The Global End Game

Tyler Durden's picture

Via Gordon T Long of,

As we discussed previously, an over-indebted, overcapacity economy cannot generate real expansion. It can only generate speculative asset bubbles that will implode, destroying the latest round of phantom collateral. The following clip succinctly links Charles Hugh-Smith's 14 points in the global endgame to the cycle of deflation from the business cycle, credit cycle, and more critically to the emerging version sought by our current slew of Central Bankers.



  1. "Boost Phase" of Credit Expansion
  2. Overextended Credit Expansion and Over Capacity
  3. Financialization and Collateral
  4. Era of Financialization
  5. Growing Malinvestment
  6. Phantom Collateral from Asset Bubbles
  7. Bubble Implosions
  8. Impaired Debt and Policy Decisions
  9. Stalled Consumption
  10. Cheap Money Offered
  11. Shrinking Loans and Bank Speculation
  12. Search for Yield from Shrinking Pool of Productive Assets
  13. Increasingly Speculative Investments with high Risk
  14. Stagnation - Over-indebted, overcapacity with limited growth.



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Kirk2NCC1701's picture

Cliff Notes:  Create cost-free Confetti-Money.  Have people trade their stuff for your Confetti, till they are your eternal serfs.

Abraxas's picture

Everything is still developing according to the grand plan. No changes, no surprises. 

Skateboarder's picture

The one where most of the population is annihilated and the rest move underground, kinda like in 12 Monkeys?

*cue circus sounds*

SheepleLOVEcheddarbaybiscuits's picture

Hey tyler, you forgot the last step:


Global ZIRP to transfer ownership of everything to the banks.

Spirit Of Truth's picture

Collective Western manic insanity has run its irrational course.  Indeed, expect WAR to follow:

IrritableBowels's picture

Hey aren't you the guy who believes he's the second coming of christ?

OutLookingIn's picture

The ONLY constant is change itself!

The "window" has closed.

The only egress from the present paradigm is to 'smash' the window glass.

In order to let in fresh air and start anew.

ElvisDog's picture

Well if that isn't the Central Banker's plan, it should be. They should trade the $85B they generate each and every month for real, tangible, productive assets - land, factories, real estate, ports. At over $1T of fiat money creation it wouldn't be long before the bankers owned everything that was worthwhile owning.

spinone's picture

Its all mortgaged to them, so when they stop printing money and the "owners" can't pay their debts, the banks get em.

Charles Nelson Reilly's picture

I was under the impression Bitcoin was going to solve all of these "problems"?

francis_sawyer's picture

When you're stoned on hash whacking off to porn ~ "problems" seem to go away [at least for awhile]...

paperlessforms's picture

I understand that if everyone doubles their money supply then prices double but incomes double too. So, since money is neutral (2nd year economics syllabus) nothing (much) bad happens. Just eveyone pays double but they have double the money to pay.

Where it does NOT WORK is where one country doubles their money supply and the other's do not. Then that country currency is halved in worth and Zimbabwee, German style inflation kicks-in destroying everyone's cash pile in that currency.

But in the game going on at the moment, all is OK except for those not in the club whose exported products will get relativley more expensive... bla bla - you know the rest...not teaching egg sucking here in the comments... bla bla


css1971's picture

Say money supply increases about 7%pa. Did you get a 7% pay raise last year? No, employees get a CPI increase which would be 1-2%. This is how business and asset owners make increasing profits over time and it's how the rich become richer against the rest of the population.

So money supply doubles, incomes don't. Neither does debt btw.

Money is NOT neutral. I don't know what economics school you're being taught but it is complete bollocks.

BigDuke6's picture

With regard to the money printing there is a war going on between West and East Central banks.   As the "paper" price is knocked down to preserve the Dollar the Eastern Central Banks step in and relieve the West of it's real physical Gold.
Soon there could be a disconnect between paper and physical.
Eventually there will only be "physical" and then some countries will use their Gold to back their currencies.   This is the only way all of the debt in the market will be covered as the price of Gold then is revalued upwards to big figures.
Don't be fooled by all the negative talk.  Buy as much physical Gold as you can before it's too late.

BadKiTTy's picture

Dude ....... Seriously ....."incomes double too"

Depends where you sit in the food chain I guess. Top 1% maybe ..... Bottom 80%.... Not so much.


KnightTakesKing's picture

Dude. Where the hell do you work where incomes are doubling? Everyone I know has had their pay frozen for the past few years or has lost their job.

quid pro quo's picture

That can't be...the "analysts" over at MSNBC have just released the joyous news that unemployment is way down and the market is hitting new highs...we're in a full steam ahead productivity mode that is unrivaled in modern economic times. 

ElvisDog's picture

See my post above. It depends who gets to create the money and what they're exchanging it for. Fiat money is intrinsically worthless, the only value it has is based on a perception that it is a store of value and (more importantly) legal tender laws that says people have to accept it. The Fed can create more "money" out of thin air and exchange that money for real, tangible assets. It literally is counterfeiting and is not "neutral" in any way.

New_Meat's picture

paperless forms:

"Global macro and some micro economic analysis."

ya gotta' study harder, and not in the tracks that would lead you to the exalted "Economics PhD."

and a reddie on ya.

- Ned

mumbo_jumbo's picture

incomes double??? WTF incomes in the US peaked in 1970....where you been?

archon's picture

What really happens is that the money supply doubles, but the first ones who get to spend the doubled-money-supply are the banksters.  Banksters spend the money at the current prices, cause inflation, and by the time everyone else's salary doubles, the prices have already doubled to match the increased supply.  This is why when the money supply expands, it's never given to the ordinary people first, because then it would be the banksters who are subject to inflation.

q99x2's picture

Just watched Smith on the latest Keiser Report.

Investor-1's picture

Money supply doubles, prices double. I rather double my own money. Whatever happens in our financial system, traders can always make money trading.

in4mayshun's picture

You could make the same argument about going to a casino.

New_Meat's picture

How do traders make a small fortune in the market?

Bear's picture

Are you out of your mind? It's hard enough (and risky enough) to trade when you know the counter party or the trade is cleared by exchange agents ... but to trust a specialized broker to trade, protect and remain solvent is like trusting Jon Corzine to protect my wealth.

stormsailor's picture

i must not be much of a trader then. cause for years i kicked ass in equities and futures, and after march of 2009 i can't find a way to read what will happen next.  and when i do.  wam,  i get burned.

GMadScientist's picture

So you're Greenspan's fluffer!

There ya go again.'s picture

15.   Somebody starts a war...........

JPM Hater001's picture

Yup. Kyle Bass was pretty clear about that.  These always end in war.


The only real question is between whom?

falak pema's picture

you can be sure of ONE proponent; the other remains mystery! 

in4mayshun's picture

Hard to say who the main actors will be to start but I'm fairly confident that it will end with war between the elite and the rest of us.

Anusocracy's picture

That war has been going on for at least ten thousand years.

It's the Alphamaleians vs. the Hoipolloians.

eddiebe's picture

JPM, the US has been at war (what) for just about ever? At least somewhere.

hardcleareye's picture

The recent US history "war events" that you are eluding to are not they types of war Bass was suggesting.   We are talking global style conflicts were the winners gets to rewrite history and put the spoils of booty into their kitty...  we are talking large section of populations being killed.....  To the victor goes the spoils.... 

Vietnam, Iraq, Afghanistan etc... have been regional "skirmishes", a small prelude of what is to come.

Bear's picture

It's always so encouraging ... reading Zerohedge

r3phl0x's picture

When you're aware, you can despair!

eddiebe's picture

I think the end game is even more insidious. My guess is that the elite will create massive population decimation one way or an other. I don't know if they will risk allowing WWIII because of the danger involving nukes. However, creating massive die offs using biological agents, or famines by using HAARP or playing games in the futures markets would be a possibility.

Put yourself in their shoes. Do they need or want all of us using up their space and resources? No!

Do they need all of us to threaten them with ideas of more equality or guillotines? Certainly not!

They certainly don't want or need more expansion of any kind, they already have so much more than they could possibly use or need. The only bubble they are concerned about is the population bubble and possibly the information bubble. How many blond babes that know their game do they want?

Anyway, they probably have figured many end games with them sitting pretty and us not so much at all.

Bingfa's picture

+1.....   Operation depopulation

They want to get rid of the worthless eaters

Matt's picture

Whether they want to or not, if we really are over the hill on Peak Oil, there may be only 10 percent as much hydrocarbon energy in 2050 as there is today. Could be down to half today's energy production by 2025. Without oil/coal/nat gas to make and transport all that food, population will go down one way or another.

zerozulu's picture

I think they just want to eliminate middle class. They need "worthless eaters" to polish their shoes.

Lordflin's picture

That would be them... Banking class are the worthless bread gobblers... I have always hated that phrase... they are nothing but parasites.

Crash Overide's picture

"I don't know if they will risk allowing WWIII because of the danger involving nukes. "


One thing I have thought about... if the shit hits the fan who is going to monitor the 150+ nuclear reactors in the US, many of which are at the end of their engineered usefulness and have regular failures and technical issues due to the aging infrastructure. I think we all forget just how sketchy the nuclear power situation is on this planet.

Flakmeister's picture

Better yet, a _fill_in_the_blank_  global economy that cannot significantly increase its oil supply cannot expand....

Which begs the question, expand to what end??? Cancer expands without limit or until the host dies, is that what our destiny and fate is?

GMadScientist's picture

Ooh ooh pick me pick me!


Kirk2NCC1701's picture

I believe this cycle was also called the "Rowing of the economy", whereby the money supply was inflated and deflated in a deliberate and controlled manner. 

The person(s) controlling the money supply could thus control the economy.  As the controllers, they and their family & friends could reap maximum benefit by knowing when to buy & sell, when to convert paper assets for real assets and vice versa.  It was and remains the ultimate "front-running" of the economy.  It is the Game of games, that makes mere mortals defacto kings of men, and bestows them with god-like powers.