Sunday 2 November 2014

Is this crisis a hoax?


Companies offer me peanuts because "you know, because of the crisis, we cannot afford the luxury of offering more", but billionaires double since financial crisis.

As a consequence, SMEs specialised in luxury increase their profits, while
big companies improve their income, possibly because they save money on their workforce, now paid peanuts, as said, "because of the crisis".

Of course, SMEs that were dealing with "normal" people are just disappearing, because the so called middle class has been shrinking, has almost vanished, due to the decrease of their income and the lowering of free services (the so-called social welfare) people used to avail of.


I wonder if this crisis is real as the pandemic A (H1N1) 2009 virus that was supposed to eradicate humankind, if we did not get big-pharma vaccination... I didn't, and I am still alive, but now they are trying to kill me in a different way: monetarism, finance instead of economy, and blind austerity.


Such a complicate matter cannot be adequately discussed in the few lines of a blog. Here I can just say that a proper analysis should definitely include the central problems of seigniorage and of the privately owned central banks. We actually live in a debt-money system, where money is created by private banks (like the US Federal Reserve, or any Central Bank around Europe, including the ECB) out of debt, also using bonds. A debt that must be repaid with other money, using the earnings of the real economy that in such a way cannot be invested in R&D or social welfare, and also paradoxically increasing debt, in a never-ending loop that destroys the real economy and makes bankers fatter, who become richer and richer just doing nothing. Just like the Money Changers kicked out of the Temple by Jesus, as described in the New Testament.

But we were talking about an induced crisis, something minutely planned. A crisis that affects the majority of people for just making a minority wealthier.

Scarily enough, in the 1996 documentary “The Money Masters” at minutes 01:38 of the second DVD we hear a tragic prediction:

Remember what Larry Bates said at the first of this videotape:
"In periods of economic crisis, wealth is not destroyed, it is merely transferred".

Do we have any hints as to what the Money Changers [aka as bankers] have in store for us?
Here is what David Rockefeller, the chairman of Chase-Manhattan Bank, the largest Wall Street bank, had to say:
So, crisis is needed to fulfil their [bankers] plans quickly. The only question is when the crisis will occur.

Well, it happened! It seems Money Changers decided it was time for a new crisis!

After less them a minute we hear:

But whether or not they decide to cause a crash or depression through relentless increases in taxes and the loss of hundreds of thousands of jobs being sent overseas, […] the American [and not only...] middle class is an endangered species. […]

In other words, money is being consolidated in fewer and fewer hands

You can watch the whole documentary here:


My question is: can we call a “prediction” something that was accurately planned? Isn't it like when going to the airport for getting a plane, after having bought a ticket? Do you “plan” to take the plane or do you “predict” it? C'mon!
I wonder: do we need banks? And more specifically, do we need privately-owned central banks? Rather than letting bankers speculating on our resources, shouldn't we instead opt for electronic money and virtual transactions, managed by the State (the ministry of finance and economy) and not banks?
On the same matter it is worth mentioning that Jean Tirole got the Nobel Prize for economics for having demonstrated the "wetness of water" in finance, as to say that wild capitalism is... wild. Liberalism is fine, anarchism and the dictatorship of finance are not... What about RULES and ACCOUNTABILITY? Bloody hell... there are too many wrong things on this planet... and the wrong people (the twins Lobbies and Masonry) ruling it. If not even the son of god managed to get rid of Money Changers (people that now we call bankers), it means we really are in big troubles...
As said, world economy is given birth with a debt, and therefore is forced to grow (which does not mean “to improve”) for repaying its Original Sin, thus being damned to increase quantities (GDP), neglecting quality and welfare. I am obviously also referring to the famous debt-GDP proportion that is at the core of German-ruled European economy, and that de facto has ruined many European countries, killing thousands of people in the Mediterranean part of the EU. This second problem is also linked to the engineering-based culture that makes believe that a "model" that works in a Country, MUST work in another one. The imposition of the German economic and financial model to the rest of Europe is a good example, something that is practically destroying all countries that followed different economic policies. Did we all really need to adopt the Deutsche Mark (now called Euro) as European currency?

Then, well, I prefer not talking about globalisation, and the sick idea of the specialisation of each country on earth in a specific economic and productive field, because it could take too long for enumerating the disasters it causes.
At the end of these words I reinforce the idea that this crisis to me seems just a scam, a fraud, an excuse for paying workers less, jeopardise their rights, cancel that social welfare that unions obtained in more than a century of fights, for allowing a minority to get richer and companies (including banks) to increase their profits. The sooner we realise it, the better.

10 comments:

  1. great blog !! keep it up Fabrizio... regards, RW

    ReplyDelete
  2. My reaction may be a bit less than what would be appropriate for your blog. I'd like to see a "crisis" in the form of a severely reduced supply of people offering the work you want to do for a respectful salary. See how much the SMEs offer. Many employers take any excuse to maintain the top-heavy payroll distribution.

    Jean S.

    Architecture & Planning Professional

    ReplyDelete
  3. Certainly it's a hoax. Starting from the very top at the "donor" agency down to the finance staff at the consultancy - every one tries to "save" money at all costs. And then complains about poor results forgetting about "if you pay peanuts expect to get monkey business".
    But this goes on for years already - look at the Cotonou Agreement (23 June 2000 - ISSN 1013-7335), White Pages p. 7 where the table shows that 73.3 % of the 9th EDF are unspent fund from earlier EDFs.

    Paul W.

    Finance & Procurement Advisor at WYG International Ltd.

    ReplyDelete
  4. https://www.facebook.com/OccupyWallSt/photos/a.628015903932844.1073741830.184749301592842/765901186810981/https://www.facebook.com/EconSociology/photos/a.476386915717741.106433.209143742442061/488977597792006/?type=1

    Snehal M. Shah

    Research & Documentation, M&E, Editing, AV, Ex- World Bank Consultant, Education, Water & Sanitation, Livelihoods

    ReplyDelete
  5. I am not saying the crisis doesn't exist and unemployment is a good reminder. However in such a context I am wondering too if it is not a good opportunity for some to enslave more deeply lower classes by using this argument: "that is crisis, we have no money, so YOU make an effort".

    BTW a saying is: "never walk at a dog that has no escape route on its back !". The one that rely on the argument above have ever thought at this saying?

    Finally, we are in a real, material, crisis: we have no planet B! We are on the edge of the abyss and China wakes up and looks for western standard of living, the one that already requires 3 to 5 Earths. How are we going to feed people with more goods to fill a few ones pockets in such a context?

    Florent A.

    Développeur

    ReplyDelete
  6. Hi and thanks for your feedback.

    BTW, you might be interested in reading an article by Paul Krugman, who states that the major reason for current European crisis lies on “Germany’s beggar-thy-neighbor policies, which are in effect exporting deflation to its neighbors”.

    http://www.nytimes.com/2014/12/01/opinion/paul-krugman-being-bad-europeans.html?partner=rssnyt&emc=rss&_r=0

    Happy to see Krugman and I share the same idea, sad to see we probably are right...

    Moreover, we do not dare to forget the tit for tat agreement between the former West-FRG and the rest of Europe that helped (or permitted) the reunification of Germany. From one side Europe accepted to pay the costs of German reunification, from the other Germany accepted to abandon the Deutschmark and join the Euro. 25 years after the fall of the Berlin wall I believe there are no doubts about the fact that European non-German citizens are still heavily paying such a decision, while the Euro (which de-facto IS the Deutschmark, but with a different name) mostly benefited multinational companies and above all banks.

    Cool, isn’t it?

    ReplyDelete
  7. I read Krugman's article. I'm not informed (and maybe even educated enough in Econ) enogh about the European situation to be able to make any worthwhile comments about the German issue. But I can say that part of the USA's "policy" is to beggar its own citizens in the job market. Tens of millions of U.S. citizens are involuntarily unemployed or underemployed, with consequent insufficient incomes. The USA's "recovery" is a fraud.

    Jean S.

    Architecture & Planning Professional

    ReplyDelete
  8. Could you explain how the non-German citizens paid for the reunion of the DDR. I always thought it was the west Germany who paid for this? It is a novel theorem to me.

    Anna O.

    renewable energy expert at the Institute for Renewable Energy

    ReplyDelete
  9. Hi Anna, and thanks for your feedback.

    There are many reasons, mainly financial.

    You can start reading:

    http://www.foreignaffairs.com/articles/66754/mary-elise-sarotte/eurozone-crisis-as-historical-legacy

    I'll be back with more articles and explanations in the next days.

    Regards!

    ReplyDelete
  10. This is a "manufactured crisis" ... and it rolled from North America to EU ...listen to Michael Moore, Tavis Smiley, and Cornell West on this subject at this forum on "poverty" :

    http://youtu.be/eRRgNfulirU?t=1h10m6s

    Anthony M.

    Instructor TEACH English in Colombia (TEC ) program at Partners of the Americas

    ReplyDelete

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