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2008 Was a Crisis… It Was Not THE Crisis

Phoenix Capital Research's picture




 

The 2008 crash was a warm up.

Many investors think that we could never have a  financial crash again. The 2008 melt-down was a one in 100 years episode, they think.

They are wrong.

The 2008 Crisis was a stock and investment bank crisis. But it was not THE Crisis.

THE Crisis concerns the biggest bubble in financial history: the epic Bond bubble… which as it stands is north of $100 trillion… although if you include the derivatives that trade based on bonds it’s more like $500 TRILLION.

The Fed likes to act as though it’s concerned about stocks… but the real story is in bonds. Indeed, when you look at the Fed’s actions from the perspective of the bond market, everything suddenly becomes clear.

Bonds are debt.  A bond is created when a borrower borrows money from a lender. And at the top of the financial food chain are sovereign bonds like US Treasuries.

These bonds are created when someone lends the US money. Why would they do this? Because the US SPENDS more money than it TAKES IN via taxes. So it issues debt to cover its extra expenses.

This cycle continued for over 30 years until today, when the US has over $16 TRILLION in size. Because we never actually pay our debt off (or rarely do), what we do is ROLL OVER debt when it comes due, so that investors continue to receive interest payments but never actually get the money back… because the US Government doesn’t have it… because it’s still spending more money than it takes in via taxes.

This is why the Fed cut interest rates to zero and will likely do everything in its power to keep them low: even a small raise in interest rates makes all of this debt MORE expensive to pay off.

This is also why the Fed had the regulators drop accounting standards for derivatives… because if banks and financial firms had to accurately value their hundreds of trillions of derivatives trades based on bonds, investors would be terrified at the amount of leverage and the margin calls would begin.

The bond bubble is also why the Fed started its QE programs. Because by buying bonds, the Fed put a floor under Treasuries… which made investors less likely to dump bonds despite bonds offering such low rates of return.

This is also why the Fed is terrified of deflation. Deflation makes future debt payments more expensive. So the Fed prefers inflation because it means the dollars used to pay off debt down the road will be cheaper than Dollars today.

Again, when look at the Fed’s actions through the perspective of the bond market… everything becomes clear.

The only problem is that by doing all of this, the Fed has only made the bond market even BIGGER. In 2008, the bond market was $82 trillion. Today it’s over $100 trillion. And the derivatives market, of which 80%+ of all trades are based on interest rates (Treasury yields), is at $700 TRILLION.

The REAL Crisis will be when the bond bubble bursts. When this happens, it will be clear that real standards of living have been falling since the ‘70s and that sovereign nations have been papering over this through social spending and entitlements (a whopping 47% of US households receive Government benefits in some form).

Imagine what will happen to the markets when the Western welfare states finally go broke? It will make 2008 look like a picnic.

Smart investors are preparing now.

If you've yet to take action to prepare for this, we offer a FREE investment report called the Financial Crisis "Round Two" Survival Guide that outlines simple, easy to follow strategies you can use to not only protect your portfolio from it, but actually produce profits.

We made 1,000 copies available for FREE the general public.

As we write this, there are less than 10 left.

To pick up yours…

Click Here Now!

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Research

Our FREE daily e-letter: http://gainspainscapital.com/

 

 

 

 

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Fri, 09/11/2015 - 08:08 | 6535099 gcjohns1971
gcjohns1971's picture

Not entirely accurate.

Sovereign debt under the current system NEVER declines, it simply moves around on the balance sheet.

When a sovereign creates currency they do it in conjunction with a central bank.  To the central bank currency is a check written against their assets.  Sovereign debt is the asset.

The sovereign bond goes on the asset column of the CB balance sheet.

And the CB writes a check drawing on that asset in the form of currency. 

That is how both sovereign debt and currency come into existance.

The debt and currency are one transaction, marked as two entries per standard double entry accounting.

So you can't lower sovereign  debt in this system.  EVER.

Factually, debt must always increase for a simple reason.  The bond bears an interest rate.  The currency does not.  

During the life of the bond there only exists enough currency to cover the principal.  Yet during the bonds life interest must be paid, which reduces the currency available for repaying the principle to less than face value.  

Very important to understand that at maturity, there does not exist enough currency to retire the old bond.

So, when Roll-over time comes, they must issue new bonds equal to the sum of the old bond's principal plus interest.  The portion representing the accumulated interest must be paid for with newly created currency.

And so the CB balance sheet expands.  

If your currency is a reserve currency, then in times of economic trouble, the bond may trade higher than face value...which means the replacement bonds must be similarly higher for roll-over to be possible.

The debt debate in Congress is meaningless.  They don't get to decide the federal deficit, but only decide whether to even further expand it.  The deficit is dictated by the sovereign debt. And then Congress must find something to spend it on so the new money can enter circulation, or the entire currency system collapses.

Wed, 09/09/2015 - 11:45 | 6526796 Troy Ounce
Troy Ounce's picture

 

 

The REAL Crisis will be when the bond bubble bursts. When this happens, it will be clear that real standards of living have been falling since the ‘70s and that sovereign nations have been papering over this through social spending and entitlements

 

15 of August 1971 to be exact.

 

Cost of Living 1971

How Much things cost in 1971
Yearly Inflation Rate USA 4.3%
Yearly Inflation Rate UK 8.6%
Year End Close Dow Jones Industrial Average 890
Average Cost of new house $25,250.00
Average Income per year $10,600.00
Average Monthly Rent $150.00
Cost of a gallon of Gas 40 cents
Datsun 1200 Sports Coupe $1,866.00
United States postage Stamp 8 cents
Ladies 2 piece knit suites $9.98
Movie Ticket $1.50
Below are some Prices for UK guides in Pounds Sterling
Average House Price 5,632
Gallon of Petrol 0.33

 


Wed, 09/09/2015 - 10:04 | 6526296 Dragon HAwk
Dragon HAwk's picture

It's been a long time since America saw Blood on the streets, hopefully next time it is banker Blood

   But what does a Dragon Know...

Wed, 09/09/2015 - 10:26 | 6526386 MansaMusa
MansaMusa's picture

Shemitah is this Sunday, the market "crash" had better hurry up and crash!  

Wed, 09/09/2015 - 00:36 | 6525479 roddy6667
roddy6667's picture

The world did not end in 2008. We are experiencing a much smaller drop now.

These Doomsday Prophets need to take their meds and stop screaming that the SKY IS FALLING!!!!!

Wed, 09/09/2015 - 13:13 | 6527231 Radical Marijuana
Radical Marijuana's picture

The "We are all Doomed!" expectations are due to the exponential growth based on strip-mining the planet's natural resources. For those towards the center and top of the social pyramid systems, it may well be that they will not personally feel the effects within their life time. The established systems were set up by rich, old people, for their benefit, and those have done so well, for them. It is young, poor people for whom the SKY IS FALLING! Furthermore, it will be upon some future generations that the consequences of building civilization on the basis of strip-mining the planet's natural resources will FALL.

It is NOT simply an issue of natural resources, but rather, of how those are perceived by people, which has had a long history. That history has become profoundly perverse. Social successfulness became based on backing up lies with violence, which now is primarily governments ENFORCING FRAUDS by privately controlled banks. Of course, running into the limits of exponential growth are NOT going to be immediate and total. However, those are going to happen relatively fast, because of the ways that those were being approached at an exponential rate.

I regard the human artificial selection systems as necessarily operating within the natural selection systems. (An aspect of the degree to which those artificial selection systems have become psychotic is the degree to which many people do not perceiving things that way.) I am not sure there is that much of a difference. The natural pressures are channeled through human systems. The more intense the natural pressures, the more intense the human pressures. What were chronic political problems inherent in the nature of life, which drove there to be scarcities, since population tends to grow until those points are reached, morphed during the industrial revolutions to become systems of artificial scarcities, inside systems of artificial selection, all of which were based on legalized lies and violence. (E.g., criminalizing cannabis, or alcohol prohibition, etc., etc. ...)

THE BIG PROBLEMS now are the entrenched psychological and political habits that everyone, from the ruling classes to those they rule over, have so deeply ingrained. Whatever the theoretical alternatives may well be (& there seem to be an abundance of them) NONE of those can actually work without changing the death controls that back up the debt controls. However, since the currently established combined money/murder systems are ALREADY based on the maximum possible frauds/deceits, and those systems of debt slavery, backed by wars based on deceits, have driven there to ALREADY be debt insanities, where so much of the public "money" supplies were made out of nothing to gamble with, and collectively those bets add up to at least a couple of orders of magnitude greater than the actually physical economy, the potential for severe social storms to blow through, and psychotic breakdowns to overlap, is TREMENDOUS.

There is NOT an absolute, objective, lack of resources, but rather, a lack of resources able to keep the established social pyramid systems growing in the ways that they were accustomed to, and want to continue to do. The ruling classes ARE carrying through their agenda, which is based on them continuing to control civilization through being able to back up their lies with violence. So far, there is nothing substantial to demonstrate that they are not going to continue to try to do that. Therefore, as we run into relative diminishing returns of the natural resources that they need to keep their systems growing, their "solutions" to those problems are to mass murder the majority of the human population.

That will NOT happen due to some absolute lack of alternatives, but rather, due to most other alternatives being politically impossible to actually implement. Some of the reasons for that continue to be that the controlled opposition groups that surround the ruling classes do NOT provide realistic solutions based on better death control systems, but rather, tend to promote the impossible ideals which assert there should be be no death control systems, or none that human beings are consciously aware of operating.

In order to develop and implement any genuine solutions to the problems, there would necessarily have to be alternative death control systems, at the central core of all other alternative systems. Hence, while there appears to be an abundance of creative alternatives, the continuing political impossibilities of negotiating better death control systems results in the chronic default back to the worst systems, based on the successfulness of the maximum possible deceits and treacheries with respect to those systems.

There is NOT some absolute lack of resources, nor any absolute lack of creative alternatives. Rather, "We are all Doomed!" were predictions are based on the practical, politically impossibilities of actually implementing anything significantly different than the already existing systems based on evil stupidities. NOBODY knows what happens to systems of globalized electronic frauds, backed by atomic bombs, when those self-destruct, as runaway debt insanities, provoking death insanities. Many Zero Hedge articles are worthwhile in perhaps getting a few more people to think about the established monetary system, and how completely crazy and corrupt to the core that system obviously becomes, IF one thinks about it, rather than continues to take it for granted. However, as long as there are not enough people able and willing to face that facts that money is measurement backed by murder, then there can not be enough realistic resolutions to the real problems.

There is no doubt that the vast majority of "We the People" in North America act like Zombie Sheeple, who are being fleeced to exhaustion, while they are being set up to be slaughtered. As far as I can tell, it is politically impossible for any genuine opposition to the established systems to be able to emerge, because of the degree to which not only would the ruling classes do whatever they could that was possible and necessary to prevent that, but also, the vast majority of those being ruled over do not want that kind of change either, but rather, want to continue to indulge in believing in bullshit.

Therefore, more and more I conclude that we are running out of time to change in any better ways, rather than default down through crazy collapses into chaos, when the runaway debt insanities provoke runaway death insanities. It seems to me that the most significant preparations for that are those being made by the ruling classes to strive to remain in control, even through those death insanities. I would like to indulge in the political science fiction that there may emerge opportunities for better death control system to emerge out of that, however, that mostly seems like political fantasies, SINCE, WHAT IS ACTUALLY HAPPENING IS STILL BASED ON STRIP-MINING THE PLANET'S NATURAL RESOURCES.

As long as there continues to be enough natural resources left to strip-mine at an accelerating rate, then the established systems can continue. However, it is when the limits of diminishing returns from being able to continue to do that can no longer be avoided or ignored that the consequences of running into those real limits will show up first and foremost in the fundamentally fraudulent financial accounting systems pyramid schemes.

"We are Doomed!" to run into the limits of being able to increasingly strip-mine the planet's natural resources, and therefore, to be forced to adapt to those facts. "We are Doomed!" to run into those limits, while accelerating as fast as possible, and while the civilization based upon previously being able to have done so for a long, long time deliberately ignores those problems as much as possible, and therefore, most probably adapts to running into those limits in the worst possible ways.

Theoretically speaking, we could have the SKY FALL on us somewhat less if we prepared and adapted before we accelerated as fast as possible into the limits of being able to strip-mine a finite planet. However, the main reasons for continuing to believe that "We are Doomed!" are due to the ways that the established systems are NOT able and willing to adapt to those limits, but rather, are based on continuing to make "money" out of nothing as debts, in order to "pay" for continuing to strip-mine the planet, in ways which were based on the previous history of the triumphs of organized crime controlling governments, so that the collective behavior of that civilization has become runaway criminal insanities, since that kind of civilization, as much as possible, continues to act like there are no limits, and has no effective political ways to prevent continuing to behave like that.

Sat, 09/12/2015 - 20:48 | 6540759 KashNCarry
KashNCarry's picture

Banks have become almost impenetrable conglomerates attached to Wall Street speculative arbitrage activities and casino-type derivative bets... TBTF wants all bets covered by the FED, backed up by taxpayers.  It is a parasitic system.

Economist Michael Hudson in his new book 'Killing The Host; How Financial Parasites And Debt Destroy the Global Economy' points out how "...A century ago socialists and other Progressive Era reformers advanced an evolutionary theory by which economies would achieve their maximm potential by subordinating the post-feudal rentier class - landlords and bankers - to serve industry, labor and the common weal. Reforms along these lines have been defeated by intellectual deception and often outright violence by the vested interests Pinochet-Chile-style to prevent the kind of evolution that classical free market economists hoped to see - reforms that would check financial, property and monopoly interests.

    So we are brought back to the fact that in nature, parasites survive best by keeping their host alive and thriving. Acting too selfishly starves the host, putting the free luncher in danger.  That is why natural selection favors more positive forms of symbiosis, with mutual gains for host and rider alike. But as the volume of savings mounts up in the form of interest-bearing debt owed by industry and agriculture, households and governments, the financial sector tends to act in an increasingly shortsighted and destructive ways.  For all its positive contributions, today's high (and low) finance rarely leaves the economy enough tangible capital to reproduce, much less to feed the insatiable exponential dynamics of compound interest and predatory asset stripping.

    In nature, parasites tend to kill hosts that are dying, using their substance as food for the intruder's own progeny.  The economic analogy takes hold when financial managers use depreciation allowances for stock buybacks or to pay out as dividends instead of repplenishing and updating their plant and equipment. Tangible capital investment, research and development and employment are cut back to provide purely financial returns,  When creditors demand austerity programs to squeeze out "what is owed," enabling their loans and investments to keep growing exponentially, they starve the industrial economy and create a demographic, political and social crisis..."

 

The path to self destruction comes along with carving up today's global economy in one of the greatest oligarchic takeovers in the history of civilization. Future generations will revile the memory of us...

Sun, 09/13/2015 - 13:58 | 6542634 Radical Marijuana
Radical Marijuana's picture

I agree,

KashNCarry.

Excessively successful predator/parasites

kill themselves by killing off their prey/hosts.

In the human case, the vicious spirals of POLITICAL FUNDING have enabled the reinvestment of the profits from frauds into more frauds, to the degree that there no longer are any effective mechanisms to prevent the excessive success of those frauds, which then drives the paradoxes:

Final failure from too much success.

Debt slavery becomes debt insanity.

Wed, 09/09/2015 - 00:02 | 6525403 SpankyBeMe
SpankyBeMe's picture

When the day of reckoning comes, there had better be some serious piercings of the fraudulent corporate veils and some serious claw backs placed In our treasury, in addition to long prison terms.

Tue, 09/08/2015 - 23:36 | 6525307 Radical Marijuana
Radical Marijuana's picture

I suppose that Pheonix Capital stays within the mental space that its potential clients want to relate to. However, it does so by deliberately ignoring the most important, central social facts. There is almost NO "money" being "borrowed." Rather, the public "money" supply is being created out of nothing as debts.

These bonds are created when someone lends the US money.

That statement is at least 95% based on BULLSHIT.

This cycle continued for over 30 years until today ...

In the USA the cycles of fractional reserve banking, which eventually had the Federal Reserve Board placed at the heart of those systems, has been going on form more than a Century. Particularly since 1971, the total debts of the USA as a whole have been growing at nearly a perfect match to an exponential function. That should NOT be a surprise to anyone who faces the facts about the inherent structure of the MAD Money As Debt systems, which are the result of the biggest gangsters, the international banksters, sucessfully applying the methods of organized crime to the American political processes, in order to create the supreme achievement of organized crime, which is legalized counterfeiting.

http://www.zerohedge.com/news/2015-08-10/sad-truth-about-state-financial-system-today

The Sad Truth About the State of the Financial System Today

Phoenix Capital routinely underestimates the degree to which the established systems are based upon triumphant organized crime creating systems operating ENFORCING FRAUDS. Furthermore, Phoenix Capital tends to be excessively financialized in the perspective it takes on the problems, which is correct enough, on its own superficial level, but otherwise profoundly wrong. The deeper levels of the Sad Truth about the financial system have been that "money" was created out of nothing as debts in order to "pay" for strip-mining the planet's natural resources at an exponential rate, which was being done through systems of legalized lies, backed by legalized violence, which were based on attitudes of the maximum possible evil deliberate ignorance towards the longer term consequences from doing that.

When the triumphant systems of organized crime that have been raping and plundering the planet reach some real limits of diminishing returns, that do not enable those to continue to grow at an exponential rate, the first and foremost places that will show up is through the fundamentally fraudulent financial accounting systems. However, as that happens, the kinds of irreconcilable social polarizations those triumphantly ENFORCED FRAUDS have driven will be revealed to have been relatively trivial compared to the more important ways that civilization had been behaving in criminally insane ways, due to it being controlled by systems based upon ENFORCING FRAUDS.

Phoenix Capital's series of articles continue to be correct, within their own limited domain, given their superficial view upon those issues. Although Phoenix Capital tends to present the bigger picture, (albeit within that limited context) more than most others, there continues to still be way too much taking for granted the ways that human beings have collectively become psychotic and criminally insane, due to civilization ending up being controlled by the most psychopathic people, who were the best at backing up lies with violence, which therefore resulted in our financial systems being based upon ENFORCING FRAUDS. Indeed, inside of that political economy, the basic ideas regarding "production" and the "producers" have been also perverted in absurdly backward ways.

By the time we realize the full extent of the consequences of having operated our political economy through runaway debt slavery systems generating debt insanity situations, that will then be relatively trivial compared to the overall consequences of the various ways that "money" made out of nothing has been "paying" to strip-mine the planet. By and large, it is practically impossible for the vast majority of people to perceive or assess the degree to which human systems have gone so wildly out of balance. Therefore, it is almost impossible to fully imagine what it would take to bring those back into better balance.

Of course, for almost everyone, including Phoenix Capital, and its potential clients, the apparently useful "actionable intelligence" is to endeavour to adapt in ways which "prepare" for life that continues to exist inside of the established social systems, based upon backing up lies with violence, that continue to mostly be able to get away with doing that ... DESPITE THAT BECOMING GLOBALIZED ELECTRONIC FRAUDS, BACKED BY THE FORCE OF ATOMIC BOMBS.

The essential problem continues to be prodigious progress in physical science, without that being surpassed by any progress in political science. In that context, the series of articles by Phoenix Capital correctly point out the degree to which the established systems of debt slavery have driven the development of numbers which have become debt insanities. However, other than for some vague deference to the possibilities that those may provoke death insanities, there is otherwise nothing remotely close to the kinds of profound paradigm shifts which would be necessary to develop better death control systems, which would be the only realistic solutions to the real problems.

So far, we have collectively been able to defer the debts onto the future, while that simultaneously also deferred the deaths into the future. As the established systems of ENFORCED FRAUDS enabled the strip-mining of the planet's natural resources to reach some limits of diminishing returns from being able to continue to do that, the debt engine treadmills (the bond market) became "exponentially larger than global GDP."

INTENSELY PARADOXICAL, YET CONSISTENT, CONTRADICTIONS ARISE FROM THE WAYS THAT CIVILIZATION NECESSARILY OPERATES AS ENTROPIC PUMPS OF ENERGY FLOWS, WHICH DELIBERATELY MISREPRESENT THEMSELVES IN THE MOST ABSURDLY BACKWARD WAYS POSSIBLE, IN THE FORM OF GOVERNMENTS ENFORCING FRAUDS BY PRIVATELY CONTROLLED BANKS.

Theoretically speaking, the history of paradigm shifts in physical science needs to be be recapitulated in political science. It is NOT possible to stop money from being measurement backed by murder. However, it would be possible for better understanding of that to enable doing that better. Of course, at the present time, the banksters, as well as the layers of their controlled opposition groups, do not want that better understood. Moreover, those in the controlled opposition continue to also be just as attached to deliberately misunderstanding that as those in the core organized crime groups.

We continue to rush towards the runaway debt insanities provoking death insanities, without any publicly significant ways that better understandings of that could play any adequate roles in those events spinning out of control, for a wide variety of reasons, mostly due to having built the entire economy on the basis of ENFORCING FRAUDS, which required attitudes of evil deliberate ignorance be generally maximized in order to enable that to happen.

I surely agree with Phoenix Capital's insistence upon the overall significance of the "bond bubble." However, as outlined above, the degrees to which the next round of crises will be exponentially worse than in 2008 are based upon the continuing exponential progress in physical science, without anything like that being allowed to happen in political science. Civilization continues to be controlled by systems of backing up lies with violence, as ENFORCED FRAUDS, which have been pumped up and UP by many orders of magnitude due to advancing technologies, while the basic attitudes maintained towards those sociopolitical systems continue to be based on the maximum possible deliberate ignorance, which willful blindness does not want to consider the deeper reasons for how and why we have ended up living in Wonderland Matrix Bizarro Worlds, that misrepresent and misunderstand the laws of nature in the most absurdly backward ways possible, due to the triumphs of systems based upon ENFORCING FRAUDS, which were the mechanisms that enabled the "bond bubble" to be blown up and UP!

http://www.zerohedge.com/news/2015-04-11/bad-things-were-2007-they-are-much-worse-now

As Bad As Things Were in 2007, They Are MUCH Worse Now

There is nobody that fully comprehends what it means for social pyramids systems, whose social successes were based upon being able to enforce frauds, to develop those systems at an exponential rate to become automated electronic frauds, backed by the threat of the force of atomic bombs. The only thing we know for sure is that those problems are getting worse, faster ... within which context I find it sadly laughable, to a macabre sense of humour, that Phoenix Capital concludes each of its series of articles with the assertions that it can provide "strategies you can use to not only protect your portfolio from a market downturn, but actually produce profits."

I believe that the series of Phoenix Capital articles that have been republished on Zero Hedge were correct about the growing magnitude of the "debt insanity," but that those articles have grossly understated that, and therefore, have also tended to grossly overstate the degree to which one could become prepared for the necessarily approaching times when those systems of enforced frauds are finally no longer able to continue to enforce those frauds, without that resulting in unprecedented levels of death insanities.

So far, I have never become aware of any relatively rational ways to be "prepared" for that kind of level of death insanities, that match the magnitudes of the existing debt insanities going through their final psychotic breakdowns and collapses into crazy chaos. I REPEAT, in my view, the only theoretically good way to attempt to "prepare" for globalized systems of electronic frauds, backed by the threat of force from atomic bombs, having their MAD systems being driven through psychotic breakdowns, and crazy collapses into chaos, is to endeavour to develop the kinds of intellectual scientific revolutions which were consistent with the physical sciences that made those technologies possible to be developed, in order that those were then applied to enforce financial frauds.

Nothing less than the development of progress through political science which was consistent with the progress in physical science is sufficient to prepare for the increasingly possible degrees of the psychotic breakdowns of enforced financial frauds that have developed to depend upon the kinds of advanced technologies that progress in physical sciences has made possible. Therefore, that is the only way in which I personally attempt to become "prepared" for the foreseeable future.

Although, at the present time, that the human species will commit collective suicide, in ways that can neither be prevented nor prepared for, seems far more probable to me, since it appears painfully obvious that the vast majority of people, in both the ruling classes, and those they rule over, continue to believe in various old-fashioned religions and ideologies, and continue to rely upon those beliefs with respect to how the runaway political problems of a technologically based civilization should be resolved, as well as with respect to how they personally could continue to become prepared to the failure of those approaches to succeed in doing so.

By and large, the contradictions are ENORMOUS and GROWING BIGGER, FASTER, between progress in physical science and technologies, versus practically NO progress in political science, due the degree to which that would require enough people facing the facts enough, which is something that the ruling classes do NOT WANT, while most of those they rule over also do NOT WANT! As far as I am aware of, at the present time, NOBODY has any genuine solutions to the political problems caused by pumping up and UP social pyramid systems based on being able to back up lies with violence, developing systems of enforced frauds that have achieved globalized electronic frauds, backed by the force of atomic bombs. NOBODY that I am aware of is able to either effectively prevent nor become prepared for those problems automatically becoming worse, faster, as those problems are actually doing, since their runaway debt insanities ARE headed towards provoking death insanities, on astronomically amplified scales which are impossible to fully imagine.

The Phoenix Capital series of articles are like a boy skipping stones across a very deep ocean. There is nothing there but the most superficial recognition of the magnitude of social storms that are brewing on the horizon of history. Of course, NONE of the banksters have any way to better understand their problems regarding how to keep on enforcing frauds, after those have become electronics backed by atomic energy, other than endeavouring to continue to be all-star can kickers.

While I agree that the ultimate crisis will be a central banking crisis, the reasons for that are the central banks are the ultimate expression of ENFORCING FRAUDS, in ways that the vast majority of people do not understand because they do not want to understand. Since that is the case, more radical truth is not going to make any real difference to the criminally crazy civilization that we are living inside, as it drives itself through its contradictions towards psychotic breakdowns. Almost nobody is able and willing to fully face the facts that they have had faith in a criminally insane system. The consequences are going to be spectacular psychotic breakdowns. However, even when that happens, most people will likely continue to cling to believing in bullshit, rather than begin to better understand how and why the current runaway debt insanities breaking down provoked death insanities.

The vast majority of people will probably continue to NOT want to understand that money is measurement backed by murder, while the public "money" systems were based on governments enforcing the banksters' frauds. The future of civilization will surely continue to be controlled by systems of enforced frauds, while too few people will ever want to understand that enough to change it, until any belated effort to change becomes too little, too late, to matter much anymore. The ultimate crisis will be a central banking crisis, BECAUSE social pyramid systems are based on being able to back up lies with violence, for generation after generation, so that most people have faith in lies, or believe in the banksters' bullshit.

Since that includes the controlled opposition groups just as much as it does the established systems, and that includes the ways that the dominate natural languages and philosophy of science were built on top of the biggest bullies' bullshit world views being the most prevalent social stories, more radical truth is many orders of magnitude more radical than what the series of articles from Phoenix Capital, et alia, have been presenting on Zero Hedge! We are living inside of a Bizarro Mirror World, or a Wonderland Matrix, where everything appears backward and absurd, including the bogus "solutions" proposed by the controlled opposition groups, just as much as the bullshit "solutions" promoted by the established systems of the banksters! To go more thoroughly through the analysis to recognize that not only is money measurement backed by murder, but it necessarily must be. Therefore, not only are the enforced financial frauds due to debt controls being backed up by death controls, but they necessarily must be.

To more fully understand the established systems, and their controlled opposition groups, one must admit and address the basic issues that governments are the biggest forms of organized crime, controlled by the best organized gangs of criminals, which currently happen to be the banksters, in which the National Central Banks are the National Kings of Fraud, while the Bank of International Settlements is the King of Kings of Fraud. One is NOT recognizing the deeper nature of the problem if one then proposes bogus "solutions" based on impossible ideals that should stop that from being the case. The only genuine solutions are to develop better systems of organized crime to control civilization (or the more probable default "solution" that civilization will destroy itself.)

The following was the best article from Phoenix Capital, as republished on Zero Hedge, that I have read so far!

http://www.zerohedge.com/news/2015-02-21/financial-house-cards-held-together-lies-and-fraud

A Financial House of Cards Held Together By Lies and Fraud

"Sitting atop this mountain of fraud

is the Federal Reserve …

the US Central Bank that

owes its very existence to fraud ...

The entire system is rotted structure built on a

foundation of lies, manipulations, and deceits.

... this time around, when stuff hits the fan,

the entire system will break ..."

The central banks are obviously run by liars, who do not know what to do other than keep on telling bigger lies. After all, that has worked well enough for them for Centuries. That their enforced frauds were on exponential growth curves, which are reaching some real limits, is NOT something that they ever had to cope with before. They were only prepared to continue to operate as professional liars and immaculate hypocrites within the established systems, while not having to deal with any opposition which was not also controlled to continue to operate within the same basic bullshit world view. The fundamental structure of the established systems are based on being able to continue doubling down on enforcing frauds ... Neither the central banksters, nor their controlled opposition, has anything else to offer in a public debate.

However, it is clear that the only things that they have actually prepared to do is to drive death insanity situations. After all, the ACTUAL systems are ENFORCED FRAUDS, which have operated as debt slavery backed by wars based on deceits. Thus, the ONLY things that the banksters are really doing is advancing their agenda to provoke more wars based on deceits. They are continuing to do that despite their MAD situations developing to the degree of electronic frauds backed by atomic bombs.

IF the opposition to the central banks was not almost totally controlled, THEN they would be proposing better death controls, to back up better debt controls. However, obviously, that is NOT the case. Instead, we continue to drown in bullshit, piled deeper! The FACTS are that money is measurement backed by murder. The ways that the vast majority of people continue to not want to understand that manifest in the ways that they continue to have faith in systems of ENFORCED FRAUDS, because of the history of civilization being built on the basis of backing up lies with violence becoming the currently established systems of legalized lies, backed by legalized violence, in the form of the established State Religion Monetary System, that people can have faith in only to the degree to which they continue to not want to understand how that actually works.

And also Radical Marijuana REPEATED
more typical blah, blah, blah, in reply
to another article by Phoenix Capital:

http://www.zerohedge.com/news/2015-02-20/central-banks-are-terrified-one-thing-bonds

The Central Banks Are Terrified of One Thing: BONDS

Phoenix Capital articles mistakenly presume to use Hanlon's Razor, (although those articles do not explicitly mention that.) The banksters have been acting on the basis of malice, not incompetence. Their political puppets, and the muppets that vote for those puppets, ARE mostly incompetent political idiots. Unfortunately, there are no good grounds to believe that will suddenly stop, because there are no good reasons to expect enough of "the stupid sheeple of the world waking up" to what the banksters have really done. (Of course, that has been getting exponentially worse for thousands of years, with the "past century" of events in the USA eventually becoming globally dominant, as the Federal Reserve Board plays a major role in the international banksters' systems.)

On the basis of all my research, experience, and on-going political experiments, I would roughly estimate "the stupid sheeple of the world" to be at least 99% of the population. One could justly label those incompetent political idiots as being Zombie Sheeple. The chances of them "waking up" ENOUGH appear slim. That is especially so because the established systems are a combination of organized crime and controlled opposition. Within the relatively small groups which are attempting to educate the masses of incompetent political idiots, almost all of those are what I describe as the Black Sheeple, or reactionary revolutionaries, whose efforts to educate the masses of mainstream morons are grossly deficient. They endeavour to lead the Zombie Sheeple backward, because they tend to do a relatively good analysis of the problems, but only on superficial levels. They propose bogus "solutions" which continue to be based on the same old false fundamental dichotomies and related impossible ideals. Those impossible ideals actually make the opposite happen in the real world.

The controlled opposition groups promote bogus "solutions" based on impossible ideals, because they are "waking up the stupid sheeple of the world" in ways which end up recommending that the "solutions" are that everyone should become better Sheeple. The standing social situation is that the most Vicious Wolves and their Domesticated Dogs are wolves in sheep's clothing. They have controlled the masses of Zombie Sheeple by using the methods of lies backed by violence for thousands of years. Those methods have become integrated systems of legalized lies, backed by legalized violence, through which the best organized gangs of criminals, the biggest gangsters, are the banksters, that effectively control the biggest forms of organized crime, the governments.

That IS based upon ENFORCED FRAUDS!

However, authors like Phoenix Capital, as well as most of those republished on Zero Hedge, continue being Black Sheeple. Hence, their notions of what the "solutions" should be are always shallow and silly, because they continue to believe in the same old-fashioned religious moralities and ideologies, that are based on false fundamental dichotomies and the related impossible ideals. Most people who make "money" for themselves, and their clients, do not want to fully face the fact that money is measurement backed by murder. They want to believe that "money" is based only upon production, which they could invest in. They do not want to address the issues that the production of destruction controls production. Anyone who is successfully making "money" is necessarily operating inside of the established systems of ENFORCED FRAUDS. The debt controls are backed by the death controls, and that must necessarily be the case. However, that tends to be as deliberately ignored and denied as possible, while there is an elaborate bullshit language, used by professional liars and immaculate hypocrites, in both the established systems and controlled opposition groups, in order appear to explain or defend systems of ENFORCED FRAUDS.

For thousands of years the biggest bullies' bullshit social stories have been dominating the natural languages that we use, as well as the philosophy of science. There continues to be almost total reliance upon understanding the world using DUALITIES, rather than by using more UNITARY MECHANISMS. So far, political science has made practically no progress, compared to physical sciences. It would take intellectual scientific revolutions for enough people to understand enough how the international banksters actually operate, in ways which would then lead to genuinely better resolutions of the real problems, (rather than yet again collapsing back to bogus "solutions" which still continued to operate too much inside of the banksters' world view.)

The Black Sheeple tend to endeavour to educate the Zombie Sheeple by waking them up to some of the central social facts, which have been lied about by omission by the public schools and mass media. However, those kinds of reactionary revolutionaries then try to lead the Sheeple backwards, because merely learning the social facts is not good enough. Rather, profoundly changing paradigms is necessary to perceive those central facts in radically different ways.

There are deeper levels of radical truths which authors like Phoenix Capital are not interested in. Indeed, the overwhelming vast majority of people are not interesting in thinking about the monetary and taxation systems to begin with, and even less interested in thinking in radically different ways about those issues. Therefore, as the established systems rush toward that debt slavery system generating numbers which have become debt insanities, which threaten to provoke death insanities, the banksters continue to be able to rely upon the basic social pyramid systems which have been developing at an exponential rate for thousands of years: there is practically nothing but ORGANIZED CRIME AND CONTROLLED OPPOSITION. To move beyond controlled opposition to the banksters' ENFORCED FRAUDS, requires more than merely recognizing the social facts about central banks, and the rest of the new royalty of Fraud Kings. The Black Sheeple are doing that kind of educating, but only on relatively superficial levels, and therefore, they are NOT waking up the Zombie Sheeple ENOUGH.

http://www.zerohedge.com/news/2015-01-19/beginning-end-100-trillion-bond-bubble

The Beginning of the End of the $100 TRILLION Bond Bubble

http://www.zerohedge.com/news/2015-02-19/central-bankers-worst-nightmares-are-unfolding-greece

Central Bankers' Worst Nightmares Are Unfolding in Greece

Phoenix Capital wrote:

"All of this is spending is being financed by borrowed money …"

To express the problem that way, and blame the politicians and the people for that, is grossly mistaken and misleading! The banksters are the biggest gangsters, that applied the methods of organized crime to the political processes, in order to realize the supreme achievement of organized crime, which is LEGALIZED COUNTERFEITING!

Almost the only surviving and successful politicians are the banksters' puppets. Many others were systematically discredited and destroyed, (one most noteworthy exception being President Andrew Jackson, who had to almost miraculously survive assassination attempts in order to defeat the banksters.) The vast majority of people are muppets, that were brainwashed to believe in bullshit their whole lives by the public school systems and the mass media. Furthermore, their individual lives tended to be more "successful" the more that they agreed with the bullies' bullshit world view, while they could be punished if they did not agree.

It is an insult to the study of history (which is particularly possible to do in the case of American history, which was always relatively well-documented) to not understand that the entire financial system became based on ENFORCED FRAUDS, because the international bankers were the biggest gangsters, that have persistently applied the methods of organized crime to the political processes, in order to make and maintain the established systems of LEGALIZED COUNTERFEITING.

"If history shows anything, it is that there’s no better way to justify relations founded on violence, to make such relations seem moral, than by reframing them in the language of debt — above all, because it immediately makes it seem that it’s the victim who’s doing something wrong." -- David Graeber

"Borrowing" "MONEY" MADE OUT OF NOTHING!

“The process by which banks create money is so simple that the mind is repelled.”

-- John Kenneth Galbraith

Articles like the series from Zero Hedge republished from Phoenix Capital are typical of the reactionary revolutionaries, who present superficial levels of the problems due to runaway DEBT INSANITIES, while tending to deliberately ignore the triumphant organized crime that made that happen. Rather, the political puppets and masses of muppets are blamed for what the international banksters have done. Furthermore, over and over, it is typical for those kinds of reactionary revolutionaries' shallow approach to the problems to then continue to propose matching levels of shallow solutions, which are pathetically silly, and ridiculous to the degree that they regard the social facts about the runaway DEBT INSANITIES, without addressing the driving mechanisms of that, which are GOVERNMENT ENFORCED BANKSTER FRAUDS.

IF one is serious of those problems that governments are the biggest form of organized crime, controlled by the best organized gangs of criminals, then one is required to face those facts, and conclude that the only realistic solutions are to change the real factors that made and maintained the problems. Such genuine solutions necessarily must address the crucial issues that money is measurement backed by murder, because the debt controls depend upon the death controls. However, since BOTH the established systems of organized crime, AND their controlled opposition groups, deliberately ignore and deny that, collectively "we" are necessarily still rushing at an exponential rate towards the runaway debt insanities provoking death insanities. Everything that postpones that from happening sooner, only means that the overall debt insanity situations will get worse and worse ... Therefore, nothing is being resolved, while the potentials to provoke death insanities continue to build and build!

"BONDS" are at the top of the social pyramid systems based on backing up legalized lies with legalized violence. Bond holders are the pyramidion people operating through the established systems of ENFORCED FRAUDS. Articles like those above are typically superficial views of the history of that situation, which therefore default to superficial suggestions for idealized "solutions." Despite that there EXIST globalized electronic frauds backed by the force of atomic bombs, the public debates about those developments are almost totally based on bullshit.

The degree to which current civilization is almost totally dominated by BULLSHIT is practically impossible to exaggerate! Given that FACT, there is practically no public discussion of more radical truths, other than by a few individuals who post comments on relatively fringe Web sites. Otherwise, the almost total dominance of BULLSHIT through BOTH the established systems of organized crime AND their controlled opposition continues to still overwhelmingly dominate. Hence, we can often read articles like the one above from Phoenix Capital, as republished on Zero Hedge, which correctly points out some of the increasingly obvious FACTS about runaway DEBT INSANITIES, while that is explained in ridiculously superficial ways ... Meanwhile, of course, the few fringe comments that remark about that will not make any significant difference, due to the degree that the ENFORCED FRAUDS are entrenched in BOTH the established systems AND their controlled opposition groups.

Hence, there are no good reasons to believe that any good solutions to those runaway problems will be able to be developed and implemented, because our society is too terminally sick and insane, because of the degree to which ENFORCING FRAUDS has become overwhelmingly dominant throughout all facets of the current civilization! There may well be theoretically possible realistic resolutions to the problems that ENFORCED FRAUDS ARE THE FOUNDATION OF THE POLITICAL ECONOMY, however, almost nobody is able and willing to discuss that, rather than continue to parrot the banksters' bullshit regarding that social situation.

Max Keiser appropriately popularized the phrase that the biggest banks were FINANCIAL TERRORISTS. That is a correct summary of how the banksters actually have always operated, and therefore, how and why the "bond market" is in the shape it is now in, with its runaway debt insanity situations automatically getting worse, faster! When one thinks about the central banks being terrified of bonds, one should remember that those banks are the greatest FINANCIAL TERRORISTS. Phoenix Capital is NOT doing that, but rather indulges in blaming the banksters' political puppets and the masses of muppets, for the problems which are actually do to the mechanisms of the methods of organized crime applied by the banksters to the political processes, in order to achieve the LEGALIZED COUNTERFEITING OF THE PUBLIC "MONEY" SUPPLY BY PRIVATELY CONTROLLED BANKS.

Given the magnitude of that problem that civilization is controlled by organized crime, including that the only public significant opposition is also controlled too, the overall social situation is that our society is terminally sick and insane. A few of the readers of Zero Hedge may commiserate with that, but none of them can do much, given the degree to which the established monetary systems have become like totally metastasized cancers, or parasites that are killing their host. Since money is the mother's milk of politics, and the oxygen to every possible political fire, the almost total vicious spirals of crazy and corrupt money, provoking even more crazy and corrupt civilization, have no apparent practically possible solutions ...

I would like to day dream that somehow, while that is happening, some of the more fringe individuals' correct deeper analyses of those problems would find some way to become developed as more genuinely realistic solutions. However, the established systems and their controlled opposition groups are quite dominated by the best professional liars and immaculate hypocrites. In those groups, I would include Phoenix Capital, due to how the series of articles about the "bond market" developing runaway debt insanities was presented as something which could be blamed on the public political processes.

The deeper paradoxes, which authors like Phoenix Capital are not wiling and able to embrace, are that human beings fundamentally operate as robbers in their environment, to the degree that we define them as separate from the environment. Human beings and human civilizations operate as entropic pumps of energy flows, which phenomena have been misunderstood in the most bullshit ways possible by the biggest bullies, which are currently the banksters. Therefore, while everyone operates through systems of organized lies and robberies, the political systems have assembled and channeled that to become that the public powers have effectively been PRIVATIZED. The big banks, and the big corporations that grew up around those banks, have effectively privatized the public powers of government to rob, and to kill to back up that robbery (expressed as taxation and enforcing the rule of law.)

FRAUD IS SYMBOLIC ROBBERY. That is what the banksters were doing, 24/7, every day of the year, for year after year, decade after decade, for Centuries, as those ENFORCED FRAUDS automatically got worse, faster, at a pretty well exponential rate, which is how and why we ended up with the "bond market" developing runaway debt insanities! However, so far, one can certainly count on authors like Phoenix Capital continuing to deliberately ignore that, while still parroting the bullshit reasons that blame the people and the politicians for the ways that civilization actually operates according to the principles and methods of organized crime.

By and large, most people never change their political opinions on the basis of more rational evidence and logical arguments, since their opinions were actually formed through the long history of successfully backing up lies with violence, which are successful by deliberately ignoring any more rational evidence and logical arguments regarding that social situation. Human beings must necessarily operate as systems of organized lies and robbery, while it necessarily developed that those who were the most successful at doing that dominated society.

EVERYONE has some power to rob and to kill. However, those powers have been assembled and channeled through governments, corporations, (and other institutions.) Almost EVERYONE has been brainwashed to believe bullshit regarding the basic facts of life. In terms of well-established social taboos, those revolving around money are actually much greater than those revolving around sex, as demonstrated by the degree to which most people are not aware of that.

EVERYONE must live through some system of lies operating robberies. The degree to which people do not know that, and do not want to know that, is the degree to which money IS measurement backed by murder, while the vast majority of people do not see that, nor do they want to see that, which has enabled the banksters' ENFORCED FRAUDS to become runaway criminal insanities, without any significant opposition, because almost all of the publicly significant opposition is controlled to stay within the biggest bullies' bullshit world view, such as demonstrated in articles by Phoenix Capital, et alia ... There are no effective ways to organize better opposition, to put up enough resistance to change the path of least resistance. Therefore, the established systems continue to flow along their paths of least resistance, which are the human paths of least morality.

The tragic trajectory that I believe we are on now is that we are running out of time, or perhaps have already run out of time, to be able to understand our real problems enough to develop some real solutions to those problems. Anyone who wants to can spend the time to learn about the history of the monetary and taxation systems, and how and why the banksters were able to covertly take control over that through the persistent application of the methods of organized crime to the political processes, until we have reached the point where we are at now, which is central planning done by central banks, which are based on being able to ENFORCE FRAUDS, and therefore, are engaged in criminally insane forms of central planning.

Paradoxically, the problems are NOT the abstract concept of planning, but rather, the social successes of planning based on being skilfully deceitful, in order to make and maintain government enforced frauds perpetrated by the central banks, as the current new royalty, or Kings of Fraud, which have captured control over the powers of sovereign states, originally forged by the surviving War Kings, to enable society to be controlled by systems of legalized lies, backed by legalized violence, which are fantastically lucrative for the banksters, and their oligarchical, plutocratic class, while everyone else automatically gets screwed worse and worse!

The BASICS are that the death controls are central to human ecology, and the political economy is inside that human ecology. There are, and must necessarily be, combined money/murder systems. However, those systems have become most socially successful by being done through the maximum possible deceits and frauds. The current situation with the "bond market" developing runaway debt insanities are due to those reasons, however, since the established systems are based on organized crime, surrounded by controlled opposition groups, almost nobody in the public spaces is going to state those radical truths.

In that context, meanwhile, I have always found that the more I learned, the worse it got! It seems we have run out of time to adapt in any better ways. Our society is ALREADY terminally sick and insane! There appears like there can be nothing else than palliative care, because of the degree to which the established systems of organized crime and controlled opposition are dominated by professional liars and immaculate hypocrites, whose primary skills are to BULLSHIT, while they continue to deliberately ignore and deny the basic social facts, which theoretically they should pay attention to, but do not want to.

In my view, that tragic trajectory is demonstrated by the series of articles from Phoenix Capital, which correctly summary the FACTS regarding the statistics which show the "bond market" developing runaway debt insanities, YET CONTINUE TO "EXPLAIN" THAT IN SILLY, SUPERFICIAL WAYS, BASED ON THE SAME OLD BULLSHIT, WHICH THE BANKSTERS HAVE POPULARIZED BY SUCCESSFULLY ACTING LIKE FINANCIAL TERRORISTS.

The banksters are not so much "terrified" as they ARE the primary "terrorists." Since human beings have developed their death controls through the history of warfare, whose successes were based on deceits, and that became the foundation for a political economy based on ENFORCED FRAUDS, there are NO theoretically possible real resolutions to our problems which are not changes in the death controls (which then could back up changed debt controls.) However, since the established systems are due to organized crime being surrounded by controlled opposition, all of which are run by professional hypocrites, there are no good reasons to believe that human beings could actually develop any better death controls.

But nevertheless, from a theoretical point of view, THOSE ARE THE ONLY GENUINE SOLUTIONS, because the real problems are due to the real history of the death controls, backing up the debt controls, to create the "bond market" developing runaway debt insanities ... Given the degree to which only fringe of a fringe of a fringe of the people understand that, while the public spaces are almost totally dominated by the established systems of organized crime, surrounded by controlled opposition, the DEFAULT "solutions" to the problems of ENFORCED FRAUDS DRIVING DEBT INSANITIES ARE DEATH INSANITIES.

While I WISH that I could come to some other conclusion, I find no way that retains any intellectual integrity to avoid the view that we are headed towards the international banksters switching gears significantly from being FINANCIAL TERRORISTS who promoted ENFORCED FRAUDS, to becoming much worse TERRORISTS, who will be provoking much more genocidal wars, along with democidal martial law. As that happens, the only theoretically better resolutions of the problems would be to develop better death control systems. However, it appears that we are now in a terminal state of having been blinded by bullshit.

The ways that the monetary and taxation systems actually work is a massive blind spot in the minds of vast majority of people, especially since they mostly feel like they want to stay that way! Articles like the series from Phoenix Capital show how that works, by otherwise well-educated individuals facing the financial facts, and expressing their concerns about those, without ever looking any deeper into how and why that situation developed, and therefore, not moving from deeper analyses to deeper syntheses of realistic solutions which face what the real problems are!

Wed, 09/09/2015 - 12:08 | 6526928 Sedaeng
Sedaeng's picture

Lengthier than most articles posted here on ZH !

...we are now in a terminal state...

Here is the condensed version. lol

Wed, 09/09/2015 - 13:39 | 6527400 Radical Marijuana
Radical Marijuana's picture

Yes, SolarSystem1932, but then that applies just as much to Phoenix Capital, as it does to me. Since those articles tend to be repeatedly featured under the Zero Hedge banner, I also felt like repeating what I have already commented under previous Phoenix Capital articles, by editing those together.

Wed, 09/09/2015 - 00:29 | 6525465 SpankyBeMe
SpankyBeMe's picture

3 questions. Are you a certified economist (you seem to be extraordiarily well versed in studying banks and the federal reserve)? You have defined the problem, but what is your proposed solution? And lastly can you point to a country or civilization presently or in the past that had a healthy set of policies for dealing with their economy? Hong Komg?

Sun, 09/13/2015 - 14:30 | 6527375 Radical Marijuana
Radical Marijuana's picture

SpankyBeMe, no, I am not a "certified economist." Rather, I am currently running a registered political party in Canada, which was what I ended up doing after decades of protesting the nuclear arms race, transforming into protesting the POLITICAL FUNDING, which is the place where the maximum leverage exists over the combined money/murder systems.

I can not unwind the history that has ALREADY wound us up and UP. It is nice to imagine what the USA would have become if its public money supply always had continued to be backed by gold and silver, whose value was set by Congress. However, IN FACT, the international banksters were able to recapture control over the American public "money" supply, and that has generated runaway exponential growth of that debt slavery system, to become DEBT INSANITIES. (Phoenix Capital's series of articles have been correctly outlining the magnitude of those DEBT INSANITIES, but not going through deeper analyses regarding how and why those are the PROBLEMS!)

I like to attempt to do what I refer to as the hardest political science fiction possible, which is to tack into the wind as close as possible, without going to far, (when, in that sailing metaphor, the sails start to luff.) It is NOT possible to simply sail into the wind, one has to tack back and forth across that wind. Of course, if or when the social storms blow through hard enough, one has to change drastically to attempt to survive during such storms, and may not be able to sail against the wind at all during those times.

Overall, the basic problems are that the debt controls are backed by the death controls. Therefore, the debt insanities are headed towards provoking death insanities. The ONLY realistic resolutions to those real problems MUST be the development of different death control systems, which ideally should be better, because enough people understood those better.

I am NOT able to point out any of the various reincarnations of Neolithic Civilizations that had "a healthy set of policies for dealing with the economy."  Many traditional societies, that adapted to live for thousands of years in the same place, eventually developed cultures which became more balanced with the natural environment. However, all of those were wiped out by the invasions of the Neolithic Civilizations, based on their advanced systems of backing up lies with violence.

My basic view is BACKWARDS to what most people presume, because I believe that the world is already "perfect." Energy is already being conserved. Energy systems are already selecting for those systems which enable their own systems to continue, more or less. My recommendations for "solutions" are based upon series of intellectual scientific revolutions, that apply through political science, to the combined money/murder systems. Human beings should develop better mental models of their world and themselves. However, the primary obstacles in the way of doing that now are the degree to which the history of successful warfare was based upon deceits, while then the history of successful finance was based upon frauds.

In that context, the genuine "solutions" are quite intensely paradoxical, because those must necessarily become better murder systems, to back up better monetary systems. (However, so far in human history, the best were those based upon ENFORCING FRAUDS, in ways that the vast majority of people did not understanding because they had been conditioned to not want to understand.) "Better" sociopolitical systems should be based upon better understanding of how human artificial selection systems fit inside of natural selection systems. (There are now INTENSE PARADOXES within politics, due to the previous history of the most successful warfare being based upon deceits and treacheries.) In the end, all of that boils down to the BIG PROBLEM of how to operate human death controls after the development of weapons of mass destruction ???

So far, the first generation that was born into that situation, which is still alive today, has done nothing but continue to back up the previously existing MAD Money As Debt systems, with the policies of MAD Mutual Assured Destruction. What I recommend is that we change the established economy based upon ENFORCING FRAUDS, in ways that should stop ignoring the principle of the conservation of energy as much as possible, and should stop misunderstanding the concept of entropy in absurdly backward ways. All of that would then apply to radically change the ways that we perceived and operated the death controls, that back up the debt controls.

That only MIGHT become possible after going through the bottleneck of the current runaway debt insanities having provoked death insanities. Those scenarios are so wildly unpredictable at the present time that one can only speculate about the range of abstract ideas that MIGHT be able to respond to whatever those situations become ???

Wed, 09/09/2015 - 01:37 | 6525550 Money Counterfeiter
Money Counterfeiter's picture

3 questions. Are you a certified economist (you seem to be extraordinarily well versed in studying banks and the Federal Reserve)?

 

I have been a professor 25 years.  Economics is the study of bull shit and fairy tales.

You have defined the problem, but what is your proposed solution?

Bankruptcy, end the Fed, gold as money, full reserve banking.  Silver works just as well.

                                                     
And lastly can you point to a country or civilization presently or in the past that had a healthy set of policies for dealing with their economy?

None is best.  USA 1837-62.  No central bank, free banking.

Wed, 09/09/2015 - 08:13 | 6525945 messymerry
messymerry's picture

TLDR ; No time for tomes...

;-D 

 

Wed, 09/09/2015 - 00:04 | 6525408 SFopolis
SFopolis's picture

Jesus.

Wed, 09/09/2015 - 11:40 | 6526769 JLO
JLO's picture

That name will set you up for a fall:

How about a challenge? Take the book and read these passages. And ill give you a hint. Hold the book earnestly with both hands as if your tilling a land, laboring with all your might.

Isaiah 5.12
Isaiah 42.1
Isaiah 44.20

Know the good. Know the evil. And only then. Put forth your hand and take also of the tree of life and live.(Gen 3.22)
And putting forth A hand, usually means letting go...

 

Isaiah 41:13 For I the LORD thy God will hold thy right hand, saying unto thee, Fear not; I will help thee.

 

As a bible reader you should know where the beginning of the next passage is found:

Isaiah 51:13 And forgettest the LORD thy maker, that hath stretched forth the heavens, and laid the foundations of the earth; and hast feared continually every day because of the fury of the oppressor, as if he were ready to destroy? and where is the fury of the oppressor?

But do you know whats at the end of the book?

 

 

PEACE

Wed, 09/09/2015 - 15:39 | 6527905 JLO
JLO's picture
http://www.parents.com/toddlers-preschoolers/development/behavioral/why-toddlers-love-repetition/

Two things that I would like to point out in this article are:

1. Why toddlers love repetition.

2. Why adults love variety.

This articles has NO relationship to the bible whatsoever. But there is something more here that we are missing. And how we as adults still learn best by repetition but in a variety.

The 5 passages from Isaiah show a particular relationship with the book itself that no other book holds. For One, Isaiah contains 66 chapters. And the bible as a whole is one book with 66 separate books. And secondly, he holds the distinction as the most prophetic writer in the book outside of the first 5 books (Genesis, Exodus, Leviticus, Numbers, Deuteronomy). And the reason I say outside of the first 5 books is because Isaiah only brings to the table the same words, laws, and visions God had already given to Moses. ALL the rest (3 major prophets. 12 minor prophets) is just REPETITION in the form of a VARIETY

But just to crack the nut for you!

They all say the same thing.

Wed, 09/09/2015 - 15:58 | 6528106 JLO
JLO's picture

Dear God. Thank you for giving strength to the weak. Failure to the strong. Your hand will lighten upon those that have separated themselves from you and they shall see truth.....Remember the song of Moses and his triumph over the great SEE......Which God divided.....

Tue, 09/08/2015 - 19:34 | 6524480 elephant
elephant's picture

For me, THE crisis has been taking these doomer websites seriously.

Tue, 09/08/2015 - 13:25 | 6522966 SUNKNIGHT2010
SUNKNIGHT2010's picture

It is true that it will take time for this economic tragedy to fully unfold . But for those who are thinking 30-70 years for this to happen . You're wrong !
The levels of debt are beyond belief now & society is undeniably falling slowly apart. It took time for events to build up where WW1 & WW 2 started or the Great Depression of 1929 . Once a certain point is reached ,events then ,proceed VERY rapidly ,especially with how everything is interconnected now , Sorry people but this is NOT a crisis your grandkids will have to face . We the human race NOW , will suffer the consequences of our folly and they WILL be severe !

Tue, 09/08/2015 - 13:15 | 6522925 Comte d'herblay
Comte d'herblay's picture

"......Because we never actually pay our debt off (or rarely do), what we do is ROLL OVER debt when it comes due, so that investors continue to receive interest payments but never actually get the money back… because the US Government doesn’t have it… because it’s still spending more money than it takes in via taxes."

 

Interest payments in lieu of principal payback:  You don't need to pay the principal back unless your creditors demand it.  Many creditors are content to lend their money out and get back twice or three times as much as they lent out. Look at the 30 yr mortgage that most home buyers take out.  The interest on that loan earned by the lending institution, can easily exceed principal by double the amount lent out.  

Until the world's creditors to the U.S. mainly Japan and China, (Israel won't lend us any money so what's up with our so-alled greatest ally treating us like a poor risk, when we GIVE them billions every year now approaching a trillion dollars. since we started) demand their principal back, not to worry.  They know that if they were to do that, they'd never see another dime let alone their principal. 

Tue, 09/08/2015 - 13:30 | 6522981 SUNKNIGHT2010
SUNKNIGHT2010's picture

Sorry but history has well shown that no one can build these tremendous levels of debt without catastrophic consequences as a result !

Wed, 09/09/2015 - 10:51 | 6526497 Comte d'herblay
Comte d'herblay's picture

Recent "history" loudly proclaims that "old history" is as obsolete and extinct as the Radio Shack TS:

http://www.oldcomputers.net/pics/trs80-i.jpg

Recent documented history states that the new pair o' dimes is summed up, with a ribbon on top as:  Too Big Too FAIL.

If Goldman Sucks, AIG, Dick Fuld, Angelo Mozilo, Merrill Lynch and all the other Zionist Jewish financial ripoff institutions with black-eyed, steely jawed denizens were anointed as T B T F, then an entity as large as the United States (at least until Californica, and Jew Nork fall into their respective oceans) is way galactically beyond failing.

Comparing the U.S. to some podunk, puny assed country no bigger than a Jerrold Nadler sized country is stupid beyond belief.

 

 

Wed, 09/09/2015 - 02:51 | 6525614 Boris Alatovkrap
Boris Alatovkrap's picture

Boris is get first credit card from Tinkoff Bank in 1993, and after few year is realize, Tinkoff is not care if Boris is ever repayment of principal, but is only care Boris is pay monthly interest. This is also true in Amerika, no? Bank is business of debt lending, so more debt is good for bank. Bank is not desire repay loan, but is only interest for interest payment. Principal is not even exist, is just entry in bank ledger, but interest is sweat of brow and labor of man. This is what bank is extract from working people.

Wed, 09/09/2015 - 03:40 | 6525663 dreadnaught
dreadnaught's picture

The Bankers think the same way with Nations="Just pay the interest"

Tue, 09/08/2015 - 12:26 | 6522764 fainzilberg
fainzilberg's picture

it's a long way ahead. before US going broke a lot of terrible things will happen 

Wed, 09/09/2015 - 02:46 | 6525608 Boris Alatovkrap
Boris Alatovkrap's picture

Crisis is not stock, not bond, not real estate, but is velocity. Question is how fast is can bank kabal to skim margin before player is panic and move from soft asset in bank-o-sphere to hard asset. This is end game for scheme of ponzi.

...but what is Boris know!?

Wed, 09/09/2015 - 08:10 | 6525936 messymerry
messymerry's picture

Boris knows Potemkin...

;-D 

 

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