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The New Order Emerges
Submitted by Alasdair Macleod via Gold Money,
China and Russia have taken the lead in establishing the Asian Infrastructure Investment Bank (AIIB), seen as a rival organisation to the World Bank and the Asian Development Bank, which are dominated by the United States with Europe and Japan.
These banks do business at the behest of the old Bretton Woods order. The AIIB will dance to China and Russia's tune instead.
The geopolitical importance was immediately evident from the US's negative reaction to the UK's announcement this week that it would join the AIIB. And very shortly afterwards France, Germany and Italy also defied the US and announced they might join. In the Pacific region, one of America's closest allies, Australia, says she is considering joining too along with New Zealand. The list of US allies seeking to join is growing. From a geopolitical point of view China and Russia have completely outmanoeuvred the US, splitting both NATO and America's Pacific alliances right down the middle.
This is much more important than political commentators generally realise. We must appreciate that anything China does is planned well in advance. Here is the relevant sequence of events:
• In 2002 China and Russia formally adopted the founding charter for the Shanghai Cooperation Organisation, an economic bloc that today contains about 35% of the world's population, which will become more than 50% when India, Pakistan, Iran, Afghanistan and Mongolia join, which is their stated intention. Russia has the resources and China the manufacturing power to develop the largest internal market ever seen.
• In October 2013 George Osborne was effectively summoned to Beijing because China wanted London to be the base to develop renminbi-denominated financial instruments. London has served China well, with the UK Government even issuing the first renminbi-denominated foreign (to China) government bond. The renminbi is now on the way to being a fully-fledged international currency.
• The establishment of an infrastructure bank, the AIIB, will ensure the lead funding is available for the rapid development of road, rail, electric and electronic communications throughout the SCO, ensuring equally rapid economic development of the whole of the Asian continent. It could amount to the equivalent of several trillion dollars over time.
The countries that are applying to join the AIIB realise that they have to be members to access what will eventually become the largest single market in the world. America is being frozen out, the consequence of her belligerence over Ukraine and the exercise of her hegemonic power through the dollar. America's allies in South East Asia are going with or will go with the new AIIB, and in Europe commercial interests are driving America's NATO partners away from her, turning the Ukraine from a common cause into a festering liability.
The more one thinks about it, the creation of the AIIB is a masterstroke of tactical genius. The outstanding issue now is China and Russia will need to come up with a credible plan to make their currencies a slam-dunk replacement for the dollar. We know that gold may be involved because the SCO members have been accumulating bullion; but before we get there China must manage a deliberate deflation of her credit bubble, which will be a delicate and dangerous task.
Unlike the welfare-driven economies in the west, China has sufficient political authority and internal control to survive a rapid deflation of bank credit. When this inevitably happens the economic consequences for the west will be very serious. Japan and the Eurozone are already facing economic dislocation, and despite over-optimistic employment numbers, the US economy is faltering as well. The last thing America and the dollar needs is a deflationary shock from China.
The silver lining for us all is a peace dividend: it is becoming less likely that America will persist with a call to arms, because support from her allies is melting away leaving her on her own.
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I doubt there will be a peace dividend
The US will go to war over this. The US has gone to war over much lesser things.
Don't worry, the Commies can fuck up fiat as good or better than USSA
No kidding, China is straight up fucked. $25 trillion+ in debt, empty cities, unused airports. They straight up leveraged themselves into insolvency.
http://www.cbr.ru/eng/statistics/print.aspx?file=credit_statistics/liqui...
$16Billion of reserves burned this month. tick tock
The idea that ANY country will chain itself to a gold standard is probably silly. Why would they want to tie themselves to gold when they can just print, print, print and finance everything out of thin air? The International Banking Cartel knows better.
and the Peace Dividend... LMAO
"We know that gold may be involved because the SCO members have been accumulating bullion; but before we get there China must manage a deliberate deflation of her credit bubble, which will be a delicate and dangerous task."
Where did he say they would chain themselves to a gold standard?
Peace dividend = anything that inhibits, delays, weakens the strangle hold that the warmongering US MIC psychopaths have on the world
Just in time to turn their attention inward (MIC looking at all of us).
I agree that any talk of a gold standard is silly goldbuggery. ZH sees everything through a monetary lens, and doesn't even understand the purpose of the AIIB.
Institutions like the IMF, World Bank etc. are instruments of soft conquest. They loan money to small countries (greasing their corrupt elites with lots of skim); and then when those countries can't repay, they become subject to the lending institution. Up to now, the US dominated this game. Now the Chinese fancy themselves a super power, and they want to get into the soft conquest game and cement control over their neighbors. All of central and southeast Asia will become to China what Central America has always been to the US -- bruised and battered vassal states subject to the whim of Beijing.
The overwhelming losers in the AIIB game are not Americans or the dollar. The losers are the people of non-Chinese Asia, who will lose their countries, their chances, and often their lives.
Also, what is the Chinese word for Siberia?
Ironically, the US might get a chance to play the other side of the game. For decades, the US worried about Soviet commies setting off Marxist revolution to spring IMF-WorldBank-US vassal states from their chains. Now maybe the US can do something similar in AIIB vassal states. That is how WWIII starts. It has nothing to do with the dollar as reserve currency.
"China has sufficient political authority and internal control to survive a rpaid deflation of bank credit."
Famous last words, eh? Good luck controlling a billion people who will watch their life savings evaporate when their housing bubble collapses.
Hopefully, the global debt crash will force us to abandon the nation state model that allows for sufficient centralization of power to allow the psychopaths to threaten worldwide extinction through global warfare that only they desire.
They CAN default on their debt whenever they want, unlike Americans...
And the American people will not fall for this I sure would hope I believe that when the sheeple find out the truth we will know its time to pay the piper
"And the American people will not fall for this I sure would hope I believe that when the sheeple find out the truth we will know its time to pay the piper"
Actually, for those that understand Zionism's control of the the American country by way of their DC US war dog and debt, the time has come for Americans to STOP paying the piper.
The banksters need to repay us.
And I know where to put the piper's pipe.
Doesn't matter whether the American people fall or not fall for anything. Their opinions are of no consequence to events whatsoever.
Now if they were showing up in DC by the hundreds of thousands and raising hell, there's a tiny outside chance of minimal influence, but that isn't going to to happen.
Join the local office pool.. when will the first pictures of tires burning on the streets of Washington DC hit main street media.. ?
Five million people went into the streets to oppose starting the Iraq war. And those voices just disappeared....
When is this so called meeting I am in
If it means 536 fuckers hanging from cherry trees in DC, I'm all for it. Fuck the treasonous pig fuckers in congress
Do you honestly think the sheeple will understand the truth even as they are entering Camp FEMA?
Without a neocon purge,fat chance that Pax Americana goes quietly into
that long goodnight.More likely a woar dividend is coming, not a peace one.
Didn't take long for one of the resident hasbara trolls on ZH to downvote you.
You must have struck a nerve with your comment, Winston.
Exactly what I was thinking. Empires never expire quietly.
http://olduvai.ca
" Empires never expire quietly."
Yes they do. Nobody knows why Rome went down, and I don't remember the British Empire waging war on the whole world before it drowned.
The UK was already in the middle of WWII when the mantle was passed aboard the Augusta.
Gibbons Decline and Fall spells out why Rome fell,you may want to read it.
The cliff notes version was nobody wanted the adulterated money anymore.
"Gibbons Decline and Fall spells out why Rome fell,you may want to read it."
Gibbon's theory is that the Roman empire fell to Barbarian invasions. That's been debunked. When the Barbarians invaded, the Romans had already gone, and nobody is yet sure why. There are controversies.
They fell to Barbarians after they debased their currency.
Perhaps another way to look at it was that the British Empire had been waging war on the entire world for quite some time, as the USSA is doing now, and the cost of doing so eventually drowned them.
The British Empire died when its diplomats could no longer make local governments jump when they said frog. The worldwide colonies went soon after, at England's behest and not through local revolutions. It was a retreat, not a defeat, because they had no leverage to make things happen.
So what were WW1 and WW2 all about?
Passing the batton to the US killed a lot of bystanders.
WWI ans WWII were about breaking the German people's will.
The next war will be internal, have to use those militarized police forces and war assets, as troops get idled.
This, I agree with.
Us North American peasants had better get our plans, our preps, and our support systems, in order right soon.
Bulldog, I respect your opinion, but what makes you think the USA won't do just exactly what the USSR did, and simply collapse while the rest of the world goes about its business?
All they have to make people join them is Reserve Currency. Well, that's about to be gone. No shots fired. (Unless you count the various illegal invasions of other countries, but those aren't directly connected with US collapse.)
I remember everyone was afraid of USSR starting WW3, and then one day -- it was just kind of gone.
Thats a good question and an interesting thought. But the USSR didn't control the reserve currency at the time. That's a big deal, but I think that could blow over pretty quick. Especially since the world has a computerized financial system now and there very well may be no need for a reserve currency except gold. A fractional gold reserve. Held emmmmmmmmm somewhere, maybe Switzerland.
It is better to woar-woar than to jaw-jaw.
As BRICS are in the processes to decouple economies from the Western neoliberal monetary monopoly, they could bring back the gold standard as a base for their transactions, which is much more steady than the paper money unstable financial bubbles. They are ready, because they are emerging economies with billions of potential consumer tanks and can attract other countries too being victims of the international financial mafia, like Argentina and Greece.
Russia looks at Islamic Banking .. http://tass.ru/en/opinions/784078
Love that last paragraph.
Fabulous idea.
Now that many countries have become persona non grata to private banks, followed by the same treatment from governmental and quasi-governmental institutions in the West, what could be better than opening up a new lender that is anxious to give them money.
The world needs more debt everywhere-- especially those parts of it that can no longer borrow from their traditional loan sharks. Plus, of course, now those previous loan sharks can get some of their investment back from the new funds being lent out.
I, for one, think it is high time that Russia and China get off the sidelines and start loaning money out to Third World shitholes. It's their turn to screw themselves. We've done our part and thank god someone else is now ready to carry the torch for a while.
you can't name country as shithole only because it was robbed by USA/Uk/France
Libya good example, so stfu
Tarbell didn't "name" a country. But it sounds like she(avatar) plucked your string. From what shithole did you hatch?
Lenin is still a German agent.
And why is it that I have to be silent? Is there no freedom of speech in your country? Except for those who adore the government of it?
The funding is coming from western banks as well , the AIB is just the lead
manager of the loans.
More debt for everyone. Good idea or no?
As long as its matched term lending into productive assets there is no problem.
Borrowing to pay day to day expenses like the western nations, is just
like pissing money into a head wind.
And just which western banks will not need to print or borrow in order to provide funding for this bank?
Hell, which asian banks qualify?
They may turn it into something else but for now it is only a shinier turd than our rusty turd.
Reinstitute the captcha for trolls. Pronto.
Having an opinion contrary to yours makes me a troll?
I'll sleep much better tonight knowing that you are far away from any position of authority.
I voted you up (above) for your free speech comment. I no vote you on this one at all.
Captcha doesn't prevent a human from posting. It can make it harder for bots and trolls and we do not care about their rights in the least.
Anyone who hasn't understood the significance of the eastward flow of gold over the past [ ] years is about to.
Hoo lee fook
Gol Long Gong.
I'm wondering if there's going to be a "put up or shut up" moment on the backing of internationally traded currencies in the near future.
You know, like:
CHINA : "Here's how many tons of GOLD we have to back the Renminbi/Yaun."
RUSSIA : "Here's how much GOLD and OIL/NATGAS we have to back the Ruble."
The "you show me yours,and I'll show you mine' moment is definitely coming.
And it wont be as much fun as when I played it long ago.
Continued reckless Foreign policy actions - namely those that attempt to 'contain' certain rising powers via the 'New American Century' approach, are precipitating that defining 'moment' as you put, pall mall.
They can show us theirs and I bet it's bigger than we think, we can only tell them about ours.(with a lot of blustering and swaggering)
I think you are right. And even if you want to compare paper to paper, the east is in less piles than we are. We are 208 trillion in debt, once you shake the accounting tricks out between the pages. I know you'd like to think it's about 18 trillion, but no. Debt to GDP is way better in Russia than we can even dream of in the US. As far as a metal backer, I think the east could do it. They've been filling up their vaults for years. I was reading reports on Jim Willie's site a couple of years back where his contacts in London started reporting very large and repeated shipments of gold headed east. Well, that was not a rumor. To keep the dollar worth something (the original 100 cent dollar is now worth 6 cents), the US criminals must do absolutely anything they can to keep the price of gold down, which is a catch 22, as it's being bought up for bargain prices in the east as they dump their US treasury paper. We are losing our physical gold to try keep the paper dollar worth something. Well, we all know now where that's going to end up.
AMERICA: Here's how many tons of gold we have to back the dollar, but no audits or redemptions allowed.
Maduro: "!Caramba! Someone broke into the vault last night and stole all our Gold! ?Que pasa?
Even Lady Lagarde was in China for the new World bank of Asia.
She can see the writing on the wall. Her Gucci bag will be open for the highest bidder, Yuan based if $ hits the asymptote.
After all, she became what she became by saying to Sarko : I'm yours to use for whatever mandate you deem fit. I'm your poodle, your hush puppy, I've proven it as head of a huge red carpet factory of lawyers for people with dead bodies in the cupboards who need to vanish like "hey presto". Corporate lawyers earn their bonuses on that very simple principle. Innocent even if you own the smoking gun as we do need the body! And finding the body is like proving there is a direct link between a carcinogenic agent and the disease...Can you prove it irrefutably ???
hahaha ! Every corporation can run rings around the downtrodden with a lawyers brigade more impressive than the roman phalanx.
No body no crime but you do pay me a dime! I can white wash anything even a NIRPED Euro sent to Ukraine from greek pension funds. Thats the song the lawyer/ banksta cabal sing day and night to Oligarchy delight.
And she proved it to Timmy and the Squid time and again, once he had got rid of pesky DSK, more obsessed with feminine butt than Greek debt!
I can see his point but not to the extent of doing what he did to a hotel cleaning woman from "down under".
Anyways, the oil oligarchy goes into tail spin on sharing the speculative rent from 4$/bbl old ME oil and its competitive advantage over 70$ /bbl shale plays or Siberian arctic dreams; and the $ oligarchy now has a true rival in monetary war games from land of silk and Foxconn outsource factory.
Banzai !
Who has the presidential cufflinks? That is where the power lives. If the cufflinks are at risk, the wars will follow.
It's been percolating & simmering for a long time sub rosa. Nothing new here folks. Put the criminals in Jail & deport all the Illegals after the smioke clears is all.
"Immanentize the Eschaton"
Eric Voegelin
'Bankster Warz: Fighting Over the Crumbs' A new History Channel reality 3-D mini series......
When the USA starts up the draft again, only then will I believe the USA is serious about anything.
Just like in Ukraine nobody will show up.
Exactly. USA has lots of millisha though. I'm staying under the radar until SHTF.
Better have a place away from US when this shit starts.
I don't even have a passport. I'm going down in a blaze of whatever.. Maybe I'll get off a shot or two.
Go to Mexico the border is open
only one way
The time for this could not be better. GREEEEEAAAATTTT!
It could have been 25 years ago.
Invest in Russia bitchez. That's the land of opportunity this century. Probably a good idea to move there too or better sail there from Marina Del Rey just to do it for fun.
Been in my mind for well over a year now.
Feh govoriteh po russki?
Economic Citizenship ;-) Welcome friend to the Russian Federation ( Tip > look at the Eastern areas in the Land Of Opportunity )
There actually are some incredible bargains in stocks there, particularly in the agricultural sector. After we crash, they will surge.
The HUGE mistake was believing the American post-war neoliberal (dis)order was "the end of history".
Fukuyama fooled America. The wheel is turning, and history is only beginning.
Not to mention Fukushima.
Did not fool me. Those that teach history understand that it is an after thought.
The whole thing is going to lead us into another major World War. This time it will be nuclear, biological and electronic instead. Billions of people will become collateral damage. Either China will be placed under Anglo-Saxon control or the Anglo-Saxon motherfuckers will go under. Either way it's super bullish! NWO!
This time the Anglo-Saxon are goind down for good. We are about to witness a long lasting peace around the world.
The Anglo-Saxon? Oh, you mean the jew that pretends to be the proud Anglo-Saxon.
It was not part of their blood,
It came to them very late,
With long arrears to make good,
When the Saxon began to hate.
They were not easily moved,
They were icy -- willing to wait
Till every count should be proved,
Ere the Saxon began to hate.
Their voices were even and low.
Their eyes were level and straight.
There was neither sign nor show
When the Saxon began to hate.
It was not preached to the crowd.
It was not taught by the state.
No man spoke it aloud
When the Saxon began to hate.
It was not suddently bred.
It will not swiftly abate.
Through the chilled years ahead,
When Time shall count from the date
That the Saxon began to hate.
I highly doubt that any of us will be around to witness any long lasting peace. It doesn't work like that.
You bet! The Zionistas will fight to the last Anglo-Saxon dupe!
The WHO had it right -- and left -- with "Fooled Again"
I'll move myself and my family aside
If we happen to be left half alive
I'll get all my papers and smile at the sky
For I know that the hypnotized never lie
Meet the new boss
Same as the old boss
What sign the "dollar", what sign the SDR?
"and the shotgun sings the song"
They all have something they want to sell, arms, maglev trains, power plants and so on.
It'll be one big club and the US won't be in it.
Sounds like an existential threat for bankrupt war mongerers.
but i thought eurasia was isolated with mega costs and sanctions and extreme prejudicessss. ?
With regards to the silver lining peace dividend: I got two word for you: "Victoria Nuland"
The IMF and World Bank aren't banks as such. They're con games to get control of nations by using debt to gain control of the governments.
If this Chinese/Russian thing isn't about installing political advisors and demands for austerity, they're a real threat. However, if the IMF succeeds in worming their way in with concessions about 'governance', the old game will stay alive. Until it can't.
as the united states is negotiated to a lower standing, or cut out, it is interesting to watch how it will behave considering it has such a vast and capable conventional military (everything but nuclear weapons). given the prompt strike capability to hit a target anywhere in the world with a conventional warhead, the ability to fly an armada of drones to bomb an opponent on the battle field, or destroy command and control or supplies, the US can conduct a limited or moderate strike against multiple countries. But, if the consensus of the major nations is to embargo the US, what would the US do then? Behave?
Where did you get the idea we have a vast conventional military? It's smaller now than anytime in history. Go search the charts out on the net. The results will have you heaving. We were several times bigger than now at the end of WWII. You must be focused on how much money they spend now, not how much we actually have in manpower. There's been a bit of "inflation" and "billionaire building" in the US military.
Your comment clearly alludes to how YOU already know the manner in which the USSA will react.
You, along with countless others who possess critical thinking skills suffer no illusions as to how they will react. They will react in the same manner that they have always reacted to an existential threat that challenges their global hegemonic ambitions...WITH EXTREME VIOLENCE.
The only real question to this problem remains. How will the rest of the world respond to this (false flag) violence that will be intended to provoke a global conflict, likely to result in the use thermonuclear weapons?
Ask to any US service member how the flip-flop guys treated them.
Vast and capable military.
I somewhat disagree with that affirmation, I would rather say;
US navy is a vast and capable force under conditions of conventional warfare.
For years now the ground forces are training to shoot dervishes in the desert, Omdurman-style and even that is done more by aircraft than by infantry.
The airforce is a vast unknown; how it will perform faced with s-300/400/Tor/Pantsyr/TunguskaM2 belts? No one knows, and I dont think the pilots are eager to try(Judging by the fact that Israel still hasnt tackled Iran air defences, and they dont even have modernised S-400's).
The quality of general officers is steadily declining, and troop moral could be a problem if faced with massive casualties.
The drones are a cheap alternative to ground-support/anti-partisan planes, slow and fragile, again, great for shooting dervishes , against dense and modern air defence its a novelty.
All the more reason why Washington will press ahead with it's, for now, proxy war on Russia, and it's open economic war against Russia. Reports out of Ukraine indicate a possible large offensive by the Ukrainian army, attacking hard to isolate Donetsk this time. While a second new invasion is being launched against the people living in Transnistria to the east of Ukraine. Both attacks seem to be about to be launced. The invasion force is already on the move towards Transnistria, seeking to invade and conquer a small area that has voted to be free from Kiev's rule.
Elsewhere along the front large tank attacks have already been launced against rebel positions. The offensive may roll out now abd build over the next week. Reports of new western weapons are coming in, even several South Korean Main Battle Tanks have been used on the southern front.
Russia must go. I think Washington will use Ukraine up in battle in hopes Russia can be lured into stepping in directly, which would sanction NATO to go into battle. This is Obama's main goal right now, is a direct battle between NATO forces and Russian forces. Obama is betting that Russia will refrain from any use of nuclear weapons, fearing US nuclear power.
Let's wait and see. Zionism is now so deeply rooted in Washington, that our lives mean nothing. I hope American soldiers know that Russia is not Iraq. Things will be far different there.
Russia will not step in directly unless chemical/nuclear weapons are used.
And the reports of K1/K2's ...well, if Merkava 3' s can be penetrated by Kornets(export), I dont think those will hold either.
Perhaps voentorg could be enlarged a little bit so Zakharchenko gets a regiment or two of SU-25's for Easter...who knows.
How I don't have that info?
Jack, NATO may very well come apart or seriously balk at going into the Ukraine in force. There are cracks in the alliance that will become more apparent. I have no doubt he is making deals with NATO member countries. Putin has been very disciplined in his actions.
"a direct battle between NATO forces and Russian forces"
only means the USA and the minor expendable players - Poland, Latvia, Lithania - Germany and France would bow out immediately - no upside - so the USA against Russia yields what ?
Russia will support eventually Karkiv to Odessa indirectly and the north and west will fold into a Fascist US enclave forever - Russia negative is Sanctions beyond June in EU - but Italy, Greece and others are not controllable - they are going east - for their own survival - so will they vote for continuing sanctions?
I think the propaganda at every turn by the USA has been a postive for Russia to keep its people focused that the USA is the enemy -
US has major problem in all these adventures keeping them straight
But, Jack, all NATO has recognized the primacy and importance of the Minsk Protocol. And if Ukraine, a signatory, has attacked Donetsk People's Republic, another signatory, who could think that Russia, yet another signatory, would stand silent and not move to defend the Russian speaking citizens of the DPR and LPR?
The attacking Ukrainian armies, attacked by jet and Iskander missiles, would be put to flight in a day, two at the most, while NATO debated the terms upon which it would come to a non-NATO member's defense.
France and Germany would have a lot to say about engaging Russia inside Ukraine and it is doubtful Latvia, Lithuania and Estonia would open another front in the north.
Relax, Jack. Nobody starts to read a book by reading the last couple pages first. And nobody will really be surprised if life is unfair and the Nazis win.
Bretton Woods New World Order : You deposit all your gold in New York.
Then we will give you loan through World Bank, IMF (because we are smart and you are fools, you wont be able to pay back the loan, because you are corrupt, and we will confiscate & sell your gold).
If you dont agree : SANCTIONS / BOYCOTT
Meet the new boss - same as the old boss.