Written by Jeff Nielson Monday, 11 February 2013 13:58
The morning ânewsâ rarely fails to disappoint when it comes to churning out Machiavellian double-talk which is more convoluted than your average pretzel. Today was no exception. The stalwart propagandists at Bloomberg have treated us to another exercise in logical perversity with this headline:
G-7 Said To Discuss Statement To Calm Currency War Concern
Machiavelli himself would have stood and applauded this effort. Before we see what this statement actually says, letâs review what it does not say. It does not say that our (morally/intellectually/economically) bankrupt governments donât want a âcurrency war.â It does not say that our governments arenât planning on having a currency war. My apologies for the double-negatives.
Indeed, focus on precisely what is said here and things become much clearer: a âstatementâ to âcalm concernâ. âStatementâ = lie; and âcalm concernâ = putting the Sheep back to sleep. Having dissected the title of this propaganda missive, weâre now ready to begin analysis. Why/about what do the Sheep need calming? And how are we being lied to?
The two questions are closely related. Roughly a quarter century ago, the Corporate Oligarchs (and the puppet-politicians whose strings they pull) decided to destroy the Westâs economies in the name of short-term, corporate profits. The euphemism they created as a label for this sadistic plan was âglobalizationâ.
A quick definition is in order. Often given the even more heinous euphemism âfree tradeâ; globalization was/is a scheme to erase borders (in economic terms) to the exclusive benefit of large corporations. The primary âbenefitâ to these corporations was to drive wages downward in a sickening plunge, so that even the inept suit-stuffers whom we refer to as âCEOâsâ could maintain healthy bottom-lines â and supposedly justify plundering their corporate coffers for the largest salaries (by a factor of ten) in economic history.
Regular readers are familiar with the chart below:
[courtesy of nowandfutures.com]
Wages for the average American worker (in real dollars) have plummeted by more than 50%; as the average American worker now gets paid what their grandparents earned during the Great Depression. Accompanying this we have Great Depression-level unemployment.
Forget the absurd âofficialâ unemployment rates. When we include the 60+ million âdiscouraged workersâ across Western economies (permanently unemployed people who have lost hope, and given up looking for work); unemployment rates throughout the Western world start at 15% and spiral higher from there.
Written by Jeff Nielson Wednesday, 06 February 2013 13:23
On February 5th, 2013; we learned something. We learned precisely how long of a memory-span that the U.S. government believes Market Sheep to possess: 18 months. How do we know this? Because 18 months to the day after credit-rating agency Standard & Poors announced it had âdowngradedâ the U.S. governmentâs (fraudulent) âAAAâ credit rating, the U.S. government has announced its revenge.
It is âsuingâ S&P for âinflated credit ratingsâ which, according to U.S. Attorney General Eric Holder were âcentral to the worst financial crisis since the Great Depression.â Fans of either the ironic or absurd are warned at this point that reading further carries a direct risk of becoming dangerously over-stimulated.
Those at all familiar with our markets or general economic reporting know there are three behemoths who currently dominate the credit ratings business (Moodyâs and Fitch being the other two), and at the time when S&P committed its alleged transgressions they were essentially the exclusive sources for credit-rating data in the U.S. economy and its markets.
Today, only one of those three corporations is being sued; the one which (by remarkable coincidence) happened to downgrade the credit rating of the U.S. government exactly 18 months earlier. For the many readers out there who are believers in âremarkable coincidencesâ (and who thus disregarded the previous sentence); undoubtedly you are all telling yourselves the same thing: S&P was doing something different/more nefarious than the other credit ratings agencies.
Letâs see what the lawyers representing S&P have to say about precisely that point:
âWe will vigorously defend S&P against these unwarranted claimsâŚThe fact is that S&Pâs ratings were based on the same subprime mortgage data available to the rest of the market â including U.S. government officials who in 2007 publicly stated that problems in the subprime market appeared to be containedâŚâ
Let me expand upon that statement, because truly S&P could have said much more. When the S&P spokesperson stated that âS&Pâs ratings were based on the same subprime dataâ, she could have easily added that the ratings themselves were virtually identical to those of the other two ratings agencies; and their âanalysisâ of market conditions was so similar it was if all three were reading off the same Script.
So we have three trusted institutions all reading off of the same âdonât worry, be happyâ Script, yet only one of the three is being attacked as a Villain. Who wrote the Script for the ratings agency Choir? Why, the U.S. government, of course â now playing the role of the Aggrieved Victim.
However, the U.S. government rarely speaks for itself any more when it comes to its own economy. When your lead talking-head on the economy is the mumbly, absurdly under-qualified tax-cheat, Tim Geithner; this is no great surprise.
So where was the Script printed for the benefit of the ratings agency Choir, and the Wall Street Vampires; who used all that happy-talk to scam the world for $trillions? On the same Federal Reserve printing press which was/is cranking-out infinite quantities of U.S. greenbacks.