This Crisis Was Foreseeable … Thousands of Years Ago

George Washington's picture

We’ve known for 5,000 years that mass spying on one’s own people is always aimed at grabbing power and crushing dissent, not protecting us from bad guys.

We’ve known for 4,000 years that debts need to be periodically written down, or the entire economy will collapse. And see this.

We’ve known for 2,500 years that prolonged war bankrupts an economy.

We’ve known for 2,000 years that wars are based on lies.

We’ve known for 1,900 years that runaway inequality destroys societies.

We’ve known for thousands of years that debasing currencies leads to economic collapse.

We’ve known for millennia that torture is a form of terrorism.

We’ve known for thousands of years that – when criminals are not punished – crime spreads.

We’ve known for hundreds of years that the failure to punish financial fraud destroys economies, as it destroys all trust in the financial system.

We’ve known for centuries that monopolies and the political influence which accompanies too much power in too few hands are dangerous for free markets.

We’ve known for hundreds of years that companies will try to pawn their debts off on governments, and that it is a huge mistake for governments to allow corporate debt to be backstopped by government.

We’ve known for centuries that powerful people – unless held to account – will get together and steal from everyone else.

We’ve known for hundreds of years that standing armies and warmongering harm Western civilization.

We’ve known for 200 years that allowing private banks to control credit creation eventually destroys the nation’s prosperity.

We’ve known for two centuries that a fiat money system – where the money supply is not pegged to anything real – is harmful in the long-run.

We’ve known for 200 years that a two-party system quickly becomes corrupted.

We’ve known for over a century that torture produces false and useless information.

We’ve known since the 1930s Great Depression that separating depository banking from speculative investment banking is key to economic stability. See this, this, this and this.

We’ve known for 80 years that inflation is a hidden tax.

We’ve known for 79 years that war is a racket that benefits the elites but harms everyone else.

We’ve known since 1988 that quantitative easing doesn’t work to rescue an ailing economy.

We’ve known since 1993 that derivatives such as credit default swaps – if not reined in – could take down the economy. And see this.

We’ve known since 1998 that crony capitalism destroys even the strongest economies, and that economies that are capitalist in name only need major reforms to create accountability and competitive markets.

We’ve known since 2007 or earlier that lax oversight of hedge funds could blow up the economy.

And we knew before the 2008 financial crash and subsequent bailouts that:

  • The easy credit policy of the Fed and other central banks, the failure to regulate the shadow banking system, and “the use of gimmicks and palliatives” by central banks hurt the economy
  • Anything other than (1) letting asset prices fall to their true market value, (2) increasing savings rates, and (3) forcing companies to write off bad debts “will only make things worse”
  • Bailouts of big banks harm the economy
  • The Fed and other central banks were simply transferring risk from private banks to governments, which could lead to a sovereign debt crisis

Postscript:  Those who fail to learn from history are doomed to repeat it … and we’ve known that for a long time.

 

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VWAndy's picture

It all comes down to the will to stand up and say no. And mean it. Why would any bully stop? They wont and we all know it.

 So the question is how do we stop them once and for all?  Let me say it real slow.

 A c o u n t a b i l i t y

 Every last person by the same standard. Not one of us can stop this by ourselves. Nothing could stop us all.

 

 YOUR GOD EXPECTS YOU TO WIPE YOUR OWN ASS!

 Even now some of us are thinking/dreaming of things that cannot work. A gold standard? That is laughable. Bitcoin? Is an insult.

 If we play our cards right we might get one shot.

 The only thing that matters to an honest person about our monetary system is what actual value our labor has. Fix the actual value of the coin and I dont care who makes it. So long as its value is sound/stable over time.

 

 Its time we all demand to be paid in a coin with a fixed value. This shitshow has gone on long enough.

 

 

TheShadowKnows's picture

The 2 most significant effects of Shariah law on Islamic finance are the restrictions on:

http://islamicinvestmentnetwork.com/sharialaw.php

 

And you all thought Shariah was just about stoning and beheading. Hmmm, I wonder who wants you to think that.

tarsubil's picture

1500 years we've known two party system sucks.

http://en.wikipedia.org/wiki/Nika_riots

loregnum's picture

We've known since the dawn of the human species that humans are by and large idiots and never learn anything from life experiences. See all of the above and in more direct cases people who make the same mistakes over and over never actually cluing in or adapting. 

If it weren't for the select few throughout time who were truly brilliant and basically carried the species on their shoulders (like all of the amazing inventors that have existed) then the species would have ceased to exist a long time ago. 

limacon's picture

It only depends on who lies the best .

Politicians today can only avoid the truth , and think that a lie .

 

You are about 3 times richer than you think .

See

https://www.academia.edu/9405720/The_Economics_of_Disrespect_Update_I

or

http://andreswhy.blogspot.com/2014/11/the-economics-of-disrespect-update...

JoJoJo's picture

Going back even further we have known that one man,Cain, could kill another man,Abel, because he was dissed - by God in this case.  Michael Brown was dissed just like Hitler, Stalin, Hirohito, etc. As long as man's pride can be challenged there will be wars and rumors of wars - then comes the end

 

NoWayJose's picture

And the reason we know all of this is that the leaders of the various times faced similar problems while governing - and were either corrupted by the real powers, or the leaders took the easy path rather than the best path.

Bumbu Sauce's picture

I read Ecclesiastes as well.

failsafe's picture

someone once said that we ptretty much  know all we need to know to solve a lot of our biggest problems but apparently lack the willingness to do so

Baa baa's picture

The lack of discipline among younger Americans in particular but it really extends to all of us to some degree. Without discipline, we are the sheep the elite choose to mistreat. Make up your mind and see it through. The experience is empowering.

failsafe's picture

ditto on good post

Ignatius's picture

"We've known, we've known...etc., etc.."

Let's face it, humanity are slow learners.

A good piece of the reality, though, is active obfuscation of what we know by them that benefit from this ignorance.

BTW, good post, GW.

rsnoble's picture

And yet here we are.

Common default: human.

Baa baa's picture

Humans are not now nor will they ever be "Perfect". That is the sole domain of God.

We have to struggle to learn and survive. It's good for the species.

TulsaTime's picture

Dear George- In connection with our expanding police state, did you hear about the DHS and FPS vehicles in a Ferguson area hotel? We know they would have to stay someplace....

http://www.dailymail.co.uk/news/article-2839696/Hotel-worker-fired-calle...

stiler's picture

As is done,

let it be done to you.

For God has said,

your dealings will return

upon yiour own head.

 

https://www.youtube.com/watch?v=7g5YDKRL7ec

http://www.jihadwatch.org/wp-content/uploads/2014/11/Imran-Firasat.jpg

ramacers's picture

means nuthin' in the Rube Nation.

blindman's picture

.."It is not light that we need, but fire; it is not the gentle shower, but thunder. We need the storm, the whirlwind, and the earthquake."
Frederick Douglass

Read more at http://www.brainyquote.com/quotes/authors/f/frederick_douglass.html#Hzaa...
.
http://www.historyplace.com/speeches/douglass.htm
.
http://www.pbs.org/wgbh/aia/part4/4h2927.html
"....What, to the American slave, is your 4th of July? I answer; a day that reveals to him, more than all other days in the year, the gross injustice and cruelty to which he is the constant victim. To him, your celebration is a sham; your boasted liberty, an unholy license; your national greatness, swelling vanity; your sound of rejoicing are empty and heartless; your denunciation of tyrants brass fronted impudence; your shout of liberty and equality, hollow mockery; your prayers and hymns, your sermons and thanks-givings, with all your religious parade and solemnity, are to him, mere bombast, fraud, deception, impiety, and hypocrisy -- a thin veil to cover up crimes which would disgrace a nation of savages. There is not a nation on the earth guilty of practices more shocking and bloody than are the people of the United States, at this very hour." f.d.
.
http://www.pbs.org/wgbh/aia/part4/4h2927t.html
.
God speed the year of jubilee
The wide world o'er!
When from their galling chains set free,
Th' oppress'd shall vilely bend the knee,
And wear the yoke of tyranny
Like brutes no more.
That year will come, and freedom's reign,
To man his plundered rights again
Restore.

God speed the day when human blood
Shall cease to flow!
In every clime be understood,
The claims of human brotherhood,
And each return for evil, good,
Not blow for blow;
That day will come all feuds to end,
And change into a faithful friend
Each foe.

God speed the hour, the glorious hour,
When none on earth
Shall exercise a lordly power,
Nor in a tyrant's presence cower;
But to all manhood's stature tower,
By equal birth!
That hour will come, to each, to all,
And from his Prison-house, to thrall
Go forth.

Until that year, day, hour, arrive,
With head, and heart, and hand I'll strive,
To break the rod, and rend the gyve,
The spoiler of his prey deprive --
So witness Heaven!
And never from my chosen post,
Whate'er the peril or the cost,
Be driven.

Baa baa's picture

Pretty sure a fella has to die before collecting on thise perks. Live right, love God and pray. You'll get through this just fine.

blindman's picture

it is mainly not myself that i am concerned with
or worry about. in a way, i am already through this,
just fine, almost, as you say.

Clesthenes's picture

“We’ve known for 200 years that allowing private banks to control credit creation eventually destroys the nation’s prosperity.”

This must be an error.  Did you mean, “We’ve known for 5,000 years that allowing tyrants (thru bureaucrats) to wield unaccountable power (in this case, “to control credit creation”) eventually destroys a nation’s prosperity”?

Let’s not forget that the centralization of all credit into the hands of the coercive state (that is, into the hands of unaccountable bureaucrats) is a plank of the Communist Manifesto, and is an essential requirement before rule by thieves can be established.

And this brings up the question, ‘How can we make unaccountable bureaucrats accountable for the ruin they cause?’

Perhaps we could employ a historically-proven method for the purpose.  Americans have this power; but they REFUSE to use it. 

There are three main reasons for this failure: one is that Americans have no knowledge of such power; the second, they’ve been herded into a kind of impotent stupor by medication and indoctrination; the third, that they aid, benefit or were complicit in such evil.

There’s a remedy for all three of these failures: 1) learn, and use, the law and procedures of redress (full article); 2) follow a health regimen that has REDUCED – not slowed – my biological age 50 years (it also un-does the damage done by medication and indoctrination); and, 3) see number one.

This health regimen has given me the coordination, health and physical condition of a professional athlete around the age of 20; I’m 70 years of age (for validation, video and webpage – each leads to the other).

 

Without the knowledge of historically-proven facts and methods I suggest, Americans would not know what to aim at, nor how to achieve it.

Clesthenes's picture

Ah, I see that 2 (at least) bureaucrats have read my comment (as of time of this post).

VWAndy's picture

This shitshow only seems like kaos. Its not. Remember that. Nothing about it is kaotic.

 One jacked up thing after another all according to a plan. It all rides on a monopoly of force. There can be no such thing as a monopoly of force. Only a willingness to use force. Like a Mike said. Everybody has a plan until they get punched in the face.

 Kaos is not nessasarily a bad thing. It is the essance of a truly free market and it does work on every level. It favors the smart and the hard working. It favors the brave and those with all the best human qualities. Like integrity and honesty.

 This brings me to fear. What are we so affraid of? Reality? Honest people dont fear the truth. No we are affraid of the unknown.

  The truth is the statist will not take part in a fair fight when the outcome is not known. Because they are chicken.

Another story from my youth.

 First week at a new school I walk out onto the playground to find my older brother being punked by three bullies his age. I walk right up and seperate one of them with a forarm shove. He paniked,I stepped on his foot and shoved him down hard. My brother said to the other two. Watch my little bro whip your friend fast. The second the one in the middle looked my brother hit him right on the ear. We then chased down the third and thumped him too. Fear was thier tool and thier weakness.

 They could have regrouped and cought me three on one any time. But no, fear kept them in check. Basicaly bullying stopped at that school for me and my brother. The social order was changed even tho it was kaos. Things went fairly smooth because the monopoly of force was proven false. Not that it was true before but that everyone understood it was not so. Sure there was still some bullying going on but in no way at the scale it was before. 

 Kaos allows a more level field because its an unknown. TPTB get away with a lot of stuff because they can. It comes down to our willingness or lack of it. Two can play that game.  

 This is all about the theft of the fruits of our labor. Take that away and they got nothing to use against us. Our fear is real and so is thiers. The catch is they have much more too fear than us. One misstep on thier part and its all over for them. They are dependant on a fiction. The monopoly of force. Take thier abillity to use force away by holding out our labor. I dont think they will ever give us a fair fight. Why should we fight on thier terms anyway. We should fight on our terms. Do it yourself Mr krugmen. Oh thats right you cant. They need others to do it for them.

 The people with the best human qualities are holding it up. Not TPTB. They only tear things down. We built them this monster.  

Baa baa's picture

I'm sorry but your post reminds me of Kaopectate and I took it from there. Had a good laugh, not at your expense.

kchrisc's picture

Note: I'm not pushing religion or belief here, but referring to a historical text/account.

Jesus' enemies and the ones that controlled the court and the court's outcome were Jews of Power (JoPs). Pilate exclaimed 5 times that he held Jesus innocent, but the JoPs would not have it, and he was intimidated.

These Jews were threatened by Jesus' attack on their use of the temple as a house of commerce and fraud. He was an even bigger threat because of his diluting of their rhetoric and propaganda that held the minds of their victims captive.

Frauds, scams, propaganda and lies, defiling, control of governmnet and courts, persecution and murder: We've know for about 2,000 years that Jews of Power (JoPs), Zionism, are the enemy.

An American, not US subject.

RaceToTheBottom's picture

"An American, not US subject."

But you appear to be a religious subject.

livefreediefree's picture

From the author's 1,900 Year Old Wisdom: “An Imbalance Between Rich and Poor Is the Oldest and Most Fatal Ailment of all Republics” article (cited and linked above):

If the hundreds of billions or trillions spent on bailouts had instead been given to ease the burden of consumers, we would have already recovered from the financial crisis.

Your assignment, kiddies, is to determine why the (implied) assumptions in the above cite begin to highlight the internal contradictions of the Washington Blog Web site's political philosophy.

One can deduce an alternate sense of these failings by noting what Washington Blog did not say; ie, there are many things we've known about crises occurring since prehistory which are not noted in this article.

No hints, kiddies. You need to learn to think for yourself, and develop a political philosophy that is internally consistent, and as free from contradictions and hypocrisies as possible. A note of warning: The task takes a lifetime, and is more difficult than the Labors of Hercules.

gaoptimize's picture

I'm more in favor of cleaning out the Augean stables first, and only then spend some time developing a consistent political philosophy.

Baa baa's picture

If you haven't picked it up by now, it is not going to happen. I don't object to your challenging people to educate themselves but your condescending attitude needs work. As it is, people just blow past your post. It's just that like you, I want our people to be Constitutional Scholars but without some motivation, I just don't see Americans scrambling to the political science section for their next read.

Bear's picture

We've know from Day One that "The heart is deceitful above all things, and desperately wicked" Jer 17:9

aleph0's picture

 

Best line :

Postscript: Those who fail to learn from history are doomed to repeat it … and we’ve known that for a long time.

Minnalousha's picture

... and those who are students of history are doomed to watch others repeat it.

moneybots's picture

"Postscript:  Those who fail to learn from history are doomed to repeat it …"

 

Wrong.  Everyone knew why Glass Steagall existed and it was repealed anyway.

The SEC knew that excesive leverage was dangerous, yet lifted leverage limits for the mega investment banks anyway.

Knowlege of history was in the way of reckless speculation, so they simply shoved it out of the way, knowing what would happen, but not caring what would happen, as it would personally benefit them.

xavi1951's picture

No, not wrong!  You stated it yourself, they knewe why Glasse Steagall existed, so yes they were/are doomed to repeat history.

Bear's picture

Greed is the Trump Card in all things financial ... Until Fear invades

Comte d'herblay's picture

Nothing was foreseeable, unless you include EVERYTHING possible in the entire universe, 500 yrs ago let alone thousands of years ago.

 

moneybots's picture

"Nothing was foreseeable, unless you include EVERYTHING possible in the entire universe, 500 yrs ago let alone thousands of years ago."

 

Untrue.  It was written in Ecclesiasies, that there was nothing new under the sun.

When i heard that Glass Steagall was dismantled, i knew something bad was going to happen.  In fact, congress was warned by experts not to dismantle it.  Open the door to the chicken coop, what do you think the foxes are going to do?

Comte d'herblay's picture

True, if you read it carefully.

EVERYTHING is foreseeable---- within the context our ever expanding epistemology----over time.

Therefore, what is on the list is not all that exceptional or particularly helpful since the opposite of each of those statements would be equally forseeable  (but not necessarily ever happen).

 

Minnalousha's picture

Naturally, the foxes will give the hens blank voter registration forms and provide them with transportation to the polls.  After that -- well -- foxes do as historically indicated, despite the look of naive surprise in the hens' eyes.

Hannibal's picture

Russia Prepares For Ukraine Blitzkrieg As Putin Vows He Won’t Let Nazis Win

A truly ominous Ministry of Defense (MoD) readiness report circulating in the Kremlin today is apparently showing that the Southern Military District is in the final preparations for a blitzkrieg attack upon the eastern regions of Ukraine in order to protect its Russian speaking citizens from annihilation at the hands of the neo-Nazi led and Obama regime backed government in Kiev.

Blitzkrieg (German for “lightning war”) is an anglicized term describing a method of warfare whereby an attacking force spearheaded by a dense concentration of armored and motorized or mechanized infantry formations, and heavily backed up by close air support, forces a breakthrough into the enemy's line of defense through a series of short, fast, powerful attacks; and once in the enemy's territory, proceeds to dislocate them using speed and surprise, and then encircle them.

Even more concerning to Putin and Russia, and which we had reported on in our 2 November report Mutilated Bodies Of 286 Young Girls Found Buried In Ukrainian-Nazi “Rape Camp”, is the Obama regimes continuing to ignore the ISIS-style war crimes of Ukraine and its neo-Nazi forces reported by Amnesty International that include the shooting down of Malaysian Airlines flight 17 by two Ukrainian fighter je

 

http://www.whatdoesitmean.com/index1819.htm


tarabel's picture

 

 

Hey, here's an idea...

Why not evacutate all those poor Russians back to Holy Mother Russia where they wil be safe?

Well, er, um, because, actually, we really want the land and don't give a damn about how many of the little people we grind up in order to get it.

The one crossing the Alps with the elephants is Mirova Putinova, who has obviously read the Hitlerite Sudetendeutsch playbook even if you haven't.

Next move: Konserven. You watch and see.

LooseLee's picture

"Well, er, um, because, actually, we really want the land and don't give a damn about how many of the little people we grind up in order to get it."

Kinda like the reason the USSA has been in the ME for the past 60+ years?

Just substitute 'Oil' for 'Land' in your remark.

George Washington's picture

What Does It Mean is a known disinformation site.

basho's picture

...along with most of the western MSM like BBC, CNN.

but they do get their geography correct. lol

Fix It Again Timmy's picture

Every goddamn politician is an apostle of the creed of "robbing the citizens..."  I dare anyone to tell me that it isn't so....Yes, Virginia, government is a Thief!... 

world_debt_slave's picture

shows that man's nature is evil, doesn't matter the epoch,nation or nationality, and man is not getting any better as some corners espouse man is getting better and better to that utopia rubbish.

mastersnark's picture

We've known for 238 years that shooting bureaucrats, not voting, is the most effective means of effecting hope and change.