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American Empire on Fire! - Weekly Wrap - June 13, 2014

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TedBits Weekly Wrap                               - June 13, 2014

 
This week’s news certainly WASN’T BORING.  Big events and small add up to unfolding CHAOS around the WORLD. 

This week’s subjects:

  • American Empire on FIRE!

  • Out on a LIMB: Credit Unions facing INSOLVECY

  • Is rising indebtedness a sign of economic strength?

  • Bond YIELDS continue to collapse as the race for yield INTENSIFIES

  • George Orwell in Action

  • Showdown looming at the OK corral!

  • Simply UNBELIEVABLE SOVEREIGN credit market action

  • PHANTOM GDP

  • Rare INDEED

  • Must watch video interview with Charles Nenner

  • European BANKING SYSTEM INSOLVECY

 
American Empire on FIRE!
It is clear that US FOREIGN POLICY and unfolding military weakness is creating a vacuum that is quickly degenerating into what could be the beginnings of World War III.  The biggest victim will most certainly be the US DOLLAR.  Dennis Gartman repeatedly emphasizes the World’s Reserve currency also must be the dominant MILITARY power.  HE IS CORRECT.  They have gone hand in hand in EMPIRES throughout history.  Now the administration in Washington is on RECORD saying we will no longer be the dominant military power.   They have demonstrated this repeatedly over the last 6 years.  Egypt, Syria, Libya, Iraq, Afghanistan, the Taliban prisoner swap, Ukraine, and the South China Sea are abject surrenders to belligerents in one form or another.  Now that these patterns are firmly established, escalation by all can be EXPECTED.  The administration is openly committed to downsizing the military and removing the ability to fight on two fronts around the world.  No American allies can reliably expect the US to honor defense treaties.  They are now written on DISAPPEARING INK!  Some realize it and some are WAKING UP rapidly. 
 
BARELY covered in the Main stream media the news out of IRAQ is of MASSIVE CIVIL WAR.  Al Qaeda has captured the two largest cities after Baghdad.  The Kurds have taken Kirkuk and armies are marching on Baghdad (just 80 miles away) as I write this.  Previously captured territories have handed insurgents many oil fields and billions of dollars from captured banks.  Bottom line is that this country is breaking apart along sectarian lines into pieces: Sunni, Shite and the Kurds. 

 

 
Regional conflicts are spreading like WILDFIRE.  Iraq has broken up.  The idea that the central government in Baghdad will reunite the country and restore order is now just a pipe dream.  Oil is spiking outside recent trading ranges as we speak; Iraq is responsible for over 10% of the oil OPEC supplies to the market.  This production will go the way of the dodo bird just as oil production in Libya has done. What price will oil have to go to ration demand by this amount?  Only God knows.  Go fill up your GAS tanks today.  This is GOOD NEWS for Vladimir PUTIN and RUSSIA!
 
The President ABANDONED IRAQ early in his administration and now all the US spent in BLOOD and treasure is GONE.  The same fate awaits the US in Afghanistan.  The very idea that the US has returned the most bloodthirsty and ruthless commanders of the Taliban to the battlefields in exchange for a DESERTER foretell hundreds if not thousands of deaths and casualties in the near future.   Americans are now targets for kidnapping as a result of this insanity.   He said it was because we leave NO MAN BEHIND.  To that I say what about Benghazi?  New information from a retired commander reveals troops were on alert in Germany, with transport at hand, 3 hours away and where told to STAND DOWN.
 
The president has conducted the foreign and military affairs of the US in a political rather than practical manner since his inauguration, and PREDICTABLY the world is descending into CHAOS as a result.   If you think China or Russia is going to retreat you should reconsider. These challenges are set to continue.  You can predictably expect the president to retreat from them all.  As continued US military weakness unfolds you can expect the dollar to go right along with it.  THIS IS BIG NEWS; tattoo it to your brain.
 
Out on a LIMB
As new peaks in leverage accumulate, the firms in the line of fire when the leverage FAILS rises. The Credit Union industry is becoming EXTREMELY vulnerable as long term assets most vulnerable to CAPITAL losses are at dangerous highs of 36% of assets an all-time high.

 
Just another reason that I don’t believe interest rates will ever be allowed to rise appreciably.  The solvency of the financial system would be challenged, and the Federal Reserve has been very vocal in its commitment to the stability of the financial system which is operating in insolvency if properly measured.  Any back up in financial asset valuations would blow it up.
 
Everybody is talking and anticipating higher rates but, I ask you, from where is the income to pay the coupons going to come?  There is over $12 trillion dollars in M1 in one form or another.  The on the books liabilities of the US government top $17 trillion dollars. Combined it is $29 trillion (29 million million).  A 2% overnight rate would require additional payouts of $580 billion a year.  There is no income available to pay these yields.
 
Is rising indebtedness a sign of economic strength?
Last week we learned that consumer borrowing leapt higher in the last two months.  It was reported as GOOD NEWS.  Do you really believe it is good news when consumers borrow money for student loans and cars they cannot afford?  For whom is it good news?...  Overpriced and underperforming universities and auto dealers.  20 to 30% of all auto loans are subprime and virtually NO underwriting is done for student loans which have leapt higher. (Chart courtesy of www.zerohedge.com)

 
This is not good news, but will be reflected as exploding GDP.  To the main stream media and government in a debt slave society, the further we go into debt the better the news.  IT FEEDS THE ILLUSION of GROWTH.  All growth today is debt in disguise.  My good friend Gordon T. Long gave me a story of a friend of his whose son was buying a car.  Thinking that he would have to cosign for the lending, the father accompanied his son (a student) who had picked out a $32,000 dollar vehicle.  Upon entering the manager’s office the young man was asked to present his driver’s license and social security number.  A few minutes later he was approved and signing the papers without any cosignatories or parental guarantees. 

Although car sales are booming very little is mentioned that 20 to 30% of all car sales are to sub-prime borrowers.  And, in this case, very little qualifications for purchase.  Apparently, underwriting has gone the way of the dodo bird.  This will be a debacle as the rise in car sales has driven a rise in sub-prime borrowing and leasing.  CREATING Asset backed securities for those reaching for yield. 

Shades of 2003 to 2007 housing markets.   Imprudence is celebrated while living within ones means is not to be encouraged.
 
Bond YIELDS continue to collapse
The reach for yield knows no limits as spreads continue to collapse while REAL economic growth continues to collapse.  Spain’s 10 year note just dropped 2 basis points below US treasuries.

Don’t miss this video from this morning’s squawk box with Mark Grant outlining why interest rates have only one way to go: Down.  I am in complete agreement. Fire hoses of hot money battling for yield.  Insanity is afoot.  http://video.cnbc.com/gallery/?video=3000282612
 
George Orwell in Action
President Christina Kirchner Creates a Secretary of National Thought for Argentina:
 
Belén Marty writing at panamapost.com, June 9:

On Tuesday [June 3], President of Argentina Cristina Kirchner appointed the philosopher and ruling-party supporter Ricardo Forster as head of the Secretariat for Strategic Coordination of National Thought, an entity that will fall under the purview of the recently created Ministry of Culture. . . .
 
Forster, who holds a Ph.D. in philosophy, is one of the founders of Carta Abierta, a loose group of intellectuals from different disciplines who support the Kirchner's administration policies. Before being appointed National Thought Secretary, he ran for a national deputy seat as a Front for Victory (FPV) party candidate. . . .
 
In 2011, Forster had expressed his discontent with the designation of 2010 Nobel Prize winner Mario Vargas Llosa as Buenos Aires' book fair commencement speaker. "The Book Fair needs a plural, democratic voice, and Vargas Llosa today represents a huge provocation from the free-market right-wing, having uttered harsh criticisms about Argentina," Forster said at the time.
 
Isn’t this right out of George Orwell?  Socialists and Marxists impoverishing and controlling every aspect of life they can GRASP including your thoughts.  Argentina is just a short step behind Venezuela in this process of Socialist/Marxist societal destruction and totalitarianism.
 
Showdown looming at the OK corral!
As elites gather to Harpsund, Sweden to DECIDE who the next EU president, a firestorm is brewing as the CONSUMATE Socialist insider Jean-Claude Juncker ANNOINTMENT is being challenged by our friends in the UK.  David Cameron can read the numbers and the UKIP shot across the bow has stiffened his spine in resisting the irresistible force of elites driving the process of gathering power to the central government in Brussels.  Juncker is their inside guy. A true soldier for the socialists and would be totalitarians they aspire to be.
 
The Harpsund agreement is the blueprint for the next 5 years, the consummate BACK ROOM DEALS crafted WITHOUT regard to others whom have been newly elected.  These people are the group working for centralized control and against freedom and competition.  The whole idea behind the EU is socialist/Marxist/fascist control of the continent in all respects.  But, most importantly, in charge of the money and economies (allocating demand) with the elites behind it as beneficiaries.  It has been this way for decades, but now they smell the end zone and nothing will stop them, not even their constituents.
 
Britain is resisting this and they should, as to acquiesce to this villainy is to be assigned a back seat at the table.  France looks to Brussels to redistribute finance from London to Paris.   In socialist countries, demand is distributed to favored groups.  It does not flow to those who serve their customers in the best manner.  The ones who serve customers the best are what else: REGULATED OUT OF BUSINESS!  

Incentives to produce were extinguished throughout the continent decades ago.  It is why Europe cannot grow, produces few if any tech companies such as Google, Facebook, WhatsApp, Uber, etc.  Entrepreneurs are mostly extinct on the continent, and under direct assault in the US where private industry is NO LONGER TRUSTED by the big government progressives inside Washington DC (District of Corruption), Brussels and European capitals.  Anyone who knows Europe knows the impossible barriers put up to new businesses and interference with the employer/employee relationships so that virtually no hiring and firing can take place.  Euro sclerosis is now becoming America sclerosis.
 
In socialist countries which do not respect markets and capitalism, the only way to success is to export your own poor policies onto that of your competitors.  Placing the same hobbles plus a little bit more onto them.
 
Brexit is but a matter of time as Brussels redistribution of financial business from the city to the continent will be relentlessly pursued by the morally and fiscally bankrupt European commission.   Sooner or later the UKIP will take control in an act of sovereign SELF PRESERVATION!
 
Simply UNBELIEVABLE SOVEREIGN credit market action
Globally the carry trade is combining with HOT money, and the global panic for yields is sending RISKY sovereign debt to insanely low levels. 
 
“The ECB's easy money continues to lift up the euro-zone bond market”
"People are desperate for yields in a low-yield world." 

- Robin Marshall, Smith and Williamson investment management

 
Take a look at this shocking turn of events:

 
The Verifiably insolvent countries of Japan, Spain, Ireland and France trading BELOW US 10 year rates.  Certificates of confiscation.  Based on these metrics EUROPE’S future is less RISKY than the US.  IT COULD BE TRUE!  Germany’s low rates I can understand as it is verifiably the most fiscally prudent country in the developed world as well as being the capitalist powerhouse of prudence in the EU.  Its small and medium size enterprises are well tended by its leaders, creating the conditions and incentives for small business to thrive.  Germany truly understands business and growth come from the private sectors and incentives of individuals.
 
Reforms to these countries regulations and taxes HAVE NOT and will not occur with rates at these levels and the urgency to do so is nonexistent at this point.  Just another nail in the coffin of the EU.
 
PHANTOM GDP
It does not matter where you look, public servants always can be counted on to find new and imaginative ways to fool the useful idiots among us.  Last year, the US found new and imaginative ways to BOOST GDP with the stroke of a pen and the Europeans are doing so today.  Now underground economies such as sex, smuggling and drugs are about to boost GDP across the Eurozone. 

 
None of this adds to government revenues, most is just a guess of statisticians looking for main stream media headlines to FEED the populations.  Of course, it reduces debt to GDP calculations allowing them to borrow more and still hit EU policies.  If these changes where adopted in the US, a 3% increase would appear.  Look for it to happen soon.  Just another politically correct, but practically incorrect, economic stat.  NOTHING NEW!
 
Round and round we go and where this stops nobody knows.  Junk bombs er bonds are making all-time lows as I write this.  Much more to come as it appears that all the money printed out of thin air in the last 6 years looks to be coming off the sidelines.   
 
In my opinion, the greatest manmade disaster and OPPORTUNITY in history is unfolding in every corner of the world.  Are you diversified or operating with EYES WIDE SHUT?  Are you prepared to turn it into opportunity by properly diversifying your portfolio?  Adding absolute return investments which have the potential to thrive (up and down markets) regardless of what unfolds economically?  This is what I do for investors; help them diversify into investments which are created to potentially thrive in the storm.  For a personal consultation with me CLICK HERE!
 
Rare INDEED
Complacency reigns supreme and all time extremes in many measurements continue to PILE UP.  Take a look at this chart courtesy of www.zerohedge.com;
 

 
Quoting ZEROHEDGE:  “Investors have never been less bearish or expectant of a correction.” 

Now let’s look at a short quote from Peter Eliade’s of www.stockmarketcycles.com:
 
“There are several other arguments to bolster the case for the possibility of an important top here. The latest survey from Investors Intelligence (investorsintelligence.com) reports:

‘Another higher reading showed the bulls to 62.2%, up from 58.3% a week ago. It was the fifth straight reading above the cautionary 55% level and the first in danger territory. It also just exceeded the 61.6% reading that ended 2013. Prior high levels were shown in August 1987 (60.8%), October 2007 (62.0%) and December 2004 (62.9%), after large rallies and ahead of sizeable corrections.’
 
Note that there is more outright bullishness now than there was in October 2007 just prior to one of the greatest bear markets in history. The evidence is too great to ignore. Although we must allow for the possibility that this is not a final top, there is a high confidence indication that if it is not the final top, it should still be a top of some significance.” 
 
Thanks Peter.  I recommend his publication to all.  I remember listening to Peter when I first started my career in 1981 on the Financial News Network. 
 
The types of reading we are seeing throughout the markets in sentiment and volatility typically precede the final top by up to 6 to 8 months.  They do not normally signal an immediate final high.  The advance decline line would also say this is not the final high as it has confirmed recent prices with no bearish divergences.
 
Video interview with Charles Nenner
Do not miss this video with Charles Nenner from www.USAwatchdog.com .  He talks about gold, the economy, the dollar, inflation, Deflation, and unfolding wars.  He is one of the foremost cyclical experts in the world.  Enjoy…
 
http://www.youtube.com/embed/ME9TikqlKR4
 
Quoting Nenner: “In Cyprus, there was an example made that they could just confiscate your money.  I am very worried about it (bail-ins).  A couple of years ago, I said we should start a new crisis in 2014, and it will end in 2020.  God only knows what governments intend to do.  I think they should just leave the market alone, but they are not going to do it.  So, they are going to make things worse.”  
 
Plan accordingly; he has been incredibly accurate in the past.  His scenario for the dollar fall right in place with the demise of the American military outlined in the first vignette of this missive.
 
BANKING SYSTEM INSOLVECY
We have a short video from CNBC Europe outlining the toxic nature of European banks.  This woman KNOWS her stuff and you should pay close attention or you could be CYPRESSED.

http://video.cnbc.com/gallery/?video=3000282359
 
In fact, if you are in large parts of EUROPE you can count on being CYPRESSED.
 
In closing, the world is morally and fiscally BANKRUPT.  A man made disaster.  Nothing will stop the unfolding calamity.  This episode is the greatest in history and the collapse will be as well.  The opportunities are as great as the pitfalls.  Stay alert, use applied Austrian economics to protect, preserve and build your wealth (and I don’t mean just mining stocks).  If you are a high net worth individual who wants to use APPLIED Austrian Economics and store your portfolio in excellent REAL wealth that cash flows please give me a call. The greatest transfer of wealth from those who hold it in paper to those who don’t is on the horizon.  We are simply waiting for people to wake up. Rest assured, they will.  
 


Don’t miss the next edition of TedBits: America on the edge of a knife series. Or next week’s wrap.  Subscriptions are free.  I hope you enjoyed this info.  It is a compendium of my daily exercises on the new www.Tedbits.com  BLOG.  Check us out!  Far from being the doldrums of summer, the news is heating up.


Thank you for your time,  Ty

 
 
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Fri, 06/13/2014 - 18:06 | 4855063 rsnoble
rsnoble's picture

Burn bitch burn! lol.

Fri, 06/13/2014 - 18:15 | 4855026 Radical Marijuana
Radical Marijuana's picture

As usual, I thought that was a relatively good article, which understated the situation:

"In closing, the world is morally and fiscally BANKRUPT.  A man made disaster.  Nothing will stop the unfolding calamity."

The ruling classes are more aware of the problems of exponential growth based on strip-mining the Earth's natural resources than are those they rule over. Since the vast majority of the people being ruled over have been deliberately reduced to being incompetent political idiots by those who rule over them, there appear no other politically possible "solutions" to the problems than the only ones which have actually been prepared, which are to mass murder the majority of world's population.

It would take a series of technological and political miracles to prevent the exponential growth overshooting from resulting into a collapse into chaos that kills off the majority of the world's human population. Indeed, if the worst of the possible ranges of predictions end up being correct, then the consequences will be even worse than most of the ruling classes themselves could survive either.

This kind of article is still looking at the relatively short-term to medium term nature of the problems, and possible responses to those. Good enough as that goes. However, the bigger problems in the longer term make pretty well all of those attitudes appear like just more evil deliberate ignorance. It is NOT possible to exaggerate the degree to which civilization has been controlled by lies, backed by violence, which technologies have amplified trillions of times.

There is nothing within the established frames of reference that can cope with the basic social facts that civilization is almost totally dominated by systems of legalized lies, backed by legalized violence, which have become stark raving MAD! The fundamental mechanisms of enforced frauds continue to control civilization, in ways which always result in that behaving in more criminally insane ways.

The industrial revolution has taken the potential of science and channeled that through applications of technology to enable lies and violence to be magnified by many orders of magnitude. Since the short-term successes of backing up lies with violence constantly worked, and continues to work now, and for each individual increment in the foreseeable future, civilization will continue to automatically become more criminally insane, as it becomes even more controlled by lies backed by violence.

There is nothing which can practically prevent the runaway systems from continuing to develop their enforced frauds, whereby "money" is made out of nothing to "pay" for strip-mining the planet. Actually, those fraudulent financial accounting systems are NOT "paying" for anything, but are only the runaway triumph of backing up lies with violence, controlling civilization to behave in ways which automatically become more insane every day!

Furthermore, there are no good reasons to doubt that that series of short-term expediences of controlling civilization through enforced frauds will not continue to get worse, faster, since there continues to be nothing which can actually stop systems of lies backed up with violence from prevailing. The longer term consequences will continue to be deliberately ignored, discounted and disregarded, due to the endless series of emergencies caused the the accumulating consequences of actually controlling the world with lies backed by violence.

The future of the human species is primarily going to be the result of science and technology pumping up the established systems of enforced frauds to even more astronomical sizes, so that they will be thereby set up to collapse into chaos even more spectacularly. All around the world we are starting to see the signs that the strip-mining of the planet's natural resources are reaching the real limits of diminishing returns. Since all of that economic activity was done through fundamentally fraudulent financial accounting systems, there was never anything remotely close to a realistic accounting.

It is also way too late to try to go back to any accounting systems that were slightly less dishonest, because they were backed by commodities which could not be created out of nothing, like the fiat money-as-debt was. Although I agree that "the American Empire is on fire," the overall situation is way worse than merely that, because it is practically impossible to imagine how any other system could be built that did not continue to be based on lies, backed by violence, as human nature continues to flow along its own paths of least moralities.

It would take a prodigious series of technological and political miracles, in which the political miracles were even more important than the technological miracles, for civilization to overcome being controlled by huge lies, which have driven it to behave in criminally insane ways towards its own longer term future. While I sympathize with those who continue to do their best within the currently established systems to attempt to find personal short-term and medium term solutions to these runaway problems caused by living inside of a civilization so totally dominated by enforced frauds that it has become quite criminally insane, there is nothing really there which is sufficient.

The ruling classes are the most criminally insane of all, and the only plans which they have actually prepared for those real problems are for more genocidal wars, along with imposing democidal martial law. Given that those ruling classes have already mostly succeeding in turning the majority of the human population into Zombie Sheeple, who do not want to understand their real problems, there are no other practically possible and predictable resolutions to the problems of exponential growth overshooting in catastrophic ways than for the majority of the human population to be murdered in one way or another, as those essential problems will automatically get worse faster in the foreseeable future.

Even IF there were some series of more basic science breakthroughs, and corresponding technological achievements, without matching political miracles regarding the basic understanding of human civilizations as energy systems inside of the natural world, then any other technological miracles would still only end up making things get still worse. The basic political miracles would require enough people understanding how and why they ended up living in a civilization that was controlled by governments becoming the biggest forms of organized crime, dominated by the best organized gangs of criminals, and responding to that in more scientific ways, based upon intellectual scientific revolutoins throughout the whole of that set of interrelated perceptions of those those problems, guiding radically different behaviours based on those radically different perceptions.

The basic problems which the human species faces are that technologies have become trillions of times more powerful, while that has been channeled through social pyramid systems which were based on backing up lies with violence, during which recent times the Anglo-American (Zionist) Empire became the greatest single manifestation of those legalized lies, backed by legalized violence, dominating a globalized civilization able to operate electronic frauds, backed by the force of atomic bombs. Everything that civilization is doing is based on the series of short-term successes of enforced frauds. Everyone who is living inside of that system tends to take that for granted, and therefore, to seek personal success within those established systems. However, as a whole, those systems have become criminally insane, but since they dominate the civilization, everyone who seeks for personal solutions to those problems ends up still having to operate inside of that overall criminally insane frame of reference.

Fri, 06/13/2014 - 16:47 | 4854582 TeethVillage88s
TeethVillage88s's picture

Interesting Point Question on Article

http://www.washingtontimes.com/news/2014/jun/13/us-defense-department-st...

If Defense is preparing for mass unrest why?

- Economic Decapitalization
- Stagnant Capital
- Looting of US Corporations & Jobs by Private Executives
- Looming Inflation, Food Shortages, Water Shortages, Electricity shortages, Infrastructure Breakdowns, Credit Shortages
- Influence of Money on Military & Government become Feloniously Obvious
- Felonious Conflicts of Interest in Congress
- Fixed Markets, Fixed Prices in What is supposed to be a "Free Market System in a Limited Democracy where we don't vote or control Federal Budget Increases, Vote for War, have any Referendums, Have Legitimate Presidential Debates, have former military Leaders that will stop Congressional Looting, have either Public or Private leaders Take Responsibility for things
- The Fact that we have some kind of Cartel running our Federal government which is also federalizing the states through federal funding, influence, and legislation
- The fact that we have so many taxes we can't really add up all the places where our purchases are inflated due to taxes
- The fact that wealthy people seem to be able to hide money to reduce their taxes, or corporations can increase expenses to reduce profits to avoid taxes while enjoying the perks and outrageous compensation while cutting payroll of Main Street
- Unemployment payments of $73 billion seem to be Supplemented by additional $26 Billion
- SNAP Payments are now $83 Billion and combined with WIC looks like $109 Billion
- federal Training & Employment Services = $3.48 Billion
- Payment earned income credit tax 2013 = $57.5 Billion
- Payment Child Tax Credit 2013 = $21.6 Billion
- Total Medicare & Medicaid 2013 = $1.113 Trillion
- More Foreign Investment North of $3 Trillion, where Domestic Investment is less
- Corporate Tax Rate 2013 = 14.4%

What is there a problem somewhere??

Fri, 06/13/2014 - 15:33 | 4854564 blueb
blueb's picture

Mark Grant saying that lower interest rates are what is needed to get the economy on track (see CNN video above) is simply crazy!

Just look at Japan with the lowest interest rates on the planet... How's that working for them!

Fri, 06/13/2014 - 14:41 | 4854341 cobra1650
cobra1650's picture

If you want to write a legitimate article do not quote Dennis Gartman.

Fri, 06/13/2014 - 12:38 | 4853334 rwe2late
rwe2late's picture

The contention made at the beginning of the article

that the foreign and financial (petrodollar) problems result from a lack of commitment to militarism is false.

Any implication that those problems would go away or be improved with a greater commitment to militarism is also false.

Instead, foreign turmoil and financial malaise are both attributable to excess militarism

and resources ill-used in the service and reward of corporations and oligarchs who benefit from

warfare, corruption, and exploitation.

Sat, 06/14/2014 - 00:46 | 4855928 TheReplacement
TheReplacement's picture

I disagree on that.  Here is why.  Our past militarism enforced an tenuous but fairly manageable peace throughout the middle east.  We are withdrawing.  Things are coming apart without the American glue. 

I'm not saying we should go in, just that what we are seeing is the result of militarism and then the retreat from it.  From the point of view of TPTB, militarism might be the best option.  Of course that is one thing of which we are all afraid.

Fri, 06/13/2014 - 18:05 | 4855060 Radical Marijuana
Radical Marijuana's picture

What is militarism but organized crime on a large scale?

What is successful warfare but backing up deceptions with destruction? Therefore, the basic nature of civilization was that the whole process was built on the foundation of militarism, which is the ideology of the murder system.

The core characteristic of all our problems are apes with atomic bombs. The War Kings segued into the Fraud Kings. The real world is controlled by the enforced frauds, operated by the people who were the best at being dishonest and backing that up with violence. While that may have been survivable for apes tearing up the jungle, beating up other apes with clubs, after the technological advances of the industrial revolution, the technologies available to apes to go ape-shit have been magnified trillions of times.

The whole world is facing the deeper dilemmas due to the success of controlling civilization with enforced frauds, or the runaway successes of militarism backing up the monetary systems, which are all based on the ability to enforce frauds.

The only genuine better solutions require a series of political miracles, whereby enough people go through enough profound paradigm shifts in their perceptions of politics, which can be applied to the combined money/murder systems, so that radically different death controls can back up radically different debt controls. That is, the better resolutions to our problems require better militarism more than anything else.

We should develop better ideologies to operate our murder systems, which are more consistent with the existence of weapons of mass destruction, which better murder system ideologies were consistent with the sciences that make those weapons systems possible. Of course, none of those series of political miracles appears to be remotely possible at the present time. However, I could continue to assert that the only better resolutions to our problems require better militarism, as the ideas which operate better murder systems.

Fri, 06/13/2014 - 13:00 | 4853745 Anusocracy
Anusocracy's picture

Yes. He lauds the benefits of the "hands-off" approach of Germany towards its businesses but expects the US military to be "hands-on" in its trashing of countries throughout the world.

The world needs laissez-faire, not continued aggression.

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