The Deep State: Source Of All Negativity

Tyler Durden's picture

Submitted by Doug Casey via,

I’d like to address some aspects of the Greater Depression in this essay.

I’m here to tell you that the inevitable became reality in 2008. We’ve had an interlude over the last few years financed by trillions of new currency units.

However, the economic clock on the wall is reading the same time as it was in 2007, and the Black Horsemen of your worst financial nightmares are about to again crash through the doors and end the party. And this time, they won’t be riding children’s ponies, but armored Percherons.

To refresh your memory, let me recount what a depression is.

The best general definition is: A period of time when most people’s standard of living drops significantly. By that definition, the Greater Depression started in 2008, although historians may someday say it began in 1971, when real wages started falling.

It’s also a period of time when distortions and misallocations of capital are liquidated, and when the business cycle, which is caused exclusively by currency debasement, also known as inflation, climaxes. That results in high unemployment, business failures, uncompleted construction, bond defaults, stock market crashes, and the like.

Fortunately, for those who benefit from the status quo, and members of something called the Deep State, the trillions of new currency units delayed the liquidation. But they also ensured it will now happen on a much grander scale.

The Deep State is an extremely powerful network that controls nearly everything around you. You won’t read about it in the news because it controls the news. Politicians won’t talk about it publicly. That would be like a mobster discussing murder and robbery on the 6 o’clock news. You could say the Deep State is hidden, but it’s only hidden in plain sight.

The Deep State is the source of every negative thing that’s happening right now. To survive the coming rough times, it’s essential for you to know what it’s all about.

The State

Now, what causes economic problems? With the exception of natural events like fires, floods, and earthquakes, they’re all caused directly and indirectly by the State, through its wars, taxes, regulations, and inflation.

Yes, yes, I know this is an oversimplification, that human nature is really at fault, and the institution of the State is only a mass dramatization of the psychological aberrations and demons that lie within us all. But we don’t have time to go all the way down the rabbit hole, so let’s just talk about the proximate rather than the ultimate causes of the Greater Depression. And here, I want to talk about the nature of the State, in general, and then something called the Deep State, in particular.

A key takeaway, and I emphasize that because I expect it to otherwise bounce off the programmed psyches of most people, is that the very idea of the State itself is poisonous, evil, and intrinsically destructive. But, like so many bad ideas, people have come to assume it’s part of the cosmic firmament, when it’s really just a monstrous scam. It’s a fraud, like your belief that you have a right to free speech because of the First Amendment, or a right to be armed because of the Second Amendment. No, you don’t. The U.S. Constitution is just an arbitrary piece of paper...entirely apart from the fact the whole thing is now just a dead letter. You have a right to free speech and to be armed because they’re necessary parts of being a free person, not because of what a political document says.

Even though the essence of the State is coercion, people have been taught to love and respect it. Most people think of the State in the quaint light of a grade school civics book. They think it has something to do with “We the People” electing a Jimmy Stewart character to represent them. That ideal has always been a pernicious fiction, because it idealizes, sanitizes, and legitimizes an intrinsically evil and destructive institution, which is based on force. As Mao once said, political power comes out of the barrel of a gun. But things have gone far beyond that. We’re now in the Deep State.

The Deep State

The concept of the Deep State originated in Turkey, which is appropriate, since it’s the heir to the totally corrupt Byzantine and Ottoman empires. And in the best Byzantine manner, the Deep State has insinuated itself throughout the fabric of what once was America. Its tendrils reach from Washington down to every part of civil society. Like a metastasized cancer, it can no longer be easily eradicated.

I used to joke that there was nothing wrong with Washington that 10 megatons on the capital couldn’t cure. But I don’t say that anymore. Partially because it’s too dangerous, but mainly because it’s now untrue. What’s now needed is 10 megatons on the capital, and four more bursts in a quadrant 10 miles out.

In many ways, Washington models itself after another city with a Deep State, ancient Rome. Here’s how a Victorian freethinker, Winwood Reade, accurately described it:

Rome lived upon its principal till ruin stared it in the face. Industry is the only true source of wealth, and there was no industry in Rome. By day the Ostia road was crowded with carts and muleteers, carrying to the great city the silks and spices of the East, the marble of Asia Minor, the timber of the Atlas, the grain of Africa and Egypt; and the carts brought out nothing but loads of dung. That was their return cargo.

The Deep State controls the political and economic essence of the U.S. This is much more than observing that there’s no real difference between the left and right wings of the Demopublican Party. It’s well known by anyone with any sense (that is, by everybody except the average voter) that although the Republicans say they believe in economic freedom (but don’t), they definitely don’t believe in social freedom. And the Democrats say they believe in social freedom (but don’t), but they definitely don’t believe in economic freedom.

Who Is Part of the Deep State?

The American Deep State is a real, but informal, structure that has arisen to not just profit from, but control, the State.

The Deep State has a life of its own, like the government itself. It’s composed of top-echelon employees of a dozen Praetorian agencies, like the FBI, CIA, and generals, admirals, and other military operatives...long-term congressmen and senators...and directors of important regulatory agencies.

But Deep State is much broader than just the government. It includes the heads of major corporations, all of whom are heavily involved in selling to the State and enabling it. That absolutely includes Silicon Valley, although those guys at least have a sense of humor, evidenced by their “Don’t Be Evil” motto. It also includes all the top people in the Fed, and the heads of all the major banks, brokers, and insurers. Add the presidents and many professors at top universities, which act as Deep State recruiting centers...all the top media figures, of course...and many regulars at things like Bohemian Grove and the Council on Foreign Relations. They epitomize the status quo, held together by power, money, and propaganda.

Altogether, I’ll guess these people number a thousand or so. You might analogize the structure of the Deep State with a huge pack of dogs. The people I’ve just described are the top dogs.

But there are hundreds of thousands more who aren’t at the nexus, but who directly depend on them, have considerable clout, and support the Deep State because it supports them. This includes many of the wealthy, especially those who got that way thanks to their State connections...the 1.5 million people who have top secret clearances (that’s a shocking, but accurate, number)... plus top players in organized crime, especially the illegal drug business, little of which would exist without the State. Plus mid-level types in the police and military, corporations, and non-governmental organizations.

These are what you might call the running dogs.

Beyond that are the scores and scores of millions who depend on things remaining the way they are. Like the 50%-plus of Americans who are net recipients of benefits from the State...the 60 million on Social Security...the 66 million on Medicaid...the 50 million on food stamps...the many millions on hundreds of other programs... the 23 million government employees and most of their families. In fact, let’s include the many millions of average Joes and Janes who are just getting by.

You might call this level of people, the vast majority of the population, whipped dogs. They both love and fear their master, they’ll do as they’re told, and they’ll roll over on their backs and wet themselves if confronted by a top dog or running dog who feels they’re out of line. These three types of dogs make up the vast majority of the U.S. population. I trust you aren’t among them. I consider myself a Lone Wolf in this context and hope you are, too. Unfortunately, however, dogs are enemies of wolves, and tend to hunt them down.

The Deep State is destructive, but it’s great for the people in it. And, like any living organism, its prime directive is: Survive! It survives by indoctrinating the fiction that it’s both good and necessary. However, it’s a parasite that promotes the ridiculous notion that everyone can live at the expense of society.

Is it a conspiracy, headed by a man stroking a white cat? I think not. I find it’s hard enough to get a bunch of friends to agree on what movie to see, much less a bunch of power-hungry miscreants bent on running everyone’s lives. But, on the other hand, the top dogs all know each other, went to the same schools, belong to the same clubs, socialize, and, most important, have common interests, values, and philosophies.

The American Deep State rotates around the Washington Beltway. It imports America’s wealth as tax revenue. A lot of that wealth is consumed there by useless mouths. And then, it exports things that reinforce the Deep State, including wars, fiat currency, and destructive policies. This is unsustainable simply because nothing of value comes out of the city.

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DavidPierre's picture
CIA Secrets of the Deep State with Peter Dale Scott

TBT or not TBT's picture

Teachers' unions, Treasury worker unions, et al, are the Deep State.  Lois Lerner and company. 

Ignatius's picture

This interview with author and CIA/DEA expert Douglas Valentine forms a couple of corner pillars for understanding these issues.  Doug's credibility comes from the fact that he was granted an interview with former CIA Director William Colby from whom he was introduced around to other high level CIA/DEA officials.

palmereldritch's picture

President Truman signs the National Security Act Amendment of 1949 in the Oval Office.

Originating as a unit to decipher coded communications in World War II, it was officially formed as the NSA by Harry S. Truman in 1952. Since then, it has become one of the largest of U.S. intelligence organizations in terms of personnel and budget,[6][17] operating as part of the Department of Defense and simultaneously reporting to the Director of National Intelligence.

Plan B (Post-National Socialism meets Communism failure) - I love it when a plan (even the secondary plan) comes together


OldPhart's picture

I once met Harry Truman.  Held me on his lap, I was one.

I should have shit on him.

VinceFostersGhost's picture




has arisen to not just profit from, but control, the State.


Scratch Eric Cantor.


Scratch John Boehner.


Scratch Kevin McCarthy.




Deal with it Shep Smith.

jeff montanye's picture

and while we are considering the bad decisions harry truman made, let us never forget the worst:

palmereldritch's picture

Completing the trifecta...because you can't oppose your social engineers until you recognize you are being socially engineered(and no, I'm not talking about the Jooooos)

willwork4food's picture

Is it a conspiracy, headed by a man stroking a white cat?

Look at their historical record: child abductions and underage sex, unmitigated killings of vast number of innocents to further a change in social perceptions, outright lies on record from goverrment or .gov SEC jurisdictions that have received no judicial action while normal people just trying to get by are busted, jailed, assets confiscated by possessing a few pounds of pot.

Bullshit, they are part of a cult, an order, an ancient dark way and they have a ruler who isn't coporal as we understand life if you know what I mean and I think you do.

r00t61's picture

The Deep State, with all these people involved, sounds like a "conspiracy."

And yet this is the same Doug Casey that dismisses manipulation of the gold price as silly "conspiracy theory."


lincolnsteffens's picture

Where ever governments reside with Public money to spend the corruptors decend like locusts. 'Twas ever thus.

Bendromeda Strain's picture

Bullshit, they are part of a cult, an order, an ancient dark way and they have a ruler who isn't coporal as we understand life if you know what I mean and I think you do.

There is a video out there and forgive me for not having it handy, but a General's wife described an inner ring of the Deep State club as requiring initiation in a coffin and a whole lot of skull n' bones type flaptwaddle. Of course she was dismissed as an alcoholic crone, lashing out at being dumped for a mistress or some such.

When Cecil Rhodes and the Rothschilds banking syndicate joined forces, they instituted roundtable organizations that consisted of rings within rings. I daresay the folks Mr. Casey describes are certainly not in the center ring (where the ringmaster resides).

Cognitive Dissonance's picture

A riddle, wrapped in a mystery, inside an enigma.

WOAR's picture

And it came bearing gifts!

old naughty's picture


Stink to high heavens, that's the plan, no?

DavidPierre's picture

"... there is COG (deep state) involvement in the Kennedy assassination, in Watergate, in the October Surprise, which prevented the re-election of Carter, in Iran-Contra and most obviously in 9/11, which is the day they implemented it for the first time."

Bendromeda Strain's picture

Huh? You differentiate between involvement and implementation in an undefined way. Deep State most certainly a) got the German in country to wire the Murrah Bldg, b) killed that black OKC cop that was compiling evidence, and c) made John Doe #2 disappear. If that doesn't qualify as implementation, I'm not sure what does.

jeff montanye's picture

really.  i bet jackie kennedy thought it had been implemented to a fare thee well.

junction's picture

Winwood Reade's description of Rome is flawed, since what went out from Rome empire central headquarters were orders to its armed forces stationed near, the Praetorian Guard and far, troops guarding the empire's perimeter at Hadrian's Wall.  The Western Empire's final fall (and the Eastern Empire's massive plague outbreak) was the aftermath of the climate crisis catastophe that followed the super-eruption of Krakatau in 535 AD.  This event was the subject of the first "Secrets Of The Dead" PBS series episode, "Catastrophe!" in 2000.

OldPhart's picture

A bunch of bullshit in words of orders, demands and requests is what you're saying.

But the ultimate, hard export of Rome is actual bullshit, horseshit, and chickenshit.

Seems pretty similar to Whoreington DC today.

RafterManFMJ's picture

I seem to remember the imperial silver mines in Spain went dry, and shit got serious after that.

Bendromeda Strain's picture

Yeah, the coin clippers "got to work".

/with apologies to Mr. Yellen

jeff montanye's picture

i'm thinking those silver mines were in peru, etc.  and it wasn't so much the mines stopped poducing as it was that compound interest on debt the spanish crown owed some cosmopolites in the netherlands outran the production, even though the treasure ships toward the end never even went back to spain but sailed directly to holland to placate the banksters of that day.

Bloppy's picture

Spending any time around DC politics you'll learn fast that they have absolutely no concern with how anyone feels, it's their country to run as they see fit. The rest of us aren't worthy. If we were, we'd live inside the Beltway!




Harvard's ‘Drone Olympics’ aims to change negative image, 'excite the public'

A Lunatic's picture

Give a shit fatigue.....

Yen Cross's picture

   Well, excluding hormones, societable variables, hands to manipulate and build, and menstrual cycles, we're just sentient robots?


  Tell me why/

 Avoid the "Deep State". Get some exercise, and read a few books.

  Being able to spend several hours in ocular comprehension mode is highly gratifying.

 Stay focused, and listen to the needs of others as opposed to giving advice, or judging others.

 If someone wants your advice, they'll ask for it.

813kml's picture

Thanks for the advice, you must have read my mind.


Yen Cross's picture

 You, my friend, are one of the reasons I come to Zero Hedge {every day}

 Thank You

RafterManFMJ's picture

Get a room! :)

A seriously see a few posters that could run their own successful blogs.

shovelhead's picture

I don't recall asking for your advice.  :)

conscious being's picture

You a crazy guy YC -

"If someone wants your advice, they'll ask for it."

But, most of your post is - advice. Find your unconflicted center. That's my unsolicited advice.

Yen Cross's picture

 Au{gold} Contraire my friend.

I make deductive INFERENCE, based on information.

 How you choose to exploit those "deductive" arguments, wrests/RESTS in your clammy hands.

  Pimping Psychology on Zero Hedge. A true capitalist. ;-)

  Looking for new victims much?

 Post a few charts and win my admiration. I've never asked for a dime from anyone on Zero Hedge. Clown/

conscious being's picture

What are you pimping?

You're just angry 'cause I called you out promoting admittedly crooked fx markets.

Throwing out your conflicted self on the audience is a cry for help. The fact that you get angry and can't acknowledge your wacky post where you advise not giving advice spells trouble my egomaniac friend.

"I make deductive INFERENCE, based on information." Too funny. Dude, your are giving unsolicited advice. Admit it. It will make you a better person.

Yen Cross's picture

What part of flat, don't you understand?

 I've been trading inverse corporate debt for almost two months.

 Look at my posts.

 Hey, dipshit.

    Here's a trader tip. I;m building a posistion in mortgage backed securities. I looked at credit default swaps, but decided to go short actual paper.

   You little basement babies make me laugh.

jeff montanye's picture

apparently it's all in the nuance of intonation.

cross acknowledged the logical conflict affectionately the first time (as i read it) but the more testosterone-fueled version got his dander up.


Raging Debate's picture

Good words of wisdom Yen. Self improvement follows the natural ebbs and tides of evolution. Execise the body and mind. We are really close measured now until the end of our evolution. I am doing better getting out and interacting with people on business, at the gym, getting errands done keeping busy while moderating habits.

Throwing a little humor, good will and a few bucks to a tougher spot brightens lives including my own. I am reminded that the human race is mostly beautiful despite our dark side. It has helped when I remind myself my shit stinks too at times. 

The danger of being hedged by government to an individual is the illusion you dont need self imlrovement, which goes against the flow of evolution and can leave a person to be blindsided by it and leave behind bitterness. I always liked this quote:

"For what good is it to gain the whole world but to lose oneself?"

 The Greatest Generation is gone and the Boomers are tired, some.of there tudes with some with money bugged me lately. I say to them: Try loving us less, take a chair and please sit down now. 

 It is time Gen X, Y and Millenials put on big boy pants now we have one hell of a mess to clean up to get back a more stable place. 



SillySalesmanQuestion's picture

Enough of the negative waves Deep State...

PoasterToaster's picture
PoasterToaster (not verified) Oct 9, 2015 10:05 PM

Don't be a wolf.  Be a virus.

bitterwolf's picture

Deep state....Rome based on an are aware ROME ruled a thousand years....their bridges and roads stand to this day...... the modern armies of today based on their legions.....the language of science and law is LATIN...THIS BEACUSE OF AN fucking cretin.

Bendromeda Strain's picture

Which idea is this, specifically? How exactly did it lead to the most perverse debasements seen on earth since Babylon?

Raging Debate's picture

Bendromeda - The concept of Rome was justice. The Republic that none are above the law. Our 3D design is a pyramid, absolute power will corrupt absolutely ending in the opposite negagive concept of justice lawlessness.  

robobbob's picture idea that inspired people to hope and achieve, used to hide ambitious, powerful, but ultimately petty and hollow parasites who ate out the real acomplishments until the idea only existed as nothing but the fumes of hope. Raw power and the illusions of hope maintained the EMPIRE long after it had betrayed anything good or useful it had created, until REALITY came crashing through the gates....leaving the masses to be destroyed while those most responsible had long since grabbed their loot and high tailed it to Byzantium and points east continuing their wanton ways for centuries more.

I heard germany built great roads, made the trains run on time, and put everyone back to work too. not a ringing endorsement for the power of ideas. some ideas should just die.