The Paul Craig Roberts Dilemma: World War Or The End Of The Dollar

Tyler Durden's picture

Submitted by Paul Craig Roberts via The Institute for Political Economy,

Is the US or the World Coming to an End?
It will be one or the other

2014 is shaping up as a year of reckoning for the United States.

Two pressures are building on the US dollar. One pressure comes from the Federal Reserve’s declining ability to rig the price of gold as Western gold supplies shrivel and market knowledge of the Fed’s illegal price rigging spreads. The evidence of massive amounts of naked shorts being dumped into the paper gold futures market at times of day when trading is thin is unequivocal. It has become obvious that the price of gold is being rigged in the futures market in order to protect the dollar’s value from QE.

The other pressure arises from the Obama regime’s foolish threats of sanctions on Russia. Other countries are no longer willing to tolerate Washington’s abuse of the world dollar standard. Washington uses the dollar-based international payments system to inflict damage on the economies of countries that resist Washington’s political hegemony.

Russia and China have had enough. As I have reported and as Peter Koenig reports here http://www.informationclearinghouse.info/article38165.htm Russia and China are disconnecting their international trade from the dollar. Henceforth, Russia will conduct its trade, including the sale of oil and natural gas to Europe, in rubles and in the currencies of its BRICS partners.

This means a big drop in the demand for US dollars and a corresponding drop in the dollar’s exchange value.

As John Williams (shadowstats.com) has made clear, the US economy has not recovered from the downturn in 2008 and has weakened further. The vast majority of the US population is hard pressed from the lack of income growth for years. As the US is now an import-dependent economy, a drop in the dollar’s value will raise US prices and push living standards lower.

All evidence points to US economic failure in 2014, and that is the conclusion of John Williams’ April 9 report.

This year could also see the breakup of NATO and even the EU. Washington’s reckless coup in Ukraine and threat of sanctions against Russia have pushed its NATO puppet states onto dangerous ground. Washington misjudged the reaction in Ukraine to its overthrow of the elected democratic government and imposition of a stooge government. Crimea quickly departed Ukraine and rejoined Russia. Other former Russian territories in Ukraine might soon follow. Protesters in Lugansk, Donetsk, and Kharkov are demanding their own referendums. Protesters have declared the Donetsk People’s Republic and Kharkov People’s Republic. Washington’s stooge government in Kiev has threatened to put the protests down with violence. http://rt.com/news/eastern-ukraine-violence-threats-405/ Washington claims that the protests are organized by Russia, but no one believes Washington, not even its Ukrainian stooges.

Russian news reports have identified US mercenaries among the Kiev force that has been sent to put down the separatists in eastern Ukraine. A member of the right-wing, neo-Nazi Fatherland Party in the Kiev parliament has called for shooting the protesters dead.

Violence against the protesters is likely to bring in the Russian Army and result in the return to Russia of its former territories in Eastern Ukraine that were attached to Ukraine by the Soviet Communist Party.

With Washington out on a limb issuing threats hand over fist, Washington is pushing Europe into two highly undesirable confrontations. Europeans do not want a war with Russia over Washington’s coup in Kiev, and Europeans understand that any real sanctions on Russia, if observed, would do far more damage to Europeans. Within the EU, growing economic inequality among the countries, high unemployment, and stringent economic austerity imposed on poorer members have produced enormous strains. Europeans are in no mood to bear the brunt of a Washington-orchestrated conflict with Russia. While Washington presents Europe with war and sacrifice, Russia and China offer trade and friendship. Washington will do its best to keep European politicians bought-and-paid-for and in line with Washington’s policies, but the downside for Europe of going along with Washington is now much larger.

Across many fronts, Washington is emerging in the world’s eye as duplicitous, untrustworthy, and totally corrupt. A Securities and Exchange Commission prosecuting attorney, James Kidney used the occasion of his retirement to reveal that higher ups had squelched his prosecutions of Goldman Sachs and other “banks too big to fail,” because his SEC bosses were not focused on justice but “on getting high-paying jobs after their government service” by protecting the banks from prosecution for their illegal actions. http://www.counterpunch.org/2014/04/09/65578/

The US Agency for International Development has been caught trying to use social media to overthrow the government of Cuba. http://rt.com/news/cuba-usaid-senate-zunzuneo-241/

This audacious recklessness comes on top of Washington’s overthrow of the Ukrainian government, the NSA spying scandal, Seymour Hersh’s investigative report that the Sarin gas attack in Syria was a false flag event arranged by NATO member Turkey in order to justify a US military attack on Syria, Washington’s forcing down Bolivian President Evo Morales’ presidential plane to be searched, Saddam Hussein’s “weapons of mass destruction,” the misuse of the Libyan no-fly resolution for military attack, and on and on. Essentially, Washington has so badly damaged other countries’ confidence in the judgment and integrity of the US government that the world has lost its belief in US leadership. Washington is reduced to threats and bribes and increasingly presents as a bully.

The self-inflicted hammer blows to Washington’s credibility have taken a toll. The most serious blow of all is the dawning realization everywhere that Washington’s crackpot conspiracy theory of 9/11 is false. Large numbers of independent experts as well as more than one hundred first responders have contradicted every aspect of Washington’s absurd conspiracy theory. No aware person believes that a few Saudi Arabians, who could not fly airplanes, operating without help from any intelligence agency, outwitted the entire National Security State, not only all 16 US intelligence agencies but also all intelligence agencies of NATO and Israel as well.

Nothing worked on 9/11. Airport security failed four times in one hour, more failures in one hour than have occurred during the other 116,232 hours of the 21st century combined. For the first time in history the US Air Force could not get interceptor fighters off the ground and into the sky. For the first time in history Air Traffic Control lost airliners for up to one hour and did not report it. For the first time in history low temperature, short-lived, fires on a few floors caused massive steel structures to weaken and collapse. For the first time in history 3 skyscrapers fell at essentially free fall acceleration without the benefit of controlled demolition removing resistance from below.

Two-thirds of Americans fell for this crackpot story. The left-wing fell for it, because they saw the story as the oppressed striking back at America’s evil empire. The right-wing fell for the story, because they saw it as the demonized Muslims striking out at American goodness. President George W. Bush expressed the right-wing view very well: “They hate us for our freedom and democracy.”

But no one else believed it, least of all the Italians. Italians had been informed some years previously about government false flag events when their President revealed the truth about secret Operation Gladio. Operation Gladio was an operation run by the CIA and Italian intelligence during the second half of the 20th century to set off bombs that would kill European women and children in order to blame communists and, thereby, erode support for European communist parties.

Italians were among the first to make video presentations challenging Washington’s crackpot story of 9/11. The ultimate of this challenge is the 1 hour and 45 minute film, “Zero.” You can watch it here: http://www.youtube.com/watch?v=QU961SGps8g&feature=youtu.be

Zero was produced as a film investigating 9/ll by the Italian company Telemaco. Many prominent people appear in the film along with independent experts. Together, they disprove every assertion made by the US government regarding its explanation of 9/11.

The film was shown to the European parliament.

It is impossible for anyone who watches this film to believe one word of the official explanation of 9/11.

The conclusion is increasingly difficult to avoid that elements of the US government blew up three New York skyscrapers in order to destroy Iraq, Afghanistan, Libya, Somalia, Syria, Iran, and Hezbollah and to launch the US on the neoconservatives agenda of US world hegemony.

China and Russia protested but accepted Libya’s destruction even though it was to their own detriment. But Iran became a red line. Washington was blocked, so Washington decided to cause major problems for Russia in Ukraine in order to distract Russia from Washington’s agenda elsewhere.

China has been uncertain about the trade-offs between its trade surpluses with the US and Washington’s growing encirclement of China with naval and air bases. China has come to the conclusion that China has the same enemy as Russia has–Washington.

One of two things is likely: Either the US dollar will be abandoned and collapse in value, thus ending Washington’s superpower status and Washington’s threat to world peace, or Washington will lead its puppets into military conflict with Russia and China. The outcome of such a war would be far more devastating than the collapse of the US dollar.

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wee-weed up's picture

World War Or The End Of The Dollar?

BOTH!!  Anyone with at least 2 functioning brain-cells can see that!

Soul Glow's picture

I think the point of the article is that all the opposition has to do is dump the dollar and they win the war.

Newsboy's picture

Can I do a Rip Van Winkle now?

Ignatius's picture

Can I thank ZH for finally bringing former Asst. Treasury Secretary and a Wall Street Journal Editor, Paul Craig Roberts and his plain talking, on-the-sleave skepticism of 9/11 to the front page.

I tip my hat.

LetThemEatRand's picture

I was reading ZH articles, then I happened upon this one, and I.  Jizzed.  In.  My.  Pants.

Ignatius's picture

The science is overwhelming (with mountains of corroboration) at this point and this may finally 'break' sooner than we think.

Oh, and well spoken as you typically are, LTER.

Paul on the 10th anniversary of 9/11 with James Corbett:  http://www.youtube.com/watch?v=hBOMSj0uNmw&annotation_id=annotation_8783...

BringOnTheAsteroid's picture

I'm not sure anymore about the power elites propensity to start a war. These are the most scurulous and gutless human beings potentially to have ever slithered across the face of the earth and they would be too scared about upsetting the distribution of caviar and French wine to their private islands. They will be snivelling and shaking in their little corron socks worried that their privilege and oppulence may have a set back.

weburke's picture

"gutless" "scared" ? oh my no. You said "power" elites. Different breed. murderous, check. determined, check. vastly organized, check. out of reach, check. unknown, check. The "power elites" have the next few centuries in the bag. preppers have the right idea. i am among them. 

Oh regional Indian's picture

Obviously the US will go before the world does. It's just how the system works.

SOmeone needs to do a nice cover of "The Day the Dollar Died", Buy Buy Mrs. American Pie, The Levy's dry...

and we all know all too well what happens when the Levee breaks...

Or is it when the Levy breaks? ;-)

http://www.youtube.com/watch?v=WbrjRKB586s

ori

Boris Alatovkrap's picture

"If you are liking your petrodollar, you can keeping your petrodollar."

Okay, okay, so maybe many is die and war is ravage wealth of many nation, but Rothschild cabal will not be deny global control.

MeMadMax's picture

I was with this article till he swung off into never never 9/11 land...

HardAssets's picture

So much is designed for you to switch off your mind like that . . . .

including 9/11, global governance, global depopulation agenda, police state spying, US sponsorship of Al Qaeda in Syria, etc.

 

At other times the Tonkin Gulf and pre knowledge of the Pearl Harbor attack were subjects that would create such self imposed blindness.  

Never be unwilling to investigate the evidence and apply logic before making your conclusions. Many of us who at first thought "Oh, that could never have happened." later found out otherwise. Because so many think "That could never happen in America." - - - - it does.

Keyser's picture

Never mind, you're on a roll. It doesn't matter that selective service was phased out in the US 40 years ago... 

 

swmnguy's picture

Every male US citizen between the ages of 18-25 has to register wiith the Selective Service.  If you don't, you're not eligible for college financial aid, federal jobs, or federal job training programs.  And if prosecuted, the penalties are up to 5 years in prison and $250,000 fine.

Now, we don't have an active draft right now and haven't since the end of the Viet Nam War. But we very much do have the Selective Service and it is very much active.  You can see the forms at any US Post Office branch.

BobPaulson's picture

Absolutely. Previous laws are certainly not a predictor to what will happen. The fun thing about laws is that the government can just change them, or as it turns out, violate them. "It's good to be king." When you are in charge of everything, laws are irrelevant.

The most important tool in the warmasters' war chest is mind control. If the populace is more focused on Kim Kardassian that Vladimir Putin, they can fund however many irregular forces they want. Fun facts: that Italian operation funded by the US to destabilize Italy employed Lucky Luciano (http://en.wikipedia.org/wiki/Lucky_Luciano) as primary operative. Crime and drug warz are used as a primary training tool and cash (as in printed notes) revenue source for irregular forces used by the CIA.

Budd aka Sidewinder's picture

Cruiser: I joined the army 'cause my father and my brother were in the army. I figured I better join before I got drafted.

Sergeant Hulka: Son, there ain't no draft no more.

Cruiser: There was one?

BandGap's picture

Or the murder of a sitting US President, in broad daylight, in a major metropolitan area on TV.

When you can get away with that, you can get away with anything.

Who ran against Kennedy in 1960, planned the Bay of Pigs invasion while VP under Eisenhower and was later president? Who was in charge of CIA operations fro the Carribean sector and later became president, and whose son became president?

Magic bullet, indeed.

BobPaulson's picture

Very early on I read "Crossing the Rubicon" and at the time struggled to accept the scale of the accusations it contained. Consider now how far ahead of his time Ruppert was. Poor guy went almost nuts and I am sure they were all over him for outing the CIA drug trade and 9/11.

Crushing his soul and people like him is how they win on the mind control battlefield. He tried to start that community in Oregon to prepare for collapse and I followed that for a while but by then I am sure he was so penetrated by spooks they could do whatever they wanted to his brain.

samsara's picture

Around 2000-2001ish   I found FromTheWilderness.   Mike was a hellofa writer and I agree with what you said.

http://www.fromthewilderness.com/

Found out about Peak Oil,   and the rest.   

Also an early reader of www.dieoff.com back in the day....   

 

 The beginning of a knowledge journey.

Ying-Yang's picture

MeMAdMax... "I was with this article till he swung off into never never 9/11 land..."

All truth and lies are out there. Just look and pick your beliefs.

Begin here http://www.ae911truth.org/

Professional architects and engineers that design and build buildings go through the destruction of the World trade Center buildings on 911.

Do you know the 47 story building 7 came down at 5:20 pm in what looks like a typical implosion?

No airplane hit it. Study this and the rabbit hole opens for you.

sleigher's picture

I liked the logic someone else put forward.  If those towers fell because the steel softened from the airplane fuel, then why is it that every home in america didn't burn down when their kerosene heater's steel "softened" and fell down only to ignite the house?

ATM's picture

Because the heaters are not load bearing thousands of tons of concrete above them?

BobPaulson's picture

Go into your back yard with some kerosene and a thermocouple and see what is the hottest temperature you can obtain without mechanical forced air draft, a refractory enclosure and very careful supervision. If you know anything about combustion and steel, you will know most of the "experts" who waved their hands about the steel softening were full of shit. Ever wonder why one of the most important combustion stories in world history has never once been discussed in the scientific combustion journals like Combustion and Flame?

StupidEarthlings's picture

+911 ;)

Agreed.  Anyone who runs away at the mere mention of 911 is part of a major problem.

 

I did see a vid a while back (cant remember which right now) about the phychology of choosing to believe / not to belive..the "official story".

 

It really shows how peoples minds just wont let them believe the truth. It's crazy.

Hey , I was all gung ho, "lets get the bastids that attacked us" and all that.. I admit, I fell for it. BUT, about 4 years later I remember when It really hit me. The truth. All the pieces fell into place at once. It was a friggin scary ass day for me. My world changed that day.

 

It took me a while I admit, but I can't believe that all these years later , that ANYONE can still believe the so called "official story".

 

Carry on..

The Blank Stare's picture

You must be a pretty kickass 75 yearold republican to like Mad Max

Rafferty's picture

9/11 is the key to everything.  If the truth comes out about that the American people, and the world generally, will be so outraged at what the Permanent Government and the Israelis have done that everything will be questioned.  Nobody will believe anything that TPTB or their presstitue shills in the MSM tell them. I predict that the Fed will be the first up for 'review'.

Captain Chlamydia's picture

Aha, a 9-11 skeptic. From the 'dumb ass official story' corner. Go and wash your mouth please, or go back to your couch to be brainwashed by CNN. But please, don't bother intelligent people on ZH. 

easypoint's picture

I remember. Sweating it out through lotteries that determined whether or not you would go to a jungle on the other side of the world and probably die, not fighting for a cause you understood and believed in, but simply trying to survive your tour and get back home. In my second grade "Weekly Reader" the case for intervention on behalf of the South to help them protect themselves from the evil North Vietnamese "rebels" who snuck across the border and burned the villages of the peaceful South Vietnamese. That was 1961. I was all for it. "We can't let them do that." But, as I later found out, as did everyone, the war had nothing to do with that.

flapdoodle's picture

While the ziocons in the US and EU may be gutless and stupid, their most dangerous trait is that they are incompent, stupid and arrogant enough to start WIII

wee-weed up's picture

...or Washington will lead its puppets into military conflict with Russia and China. The outcome of such a war would be far more devastating than the collapse of the US dollar.

-----------------------------

Russia AND China?

Of course, no US President would be stupid enough...

Oh, wait...

snodgrass's picture

Evidence doesn't matter to Americans. The truth doesn't matter. When a guy Jeb Bush was working with to bring drugs into the country threatened to go public if he didn't get his payoff, Bush told him that there is no constituency for the truth in America. I'm afraid he's right.

NaN's picture

What an architect and government security exposer thinks of WTC collapse:

http://cryptome.org/2014/02/911-secrecy-war.htm

(See link to earlier comments too http://cryptome.org/wtc-collapse.htm )

Anusocracy's picture

Uncle Sam has already had numerous mini-strokes, now it's about time for him to drop dead of a heart attack.

Radical Marijuana's picture

Yeah, Anusocracy, I have also been using that metaphor since the 1970s. However, it always got harder and harder to imagine how anyone could survive through that happening! Perhaps some will, however, in my view what Roberts is describing is what I refer to as us being driven towards Peak Insanities.

For many decades, Uncle Sam has been able to dominate the whole world's money/murder systems, as Uncle Sam was directed to do so by the international banksters. In fact, the money system is based on runaway frauds, while the murder system is based on runaway deceits, which have been feeding back to reinforce each other.

Since money is necessarily measurement backed by murder, the end of the dollar, due to the development of debt insanities, is connected to the threats of that provoking death insanities. The death of Uncle Sam would be an event that could become trillions of times worse than anything previously in known human history. The almost total degree to which both Uncle Sam, and the whole world, is dominated and controlled by lies backed by violence, or frauds backed by force, goes deeper and deeper through the basic ways that people either think, or rather, refuse to think about that ...

Anusocracy's picture

Pathological lying results in a feedback loop. It severely taxes and overwhelms the abilities of the liars.

My guess is that that is true of psychopathic behaviors - a feedback loop that constantly introduces errors that can't be contained.

The Blank Stare's picture

They should make a movie about that. 

flapdoodle's picture

Pathological liars cross the Rubicon when they start believing their own lies. At that point they are transported into a parallel world that almost aligns with reality but requires herculean effort on their part to keep afloat.

Cognitive dissonance results in blindness, but at some point, their efforts to maintain their weltanshaung fail and the realignment is catastrophic... of course, the ones who will pay are us.

 

Anusocracy's picture

As for the demise of the US, having 50 independent states means freedom from a 3.5+ trillion dollar parasite that is redundant with regards to 'useful' state activities, and having to proportionally divide up federal debt.

In foreign affairs, the various states would have to make nice with the rest of the world to survive.

I've made the comment before that for the world in toto, the countries that drastically reduce or eliminate their governments, will be the big winners economically.

The longer the delay before accepting the inevitable pain means longer and harsher pain to endure.

new game's picture

it is like watching a drunk fuck up a perfect marriage with 2 beautifull inocent childern getting trashed.

should i intervene? would anybody listen? feel helpless, but know i have to do something...

SamuelMaverick's picture

Yea , and the drunk degenerate wrecking everything around him happens EVERYDAY, over and over and over again. The human race is a complete mess.

 

                                   Maverick

teslaberry's picture

yea just like france thumped the rentenmark  and the reichsmark. 

 

no . you cannot stop war with money. money is a part of war.

hungarianboy's picture

NATO’s Russian troop build-up satellite images ‘show 2013 drills’

 

Source: http://rt.com/news/nato-satellite-images-drills-712/

HardAssets's picture

Yep, that's what I heard on Republic Broadcasting network yesterday. Thanks for posting the link.

They lied . . . again.

No surprise.

DeadFred's picture

It's the Bush Doctrine of preemptive war coming around to bite on the hind quarters. This thing may not evolve into war step by step the way most believe. If war appears to be inevitable or beneficial the Russians (with or without the Chinese) will strike first. The west has been playing with fire.

Snidley Whipsnae's picture

I don't think so Fred. I believe that Russia would wait until confirmation of a US first strike missle launch and then launch their missles. 

It wouldn't make a hell of a lot of difference... we would all be toast... or, the lucky ones would.

Let's hope it doesn't come to that.

813kml's picture

I dont' think that scenario will come into play, even the nutjobs running the US aren't crazy enough to disregard MAD.  

HardAssets's picture

Not only are they nutjobs . . . . they are insane.

Theyve done studies to investigate their survival in underground bunkers during/after a nuclear war.

They have built arctic seedbanks.

They have written that the vast majority of the world's population of 'useless eaters' needs to be eliminated in 'the great culling', and one of them said he'd like to be reincarnated as a deadly virus and wipe out billions of people.

Yes, they are completely insane.

UselessEater's picture

disaster economics, shock doctorine, weather derivatives

they bank on this

we assume they do not have the inside track on calamities but trades prior raise a logical rational question; are some natural and un-natural events profited from a few days ahead?

see other posts  for links / comments eg at 45 min https://solari.com/blog/breakaway-civilization-part-1-with-dr-joseph-far...

My Master His Royal Virus also loves killing wildlife and apparently prefers only a few whitey slaves on the planet, but his 'good' works support the smart planet concept of Ag21 and vaccines, etc which are slow burn roads to culling - the evidence is there if you take the painful journey to research the money and foundation trails. Dr J Coleman has some good works with original sources (documents written for my masters) if you want to research. btw I'm a bit wary of where Naomi Klien is in this mix following her moves after Shock Doctorine.

What we define as insane appears to be a semi rational intergenerational (risk averse) protection racket spread over time into corporations and foundations allowing the laundering of war and drug money and power bases. It makes sense that falsely "free trade" agreements are constantly manufactured (they are counter free trade, health, essential personal/property rights).they also make a mockery of the biodiversity related legislation supposedly aimed at protecting wildlife (neither wildlife nor food security nor priveta property rights are protected but decimation of legal rights are decimated).

I am rambling, but the deniable culling is in my home town and its more dangerous than the stupid cyclone the media wants to make into a sensational mass murder (stupid cyclone Ita)...after two years of reasearch the same thing in Aust is in the USA and others - worst policies possible for fire management, worst policies for local farmers vs meg-corp famers (who get green trape reductions)....best policies possible for ARUP, Clinto Foundation and other cohorts of the financial arm of the UN called ICLEI - sick of trailing the revolving door cvs and financial contracts with no end to govt bodies. Really fkg sick of ZHrs who say UN Ag21 is a conspriacy while my fkg money pays fot its shit through the VCs on the realted CSIRO boards generated fky calculater to sell to tax payers justifying why they should be removed off beach front properties that are then onsold to developers.

Murder is only useful after the life has been sucked out of the non-socipathic uselesseater. Time to have a sip and check the cyclone. WOOF.