My Money’s On Putin…
“History shows that the United States has benefited politically and economically from wars in Europe. The huge outflow of capital from Europe following the First and Second World Wars, transformed the U.S. into a superpower … Today, faced with economic decline, the US is trying to precipitate another European war to achieve the same objective.”… Sergey Glazyev, Russian politician and economist
“The discovery of the world’s largest, known gas reserves in the Persian Gulf, shared by Qatar and Iran, and new assessments which found 70 percent more gas in the Levantine in 2007, are key to understanding the dynamics of the conflicts we see today. After a completion of the PARS pipeline, from Iran, through Iraq and Syria to the Eastern Mediterranean coast, the European Union would receive more than an estimated 45 percent of the gas it consumes over the next 100 – 120 years from Russian and Iranian sources. Under non-conflict circumstances, this would warrant an increased integration of the European, Russian and Iranian energy sectors and national economies.” Christof Lehmann,Interview with Route Magazine
The United States failed operation in Syria, has led to an intensification of Washington’s proxy war in Ukraine. What the Obama administration hoped to achieve in Syria through its support of so called “moderate” Islamic militants was to topple the regime of Bashar al Assad, replace him with a US-backed puppet, and prevent the construction of the critical Iran-Iraq-Syria pipeline. That plan hasn’t succeeded nor will it in the near future, which means that the plan for the prospective pipeline will eventually go forward.
Why is that a problem?
It’s a problem because–according to Dr. Lehmann–”Together with the Russian gas… the EU would be able to cover some 50 percent of its requirements for natural gas via Iranian and Russian sources.” As the primary suppliers of critical resources to Europe, Moscow and Tehran would grow stronger both economically and politically which would significantly undermine the influence of the US and its allies in the region, particularly Qatar and Israel. This is why opponents of the pipeline developed a plan to sabotage the project by fomenting a civil war in Syria. Here’s Lehmann again:
“In 2007, Qatar sent USD 10 billion to Turkey´s Foreign Minister Davotoglu to prepare Turkey´s and Syria´s Muslim Brotherhood for the subversion of Syria. As we recently learned from former French Foreign Minister Dumas, it was also about that time, that actors in the United Kingdom began planning the subversion of Syria with the help of “rebels”’ (Christof Lehmann, Interview with Route Magazine)
In other words, the idea to arm, train and fund an army of jihadi militants, to oust al Assad and open up Syria to western interests, had its origins in an evolving energy picture that clearly tilted in the favor of US rivals in the region. (Note: We’re not sure why Lehmann leaves out Saudi Arabia, Kuwait or the other Gulf States that have also been implicated.)
Lehmann’s thesis is supported by other analysts including the Guardian’s Nafeez Ahmed who explains what was going on behind the scenes of the fake civil uprising in Syria. Here’s a clip from an article by Ahmed titled “Syria intervention plan fueled by oil interests, not chemical weapon concern”:
“In May 2007, a presidential finding revealed that Bush had authorised CIA operations against Iran. Anti-Syria operations were also in full swing around this time as part of this covert programme, according to Seymour Hersh in the New Yorker. A range of US government and intelligence sources told him that the Bush administration had “cooperated with Saudi Arabia’s government, which is Sunni, in clandestine operations” intended to weaken the Shi’ite Hezbollah in Lebanon. “The US has also taken part in clandestine operations aimed at Iran and its ally Syria,” wrote Hersh, “a byproduct” of which is “the bolstering of Sunni extremist groups” hostile to the United States and “sympathetic to al-Qaeda.” He noted that “the Saudi government, with Washington’s approval, would provide funds and logistical aid to weaken the government of President Bashir Assad, of Syria”…
According to former French foreign minister Roland Dumas, Britain had planned covert action in Syria as early as 2009: “I was in England two years before the violence in Syria on other business”, he told French television:
“I met with top British officials, who confessed to me that they were preparing something in Syria. This was in Britain not in America. Britain was preparing gunmen to invade Syria.”
… Leaked emails from the private intelligence firm Stratfor including notes from a meeting with Pentagon officials confirmed US-UK training of Syrian opposition forces since 2011 aimed at eliciting “collapse” of Assad’s regime “from within.”
So what was this unfolding strategy to undermine Syria and Iran all about? According to retired NATO Secretary General Wesley Clark, a memo from the Office of the US Secretary of Defense just a few weeks after 9/11 revealed plans to “attack and destroy the governments in 7 countries in five years”, starting with Iraq and moving on to “Syria, Lebanon, Libya, Somalia, Sudan and Iran.” In a subsequent interview, Clark argues that this strategy is fundamentally about control of the region’s vast oil and gas resources.”
(“Syria intervention plan fueled by oil interests, not chemical weapon concern“, The Guardian)
Apparently, Assad was approached by Qatar on the pipeline issue in 2009, but he refused to cooperate in order “to protect the interests of [his] Russian ally.” Had Assad fallen in line and agreed to Qatar’s offer, then the effort to remove him from office probably would have been called off. In any event, it was the developments in Syria that triggered the frenzied reaction in Ukraine. According to Lehmann:
“The war in Ukraine became predictable (unavoidable?) when the great Muslim Brotherhood Project in Syria failed during the summer of 2012. …In June and July 2012 some 20,000 NATO mercenaries who had been recruited and trained in Libya and then staged in the Jordanian border town Al-Mafraq, launched two massive campaigns aimed at seizing the Syrian city of Aleppo. Both campaigns failed and the ”Libyan Brigade” was literally wiped out by the Syrian Arab Army.
It was after this decisive defeat that Saudi Arabia began a massive campaign for the recruitment of jihadi fighters via the network of the Muslim Brotherhoods evil twin sister Al-Qaeda.
The International Crisis Group responded by publishing its report ”Tentative Jihad”. Washington had to make an attempt to distance itself ”politically” from the ”extremists”. Plan B, the chemical weapons plan was hedged but it became obvious that the war on Syria was not winnable anymore.” (“The Atlantic Axis and the Making of a War in Ukraine“, New eastern Outlook)
There were other factors that pushed the US towards a conflagration with Moscow in Ukraine, but the driving force was the fact that US rivals (Russia and Iran) stood to be the dominant players in an energy war that would increasingly erode Washington’s power. Further economic integration between Europe and Russia poses a direct threat to US plans to pivot to Asia, deploy NATO to Russia’s borders, and to continue to denominate global energy supplies in US dollars.
Lehmann notes that he had a conversation with “a top-NATO admiral from a northern European country” who clarified the situation in a terse, two-sentence summary of US foreign policy. He said:
“American colleagues at the Pentagon told me, unequivocally, that the US and UK never would allow European – Soviet relations to develop to such a degree that they would challenge the US/UK’s political, economic or military primacy and hegemony on the European continent. Such a development will be prevented by all necessary means, if necessary by provoking a war in central Europe”.
This is the crux of the issue. The United States is not going to allow any state or combination of states to challenge its dominance. Washington doesn’t want rivals. It wants to be the undisputed, global superpower, which is the point that Paul Wolfowitz articulated in an early draft of the US National Defense Strategy:
“Our first objective is to prevent the re-emergence of a new rival, either on the territory of the former Soviet Union or elsewhere, that poses a threat on the order of that posed formerly by the Soviet Union. This is a dominant consideration underlying the new regional defense strategy and requires that we endeavor to prevent any hostile power from dominating a region whose resources would, under consolidated control, be sufficient to generate global power.”
So the Obama administration is going to do whatever it thinks is necessary to stop further EU-Russia economic integration and to preserve the petrodollar system. That system originated in 1974 when President Richard Nixon persuaded OPEC members to denominate their oil exclusively in dollars, and to recycle their surplus oil proceeds into U.S. Treasuries. The arrangement turned out to be a huge windfall for the US, which rakes in more than $1 billion per day via the process. This, in turn, allows the US to over-consume and run hefty deficits. Other nations must stockpile dollars to purchase the energy that runs their machinery, heats their homes and fuels their vehicles. Meanwhile, the US can breezily exchange paper currency, which it can print at no-expense to itself, for valuable imported goods that cost dearly in terms of labor and materials. These dollars then go into purchasing oil or natural gas, the profits of which are then recycled back into USTs or other dollar-denominated assets such as U.S. stocks, bonds, real estate, or ETFs. This is the virtuous circle that keeps the US in the top spot.
As one critic put it: “World trade is now a game in which the US produces dollars and the rest of the world produces things that dollars can buy.”
The petrodollar system helps to maintain the dollar’s monopoly pricing which, in turn, sustains the dollar as the world’s reserve currency. It creates excessive demand for dollars which allows the Fed to expand the nation’s credit by dramatically reducing the cost of financing. If oil and natural gas were no longer denominated in USDs, the value of the dollar would fall sharply, the bond market would collapse, and the US economy would slip into a long-term slump.
This is one of the reasons why the US invaded Iraq shortly after Saddam had switched over to the euro; because it considers any challenge to the petrodollar looting scam as a direct threat to US national security.
Moscow is aware of Washington’s Achilles’s heel and is making every effort to exploit that weakness by reducing its use of the dollar in its trade agreements. So far, Moscow has persuaded China and Iran to drop the dollar in their bilateral dealings, and they have found that other trading partners are eager to do the same. Recently, Russian economic ministers conducted a “de-dollarization” meeting in which a “currency switch executive order” was issued stating that “the government has the legal power to force Russian companies to trade a percentage of certain goods in rubles.”
Last week, according to RT:
“The Russian and Chinese central banks have agreed a draft currency swap agreement, which will allow them to increase trade in domestic currencies and cut the dependence on the US dollar in bilateral payments. “The draft document between the Central Bank of Russia and the People’s Bank of China on national currency swaps has been agreed by the parties…..The agreement will stimulate further development of direct trade in yuan and rubles on the domestic foreign exchange markets of Russia and China,” the Russian regulator said.
Currently, over 75 percent of payments in Russia-China trade settlements are made in US dollars, according to Rossiyskaya Gazeta newspaper.” (“De-Dollarization Accelerates – China/Russia Complete Currency Swap Agreement“, Zero Hedge)
The attack on the petrodollar recycling system is one of many asymmetrical strategies Moscow is presently employing to discourage US aggression, to defend its sovereignty, and to promote a multi-polar world order where the rule of law prevails. The Kremlin is also pushing for institutional changes that will help to level the playing field instead of creating an unfair advantage for the richer countries like the US. Naturally, replacing the IMF, whose exploitative loans and punitive policies, topped the list for most of the emerging market nations, particularly the BRICS (Brazil, Russia, India, China and South Africa) who, in July, agreed to create a $100 billion Development Bank that will “will counter the influence of Western-based lending institutions and the dollar. The new bank will provide money for infrastructure and development projects in BRICS countries, and unlike the IMF or World Bank, each nation has equal say, regardless of GDP size.
According to RT:
“The big launch of the BRICS bank is seen as a first step to break the dominance of the US dollar in global trade, as well as dollar-backed institutions such as the International Monetary Fund (IMF) and the World Bank, both US-based institutions BRICS countries have little influence within…
“This mechanism creates the foundation for an effective protection of our national economies from a crisis in financial markets,” Russian President Vladimir Putin said.”
(“BRICS establish $100bn bank and currency pool to cut out Western dominance“, RT)
It’s clear that Washington’s aggression in Ukraine has focused Moscow’s attention on retaliation. But rather than confront the US militarily, as Obama and Co. would prefer, Putin is taking aim at the vulnerabilities within the system. A BRICS Development Bank challenges the IMF’s dominant role as lender of last resort, a role that has enhanced the power of the wealthy countries and their industries. The new bank creates the basis for real institutional change, albeit, still within the pervasive capitalist framework.
Russian politician and economist, Sergei Glazyev, summarized Moscow’s approach to the US-Russia conflagration in an essay titled “US is militarizing Ukraine to invade Russia.” Here’s an excerpt:
“To stop the war, you need to terminate its driving forces. At this stage, the war unfolds mainly in the planes of economic, public relations and politics. All the power of US economic superiority is based on the financial pyramid of debt, and this has gone long beyond sustainability. Its major lenders are collapsing enough to deprive the US market of accumulated US dollars and Treasury bonds. Of course, the collapse of the US financial system will cause serious losses to all holders of US currency and securities. But first, these losses for Russia, Europe and China will be less than the losses caused by American geopolitics unleashing another world war. Secondly, the sooner the exit from the financial obligations of this American pyramid, the less will be the losses. Third, the collapse of the dollar Ponzi scheme gives an opportunity, finally, to reform the global financial system on the basis of equity and mutual benefit.”
Washington thinks “modern warfare” involves covert support for proxy armies comprised of Neo Nazis and Islamic extremists. Moscow thinks modern warfare means undermining the enemy’s ability to wage war through sustained attacks on it’s currency, its institutions, its bond market, and its ability to convince its allies that it is a responsible steward of the global economic system.
I’ll put my money on Russia.
The post-Cold War status quo in Eastern Europe, not to mention in Western Europe, is now dead.
For Western plutocracy, that 0.00001% at the top, the real Masters of the Universe, Russia is the ultimate prize; an immense treasure of natural resources, forests, pristine water, minerals, oil and gas. Enough to drive any NSA-to-CIA Orwellian/Panopticon war game to ecstasy. How to pounce and profit from such a formidable loot?
Enter Globocop NATO. Barely out of having its collective behind unceremoniously kicked by a bunch of mountain warriors with Kalashnikovs, the North Atlantic Treaty Organization is now fast
“pivoting” – that same old Mackinder to Brzezinski game – to Russia. The road map will be put in place at the group’s summit in early September in Wales.
Meanwhile, the MH17 tragedy is undergoing a fast metamorphosis. When the on-site observations by this Canadian OSCE monitor (watch the video carefully) are compounded with this analysis by a German pilot, a strong probability points to a Ukrainian Su-25′s 30 mm auto-cannon firing at the cockpit of MH17, leading to massive decompression and the crash.
No missile – not even an air-to-air R-60M, not to mention a BUK (the star of the initial, frenetic American spin). The new possible narrative fits with on-site testimony by eyewitness in this now famously “disappeared” BBC report. Bottom line: MH17 configured as a false flag, planned by the US and botched by Kiev. One can barely imagine the tectonic geopolitical repercussions were the false flag to be fully exposed.
Malaysia has handed out the flight recorders to the UK; this means NATO, and this spells out manipulation by the CIA. Air Algerie AH5017 went down after MH17. The analysis has already been released. That begs the question of why it is taking so long for MH17′s black boxes to be analyzed/tampered with.
Then there’s the sanctions game: Russia remains guilty – with no evidence – thus it must be punished. The EU abjectly followed His Master’s Voice and adopted all the hardcore sanctions against Russia they were discussing last week.
Yet there are loopholes. Moscow will have reduced access to US dollar and euro markets. Russian state-owned banks are forbidden from selling shares or bonds in the West. Yet Sberbank, Russia’s largest, has not been sanctioned.
So Russia in the short and medium term will have to finance itself. Well, Chinese banks could easily replace that kind of lending. Don’t forget the Russia-China strategic partnership. As if Moscow needed another warning that the only way to go is to increasingly bypass the US dollar system.
EU nations will suffer. Big time. BP has a 20% stake in Rosneft, and it’s already freaking out on the record. ExxonMobil, Norway’s Statoil and Shell will also be affected. Sanctions don’t touch the gas industry; now that would have propelled the EU’s counterproductive stupidity to galactic levels. Poland – hysterically blaming Moscow for everything under the sun – gets more than 80% of its gas from Russia. The no less strident Baltic states, as well as Finland, get 100%.
The ban on dual-use goods – civilian and military applications – will badly affect Germany, the top EU exporter to Russia. On defense, the UK and France will suffer; the UK has no less than 200 licenses selling weapons and missile launching gear to Russia. Yet the French 1.2 billion euro (US$1.6 billion) sale of Mistral assault ships to Russia will go ahead.
Meanwhile, in the demonization front …
This is what Associated Press spins as “analysis” and distributes to papers around the world; a collection of cliches desperately in search of a thesis. Dmitri Trenin of the Carnegie Moscow Center, faithful to who pays his bills, gets a few things right and most things wrong. David Stockman at least has a ball deconstructing the lies of the Warfare State.
But the real thing is definitely Putin’s economic adviser Sergei Glazyev. One of his key theses is that European business must be really careful to protect their interests as the US attempts to “ignite a war in Europe and a Cold War against Russia”.
This, though, is the ultimate bombshell - delivered by a cool, calm and collected Glazyev. Watch it carefully. A detailed reappraisal of what Glazyev has been saying for weeks now, mixed with some outstanding comments here leads to a inevitable conclusion: key sectors of Western plutocracy want a still ill-defined war with Russia. And journalism’s Holy Grail - never trust anything until it’s officially denied - confirms it.
NATO’s Plan A is to install missile batteries in Ukraine; that is already being discussed in detail in the run-up to NATO’s summit in Wales in early September. Needless to say, if that happens, for Moscow, that’s way beyond a red line; it implies a first strike capability at Russia’s western borderlands.
Washington’s short Plan A, meanwhile, is to organize a wedge between the federalists in Eastern Ukraine and Russia. This implies progressive, direct funding of Kiev in parallel to building up, via American advisers already on the ground, and vast weaponizing, a huge proxy army (nearly 500,000 by the end of the year, according to Glazyev’s projection). Endgame on the ground would be to seal the federalists off into a very small area. Ukrainian President Petro Poroshensko has been on the record saying this should happen by early September. If not, by the end of 2014.
In the US, and a great deal of the EU, a monstrous grotesquerie has developed, packaging Putin as the new Stalinist Osama bin Laden. So far, his strategy on Ukraine was to be patient – what I called Vlad Lao Tzu – watching the Kiev gang hang themselveswhile trying to sit down with the EU in a civilized manner working for a political solution.
Now we may be facing a game changer, because the mounting evidence, which Glazyev and Russian intel relayed to Putin, points to Ukraine as a battlefield; a concerted drive for regime change in Moscow; a concerted drive aiming for a destabilized Russia; and even the possibility of a definitive provocation.
Moscow, allied with the BRICS, is actively working to bypass the US dollar – which is the anchor of a parallel US war economy based on printing worthless pieces of green paper. Progress is slow, but tangible; not only the BRICS but BRICS aspirants, the G-77, the Non-Aligned Movement (NAM), the whole Global South is absolutely fed up with the Empire of Chaos’s non-stop bullying and want another paradigm in international relations. The US counts on NATO – which it manipulates at will – and mad dog Israel; and perhaps the GCC, the Sunni petro-monarchies partners in the Gaza carnage, which can be bought/silenced with a slap on the wrist.
The temptation for Putin to invade Eastern Ukraine in 24 hours and reduce the Kiev militias to dust must have been super-human. Especially with the mounting cornucopia of dementia; ballistic missiles in Poland and soon Ukraine; indiscriminate bombing of civilians in Donbass; the MH17 tragedy; the hysterical Western demonization.
A bear with limited patience
But Putin is wired for playing the long game. The window of opportunity for a lightning strike is gone; that kung fu move would have stopped NATO in its tracks with a fait accompli, and the ethnic cleansing of 8 million Russians and Russophones in Donbass would never have developed.
Still, Putin won’t “invade” Ukraine because Russian public opinion doesn’t want him to. Moscow will keep supporting what is a de facto resistance movement in the Donbass. Remember: in give or take two months, General Winter starts to set in those broke, IMF-plundered Ukrainian pastures.
The leaked German-Russian peace plan will be implemented over Washington’s collective dead body. This New Great Game, to a great extent, is also about preventing Russia-EU economic integration via Germany, part of a full Eurasian integration including China and its myriad Silk Roads.
If Russia’s trade with the EU – about US$410 billion in 2013 – is due to take a hit because of sanctions, then that also spells out a Go East movement. Which implies a Russian fine-tuning of theEurasian Economic Union project. No more a Greater Europe from Lisbon to Vladivostok – Putin’s original idea. Enter the Eurasian Union as a brother in arms of China’s myriad Silk Roads. Still, this spells out a strong Russia-China partnership at the heart of Eurasia – and still this is absolute anathema to the Masters of the Universe.
Make no mistake, the Russia-China strategic partnership will keep evolving very fast – with Beijing in symbiosis with Moscow’s immense natural and military-technological resources. Not to mention the strategic benefits. A case could be made this has not happened since Genghis Khan. But it’s not like Xi Jinping is pulling a Khan to subdue Siberia and beyond.
Cold War 2.0 is now inevitable because the Empire of Chaos will never accept Russia’s sphere of influence in parts of Eurasia (as it doesn’t accept China’s). It will never accept Russia as an equal partner (exceptionalists don’t do equality). And it will never forgive Russia – alongside China – for openly defying the creaking, exceptionalist, American-imposed order.
If the US deep state, guided by those nullities who pass for leadership, in desperation, goes one step beyond – it could be a genocide in Donbass; a NATO attack on Crimea; or worst case scenario, an attack against Russia itself – watch out. The Bear will strike.
Pepe Escobar is the author of Globalistan: How the Globalized World is Dissolving into Liquid War (Nimble Books, 2007), Red Zone Blues: a snapshot of Baghdad during the surge (Nimble Books, 2007), and Obama does Globalistan (Nimble Books, 2009).
He may be reached at firstname.lastname@example.org.
Source: Asia Times Online
Over a year ago I published an essay entitled ‘The Linchpin Lie: How Global Collapse Will Be Sold To The Masses’. This essay addressed efforts by the ever malicious Rand Corporation to create a false narrative surrounding the possibility of global collapse. Linchpin Theory, as it was named by it’s originator and Rand Corp. employee, John Casti, is I believe the very future of propaganda. Every engineered crisis needs a clever cover story, and in Linchpin Theory, we are told that all human catastrophe is a mere natural product of the “overcomplexity” within various systems. Yes, there is no accounting of false flag geopolitics or elitist conspiracy, no acknowledgment of deliberately initiated chaos; such things do not exist in the world of “linchpins”. Rather, the Rand Corporation would have us believe that the world is a massive game of Jenga, and the supporting pieces just remove themselves from the teetering structure by magical and coincidental causality.
Today, the linchpin lie is now being carefully inserted into the mainstream narrative. I can’t say I was shocked to hear Alan Greenspan use its basic premise when he recently stated that:
“I have come to the conclusion that bubbles…are a function of human nature. We don’t have enough observations, but my tentative hypothesis to what we’re dealing with is that both a necessary and sufficient condition for the emergence of a bubble is a protracted period of stable economic activity at low inflation. So it is a very difficult policy problem. I do believe that central banks that believe they can quell bubbles are living in a state of unrealism.”
It is important that we understand what Greenspan is actually doing here. The former Fed chairman is asserting that economic bubbles like the derivatives bubble of 2008 are a “natural function”, like the seasons, and are out of the control of central bankers. The truth is that central bankers have never tried to “quell” economic bubbles, they have been deliberately creating them in order to position the global economy into a crisis which they can then exploit. Greenspan is not only diverting blame for all the past and future economic crashes central banks have engineered, he is also setting the propaganda stage for a great change in the dynamic of the central banking concept – what the IMF’s Christine Lagarde calls the “global economic reset”.
The current central banking structure gives the illusion of separation and sovereignty. Most people who have not researched the nature of the international banking cartel believe that the Federal Reserve, for instance, is a separate national entity from the Central Bank of Russia, or the Central Bank of China. They believe that these institutions act of their own accord rather than in concert with each other. The reality is, there is no Federal Reserve. There is no Central Bank of Russia. There are no separate entities. There are no Western banks and there are no BRICS. All of these banking edifices are merely front organizations for global financiers, as Council on Foreign Relations insider (and friend to the Rockefellers) Carroll Quigley made clear in his book, Tragedy And Hope:
“It must not be felt that the heads of the world’s chief central banks were themselves substantive powers in world finance. They were not. Rather they were the technicians and agents of the dominant investment bankers of their own countries, who had raised them up, and who were perfectly capable of throwing them down. The substantive financial powers of the world were in the hands of these investment bankers who remained largely behind the scenes in their own unincorporated private banks. These formed a system of international cooperation and national dominance which was more private, more powerful, and more secret than that of their agents in the central banks. “
A “global economic reset”, I suspect, will consist of a grand shift away from covert cooperation between central banks to an OPENLY centralized one world banking system, predicated on the concepts put forward by the IMF and led by the Bank of International Settlements, which has always been behind the scenes handing down commandments to the seemingly separate central banks of nations.
In order for this “reset” to be achieved, however, the establishment needs a historically monumental distraction. A distraction so confounding and terrifying that by the time the public has a chance to examine the situation rationally, the elites have already tightened the noose.
I have been warning ever since the beginning of the derivatives/debt collapse of 2007/2008 that the international financiers and globalists who created the artificially low interest rates and fiat lending bonanza would one day be required to fashion a considerably dangerous event in orderto trigger the final collapse of the dollar based monetary system and replace it with a new currency (or basket of currencies), along with a new centralized financial authority.
This distracting event would have to rely on three very important strategies in order to succeed -
1) The use of what I call the “scattershot effect”; a swarm of smaller crises growing exponentially until it blurs together to create one dynamic calamity.
2) The use of multiple false paradigms in order to confuse the masses and pit them against one another in an absurd fight over fake and meaningless causes.
3) The use of deceptive benevolence on the part of the financial elite as they tap dance in to act as global “mediators”, ready to save the public from itself.
The end result would be a new brand of “world war” rather unique to history.
When most people imagine WWIII, they immediately envision images of nuclear bombs and mushroom clouds, however, I believe that when world war erupts, it may progress far differently from our cinematic assumptions. Regional conflicts are very likely, there is no doubt, but if one places himself in the shoes of the elites, one realizes that all out mechanized nuclear Armageddon is not really necessary to achieve the desired result of global governance.
Economic warfare alone could be extremely effective in initiating full spectrum fiscal implosion as well as mass starvation, mass panic, and mass desperation. All the signs lead me to believe that financial combat and 4th generation warfare will be used in the place of large armies and missiles.
The Scattershot Effect
Consider the sheer scope and number of crisis situations that have reached explosive proportions just in the past six months.
Syria continues to destabilize due to ISIS insurgents supported by the U.S., Saudi Arabia, and Israel; it is a horrifying storm which is now bleeding into other nations such as Iraq.
Iraq is on the verge of complete disintegration as the same western organized ISIS movestowards the outskirts of Baghdad.
Libya has imploded, with the American embassy evacuated, as well as the French and British, as various militias battle for supremacy.
The Ukraine crisis is nearing mutation into another beast entirely after the attack on Malaysian flight MH17. In just the past week, the EU has instituted sanctions against Russia, fighting has become even more fierce around Donetsk, Russia has been accused of firing artillery into Ukraine, and the U.S. now claims that Russia has violated the terms of the Intermediate Range Nuclear Forces treaty.
In the meantime, the Federal Reserve continues to taper QE3 while ignoring the unprecedented equities bubble they have birthed in the stock market, as well as refusing to answer the question as to who will actually buy U.S. Treasury debt if they do not? Our secret friend from Belgium? And what if this secret friend is, as I suspect, actually the IMF/BIS global loan shark duo? What then? Do we become yet another third world African-style debtor owing our very infrastructure to a financial bureaucracy on the other side of the world?
And what about the Baltic Dry Index, one of the few measures of global shipping demand that cannot be manipulated by outside money interests? Well, the BDI is back down to historic lows,falling 65% since January, signaling that the so-called “economic recovery” is not at all what it is cracked up to be.
Add to this the deluge of illegal immigration on the southern border, aided by the Obama Administration, as well as possible presidential impeachment and lawsuit proceedings, and you have a recipe for total chaos of the fiscal variety.
If the first six to seven months of 2014 have been this frenetic, how bad will the next six months be?
We are all aware of the prevalence of the false Left/Right paradigm in American politics. Hopefully most people in the Liberty Movement understand, for example, that any impeachment or lawsuit proceedings against Barack Obama will be nothing more than a crafted circus designed to accomplish nothing – a con game to placate conservatives with useless top-down solutions while the country burns around their ears.
There are other false paradigms that are not so clear to some, though…
The false Israel/Hamas paradigm has certainly duped a particular subsection of Americans and even a few patriots, even though it is historical fact that the creation of Hamas itself wasfunded and supported by the Israeli government. Why do Israeli politicians put money and arms at the disposal of Muslim extremist groups like Hamas and ISIS, only to enter into brutal conflict with them later? Could it be that the Israeli government does not have the best interests of the Israeli people at heart? Could it be that Israel is being used by internationalists as a catalyst for chaos? It is vital that we question the intentions behind such contrary actions in the Middle East.
Why has the U.S. government (Democrats and Republicans), Saudi Arabia, and Israel put support behind the ISIS caliphate in Iraq after spending decades of time, billions in resources, and thousands of lives, attempting to overrun and dominate the region? Why are these governments creating enemies that will later try to harm us?
It is all about false paradigms; dividing the masses into numerous conflicting sides and pitting them against each other when they should be fighting against the elites.
The false East/West paradigm is perhaps the most dangerous lie facing free men today. It is a lie that may very well define our generation if not our century. I have outlined in multiple articlesthe substantial evidence that proves beyond a doubt that Russia and China are members of the globalist agenda, and that the tensions between our two hemispheres are completely fabricated.
The latest announcement of a BRICS bank to rival the IMF is yet another scheme to perpetuate the illusion that the elites of these nations are at odds. In fact, the BRICS conference mission statement makes it clear that developing nations have no intention of breaking from the IMF (and certainly not the BIS). Instead, the BRICS bank is meant to provide “leverage” to “force” the IMF to become more inclusive, and hand over more power and participation. Vladimir Putin had this to say at the latest summit:
“In the BRICS case we see a whole set of coinciding strategic interests. First of all, this is the common intention to reform the international monetary and financial system. In the present form it is unjust to the BRICS countries and to new economies in general. We should take a more active part in the IMF and the World Bank’s decision-making system. The international monetary system itself depends a lot on the US dollar, or, to be precise, on the monetary and financial policy of the US authorities. The BRICS countries want to change this.”
Brazilian President Dilma Rousseff insisted that the BRICS were not seeking to distance themselves from the Washington-based International Monetary Fund:
Putin and the BRICS commonly rail against the “unipolar” financial system revolving around the U.S. dollar, but in the end they are only controlled opposition, and their solution is to place even more power into the hands of the IMF (a supposedly U.S. government controlled institution), creating a truly unipolar world order. If the U.S. loses its IMF veto status this year due to lack of allocated funds, and the BRICS dump the dollar as world reserve, this may very well happen.
As sanctions between Russia and the U.S. snowball, a perfect rationalization for a dollar decoupling will be created that very few people would have believed possible only a few years ago. It is only a matter of time before fiscal warfare escalates to destructive levels. Russia will inevitably cut off gas exports to the EU, and the BRICS will inevitably drop the U.S. dollar as a world reserve standard.
The U.S. relationship to the EU is also currently being presented as dubious, and this is not by accident. Failing relations between America and Germany are yet more theater for the masses to chew on. Western allies have been spying on each other for decades, but somehow the exposure of CIA activities in Germany is shocking news? The NY Fed suddenly attacks Deutsche Bank, seeking expanded monitoring and regulation? Germany’s business interests are highly damaged by U.S. sanctions against Russia? It would seem as though someone is trying to create an artificial divide between elements of the EU and the U.S.
I believe that the narrative is being prepared for a faked financial breakup between the U.S. and many of its former allies, isolating the U.S., and destroying the dollar, but to what end? To answer that question, we must ask WHO ultimately benefits from these actions?
The Rise Of The Hero Bankers
In June of last year, the Bank of International Settlements, the central bank of central banks whose history began with the financial support of the Third Reich, released a statementwarning that “easy money” from central banks was creating a dangerous bubble in stock markets around the world.
The IMF too has been pushing warnings of stock bubble collapse into the mainstream.
In June of this year, the BIS, a normally obscure and secretive organization, released another statement pronouncing that government had been led into a “false sense of security” by easy monetary policy and low interest rates, making the world economy perpetually unstable.
For an organization so covert and occult, the BIS sure has become rather candid lately. Frankly, I agree with everything they have said. However, I do not agree with the hypocrisy of the BIS, which dominates the decisions of all of its member banks, publicly criticizing policies which it most likely scripted itself. Why would the BIS suddenly denounce fiscal methods it used to promote? Because the BIS is setting itself up as the great prognosticator of a collapse that IT HELPED ENGINEER.
After the great financial war has subsided, and the people are suitably poverty stricken and desperate, it will be institutions like the BIS and IMF that swoop in to “save the day”. Their offer will be to consolidate economic control into the hands of an elite group of bankers “not affiliated” with any particular nation state, thereby insulating them from “political concerns”. The argument will be that national sovereignty is a bane on the back of humanity. They will claim that the catastrophe will continue until we “simplify” and streamline our economic and political systems. They will present themselves as the heroes of the age; the ones who predicted the crisis would occur, and the ones who had a solution ready to save the day (after sufficient death and destruction, of course).
As long as people remain obsessed with false paradigms and faux enemies, the establishment’s goal of complete centralized dominance will be predictably attainable. If we change our focus to the internationalists as the true danger instead of playing their game by their rules, then things will become far more interesting…
Source: Brandon Smith | Alt-Market
The belief that calling for and instituting sanctions against Russia is a sound policy, illustrates the economic disconnect of the Obama administration. With the fervor for starting a new cold war, the propaganda machine is working overtime to paint a picture that ignores real economic synergism. Note the conflicting reports regarding the EU. Nine EU countries ready to block economic sanctions against Russia, quotes a diplomatic source to ITAR-TASS:
“France, Germany, Luxembourg, Austria, Bulgaria, Greece, Cyprus, Slovenia, and EU President Italy see no reason in the current environment for the introduction of sectorial trade and economic sanctions against Russia and at the summit, will block the measure.”
“According to the source, the US sees slapping Russia with sanctions as a way to promote its own trade agenda with Europe, a side rarely explored in mainstream media. The Transatlantic Trade and Investment Partnership (TTIP) between the US and Europe would create the world’s largest free trade zone, but some worry it could balloon into an “economic NATO” or could end up putting corporation interest above national.”
An article, EU and the USA have adopted new sanctions against Russia reports that the European Council has agreed to extend the restrictive measures for the entities in the Russian Federation. Romanian president Traian Basescu believes the EU needs to adopt tougher sanctions against Russia.
“My point of view was that unless the European Union takes tougher actions and moves on to the third stage of these sanctions, Ukraine might no longer be ready to move towards the European Union and would end up in a situation like that in the Republic of Moldova, currently facing the breakaway tendencies of the region of Transdniester, only with a greater impact for the EU, because Ukraine is a bigger country.”
This contradiction between individual national economic interests and the quest for a technocrat administered system of trade that fosters and facilitates an internationalist foreign policy under NATO and EU rule, is the actual objective of Washington and Brussels interventionism. This arrogance and self-delusion treats economic commerce as conducted in a vacuum. As The Hill article cites Putin. “Sanctions are “driving into a corner” relations between the two countries and will damage the interests of U.S. companies and “the long-term national interests of the U.S. government and people.”
Russian warns that the US campaign will have consequences as the Alliance News writes, that Moscow Blasts US Sanctions As “Primitive,” Promises Retaliation.
“Sergei Ryabkov, a deputy Foreign Minister, told the Interfax news agency that Moscow will hit back with measures that “will be felt in Washington painfully and sharply.”
The Russian Foreign Ministry said US measures against a number of state corporations are “a primitive attempt at revenge because events in Ukraine are not developing according to Washington’s scenario,” and added that it reserves the right to retaliate.”
The preposterous strategy that international finance can force a country like Russia, with the world’s largest energy resources, into a capitulation dependent status is absurd. The minimal effect according to Russia’s Finance Ministry, Says Harsher Sanctions Would Cost Russia 0.3% of GDP, does not sound like much of a threat. Then consider the counter response of Russian Sanctions Retaliation Escalates: Dumps Intel/AMD And Now Foreign Cars.
The cavalier and condescending manner by which the Western central banks assist the New World Order’s goal of global dominance has fortified opposition with the emergence of theBRICS Development Bank. Use your common sense, when Putin Wants Measures to Protect BRICS Nations From U.S. Sanctions, much of the rest of the world is listening.
“In an interview published as a two-day BRICS summit got under way in Brazil on Tuesday, Putin said he would urge Brazil, China, India and South Africa to draw “substantive conclusions” from sanctions imposed on Russia over its actions in the Ukraine crisis, and said it was time to dilute the dominance of the U.S.-led West and the U.S. dollar by boosting the role of the BRICS on the global stage.”
The American press and media, especially is fueling the fires to demonize Putin’s Russia as a resurrected Stalinist Soviet belligerent. Absent in this narrative is an honest chronicle of NATO’s expansion to encircle the Russian Federation. At what point will Western journalists and academic scholars admit that the convergence of EU authoritarianism and American hegemony propagates an internationalist foreign policy, designed to isolate and destroy any opposition to this New World Order.
The lesson of these failed attempts for economic bullying a country, with real weapons of mass destruction, has the potential of starting a hot war. The essay, IMF and EU Capture of Ukraine, explains the circumstances and false justification of initiating “regime change“. This Ukraine flashpoint may well commence a tangible economic union among countries, who recognize that American sanctions are nothing more than a desperate attempt to prop up a decaying globalist economic structure.
EU antagonism towards the citizens of their member countries is growing expediently. Within this context, US sanctions hurt Europe more than America.
“The Association of European Businesses (AEB), a Moscow-based business lobby, said that new US sanctions against Russia have a more severe effect on European than on American business.
The AEB says it “regrets” the US sanctions, and warns that they will stunt economic growth “not only in Russia“.
“These sanctions are more focused on the partners of European businesses than on the partners of American companies,” the group said in a statement on Thursday.”
Obama’s State Department bears a heavy responsibility for promoting a civil war in Ukraine. Using sanctions to push Russia into accelerating a BRICS economic block will have far more adverse effects than can be envisioned by the lunatic proponents of “selective” Free Trade. The moneychanger’s financial system is imploding and their rescue plan requires a massive global crisis to bail out their “To Big to Fail” model. Mutually productive commerce will be among the first causalities of the prelude to World War III. Soon clamors for sanctions against American companies will begin, as the blame game diverts the real cause of this fabricated debacle.
By every objective standard, Abenomics has been a complete flop. Household spending has plunged, wages have dropped for 23 months in a row, inflation is on the rise, the number of workers who can only find part-time jobs has ballooned to 38 percent, and most economists now expect 2nd quarter GDP to shrink to minus 4 percent or worse. So where’s the silver lining?
There isn’t one. It’s all hype. In fact, the only part of Prime Minister’s Shinzo Abe’s economic strategy that has succeeded has been the public relations campaign, which has bamboozled the Japanese people into believing that pumping trillions of yen into financial assets will lead to widespread prosperity. Good luck with that. We can see how well that worked in the US where stock prices have nearly tripled in the last five years, but the real economy is still flat on its back. So why would quantitative easing (QE) work in Japan when it hasn’t worked in the US?
It hasn’t, and it won’t. The whole thing is a farce. But political leaders like Prime Minister Shinzo Abe and their central bank lackeys continue to promote this absurd flimflam because it boosts profits for their constituents. That’s what this nonsense is all about; trying to find new ways to enrich the parasite class during a “self induced” long-term slump. The only problem is that everyone else is worse off than before, mainly because the silver spoon slackers at the top of the heap are getting a bigger and bigger share of the pie. That just leaves a few crumbs for everyone else, which is why economic activity has slowed to a crawl. It’s because the people who typically spend money and rev up the economy, have no money to spend. It’s that simple. Check out this blurb from the Testosterone Pit:
“The Abe administration is doing everything in the book to bolster the fortunes of Japan Inc.: offering tax cuts, more public works, and stimulus packages, snatching the Olympics by hook or crook, and cranking up inflation. In April, prices for all items soared 3.4% from a year earlier, and goods prices a confiscatory 5.2%. Yet wages were stuck in the mire, and adjusted for inflation, they plunged…
Then came the consumption tax hike, a broad-based tax that impacts consumers and businesses across the economy. The months before the effective date of April 1, consumers and businesses binged to save that extra 3% in taxes on big-ticket items, and businesses rang up sales faster than they could count.” Japan Inc.’s Worst Quarterly Outlook Since The 2011 Earthquake, Testosterone Pit
How do you like that? So, with the economy already on the ropes, class warrior Abe decided to squeeze working people even more by pushing through a regressive sales tax that put household spending into a nosedive. (Get a load of this ski-jump chart of household spending)
But while Abe has been raising taxes on the workerbees, he’s cutting them for his crooked corporate buddies. As part of his dubious “growth strategy” the Japanese PM has promised to slash corporate taxes from 35 percent to 29 percent, a move that will reduce revenues and increase Japan’s humongous public debt even more. (Japan’s debt is already a gargantuan 240 percent of GDP.) Many analysts think that Abe’s move could trigger a panic in the bond market if investors start to think he’s not serious about addressing the debt. Even so, that’s a risk that Abe’s willing to take as long as it saves his cheesy corporate friends a few shekels.
Of course the best way to pay down the debt, is through economic growth. But that can’t be done when wages are either stagnant or dropping as they are in Japan. Check this out from mni market news:
“Base wages, the key to a recovery in cash earnings, fell 0.2% on year, marking the 23rd consecutive decrease…. In real terms, total wages slumped 3.1% in April, showing the annual inflation rate above 1% is hurting household income in the absence of substantial wage growth and in light of the sales tax hike to 8% from 5% on April 1″. (Japan Apr Total Wages Post 2nd Straight Rise; Base Wages Down, MNI Market News)
The economy can’t grow when demand is weak, and demand is perennially weak in Japan because wages and incomes are shriveling. That means less personal consumption, less economic activity, and smaller GDP. Recently, the situation has gotten worse due to the Bank of Japan’s money printing operations which have increased inflation which has reduced worker’s buying power. Check this out form the Japan Times:
“Consumer prices climbed in May at their fastest pace in 32 years, swelled by the hike in the consumption tax and higher utility charges that are squeezing Japanese budgets as wage gains remain limited.
Consumer prices excluding fresh food but not energy, rose 3.4 percent from a year earlier, the Statistics Bureau said Friday…Household spending subsequently sank 8 percent, more than the forecast fall of 2.3 percent, separate data showed…
All 14 major gas and electricity companies raised prices from May to the highest level since the current pricing system began in May 2009, according to the Asahi Shimbun. Tokyo Electric Power Co. announced a price hike of 5.3 percent in May for households, reflecting the higher tax, rising energy costs and other factors.” (Prices climb most in 32 years as wages limp along, Japan Times)
So, with prices rising and wages stagnant, Japan is experiencing what most analysts anticipated when Abe first announced his plan to hike the sales tax, that is, household spending has dropped precipitously increasing the likelihood of another recession. Abe decided that pushing more of the government’s operating costs onto working people was more important than the health of the economy.
Naturally, Abe’s policies have had a catastrophic effect on the working poor. As we noted earlier, the number of part-time workers in Japan has grown dramatically over the last few years. According to Reuters,
“part-time, temporary and other non-regular workers who typically make less than half the average pay has jumped 70 percent from 1997 to 19.7 million today — 38 percent of the labor force.”
Abenomics has made life considerably harder for these people due to the higher taxes, soaring prices, and reduced welfare benefits. The data show that Japan’s poverty rate is “the sixth-worst among the 34 OECD countries” while “child poverty in working, single-parent households is by far the worst at over 50 percent, making Japan the only country where having a job does not reduce the poverty rate for that group.” (Japan’s working poor left behind by Abenomics, Reuters)
Abe’s attack on working people has intensified in the last few weeks as he’s unveiled parts of his “third arrow” of structural reforms. Along with cutting corporate taxes, Abe wants to take the Government Pension Investment Fund (GPIF), “the world’s deepest pot of savings”, and shove it in the stock market. George W. Bush wanted to do the same thing with Social Security but abandoned the idea after Lehman Brothers collapsed and the economy tanked. Now Abe is pushing the same loony plan which will put the long-term security of Japan’s elderly at risk just to boost profits for his voracious plutocrat friends.
Abe also wants to eliminate overtime pay, make it easier for corporate bosses to fire workers, and allow foreign workers to care for children and the elderly in a series of “special economic zones”. All of the so called “reforms” are just ways of extracting more wealth from labor by loosening regulations. None of them have anything to do with increasing productivity, boosting capital investment or sparking more innovation. They’re all about wringing every last dime out of the people who are already so broke they can barley keep their heads above water.
On top of it all, Abe’s easy money policies have ignited the same flurry of “irrational exuberance” they have in the US. As Marketwatch notes, “A greater number of investors are demanding increased dividends and share buybacks than (ever) before.”
Stock buybacks are a particularly execrable activity that pumps up stock prices without adding anything to productivity. It’s pure-unalloyed asset inflation prompted by insanely loose monetary policies. Here’s more from Marketwatch:
“Japanese companies … are sitting on a record amount of cash: about $3 trillion at the end of March …
A number of large Japanese companies, including Toyota, NTT Docomo and Mitsubishi Corp., have announced plans for big stock buybacks, which improve shareholder returns by increasing the value of the remaining shares outstanding.” (In Japan, dividends, buybacks take the stage, Marketwatch)
Yipee! Shareholders are getting richer on Abe’s idiot programs. Too bad they’ll be gone when the bubble bursts and the system plunges back into crisis.
What a screwball system.
Abenomics has nothing to do with prosperity, growth or even deflation. That’s all BS. The policy is designed to do exactly what it does, generate hefty profits for slacker speculators and corporate muck-a-mucks while everyone else faces higher prices, lower wages and a dimmer future.
If that’s not class warfare, then what is it?
Central banks have shifted into stocks and are buying up everything that isn’t bolted to the floor.
That’s the gist of the story that breathlessly appeared in the Financial Times about a week ago and swept across the blogosphere like a Santa Anna brushfire. And there’s some truth to it too, if taken with a large grain of salt. Here’s a clip from the Omfif’s report the FT’s cites in the article:
“A cluster of central banking investors has become major players on world equity markets,” says a report to be published this week by the Official Monetary and Financial Institutions Forum (Omfif), a central bank research and advisory group. The trend “could potentially contribute to overheated asset prices”, it warns.” (Financial Times)
So, there you have it; stocks are rising, central banks are buying stocks like mad, therefore, central banks are driving the market. That’s all there is to it, right?
And we’re not talking chump change here either. According to the Omfif”s press release “global central banks and public sector institutions now account for an eye-watering “$29.1tn worth of investments … in 162 countries.”
Hmm. It’s easy to read that statement and assume that central banks have purchased $29 trillion in stocks, isn’t it? That’s what the folks over at Zero Hedge did. Check out the headline they ran shortly after the story appeared in the FT: “Cluster Of Central Banks” Have Secretly Invested $29 Trillion In The Market” (Zero Hedge)
But that’s not what the press release says, is it? It says “global central banks and public sector institutions”. There’s a big difference between the stocks a bank buys and all the investments in public pension funds, 401Ks, sovereign wealth funds etc. A huge difference. It looks like someone might be engaging in a bit of fear-mongering to get a rise out of readers.
That’s not to downplay the fact that CB’s are distorting prices by playing the market. They are. No one disputes that. Just like no one disputes that central banks should limit their activities to doing their job, which is maintaining price stability. (We’re deliberately omitting “full employment” since the Fed thinks it’s a big joke anyway.) But, hey, everyone knows these guys are a dodgy lot to begin with, so it’s hard to get whipped up into a lather every time they get caught in some new flimflam. Besides CB stock purchases are likely insignificant compared to corporate stock buybacks which are presently just-south of $600 billion per year. CB stock purchases are no where near that, regardless of what you read at Zero Hedge. Check this out in the Wall Street Journal:
“Last year, the corporations in the Russell 3000, a broad U.S. stock index, repurchased $567.6 billion worth of their own shares—a 21% increase over 2012, calculates Rob Leiphart, an analyst at Birinyi Associates, a research firm in Westport, Conn. That brings total buybacks since the beginning of 2005 to $4.21 trillion—or nearly one-fifth of the total value of all U.S. stocks today.” (Will Stock Buybacks Bite Back?, Wall Street Journal)
Yikes. “$4.21 trillion”! Now that’s what you call froth.
Anyway, the reason CBs are buying equities is to hedge their losses on the mountain of low-yielding bonds they purchased in their effort to recapitalize the insolvent banking system. They’re already taking it in the shorts for an estimated $250 billion per year, and when rates start marching upward, (as they inevitably will) they’re going to be bleeding red ink from both eyeballs. That’s why they want to diversify their portfolio; to staunch the hemorrhaging. Even so, the whole matter looks shabby and underhanded, which of course it is. It also calls into question present stock valuations which have been soaring with the zero rates, QE and positive earnings reports, the trifecta which pushes equities into the stratosphere regardless of the shitty condition of the underlying “real” economy. So–just like everyone else–the banks want to get on the winning side of the trade. But what a firestorm they’ve set off with these latest shenanigans! Here’s a sample of the outrage you’ll find on the Internet. This is from a Bill Bonner article titled “Proof the Stock Market Is Being Rigged”:
“We are still reeling.
Yesterday, we reported that central banks are major buyers of stocks…
We hardly know where to begin…
Outraged, we sputter and spit… we search for words… we look for metaphors and narratives… anything that will put this extraordinary situation in the right light…
Ah yes… central banks create new money… it gets passed around the financial community in many ways… and ultimately ends up in the equity markets…
In short, a grand slam of deceit. The World Series of financial catastrophe will follow. But that could be a long way off.” (Proof the Stock Market Is Being Rigged, Bonner and Partners)
“A grand slam of deceit”?
Fair enough. A little hyperbolic, but that’s to be expected, right? But, c’mon now, given the long list of scandals in the last few years–High-Frequency Trading (HFT), “toxic” mortgage-backed securities, Libor, London Whale, Robo-signing, structured finance, Madoff etc etc–it’s hard not to be little blasé about the whole deal, isn’t it? I’m not sure where Bonner’s been, but if you were to ask Joe Blow on the street, whether he thought the “market was rigged or not”, he’d undoubtedly nod his head affirmatively as if it was the most obvious thing in the world. Because it is the most obvious thing in the world. Heidi Moore summed it up pretty well in a recent article at the Gurdian. She said:
“Most Americans don’t think much about the stock market, and that’s just fine with Wall Street. Because once you wake up to how screwed up the stock market really is, the financial industry knows you’re likely to get very nervous and take your money out.
Many are catching on: between 2007 and 2014, investors pulled $345bn from the stock market. E-Trades are down and worries are up, with 73% of Americans still not inclined to buy stocks, five years after the financial crisis…
Let’s get one thing straight: Investor confidence is not the problem. The screwed-up stock market is the problem. It’s time to break down the polite fiction that investing in the stock market is something that sane, rational, sensible people do. It is a high-risk contact sport for your money…
The US stock market depends entirely on the ignorance of regular people who are supposed to just shovel their money into retirement funds and 401(k)s, pay a whopping one-third of your retirement in fees to high-priced managers, and never whisper a complaint.
It’s a wonder that anyone (trusts the market) at all.” (Wall Street and Washington want you to believe the stock market isn’t rigged. Guess what? It still is, Heidi Moore, Guardian)
The market is totally rigged from stem to stern, which is why it is so hard to feign outrage at this latest sign of corruption. It’s just par for the course. What we found more interesting, was the OMFIF’s contention that the experimental monetary policies, the centrals banks initiated to deal with the Financial Crisis, have changed the system to what the author calls “state capitalism”.
“Whether or not this trend is a good thing”, he opines, “may be open to question. What is incontestable is that it has happened”.
While you can’t expect the media to cover something like this, it’s certainly worth mulling over. The fact is, CBs have taken over economic policy altogether. They’re running the whole shooting match. The various congresses and parliaments across the western world now merely act as a rubber stamp for the austerity measures demanded by their corporate bosses. Fiscal policy is a dead letter in the US, Japan, Australia, Canada, UK and the Eurozone. Everywhere the bank cartel has extended it’s grip, fiscal policy has been jettisoned altogether. It’s bailouts and lavish subsidies for the 1 percenters and belt-tightening, shock therapy for everyone else. Isn’t that how it works? State Capitalism isn’t a conspiracy theory. It’s just class warfare taken to the next level. Check this out from Dave Marsh at Marketwatch:
“Central banks’ foreign-exchange reserves have grown unprecedentedly fast, especially in the developing world. The same authorities that are responsible for maintaining financial stability are often the owners of the large funds that add to liquidity in many markets…
Evidence of an increase in equity-buying by central banks and other public-sector investors has emerged from a survey of publicly owned or managed investments compiled by the Official Monetary and Financial Institutions Forum (OMFIF)… There are worries that central banks may be over-stretching themselves by operating in too many areas.
Jens Weidmann, president of Germany’s Bundesbank — spoke yearningly last week of the need for “central banks to shed their role as decision-makers of last resort and, thus, to return to their normal business.”
He said this “would help to preserve the independence of central banks, which is a key precondition to maintaining price stability in the long run.” (Central banks becoming major investors in stock markets, Dave Marsh, Marketwatch)
You might want to read that first part over again to savor what the author is saying. Here it is: “The same authorities that are responsible for maintaining financial stability are often the owners of the large funds that add to liquidity in many markets.”
That’s what you call corruption with a capital “C”. But then the author does a 180 and waxes-on about “preserving the independence of central banks, which is a key precondition to maintaining price stability in the long run.”
Right. The whole independence thing is a big joke. Why would anyone in their right mind bestow such extraordinary powers (“independence”) on a group of voracious, cutthroat bankers who have repeatedly shown that they can’t be trusted?
It’s insanity. This latest outrage just proves that the central bank system needs to be either reformed or terminated. Preferably, terminated.
“This deployment of strategic bombers provides an invaluable opportunity to strengthen and improve interoperability with our allies and partners.”
– Admiral Cecil Haney, commander, US Strategic Command on the deployment of B-2 stealth bombers to Europe.
“Against stupidity, no amount of planning will prevail.” – Carl von Clausewitz
Less than 24 hours after Ukraine’s new president Petro Poroshenko announced his determination to retake Crimea from Russia, US Admiral Cecil Haney confirmed that the US Air Force had deployed two B-2 stealth bombers to Europe to conduct military exercises. The addition of the multipurpose B-2, which is capable of delivering nuclear weapons, is intended to send a message to Moscow that the United States is prepared to provide backup for Ukraine’s fledgling government and to protect its interests in Central Asia. News of the deployment was reported in the Russian media, but was excluded by all the western news outlets.
The B-2 announcement was preceded by an inflammatory speech by Poroshenko at the presidential “swearing in” ceremony in Kiev. In what some analysts have called a “declaration of war”, Poroshenko promised to wrest control of Crimea from Russia which annexed the region just months earlier following a public referendum that showed 90 percent support for the measure. Here’s part of what Poroshenko said:
“The issue of territorial integrity of Ukraine is not subject to discussion…I have just sworn ‘with all my deeds to protect the sovereignty and independence of Ukraine,’ and I will always be faithful to this sacred promise…
“Russia occupied Crimea, which was, is and will be Ukrainian soil…Yesterday, in the course of the meeting in Normandy, I told this to President Putin: Crimea is Ukraine soil. Period. There can be no compromise on the issues of Crimea, European choice and state structure…” (New York Times)
On Thursday, the day before Poroshenko was sworn in, “President Obama and British Prime Minister David Cameron set a deadline for Russia to comply with its demands or face harsher economic sanctions that would be imposed by members of the G-7. Once again, the threat of new sanctions was largely ignored by the western media but was reported in the Israeli newspaper Haaretz. Here’s an excerpt from the article:
“To avoid even harsher sanctions.. Putin must meet three conditions: Recognize Petro Poroshenko’s election as the new leader in Kiev; stop arms from crossing the border; and cease support for pro-Russian separatist groups concentrated in eastern Ukraine.
“If these things don’t happen, then sectoral sanctions will follow…”
Obama said the G-7 leaders unanimously agree with the steps Cameron outlined.” (Haaretz)
The United States is ratcheting up the pressure in order to widen the conflict and force Russian president Vladimir Putin to meet their demands. It’s clear that the threat of sanctions, Poroshenko’s belligerent rhetoric, and the steady buildup of military assets and troops in the region, that Obama and Co. still think they can draw Putin into the conflict and make him look like a dangerous aggressor who can’t be trusted by his EU partners. Fortunately, Putin has not fallen into the trap. He’s resisted the temptation to send in the tanks to put an end to the violence in Donetsk, Lugansk and Slavyansk. This has undermined Washington’s plan to deploy NATO to Russia’s western border, assert control over the “bridgehead” between Europe and Asia, and stop the further economic integration between Russia and the EU. So far, Putin has out-witted his adversaries at every turn, but there are still big challenges ahead, particularly the new threats from Poroshenko.
If Poroshenko is determined to take Crimea back from Moscow, then there’s going to be a war. But there are indications that he is more pragmatic than his speeches would suggest. In a private meeting with Putin at the D-Day ceremonies in France, the Ukrainian president said he had a plan to “immediately stop the bloodshed”
Here’s how Putin summarized his meeting with Poroshenko:
“Poroshenko has a plan in this respect; it is up to him to say what kind of plan it is… I cannot say for sure how these plans will be implemented, but I liked the general attitude, it seemed right to me, so, if it happens this way, there will be conditions to develop our relations, in other areas, including economy.
“It’s important to stop the punitive actions in the southeast without a delay. That’s the only way to create conditions for the start of a real process of negotiations with the supporters of federalization. No one has yet said anything concrete to the people (living in the southeast of Ukraine) and nothing practical has been offered to them. People there simply don’t understand how they’ll live in the future and what the parameters of the new Constitution will look like.” (Poroshenko tells Putin of plan to immediately stop bloodshed in Ukraine, Itar-Tass)
If the report is accurate, then there’s reason to hope that Poroshenko is moving in Russia’s direction on most of the key issues which are; greater autonomy for the people in East Ukraine, Constitutional provisions that will protect them from future abuse by Kiev, and an immediate end to the violence. Putin has sought assurances on these issues from the very beginning of the crisis. Now it looks like he might get his way. Of course, it is impossible to know, since Poroshenko is sending mixed messages.
So why is Poroshenko sounding so conciliatory in his private meetings with Putin, but so belligerent in public?
It could be any number of things, but it probably has a lot to do with Monday’s scheduled tripartite meetings of representatives from the European Union, Ukraine and Russia. These meetings will have incalculable impact of Ukriane’s economic future. They will resolve the issues of price for future gas purchases as well as a plan for settling all previous claims. (Russia says that Ukraine owes $3.5 billion in back payments for natural gas.)
On April 1, Gazprom cancelled Ukraine’s discount and raised the price of gas to 485.5 dollars per 1,000 cubic meters nearly doubling the rate of payment. (It had been $268.5 per 1,000 cubic meters) It is impossible to overstate the impact this will have Ukraine’s economy. Even Ukrainian hardline Prime Minister Arseniy Yatsenyuk was candid in his dire assessment of the situation. He said, “I could have made a populist statement but it is not true. We cannot refrain from using Russian gas.”
If Poroshenko sounds conciliatory, this is why.
Putin refused to discuss the gas issue with the media, but implied that political developments in Ukraine would factor heavily into any decision by Gazprom.
“Russia will be compelled to enact economic protection measures to defend its market if Ukraine signs the association agreement with the EU. “As soon as that accord is signed, we’ll start taking measures to defend our economy,” Putin said. (Itar-Tass)
In other words, if Ukraine doesn’t play ball, it’s going to have to go-it-alone. Kiev cannot expect “most favored trade partner-status”, gas discounts, or other perks if they’re going to stab Moscow in the back and jump into bed with the EU. That’s just not the way things work. Putin is merely warning Poroshenko to think about what he’s about to do before taking the plunge. ( “Average gas prices for Ukrainian households began rising by more than 50 percent in May, and heating prices are expected to climb by about 40 percent, starting in July.” World Socialist Web Site)
This is a much more important issue that most analysts seem to grasp. Many seem to think that IMF, EU and US loans and other assistance can buoy Ukraine’s sinking economy and restore it to health. But that’s a pipedream. In a “must read” report by the Brookings Institute, authors Clifford G. Gaddy and Barry W. Ickes spell it out in black and white, that is, that “Ukraine is a prize that neither Russia nor the West can afford to win.” Here’s a clip from the text:
“It is clear to most observers that the West would not be able to defend Ukraine economically from a hostile Russia…The simple fact is that Russia today supports the Ukrainian economy to the tune of at least $5 billion, perhaps as much as $10 billion, each year…
When we talk about subsidies, we usually think of Russia’s ability to offer Ukraine cheap gas — which it does when it wants to. But there are many more ways Russia supports Ukraine, only they are hidden. The main support comes in form of Russian orders to Ukrainian heavy manufacturing enterprises. This part of Ukrainian industry depends almost entirely on demand from Russia. They wouldn’t be able to sell to anyone else…
If the West were somehow able to wrest full control of Ukraine from Russia, could the United States, the other NATO nations, and the EU replace Russia’s role in eastern Ukraine? The IMF, of course, would never countenance supporting these dinosaurs the way the Russians have. So the support would have to come in the way of cash transfers to compensate for lost jobs. How much are we talking about? The only known parallel for the amount of transfer needed is the case of German reunification. The transfer amounted to 2 trillion euros, or $2.76 trillion, over 20 years. If Ukraine has per capita income equal to one-tenth of Germany’s, then a minimum estimate is $276 billion to buy off the east. (In fact, since the population size of eastern Ukraine is larger than East Germany’s, this is an underestimate.) It is unthinkable that the West would pay this amount.” (Ukraine: A Prize Neither Russia Nor the West Can Afford to Win, Brookings)
The authors go on to show that “a NATO-affiliated Ukraine — is simply impossible under any real-world conditions” because it assumes that Russia will either “become an enthusiastic EU and NATO member itself” (or) “will it return to being the bankrupt, dependent, and compliant Russia of the 1990s.” In other words, the Obama administration’s strategic objectives in Ukraine do not jibe with economic reality. The US cannot afford to win in Ukraine, that’s the bottom line. Even so, we are convinced the aggression will persist regardless of the presumed outcome. The train has already left the station.
At the D-Day ceremonies, Putin and Poroshenko also met briefly with German Chancellor Angela Merkel and French President Francois Hollande although the content of their discussions was not revealed. Public support for the two leaders’ Ukraine policy is gradually withering as the fighting continues in the East without any end in sight. An article in the popular German newspaper Die Zeit indicates that elite opinion in Europe is gradually shifting and no longer sees Washington’s Ukraine policy as being in its interests.
Here’s a brief summary from the WSWS: “It goes on to argue that Washington’s aggression is laying the foundations for a Chinese-Russian-Iranian axis that “would force the West to pursue a more aggressive foreign policy to secure its access to important but dwindling raw materials such as oil.” In opposition to this, the commentary insists that Germany’s independent interests lie “with preserving and deepening Europe’s relations with Russia,” while pursuing similar ties with Iran.” (D-Day anniversary: Commemorating the Second World War and preparing the Third, World Socialist Web Site)
This is an important point and one that could put a swift end to US aggression in Ukraine. Washington’s objectives are at cross-purposes with those of the EU. The EU needs a reliable source of energy and one, like Russia, that will set its prices competitively without resorting to coercion or blackmail. Washington, on the other hand, intends to situate itself in this century’s most prosperous region, Eurasia, in order to control the flow of oil from East to West. This is not in Europe’s interests, but promises to be a source of conflict for the foreseeable future. Case in point: Just last week Bulgaria’s prime minister, Plamen Oresharski, “ordered a halt to work on Russia’s South Stream pipeline, on the recommendation of the EU. The decision was announced after his talks with US senators.”
According to RT News, Oresharski stopped construction after meeting with John McCain, Chris Murphy and Ron Johnson during their visit to Bulgaria on Sunday.
McCain, commenting on the situation, said that “Bulgaria should solve the South Stream problems in collaboration with European colleagues,” adding that in the current situation they would want “less Russian involvement” in the project.
“America has decided that it wants to put itself in a position where it excludes anybody it doesn’t like from countries where it thinks it might have an interest, and there is no economic rationality in this at all. Europeans are very pragmatic, they are looking for cheap energy resources – clean energy resources, and Russia can supply that. But the thing with the South Stream is that it doesn’t fit with the politics of the situation,” Ben Aris, editor of Business New Europe told RT.” (Bulgaria halts Russia’s South Stream gas pipeline project, RT)
Once again, we can see how US meddling is damaging to Europe’s interests.
Western elites want to control the flow of gas and oil from East to West. This is why they’ve installed their puppet in Kiev, threatened to levy more sanctions on Moscow, and moved B-2 stealth bombers into the European theater. They are determined to succeed in their plan even if it triggers a Third World War.
“Actually, as Winston well knew, it was only four years since Oceania had been at war with Eastasia and in alliance with Eurasia. But that was merely a piece of furtive knowledge, which he happened to possess because his memory was not satisfactorily under control. Officially the change of partners had never happened. Oceania was at war with Eurasia: therefore Oceania had always been at war with Eurasia. The enemy of the moment always represented absolute evil, and it followed that any past or future agreement with him was impossible…” – George Orwell, 1984
Nations, cultures and populations are best controlled through the use of false paradigms. This is a historically proven tactic exploited for centuries by oligarchs around the world. Under the Hegelian dialectic (the very foundation of the Marxist and collectivist ideology), one could summarize the trap of false paradigms as follows:
If (A) my idea of freedom conflicts with (B) your idea of freedom, then (C) neither of us can be free until everyone agrees to be a slave.
In other words: problem, reaction, solution. Two sides are pitted against each other in an engineered contest. Each side is led to believe that its position is the good and right position. Neither side questions the legitimacy of the conflict, because each side fears this will lead to ideological weakness and disunity.
The two sides go to war, sometimes economically, sometimes militarily. Both governments demand that individuals relinquish freedom, independence and self-reliance, a sacrifice that “must be made” so that victory can be achieved. In the end, neither nation nor society has truly won. The only winners are the oligarchs, who sing words of loyalty to their respective camps, while acting in league from the very beginning. The oligarchs, who never intended to target each other in the first place. Their target, their ONLY target, was the citizenry itself — the dumbfounded masses now mesmerized with shock, awe and terror.
The false paradigm method and the Hegelian dialectic are in full force today. Only a few years ago, Russia, China and the United States were considered close economic and political allies. Today, those alliances are being quickly scrapped in order to make room for conflict, a conflict useful only to a select international elite. As I have outlined in numerous articles, includingRussia Is Dominated By Global Banks, Too and False East/West Paradigm Hides The Rise Of Global Currency, when one looks beyond all the theatrical rhetoric being thrown around between Barack Obama and Vladimir Putin, the ultimate reality is that the relationship of both governments to the global banking elite is the same.
During both of Obama’s Presidential terms, he has flooded his cabinet with current and formeremployees of Goldman Sachs, a longtime proving ground for elitist financiers with globalist aspirations.
And who is the primary economic adviser to Vladimir Putin and the Russian state? WhyGoldman Sachs, of course!
U.S. and European elites have been calling for a centralization of economic power under the control of the International Monetary Fund, as a well as a new global currency.
Not surprisingly, Putin also wants a new global currency under the control of the IMF.
Obama is closely advised by globalists like Zbigniew Brzezinski, a member of the Council on Foreign Relations and cofounder of the Trilateral Commission, who in his book Between Two Ages: America’s Role In The Technetronic Era states:
“The nation-state is gradually yielding its sovereignty …[F]urther progress will require greater American sacrifices. More intensive efforts to shape a new world monetary structure will have to be undertaken, with some consequent risk to the present relatively favorable American position…”
“In the end, the political and economic systems can be harmonized in only one of two ways: by creating an international political regulatory system with the same reach as that of the economic world; or by shrinking the economic units to a size manageable by existing political structures, which is likely to lead to a new mercantilism, perhaps of regional units. A new Bretton Woods kind of global agreement is by far the preferable outcome…”
Both Kissinger and Brzezinski refer to this harmonized global economic and political structure as the “New World Order.” The fact that the political leaders of Russia and the United States are clearly being directed by such men should not be taken lightly.
China, too, has made demands for a restructuring of the global monetary system into acentralized currency basket under the dominance of the IMF.
China’s ties to the banking elite of London are well documented.
The call on both sides for a new monetary system and the end of the dollar as world reserve seems to greatly contradict the fantasy that the East and West are fundamentally at odds. The progression towards a world currency and/or economic governance also appears to be growing along with the consolidation of economic and military ties between Eastern nations. This would suggest that the rise of the East and the crippling of Western elements is actually advantageous to global bankers in the long term.
While disinformation agents and media shills have attempted to downplay any danger to the strength of America and the dollar, Eastern governments have been swiftly establishing alliances and decoupling from U.S. influence.
The historic 30-year Russia/China gas deal has, of course, been finalized. This deal is already eating up market space and influencing the way in which the energy trade traditionally behaves.
China and Russia have also expanded on their bilateral agreements made in 2010, which remove the dollar as the reserve currency in transactions between the two nations.
China’s thirst for gold continues, while the country is now building its own gold exchange to rival the U.S. Comex.
Russia has recently established what Putin calls the “Eurasian Economic Union,” a deal which includes Kazakhstan and Belarus, two countries that hold large, freshly discovered oil fields.
In response to the engineered conflict over Ukraine, as well as the “Asian-Pacific Pivot” by the U.S., China has openly called for a new security pact with Russia and Iran.
Let’s also not forget that China is set to surpass the U.S. as the world’s largest economy by 2016, according to the Organization for Economic Co-operation and Development (OECD).
While the rise of the East is being painted in Western circles as a threat to U.S. and NATO dominance, the bigger picture is being hidden from view. Yes, indeed, the consolidation of the East is a considerable threat to the dollar and the U.S. economy — most importantly in the event that China refuses to accept dollars as payment on exports and debts. With the world’s largest exporter/importer refusing to take dollars as a reserve, most nations will inevitably follow their lead. The argument against this development is, of course, that there is no rational trigger for such a violent fiscal attack. I would remind skeptics that there was no rational trigger for the current strengthened relations between Russia and China until the Ukraine crisis. Is anyone really foolish enough to bet against another direct or indirect conflict between NATO and the East? And is anyone really ignorant enough to assume that said event would not be used as an excuse to cut the legs out from under the dollar completely?
The New World Order players have positioned the East and West for just such a scenario. Why? In my article Who Is The New Secret Buyer Of U.S. Debt?, I give evidence indicating that the Bank of International Settlements and the IMF are preparing the financial world for a new global monetary system, brought into existence by a second Bretton Woods conference. The debasement of the dollar and the rise of the East are NOT obstacles to this plan. Rather, they are required factors. There can be no truly global economic system without “harmonization”, the demise of the dollar’s world reserve status, and the end of sovereign economic governance.
For those who doubt this scenario, read Paul Volcker’s latest statement, as reported by Zero Hedge.
Volcker, the same man who was directly involved in the destruction of the first Bretton Woods agreement and the final death rattle of the gold standard, is now promoting a NEW Bretton Woods-style agreement in which currencies are pegged to a controlled market system — in essence, a centralized international monetary system. Volcker also suggests that a single nation-based reserve currency like the dollar may be a danger to overall fiscal health.
Volcker is right. The dollar-dominated forex casino and fiat fraud is a danger to the world. Volcker helped make it that way! And what a surprise, the former Federal Reserve chairman has a solution on a silver platter for the American people — all we need is GLOBALcentralization and bureaucratic oversight.
The propaganda is being carefully planted within the mainstream. Christine Lagarde of the IMF now spends the whole of her media interviews inserting the phrase “global economic reset” without explaining exactly what that would entail, while central banking elites like Volcker suggest a Bretton Woods II conference leading to a global monetary authority. In the meantime, Russian government-funded media outlets like RT produce pieces accusing the U.S. of being a nuclear menace while we Americans get to watch manipulative Hollywood films like “Jack Ryan: Shadow Recruit,” which depicts a Russian plot to collapse the U.S. economy. China and U.S. representatives squabble with each other at geopolitical meetings fueling fears of diplomatic breakdown, while the Pentagon “suggests” they may have to revamp their military strategies in consideration of yet another World War. Just as in Orwell’s book, 1984, old enemies become allies and then enemies once again, and at the top of the pyramid, it’s all a farce.
The best lies contain elements of truth. The truth here is that the East is forming alliances in opposition to the West, the West is involved in underhanded covert operations all over the planet, and both “sides” are in fact on the verge of a catastrophic battle for supremacy. The great lie is that important details have been left out of our little story. Both sides are merely puppet pieces in a grand game of global chess, and any conflict will ultimately benefit the small group of men standing over the board. They include the international financiers who have influenced the very policy fabric of each government toward a climactic crisis which they hope will finally give them the “New World Order” they have always dreamed of.
Source: Brandon Smith | Alt-Market
“I liken the economy to a car on a flat road that has no momentum. When you take your foot off the gas, the car just stops moving.” — Stephanie Pomboy, Interview Barron’s
If you follow the stock market, you probably think the economy is sizzling. But if bonds are your thing, then you probably think we’re still in recession.
So which is the better gauge of what’s going on in the real economy; stocks or bonds?
The bond market is more accurate. And recently, long-term yields have been dropping like a stone which is not a good sign for the economy. Investors seem to think that slow growth and low inflation are here to stay, and they could be right. According to Bloomberg, “Falling yields on longer-term Treasuries historically reflect periods of lackluster growth. Since 1960, they have predicted seven of the last eight recessions when 10-year yields fell below 3-month bill rates.” As of today, the benchmark 10-year UST is a dismal 2.44 percent.
The reason investors have been piling back into Treasuries is because is the labor market is weak and there’s no sign of inflation anywhere. When wages stagnate and incomes drop–as they have since the slump ended– then there’s no upward pressure on prices because everyone is making less dough, so there’s less demand, less growth and, hence, less inflation. Of course, Obama could have fixed the situation by holding off on slashing the deficits or by increasing the amount of stimulus in his fiscal package. That would have circulated more money into the economy boosting employment and revving up growth. But that would have put the economy back on its feet again which was not what he wanted. What he wanted was to grind working people into the ground by keeping the economy on life-support while his chiseling Wall Street buddies made out like bandits on the latest stock market bubble. The Wall Street Journal explains what’s going on:
“Bond yields are – once again – plunging worldwide. The reason for this revived buying among fixed-income investors is that central banks are – once again – signaling their intent to ease monetary conditions in yet another bid to kick-start sluggish economies and forestall a downward spiral in prices, or deflation. The prospect that central banks will continue to inject money into the world’s bond markets…has acted as a green light for the world’s bond buyers.”
So investors think the Fed will have to taper the “Taper” and start buying more government paper. But why?
Because they have no choice. Many of the usual buyers of US Treasuries have cut back on their monthly purchases or stopped buying altogether. That means that rates will have to rise to attract more buyers unless the Fed makes up the difference. Check out this blurb from Barron’s interview with Stephanie Pomboy:
“Foreigners are buying about $10 billion a month of Treasuries. This compares with deficit financing needs for the U.S. government of roughly $40 billion a month, based on this year’s deficit. So the Fed needs to pick up roughly $30 billion a month in slack. When the Fed slashed its buying to $25 billion, effective this month, it for the first time opened up a demand deficit for Treasuries. If they continue to taper, that gap will expand, and things could get bumpy in the Treasury market. Rates won’t go up five basis points before the Fed would start talking about more QE.” (Barrons Interview Posits Weak US Economy, Barron’s)
It’ll get bumpy alright, real bumpy. Higher rates will send housing and stocks into freefall. The Fed will have no choice but to step in to stop the bleeding.
The economy is already suffering from chronic lack of demand. Add higher rates to the mix, and cost-conscious consumers are going to cut back on everything from auto loans to nights-on-the-town. Yellen’s not going to let that happen. She’s going to come up with some cockamamie excuse for buying more USTs and hope-like-hell that wages and incomes rebound so she can start tapering again.
This illustrates the conceptual flaw in Central Bank policy. QE and zero rates are supposed to reduce the price of money, thereby enticing consumers to take out loans and spend like crazy. That, in turn, is supposed to generate more activity and stronger growth. But there’s a slight glitch to this theory, that is, consumers aren’t the brain-dead lab rats the Fed thinks they are. Most people don’t base their spending decisions on price alone. Sometimes, for example, it doesn’t make sense to borrow money no matter how cheap it is. The average working stiff doesn’t give a rip if he can get a loan at 3.5 percent when his credit card is already maxed out and the only job he can find is working graveyard at Jack in the Box. That guy doesn’t need more debt, he needs a decent paying job. Here’s how the managing partner of MBMG Group, Paul Gambles explained the phenom in an interview on CNBC:
“People and businesses are not inclined to borrow money during a downturn purely because it is made cheaper to do so. Consumers also need a feeling of job security and confidence in the economy before taking on additional borrowing commitments.” (Washington’s blog via Zero Hedge)
Bingo. Of course, the members of the Fed know that this whole “cheap money” thing is bogus, but they keep reiterating the same blather so they can keep the wampum flowing to their crooked friends on Wall Street. It’s worth noting that: since the end of the recession, “one-third of all income increases in this country went to just 16,000 households, 95 percent of it went to the top 1 percent, and the bottom 90 percent’s incomes fell, and they fell by 15 percent.”
In other words, the Fed knows exactly how QE works, (and who benefits) and it has nothing to do with extending credit to working people. That’s malarkey. It’s all about providing limitless liquidity for financial speculators so they can send stocks into the stratosphere and rake in record profits. Here’s a blurb from a piece by Zero Hedge that helps to illustrate what’s going on:
“According to the most recent CapitalIQ data, the single biggest buyer of stocks in the first quarter were none other than the companies of the S&P500 itself, which cumulatively repurchased a whopping $160 billion of their own stock in the first quarter!
Should the Q1 pace of buybacks persist into Q2 which has just one month left before it too enters the history books, the LTM period as of June 30, 2014 will be the greatest annual buyback tally in market history.” (Here Is The Mystery, And Completely Indiscriminate, Buyer Of Stocks In The First Quarter, Zero Hedge)
Why are companies buying shares of their own stock, you ask, when buybacks add no productive value to a company at all?
It’s because it gooses stock prices which makes shareholders happy. It’s a complete scam. And it’s a huge scam, too. Currently, total stock buybacks represent a whopping $4 trillion or 20 percent of the total stock market value. Just think of the walloping prices are going to take when these same shareholders decide it’s time to bail out? Look out below!
Now get a load of this clip from Action Forex:
“Disappointment over the pace of economic growth explains at least some of the downturn in yields. The U.S. economy very likely contracted in the first quarter of the year, perhaps by as much as 1.0% annualized … Even with a strong bounce back in the second quarter … – the average pace of growth in the first half of the year will be a tepid 2.0%, about the pace it’s been since the end of the recession…
The retrenchment in yields also reflects events abroad … However, there is perhaps another reason for the decline in yields that is more pernicious. There is the realization that even after the recovery has run its course, economic growth is likely to be slower than it has been in the past. Slower growth means that as the fed funds rate eventually moves off the floor, it will not go back to the 5.25% it was prior to the Great Recession or even the 4.0% it averaged over the quarter of a decade prior. Expectations of “lower forever”…increasingly appear to be built into longer-term interest rates.” (A year in the bond market, Action Forex)
Did you catch that part about “lower forever”?
What the author means is that the economy has reset at a lower level of activity and will not return to normal. This is an admission that the managers of the system have no intention of fixing what’s wrong; cleaning up the banks, writing down the debts, regulating the system, increasing workers buying power (boosting demand) or providing sustained fiscal stimulus until unemployment and growth are back where they should be. Instead, basic macro has been replaced with public relations, that is, a swindle that’s spearheaded by faux-liberal icons Krugman and Summers who are pushing the “secular stagnation” folderol which is just a lame excuse for maintaining the status quo plus a few anemic add-ons, like infrastructure projects. Big whoop. It’s all a fig leaf for maintaining the same wealth shifting monetary policies that are in place today.
So this is it? Are we really doomed to a future of high unemployment and slow growth?
The IMF seems to think so. Here’s an excerpt from an article by Nick Beams which gives a rundown on a recent IMF report that was ignored by the media. The article is titled “No end to economic breakdown”:
“Almost six years after the eruption of the global financial crisis, the International Monetary Fund has effectively ruled out any return to the economic growth rates that preceded September 2008.
Two major chapters of the IMF’s World Economic Outlook … provide a gloomy assessment of the state of the world economy. In the advanced economies, investment is falling as a proportion of gross domestic product (GDP), while in the “emerging markets,” there is no prospect for growth rates to return to pre-2007 levels.
The IMF notes that real interest rates have been declining since the 1980s and are “now in slightly negative territory.” But this has failed to boost productive investment. On the contrary, what it calls “scars” from the global financial crisis “have resulted in a sharp and persistent decline in investment in advanced economies.” Between 2008 and 2013, there was a two-and-a-half percentage point decline in the investment to GDP ratio in these countries. The report adds that ratios “in many advanced economies are unlikely to recover to pre-crisis levels in the next five years.”
This conclusion is of immense significance given the critical role of investment in the functioning of the capitalist economy … Investment…is the key driving force of capitalist economic growth … But if investment stagnates or declines, the circle turns vicious. This is what is now taking place.” IMF report: No end to economic breakdown (april), wsws
So no return to normal, after all. The American people are now facing a long period of high unemployment and slow growth that will shrink the middle class and change the country in ways we can hardly imagine. It’s unavoidable. It’s the policy.
NOTE: As this piece was going to press, the Wall Street Journal announced that “revised” First Quarter GDP contracted at a 0.6% annual rate. So while stocks have been setting records almost daily due to the massive injections of money from the Fed, the economy is steadily sliding towards recession.
On the surface, the economic atmosphere of the U.S. has appeared rather calm and uneventful. Stocks are up, employment isn’t great but jobs aren’t collapsing into the void (at least not openly), and the U.S. dollar seems to be going strong. Peel away the thin veneer, however, and a different financial horror show is revealed.
U.S. stocks have enjoyed unprecedented crash protection due to a steady infusion of fiat money from the Federal Reserve known as quantitative easing. With the advent of the “taper”, QE is now swiftly coming to a close (as is evident in the overall reduction in treasury market purchases), and is slated to end by this fall, if not sooner.
Employment has been boosted only in statistical presentation, and not in reality. The Labor Department’s creative accounting of job numbers omits numerous factors, the most important being the issue of long term unemployed. Millions of people who have been jobless for so long they no longer qualify for benefits are being removed from the rolls. This quiet catastrophe has the side bonus of making it appear as though unemployment is going down.
U.S. Treasury bonds, and by extension the dollar, have also stayed afloat due to the river of stimulus being introduced by the Federal Reserve. That same river, through QE, is now drying up.
In my article The Final Swindle Of Private American Wealth Has Begun, I outline the data which leads me to believe that the Fed taper is a deliberate action in preparation for an impending market collapse. The effectiveness of QE stimulus has a shelf-life, and that shelf life has come to an end. With debt monetization no longer a useful tool in propping up the ailing U.S. economy, central bankers are publicly stepping back. Why? If a collapse occurs while stimulus is in full swing, the Fed immediately takes full blame for the calamity, while being forced to admit that central banking as a concept serves absolutely no meaningful purpose.
My research over many years has led me to conclude that a collapse of the American system is not only expected by international financiers, but is in fact being engineered by them. The Fed is an entity created by globalists for globalists. These people have no loyalties to any one country or culture. Their only loyalties are to themselves and their private organizations.
While many people assume that the stimulus measures of the Fed are driven by a desire to save our economy and currency, I see instead a concerted program of destabilization which ismeant to bring about the eventual demise of our nation’s fiscal infrastructure. What some might call “kicking the can down the road,” I call deliberately stretching the country thin over time, so that any indirect crisis can be used as a trigger event to bring the ceiling crashing down.
In the past several months, the Fed taper of QE and subsequently U.S. bond buying has coincided with steep declines in purchases by China, a dump of one-fifth of holdings by Russia, and an overall decline in new purchases of U.S. dollars for FOREX reserves.
With the Ukraine crisis now escalating to fever pitch, BRIC nations are openly discussing the probability of “de-dollarization” in international summits, and the ultimate dumping of the dollaras the world reserve currency.
The U.S. is in desperate need of a benefactor to purchase its ever rising debt and keep the system running. Strangely, a buyer with apparently bottomless pockets has arrived to pick up the slack that the Fed and the BRICS are leaving behind. But, who is this buyer?
At first glance, it appears to be the tiny nation of Belgium.
While foreign investment in the U.S. has sharply declined since March, Belgium has quickly become the third largest buyer of Treasury bonds, just behind China and Japan, purchasing more than $200 billion in securities in the past five months, adding to a total stash of around $340 billion. This development is rather bewildering, primarily because Belgium’s GDP as of 2012 was a miniscule $483 billion, meaning, Belgium has spent nearly the entirety of its yearly GDP on our debt.
Clearly, this is impossible, and someone, somewhere, is using Belgium as a proxy in order to prop up the U.S. But who?
Recently, a company based in Belgium called Euroclear has come forward claiming to be the culprit behind the massive purchases of American debt. Euroclear, though, is not a direct buyer. Instead, the bank is a facilitator, using what it calls a “collateral highway” to allow central banks and international banks to move vast amounts of securities around the world faster than ever before.
Euroclear claims to be an administrator for more than $24 trillion in worldwide assets and transactions, but these transactions are not initiated by the company itself. Euroclear is a middleman used by our secret buyer to quickly move U.S. Treasuries into various accounts without ever being identified. So the question remains, who is the true buyer?
My investigation into Euroclear found some interesting facts. Euroclear has financial relationships with more than 90 percent of the world’s central banks and was once partly owned and run by 120 of the largest financial institutions back when it was called the “Euroclear System”. The organization was consolidated and operated by none other than JP Morgan Bank in 1972. In 2000, Euroclear was officially incorporated and became its own entity. However, one must remember, once a JP Morgan bank, always a JP Morgan bank.
Another interesting fact – Euroclear also has a strong relationship with the Russian government and is a primary broker for Russian debt to foreign investors. This once again proves my ongoing point that Russia is tied to the global banking cabal as much as the United States. The East vs. West paradigm is a sham of the highest order.
Euroclear’s ties to the banking elite are obvious; however, we are still no closer to discovering the specific groups or institution responsible for buying up U.S. debt. I think that the use of Euroclear and Belgium may be a key in understanding this mystery.
Belgium is the political center of the EU, with more politicians, diplomats and lobbyists than Washington D.C. It is also, despite its size and economic weakness, a member of an exclusive economic club called the “Group Of Ten” (G10).
The G10 nations have all agreed to participate in a “General Arrangement to Borrow” (GAB) launched in 1962 by the International Monetary Fund (IMF). The GAB is designed as an ever cycling fund which members pay into. In times of emergency, members can ask the IMF’s permission for a release of funds. If the IMF agrees, it then injects capital through Treasury purchases and SDR allocations. Essentially, the IMF takes our money, then gives it back to us in times of desperation (with strings attached). A similar program called ‘New Arrangements To Borrow’ (NAB) involves 38 member countries. This fund was boosted to approximately 370 billion SDR (or $575 billion dollars U.S.) as the derivatives crisis struck markets in 2008-2009. Without a full and independent audit of the IMF, however, it is impossible to know the exact funds it has at its disposal, or how many SDR’s it has created.
It should be noted the Bank of International Settlements is also an overseer of the G10. If you want to learn more about the darker nature of globalist groups like the IMF and the BIS, read my articles, Russia Is Dominated By Global Banks, Too, and False East/West Paradigm Hides The Rise Of Global Currency.
The following article from Harpers titled “Ruling The World Of Money,” was published in 1983 and boasts about the secrecy and “ingenuity” of the Bank Of International Settlements, an unaccountable body of financiers that dominates the very course of economic life around the world.
It is my belief that Belgium, as a member of the G10 and the GAB/NAB agreements, is being used as a proxy by the BIS and the IMF to purchase U.S. debt, but at a high price. I believe that the banking elite are hiding behind their middleman, Euroclear, because they do not want their purchases of Treasuries revealed too soon. I believe that the IMF in particular is accumulating U.S. debt to be used later as leverage to absorb the dollar and finalize the rise of their SDR currency basket as the world reserve standard.
Imagine what would happen if all foreign creditors abandoned U.S. debt purchases because the dollar was no longer seen as viable as a world reserve currency. Imagine that the Fed’s efforts to stimulate through fiat printing became useless in propping up Treasuries, serving only to devalue the domestic buying power of our currency. Imagine that the IMF swoops in as the lender of last resort; the only entity willing to service our debt and keep the system running. Imagine what kind of concessions America would have to make to a global loan shark like the IMF.
Keep in mind, the plan to replace the dollar is not mere “theory”. In fact, IMF head Christine Lagarde has openly called for a “global financial system” to take over in the place of the current dollar based system.
The Bretton Woods System, established in 1944, was used by the United Nations and participating governments to form international rules of economic conduct, including fixed rates for currencies and establishing the dollar as the monetary backbone. The IMF was created during this shift towards globalization as the BIS slithered into the background after its business dealings with the Nazis were exposed. It was the G10, backed by the IMF, that then signed the Smithsonian Agreement in 1971 which ended the Bretton Woods system of fixed currencies, as well as any remnants of the gold standard. This led to the floated currency system we have today, as well as the slow poison of monetary inflation which has now destroyed more than 98 percent of the dollar’s purchasing power.
I believe the next and final step in the banker program is to reestablish a new Bretton Woods style system in the wake of an engineered catastrophe. That is to say, we are about to go full circle. Perhaps Ukraine will be the cover event, or tensions in the South China Sea. Just as Bretton Woods was unveiled during World War II, Bretton Woods redux may be unveiled during World War III. In either case, the false East/West paradigm is the most useful ploy the elites have to bring about a controlled decline of the dollar.
The new system will reintroduce the concept of fixed currencies, but this time, all currencies will be fixed or “pegged” to the value of the SDR global basket. The IMF holds a global SDR summit every five years, and the next meeting is set for the beginning of 2015.
If the Chinese yuan is brought into the SDR basket next year, if the BRICS enter into a conjured economic war with the West, and if the dollar is toppled as the world reserve, there will be nothing left in terms of fiscal structure in the way of a global currency system. If the public does not remove the globalist edifice by force, the IMF and the BIS will then achieve their dream – the complete dissolution of economic sovereignty, and the acceptance by the masses of global financial governance. The elites don’t want to hide behind the curtain anymore. They want recognition. They want to be worshiped. And, it all begins with the secret buyout of America, the implosion of our debt markets, and the annihilation of our way of life.
Source: Brandon Smith | Alt-Market
Origin of the Master Model
The master plan for world domination we see playing out today was first proposed to the US at the end of World War I. However, there were no takers. People were too war weary. However, when the plan was again proposed at the end of World War II, it was accepted. Consequently, World War II quietly transitioned into the secret “war” to set up what has become known as the “new world order” — an absolute dictatorship over the entire planet.
The United States set up the School of the Americas to train future dictators and terrorists who would be sent out into the world to destroy sovereign nations and place them under US domination by installing puppet governments obedient to the United States. Many conquests were made quietly using clever economic tricks . However, leaders who refused to submit quietly would see their entire country reduced to rubble and the land rendered unlivable by uranium dust scattered by US bombs. The message was clear: Submit to the United States or face total destruction.
A social model based upon the assumption that cleverness and power automatically convey the right to take anything desired from those who are less adept and unable to resist is not a sustainable model for harmonious social interactions. However, this is the chosen model. The mantra for this model, “A man’s true worth is measured by the amount of other peoples’ happiness that he can possess and destroy” , is essentially a call for a class war between the greedy elite and the innocent masses of the world who simply desire a peaceful existence.
The United States looks at the rest of the world as a “resource”. If a country has something — oil, gold, minerals, etc. — that the US covets, it believes it has the right to take those things by whatever means necessary. In many cases the coveted resource is human slave labor. Let’s look at some representative examples:
With the cooperation of the dictator, United Fruit Company (US) owned almost half of the country and used the locals as slaves to harvest its Chiquita brand bananas. However, during the period from 1945-1954 new leaders made changes. They helped the poor and set up social security and health care. Then they took land away from United Fruit and gave it to the local people. United fruit complained to the CIA that its business interests were being interfered with by the “communist” government. Any government which shows kindness to the poor and weak is called communist by the US. The US attacked Guatemala — killed the elected leaders and many thousands of citizens — and established a puppet dictatorship which would obey the will of United Fruit. The people were returned to a state of slavery. The CIA trained death squads to make sure the people were crushed into submission.
Strip Mining in Africa 
In Africa, the International Monetary Fund — a puppet of the US — destroys a country with strip mining. The original country was self sustaining. People were able to grow lots of food and hunt animals. However, once the land was ruined by US corporations, it was unusable to plant crops and the native animals died. The people had to buy food from other countries with money loaned to them by the IMF which they could never hope to repay. Therefore, a once free and self supporting people were made debt slaves of the IMF. Once all the natural resources have been stolen, the corporations will simply pack up and leave the indigenous people to starve and die.
Countries Used as Trash Dumps 
Used computers and associated items are dumped in poor countries where starving barefoot children sift through the mess of hazardous waste and broken obsolete glass computer monitors hoping to find something they can sell to get enough money to stay alive another day. Property stickers show the waste is mainly from the US government and various US state governments.
Corruption of Trusted Sources
Reporters and News Organizations
The masses are conditioned to believe news they receive from establishment sources. In the earlier times, this assumption was often correct. It was considered so important by the founding fathers that freedom of the press was enshrined in the US constitution. However, times have changed.
Walter Cronkite was known as the “trusted voice”. No one knew he was also the official announcer at the secret Bohemian Grove meetings. The leaders of the world’s news organizations also attend this event. That is why, even though the meetings began over one hundred years ago, until recently no one knew this group even existed. President George W. Bush may have set a new record for bribing journalists to allow their trusted name to be used as the author of material actually written by government propaganda experts. Apparently, everyone has a price and the government, of course, has no problem when it comes to money.
When Ronald Reagan reportedly ordered the death of investigative reporter Jessica Savitch , the message to independent journalists was clear: Go against the official party line an you’re done!
Today, dedicated journalists face mysterious deaths and strange single car accidents but a few survive long enough to give us a glimpse of truths we would otherwise never know. They are true heroes.
Churches are everywhere. Unfortunately, legitimate Spiritual teachers are not. People look at churches either as harmless or with some sort of conditioned hypnotic respect. Churches send out “missionaries”. However, the “mission” of these missionaries may not be so clear. If you wanted to infiltrate a foreign country, these people would be an ideal asset.
Churches are not Spiritual centers. At best, all they want is your money. At worst, they are Satanic and you are in severe Spiritual danger if you come under their influence and control.
The Catholic Church has been a trusted asset of the US intelligence community for quite some time. Significant information obtained by priests during confessions is routinely passed on to the government.
This agreement predates the internet by many years. Because the church has branches in almost every country, it has great potential for covert activities. For example, if you need to get an operative who is in danger out of a country, they can go to a Catholic church for “confession”. Once the door is closed, they can exit through a secret passage, be disguised in robes and spirited safely out of the country. Church secrecy is at least on a par with US secrecy. Also, the Catholic church and the US shadow government share the same Satanic value system and engage in child rape and ritual killings.
Doctors and the Medical Industry
Medicine in the United States is an industry. It is no longer a profession. Its corporate model puts profit above all else. If some patients accidentally benefit they are the lucky ones.
The medical community has a rigid hierarchical structure and effective mechanisms for enforcing secrecy. Essentially, its model closely resembles the military chain of command structure. This makes it a perfect partner for the government in the area of secret human experiments.
For example, when the government was doing radiation experiments on humans, a doctor or someone dressed as a doctor would just walk up to unsuspecting patients and inject them with radioactive material. They were then secretly followed for years to see what would happen. Eventually, some of those who survived were told the truth. Most people used in the MK Ultra and subsequent secret projects were never notified.
Hospitals are set up to protect themselves. Staff may appear to be dedicated, smiling people who truly care about you. However, they are basically prostitutes who are being nice because you are worth money to them. When they make mistakes they have a “loss prevention” department staffed by clever lawyers who are trained to protect the financial interests of the hospital by denying everything and fabricating believable coverups. They are trained to do whatever is necessary. The staff will all agree to support whatever lies are needed. They know their job and their financial future depends upon maintaining strict secrecy.
The only people who receive legitimate medical care are the select elite cleared to accesstop secret medicine. These people always get excellent care because the doctors work for the shadow government and mistakes on their part are simply not tolerated.
Countries which have the resources to sustain an intelligence community generally try to get operatives (spies) into other countries so they can directly observe activities. When real people gather intelligence, this is called human intelligence or HUMINT. The US, of course, does this too. However, you may not be aware of the extent to which the US also infiltrates itself. The central government really does not trust anyone.
Essentially all local police departments, state offices and state governors have a covert federal agent working close by pretending to be just another employee. Also, every US neighborhood has an informer who reports to the federal government. Large corporations, which tend to behave like “mini governments”, need to be infiltrated and kept under observation. Colleges and universities are also monitored.
Here is how this spy network operates: The NSA likes to recruit young kids right out of college. When they are hired and sworn to secrecy they still do not know what their assignment will be. They must agree to do this assignment without first being told what it is.
Some agents, like John Perkins , are assigned to work in other countries. However, others are assigned to work inside the US. Their assignment could be to go to some state and apply to join the local police department. They would pretend to be just a regular person looking for a job. They would take the necessary training and spend their life as a local policeman so they could directly observe other local police from the inside and report to the NSA. Since they are actually an employee of the NSA, presumably they get to keep both salaries and, eventually, both retirements. All significant local police forces in the US are infiltrated this way.
Additionally, some agents will be assigned to get a job on the state governor’s staff as well as in major local state agencies. A CIA or NSA agent is always on the staff at major colleges and universities. The same goes for major corporations.
Senior level agents are allowed to have special TV receivers in their homes linked to the secret government TV network. This way everyone stays on the same page. The channels on this network actually broadcast the truth. TV channels available to ordinary people contain only government approved propaganda mixed with “bread and circuses” presentations to make sure the sheeple stay asleep and content.
The US government is involved in illegal activities internationally and domestically. If it performed these activities overtly in the name of the United States, there would be serious consequences under both international and local laws. To avoid this situation, the US government operates thousands of “front organizations” which appear to be private but are actually shadow operatives of the US.
For example, John Perkins  explained that he was recruited, hired and trained by the NSA. He was an NSA agent. However, for his cover as an economic hit man, he “officially” worked for a “private” company called Charles T. Main. This company was a government front to shield the US because the activities the NSA trained Perkins to do were illegal.
This is standard operating procedure for the US as well as other countries and many corporations. It shields them from legal recourse by providing deniability for the crimes they actually direct and commit.
Generally, when the US wants to influence other sovereign countries, it creates harmless looking NGO’s which appear to be independent but are actually fronts for covert activities.
Domestically, colleges and universities — especially those with associated medical schools and hospitals — are great places to conceal a variety of covert projects such as the MK Ultra series of human experiments which, reportedly, continue today using new cover names. The US also likes to create non-profit corporations which exist only to provide classified services to the United States. A good example would be the Institutes for Defense Analysis (IDA). The US, reportedly, is its only client.
Mass media “programming” is actually programming you. It has developed into a subtle form of mind control. Before radio and television, special interests recognized that motion pictures could be used to alter public opinion in their favor. Perhaps, for example, you wanted to attack labor unions. When radio and later television came along providing access to national and international audiences, the temptation to exploit these technologies became irresistible. Originally, the US government recognized this and set up fairness rules to prevent monopolies from taking over the broadcast media and blocking opposing viewpoints. All this ended, unfortunately, when Ronald Regan canceled all the fairness regulations. Today, a handful of powerful corporations own and control essentially all content delivered by radio and television.
Television is the main vehicle for mass indoctrination. It is said that people watching TV actually fall into a light hypnotic trance. The “entertainment” you see on TV does not “just happen to be there”. It is very carefully planned and timed to attract and influence targeted audiences. It is said that if some event were to somehow shut down all television broadcasts the government would experience a severe crisis because it would lose control over the minds of the masses.
TV creates sort of a “hive mind” among the masses and keeps everyone coordinated and tuned into the official party line. Without this, people would have no choice but to start thinking for themselves and forming independent opinions. Clearly, this would be a disaster.
The radio broadcast of “War of the Worlds” and the later movie “The Day the Earth Stood Still” are said to be CIA psychological experiments to judge how the general public would react to some type of ET contact.
Today, broadcasting is not just a one way event. Because people react to events and use social media to express these reactions, the effect of specific propaganda can be analyzed in real time. Since the government now intercepts all electronic communications, it is able to see general opinions and then tweak algorithms to maximize the desired effect of propaganda. This ability makes TV a two-way communications system although most people, of course, do not realize this and have no concept of the level of sophistication these technologies have reached.
Information Theory is the name of a relatively new branch of science which became popular in the 1960′s. It covers a broad range of technologies. Basically, it is the science of the flow of information and how that flow can be selectively controlled so that information flows only in desired pathways. As you may have already guessed, governments love this sort of stuff.
ECM stands for Electronic Counter Measures. In general, these are techniques to disable other electronic devices. Basically, it is electronic warfare. When the secret service is active in an area, for example, they will selectively jam all radio frequencies except for the specific frequencies they are using so that no one else can communicate.
World leaders, who are generally terrified of “threats” materializing from practically anywhere, like to travel with ECM generators running just in case “someone” from “somewhere” was trying to target them for “some reason”. Basically, they are paranoid whack jobs.
People familiar with aviation tell the story of how Tony Blair, while traveling to or near a commercial airport, reportedly caused a commercial jet to crash because all the ECM garbage he was transmitting jammed the plane’s navigation system. Of course, the British government would never admit this.
Secure Communication With Submarines
Since submarines were invented, communicating with them has been a problem because conventional radio waves will not travel underwater. Therefore, early submarines had to get close enough to the surface to put up some kind of antenna in the air to send or receive radio messages. Obviously, this could pose a problem if you did not wish to be discovered and located. After all, the motivation to create submarines in the first place was the feeling that they would be able to move about the planet secretly. However, newer technologies now make this impossible.
To solve the problem of reliable secure communication without the need to surface, scientists learned that sea water was essentially transparent to a special type of Argon laser. To set up the current communications network, it was decided to use several satellites with each satellite sending only part of an encrypted communication signal. The complete signal could only be received at a specific point underwater where all the laser beams intersected. Intercepting only one or two beams would prove useless. This communications system is considered to be impossible to intercept.
Returning to the submarine issue for a moment, before modern communications were perfected, there was a search for some reliable method to send a signal to a submerged submarine that could not be detected. This was considered necessary in a war situation to secretly transmit an attack command. What they originally did was to locate a couple of people who could communicate telepathically. One would be at the command base and the other on the submarine. Doing a bit more research, it was determined that this type of communication is instantaneous and somehow operated outside of time. Radio waves travel at the speed of light.
Quantum entanglement is a process which uses technology to send and receive signals outside of space-time. Now, why would you possibly want to do this? Well, if you had a base or a colony on a planet in some other solar system light years away, you would not want to wait years for messages to be received. Following this thread — and adding some basic common sense — why would you want to dedicate resources to search for habitable planets in distant solar systems when you had already “proven” it would be impossible to ever get there? Could it just be that someone is not coming clean with whole story?
The Separation Barrier
This is a model of the separation barrier which insulates the ruling class from the slave class. It is essentially “intellectual apartheid”. The question is, why is it there. It takes considerable effort, money and manpower to maintain this artificial barrier. What is the reasoning behind not having a level playing field for everyone? Why does this idea absolutely terrify the elite? What are they afraid of?
The Pirate Story
This is a summary of a story told years ago on a radio broadcast most likely by Paul Harvey:
Ordinary people were afraid. The Earth was flat so they dare not venture far from home. Periodically, a pirate ship would come. They did not know how it got there or from where it came. It brought treasures they had never seen. The Chief Pirate would encourage the young men to study and specialize in specific skills. He wanted them to become educated but only in one narrow area. The Chief Pirate knew the world was not flat and how to navigate to other lands. However, this knowledge was never discussed. This “top secret” knowledge or the “big picture of the known world” would only be given to the Chief Pirate’s son who would inherit his title and someday become the Chief Pirate.
This story is about the origin of the concept we call compartmentalization — the process of controlling the slave masses by only allowing them to know specific bits of the truth while the leaders are allowed to know total truth.
|ELITE RULING CLASS
Leaders can only maintain their status if there are slaves. Otherwise, everyone would be equal and operate on a level playing field. This means “leaders” would have to pull their own weight like everyone else. Clearly, this would be intolerable. Leaders love beautiful and exotic things but don’t want to do the work needed to create these things. They probably could not even plant a garden much less build the various “ivory towers” where they like to live surrounded by servants. If left on their own they would very likely starve. This is why it is so important to create and maintain the complex separation barrier.
Why don’t people who live above the separation barrier ever “come down” and talk to the people below the barrier? Well, other than the obvious fact that they would likely be killed or jailed for espionage or treason, there is another, simpler, reason.
Would you like to spend your days sitting in an open field with kindergarten kids looking for four leaf clovers? Probably not. You have progressed beyond that. The slaves below the separation barrier cannot even imagine the world of those who live above the barrier. In fact, the elite do not even consider the slaves human. They call them “disposable biological units”. The United Nations prefers the slang term “the herd”. Slaves can be easily bred in quantities needed and programmed to do desired tasks. Then, they can be easily disposed of when no longer useful. That’s how they look at you. So, why would they want to make friends with you?
The Mars Example
There is an interesting event playing out today that you may have noticed. This concerns the recruitment and selection of people to be sent to Mars. There are simulation projects where volunteers are locked away to imitate the long voyage to Mars. They are being told that this is a one way trip and they can never hope to return to Earth.
What you are witnessing is the selection process for the “seed people” who will be used to breed the future slave class on Mars. In a situation similar to the period when most believed the Earth was flat and you would fall off if you tried to go to sea, these people are convinced that the only way to get to mars is to ride a rocket on a perilous journey taking years. Because they truly believe this, when they get to Mars, they will teach this crap to their kids along with other misconceptions like it is impossible to go faster than the speed of light and other associated obsolete scientific principles. They will have no
desire to ever return to Earth or go anywhere else because they truly believe it is not possible. They will be contented slaves.
Of course the truth is that there are already secret colonies on Mars. It is not that hard to get there using antigravity and other secret propulsion methods and it is quite likely possible to simply walk through some kind of wormhole device and come out on Mars.
However, the slaves will never know this. Just as it is done on Earth, there will be an artificial separation barrier. The insiders will know the truth and will be physically hidden from the slaves. There will be secret police and other methods — the same as are used on Earth — to make sure no slave ever escapes from the “information prison”. Business as usual will continue.
Reinforcement of Ignorance
Governments and their oligarchs love to keep their subjects in a cloud of ignorance. Back in the days when people believed the Earth was flat, the inner circle ruling class knew it was round. Maintaining the deception was convenient because it kept the slaves from developing any desire to travel far from home.
Nothing has changed all that much today. Consider, for example, all the fuss over the missing MH370 plane. You are being played for a sucker. It is impossible for that plane to have “disappeared”.
The US DoD spy satellite system reportedly consists of ten constellations of satellites. Each constellation has over seven thousand satellites. They see and record everything that happens on this planet. The floor of the oceans can be seen just as clearly as the land areas. The resolution of the system is better than one square millimeter. Also, everything is recorded so you can go back in time and play past images.
This is a picture of a common electric lamp. Take this lamp and throw it in the ocean — any ocean anywhere on this planet. The spy satellite system will locate it, give you the coordinates and give you a photo at least as good as the one above. That is the capability of the system. So, clearly, it is impossible not to know the location of something as large as a Boeing 777 plane. All the TV publicity is a choreographed play. You are being scammed and you need to wake up and realize this fact.
Murders and Assassinations
To ensure a strong empire, dissent must be crushed. The United States trains assassins and carries out both domestic and foreign murders and assassinations on a regular basis. You may be familiar with the classic movie scenes where a black limousine with tinted windows drives by a target with thugs shooting machine guns. Although this would accomplish the task, it is a bit too obvious in a country that advertises itself to be a free, civilized democracy. Someone might catch on and begin to doubt the party line. Consequently, these things must be done quietly.
Inside the US, murders are reportedly carried out by a group known as “FBI Division Five”. Other agencies likely have the responsibility for foreign assassinations. However, the basic techniques used would be similar.
Typically, an agent would wake up every day and connect to the top secret internet to see who he was assigned to kill that day. There would be several options. If it was important to eliminate the target immediately, a fast acting chemical agent would be selected which, for example, would cause the target to die within a few hours of a “natural” heart attack.
However, if time was not critical and the government just wanted the target out of the way, you might want to select one of the cancer causing agents such as those likely used to eliminate Hugo Chavez and Senator Ted Kennedy.
There is also a third possibility. This involves character assassination instead of actual murder. Consider, for example, a person who has gained a lot of public recognition talking about, say, free energy. If you simply kill the person, there could be blowback and talk that he was silenced by the government. In such cases, it is easier to use a chemical agent designed not to kill but, rather, to cause states of mental confusion resulting in obviously strange behavior. This would be coordinated with the government controlled mainstream press to make sure everyone became convinced the person was a nut and would therefore ignore anything said without regard to the truth or validity of the message.
Once the appropriate chemical has been selected, you need to load it into the secret delivery system and locate your target. To find your target you will connect to the top secret internet and pinpoint the location of the target through their cell phone. You can also activate all the cameras and microphones in electronic gadgets connected to the internet associated with the target in case you wish to look around the target’s home and hear in real time what is taking place.
Of course, this will not help you locate the target when it is time to actually do the hit. So, you need to get the top secret profile data which will show any predictable habits of the target. Everyone is constantly tracked through their cell phones and profiles are logged and stored. In this case, the profile shows that the target has a favorite restaurant and goes there for lunch every day around 11:30. Now, you know exactly what to do. You go to the restaurant, hang out until you see your target, and get in line behind the target. Now, all you need to do is slightly bump into the target to deliver the chemical. Generally, the targets never even notice.
This mission is now complete. If it is early enough, you can check back in to the top secret system to see who you are supposed to kill next. Just another day. Just a routine job.
Money is an imaginary force. It is used to motivate and control slaves. Real forces effect all life forms. However, only people respond to money. The only reason they do is because they have been artificially programmed to do so.
Money can be created in unlimited quantities by those adept in the use of this force. The physical world is finite, however the world of imagination is not. There is no limit to the quantity of money that can be imagined into existence. Money can also be imagined out of existence.
Let’s assume that one day the entire financial system simply disappeared. If you lived in a rural area and had a nice veggie garden, some friendly chickens, collection facilities for rain water and a few photocells for electricity, you would not notice this. The veggies would continue to grow. Rain would periodically fall. The chickens would lay eggs as usual. The sun would continue to shine. However, if you lived in a city environment, you would be devastated.
Before money, people lived in small hunter-gatherer groups. The concept of ownership did not exist. People worked and survived as a group. Men and women were equal. Everyone contributed to the community. Resources were shared equally. The concept of “mine” and “yours” did not exist. Women generally became pregnant only once about every three years although there was no birth control. Later, when the concept of money entered the consciousness, women were seen as having less value because men were paid for work but women were not paid to raise and care for kids. Society has changed, however, the downgraded status of women has not.
Money systems have always been manipulated by clever people. When gold was used as money, people learned they could dilute pure gold with silver or maybe even lead to come up with something that looked like pure gold and had the correct weight but was a fraud. A king suspected he was being scammed but had no way to prove it. He called on the great minds of the time for help. This led to what is known as the Archimedes’ principle which is better known today as “specific gravity”. This principle made it possible to compare a sample known to be pure gold to a questionable sample and prove the unknown sample was not pure gold. Likely, some clever crook lost his head once this test became known.
There is a general belief that gold is the ultimate reference for all money. However, secrets concerning the exact quantity of gold make this a perilous assumption. Reportedly, the United States stole a tremendous quantity of physical gold from Japan towards the end of World War II. This gold exists off the books. To make matters worse, Japan was not all that concerned. Japan had been using gold bars as ballast on its ships because they were compact and heavy. They thought nothing of throwing the bars overboard as necessary. Japan used platinum as a money reference and the US never got that. This should make one rethink all the hype about the value of gold. It may be a lot more plentiful than we have been led to believe. Also, the secret off the books stashes of gold would allow its relative value to be manipulated at will just like other commodity markets.
The Financial Axis of Evil 
This is the model of the financial axis of evil which rules this planet. It consists of three main branches as shown above. Collectively, they are known as “The Empire of the City”. Briefly, here is how this system operates:
The London financial district is in London, Washington D.C. is in the United States and the Vatican is in Italy. However, these three places are not part of the countries where they exist. They are independent “city states” and have their own laws and constitution. They are, effectively, “mini countries” inside of other countries and fly their own flags. The city state of London is a private corporation and pays no taxes to actual London or to Britain. The city state of London is the master power center and is controlled by the Rothschild family which considers itself to be the legal owner of this planet. The Vatican is the largest private land owner in the world and the first true multinational corporation with installations (churches) and secret agents (The Knights of Malta) everywhere. They control through the power of fear of the unknown and practice black magic. Washington D.C. relies upon brute military force. All three closely cooperate combining their specialties of financial trickery, witchcraft and military might. Of course, all three worship Satan as their Master.
Slavery is alive and well throughout the world. The US constitution prohibits slavery, however, most americans live in slave-like conditions.
It is said that it will take the average college student until age fifty to pay back their student loan.
The constitutional amendment prohibiting slavery addressed the concept of physically owning another person. However, it did not address the issue of holding another person in bondage as a debt slave. It also did not consider the concept of private for profit prisons who force inmates to work as slaves. These systems exist today and are perfectly legal.
Actually, a recent report from prestigious Princeton University has reclassified the US government as an oligarchy — a country run by and for the rich elite. Former US President Carter has stated that the United States “no longer has a functioning democracy”. So much for the Founding Father’s dream. Speaking of dreams, check out the free you tube video titled “The American Dream”.
Other forms of slavery are illegal but still flourish. Sex slaves are always in demand. Traffickers are sometimes caught but you need to realize that your leaders use sex slaves and also routinely abuse young girls and boys. Sometimes they are also killed during occult rituals. No one ever talks about this and these people are never punished. This has been the normal way of life for Satan worshipers for many years and nothing has changed or is likely to ever change in the future. Stanley Kubrick’s last movie, Eyes Wide Shut, covers this subject. Some believe this intense dramatization of how the elite really live may have cost him his life.
People still have some rights left in the United States but other countries are a different story. Qatar is doing construction for the World Cup. The event is not scheduled until the year 2022, however they have already killed 1200 slaves  by working them to death. People are lured from poor countries with the promise of jobs and money. When they arrive, their passports are confiscated and they are forced to work until they literally drop dead. If the World Cup is actually held in Qatar in 2022, there will be glamorous TV coverage and no one will remember or care about all the dead slaves. The show must go on.
Qatar, incidentally, sponsors Al Jazeera TV network.
The status quo of today will never change because the people who created it will never die. Because of top secret medicine, when men like Henry Kissinger, who heads the Bilderberg Group’s steering committee, get too feeble to function, they will simply go to one of the secret locations and use the temporal reversal device to regress back to about twenty years old. Their memories will be unaffected. Then they will get new identities and continue on. This process can be repeated indefinitely.
Because you can never change the status quo, your best hope for a lifetime of reasonable quality is to find clever ways to live in this world with as much independence as possible.
One method of adaptation is autonomous and semi-autonomous communities. If the community is registered as a religious institution it is automatically shielded from most government interference by the US constitution. It pays no taxes and can pretty much write its own rules by simply calling whatever it wants to do “religious doctrine”. Many small semi-autonomous groups exist where people who share a common set of values find ways to quietly live out their lives pretty much on their own terms. The government does not seem interested in bothering these smaller groups as long as they live peacefully and are not doing anything that the government perceives to be a threat.
The Amish people are a good example of an autonomous group. You would probably not want to live as they do, however, before you completely dismiss them, you may want to look at some definite advantages in their chosen lifestyle.
Remember, these are the people who reject technology. They just might have made the correct choice. Technology, at first, seemed like a good idea. However, now that people are addicted to technology they are also enslaved by technology. Everything they do is monitored and recorded by the government. Privacy no longer exists. It did not have to be this way.
Technology, in itself, is not evil. However, it can be quite evil if you live under a government run by sociopathic control freaks which, unfortunately, you do. In the Amish world, electronic surveillance does not exist because electronic devices do not exist. The constant propaganda from TV has no effect on people who do not have TV. A horse does not report its position to a GPS satellite and is not controlled by a computer.
Also, the people are generally healthy and do not suffer from many diseases common to the mainstream population. They are not being poisoned by fluorinated water or additives found in processed food because they don’t use these things. Also, they get lots of physical exercise.
Without totally withdrawing from the world, there are some positive steps you can take. By now you know never to drink fluorinated water or use any personal product containing fluoride such as many brands of toothpaste. To minimize harmful food additives, look for Kosher food which is marked with either the encircled “K” or “U” (Ultra Kosher). These foods have less or no harmful additives. The Jewish community is very protective of its people and the Mossad is widely considered to be the best intelligence service in the world. Therefore, they would have the inside scoop on everything including food and do not want to see their people harmed.
Whatever you decide to do, you definitely do not want to be part of so called mainstream society. These people are doomed. They are sheep (sheeple) slowly walking to the slaughter house. Don’t go there!
references and credits
 DVD “The American Ruling Class”. ASIN: B001HM2CE2.
 John Perkins. Book: Confessions of an Econemic Hit Man; DVD (free on you tube): “Apology of an Economic Hit Man”; RT interviews.
 See the free you tube videos titled “The Red Shield”.
 DVD “Terra Blight”, RT Intl. Also available for purchase.
 Interview with John Judge of Veterans Against Military Psychiatry.
 Also search using the phrase “qatar slaves world cup”.
Imagine: you are dressed up for a night on Broadway, but your neighbours are involved in a vicious quarrel, and you have to gun up and deal with the trouble instead of enjoying a show, and a dinner, and perhaps a date. This was Putin’s position regarding the Ukrainian turmoil.
The Russians have readjusted their sights, but they do not intend to bring their troops into the two rebel republics, unless dramatic developments should force them.
It is not much fun to be in Kiev these days. The revolutionary excitement is over, and hopes for new faces, the end of corruption and economic improvement have withered. The Maidan street revolt and the subsequent coup just reshuffled the same marked deck of cards, forever rotating in power.
The new acting President has been an acting prime minister, and a KGB (called “SBU” in Ukrainian) supremo. The new acting prime minister has been a foreign minister. The oligarch most likely to be “elected” President in a few days has been a foreign minister, the head of the state bank, and personal treasurer of two coups, in 2004 (installing Yushchenko) and in 2014 (installing himself). His main competitor, Mme Timoshenko, served as a prime minister for years, until electoral defeat in 2010.
These people had brought Ukraine to its present abject state. In 1991, the Ukraine was richer than Russia, today it is three times poorer because of these people’s mismanagement and theft. Now they plan an old trick: to take loans in Ukraine’s name, pocket the cash and leave the country indebted. They sell state assets to Western companies and ask for NATO to come in and protect the investment.
They play a hard game, brass knuckles and all. The Black Guard, a new SS-like armed force of the neo-nazi Right Sector, prowls the land. They arrest or kill dissidents, activists, journalists. Hundreds of American soldiers, belonging to the “private” company Academi (formerly Blackwater) are spread out in Novorossia, the pro-Russian provinces in the East and South-East. IMF–dictated reforms slashed pensions by half and doubled the housing rents. In the market, US Army rations took the place of local food.
The new Kiev regime had dropped the last pretence of democracy by expelling the Communists from the parliament. This should endear them to the US even more. Expel Communists, apply for NATO, condemn Russia, arrange a gay parade and you may do anything at all, even fry dozens of citizens alive. And so they did.
The harshest repressions were unleashed on industrial Novorossia, as its working class loathes the whole lot of oligarchs and ultra-nationalists. After the blazing inferno of Odessa and a wanton shooting on the streets of Melitopol the two rebellious provinces of Donetsk and Lugansk took up arms and declared their independence from the Kiev regime. They came under fire, but did not surrender. The other six Russian-speaking industrial provinces of Novorossia were quickly cowed. Dnepropetrovsk and Odessa were terrorised by personal army of Mr Kolomoysky; Kharkov was misled by its tricky governor.
Russia did not interfere and did not support the rebellion, to the great distress of Russian nationalists in Ukraine and Russia who mutter about “betrayal”. So much for the warlike rhetoric of McCain and Brzezinski.
Putin’s respect for others’ sovereignty is exasperating. I understand this sounds like a joke, — you hear so much about Putin as a “new Hitler”. As a matter of fact, Putin had legal training before joining the Secret Service. He is a stickler for international law. His Russia has interfered with other states much less than France or England, let alone the US. I asked his senior adviser, Mr Alexei Pushkov, why Russia did not try to influence Ukrainian minds while Kiev buzzed with American and European officials. “We think it is wrong to interfere”, he replied like a good Sunday schoolboy. It is rather likely Putin’s advisors misjudged public sentiment. « The majority of Novorossia’s population does not like the new Kiev regime, but being politically passive and conservative, will submit to its rule”, they estimated. “The rebels are a small bunch of firebrands without mass support, and they can’t be relied upon”, was their view. Accordingly, Putin advised the rebels to postpone the referendum indefinitely, a polite way of saying “drop it”.
They disregarded his request with considerable sang froid and convincingly voted en masse for secession from a collapsing Ukraine. The turnout was much higher than expected, the support for the move near total. As I was told by a Kremlin insider, this development was not foreseen by Putin’s advisers.
Perhaps the advisors had read it right, but three developments had changed the voters’ minds and had sent this placid people to the barricades and the voting booths:
1. The first one was the fiery holocaust of Odessa, where the peaceful and carelessly unarmed demonstrating workers were suddenly attacked by regime’s thugs (the Ukrainian equivalent of Mubarak’s shabab) and corralled into the Trade Unions Headquarters. The building was set on fire, and the far-right pro-regime Black Guard positioned snipers to efficiently pick off would-be escapees. Some fifty, mainly elderly, Russian-speaking workers were burned alive or shot as they rushed for the windows and the doors. This dreadful event was turned into an occasion of merriment and joy by Ukrainian nationalists who referred to their slain compatriots as “fried beetles”. (It is being said that this auto-da-fé was organised by the shock troops of Jewish oligarch and strongman Kolomoysky, who coveted the port of Odessa. Despite his cuddly bear appearance, he is pugnacious and violent person, who offered ten thousand dollars for a captive Russian, dead or alive, and proposed a cool million dollars for the head of Mr Tsarev, a Member of Parliament from Donetsk.)
2. The second was the Mariupol attack on May 9, 2014. This day is commemorated as V-day in Russia and Ukraine (while the West celebrates it on May 8). The Kiev regime forbade all V-day celebrations. In Mariupol, the Black Guard attacked the peaceful and weaponless town, burning down the police headquarters and killing local policemen who had refused to suppress the festive march. Afterwards, Black Guard thugs unleashed armoured vehicles on the streets, killing citizens and destroying property.
The West did not voice any protest; Nuland and Merkel weren’t horrified by this mass murder, as they were by Yanukovich’s timid attempts to control crowds.
The people of these two provinces felt abandoned; they understood that nobody was going to protect and save them but themselves, and went off to vote.
3. The third development was, bizarrely, the Eurovision jury choice of Austrian transvestite Conchita Wurst for a winner of its song contest.
The sound-minded Novorossians decided they want no part of such a Europe.
Actually, the people of Europe do not want it either:
It transpired that the majority of British viewers preferred a Polish duo, Donatan & Cleo, with its We Are Slavic. Donatan is half Russian, and has courted controversy in the past extolling the virtues of pan-Slavism and the achievements of the Red Army, says the Independent.
The politically correct judges of the jury preferred to “celebrate tolerance”, the dominant paradigm imposed upon Europe.
This is the second transvestite to win this very political contest; the first one was Israeli singer Dana International.
Such obsession with re-gendering did not go down well with Russians and/or Ukrainians.
The Russians have readjusted their sights, but they do not intend to bring their troops into the two rebel republics, unless dramatic developments should force them.
Imagine: you are dressed up for a night on Broadway, but your neighbours are involved in a vicious quarrel, and you have to gun up and deal with the trouble instead of enjoying a show, and a dinner, and perhaps a date. This was Putin’s position regarding the Ukrainian turmoil.
A few months ago, Russia had made a huge effort to become, and to be seen as, a very civilized European state of the first magnitude. This was the message of the Sochi Olympic games: to re-brand, even re-invent Russia, just as Peter the Great once had, as part of the First World; an amazing country of strong European tradition, of Leo Tolstoy and Malevich, of Tchaikovsky and Diaghilev, the land of arts, of daring social reform, of technical achievements, of modernity and beyond — the Russia of Natasha Rostova riding a Sikorsky ‘copter. Putin spent $60 billion to broadcast this image.
The old fox Henry Kissinger wisely said:
Putin spent $60 billion on the Olympics. They had opening and closing ceremonies, trying to show Russia as a normal progressive state. So it isn’t possible that he, three days later, would voluntarily start an assault on Ukraine. There is no doubt that… at all times he wanted Ukraine in a subordinate position. And at all times, every senior Russian that I’ve ever met, including dissidents like Solzhenitsyn and Brodsky, looked at Ukraine as part of the Russian heritage. But I don’t think he had planned to bring it to a head now.
However, Washington hawks decided to do whatever it takes to keep Russia out in the cold. They were afraid of this image of “a normal progressive state” as such Russia would render NATO irrelevant and undermine European dependence on the US. They were adamant about retaining their hegemony, shattered as it was by the Syrian confrontation. They attacked Russian positions in the Ukraine and arranged a violent coup, installing a viciously anti-Russian regime supported by football fans and neo-Nazis, paid for by Jewish oligarchs and American taxpayers. The victors banned the Russian language and prepared to void treaties with Russia regarding its Crimean naval base at Sebastopol on the Black Sea. This base was to become a great new NATO base, controlling the Black Sea and threatening Russia.
Putin had to deal quickly and so he did, by accepting the Crimean people’s request to join Russian Federation. This dealt with the immediate problem of the base, but the problem of Ukraine remained.
The Ukraine is not a foreign entity to Russians, it is the western half of Russia. It was artificially separated from the rest in 1991, at the collapse of the USSR. The people of the two parts are interconnected by family, culture and blood ties; their economies are intricately connected. While a separate viable Ukrainian state is a possibility, an “independent” Ukrainian state hostile to Russia is not viable and can’t be tolerated by any Russian ruler. And this for military as well as for cultural reasons: if Hitler had begun the war against Russia from its present border, he would have taken Stalingrad in two days and would have destroyed Russia in a week.
A more pro-active Russian ruler would have sent troops to Kiev a long time ago. Thus did Czar Alexis when the Poles, Cossacks and Tatars argued for it in 17th century. So also did Czar Peter the Great, when the Swedes occupied it in the 18th century. So did Lenin, when the Germans set up the Protectorate of Ukraine (he called its establishment “the obscene peace”). So did Stalin, when the Germans occupied the Ukraine in 1941.
Putin still hopes to settle the problem by peaceful means, relying upon the popular support of the Ukrainian people. Actually, before the Crimean takeover, the majority of Ukrainians (and near all Novorossians) overwhelmingly supported some sort of union with Russia. Otherwise, the Kiev coup would not have been necessary. The forced Crimean takeover seriously undermined Russian appeal. The people of Ukraine did not like it. This was foreseen by the Kremlin, but they had to accept Crimea for a few reasons. Firstly, a loss of Sevastopol naval base to NATO was a too horrible of an alternative to contemplate. Secondly, the Russian people would not understand if Putin were to refuse the suit of the Crimeans.
The Washington hawks still hope to force Putin to intervene militarily, as it would give them the opportunity to isolate Russia, turn it into a monster pariah state, beef up defence spending and set Europe and Russia against each other. They do not care about Ukraine and Ukrainians, but use them as pretext to attain geopolitical goals.
The Europeans would like to fleece Ukraine; to import its men as “illegal” workers and its women as prostitutes, to strip assets, to colonise. They did it with Moldova, a little sister of Ukraine, the most miserable ex-Soviet Republic. As for Russia, the EU would not mind taking it down a notch, so they would not act so grandly. But the EU is not fervent about it. Hence, the difference in attitudes.
Putin would prefer to continue with his modernisation of Russia. The country needs it badly. The infrastructure lags twenty or thirty years behind the West. Tired by this backwardness, young Russians often prefer to move to the West, and this brain drain causes much damage to Russia while enriching the West. Even Google is a result of this brain drain, for Sergey Brin is a Russian immigrant as well. So are hundreds of thousands of Russian scientists and artists manning every Western lab, theatre and orchestra. Political liberalisation is not enough: the young people want good roads, good schools and a quality of life comparable to the West. This is what Putin intends to deliver.
He is doing a fine job of it. Moscow now has free bikes and Wi-Fi in the parks like every Western European city. Trains have been upgraded. Hundreds of thousands of apartments are being built, even more than during the Soviet era. Salaries and pensions have increased seven-to-tenfold in the past decade. Russia is still shabby, but it is on the right track. Putin wants to continue this modernisation.
As for the Ukraine and other ex-Soviet states, Putin would prefer they retain their independence, be friendly and work at a leisurely pace towards integration a la the European Union.
He does not dream of a new empire. He would reject such a proposal, as it would delay his modernisation plans.
If the beastly neocons would not have forced his hand by expelling the legitimate president of Ukraine and installing their puppets, the world might have enjoyed a long spell of peace.
But then the western military alliance under the US leadership would fall into abeyance, US military industries would lose out, and US hegemony would evaporate. Peace is not good for the US military and hegemony-creating media machine. So dreams of peace in our lifetime are likely to remain just dreams.
What will Putin do?
Putin will try to avoid sending in troops as long as possible. He will have to protect the two splinter provinces, but this can be done with remote support, the way the US supports the rebels in Syria, without ‘boots on the ground’. Unless serious bloodshed on a large scale should occur, Russian troops will just stand by, staring down the Black Guard and other pro-regime forces.
Putin will try to find an arrangement with the West for sharing authority, influence and economic involvement in the failed state. This can be done through federalisation, or by means of coalition government, or even partition. The Russian-speaking provinces of Novorossia are those of Kharkov (industry), Nikolayev (ship-building), Odessa (harbour), Donetsk and Lugansk (mines and industry), Dnepropetrovsk (missiles and high-tech), Zaporozhe (steel), Kherson (water for Crimea and ship-building), all of them established, built and populated by Russians. They could secede from Ukraine and form an independent Novorossia, a mid-sized state, but still bigger than some neighbouring states. This state could join the Union State of Russia and Belarus, and/or the Customs Union led by Russia. The rump Ukraine could manage as it sees fit until it decides whether or not to join its Slavic sisters in the East. Such a set up would produce two rather cohesive and homogeneous states.
Another possibility (much less likely at this moment) is a three-way division of the failed Ukraine: Novorossia, Ukraine proper, and Galicia&Volyn. In such a case, Novorossia would be strongly pro-Russian, Ukraine would be neutral, and Galicia strongly pro-Western.
The EU could accept this, but the US probably would not agree to any power-sharing in the Ukraine. In the ensuing tug-of-war, one of two winners will emerge. If Europe and the US drift apart, Russia wins. If Russia accepts a pro-Western positioning of practically all of Ukraine, the US wins. The tug-of-war could snap and cause all-out war, with many participants and a possible use of nuclear weapons. This is a game of chicken; the one with stronger nerves and less imagination will remain on the track.
Pro and Contra
It is too early to predict who will win in the forthcoming confrontation. For the Russian president, it is extremely tempting to take all of Ukraine or at least Novorossia, but it is not an easy task, and one likely to cause much hostility from the Western powers. With Ukraine incorporated, Russian recovery from 1991 would be completed, its strength doubled, its security ensured and a grave danger removed. Russia would become great again. People would venerate Putin as Gatherer of Russian Lands.
However, Russian efforts to appear as a modern peaceful progressive state would have been wasted; it would be seen as an aggressor and expelled from international bodies. Sanctions will bite; high tech imports may be banned, as in the Soviet days. The Russian elites are reluctant to jeopardize their good life. The Russian military just recently began its modernization and is not keen to fight yet, perhaps not for another ten years.
But if they feel cornered, if NATO moves into Eastern Ukraine, they will fight all the same.
Some Russian politicians and observers believe that Ukraine is a basket case; its problems would be too expensive to fix. This assessment has a ‘sour grapes’ aftertaste, but it is widespread. An interesting new voice on the web, The Saker, promotes this view. “Let the EU and the US provide for the Ukrainians, they will come back to Mother Russia when hungry”, he says. The problem is, they will not be allowed to reconsider. The junta did not seize power violently in order to lose it at the ballot box.
Besides, Ukraine is not in such bad shape as some people claim. Yes, it would cost trillions to turn it into a Germany or France, but that’s not necessary. Ukraine can reach the Russian level of development very quickly –- in union with Russia. Under the EC-IMF-NATO, Ukraine will become a basket case, if it’s not already. The same is true for all East European ex-Soviet states: they can modestly prosper with Russia, as Belarus and Finland do, or suffer depopulation, unemployment, poverty with Europe and NATO and against Russia, vide Latvia, Hungary, Moldova, Georgia. It is in Ukrainian interests to join Russia in some framework; Ukrainians understand that; for this reason they will not be allowed to have democratic elections.
Simmering Novorossia has a potential to change the game. If Russian troops don’t come in, Novorossian rebels may beat off the Kiev offensive and embark on a counter-offensive to regain the whole of the country, despite Putin’s pacifying entreaties. Then, in a full-blown civil war, the Ukraine will hammer out its destiny.
On a personal level, Putin faces a hard choice. Russian nationalists will not forgive him if he surrenders Ukraine without a fight. The US and EU threaten the very life of the Russian president, as their sanctions are hurting Putin’s close associates, encouraging them to get rid of or even assassinate the President and improve their relations with the mighty West. War may come at any time, as it came twice during the last century – though Russia tried to avoid it both times. Putin wants to postpone it, at the very least, but not at any price.
His is not an easy choice. As Russia procrastinates, as the US doubles the risks, the world draws nearer to the nuclear abyss. Who will chicken out?
(Language editing by Ken Freeland)
So, what do we have here? In Libya, in Syria, and elsewhere the United States has been on the same side as the al-Qaeda types. But not in Ukraine. That’s the good news. The bad news is that in Ukraine the United States is on the same side as the neo-Nazi types, who – taking time off from parading around with their swastika-like symbols and calling for the death of Jews, Russians and Communists – on May 2 burned down a trade-union building in Odessa, killing scores of people and sending hundreds to hospital; many of the victims were beaten or shot when they tried to flee the flames and smoke; ambulances were blocked from reaching the wounded. Try and find an American mainstream media entity that has made a serious attempt to capture the horror.
And how did this latest example of American foreign-policy exceptionalism come to be? One starting point that can be considered is what former Secretary of Defense and CIA Director Robert Gates says in his recently published memoir: “When the Soviet Union was collapsing in late 1991, [Defense Secretary Dick Cheney] wanted to see the dismemberment not only of the Soviet Union and the Russian empire but of Russia itself, so it could never again be a threat to the rest of the world.” That can serve as an early marker for the new cold war while the corpse of the old one was still warm. Soon thereafter, NATO began to surround Russia with military bases, missile sites, and NATO members, while yearning for perhaps the most important part needed to complete the circle – Ukraine.
In February of this year, US State Department officials, undiplomatically, joined anti-government protesters in the capital city of Kiev, handing out encouragement and food, from which emanated the infamous leaked audio tape between the US ambassador to Ukraine, Geoffrey Pyatt, and the State Department’s Victoria Nuland, former US ambassador to NATO and former State Department spokesperson for Hillary Clinton. Their conversation dealt with who should be running the new Ukraine government after the government of Viktor Yanukovich was overthrown; their most favored for this position being one Arseniy Yatsenuk.
My dear, and recently departed, Washington friend, John Judge, liked to say that if you want to call him a “conspiracy theorist” you have to call others “coincidence theorists”. Thus it was by the most remarkable of coincidences that Arseniy Yatsenuk did indeed become the new prime minister. He could very soon be found in private meetings and public press conferences with the president of the United States and the Secretary-General of NATO, as well as meeting with the soon-to-be new owners of Ukraine, the World Bank and the International Monetary Fund, preparing to impose their standard financial shock therapy. The current protestors in Ukraine don’t need PHDs in economics to know what this portends. They know about the impoverishment of Greece, Spain, et al. They also despise the new regime for its overthrow of their democratically-elected government, whatever its shortcomings. But the American media obscures these motivations by almost always referring to them simply as “pro-Russian”.
An exception, albeit rather unemphasized, was the April 17 Washington Post which reported from Donetsk that many of the eastern Ukrainians whom the author interviewed said the unrest in their region was driven by fear of “economic hardship” and the IMF austerity plan that will make their lives even harder: “At a most dangerous and delicate time, just as it battles Moscow for hearts and minds across the east, the pro-Western government is set to initiate a shock therapy of economic measures to meet the demands of an emergency bailout from the International Monetary Fund.”
Arseniy Yatsenuk, it should be noted, has something called the Arseniy Yatsenuk Foundation. If you go to the foundation’s website you will see the logos of the foundation’s “partners”. Among these partners we find NATO, the National Endowment for Democracy, the US State Department, Chatham House (Royal Institute of International Affairs in the UK), the German Marshall Fund (a think tank founded by the German government in honor of the US Marshall Plan), as well as a couple of international banks. Is any comment needed?
Getting away with supporting al-Qaeda and Nazi types may be giving US officials the idea that they can say or do anything they want in their foreign policy. In a May 2 press conference, President Obama, referring to Ukraine and the NATO Treaty, said: “We’re united in our unwavering Article 5 commitment to the security of our NATO allies”. (Article 5 states: “The Parties agree that an armed attack against one or more of them … shall be considered an attack against them all.”) Did the president forget that Ukraine is not (yet) a member of NATO? And in the same press conference, the president referred to the “duly elected government in Kyiv (Kiev)”, when in fact it had come to power via a coup and then proceeded to establish a new regime in which the vice-premier, minister of defense, minister of agriculture, and minister of environment, all belonged to far-right neo-Nazi parties.
The pure awfulness of the Ukrainian right-wingers can scarcely be exaggerated. In early March, the leader of Pravy Sektor (Right Sector) called upon his comrades, the infamous Chechnyan terrorists, to carry out further terrorist actions in Russia.
There may be one important difference between the old Cold War and the new one. The American people, as well as the world, can not be as easily brainwashed as they were during the earlier period.
Over the course of a decade, in doing the research for my first books and articles on US foreign policy, one of the oddities to me of the Cold War was how often the Soviet Union seemed to know what the United States was really up to, even if the American people didn’t. Every once in a while in the 1950s to 70s a careful reader would notice a two- or three-inch story in the New York Times on the bottom of some distant inside page, reporting that Pravda or Izvestia had claimed that a recent coup or political assassination in Africa or Asia or Latin America had been the work of the CIA; theTimes might add that a US State Department official had labeled the story as “absurd”. And that was that; no further details were provided; and none were needed, for how many American readers gave it a second thought? It was just more commie propaganda. Who did they think they were fooling? This ignorance/complicity on the part of the mainstream media allowed the United States to get away with all manner of international crimes and mischief.
It was only in the 1980s when I began to do the serious research that resulted in my first book, which later became Killing Hope, that I was able to fill in the details and realize that the United States had indeed masterminded that particular coup or assassination, and many other coups and assassinations, not to mention countless bombings, chemical and biological warfare, perversion of elections, drug dealings, kidnapings, and much more that had not appeared in the American mainstream media or schoolbooks. (And a significant portion of which was apparently unknown to the Soviets as well.)
But there have been countless revelations about US crimes in the past two decades. Many Americans and much of the rest of the planet have become educated. They’re much more skeptical of American proclamations and the fawning media.
President Obama recently declared: “The strong condemnation that it’s received from around the world indicates the degree to which Russia is on the wrong side of history on this.” Marvelous … coming from the man who partners with jihadists and Nazis and has waged war against seven nations. In the past half century is there any country whose foreign policy has received more bitter condemnation than the United States? If the United States is not on the wrong side of history, it may be only in the history books published by the United States.
Barack Obama, like virtually all Americans, likely believes that the Soviet Union, with perhaps the sole exception of the Second World War, was consistently on the wrong side of history in its foreign policy as well as at home. Yet, in a survey conducted by an independent Russian polling center this past January, and reported in the Washington Post in April, 86 percent of respondents older than 55 expressed regret for the Soviet Union’s collapse; 37 percent of those aged 25 to 39 did so. (Similar poll results have been reported regularly since the demise of the Soviet Union. This is fromUSA Today in 1999: “When the Berlin Wall crumbled, East Germans imagined a life of freedom where consumer goods were abundant and hardships would fade. Ten years later, a remarkable 51% say they were happier with communism.”)
Or as the new Russian proverb put it: “Everything the Communists said about Communism was a lie, but everything they said about capitalism turned out to be the truth.”
A week before the above Post report in April the newspaper printed an article about happiness around the world, which contains the following charming lines: “Worldwide polls show that life seems better to older people – except in Russia.” … “Essentially, life under President Vladimir Putin is one continuous downward spiral into despair.” … “What’s going on in Russia is deep unhappiness.” … “In Russia, the only thing to look forward to is death’s sweet embrace.”
No, I don’t think it was meant to be any kind of satire. It appears to be a scientific study, complete with graphs, but it reads like something straight out of the 1950s.
The views Americans hold of themselves and other societies are not necessarily more distorted than the views found amongst people elsewhere in the world, but the Americans’ distortion can lead to much more harm. Most Americans and members of Congress have convinced themselves that the US/NATO encirclement of Russia is benign – we are, after all, the Good Guys – and they don’t understand why Russia can’t see this.
The first Cold War, from Washington’s point of view, was often designated as one of “containment”, referring to the US policy of preventing the spread of communism around the world, trying to blockthe very idea of communism or socialism. There’s still some leftover from that – see Venezuela and Cuba, for example – but the new Cold War can be seen more in terms of a military strategy. Washington thinks in terms of who could pose a barrier to the ever-expanding empire adding to its bases and other military necessities.
Whatever the rationale, it’s imperative that the United States suppress any lingering desire to bring Ukraine (and Georgia) into the NATO alliance. Nothing is more likely to bring large numbers of Russian boots onto the Ukrainian ground than the idea that Washington wants to have NATO troops right on the Russian border and in spitting distance of the country’s historic Black Sea naval base in Crimea.
The myth of Soviet expansionism
One still comes across references in the mainstream media to Russian “expansionism” and “the Soviet empire”, in addition to that old favorite “the evil empire”. These terms stem largely from erstwhile Soviet control of Eastern European states. But was the creation of these satellites following World War II an act of imperialism or expansionism? Or did the decisive impetus lie elsewhere?
Within the space of less than 25 years, Western powers had invaded Russia three times – the two world wars and the “Intervention” of 1918-20 – inflicting some 40 million casualties in the two wars alone. To carry out these invasions, the West had used Eastern Europe as a highway. Should it be any cause for wonder that after World War II the Soviets wanted to close this highway down? In almost any other context, Americans would have no problem in seeing this as an act of self defense. But in the context of the Cold War such thinking could not find a home in mainstream discourse.
The Baltic states of the Soviet Union – Estonia, Latvia, and Lithuania – were not part of the highway and were frequently in the news because of their demands for more autonomy from Moscow, a story “natural” for the American media. These articles invariably reminded the reader that the “once independent” Baltic states were invaded in 1939 by the Soviet Union, incorporated as republics of the USSR, and had been “occupied” ever since. Another case of brutal Russian imperialism. Period. History etched in stone.
The three countries, it happens, were part of the Russian empire from 1721 up to the Russian Revolution of 1917, in the midst of World War I. When the war ended in November 1918, and the Germans had been defeated, the victorious Allied nations (US, Great Britain, France, et al.) permitted/encouraged the German forces to remain in the Baltics for a full year to crush the spread of Bolshevism there; this, with ample military assistance from the Allied nations. In each of the three republics, the Germans installed collaborators in power who declared their independence from the new Bolshevik state which, by this time, was so devastated by the World War, the revolution, and the civil war prolonged by the Allies’ intervention, that it had no choice but to accept the fait accompli. The rest of the fledgling Soviet Union had to be saved.
To at least win some propaganda points from this unfortunate state of affairs, the Soviets announced that they were relinquishing the Baltic republics “voluntarily” in line with their principles of anti-imperialism and self-determination. But is should not be surprising that the Soviets continued to regard the Baltics as a rightful part of their nation or that they waited until they were powerful enough to reclaim the territory.
Then we had Afghanistan. Surely this was an imperialist grab. But the Soviet Union had lived next door to Afghanistan for more than 60 years without gobbling it up. And when the Russians invaded in 1979, the key motivation was the United States involvement in a movement, largely Islamic, to topple the Afghan government, which was friendly to Moscow. The Soviets could not have been expected to tolerate a pro-US, anti-communist government on its border any more than the United States could have been expected to tolerate a pro-Soviet, communist government in Mexico.
Moreover, if the rebel movement took power it likely would have set up a fundamentalist Islamic government, which would have been in a position to proselytize the numerous Muslims in the Soviet border republics.
- See RT.com (formerly Russia Today) for many stories, images and videos
- Robert Gates, Duty (2014), p.97
- If this site has gone missing again, a saved version can be found here.
- Voice of Russia radio station, Moscow, April 18, 2014; also see Answer Coalition, “Who’s who in Ukraine’s new [semi-fascist] government”, March 11, 2014
- RT.com, news report March 5, 2014
- CBS News, March 3, 2014
- Washington Post, April 11, 2014
- USA Today (Virginia), Oct. 11, 1999, page 1
- Washington Post print edition, April 2, 2014; online here
“While Russia has been making efforts to de-escalate and resolve the crisis, the Kiev regime has chosen to launch airstrikes on peaceful residential areas, literally destroying the last hope for preserving the Geneva accords.” Dmitry Peskov, Putin’s spokesman
“The crisis in Ukraine is not the result of ‘Russian aggression,’ but of a criminal strategy by the US and its European allies to install a hostile regime on Russia’s borders in Ukraine and, ultimately, dismember Russia itself.” Johannes Stern, NATO boosts military build-up against Russia as protests spread in east Ukraine, WSWS
Fighting broke out on Friday in the eastern Ukrainian city of Slavyansk when Kiev’s coup government deployed military helicopters to fire on the city while troops and armored vehicles stormed checkpoints. At the time this article went to press, two helicopters had been shot down killing at least two pilots while one was captured. In an impassioned statement on Russian TV, Kremlin spokesman, Dmitry Peskov, appealed to allies in the EU to do whatever they could to persuade Ukrainian authorities to call off the operation and stop the violence.
“We are calling on the European capitals, the United States of America to give an assessment of the current events and are of course calling on those carrying out airstrikes on residential areas to…immediately end the punitive operation and any violence against its own people…”
So far, there has been no response from Washington although it’s clear that the Obama administration had a hand in organizing the crackdown. Not only were the State Department and CIA directly involved in the putsch that removed democratically-elected president Viktor Yanukovych from office, but Washington has also been implicated in punitive operations directed against ethnic Russian protestors in east Ukraine. Both CIA Director John Brennan and Vice President Joe Biden visited Kiev just hours before two previous crackdowns were ordered by imposter-Prime Minister Arseniy Yatsenyuk. As Foreign Minister Sergei Lavrov blandly noted, It’s clear that Washington is “calling the shots”.
On Thursday, it looked like violence might be avoided when coup-President Oleksandr Turchynov said that he had lost control of the situation. In an exasperated message to the media, Turchnov said, “It is hard to accept but it’s the truth, but the majority of law enforcers in the east are incapable of performing their duties.”
Turchynov was referring to the fact that Ukrainian troops have refused to attack their own countrymen. The mutiny has reportedly spread from elite airborne units to local police who sympathize with the protestors. The only group that’s willing to carry out Washington’s proxy war is the Right Sector neo-Nazis who helped topple the Yanukovych government. Just last week, members of this openly fascist party, commemorated “the perpetrators of the massacre of Yanova Dolina,” where “600 Poles were murdered by the Ukrainian Insurgent Army (UPA) in what is now Bazaltovoye. The massacre marked the beginning of ethnic cleansing in what is now western Ukraine, where tens of thousands of Poles were killed within a few months.” (World Socialist Web Site)
These are Obama’s new allies in America’s war against Russia. Now check this out from Reuters:
“The International Monetary Fund warned that if Ukraine lost territory in the east it would have to redesign a $17 billion bailout of the country, probably requiring additional financing.” (Ukraine attacks rebel city, helicopter shot down, Reuters)
Tell me, dear reader, when was the last time you heard of the IMF threatening to withhold funds if a political leader didn’t wage war on his own people? Anyone with half a brain can see that the IMF is just acting on orders from the White House. This is Obama’s war. His fingerprints are all over the policy. Obama is determined to draw Russia into a bloody guerilla war that leaves Ukraine in the same condition as Iraq, Afghanistan, Libya, and now Syria.
Here’s a clip from the New York Times:
“Through stealth and misdirection, and in defiance of Western sanctions, Russia has managed to achieve its immediate goal of what Western and Ukrainian officials believe is rendering Ukraine so chaotic that it cannot guarantee order, mend its teetering economy or elect new leaders to replace Mr. Turchynov.” (Not Getting Through to Mr. Putin, New York Times)
Putin wants a “chaotic” failed state on Russia’s border? Have you ever read such nonsense in your life?
Putin didn’t topple the Ukrainian government. The US State Department did. (Victoria Nuland’s hacked phone calls prove it.) And Putin didn’t violate the Geneva agreement less than 24 hours after the deal was signed by launching a crackdown on civilian protestors in the east. That was US-puppet Yatsenyuk. Nor did Putin deploy the military to surround cities, cut off their water supplies and deploy helicopter gunships to fire missiles at civilian infrastructure and terrorize the local population. That was the work of Obama’s fascist junta in Kiev. Putin had nothing to do with any of the trouble in Ukraine. It’s all part of the US “pivot to Asia” strategy to encircle and (eventually) dismember Russia in order to seize vital resources and control the flow of energy to China. Washington wants to reduce Ukraine to Mad Max-type pandemonium to justify establishing NATO bases on Russia’s perimeter. It’s all part of the plan to control Central Asia and rule the world.
Putin has acted as peacemaker throughout the crisis, but Obama is determined to provoke the Russian president by attacking and killing ethnic Russians. Consider the statement by Russia’s Foreign Ministry following the helicopter incident on Friday morning:
“As we have warned many times before, the use of the army against its own people is a crime and is leading Ukraine to catastrophe…By supporting the organizers of the Kiev coup in their strategy of violently putting down protests, the US and EU are taking on a huge responsibility, essentially closing the door to a peaceful solution to the crisis.” (Putin says Geneva agreement no longer viable after Ukrainian military action, Guardian)
It’s clear now that Obama merely used the Geneva agreement to buy time to move troops and military hardware to Poland and the Balkans. It’s also clear that Obama invited German Chancellor Angela Merkel to Washington so that it would appear that Europe is united behind the US in its proxy war on Russia. But what does Obama hope to achieve by stirring up this hornet’s nest? He knows that Putin cannot afford to back down on Crimea, so what’s the point? And, more importantly, what is Ukraine going to look like when Washington is finished using it as a staging-ground for its geopolitical landgrab? Here’s an insightful piece by Russian academic, Andrei Fursov, who thinks he knows what Obama wants and explains the impact the policy is going to have on Ukraine for years to come.
“The Americans need controlled chaos and civil war…Moreover, it is clear that this country (post-coup Ukraine) is intended to be absolutely anti-Russian, nationalist, Banderite and neo-Nazi. So the dual goal of establishing this anti-Russian state is to constantly apply pressure on the Russian Federation…
As Bismarck (said) ‘We must cultivate among the Ukrainians, a people whose consciousness is altered to such an extent, that they begin to hate everything Russian.’ …
Thus we are talking about a historical psy-op, an information-psychological sabotage, whose purpose is to establish Russophobic Slavs… They are the means to separate Ukraine from Russia and to oppose Russia as a kind … totalitarian empire. This was all devised under the Galician Project, on which the intelligence services of Austro-Germany and Kaiser German worked, followed by the intelligence service of the Third Reich, later – CIA and BND…
Banderastan, if that’s what Ukraine is fated to become, as designed by the puppet-masters across the ocean, is to be an oligarchic, terroristic, Russophobic state…An oligarchic Banderite…oligarchy is the ideal vehicle for external control. Clearly, this will suit both the oligarchs and the West.” (Battleground Ukraine: A Comprehensive Summary, Zero Hedge)
So, there it is: Divide and rule. We saw the Bush administration pull it off with the Shia and Sunnis in Iraq, and now Obama wants to do the same with the Ukrainians and Russians. Same strategy, different continent.
This is Obama’s plan for the “New Ukraine” a fascist-ruled failed state that follows Washington’s directives and puts pressure on Russia thorough endless provocations, belligerence, and war. Ukraine will be Washington’s pit bull in the East, separating Moscow from crucial sources of revenue and thwarting efforts at greater EU-Russia economic integration. This is how Washington hopes to insert itself into Eurasia, to improve its prospects in the Great Game, and to establish global hegemony into the next century.
(Note: “Banderite” refers to Stepan Bandera, who was a Ukrainian nationalist leader who collaborated with the Nazis. Bandera headed the Organization of Ukrainian Nationalists (OUN) According to the World Socialist Web Site: “The Ukrainian Insurgent Army (UPA) carried out numerous massacres of the Polish population in western Ukraine…The UPA served as a military executive organ of the OUN. It was founded in the spring of 1943 and recruited primarily from Nazi collaborators who were previously active in the SS.”)
When defending Western Civilization, some confuse that secular humanism, practiced as the current dominate popular culture, represents that lineage. Nothing could be farther from the truth. The decadence and decline in the West is undeniable. Yet the heritage upon which European civilization is based, owes a profound debt of gratitude to the societies that developed out of the brute force of empire and adopted principles of natural law and individual dignity. A direct correlation to the gospel of Christ becomes the centerpiece of this glorious tradition of universal brotherhood, that keeps man’s inhumanity to man in check.
The well-documented failures of institutions and regimes would have been far worse if left to the devices of pagan appetites or atheist’s hubris. However, the memory of the eternal struggle is short lived in the minds of most people. Confusion reigns because of a lack of knowledge, perspective and especially will, to admit that the New World Order is the invention of satanic factions that lust for control of the entire planet and beyond.
Therefore, the extraordinary essay by Pat Buchanan, Putin vs. Cultural Marxism: Whose Side Is God on Now?, is a required penance for all those who have sinned.
“In his Kremlin defense of Russia’s annexation of Crimea, Russia is a Christian country, Putin was saying.This speech recalls last December’s address where the former KGB chief spoke of Russia as standing against a decadent West:
“Many Euro-Atlantic countries have moved away from their roots, including Christian values. Policies are being pursued that place on the same level a multi-child family and a same-sex partnership, a faith in God and a belief in Satan. This is the path to degradation.”
With Marxism-Leninism a dead faith, Putin is saying the new ideological struggle is between a debauched West led by the United States and a traditionalist world Russia would be proud to lead.”
Before dismissing Putin as just a KGB thug, read Vladimir Putin Nemesis of the New World Order. Then do your own research on Marx and Lenin’s clan of Khazar Bolsheviks. Finally, transcend the issue just about the motives of Putin and focus on the Christian roots of the Russian population.
The Orthodox Revival in Russia by Fr. Seraphim Rose cites the experiences and significance of Alexander Solzhenitsyn and Father Dimitry Dudko.Solzhenitsyn spoke of Gulag—a secular term; Fr. Dimitry speaks of Golgotha—the Christian understanding of the Soviet experience. The central part of Fr. Dimitry’s—and contemporary Russia’s—message to us is that all the sufferings inflicted by atheism have a meaning—we can find Christ in them… Here are a few passages of Fr. Dimitry’s teaching:
“In our land has occurred Golgotha; the torments of all the martyrs begin gradually to cleanse the air… The present crucifixion of Christ in Russia, the persecutions and mockings only lead to the resurrection of faith in men… This gives us strength, firmness, makes us better than we are now… Let us imagine the state of our martyrs. Did the thought of sinning occur to them at this moment? No matter what kind of sinners they may have been in this minute they become saints… And those who suffer for those condemned to death also become better. How many martyrs there have been in Russia—and therefore, how many holy feelings! Will these holy feelings really give no fruit? And perhaps we live and will live only by the feelings of the holy martyrs, being supported by them… In our country now is Golgotha. Christ is crucified. Golgotha is not merely sufferings, but such sufferings as lead to resurrection and enlighten men… Our time can be compared only with the first three centuries of Christianity, and perhaps then it was even easier; then they did not yet know all the refinements of subtle torture… If one compares the religious state here and in the West, the balance is on our side. Why? Because here we have Golgotha, and there they don’t. Does an abundance of material goods give a religious rebirth? … Here we have nothing, but if people believe they are ready to die for their faith.”
Fr. Rose provides his assessment:
“His truthfulness and fiery faith have made many enemies—sadly enough, even among Orthodox Christians. Some have found him too emotional, too apocalyptic, too messianic—and it is true that such a fiery, urgent, Orthodox preaching hasn’t been heard in Russia and probably the whole Orthodox world since the days of St. John of Kronstadt; many Orthodox people have become self-satisfied with their “correct and proper” Orthodoxy and are somehow offended when Orthodoxy is preached and communicated so warmly to everyone who will listen.”
Can you just imagine such a discussion in the western media or even among Dispensationalist Christians, who are preoccupied in taking up the sword to champion Zionism? Any comparison between the West and Mother Russia would be incomplete without the insight of the audacious Brother Nathanael Kapner, Putin’s Purge Of The Rothschild Money Changers.In a televised Christmas message on January 7 2008 Putin said:
“The Russian Orthodox Church contributes to the promotion of moral values in society. One should not completely draw a line between the culture and the church. Of course by law in our country the church is separate from the state. But in the soul and the history of our people it’s all together. It always has been and always will be.” — Here.
Brother Nathanael leaves nothing unsaid in PUTIN VS JEWS OF THE NEW WORLD ORDER.
“By 2006 Putin had paid off Russia’s debt to the Rothschilds. Russia’s financial dependence on the Jewish financiers was now over. Putin could then establish what became his Russian Unity Party’s 2007 campaign slogan: Putin’s Plan Means Victory For Russia! This slogan continues to make the New World Order Jews very nervous…Here.”
While these sentiments are several years old, make no mistake about it, they are even truer today, with the efforts of the BRICS Development Bank to replace the IMF.
For a more current description, look to Pastor Scott Lively in Report from Moscow, and a summary of a reversal of roles, read on.
“Russia is today experiencing a Christian revival and is decidedly NOT communist. Some 30,000 churches have been built in the last year, and the ones in Moscow are reportedly overflowing with worshippers on Sundays. Most of the church is Orthodox, which is steeped in tradition, but at the same time relevant to the modern society.”
“How incredibly ironic it is that Russia is now our best hope for stopping the conquest of the world by the “progressives.” On Father Dimitri’s television show, I made the point that the Americans and the Soviets both won and both lost the Cold War. The Americans broke the Soviet system through economic strategies and tactics. But before they collapsed, the Soviets poisoned the United States with Cultural Marxism, promoting moral degeneracy and family breakdown through so-called “progressive” ideology. Today, post-Soviet Russia is re-emerging as a Christian nation, while the United States is becoming a “Gay Soviet Union.” What a strange turn of events.”
Echoing this conclusion is the report In Russia, a religious revival brings new life to Orthodox media. “After 70 years of state-imposed atheism and 20 years that have run the gamut from glasnost to post-Soviet chaos to a revival of Russian pride, Russians have increasingly embraced their Orthodox roots.” The video Christianity Grows in Russia & Declines in the West is to the point.The Latin Papacy has lost its spiritual way often over the millenniums and the Scofield Christian-Zionist apostate bible thumpers betray the Gospel of Christ with their devotion to the Talmud perversion of the Old Testament. Both need to seek repentance. Once the enemy of Christianity, when Russia was Rothschild’s USSR, today a revival of Christianity has started.
Western Secularism, which encapsulates the immoral ethos that underpins the globalist economic model, based upon a rejection of authentic Christian teaching, is the downfall of humanity.
If Russia can salvage their society from atheist communism, surely the West has the ability to humble themselves and repent for their depraved chutzpah and wicked ways. The Totalitarian Collectivism that has destroyed the Christian culture on both sides of the Atlantic must return to their traditional roots.
Michael Hoffman on ‘Usury in Christendom’ is essential, ‘…freedom from interest on money, is essentially the battle for freedom from the Money Power’. The West has become the “Money Changers”, because the temple has subverted commerce by heretical destruction of faith and separation from God. By destroying traditional Christian religious belief, the secular body is defenseless. Such a message is radical to most, because it is reactionary to the spiritual non-believer.
Former Russian President Dmitry Medvedev has spoken of the “fruitfulness of cooperation between the Russian Orthodox Church and government and public institutions and called the revival of Orthodox Christianity in Russian in the past two decades a miracle.” The West needs a spiritual revival of its own conception. If the Russia Bear can be tamed, what prevents the American eagle from souring once again?
It should be obvious that the recent putsch and regime change in the Ukraine inspired and backed by the U.S. shadow government, benefits the international banksters. For the average EU resident, only further economic displacement and diminished prospects can be expected from any inclusion of Ukraine into the EU dictatorial structure. Not so, for the corporatists who expects expanded opportunities as Consortium News analyzes agricultural and energy companies recent involvement within the Ukraine.While corporatists want to extend their monopolies, the appeal of joining the EU with privileges of travel, relocation and better employment, has a very high price tag. So what is really behind the cover that the Brussels technocrats like to provide for the heavy hand treatment, which the banksters always demand? Look to the methods of the IMF for part of the answer.
Michel Chossudovsky of Global Research, in the detailed essay Regime Change in Ukraine and the IMF’s Bitter “Economic Medicine”, gives a comprehensive account of the handpicked players that are eager to do the bidding of the IMF.
“Shortly after his instatement, the interim (puppet) prime minister Arseny Yatsenyuk casually dismissed the need to negotiate with the IMF. Prior to the conduct of negotiations pertaining to a draft agreement, Yatsenyuk had already called for an unconditional acceptance of the IMF package: “We have no other choice but to accept the IMF offer”.
He explains the methods of the standard game plan that the IMF uses to impoverish the peasants and steal assets and resources.
“While the privatization program ensures the transfer of State assets into the hands of foreign investors, the IMF program also includes provisions geared towards the destabilization of the country’s privately owned business conglomerates. A concurrent “break up” plan entitled “spin-off” as well as a “bankruptcy program” are often implemented with a view to triggering the liquidation, closing down or restructuring of a large number of nationally owned private and public enterprises.”
In addition, the 21th Century Newswire reports that the US Quietly Snatches the Ukraine’s Gold Reserves and corroborated by the same Prof Chossudovsky, it becomes clear that economic conquest is a prime component behind the staged coup.
“According to reports out of Kiev, the US has quietly transfers 33 tons of Ukrainian gold out of the country and back to vaults in the US. Presumably, this sovereign wealth transfer would be counted as partial “collateral” for a fresh round of IMF, US FED, and ECB paper debt that is currently being organized for dumping into the Ukraine’s economic black hole.”
“Later a returned call from a senior official of the former Ministry of Revenue reported that tonight, on the orders of one of the new leaders of Ukraine, the United States had taken custody of all the gold reserves in Ukraine.”
Finally, economist Michael Hudson in Who In Ukraine Will Benefit From An IMF Bailout?,
“The objective of IMF loans is to deindustrialize the economy. It is to force the economy–meaning the government when you say the economy–the government has to pay the IMF loan by privatizing whatever remains in the public domain. The Westerners want to buy the Ukrainian farmland. They want to buy the public utilities. They want to buy the roads. They want to buy the ports. And all of this is going to be sold at a very low price to the Westerners, and the price that the Westerners pay will be turned over to the Ukrainian government, that then will turn it back to the Ukraine. So whatever the West gives Ukraine will immediately be taken back.”
Watch the informative video, Who In Ukraine Will Benefit From An IMF Bailout?, for the Real News assessment, that clarifies these developments. Now shift to the recent announcement that the EU Signs Association Agreement With Ukraine for a viewpoint reported by Radio Free Europe.
“This deal covers the most existential and most important issues, mainly security and defense cooperation,” Yatsenyukd said. “This deal will establish a joint decision-making body, which is to facilitate the process of real reforms in my country. And this deal meets the aspirations of millions of Ukrainians that want to be a part of the European Union.”
What exactly can the EU offer by way of defense cooperation? Yes, this is the same central banker stooge, who the Wall Street Journal describes as Washington’s Man Yatsenyuk Setting Ukraine Up For Ruin. Without the United States, the EU is a paper tiger. NATO is not an alliance, but a branch of outposts to deploy American troops. How does this phony agreement between the EU and Ukraine help the economic interests of either party?
Such a display of destitution only makes the illegitimate installed Ukraine government look like the vassal state that it has become. Bob Livingston over at Personal Liberty Digest has it correct, “The Ukraine situation is a bankster-orchestrated crisis with the short game more money printing and the end game global governance.”The EU governance aspect is the eventual goal, but the immediate economic dislocation that even the talk of sanctions against Russia has, with the trading partners within the EU, surely will experience real pain. These conditions create the perfect storm for the IMF banksters to apply their vile craft.
Now that the Ukraine is reduced to beggar status, the gang of approved corporatist will feast like vultures upon the remains of fire sale assets. Once again the formula imposed upon Ireland, Spain and certainly Greece, will be used to guarantee the billions in EURO credit that will flow into the secret bank accounts of the new junta.
Capturing the Ukraine is more about geopolitical asset thievery than assimilation into the European Union. However, the EU marketed, as a lawful “community of nations” is nothing more than the political front for the money counterfeiters. Fashioning economic distress is the business of the unholy alliance. NATO, the IMF and the EU serve the shyster and shylock central banking system. Ukraine is just the latest victim.