFTA allows for a pipeline of US-made and US-provisioned stuff that the Mexicans could easily produce. We all know what the NAFTA two-step American gut disease is.

Claudia’s hardy but sad, admitting to bouts of depression; and her friend, my spouse, came to see her for the very first time for a visit to Claudia’s homeland. To her small pueblo where cane fields, corn forests and a few cows populate the land. All of that, plus me, new in my spouse’s life with a trainload of history with Mexico, Latin America, La Raza, hatred of El Yanqui, created a unique mix of ingredients that bonded us quickly as we went through by car (a friend of Claudia’s rented a new KIA Sole to us cheap) and saw many parts of Morelos and Guerrero.

These are powerful rendezvouses you’ll never get from Holly-Dirt Netflix originals. This story is not closed, but it’s universal.

In the chaotic Stockholm Syndrome lives of North Americans, nothing about the struggle to overthrow the chains of Capitalism and crony corruption resonates since North America is one flagging mall-dragging country, where the population is compliant in the workplace, but mad as hell on the troll worlds of on-line “discourse.” Sort of the salt peter of revolution and real deterministic radical action — the world wide web; Holly-dirt; Youtube; the infantilism and Chlamydia of mainstream pop culture;  wacko political correctness; the four seasons of  24/7  violence for younger and younger males with their sweaty warped joysticks; the endless joke-joke of Americans relishing in their own stupidity and air power; the endless useless pedantics in academia, the courts, and the state department.

It is so real, how falsely revisionist the North American concept of history for this Turtle Island. Trump is the culmination of all of the superficiality, all the Ponzi schemes, all the bankruptcy courts, the insipid hubris of the stupid, all the PT Barnum hustle, all the smoke and mirrors, all the self-aggrandizement, all the narcissistic syndromes, all the puffed-up faux bravado of a man (and many MAGA men) who would last 10 seconds in a field with some of my former veterans who are mad as hell at the lies of empire, the lies at the top, the failure of ALL POTUS’s.

Not one has the capacity to understand “third” world people, or people in Mexico, or the races, the Indians, the tug of the white supremacists who launched their hairy bodies into Mesoamerica to play their swindle for King-Queen-Captain-Cardinal on a people who had pretty much figured out things for several millennia before the hordes of hustlers and rapists and murderers from Iberia and the Anglo lands penetrated their soil and jungles and bays.

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Cuernavaca

Under the Volcano by Malcolm Lowry was one of my top 100 books a while back. It shows the anachronistic debased values of a British envoy, drunkard, impotent, and the the emerging pathogen of Nazism embraced by the industrialists and that included some in Mexico. The Power and the Glory, too, by Graham Greene. The passion, impassioning, and possessiveness of men. Macario and Treasure of Sierra Madre (B. Traven and John Huston books and scripts respectively) and Night of the Iguana.

Contemporary writers in Mexico and some of their well-known titles also inspire:

In Search of Klingsor by Jorge Volpi.
The Body Where I Was Born by Guadalupe Nettel.
Diablo Guardián by Xavier Velasco.
Down The Rabbit Hole by Juan Pablo Villalobos.
The Uncomfortable Dead by Paco Ignacio Taibo II and Subcomandante Marcos.
Leaving Tabasco by Carmen Boullosa.

More here, Mexico’s Finest Contemporary Writers: Tracing a Cultural Renaissance

More authors I’ve danced with during mescal-induced jaguar nights: Luis Spota, Carlos Fuentes, Octavio Paz, Juan Rulfo, Jaime Sabines, Martin Luis Guzman, and Valeria Luiselli.

And the simple poetics of Mexicans who were determined to break the yoke of the oppressors:

My sole ambition is to rid Mexico of the class that has oppressed her and given the people a chance to know what real liberty means. And if I could bring that about today by giving up my life, I would do it gladly.

Pancho Villa

In that first blow to the deaf walls of those who have everything, the blood of our people, our blood, ran generously to wash away injustice. To live, we die. Our dead once again walked the way of truth. Our hope was fertilized with mud and blood.

Subcomandante Marcos

Like all of Latin America, Mexico after independence in 1821 turned its back on a triple heritage: on the Spanish heritage, because we were newly liberated colonies, and on our Indian and black heritages, because we considered them backward and barbaric. We looked towards France, England and the U.S., to become progressive democratic republics.

— Carlos Fuentes

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My good friend from Tucson, John, who became bi-lingual early in his life before his three years as an Army LT,  ended marrying a woman from Cuernavaca. I was at the wedding 33 years ago. He’s got three daughters, and he’s been divorced a while. She came from upper class environs, and he was a Navy commander’s son living in the desert. He and I like our motorcycles, and he is now a translator on the international market, from home, via Skype, phone, what have you. He’s single again, living the desert rat life of many a gringo who has gotten a taste of Mexico in their blood and entwined it into his children’s DNA.

He forewarned me to not head to Cuernavaca or the State of Guerrero or anywhere away from the quintessential tourist zones. He was citing US State Department provisos, whichever news feeds he reads, and the broken down minds of his fellow Arizonans.

Of course, he and the State Department are dead wrong, as was Reagan’s idiotic ambassador to Mexico, Gavin. But with Trump and idiotic millionaires like Maddow and the like, the USA is one starched up Marvel comic book world of good and bad, light and evil, where the highest thinkers (sic) are at least a couple of notches below Lex Luther’s mental prowess, for sure.

The result of this xenophobia is a large city, Cuernavaca, that in December had very non-Mexican few tourists. The city is looking tired and worn, as is most of Mexico, excluding the industrial complexes, mining operations, smelting outfits, et al.

The ebb of life, though, even in the threadbare places in Mexico, is compelling. Laughter and hands held. The peek-a-boo amazing sights, sounds, and smells around every corner and in every walkway.

Our second largest trading partner behind Canada, Mexico is a shell of a country in many ways. Ugly Botoxed white women and men on billboards, their green and blue eyes like a cold lizard’s, and on TV, in positions of power, while la gente is continually denigrated and spat upon by the elites.

Axe

We are hatchets of steel and fire.
We live to reap and illuminate.
With the metal,
we fell the trunk.
With the flame,
we illuminate the cut,
the felling of what we are.

Carmen Boullosa

 

Diego Rivera, Liberation of the Peon, B. Traven

Invasions

Trump told the previous president of Mexico that he would be sending in the American cavalry to take care of “those bad hombres.”

He accused Peña Nieto of harboring “a bunch of bad hombres down there” and warned:

You aren’t doing enough to stop them. I think your military is scared. Our military isn’t, so I just might send them down to take care of it.

But there is a history of US meddling, both through “diplomatic channels,” through the economic structural violence our hit men are known for, and with troops:

When Woodrow Wilson took office in 1913, he inherited a chaotic diplomatic relationship with Mexico. Two years earlier, the country’s longtime head of state, Porfirio Díaz, had been deposed. Over three decades in power, Díaz had been strongly aligned with American economic interests, which came to control 90 percent of Mexico’s mineral resources, its national railroad, its oil industry and, increasingly, its land. Resentful of the “peaceful invasion” from their northern neighbors, in 1911 middle-class and landless Mexicans overthrew Díaz and installed a noted public intellectual and reform champion, Francisco Madero, in the presidency. Not long after, the military, under the leadership of General Victoriano Huerta, deposed and executed Madero.

Displaying his deep piety and moral conviction, Wilson declared that he would never “recognize a government of butchers” and declared his intent to “teach” Mexico “a lesson by insisting on the removal of Huerta.” To that end, he sent two personal envoys to Mexico City to instruct the country’s political leaders—“for her own good”—to insist on Huerta’s resignation. The mission fared poorly. For one, the envoys—William Bayard Hale, a journalist, and John Lind, a local politician from Minnesota—spoke not a word of Spanish. Lind privately regarded Mexicans as “more like children than men” and conducted himself accordingly, to the detriment of the mission.

[…] At first, Villa sought to align himself with Wilson, but as his grasp on power became more tenuous, he sought to raise additional resources by taxing American corporations and through general banditry. He took matters a step too far when his forces confiscated the sprawling Mexican ranch of American publisher William Randolph Hearst and briefly invaded a New Mexico border town, crying “Viva Villa! Viva Mexico!”

Incensed, Wilson raised a “punitive expedition” of 10,000 soldiers under the direction of General John J. Pershing. Equipped with all the modern trappings of war—reconnaissance aircraft, Harley Davidson motorcycles—the invading army searched high and low for Villa. It was like finding “a needle in a haystack,” Pershing would soon complain. Though Villa’s forces continued to plunder and maraud, the Americans proved incapable of finding and capturing the rebel leader. When Villa surfaced briefly in Glenn Springs, Texas, with his troops, only to disappear soon thereafter, the Wilson administration was left mortified and bereft of an explanation.

American entry into the Great War allowed Wilson and Pershing to save face. In February 1917 the expedition returned to American soil. Within weeks, Pershing sailed for Europe to command the nation’s war effort.

Trump has now warned the new Mexican president that he will deem drug cartels as terrorist organizations, igniting the TNT of war and invasion. This was on all the people’s minds when I was traveling just days ago in Mexico; even in the conservative mass media. President Andrés Manuel López Obrador (AMLO) said:

But in these cases we have to act independently and according to our constitution, and in line with our tradition of independence and sovereignty.

War is irrational. We are for peace.

AMLO’s comments came after Trump fired off a series of tweets Tuesday morning offering Mexico “help in cleaning out these monsters.” Trump:

The great new President of Mexico has made this a big issue, but the cartels have become so large and powerful that you sometimes need an army to defeat an army!” Trump said. “This is the time for Mexico, with the help of the United States, to wage WAR on the drug cartels and wipe them off the face of the earth. We merely await a call from your great new president!

No matter how barbaric the cartels are, and how in bed they are with the police, army, government, the barbarism of the US is in line with the Spanish and Portuguese slave traders. Each and every weapon manufactured and sold in the USA that gets south of the border is part of that barbarism. Every line of coke and hit of Meth consumed by the great happy USA population is a bullet to the head of the innocents of Mexico.

Like Italy, Mexico is at the whim of the Church and Mafia. Like Western Culture, every blinking moment in every individual’s life is determined by the billionaires, their cabal of financial and retail felons. We are at the whim of the heads of Boeing, Exxon, Raytheon and any number of resource extractors and consumer bombers. Fortune magazine praises the millionaires and billionaires and their disruptive industries, technologies, financial instruments. All of it is still American sodomy of a race, a culture, a place, a land.

In Mexico, the juxtaposition of Nestle bottles everywhere or the VW’s and the Dodge’s is easily supplanted by the hard lives of Mexicans still eking out livings and conjugating their traditions, no matter how deeply Western Plastic Culture and Consumer Goods have infiltrated their land.

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Family Wedded to Culture, Land, History

Yanquis and Stars and Bars flag wavers are the sum total of their genocidal roots destroying First Nations’ peoples and the enslavement of Africans, but also the deep racism and bigotry perpetrated against not just Filipino and Chinese and Japanese, but against the Jew, Eastern European, German, Irish, Italian, et al.

Drowning women deemed witches, complete decimation of the grasslands, the wetlands, the bayous, the slaying of buffalo and wolf and grizzly, and the metal machines cutting into earth and stoking the flames and smoke of today’s generation of cancer-riddled people. I have these trolls attempting to harass me, trolls who listen to that ape of a man, Stephen King of Iowa, who drivels his white supremacist crap on how the white Christian lands/peoples have contributed 90 percent or more of the marvels of modern humanity — from the internet to microscopes, from splitting of the atom to cinema, from supersonic jets to soda pop. These pigs are on the airwaves, both of the Tucker Carson kind and the liberal Hollywood and media types continually showing the great boom of intelligence in the Western White World, or in many cases, the great achievements of the Judaeo-Christian.

“Shit-hole” country may have come out of the racist whites’ moldy mouths decades/centuries before Trump’s bloviating (how many US presidents have shown outright racism against  ALL nations of color?), but it’s in the minds of liberals, democrats, those so-called professional class, the college educated, and the journalists and diplomats. Most Americans see the words “backwards” or “not evolved enough” or “heathen” or “simpleton” when they see Mexico or Mexicans.

[link] The irony is that Trump’s own ancestors came from Africa, as did all mankind. In the book and documentary “The Journey of Man: A Genetic Odyssey,” the geneticist and anthropologist Spencer Wells traces the human migration out of Africa. He travelled the world for a decade to trace genetic markers by taking blood samples—from Bushmen in the sweltering Kalahari Desert and the Chukchi in icy Siberia to the Hopi in the American West—to prove the trail of the human migration. Wells concludes, “Old concepts of race are not only socially divisive but scientifically wrong.”

In the end we know which country is the shit-hole, the shitty one, and its collective stupidity and infantilism continues to lobotomize the masses. I teach k12, and the food these kids eat and then waste is criminal, but emblematic of the American project of exceptionalism and the right to pollute, throw away, discard, waste, over-consume. The youth have no culture, no art, no interest in anything but making a few dollars fast.

The reality is this throw-away society is right now generating, through this corrupt capitalism, more and more discarded peoples in this country and in other countries. The AI-Robot-GIG-Uber-ization-Amazon-ification-Economies of Scale-Centralization will again generate more and more disposed of humanity — in the USA, and elsewhere.

We know socialistic systems of organizing are the only way to stem this destruction. Read or watch  any number a a million essays, interviews, books on the subject.

What capitalism has done is gut Mexico, forcing families to break up sisters and brothers, sons and  daughters, uncles and aunts, grandkids and cousins, friends and lovers, husbands and wives to head to El Norte tob e exploited by capitalism on steroids and to weather the scourge of racist Americans, police, policies, bureaucracies, attitudes.

The amount of hate against Mexicans or Latino/a people is high in USA.

In their own country, the people of the land in Mexico are now sugar coated, eating crappy food, drinking soda, and hauling their bodies full of hormone disrupters, full of petro-chemicals, GMOs, nitrous oxide, and a million other particulates created by the full-scale NAFTA exploitation and the theft of their own culture, land, resources by the white devils in their own country — the elites educated in the Milton Friedman school of destruction.

Brotherhood

I am a man: little do I last
and the night is enormous.
But I look up:
the stars write.
Unknowing I understand:
I too am written,
and at this very moment
someone spells me out.

Netflix, The 43 — This docuseries with Paco Ignacio Taibo II in it, disputes the Mexican government’s account of how and why 43 students from Ayotzinapa Rural Teachers’ College vanished in Iguala in 2014.

Paco Ignacio Taibo II—leader in the 1968 Mexican student strike, journalist, social activist, union organizer—is widely known for his crime novels, and is considered the founder of the neo-crime genre in Latin America. One of the most prolific writers in Mexico today, more than 500 editions of his 51 books have been published in over a dozen languages. Taibo has won many awards, including the Grijalbo, the Planeta/Joaquin Mortiz in 1992, and the Dashiell Hammett three times, for his crime novels. His biography, Guevara: Also Known as Che (St. Martin’s Press, 1996), has sold more than half a million copies around the world and won the 1998 Bancarella Book of the Year award in Italy. Taibo organizes the Semana Negra (Noir Week), a crime fiction festival held every year in Gijón, Spain.

Taibo: Yes. I wanted to destroy the old idea that history is science and fiction is fantasy. Everybody knows that is not true. It’s a game: Just Passing Through starts asking if it’s really a novel, if it’s rather a history book, because of this and this and this. And then, in the second paragraph, it says: this is a novel, this cannot be a history book, it’s full of fiction. Then, in the third paragraph, what the hell is a novel, what the hell is a history book? The game is trying to destroy this secure attitude of historians to history and this secure attitude of fiction writers about fiction. There’s nothing secure in history. I don’t like security. History shouldn’t be a secure space, a comfortable space. Comfortable for whom? Readers? Writers? It’s the opposite.

We’ll go deeper in this reclamation of what it means to be in, live in, be with, hold onto Mexico and Mexicans!

Ecuador and the IMF’s Killing Spree

For close to 40 years the IMF has weaponized its handle on the western economy through the dollar-based western monetary system, and brutally destroyed nation after nation, thereby killed hundreds of thousands of people. Indirectly, of course, as the IMF would not use traditional guns and bombs, but financial instruments that kill. They kill by famine, by economic strangulation, preventing indispensable medical equipment and medication entering a country, even preventing food from being imported, or being imported at horrendous prices only the rich can pay.

The latest victim of this horrifying IMF scheme is Ecuador. For starters, you should know that since January 2000, Ecuador’s economy is 100% dollarized, compliments of the IMF (entirely controlled by the US Treasury, by force of an absolute veto). The other two fully dollarized Latin American countries are El Salvador and Panama.

The Wall Street Journal recently stated that Ecuador “has the misfortune to be an oil producer with a ‘dollarized’ economy that uses the U.S. currency as legal tender.” The Journal added: “The appreciation of the U.S. dollar against other currencies has decreased the net exports of non-oil commodities from Ecuador, which, coupled with the volatility of oil prices, is constraining the country’s potential for economic growth.”

Starting in the mid 1990’s, culminating around 1998, Ecuador suffered a severe economic crisis, resulting from climatic calamities, and US corporate and banking oil price manipulations (petrol is Ecuador’s main export product), resulting in massive bank failures and hyper-inflation. Ecuador’s economy at that time had been semi-dollarized, like that of most Latin American countries; i.e., Peru, Colombia, Chile, Brazil, and so on.

The ‘crisis’ was a great opportunity for the US via the IMF to take full control of the Ecuadorian (petrol) economy by 100% dollarizing it. The IMF propagated the same recipe for Ecuador as it did ten years earlier for Argentina, namely full dollarization of the economy in order to combat inflation and to bring about economic stability and growth. In January 2000, then President Jorge Jamil Mahuad Witt, from the “Popular Democracy Party”, or the Ecuadorian Christian Democratic Union (equivalent to the German CDU), declared the US dollar as the official currency of Ecuador, replacing their own currency, the Sucre.

Adopting another country’s currency is an absurdity and can only bring failure. And that it did, almost to the day, 10 years after Argentina was forced by the same US-led villains to revalue her peso to parity with the US-dollar, no fluctuations allowed. Same reason (“economic crisis”, hyper-inflation), same purpose: controlling the riches of the country.  Absolute failure was preprogrammed. Did Ecuador not learn from the Argentinian experience and convert her currency at the very moment the Argentinian economy collapsed due to dollarization, into the US dollar? That is not only a fraud, but a planned fraud.

Ecuadorian goods and services quoted in dollars, became unaffordable for locals and uncompetitive for exports. This led to social unrests, resulting in a popular ‘golpe’. President Mahuad was disposed, had to flee the country, and was replaced by Gustavo Noboa, from the same CDU party (2000 – 2003). Ever since the dollar remained controversial among the Ecuadorian population. President Rafael Correa’s quiet attempt to return to the Sucre, was answered by a CIA-inspired police coup attempt on 30 September 2010.

In 2017, the CIA / NED (National Endowment for Democracy) and the US State Department have brought about a so-called “soft” regime change. They urged (very likely coerced) Rafael Correa to abstain from running again for President, as the vast majority of Ecuadorians requested him to do. This would have required a Constitutional amendment which probably would have been easily accepted by Parliament. Instead they had Correa endorse his former Vice-President (2007-2013) Lenin Moreno, who ran on Correa’s platform, the socialist PAIS Alliance, therefore expected to continue in Correa’s line with same socioeconomic policies.

Less than a year later, Moreno turned tables, became an outright traitor to his country and the people who voted for him. He converted Ecuador’s economy to the neoliberal doctrine – privatization of everything, stealing the money from the social sectors, depriving people of work, drastically reducing social services and converting a surplus economy of tremendous social gains into one of poverty and misery.

President Correa left the country a modest debt of about 40% to GDP at the end of his Presidency in 2017. A debt-GDP ratio that would be no problem anywhere in the world. Compare this to the US debt vs. GDP – 105% in current terms and about 700% in terms of unmet obligations (net present value of total outstanding obligations). There was absolutely no reason to call the IMF for help. The IMF, the long arm of the US Treasury, ‘bought’ its way into Moreno’s neoliberal Ecuador, coinciding with Moreno evicting Julian Assange from the Ecuadorian Embassy in London.

The IMF loan of US$ 4,2 billion increases the debt / GDP ratio by 4% and brings social misery and upheaval in return, and that as usual, at an unimaginable cost, by neoliberal economists called “externalities”. It was practically a US “present” for Moreno’s treason, bringing Assange closer into US custody. What most people are unaware of is that at the same time, Moreno forgave US$ 4.5 billion in fines, interest and other dues to large corporations and oligarchs, hence decapitalizing the country’s treasury. The amount of canceled corporate fiscal obligations is about equivalent to the IMF loan, plunging large sectors of the Ecuadorian population into more misery.

Besides, under wrong pretexts it allowed Moreno to apply neoliberal policies, all those that usually come as draconian conditions with IMF loans and that eventually benefit only a small elite in the country but allows western banking and corporations to further milk the countries social system.

According to a 2017 report of the Center for Economic and Policy Research (CEPR), an economic think-tank in Washington, Ecuador’s economy has done rather well under Rafael Correa’s 10-year leadership (2007 – 2017). The country has improved her key indicators significantly: Average annual GDP growth was 1.5% (0.6% past 26 years average); the poverty rate declined by 38%, extreme poverty by 47%, a multiple of poverty reduction of that in the previous ten years, thanks to a horizontally distributive growth; inequality (Gini coefficient) fell substantially, from 0.55 to 0.47; the government doubled social spending from 4.3% in 2006 to 8.6% in 2016; tripled education spending from 0.7% to 2.1% with a corresponding increase in school enrollments; increased public investments from 4% of GDP in 2006 to 10% in 2016.

Now, Moreno is in the process of reversing these gains. Only six months after contracting the IMF loans, he has already largely succeeded. The public outcry can be heard internationally. Quito is besieged by tens of thousands of demonstrators, steadily increasing as large numbers, in the tens of thousands, of indigenous people are coming from Ecuador’s Amazon region and the Andes to Quito to voice their discontent with their traitor president. Government tyranny is rampant. Moreno declared a 60-day state of emergency with curfew and a militarized country. As a consequence, Moreno moved the Government Administration to Guayaquil and ordered one of the most severe police and military repressions Ecuador has ever known, resulting within ten days to at least 7 people killed, about 600 injured and approximately 1,000 people arrested.

The protests are directed against the infamous Government Decree 883, that dictates major social reforms, including an increase in fuel prices by more than 100%, reflecting directly on public transportation, as well as on food prices; privatization of public services, bringing about untold layoffs, including some 23,000 government employees; an increase in Aggregated Value Taxes – all part of the so-called “paquetazo”, imposed by the IMF. Protesters called on Moreno, “Fuera asesino, fuera” – Get out, murderer, get out!  Will they succeed?

The IMF’s guns are needlessly imposed debt, forced privatization of social services and public assets as railways, roads, and worst of all, health, education, water supply and sewerage services. Unemployment rises, extreme poverty skyrockets, public service tariffs – water, electricity, transportation – increase, often exponentially, depriving people from moving to work or look for new employment elsewhere. Diseases that otherwise may have been curable, like cancers, under the new regime lack medication. Patients die prematurely. Depression brings about rapidly rising suicide rates, as the British medical journal Lancet has observed in many IMF oppressed countries, but especially in Greece.

Targeted are primarily those nations that do not want to bend to the dictate of Washington, and even more so those with natural resources the west covets, or countries that are in strategic geographic locations where NATO wants to establish itself or get a stronger foothold; i.e., Greece. The IMF is often helped by the World Bank. The former providing, or rather coercing, a ‘debt-strapped’ country into accepting so-called rescue packages, billions of dollars of loans, at exorbitant “high-risk” interest rates, with deadly strings attached.

The latter, the WB, would usually come in with loans – also euphemistically called “blank checks” – to be disbursed against a matrix of fulfilled conditions, of economic reforms, privatizations. Again, all usually resulting in massive government layoffs, unemployment, poverty. In fact, both the IMF and the WB approaches are similar and often overlapping – imposing “structural adjustment” (now in disguise given different names), to steal a country’s resources, and sovereignty, by making them dependent on the very financial institutions that pretend to ‘help’ them.

The three most recent and flagrant cases of IMF interference were Greece, Ukraine and Argentina. Greece was doubly destroyed, once by her brothers and sisters of the European non-Union that blackmailed them into staying with the euro, instead of exiting it and converting to their local currency and regaining financial sovereignty.

Ukraine, possibly the richest country in terms of national resources and with an enormous agricultural potential due to her fertile soil, was “regime changed” by a bloody coup, The Maidan massacre in February 2014, instigated and planned by the CIA, the EU and NATO and carried out through the very US Embassy in Kiev. This was all long-term planning. Remember Victoria Nuland boasting that the US has spent more than 5 billion dollars over the past five year to bring about regime change and to convert Ukraine into a fully democratic country and making it ready to enter the European Union?

The western allies put a Nazi Government into Kiev, created a “civil war” with the eastern Russia-aligned part of Ukraine, the Donbass. Thousands of people were killed, millions fled the country, mostly to Russia, the country’s debt went through the roof, and in comes the IMF, approving in December 2018 a 14-month Stand-By Arrangement for Ukraine, with an immediate disbursement of US$ 1.4 billion. This is totally against the IMF’s own Constitution, because it does not allow lending to a country at war or conflict. Ukraine was an “exception”, dictated by the US. Blamed for the ever-changing and escalating Ukraine fiasco was Russia.

Another IMF victim is Argentina. In December 2015 through fraudulent election, Washington put a neoliberal henchman into the Presidency, Mauricio Macri. He carried out economic and labor reforms by decree and within the first 12 months in office, increased unemployment and poverty from about 12% he inherited from his predecessor, Christine Kirchner, to over 30%.

Within 15 years of Kirchner Governments, Argentina largely recovered from the collapse of 2000 / 2001 / 2002, accumulating a healthy reserve. There was no need to call the IMF to the rescue, except if it was a pre-condition for Macri to become president. In September 2018, Argentina contracted from the IMF the largest ever IMF loan of 57.1 billion dollars, to be disbursed over a three-year period, plunging Argentina in an almost irrecoverable debt situation.

The Bretton Woods Organizations — World Bank and IMF — were created in 1944 precisely for that reason, to enslave the world, particularly the resources-rich countries. The purpose of these so-called international financial institutions, foresaw an absolute veto power of the United States, meaning they are doing the bidding of the US Treasury. They were created under the UN Charter for good disguise, and are to work hand-in-glove with the fiat monetary system created in 1913 by the Federal Reserve Act. The pretext was to monitor western “convertible” currencies that subscribed to the also newly modified gold standard (1 Troy ounce [31.1 grams] of gold = US$ 35), also established during the Bretton Woods Conference in 1944.

Both organizations started lending money – the Marshall Fund, managed by the world Bank in the 1950s – to war devastated Europe, moving gradually into economic development of “Third World” countries, and eventually, in the 1980s, showing their evil heads by introducing the neoliberal doctrines of the Washington Consensus worldwide. It is a miracle how they get away with spewing so much misery, literally unopposed for the last 30 – 40 years, throughout the world. Why are they not stopped and dismantled?  The UN has 193 members; only a small proportion of them benefit from the IMF-WB financial crimes. Why does the vast majority, also potential victims, remain silent?

Nuclear War: Just Another Day

Catastrophic events that send the world into turmoil happen on ‘just another day’. The atom bomb that exploded over Hiroshima took place while thousands of ordinary folk were just going about their everyday business on ‘just another day’. A missile attack on a neighbourhood in Gaza or a drone attack on unsuspecting civilians in Afghanistan: death and destruction come like a bolt from the blue as people shop at the local market or take their kids to school on ‘just another day’.

Will it be ‘just another day’ when the next nuclear bomb is exploded in anger, an ordinary day when people are just going about their daily business? By then it might be too late to do anything, too late to act to try to prevent an unfolding global catastrophe on a scale never before witnessed by humans.

Yet so many appear too apathetic and wrapped up in a world of gadgets, technology, shopping malls, millionaire sports players and big-time sports events to think that such a thing could be imminent.

Are they so preoccupied with the machinations of their own lives in cotton-wool cocooned societies to think that what is happening in Syria or Iraq is just too boring to follow or that it doesn’t really concern them or it is ‘not my problem’? Do they think they are untouchable, that only death, war and violence happens in faraway places?

Could any of us even contemplate that on some not-too-distant day a series of European cities could be laid waste within a matter of minutes? It isn’t worth thinking about. Or is it?

The US (and the West’s) foreign policy is being driven on the basis of fake morality and duplicity. Millions lie dead in Iraq, Afghanistan, Syria and Libya as a result of US-led imperialism and nuclear-armed Russia is constantly demonised simply because it will not acquiesce to Washington and serve as a vassal state.

And now, as the US continues to stir up tensions with Iran and as China warns neighbouring countries about allowing US nuclear missiles aimed at it on their territories, much of the Western public and media remain oblivious to the dangers of conflict escalation and the biggest immediate threat to all life on Earth: nuclear war.

The threat of mass murder

Some fell to the ground and their stomachs already expanded full, burst and organs fell out. Others had skin falling off them and others still were carrying limbs. And one in particular was carrying their eyeballs in their hand.

The above extract comes from an account by a Hiroshima survivor talking about the fate of her schoolmates. In 2016, it was read out in the British parliament by Scottish National Party MP Chris Law during a debate about Britain’s nuclear arsenal.

In response to a question from MP George Kereven, the then British PM Theresa May said without hesitation that, if necessary, she would authorise the use of a nuclear weapon that would kill hundreds of thousands of innocent men, women and children. May also implied that those wishing to scrap Britain’s nuclear weapons are siding with the nation’s enemies.

Politicians like May read from a script devised by elite interests. This transnational capitalist class dictates global economic policies and decides on who lives and who dies and which wars are fought and inflicted on which people.

The mainstream narrative tends to depict individuals who belong to this class as ‘wealth creators’. In reality, however, these ‘high flyers’ have stolen ordinary people’s wealth, stashed it away in tax havens, bankrupted economies and have imposed a form of globalisation that results in devastating destruction and war for those who attempt to remain independent or structurally adjusted violence via privatisation and economic neoliberalism for millions in countries that have acquiesced.

While ordinary folk across the world have been subjected to policies that have resulted in oppression, poverty and conflict, this is all passed off by politicians and the mainstream media as the way things must be.

The agritech sector poisons our food and agriculture. Madelaine Albright says it was worth it to have killed half a million kids in Iraq to secure energy resources for rich corporations and extend the wider geopolitical goals of ‘corporate America’. The welfare state is dismantled and austerity is imposed on millions. The rich increase their already enormous wealth. Powerful corporations corrupt government machinery and colonise every aspect of life for profit. Environmental destruction and ecological devastation continue apace.

And nuclear weapons hang over humanity like the sword of Damocles.

The public is supposed to back this status quo in support of what? Austerity, powerlessness, imperialism, propping up the US dollar and a moribund system. For whom? Occidental Petroleum, Soros, Murdoch, Rothschild, BP, JP Morgan, Boeing and the rest of the elite and their corporations whose policies are devised in think tanks and handed to politicians to sell to a largely ignorant public: those who swallow the lie about some ‘war on terror’ or Washington as the world’s policeman, protecting life and liberty.

Rejecting hegemonic thought

Many believe nuclear weapons are a necessary evil and fall into line with hegemonic thinking about humanity being inherently conflictual, competitive and war-like. Such tendencies do, of course, exist, but they do not exist in a vacuum. They are fuelled by capitalism and imperialism and played upon by politicians, the media and elite interests who seek to scare the population into accepting a ‘necessary’ status quo.

Co-operation and equality are as much a part of any arbitrary aspect of ‘human nature’ as any other defined characteristic. These values are, however, sidelined by a system of capitalism that is inherently conflict-ridden and expansionist.

Much of humanity has been convinced to accept the potential for instant nuclear Armageddon hanging over its collective head as a given, as a ‘deterrent’. However, the reality is that these weapons exist to protect elite, imperialist interests or to pressure others to cave into their demands. If the 20th century has shown us anything, it is these interests are adept at gathering the masses under notions of flag, god and country to justify their slaughter.

To prevent us all shuddering with the fear of the threat of instant nuclear destruction on a daily basis, it’s a case of don’t worry, be happy, forget about it and watch TV. It was the late academic Rick Roderick who highlighted that modern society trivialises issues that are of ultimate importance: they eventually become banal or ‘matter of fact’ to the population.

People are spun the notion that nuclear-backed militarism and neoliberalism and its structural violence are necessary for securing peace, defeating terror, creating prosperity or promoting ‘growth’. The ultimate banality is to accept this pack of lies and to believe there is no alternative, to acquiesce or just switch off to it all.

Instead of acquiescing and accepting it as ‘normal’, we should listen to writer and campaigner Robert J Burrowes:

Many people evade responsibility, of course, simply by believing and acting as if someone else, perhaps even ‘the government’, is ‘properly’ responsible. Undoubtedly, however, the most widespread ways of evading responsibility are to deny any responsibility for military violence while paying the taxes to finance it, denying any responsibility for adverse environmental and climate impacts while making no effort to reduce consumption, denying any responsibility for the exploitation of other people while buying the cheap products produced by their exploited (and sometimes slave) labour, denying any responsibility for the exploitation of animals despite eating and/or otherwise consuming a range of animal products, and denying any part in inflicting violence, especially on children, without understanding the many forms this violence can take.

Burrowes concludes by saying that ultimately, we evade responsibility by ignoring the existence of a problem. The evasion of responsibility, acquiescence and acceptance are, of course, part of the conditioning process.

The ‘problem’ encompasses not only ongoing militarism, but the structural violence of neoliberal capitalism, aided and abetted by the World Bank, IMF and the WTO. It’s a type of violence that is steady, lingering and a daily fact of life under globalised capitalism.

Of course, oppression and conflict have been a feature throughout history and have taken place under various economic and political systems. Indeed, in his various articles, Burrowes goes deep into the psychology and causes of violence.

But there is potentially a different path for humanity. In 1990, the late British MP Tony Benn gave a speech in parliament that indicated the kind of values that such a route might look like.

Benn spoke about having been on a crowded train, where people had been tapping away on calculators and not interacting or making eye contact with one another. It represented what Britain had apparently become under Thatcherism: excessively individualistic, materialistic, narcissistic and atomised.

The train broke down. As time went by, people began to talk with one another, offer snacks and share stories. Benn said it wasn’t too long before that train had been turned into a socialist train of self-help, communality and comradeship. Despite the damaging policies and ideology of Thatcherism, these features had survived her tenure, were deeply embedded and never too far from the surface.

For Tony Benn, what had been witnessed aboard that train was an aspect of ‘human nature’ that is too often suppressed, devalued and, when used as a basis for political change, regarded as a threat to ruling interests. It is an aspect that draws on notions of unity, solidarity, common purpose, self-help and finds its ultimate expression in the vibrancy of community, the collective ownership of productive resources and co-operation. The type of values far removed from the destructive, divisive ones of imperialism and capitalism which key politicians and the corporate media protect and promote.

Will the IMF, FED, Negative Interest and Digital Money Kill the Western Economy?

The IMF, has been instrumental in helping destroying the economy of a myriad of countries, notably, and to start with, the new Russia after the fall of the Soviet Union, Greece, Ukraine and lately Argentina, to mention just a few. Madame Christine Lagarde, as chief of the IMF had a heavy hand in the annihilation of at least the last three mentioned. She is now taking over the Presidency of the European Central Bank (ECB). There, she expects to complete the job that Mario Draghi had started but was not quite able to finish: Further bleeding the economy of Europe, especially southern Europe into anemia.

Let’s see what we may have in store to come.

Negative interest, we have it already. It’s the latest banking fraud stealing money from depositors to give to large borrowers. It’s a reverse cross-subsidy, the poor financing the rich. That’s the essence. It’s a new form of moving money from the bottom to the top. Now, a Danish bank has launched the world’s first negative interest rate mortgage. It provides mortgages to home owners for a negative rate of 0.5%. The bank pays borrowers to take some money off their books. Of course, as usual, only relatively well-off people can become home owners and benefit from this reverse cross-subsidy. It is a token gesture, duping the public at large into believing that they are benefitting from the new banking stint. The bulk of such operations serve large corporations.

The borrower pays back less than the full loan amount. Switzerland may soon go into the direction of Denmark. Bank deposits with central banks pay negative interest almost everywhere in the western world, except in the US – yet. It’s only a question of time until the average consumer will have to reimburse the banks for their central bank deposit expenses, meaning, the customers are getting negative interest on their deposits. That’s inflation camouflage. A sheer fraud, but all made legal by a system that runs amok, that does not follow any ethics or legal standards. A totally deregulated western private banking system, compliments of the 1990s Clinton Administration, and, of course, his handlers. As Professor Michael Hudson calls it, financial barbarism. We are haplessly enslaved in this aberrant ever more abusive private  fiat money banking shenaniganism.

RT’s Max Keiser recently interviewed Karl Denninger of Market-Ticker.org. Denninger told Keiser:

Negative yielding bond is forced inflationary instrument: you buy it, you’re guaranteed inflation in the amount of a negative yield.

He blasted the tool as plain “theft” by any government that issues these bonds, which is done in an effort to nominally expand a country’s GDP.

If the government is issuing more in sovereign debt their GDP is expanding in nominal terms. If you have negative interest rates on those government bonds, you’re creating excess space for the government to run the fiscal deficit […] in excess of GDP expansion. Nobody in any civilized nation should allow this to happen because it is theft, on the scale of that differential, from everybody in the economy,

To make sure the little saver doesn’t think about depositing his savings under his mattress or in a hole in the ground instead of bringing it to the bank, money will be digitized and cash will disappear. Madame Lagarde has already more than hinted at that, when she gave a pre-departure speech at the IMF – explaining on how she sees the future of monetary banking. The future, according to her, being no more than 15 to 20 years away, is a no-cash society. Just enough time for the elder generations, those that may still feel an instinct of rejection and have some consciousness about personal privacy, those that may resist money digitization, may have died out. The young, up-and-coming age groups may be brainwashed enough to find a cashless society so cool.

Since Madame Lagarde is moving to head the ECB in Frankfurt, it is fair to assume that Europe will be one of the largest test grounds for digitized money; i.e., towards a cashless society. In fact, it is already a test ground. Many department stores and other shops in Nordic countries — Sweden, Norway, Denmark, Finland — do no longer accept cash, only electronic money. In Denmark already up of 80% of all monetary transactions are made digitally.

Imagine, for your chewing gum wrapper, pack of cigarette, or candy bar, you swipe a card in front of an electronic eye, and bingo, you have paid, not touching any money – “that’s mega cool!”.  That’s what the young people may think, oblivious to leaving a trail of personal data behind, among them their bank account details, their GPS-geared location, what they are shopping, a pattern of data that is in ten years-time expected to amount to about 70,000 points of information about an individual’s characteristics, emotions, preferences, photos, personal contacts… what Cambridge Analytica in the superb documentary “The Great Hack” revealed as already today on average 5,000 points of data per citizen. The system will know you inside out better than you know yourself. And you will be exposed to algorithms that know exactly how to influence every action, every move of yours. Cool!

That, combined with face recognition which is advancing rapidly around the globe, will be super cool.

A horrendous trial on how an entire country, India, with the world’s second largest population, may react to demonization, was introduced in 2016 by President Modi, bending to the pressure of the western financial system, with support of the IMF and implementation funding by USAID. It amounted in a disastrous and cruel demonetization, invalidating almost over-night the most popular 100 Rupee (Rs) bank note, replacing it with a 200 Rs note which in most places, especially in rural towns, where banks are scarce, was not available. Never mind that less than half of the Indian population has a bank account, where the bank note exchange transactions had to be carried out.

The sudden disappearance of the most popular bank note – more than 80% of all monetary cash transactions in India took place in 100 Rs notes – was a proxy to digitization of money. Countless people starved to death especially in rural areas, because their 100 Rs were declared worthless and became unacceptable to buy food.

The 340,000 citizens of Iceland have already a fully digitized e-ID, now moving towards a mobile ID; i.e., accessible through your smart phone uniting every possible data that belongs to you, from medical records to insurance policies, all the way to dog, cat and car registrations. You name it. Most say they trust their government and are not unhappy with their divulging their most intimate data. Many have no or little idea, though, to what extent the private sector is involved in setting up such a hermetic countrywide data bank for the government. Even if the regulator is within the government and you trust your government, how much can you trust the profit-oriented private sector in protecting your data?

The surveillance state that you, among other clandestine intrusions into your privacy, will allow by willy-nilly accepting digitization of money, and eventually digitization of your entire private data, pales Orwell’s imagination of “1984”. Every citizen is registered in every western “security agency’s” electronic data bank, and, of course, those of the empire and Middle East affiliate, Israel, CIA, NSA, FBI, Mossad, and so on.  No escaping anymore.

It just so happens that you, dear citizen, are oblivious to all of what is going on behind your back, since your attention will be captured by massive marketing and directed towards the nefarious machinations of the corporate elite-ruled, globalized world, making you an eternal and ever-more intense consumer. You must spend the last penny of your income on trendy stuff, all those fashion things that will be pumped non-stop day-in-day-out into your brain, what’s left of it, by propaganda on television, radio, electronic cartoon-like billboards, internet, and that at every turn you take. And let’s not forget sports events.  They increase every year and are the most direct deviation tactic take-over from the Roman Empire.

The most aberrant trends will be cool, like shredded jeans, for which you pay a premium, body-paintings called tattoos, footballer hair styles, because they are fashionable and your looks are key to fit into a standardized, globalized society that has seized thinking for itself, no more interest in politics, in what your non-democratically elected representatives decide for you. It’s what Noam Chomsky calls the marginalization of the populace.

You are made to believe that you are living in a democracy where you can do what you want, shop what you want, watch what you want, and even when the elections or occasional referenda are offered to request your opinions, you are cheated into believing your choice is free. Of course, it is not. It is all programmed. Algorithms drawing on your profile of 70,000 points of information on emotions, desires and dreams, will clandestinely help the ‘system’ to enslave, cheat and master you, and you won’t even notice.

That’s where we are headed, largely thanks to digitalization of money – but not only, because surveillance will also follow all your steps on internet, on Facebook, Twitter, Instagram, Whatsapp – and many more of those especially created marketing tools, implanted in societies’ social media, that make life and communication so much easier.

And there is more to digital money. Much more. In 2014, the unelected European Commission (EC) has put on its books of regulations, following a similar decree in the US, the rule that an overextended bankrupt too-big-to-fail private bank will no longer be rescued by the state, by your tax money – which used to be called a “bail-out”. Instead, there will be “bail-ins”, meaning that the bank will seize your deposits, your savings and sanitize itself with money stolen from you. You have no choice. There will be no ‘run on the banks’  because there is no cash to withdraw. We have seen signs of this when Greece collapsed after 2010, and cash machines spitting out no more than 20 € per day, if at all. For many Greek citizens, especially the poorer class living from day to day, this meant often cruel starvation.

Bail-ins are little talked about, but they happen already today and ever more so. In 2014, the Austrian bank Hypo Alpe Adria – the Heta Asset Resolution AG, was given green light by the Austrian Banking Regulator, the Austrian Financial Market Authority (FMA), to refinance itself by a so-called “haircut” of an average 54%, meaning, stealing 54% of depositors’ money.

But the first and largest “haircut” test took place in Cyprus, when in 2013 the Bank of Cyprus depositors lost about 47.5% in a “haircut” to bail out their bank. Of course, the big sharks were forewarned, so they could withdraw their money in time and transfer it abroad.1

It could get worse. The state, tax authority, an institution, a corporation says you owe them money which you deny, possibly for a good reason, but they have access to your bank account and just seize the amount they pretend is their due. You are powerless against these tyrannical monsters and may have to hire expensive legal service to get your stolen money back if at all. Because the “system” is run by the “system”. And once that level has been reached, a form of Full Spectrum Dominance, a key target of the PNAC (Plan for a New American Century), there is hardly any escaping. That has all happened already, in front of our publicity-blinded eyes, little spoken about, the trend is growing and this even without necessarily a digitized world.

Is it that the kind of society you want?

Then there are the rather prominent gurus who bet on gold and bitcoins to replace the faltering dollar, like a last-ditch solution. None of them is any more viable than the fiat dollar. Gold is highly volatile due to its vulnerability for manipulation – as it is largely controlled by the BIS (Bank for International Settlement, in Basle, Switzerland, also called the central bank of all central banks, and yes, the same bank that helped the FED finance Hitler’s war against the Soviet Union.  (So you see where this bank is coming from.) It is entirely privately owned and largely controlled by the Rothschild clan. And as an associated side note — few people talk about it — there is in excess of 100 times more paper gold in circulation than you could ever cash in, if you needed it. It is another one of those bank-invented ‘derivative’ bubbles that will explode and serve to enrich them when the time is ripe.

Bitcoins, the most prominent of some 3,000 to 4,000 cryptocurrencies flooding the world, is totally unreliable. A year after it was created in 2008 allegedly by an unknown person or group of people using the name Satoshi Nakamoto, bitcoin’s value in 2009 was US$ 0.08, It gradually rose and eventually jumped in December 2017 briefly above US$ 20,000, but dropped within a year to about US$ 3,500. Today bitcoin is hovering around US$ 9,500 (August/September 2019). Bitcoin – along with other cryptocurrencies – is highly speculative, lends itself to Mafia-type money-laundering and other fraudulent transactions. It is about equivalent to fiat money and certainly inept to be the backing for a monetary system.

And let’s not forget, the latest Facebook initiative — a cryptocurrency, the Libra, to be launched in 2020 out of Geneva, Switzerland – is expected to dominate within a few years 70% to 80% of the international money market. You see, the same clan that has been manipulating and cheating you with the dollar, is now ‘banking’ on you falling for the Facebook currency  as it will be so easy to use your smart phone for any kind of monetary transaction, thus, avoiding traditional predatory banking. Looks like a good thing at the outside – right? – Nope! It’s entirely privately owned and run by an unscrupulous mafia that is being set up to continue milking the masses for the benefits of an ever-smaller elite.

There is ,however, a role for blockchain cryptocurrencies, to circumvent private banking, those that are government controlled and regulated. China and Russia are about to launch their government-controlled cryptocurrencies and others – Iran, Venezuela, India – are following in the same steps. But they all ban privately run cryptocurrencies in their countries and rightly so. A combination of government-regulated blockchain cryptos and public banking, where no private profits are in the fore, but rather the well being of the citizen and the country’s economy, may be a viable solution into a new monetary scheme, protected from the kleptocracy of western banking.

Desperation about the dollar losing its world hegemony is growing – and growing fast. To salvage the western fiat monetary system, Madame Lagarde and others are also talking about some kind of Special Drawing Rights (SDR) to replace the dollar as a reserve currency, since there is no escaping – the dollar as reserve currency is doomed. The current IMF SDR basket consists of five currencies, the US-dollar (weighing 41.73%), the British Pound (8.02%) the Euro (30.93%), the Japanese Yen (8.33%) and since 2017 the Chinese Yuan, the currency of the world’s largest economy compared by Purchasing Power GDP (10.92%).

At this point thinking of any reshuffling of the SDR basket’s contents is purely speculative. However, it can easily be assumed that the dollar would remain in a very prominent position within the basket, as it should remain the leading hegemon of world economy. Let’s not forget, the US Treasury controls the IMF with an absolute veto, in other words, 100%. It can also be assumed that the Chinese Yuan would either be kicked out altogether or would be given a minor weight in the basket so to diminish its role. If this was to become the chosen option by the US Treasury, it could and probably might prompt China to withdraw the Yuan from the SDR basket, as the Yuan does no longer need SDR recognition in the world to be considered a primary reserve currency.

Unless this is stealthily done — outside of public sight and in disguise of countries still holding major US-dollar reserves — the world would unlikely accept such an alternative, especially since it is widely known among treasurers of countries around the globe that the Chinese Yuan is rapidly raising to become the key world reserve currency.

As reported by William Engdahl’s analytical essay “Is the Fed Preparing to Topple the US Dollar?”, the outgoing Governor of the Bank of England, Mark Carney, delivered at the recent annual meeting of central bankers in Jackson Hole, Wyoming, a set of ideas that went into a similar direction, towards a shift away from the dominant role of the US dollar as a reserve currency. Similar to Mme. Lagarde’s earlier remarks about an SDR-type reserve currency, he made it understood that though the Chinese Yuan, the currency of the key trading nation, may have a role in the basket, it would – for now – not be an important one. He also was clear about the current disturbing and destabilizing imbalance where a faltering dollar still pretends to hold the hegemonic scepter over the world economy.

Keeping the dollar still in a leading role, while the US economy is declining, was no longer a viable option for an increasingly globalized world economy. Carney was hinting at a multipolar monetary and reserve system for a multipolar globalized world. Similar remarks came from former New York Federal Reserve Bank chief, Bill Dudley. However, Dudley, hinted that for the United States to give up her dollar dominance, the backbone for her world hegemony, may not come voluntarily. Might that lead to a major, maybe armed world conflict?

Much of this is speculation from the western perspective. It is, however, clear that there is a tremendous and mounting uneasiness about the western dollar-based fiat monetary system, backed by nothing, not even by the western economy. You compare this with the Chinese Yuan and the Russian Ruble, both backed by gold and – more importantly – by their own economy. It becomes increasingly clear that much of the speculation and efforts by influential central banking figures to save the western monetary Ponzi scheme maybe just propaganda to calm the minds of western financiers – holding them back from jumping ship.

• First published in New Eastern Outlook (NEO)

  1. See: Peter Koenig: “Infringing upon the Eurozone’s Sovereignty on behalf of Wall Street.  The EBC’s “Haircut” Measures, Undermining Trade and Investment with Russia and China“, Global Research, November 7, 2015; and Peter Koenig, “Retrenchment, Robotization and Crypto-Currencies: The Runaway Train Towards Full Digitization of Money and Labor“, Global Research, December 27, 2017.

India’s Tryst with Destiny

Today, we are in the grip of a globalised system of capitalism which drives narcissism, domination, ego, anthropocentrism, speciesism and plunder. A system that is using up oil, water and other resources much faster than they can ever be regenerated. We have poisoned the rivers and oceans, destroyed natural habitats, driven wildlife species to (the edge of) extinction and have altered the chemical composition of the atmosphere with seemingly devastating effects.

With its never-ending quest for profit, capitalism thrives on the exploitation of peoples and the environment. It strides the world hand in glove with militarism, with the outcome being endless destabilisations, conflicts and wars over finite resources and the capture of new markets.

This is sold to the masses as part of an ongoing quest to achieve human well-being, measured in terms of endless GDP growth, itself based on an ideology that associates such growth with corporate profit, boosted by stock buy-backs, financial speculation, massive arms deals,  colonialism masquerading as philanthropymanipulated and rigged markets, corrupt and secretive trade deals, outsourced jobs and a resource-grabbing militarism.

That such a parasitical system could ever bring about a ‘happy’ human condition for the majority is unfathomable.

Over the last 70 years, material living standards in the West have improved, but how that wealth was obtained and how it is then distributed is what really matters. Take the case of the UK.

While much of manufacturing has been outsourced to cheap labour economies, welfare, unions and livelihoods have been attacked. Massive levels of tax evasion/avoidance persist and neoliberal policies have resulted in privatisation, deregulation and the spiralling of national and personal debt. Moreover, the cost of living has increased as public assets have been sold off to profiteering cartels and taxpayers’ money has been turned into corporate welfare for a corrupt banking cartel.

Meanwhile, the richest 1,000 families in the UK saw their net worth more than double shortly after the 2008 financial crisis, the worst recession since the Great Depression, while the rest of the population is confronted with ‘austerity’, poverty, cutbacks, reliance on food banks and job insecurity.

But let’s not forget where much of the UK’s wealth came from in the first place: some $45 trillion was sucked from India alone according to renowned economist Utsa Patnaik.  Britain developed by under-developing India. And now the West and its (modern-day East India) corporations are in the process of ‘developing’ India by again helping themselves to the country’s public wealth and natural assets (outlined further on).

Under this system, it is clear whose happiness and well-being matters most and whose does not matter at all. According to researcher and analyst Andrew Gavin Marshall, it is the major international banking houses which control the global central banking system:

From there, these dynastic banking families created an international network of think tanks, which socialised the ruling elites of each nation and the international community as a whole, into a cohesive transnational elite class. The foundations they established helped shape civil society both nationally and internationally, playing a major part in the funding – and thus coordinating and co-opting – of major social-political movements.

Additional insight is set out by David Rothkopf in his 2008 book Superclass: The Global Power Elite and the World They Are Making:

The superclass constitutes approximately 0.0001 percent of the world’s population. They are the Davos-attending, Gulfstream/private jet-flying, money-incrusted, megacorporation-interlocked, policy-building elites of the world, people at the absolute peak of the global power pyramid … They are from the highest levels of finance capital, transnational corporations, the government, the military… and other shadow elites.

These are the people setting the agendas at the Trilateral Commission, Bilderberg Group, G-7, G-20, NATO, the World Bank and the World Trade Organization. They decide which wars are to be fought and why and formulate global economic policy.

Tryst with destiny

In 1947, on the steps of the Red Fort in Delhi, Jawaharlal Nehru spoke optimistically about India’s tryst with destiny. Free from the shackles of British colonialism, for many the future seemed bright.

But some 72 years on, we now see a headlong rush to urbanise (under World Bank directives – India is the biggest debtor nation in the history of that institution) and India’s cities are increasingly defined by their traffic-jammed flyovers cutting through fume choked neighbourhoods that are denied access to drinking water and a decent infrastructure. Privatisation and crony capitalism are the order of the day.

Away from the cities, the influence of transnational agricapital and state-corporate grabs for land are leading to violent upheaval, conflict and ecological destruction. The links between the Monsanto-Syngenta-Walmart-backed Knowledge Initiative on Agriculture and the associated US sanctioning and backing of the opening up of India’s nuclear sector to foreign interests show who really benefits from this.

Under the guise of ‘globalisation’, Western powers are on an unrelenting drive to plunder what they regard as ‘untapped markets’ in other areas of the globe. Foreign agricapital has been moving in on Indian food and agriculture for some time. But it first needs to eradicate the peasantry and displace the current model of production before bringing India’s food and agriculture sector under its control.

Other sectors have not been immune to this bogus notion of development. Millions of people have been displaced to facilitate the needs of resource extraction industries, Special Economic Zones, nuclear plants and other large-scale projects. And the full military backing of the state has been on hand to forcibly evict people.

To help open the nation to foreign capital, proponents of economic neoliberalism are fond of stating that ‘regulatory blockages’ must be removed. If particular ‘blockages’ stemming from legitimate protest, rights to land and dissent cannot be dealt with by peaceful means, other methods are used. And when increasing mass surveillance or widespread ideological attempts to discredit and smear does not secure compliance or dilute the power of protest, brute force is on hand.

The country’s spurt of high GDP growth was partly fuelled on the back of cheap food and the subsequent impoverishment of farmers. The gap between their income and the rest of the population has widened enormously to the point where rural India consumes less calories per head of population than it did 40 years ago. Meanwhile, unlike farmers, corporations receive massive handouts and interest-free loans but have failed to spur job creation.

Millions of small-scale and marginal farmers are suffering economic distress as the sector is deliberately made financially non-viable for them. Veteran rural reporter P Sainath says what this has resulted in is not so much an agrarian crisis but a crisis of civilisation proportions, given that the bulk of the population still lives in the countryside and relies on agriculture or related activities for an income.

Independent cultivators are being bankrupted, land is to be amalgamated to facilitate large-scale industrial cultivation and remaining farmers will be absorbed into corporate supply chains and squeezed as they work on contracts, the terms of which will be dictated by large agribusiness and chain retailers.

US agribusiness corporations are spearheading this process, the very companies that fuel and thrive on a five-year US taxpayer-funded farm bill subsidy of around $500 billion. Their industrial model in the US is based on the overproduction of certain commodities often sold at prices below the cost of production and dumped on the rest of the world, thereby undermining farmers’ livelihoods and agriculture in other countries, not least India.

It is a model that can only survive thanks to taxpayer handouts and only function by externalising its massive health, environmental and social costs. And it’s a model that only leads to the destruction of rural communities and jobs, degraded soil, less diverse and nutrient-deficient diets, polluted water, water shortages and spiralling rates of ill health.

We hear certain politicians celebrate the fact India has jumped so many places in the ‘ease of doing business’ table. This term along with ‘foreign direct investment’, making India ‘business friendly’ and ‘enabling the business of agriculture’ embody little more than the tenets of US neoliberal fundamentalism wrapped in benign-sounding words.

Of course, as Gavin Andrew Marshall notes, US foundations have played a major part in shaping policies and co-opting civil society and major social-political movements across the world, including in India. As Chester Bowles, former US ambassador to India, says:

Someday someone must give the American people a full report of the Ford Foundation in India. The several million dollars in total Ford expenditures in the country do not tell 1/10 of the story.

Taking inflation into account, that figure would now be much greater. Maybe people residing in India should be given a full report of Ford’s activities too as well as the overall extent of US ‘intervention’ in the country.

A couple of years ago, economist Norbert Haring (in his piece “A well-kept open secret: Washington is behind India’s brutal experiment of abolishing most cash) outlined the influence of USAID and the Bill and Melinda Gates Foundation in furthering the incorporation of India into the US’s financial (and intelligence architecture). But this is the type of thing just the tip of a very large iceberg that’s been going on for many decades.

After the recent general election, India seems destined to continue to capitulate to a programme that suits the needs of foreign capital for another five years. However, the focus is often on what India should or should not do. It’s not as if alternatives to current policies do not exist, but as Jason Hickel wrote in The Guardian back in 2017, it really is time that the richer countries led the way by ‘de-developing’ and reorienting their societies to become less consumption based. A laudable aim given the overexploitation of the planet’s resources, the foreign policy implications (conflict and war) and the path to environmental suicide we are on. However, we must first push back against those forces and which resist this.

On 15 August, India commemorates independence from British rule. Many individuals and groups are involved in an ongoing struggle in India to achieve genuine independence from exploitation and human and environmental degradation. It’s a struggle for freedom and a tryst with destiny that’s being fought throughout the world by many, from farmers and indigenous peoples to city dwellers, against the same system and the same forces of brutality and deceit.