Showing posts with label endless War. Show all posts
Showing posts with label endless War. Show all posts

Monday, May 5, 2014

Privatization Is A Ramp For Corruption and Insouciance Is a Ramp for War

Privatization Is A Ramp For Corruption and Insouciance Is a Ramp for War 
The New York Times has acquired a new Judith Miller

Paul Craig Roberts

Libertarian ideology favors privatization. However, in practice privatization is usually very different in result than libertarian ideology postulates. Almost always, privatization becomes a way for well-connected private interests to loot both the public purse and the general welfare.

Most privatizations, such as those that have occurred in France and UK during the neoliberal era, and in Greece today and Ukraine tomorrow, are lootings of public assets by politically-connected private interests.
Another form of privatization is to turn traditional government functions, such as prison operation and many supply functions of the armed services, such as feeding the troops, over to private companies at a large increase in cost to the public. Essentially, the libertarian ideology is used to provide lucrative public contracts to a few favored persons who then reward the politicians. This is called “free enterprise.”

The privatization of prisons in the US is an example of the extraordinary cost and injustice of privatization. Privatization of prisons requires ever higher rates of incarceration in order to build profitability. The US, supposedly “a land of liberty” has by far the highest incarceration rates of all countries. The “free” US has not only the highest percentage of its population in prison but also the highest absolute number. “Authoritarian” China with four times the US population has fewer citizens in prison.

This article shows how well prison privatization works for well-connected private interests: http://www.globalresearch.ca/privatization-of-the-us-prison-system/5377824

It also shows the extraordinary shame, corruption, and discredit that prison privatization has brought to the US.

A few years ago I wrote about the conviction of two judges who were paid by privatized juvenile detention facilities to sentence kids to their facilities.

As Alain of Lille and later Karl Marx said, “Money is all.” In America money is all that is
important to the political system and to the bulk of the population.
Essentially, America has no other values.

Another great libertarian fantasy is Wall Street. In the libertarian mythology Wall Street is the mother of entrepreneurs and of the start-up companies that blossom into industrial, manufacturing, and commercial giants. In actual fact, Wall Street is the mother of enormous corruption. As Nomi Prins shows in All The President’s Bankers, it has always been the case.

Recently, there has been a spate of Wall Street whistleblowers. Many are reported by Pam Martens on her site, Wall Street On Parade, http://wallstreetonparade.com/2014/04/insiders-tell-all-both-the-stock-market-and-the-sec-are-rigged/

Unlike libertarian ideologues, Prins and Martens are former Wall Street insiders and know what they are talking about.

All US financial markets are rigged for the benefit of a few. We have had the exposure of high frequency trading front-running buy and sell orders. We have had the exposure of the big banks rigging the LIBOR interest rate and the London gold price fix. We have had the exposure of the Federal Reserve rigging via its dependent bullion banks the price of gold in the futures market. We have had the exposure in Congressional hearings of the rigging of metal and commodity prices. The dollar’s exchange value is rigged. And so forth. Yet no heads have rolled. Recently a SEC prosecuting attorney, James Kidney, retired. Upon his retirement, he proclaimed that his cases against the criminal big banks have been suppressed by SEC higher ups who have their eyes fixed on big jobs with the banks they are protecting while in government service.

So there you have it. The United States government is so overwhelmingly corrupt that even the financial regulatory agencies have been corrupted by the money of the private capitalists they are supposed to regulate.

America the corrupted. That is what we have become.

Not even Vladimir Putin understands how totally corrupt and insensitive to humanity Washington is.

Putin’s response to the Ukraine crisis created by Washington’s coup in Kiev is to rely on
“Russia’s Western partners,” the UN, the Obama regime, John Kerry, etc., to work out a reasonable solution to the crisis.

Putin’s hope for a diplomatic solution is unrealistic. The NATO governments are bought-and-paid-for by Washington. For example, Germany is not a country. Germany is a mere piece of Washington’s empire. The German government will do as Washington says.The German government represents Washington’s agenda. The European governments to whom Putin is speaking are not listening.

Paul Wolfowitz, the neoconservative who as Deputy Secretary of Defense presided over the orchestration of the false evidence used by the Bush regime to launch Washington’s wars in the Middle East, declared the minimization of Russian power as the “first objective” of US foreign and military policy:

“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.”

What Wolfowitz means by “hostile power” is any power independent of Washington’s hegemony.

Washington overthrew the elected Ukraine government in order to orchestrate a crisis that would distract Russia from Washington’s adventures in Syria and Iran and in order to demonize Russia as an invader rebuilding an empire that is a danger to Europe. Washington will use this demonization in order to break-up growing economic relationships between Russia and Europe. The purpose of sanctions is not to punish Russia, but to break up economic relationships.

Washington’s strategy is audacious and brings risk of war. If the West had an independent media, Washington’s plan would fail. But instead of a media, the West has a Ministry of Propaganda. The New York Times has even found a replacement for Judith Miller. As you might have forgot or never known, Judith Miller was the New York Times reporter who filled the Times with Bush regime neoconservative lies about Iraqi weapons of mass destruction. Instead of examining and exposing the Bush regime’s false claims, the New York Times bolstered the regime’s case for war by using the newspaper’s credibility to advance the neoconservative war agenda.

The new Judith Miller is David M. Herszenhorn, with accomplices Andrew Roth, Noah Sneider, and Andrew Higgins. Herszenhorn dismisses the totality of Russian media accounts of events in Ukraine as “an extraordinary propaganda campaign” designed to hide the fact from the Russian population that the entire Ukraine crisis is the fault of the Russian government: “And so began another day of bluster and hyperbole, of the misinformation, exaggerations, conspiracy theories, overheated rhetoric and, occasionally, outright lies about the political crisis in Ukraine that have emanated from the highest echelons of the Kremlin and reverberated on state-controlled Russian television, hour after hour, day after day, week after week.” http://www.nytimes.com/2014/04/16/world/europe/russia-is-quick-to-bend-truth-about-ukraine.html?ref=davidmherszenhorn&_r=0

I have never read a more blatant piece of propaganda than Herszenhorn’s. He bases his report on two “authorities,” Lilia Shevtsova of the American-funded Carnegie Moscow Center, and Mark Galeotti, a NYU professor.

According to Herszenhorn, the widespread protests in eastern Ukraine are entirely the fault of the protesters who are putting on a show for propaganda purposes. The protests are not a response to words and deeds of the Washington-installed stooge government in Kiev. Herszenhorn dismisses reports of extreme nationalist neo-nazi Russophobia as “sinister claims” and regards the Washington-imposed unelected government in Kiev as legal. However, Herszenhorn regards governments formed as a result of referendums to be illegal unless approved by Washington.

If you place your faith in Herszenhorn, you will dismiss all reports such as those below as lies and propaganda:

http://rt.com/news/eu-no-russian-interference-ukraine-844/
http://news.antiwar.com/2014/04/15/poland-nato-must-ignore-russia-send-ground-troops/print/
http://news.antiwar.com/2014/04/15/eastern-offensive-ukraine-pounds-kramatorsk-killing-four/print/
http://news.antiwar.com/2014/04/15/white-house-endorses-ukraine-crackdown-on-protesters/
http://rt.com/news/ukrainian-tanks-kramatorsk-civilians-840/
http://www.globalresearch.ca/natos-pet-nazis-savage-ukrainian-presidential-candidate/5377948
http://rt.com/news/ukraine-troops-withdraw-slavyansk-940/

The Western World is the World of the Matrix protected by the Ministry of Propaganda. Western populations are removed from reality. They live in a world of propaganda and disinformation. The actual situation is far worse than the “Big Brother” reality described by George Orwell in his book, 1984.

The ideology known as neoconservatism, which has controlled US governments since Clinton’s second term, has the world set on a path to war and destruction. Instead of raising questions about this path, the Western media hurries the world down the path. Read what medical doctors report will be the result of the neoconservative Obama regime’s belief that nuclear war can be won: http://original.antiwar.com/lawrence-wittner/2014/04/14/your-doctors-are-worried/

The Chinese government has called for “de-americanizing the world.” The Russian legislature understands that being part of the dollar payments system is a Russian subsidy to American Imperialism. The Russian legislator, Mikhail Degtyaryov told Izvestia that “The dollar is evil. It is a dirty green paper stained with blood of hundreds of thousands of civilian citizens of Japan, Serbia, Afghanistan, Iraq, Syria, Libya, Korea and Vietnam.” http://rt.com/politics/russian-dollar-abandon-parliament-085/

However, Russian industry spokesmen, possibly on Washington’s payroll but likely just people without a clue, said that Russia was bound by contracts to the dollar system and that perhaps in 10 or 15 years Russia could take a more intelligent approach. That is assuming that Russia would still be capable of acting in its own interests after suffering 10 or 15 years more of US financial imperialism.


Every country that wishes to have an independent existence without living under Washington’s thumb should immediately depart the dollar payment system, which is a form of US control over other countries. That is the only purpose that the dollar system serves.

Many countries are afflicted by economists trained in the US in the neoliberal tradition. Their US education is a form of brainwashing that ensures that their advice renders their governments impotent against Washington’s imperialism.

Despite the obvious threats that Washington poses, many do not recognize the threats because of Washington’s pose as “the greatest democracy.” However, scholars looking for this democracy cannot find it in the US. The evidence is that the US is an oligarchy, not a democracy. http://www.globalresearch.ca/the-u-s-is-not-a-democracy-it-is-an-oligarchy/5377765

An oligarchy is a country that is run for private interests. These private interests–Wall Street, the military/security complex, oil and natural gas, and agribusiness–seek domination, a goal well served by the neoconservative ideology of US hegemony.

The American Oligarchs win even when they lose. Finally, Washington’s notorious torture prison, Abu Ghraib, has been closed. But not by Washington. The Iraqi city fell last week to “defeated” al-Qaeda. Remember, we won the war in Iraq. $3 trillion wasted, but that’s not the way the military/security complex sees it. The war was a great victory for profits. http://news.antiwar.com/2014/04/15/after-al-qaeda-expansion-iraqs-infamous-abu-ghraib-finally-closes/

How much longer will dumbshit americans fall for the flag-waving deception?

The Republicans used the wars in order to create huge budget deficits and national debt that are now being used to dismantle the social safety net, including Social Security and Medicare. There’s talk of privatizing Social Security and Medicare. More profits for Oligarchs in the offering. The gullibility of the American population is really without compare.

The gullibility of the American public will doom the world to extinction.

Wednesday, October 23, 2013

As Ye Sow, So Shall Ye Reap

Paul Craig Roberts

The year 2014 could be shaping up as the year that the chickens come home to roost.

Americans, even well-informed ones, don’t know all of the mistakes made by neoconized and corrupted Washington in the past two decades. However, enough is known to see that the US has lost economic and political power, and that the loss is irreversible.

The economic cost of this lost will be born by what remains of the middle class and the increasingly poverty-stricken lower class. The one percent will have offshore gold holdings and large sums of money in foreign currencies and other foreign assets to see them through.

In the political arena, the collapse of the Soviet Union presented Washington with the grand opportunity to reallocate the Pentagon budget to other uses. Part of the reduction could have been returned to taxpayers for their own use. Another part could have been used to improve worn out infrastructure. And another part could have been used to repair and improve the social safety net, thus insuring domestic tranquility. A final, but perhaps most important part, could have been used to begin repaying the Treasury IOUs in the Social Security Trust Fund from which Washington has borrowed and spent $2 trillion, leaving non-marketable IOUs in the place of the Social Security payroll tax revenues that Washington raided in order to fund its wars and current operations.

Instead, influenced by neoconservative warmongers who advocated America using its “sole superpower” status to establish hegemony over the world, Washington let hubris and arrogance run away with it. The consequence was that Washington destroyed its soft power with lies and war crimes, only to find that its military power was insufficient to support its occupation of Iraq, its conquest of Afghanistan, and its financial imperialism.

Now seen universally as a lawless warmonger and a nuisance, Washington’s soft power has been squandered. With its influence on the wane, Washington has become more of a bully. In response, the rest of the world is isolating Washington.

The prime minister of India, Manmohan Singh, recently declared China and Russia to be India’s “most important partners” with whom India shares “common strategic interests.” Prime Minister Singh said: “ India and Russia have always had a convergence of views on global and regional issues, and we value Russia’s perspective on international developments of mutual interest.”

India joined China in expressing concerns about the Federal Reserve’s practice of printing money in order to cover Washington’s vast red ink. The BRICS (Brazil, Russia, India, China, South Africa) are taking steps to create their own method of settling trade accounts in order to protect themselves from the looming dollar implosion,

China has forcefully called for a “de-Americanized world.” After watching the “superpower” offshore a large part of its GDP to China and then add to the diminished tax base the burden of $6 trillion in wars that brought no booty and served no US interest, China has concluded that American power is spent. The London Telegraph thinks “it is only a matter of time before the renminbi replaces the dollar as the primary currency for trading commodities and resources.”

The Obama regime attempted to attack Syria based on the sort of lies that the Bush regime used to invade Iraq, only to be slapped down by the British Parliament and Russian government. This rebuke was followed by the childishness of the government shutdown and threat of default. Consequently, the Washington morons have lost their monopoly on economic and political leadership. A few days ago the British government announced a historic agreement that permits British investors direct access to China’s markets and allows Chinese banks to expand their operations in Great Britain.

In Australia, the US dollar will no longer be used as the currency in which to settle the Australian trade accounts with China. Instead of dollars, trade will be settled in the Chinese currency.

Washington served as cheerleader, as did most economists and libertarians, while US corporations, greedy for short-term profits and executive bonuses, offshored US industry and manufacturing, calling it free trade. The obvious and predicted result is that China’s demand for resources needed to fuel its industrial and manufacturing power now dominates markets. This means that the US dollar is being displaced as world currency. The only market that America dominates is the market for financial fraud.

When industrial, manufacturing, and tradeable professional service jobs are offshored, they take US GDP and tax base with them. The foreign country gets the benefit of the relocated economic activity. Due to the revenues lost from jobs offshoring, there is a large gap between federal revenues and federal expenditures. As Washington’s irresponsible behavior has raised so many doubts about the dollar’s value and the government’s commitment to stand behind its massive debt, foreign countries with trade surpluses with the US are less and less willing to recycle those surpluses into the purchase of US Treasury debt.

Today the two largest holders of US Treasury debt are not investors or even foreign central banks. The two largest holders are the Federal Reserve and the Social Security Trust Fund.

As for those $6 trillion wars, that’s to pay for national defense to protect us from women, children, and village elders in far away countries devoid of air forces and navies, and to provide those recycled taxpayer monies from the military/security complex that find their way into political contributions.

The Wall Street gangsters sighed for relief over the last minute debt ceiling agreement. This shows how short-term Wall Street’s outlook is. All the October agreement did was to push off the crisis to January and February. The “debt ceiling agreement” did not produce a new debt ceiling that would last beyond February, and it did not resolve the large difference between federal revenues and expenditures. In other words, the can was again kicked down the road. A repeat of the October fiasco won’t play well.

Obamacare is causing the premiums on private insurance polices to rise substantially, almost doubling in some situations unless people move to the uncertain exchanges, and Obamacare’s raid on Medicare payroll tax revenues has resulted in a cut in Medicare payments to health care providers. The result is a further reduction in consumer discretionary income and a further drop in the economy.

This in turn means a larger federal budget deficit and the need for the Federal Reserve to purchase more debt.

Another reason the Federal Reserve is faced with increasing, not tapering, quantitative easing (money printing) is the decline in foreign purchases of US Treasury bills, notes, and bonds. As the instruments pay interest that is less than the rate of inflation, holding Treasury debt makes no sense when the dollar’s value and the potential of default are open questions.

According to reports, not only are foreign governments, such as China, ceasing to buy US Treasury debt, China has started to sell off its holdings, substituting gold in the place of US Treasury debt.

This means that the bonds must be purchased by the Fed or interest rates will rise as the increased supply of bonds on the market drives down bond prices. The only way the Fed can purchase a larger supply of bonds is by printing more money, that is, by more quantitative easing.

With the world moving away from using the dollar to settle international accounts, as the Fed prints more dollars the rate at which foreign holders of dollar assets sell off their holdings will rise.

To get out of dollars requires that the dollar proceeds from selling Treasuries, US stocks and US real estate be sold in the currency markets. The selling of dollars drives down the exchange value of the US dollar and results in rising US inflation. The Fed can print money with which to purchase Treasury debt, but it cannot print foreign currencies with which to purchase dollars.

The decline in the dollar’s exchange value and the domestic inflation that results will force the Fed to stop printing. What then covers the gap between revenues and expenditures? The likely answer is private pensions and any other asset that Washington can get its hands on.

Initially, private pensions will be taxed at a rate to recover the tax-free accumulation in the pensions. The second year a national emergency will be used to confiscate some share of pensions. Those relying on the pensions will find themselves with less income. Consumer spending will decline. The economy will worsen. The deficit will widen.

You can see where this is going, and there seems to be no way out. Policymakers, economists, and corporation executives are in denial about the adverse effects of offshoring, which they still, despite all the evidence, maintain is good for the economy. So nothing will be done about offshoring. Republicans will blame the budget deficit on welfare and entitlements, and if those are cut consumer spending will decline further, widening the budget deficit. Inflation will rise as incomes fall, and social cohesion will break down.

Now you know why Homeland Security purchased 1.6 billion rounds of ammunition, enough ammunition to fight the Iraq war for 12 years, has its own para-military force and 2,700 tanks. If you think the “terrorist threat” in America warrants a domestic armed force of this size, you are out of your mind. This force has been assembled to deal with starving and homeless people in the streets of America.

September employment report: According to the Bureau of Labor Statistics (BLS), September brought 148,000 new jobs, enough to keep up with population growth but not reduce the unemployment rate. Moreover, John Williams (shadowstats.com) says that one-third of these jobs, or 50,000 per month on average, are phantom jobs produced by the birth-death model that during difficult economic times overestimates the number of new jobs from business startups and underestimates job losses from business failures.

The BLS reports that 22,000 of September’s jobs were new hires by state governments, which seems odd in view of the ongoing state budgetary difficulties.

In the private sector, wholesale and retail trade produced 36,900 new jobs, which seems odd in light of the absence of growth in real median family income and real retail sales.

Transportation and warehousing produced 23,400 new jobs, concentrated in transit and ground passenger transportation. This also seems odd unless the price of gasoline and pinched budgets are forcing people onto public transportation.

Professional and business services accounted for 32,000 jobs of which 63% are temporary help jobs.

So here you have the job picture that the presstitutes, hyping “the jobs gain,” don’t tell you. The scary part of the September job report is that the usual standby, the category of waitresses and bartenders, which has accounted for a large part of every reported jobs gain since I began reporting the monthly statistics, shows job loss. Seven thousand one hundred waitresses and bartenders lost their jobs in September. If this figure is not a fluke, it is bad news. It signals that fewer Americans can afford to eat and drink out.

The unemployment rate that is reported is the rate that does not count as unemployed discouraged workers who are unable to find jobs and cease to look. This favored rate, the darling of the regime in power, the presstitutes, and Wall Street, also is not adjusted for the category of “involuntary part-time workers,” those whose hours have been cut back or because they are unable to find a full-time job. Obamacare, as is widely reported, is causing employers to shift their work forces from full time to part time in order to avoid costs associated with Obamacare. The BLS places the number of involuntary part-time workers at 7,900,000.

The announced 7.2% unemployment rate is a meaningless number. The rate can decline for no other reason than people unable to find jobs drop out of the work force. You are not counted in the work force if you are discouraged about finding a job and no longer look for a job.

The phenomena of discouraged workers shows up in the measure of the labor force participation rate, which has declined in the 21st century. The opportunities for American labor are so restricted that a rising percentage of the working age population have given up looking for jobs.

Yet, the Obama regime, the Wall Street gangsters, and the pressitute media tell us how much better the economic situation is becoming as more small businesses close, as memberships decline in golf clubs, as more university graduates return home to live with their parents, who are drawing down their savings to live, as Fed Chairman Bernanke has made it impossible for them to live on interest payments on their savings.

According to the US census bureau, real median household income in 2012 was $51,017, down 9% from $56,080 in 1999, 13 years ago. In contrast, annual compensation in 2012 for US CEOs broke all records. Two CEOs were paid more than $1 billion, and the worst paid among the top ten took home $100 million. When the presstitutes speak of economic recovery, they mean recovery for the one percent.

America is in the toilet, and the rest of the world knows it. But the neocons who rule in Washington and their Israeli ally are determined that Washington start yet more wars to create lebensraum for Israel.

Early in the 21st century the liberal Democrat Senator from New York, Chuck Schumer, and I coauthored an article in the New York Times about the adverse effects on the US economy of jobs offshoring. The article caused a sensation. The Brookings Institution in Washington quickly convened a conference which was covered by C-SPAN. C-SPAN rebroadcast the conference several times. During the conference I said that if jobs offshoring continued, the US would be a third world economy in 20 years.

Wall Street quickly shut up Senator Schumer, but I am sticking by my forecast. Indeed, I think we are already there.

Friday, September 6, 2013

But Syria-sly folks...

 

And don't forget, "if they cross this line" and "I never gave them a line to cross--the world did."

He's nuts, get rid of him.

Saturday, August 31, 2013

America Totally Discredited

 Paul Craig Roberts
August 31, 2013

A foolish President Obama and moronic Secretary of State Kerry have handed the United States government its worst diplomatic defeat in history and destroyed the credibility of the Office of the President, the Department of State, and the entire executive branch. All are exposed as a collection of third-rate liars.

Intoxicated with hubris from past successful lies and deceptions used to destroy Iraq and Libya, Obama thought the US “superpower,” the “exceptional” and “indispensable” country, could pull it off again, this time in Syria.

But the rest of the world has learned to avoid Washington’s rush to war when there is no evidence. A foolish Obama was pushed far out on the limb by an incompetent and untrustworthy National Security Advisor, Susan Rice, and the pack of neoconservatives that support her, and the British Parliament cut the limb off.

What kind of fool would put himself in that vulnerable position?

Now Obama stands alone, isolated, trying to back away from his threat to attack without authorization from anyone–not from the UN, not from NATO, not from Congress who he ignored–a sovereign country. Under the Nuremberg Standard military aggression is a war crime. Washington has until now got away with its war crimes by cloaking them in UN or NATO approval. Despite these “approvals,” they remain war crimes.

But his National Security Advisor and the neocon warmongers are telling him that he must prove that he is a Real Man who can stand alone and commit war crimes all by himself without orchestrated cover from the UN or NATO or a cowardly US Congress. It is up to Obama, they insist, to establish for all time that the President of the United States is above all law. He, and he alone is the “decider,” the Caesar, who determines what is permissible. The Caesar of the “sole superpower” must now assert his authority over all law or Washington’s hegemony over the world is lost.

As I noted in an earlier column today, if Obama goes it alone, he will be harassed for the rest of his life as a war criminal who dares not leave the US. Indeed, a looming economic collapse could so alter the power and attitude of the United States that Obama could find himself brought to justice for his war crimes.

Regardless, the United States government has lost its credibility throughout the world and will never regain it, unless the Bush and Obama regimes are arrested and put on trial for their war crimes.

Obama’s destruction of US credibility goes far beyond diplomacy. It is likely that this autumn or winter, and almost certainly in 2014, the US will face severe economic crisis.

The long-term abuse of the US dollar’s reserve currency role by the Federal Reserve and US Treasury, the never-ending issuance of new debt and printing of dollars to finance it, the focus of US economic policy on bailing out the “banks too big to fail” regardless of the adverse impact on domestic and world economies and holders of US Treasury debt, the awaiting political crisis of the unresolved deficit and debt ceiling limit that will greet Congress’ return to Washington in September, collapsing job opportunities and a sinking economy all together present the government in Washington with a crisis that is too large for the available intelligence, knowledge, and courage to master.

When the proverbial hits the fan, the incompetent and corrupt Federal Reserve and the incompetent and corrupt US Treasury will have no more credibility than Obama and John Kerry.

The rest of the world–especially Washington’s bullied NATO puppet states–will take great delight in the discomfort of “the world’s sole superpower” that has been running on hubris ever since the Soviet collapse.

The world is not going to bail out Washington, now universally hated, with currency swaps, more loans, and foreign aid. Americans are going to pay heavily for their negligence, their inattention, their unconcern, and their ignorant belief that nothing can go wrong for them and that anything that does is temporary.

Two decades of jobs offshoring has left the US with a third world labor force employed in lowly paid domestic nontradable services, a workforce comparable to India’s of 40 years ago. Already the “world’s sole superpower” is afflicted with a large percentage of its population dependent on government welfare for survival. As the economy closes down, the government’s ability to meet the rising demands of survival diminishes. The rich will demand that the poor be sacrificed in the interest of the rich. And the political parties will comply.

Is this the reason that Homeland Security, a Nazi Gestapo institution, now has a large and growing para-military force equipped with tanks, drones, and billions of rounds of ammunition?

How long will it be before American citizens are shot down in their streets by “their” government as occurs frequently in Washington’s close allies in Egypt, Turkey, Bahrain?

Americans have neglected the requirements of liberty. Americans are so patriotic and so gullible that all the government has to do is to wrap itself in the flag, and the people, or too many of them, believe whatever lie the government tells. And the gullible people will defend the government’s lie to their death, indeed, to the death of the entire world.

If Americans keep believing the government’s lies, they have no future. If truth be known, Americans have already lost a livable future. The neocons’ “American Century” is over before it begun.

I have heard from educated and aware friends that the presstitute media on the evening news are beating the drums for war. This shows what paid whores the US media is and their total disconnect from reality. Anyone who wastes their time on the US media is a brainwashed idiot, a danger to humanity.

Is the White House idiot going to be a victim of his own careless presidential appointments?

Does he have no one to tell him how to escape the dilemma his moronic Secretary of State and National Security Advisor have put him in? Someone needs to tell the WH Fool that he must say that he accepts the conclusion of the world community that there is not sufficient evidence for launching a military attack on Syria and killing even more people than were killed in the alleged, but unproven, chemical attack, and that he awaits further and better evidence.

God help the moron and the unfortunate country that the fool represents.

Thursday, August 29, 2013

Putin Orders Massive Strike Against Saudi Arabia If West Attacks Syria

god damn.

~~~~~~~~~~~

Posted by EU Times on Aug 27th, 2013

A grim “urgent action memorandum” issued today from the office of President Putin to the Armed Forces of the Russian Federation is ordering a “massive military strike” against Saudi Arabia in the event that the West attacks Syria.

According to Kremlin sources familiar with this extraordinary “war order,” Putin became “enraged” after his early August meeting with Saudi Prince Bandar bin Sultan who warned that if Russia did not accept the defeat of Syria, Saudi Arabia would unleash Chechen terrorists under their control to cause mass death and chaos during the Winter Olympics scheduled to be held 7-23 February 2014 in Sochi, Russia.

Lebanese newspaper As-Safir confirmed this amazing threat against Russia saying that Prince Bandar pledged to safeguard Russia’s naval base in Syria if the Assad regime is toppled, but he also hinted at Chechen terrorist attacks on Russia’s Winter Olympics in Sochi if there is no accord by stating: “I can give you a guarantee to protect the Winter Olympics next year. The Chechen groups that threaten the security of the games are controlled by us.”

Prince Bandar went on to say that Chechens operating in Syria were a pressure tool that could be switched on an off. “These groups do not scare us. We use them in the face of the Syrian regime but they will have no role in Syria’s political future.”

London’s The Telegraph News Service further reported today that Saudi Arabia has secretly offered Russia a sweeping deal to control the global oil market and safeguard Russia’s gas contracts, if the Kremlin backs away from the Assad regime in Syria, an offer Putin replied to by saying “Our stance on Assad will never change. We believe that the Syrian regime is the best speaker on behalf of the Syrian people, and not those liver eaters” [Putin said referring to footage showing a Jihadist rebel eating the heart and liver of a Syrian soldier HERE], and which Prince Bandar in turn warned that there can be “no escape from the military option” if Russia declines the olive branch.




Critical to note, and as we had previously reported on in our 28 January 2013 report “Obama Plan For World War III Stuns Russia,” the Federal Security Services (FSB) confirmed the validity of the released hacked emails of the British based defence company, Britam Defence that stunningly warned the Obama regime was preparing to unleash a series of attacks against both Syria and Iran in a move Russian intelligence experts warned could very well cause World War III.

According to this FSB report, Britam Defence, one of the largest private mercenary forces in the world, was the target of a “massive hack” of its computer files by an “unknown state sponsored entity” this past January who then released a number of critical emails between its top two executives, founder Philip Doughty and his Business Development Director David Goulding.

The two most concerning emails between Doughty and Goulding, this report says, states that the Obama regime has approved a “false flag” attack in Syria using chemical weapons, and that Britam has been approved to participate in the West’s warn on Iran, and as we can read:

Email 1: Phil, We’ve got a new offer. It’s about Syria again. Qataris propose an attractive deal and swear that the idea is approved by Washington. We’ll have to deliver a CW (chemical weapon) to Homs (Syria), a Soviet origin g-shell from Libya similar to those that Assad should have. They want us to deploy our Ukrainian personnel that should speak Russian and make a video record. Frankly, I don’t think it’s a good idea but the sums proposed are enormous. Your opinion? Kind regards David

Email 2: Phil, Please see attached details of preparatory measures concerning the Iranian issue. Participation of Britam in the operation is confirmed by the Saudis.

With the events now spiraling out of control in Syria, and London’s Independent News Service now reporting that Prince Bandar is “pushing for war,” Russian foreign ministry spokesman Alexander Lukashevich further warned the West today by stating, “Attempts to bypass the Security Council, once again to create artificial groundless excuses for a military intervention in the region are fraught with new suffering in Syria and catastrophic consequences for other countries of the Middle East and North Africa.

Heedless of Russian warnings which have fallen on deaf ears, however, British Prime Minister David Cameron this morning recalled the British Parliament to vote on attacking Syria as the Obama regime abruptly cancelled their meeting with Russia scheduled for tomorrow on finding a path to peace for Syria, and the West begins its plans to attack the Syrian nation “within days.”

As Syria itself has warned that should it be attacked by the West there will be “global chaos,” the Western peoples themselves have not been told of the fact that on 17 May 2013, Putin ordered Russian military forces to “immediately move” from Local War to Regional War operational status and to be “fully prepared” to expand to Large-Scale War should either the US or EU enter into the Syrian Civil War, a situation they are still in at this very hour.

With Putin’s previous order, and as we had reported on in our 17 May report “Russia Issues “All-Out War” Alert Over Syria,” and now combined with his new ordering of massive retaliatory strikes against Saudi Arabia, any attack on Syria is viewed by Russia as being an attack on itself.

And as we had previously explained in great detail, the fight over Syria, being led by Saudi Arabia and Qatar and their lap-dog Western allies, has but one single objective: To break Russia’s hold on the European Union natural gas market which a pipeline through Syria would accomplish, and as reported by London’s Financial Times News Service this past June:


“The tiny gas-rich state of Qatar has spent as much as $3bn over the past two years supporting the rebellion in Syria, far exceeding any other government, but is now being nudged aside by Saudi Arabia as the prime source of arms to rebels.

The cost of Qatar’s intervention, its latest push to back an Arab revolt, amounts to a fraction of its international investment portfolio. But its financial support for the revolution that has turned into a vicious civil war dramatically overshadows western backing for the opposition.

Qatar [also] has proposed a gas pipeline from the Gulf to Turkey in a sign the emirate is considering a further expansion of exports from the world’s biggest gasfield after it finishes an ambitious programme to more than double its capacity to produce liquefied natural gas (LNG).”

And in what is, perhaps, the most unimaginable cause to start World War III over Syria was noted by Russian Foreign Ministry spokesman, Aleksandr Lukashevich who said this past week: “We’re getting more new evidence that this criminal act was of a provocative nature,” he stressed. “In particular, there are reports circulating on the Internet, in particular that the materials of the incident and accusations against government troops had been posted for several hours before the so-called attack. Thus, it was a pre-planned action.”

For the West to have so sloppily engineered yet another “false flag” attack to justify a war where they posted the videos of this so-called chemical weapons attack a full day before it was said to occur is the height of arrogance and disdain, but which their sleep-walking citizens, yet again, will fall for as they have done so many times in the past.

Source

U.S. Will Take Action In Syria Regardless of Support From Allies or U.N.

Wednesday, August 28, 2013
by Madison Ruppert
Activist Post

In a statement that brings to memory the attack on Iraq, the United States said that it will take action against Syria even if allies and the United Nations do not support the operation.

The attack would be a response to alleged chemical weapons use. Despite the lack of published findings by the UN investigators, Western nations have been calling for a response to the alleged attack and one report claimed that U.S., Israeli and Jordanian commandos are already on the ground in Syria.

Today the Syrian government called for an immediate UN investigation into three new alleged attacks, reportedly carried out by the rebels.

Yet the United States’ rhetoric has become increasingly bellicose today, with the Associated Press reporting that the U.S. will simply ignore the backing – or lack thereof – of the UN and allied nations.

Note: The Washington Post changed the AP story entirely. Here is the original version posted on another site.

On Wednesday, Britain proposed a draft resolution that would authorize a military operation against Syria but that effort was stymied by the continued opposition of Russia.

The Associated Press rightly notes that if the draft resolution was put to a vote, it “would almost certainly be vetoed by Russia and China, which have blocked past attempts to sanction President Bashar Assad’s regime.”

Indeed, Russia and China have presented the most significant obstacle to Western intervention in Syria for quite some time now.

Marie Harf, deputy spokeswoman for the State Department, said that the U.S. cannot be delayed in responding to the alleged attack by Russia’s opposition in the United Nations.

Russia maintained that a military strike on Syria without the approval of the UN Security Council would be a “crude violation” of international law, something which doesn’t seem to bother the U.S.

In the United States, “No War With Syria” rallies are scheduled for Saturday, August 31 in cities across the United States.

“The movement in no way support the actions of the Assad regime, but we recognize that US intervention will instigate more violence and suffering in Syria,” organizer Nick Bernabe said in a statement.

“As the U.S. is already hurting from a recession and perpetual wars, becoming involved in Syria will only create further destabilization in the Middle East and strip the people of the United States of desperately needed resources,” he added.

Opposition has also been voiced by former Congressman Dennis Kucinich, who said that a strike on Syrian President Bashar al-Assad’s forces would mean the U.S. was supporting al-Qaeda.

Wednesday, May 8, 2013

And Then There Was One: Imperial Gigantism and the Decline of Planet Earth

Tuesday, May 7, 2013 by TomDispatch.com
by Tom Engelhardt



It stretched from the Caspian to the Baltic Sea, from the middle of Europe to the Kurile Islands in the Pacific, from Siberia to Central Asia. Its nuclear arsenal held 45,000 warheads, and its military had five million troops under arms. There had been nothing like it in Eurasia since the Mongols conquered China, took parts of Central Asia and the Iranian plateau, and rode into the Middle East, looting Baghdad. Yet when the Soviet Union collapsed in December 1991, by far the poorer, weaker imperial power disappeared.(Artist: Christopher Zacharow)

And then there was one. There had never been such a moment: a single nation astride the globe without a competitor in sight. There wasn’t even a name for such a state (or state of mind). “Superpower” had already been used when there were two of them. “Hyperpower” was tried briefly but didn’t stick. “Sole superpower” stood in for a while but didn’t satisfy. “Great Power,” once the zenith of appellations, was by then a lesser phrase, left over from the centuries when various European nations and Japan were expanding their empires. Some started speaking about a “unipolar” world in which all roads led... well, to Washington.

To this day, we’ve never quite taken in that moment when Soviet imperial rot unexpectedly -- above all, to Washington -- became imperial crash-and-burn. Left standing, the Cold War's victor seemed, then, like an empire of everything under the sun. It was as if humanity had always been traveling toward this spot. It seemed like the end of the line.

The Last Empire?

After the rise and fall of the Assyrians and the Romans, the Persians, the Chinese, the Mongols, the Spanish, the Portuguese, the Dutch, the French, the English, the Germans, and the Japanese, some process seemed over. The United States was dominant in a previously unimaginable way -- except in Hollywood films where villains cackled about their evil plans to dominate the world.

As a start, the U.S. was an empire of global capital. With the fall of Soviet-style communism (and the transformation of a communist regime in China into a crew of authoritarian “capitalist roaders”), there was no other model for how to do anything, economically speaking. There was Washington’s way -- and that of the International Monetary Fund and the World Bank (both controlled by Washington) -- or there was the highway, and the Soviet Union had already made it all too clear where that led: to obsolescence and ruin.

In addition, the U.S. had unprecedented military power. By the time the Soviet Union began to totter, America's leaders had for nearly a decade been consciously using “the arms race” to spend its opponent into an early grave. And here was the curious thing after centuries of arms races: when there was no one left to race, the U.S. continued an arms race of one.

In the years that followed, it would outpace all other countries or combinations of countries in military spending by staggering amounts. It housed the world’s most powerful weapons makers, was technologically light years ahead of any other state, and was continuing to develop future weaponry for 2020, 2040, 2060, even as it established a near monopoly on the global arms trade (and so, control over who would be well-armed and who wouldn’t).

It had an empire of bases abroad, more than 1,000 of them spanning the globe, also an unprecedented phenomenon. And it was culturally dominant, again in a way that made comparisons with other moments ludicrous. Like American weapons makers producing things that went boom in the night for an international audience, Hollywood's action and fantasy films took the world by storm. From those movies to the golden arches, the swoosh, and the personal computer, there was no other culture that could come close to claiming such a global cachet.

The key non-U.S. economic powerhouses of the moment -- Europe and Japan -- maintained militaries dependent on Washington, had U.S. bases littering their territories, and continued to nestle under Washington’s “nuclear umbrella.” No wonder that, in the U.S., the post-Soviet moment was soon proclaimed “the end of history,” and the victory of “liberal democracy” or “freedom” was celebrated as if there really were no tomorrow, except more of what today had to offer.

No wonder that, in the new century, neocons and supporting pundits would begin to claim that the British and Roman empires had been second-raters by comparison. No wonder that key figures in and around the George W. Bush administration dreamed of establishing a Pax Americana in the Greater Middle East and possibly over the globe itself (as well as a Pax Republicana at home). They imagined that they might actually prevent another competitor or bloc of competitors from arising to challenge American power. Ever.

No wonder they had remarkably few hesitations about launching their incomparably powerful military on wars of choice in the Greater Middle East. What could possibly go wrong? What could stand in the way of the greatest power history had ever seen?

Assessing the Imperial Moment, Twenty-First-Century-Style

Almost a quarter of a century after the Soviet Union disappeared, what’s remarkable is how much -- and how little -- has changed.

On the how-much front: Washington’s dreams of military glory ran aground with remarkable speed in Afghanistan and Iraq. Then, in 2007, the transcendent empire of capital came close to imploding as well, as a unipolar financial disaster spread across the planet. It led people to begin to wonder whether the globe’s greatest power might not, in fact, be too big to fail, and we were suddenly -- so everyone said -- plunged into a “multipolar world.”

Meanwhile, the Greater Middle East descended into protest, rebellion, civil war, and chaos without a Pax Americana in sight, as a Washington-controlled Cold War system in the region shuddered without (yet) collapsing. The ability of Washington to impose its will on the planet looked ever more like the wildest of fantasies, while every sign, including the hemorrhaging of national treasure into losing trillion-dollar wars, reflected not ascendancy but possible decline.

And yet, in the how-little category: the Europeans and Japanese remained nestled under that American “umbrella,” their territories still filled with U.S. bases. In the Euro Zone, governments continued to cut back on their investments in both NATO and their own militaries. Russia remained a country with a sizeable nuclear arsenal and a reduced but still large military. Yet it showed no signs of “superpower” pretensions. Other regional powers challenged unipolarity economically -- Turkey and Brazil, to name two -- but not militarily, and none showed an urge either singly or in blocs to compete in an imperial sense with the U.S.

Washington’s enemies in the world remained remarkably modest-sized (though blown to enormous proportions in the American media echo-chamber). They included a couple of rickety regional powers (Iran and North Korea), a minority insurgency or two, and relatively small groups of Islamist “terrorists.” Otherwise, as one gauge of power on the planet, no more than a handful of other countries had even a handful of military bases outside their territory.

Under the circumstances, nothing could have been stranger than this: in its moment of total ascendancy, the Earth’s sole superpower with a military of staggering destructive potential and technological sophistication couldn’t win a war against minimally armed guerillas. Even more strikingly, despite having no serious opponents anywhere, it seemed not on the rise but on the decline, its infrastructure rotting out, its populace economically depressed, its wealth ever more unequally divided, its Congress seemingly beyond repair, while the great sucking sound that could be heard was money and power heading toward the national security state. Sooner or later, all empires fall, but this moment was proving curious indeed.

And then, of course, there was China. On the planet that humanity has inhabited these last several thousand years, can there be any question that China would have been the obvious pick to challenge, sooner or later, the dominion of the reigning great power of the moment? Estimates are that it will surpass the U.S. as the globe’s number one economy by perhaps 2030.

Right now, the Obama administration seems to be working on just that assumption. With its well-publicized “pivot” (or “rebalancing”) to Asia, it has been moving to “contain” what it fears might be the next great power. However, while the Chinese are indeed expanding their military and challenging their neighbors in the waters of the Pacific, there is no sign that the country’s leadership is ready to embark on anything like a global challenge to the U.S., nor that it could do so in any conceivable future. Its domestic problems, from pollution to unrest, remain staggering enough that it’s hard to imagine a China not absorbed with domestic issues through 2030 and beyond.

And Then There Was One (Planet)

Militarily, culturally, and even to some extent economically, the U.S. remains surprisingly alone on planet Earth in imperial terms, even if little has worked out as planned in Washington. The story of the years since the Soviet Union fell may prove to be a tale of how American domination and decline went hand-in-hand, with the decline part of the equation being strikingly self-generated.

And yet here’s a genuine, even confounding, possibility: that moment of “unipolarity” in the 1990s may really have been the end point of history as human beings had known it for millennia -- the history, that is, of the rise and fall of empires. Could the United States actually be the last empire? Is it possible that there will be no successor because something has profoundly changed in the realm of empire building? One thing is increasingly clear: whatever the state of imperial America, something significantly more crucial to the fate of humanity (and of empires) is in decline. I’m talking, of course, about the planet itself.

The present capitalist model (the only one available) for a rising power, whether China, India, or Brazil, is also a model for planetary decline, possibly of a precipitous nature. The very definition of success -- more middle-class consumers, more car owners, more shoppers, which means more energy used, more fossil fuels burned, more greenhouse gases entering the atmosphere -- is also, as it never would have been before, the definition of failure. The greater the “success,” the more intense the droughts, the stronger the storms, the more extreme the weather, the higher the rise in sea levels, the hotter the temperatures, the greater the chaos in low-lying or tropical lands, the more profound the failure. The question is: Will this put an end to the previous patterns of history, including the until-now-predictable rise of the next great power, the next empire? On a devolving planet, is it even possible to imagine the next stage in imperial gigantism?

Every factor that would normally lead toward “greatness” now also leads toward global decline. This process -- which couldn’t be more unfair to countries having their industrial and consumer revolutions late -- gives a new meaning to the phrase “disaster capitalism.”

Take the Chinese, whose leaders, on leaving the Maoist model behind, did the most natural thing in the world at the time: they patterned their future economy on the United States -- on, that is, success as it was then defined. Despite both traditional and revolutionary communal traditions, for instance, they decided that to be a power in the world, you needed to make the car (which meant the individual driver) a pillar of any future state-capitalist China. If it worked for the U.S., it would work for them, and in the short run, it worked like a dream, a capitalist miracle -- and China rose.

It was, however, also a formula for massive pollution, environmental degradation, and the pouring of ever more fossil fuels into the atmosphere in record amounts. And it's not just China. It doesn’t matter whether you’re talking about that country's ravenous energy use, including its possible future “carbon bombs,” or the potential for American decline to be halted by new extreme methods of producing energy (fracking, tar-sands extraction, deep-water drilling). Such methods, however much they hurt local environments, might indeed turn the U.S. into a “new Saudi Arabia.” Yet that, in turn, would only contribute further to the degradation of the planet, to decline on an ever-larger scale.

What if, in the twenty-first century, going up means declining? What if the unipolar moment turns out to be a planetary moment in which previously distinct imperial events -- the rise and fall of empires -- fuse into a single disastrous system?

What if the story of our times is this: And then there was one planet, and it was going down.

Monday, March 11, 2013

Is Obama the Worst US President Ever

I Ain't Joking
by RON RIDENOUR


Yes, I mean it: the worst ever!

We’ve had James Monroe and his doctrine of supremacy over Latin America. We’ve had Theodore Roosevelt and his invasion of Cuba; Nixon, Reagan, Bush-Bush and their mass murder, and all the war crimes and genocide committed by most presidents. Yes, but we never had a black man sit on the white throne of imperialism committing war crimes.

And there he is, murdering even more people in Afghanistan than Bush, backing coups in Latin America, continuing to undermine Iraq, sending drones, mercenaries, saboteurs to Pakistan, Somalia, Yemen, Uganda, Libya and now Syria. He bores deeper into several African countries, rich with oil and minerals, than his white predecessors, Democrats and Republicans. The US is eliminating the few secular governments that there were in the Middle East and North Africa.

Obama is busier fulfilling total USAmerican world domination than even Bush, Reagan and Nixon.

He is the president for US corporations. With his black Kenyan roots he can walk into Africa’s rich parlors and black “White Houses” and communicate with these butchers better than any of the capitalist class’ earlier presidents, all of them white.

Obama is worse than them, precisely because he betrays all his black “brothers and sisters” in the US, all except a few rich and opportunistic ones. He was the hope; he would improve their lot, and that of the poor, the working people. But he has done nothing of the sort. Instead, he takes from the poor and middle class  to give to the rich, the worst criminals on Wall Street, the war industry, the oil and mineral industries. Virtually all of his economic advisors hail from Wall Street and in many cases were central figures in the enormous economic crimes of the last few years that have stolen hundreds of billions, even trillions of dollars from the poor and the middle class. His top militarists, Homeland Security thugs, and CIA killers are some of those that Bush used — most of them Republicans.

As commander in chief, he has had the national hero Bradley Manning tortured. He seeks to destroy Wikileaks and its founder Julian Assange. I gave a speech in front of the US embassy in Copenhagen when Obama was to receive the Nobel Peace Prize, for Christ Sake

Here are excerpts:
“We live in a state of permanent war and Obama continues this system, as he must, because no president of the USA can significantly moderate or abolish that brutal system. It is of no consequence what one’s color, gender or sexual preference is. Changing or abolishing imperialism can only occur when gigantic numbers of productive and service workers wake up and fight for such. And we must do so with our own political parties not the dominating capitalist parties, Democratic or Republican, or in Denmark with the current array of political parties.

Tomorrow this black president for capitalism and its wars-for-profit will receive the so-called Nobel Peace Prize. This is an absurd hypocrisy, even more so as it occurs just days after he announced sending 30,000 more murdering US troops to Afghanistan where the resistance forces, fighting for their country’s legitimate sovereignty, will righteously receive them with weaponry.

The media fail to mention that this is the second time Obama has sent additional troops to Afghanistan. Within his first 100 days in office, he ordered an additional 17,000 troops to supplement the 38,000 then present. Soon, there will be nearly 100,000 US troops and some 40,000 more from other countries, including the Banana Republic of Denmark.

While Bush was tied down in Afghanistan and Iraq, Obama takes up imperialism’s demand for blood in Latin America. The nine ALBA (Bolivarian Alliance of the Peoples of Latin America) countries have formed a cooperative trade, political and social network in the past five years and are making deep inroads into capitalism’s territory. Bush was powerless to combat this development which started by Cuba and Venezuela, in 2004. But the new “black” president saw a weak link in Honduras where the oligarchy and the thoroughly US-dominated military organized a coup d´etat with Obama-backed generals assisting. Then came the illegal elections a week ago, held under an armed curfew, which Obama declared to be legitimate even as the real president (Manuel Zelaya) and his patriotic supporters in the hundreds of thousands sought to have him reinstated.

Since that speech, Obama also supported the removal of progressive Catholic priest and President Fernando Lugo in Paraguay.

The first “black” president ran on a peace ticket, a position which he has reversed. Nor has he significantly fulfilled any other of his somewhat progressive campaign promises, such as closing down Guantanamo’s torture factory.

“I Have a Dream Drone” has become Obama’s mantra.

Thursday, July 19, 2012

War on All Fronts

by PAUL CRAIG ROBERTS
 
The Russian government has finally caught on that its political opposition is being financed by the US taxpayer-funded National Endowment for Democracy and other CIA/State Department fronts in an attempt to subvert the Russian government and install an American puppet state in the geographically largest country on earth, the one country with a nuclear arsenal sufficient to deter Washington’s aggression.

Just as earlier this year Egypt expelled hundreds of people associated with foreign-funded “non-governmental organizations” (NGOs) for “instilling dissent and meddling in domestic policies,”  the Russian Duma (parliament) has just passed a law that Putin is expected to sign that requires political organizations that receive foreign funding to register as foreign agents.  The law is based on the US law requiring the registration of foreign agents.

Much of the Russian political opposition consists of foreign-paid agents, and once the law passes leading elements of the Russian political opposition will have to sign in with the Russian Ministry of Justice as foreign agents of Washington.  The Itar-Tass News Agency reported on July 3 that there are about 1,000 organizations in Russia that are funded from abroad and engaged in political activity.  Try to imagine the outcry if the Russians were funding 1,000 organizations in the US engaged in an effort to turn America into a Russian puppet state. (In the US the Russians would find a lot of competition from Israel.)

The Washington-funded Russian political opposition masquerades behind “human rights” and says it works to “open Russia.”  What the disloyal and treasonous Washington-funded Russian “political opposition” means by “open Russia” is to open Russia for brainwashing by Western propaganda, to open Russia to economic plunder by the West, and to open Russia to having its domestic and foreign policies determined by Washington.

“Non-governmental organizations” are very governmental. They have played pivotal roles in both financing and running the various “color revolutions” that have established American puppet states in former constituent parts of the Soviet Empire. NGOs have been called “coup d’etat machines,” and they have served Washington well in this role. They are currently working in Venezuela against Chavez.

Of course, Washington is infuriated that its plans for achieving hegemony over a country too dangerous to attack militarily have been derailed by Russia’s awakening, after two decades, to the threat of being politically subverted by Washington-financed NGOs.  Washington requires foreign-funded organizations to register as foreign agents (unless they are Israeli funded). 

However, this fact doesn’t stop Washington from denouncing the new Russian law as “anti-democratic,” “police state,” blah-blah.  Caught with its hand in subversion, Washington calls Putin names. The pity is that most of the brainwashed West will fall for Washington’s lies, and we will hear more about “gangster state Russia.”

China is also in Washington’s crosshairs.  China’s rapid rise as an economic power is perceived in Washington as a dire threat. China must be contained. Obama’s US Trade Representative has been secretly negotiating for the last 2 or 3 years a Trans Pacific Partnership, whose purpose is to derail China’s natural economic leadership in its own sphere of influence and replace it with Washington’s leadership.

Washington is also pushing to form new military alliances in Asia and to establish new military bases in the Philippines, S. Korea, Thailand, Vietnam, Australia, New Zealand, and elsewhere.
Washington quickly inserted itself into disputes between China and Vietnam and China and the Philippines. Washington aligned with its former Vietnamese enemy in Vietnam’s dispute with China over the resource rich Paracel and Spratly islands and with the Philippines in its dispute with China over the resource rich Scarborough Shoal.

Thus, like England’s interference in the dispute between Poland and National Socialist Germany over the return to Germany of German territories that were given to Poland as World War I booty, Washington sets the stage for war.

China has been cooperative with Washington, because the offshoring of the US economy to China was an important component in China’s unprecedented high rate of economic development. American capitalists got their short-run profits, and China got the capital and technology to build an economy that in another 2 or 3 years will have surpassed the sinking US economy.  Jobs offshoring, mistaken for free trade by free market economists, has built China and destroyed America.

Washington’s growing interference in Chinese affairs has convinced China’s government that military countermeasures are required to neutralize Washington’s announced intentions to build its military presence in China’s sphere of influence.  Washington’s view is that only Washington, no one else, has a sphere of influence, and Washington’s sphere of influence is the entire world.
On July 14 China’s official news agency, Xinhua, said that Washington was interfering in Chinese affairs and making China’s disputes with Vietnam and the Philippines impossible to resolve.

It looks as if an over-confident US government is determined to have a three-front war: Syria, Lebanon, and Iran in the Middle East, China in the Far East, and Russia in Europe. This would appear to be an ambitious agenda for a government whose military was unable to occupy Iraq after nine years or to defeat the lightly-armed Taliban after eleven years, and whose economy and those of its NATO puppets are in trouble and decline with corresponding rising internal unrest and loss of confidence in political leadership.

Thursday, July 12, 2012

American Freefall

Misery Rising
by PAUL CRAIG ROBERTS

Washington has been at war since October, 2001. This war took a back seat when Bush concocted another excuse to order the invasion of Iraq in 2003, a war that went on without significant success for 8 years and has left Iraq in chaos with dozens more killed and wounded every day, a new strong man in place of the illegally executed former strongman, and the likelihood of the ongoing violence becoming civil war.

Upon his election, President Obama foolishly sent more troops to Afghanistan and renewed the intensity of that war, now in its eleventh year, to no successful effect.

These two wars have been expensive. According to estimates by Joseph Stiglitz and Linda Bilmes, when all costs are counted, the Iraq invasion cost US taxpayers $3 trillion dollars. Ditto for the Afghan war. In other words, the two gratuitous wars doubled the US public debt. This is the reason there is no money for Social Security, Medicare, Medicaid, food stamps, the environment, and the social safety net.

Americans got nothing out of the wars, but as the war debt will never be paid off, US citizens and their descendants will have to pay interest on $6,000 billion of war debt in perpetuity.

Not content with these wars, the Bush/Obama regime is conducting military operations in violation of international law in Pakistan, Yemen, and Africa, organized the overthrow by armed conflict of the government in Libya, is currently working to overthrow the Syrian government, and continues to marshall military forces against Iran.

Finding the Muslim adversaries insufficient for its energies and budget, Washington has encircled Russia with military bases and has begun the encirclement of China. Washington has announced that the bulk of its naval forces will be shifted to the Pacific over the next few years, and Washington is working to reestablish its naval base in the Philippines, construct a new one on a South Korean island, acquire a naval base in Viet Nam, and air and troop bases elsewhere in Asia.

In Thailand Washington is attempting to purchase with the usual bribes an air base used in the Vietnam war. There is opposition as the country does not wish to be drawn into Washington’ s orchestrated conflict with China. Downplaying the real reason for the airbase, Washington, according to Thai newspapers, told the Thai government that the base was needed for “humanitarian missions.” This didn’t fly, so Washington had NASA ask for the air base in order to conduct “weather experiments.” Whether this ruse is sufficient cover remains to be seen.

US Marines have been sent to Australia and elsewhere in Asia. To corral China and Russia (and Iran) is a massive undertaking for a country that is financially busted. With wars and bankster bailouts, Bush and Obama have doubled the US national debt while failing to address the disintegration of the US economy and rising hardships of US citizens.

The annual US budget deficit is adding to the accumulated debt at about $1.5 trillion per year with no prospect of declining. The financial system is broken and requires ongoing bailouts. The economy is busted and has been unable to create high-paying jobs, indeed any jobs. Despite years of population growth, payroll employment as of mid-2012 is the same as in 2005 and substantially below 2008. Yet, the government and financial presstitute media tell us that we have a recovery.

According to the US Bureau of Labor Statistics, employment in 2011 was only 1 million more than in 2002. As it takes about 150,000 new jobs each month to stay even with population growth, that leaves a decade long job deficit of 15 million jobs.

The US unemployment and inflation rates are far higher than reported. In previous columns I have explained, based on statistician John Williams’ work (shadowstats.com), the reasons that the government’s headline numbers are serious understatements.
 The headline (U3) unemployment rate of 8.2% counts no discouraged workers who have given up on finding a job. The government has a second unemployment rate (U6), seldom reported, which includes short-term discouraged workers. That rate is 15%. When the long-term discouraged workers are added in, the current US unemployment rate is 22%, a number closer to the unemployment rate of the Great Depression than to the unemployment rates of postwar recessions. (in fact, it's higher than all but 2 or 3 years during the Great Depression...





Changes in the way inflation is measured have destroyed the Consumer Price Index (CPI) as a measure of the cost of living. The new methodology is substitution based. If the price of an item in the index rises, a lower priced alternative takes its place. In addition, some price rises are labeled quality improvements whether they are or not and thus do not show up in the CPI. People still have to pay the higher price, but it is not counted as inflation.

Currently, the substitution-based rate of inflation is about 2%. However, when inflation is measured as the actual cost of living, the rate of inflation is 5%.

The Misery Index is the sum of the inflation and unemployment rates. The level of the current Misery Index depends on whether the new rigged measures are used, which understate the misery, or the former methodology that accurately measures it. Prior to the November 1980 election, the Misery Index hit 22%, which was one reason for Reagan’s victory over President Carter. Today if we use previous methodology, the Misery Index stands at 27%. But if we use the new rigged methodology, the Misery Index is 10%.

The understatement of inflation serves to boost Gross Domestic Product (GDP). GDP is calculated in current dollars. To be able to determine whether GDP rose because of price rises or because of increases in real output, GDP is deflated by the CPI. The higher the inflation rate, the less the growth in real output and vice versa. When the substitution based methodology is used to measure inflation, the US economy experienced real growth in the 21st century except for the sharp dip during 2008-2010.

However, if the cost-of-living based methodology is used, except for a short period during 2004, the US economy has experienced no real growth since 2000. The lack of employment and real GDP growth go together with the decline in real household median income. The growth in consumer debt substituted for the lack of income growth and kept the economy going until consumers exhausted their ability to take on more debt. With the consumer dead in the water, the outlook for economic recovery is poor.

Politicians and the Federal Reserve are making the outlook even worse. At a time of high unemployment and debt-stressed households, politicians at local, state, and federal levels are cutting back on government provision of health care, pensions, food stamps, housing subsidies and every other element of the social safety net. These cutbacks, of course, further reduce aggregate demand and the ability of incomestressed Americans to survive.

The Federal Reserve has interest rates so low that retirees and others living on their savings can earn nothing on their money. The interest rates paid on bank CDs and government and corporate bonds are lower than the rate of inflation. To live on interest income, a person has to purchase Greek, Spanish, or Italian bonds and run the risk of capital loss. The Federal Reserve’s policy of negative interest rates forces retirees to spend down their capital in order to live. In other words, the Fed’s policy is destroying personal savings as people are forced to spend their capital in order to cover living expenses.

In June the Federal Reserve announced that it was going to continue its policy of driving nominal interest rates even lower, this time focusing on long-term Treasury bonds. The Fed said it would be purchasing $400 billion of the Treasury’s 30-year bonds. Driving interest rates down means driving bond prices up. With 5-year Treasury bonds paying only seven-tenths of one percent and 10-year Treasuries paying only 1.6%, below even the official rate of inflation, Americans desperate for yield move into 30-year bonds currently paying 2.7%. However, the the high bond prices mean that the risk of capital loss is very high.

The Fed’s debt monetization, or a drop in the exchange value of the dollar as other countries move away from its use to settle their balance of payments, could set off inflation that would take interest rates out of the Fed’s control. As interest rates rise, bond prices fall.

In other words, bonds are now the bubble that real estate, stocks, and derivatives were. When this bubble pops, Americans will take another big hit to their remaining wealth.

It makes no sense to invest in long-term bonds at negative interest rates when the federal government is piling up debt that the Federal Reserve is monetizing and when other countries are moving away from the flood of dollars. The potential for a rising rate of inflation is high from debt monetization and from a drop in the dollar’s exchange value. Yet, bond fund portfolio managers have to follow the herd into longer term maturities or see their performance relative to their peers drop to the bottom of the rankings.

Some individual investors and foreign central banks, anticipating the dollar’s loss of value, are accumulating gold and silver bullion. Realizing the danger to the dollar and its policy from the rapid rise in the price of bullion during 2011, the Federal Reserve has arranged offsetting action. When the demand for physical bullion drives up the price, short sales of bullion in the paper market are used to drive the price back down. Similarly, when investors begin to flee Treasuries, thus causing interest rates to rise, J.P. Morgan and other dependencies of the Federal Reserve sell interest-rate swaps, thus offsetting the effect on interest rates of the bond sales. (Keep in mind that interest rates rise when bond prices fall and vice versa.)

The point of all this information is to establish that except for the 1 percent, the incomes and wealth of Americans are being cut back across the board. From 2002 through 2011 the economy lost 3.5 million manufacturing jobs. These jobs were replaced with lowerpaying waitress and bartender jobs (1,189,000), ambulatory health care service jobs (1,512,000) and social assistance jobs (578,000).

These replacement jobs in domestic services mean that on a net basis US consumer income was moved out of the country. Potential aggregate demand in the US dropped by the differences in pay in the job categories. Clearly and unambiguously, jobs offshoring lowered US disposable income and US GDP and, thereby, employment.

Despite the lack of an economic base, Washington’s hegemonic aspirations continue unabated. Other countries are amused at Washington’s unawareness. Russia, China, India, Brazil, and South Africa are forming an agreement to abandon the US dollar as the currency for international settlement between themselves.

On July 4 the China Daily reported: “Japanese politicians and prominent academics from China and Japan urged Tokyo on Tuesday to abandon its outdated foreign policy of leaning on the West and accept China as a key partner as important as the United States. The Tokyo Consensus, a joint statement issued at the end of the Beijing-Tokyo Forum, also called on both countries to expand trade and promote a free-trade agreement for China, Japan and South Korea. “

This means that Japan is in play.

The Chinese government, more intelligent than Washington, is responding to Washington’s military threats by enticing away Washington’s two key Asian allies. As the Chinese economy is now as large as the US and on far firmer footing, and as Japan now has more trade with China than with the US, the enticement is appealing.

Moreover, China is next door, and Washington is distant and drowning in its hubris. Washington, which flicked its middle finger to international law and to its own law and Constitution with its arrogance and gratuitous and illegal wars and with its assertion of the right to murder its own citizens and those of its allies, such as Pakistan, has made the United States a pariah state.

Washington still controls its bought-and-paid-for NATO puppets, but these puppet states are overwhelmed with derivative debt problems brought to them by Wall Street and by sovereign debt problems, some of which were covered up by Wall Street’s Goldman Sachs.

Europe is on the ropes and has no money with which to subsidize Washington’s wars of hegemony.

Washington is becoming an isolated and despised element of the world community. Washington has purchased Europe, Canada, Australia, the former Soviet state of Georgia (and almost Ukraine), and Columbia, and continues its effort to purchase the entire world, but sentiment is turning against the rising Gestapo state that has shown itself to be lawless, ruthless, and indifferent, even hostile, to human life and human rights.

A government, whose military was unable with the help of the UK to occupy Iraq after eight years and was forced to end the conflict by putting the “insurgents” on the US military payroll and to pay them to stop killing American troops, and a government whose military has been unable to subdue a few thousand lightly armed Taliban after 11 years, is over the top when it organizes war against Iran, Russia, and China.

The only prospect Washington has of prevailing in such an undertaking is first use of nuclear weapons, of catching its demonized opponents off guard by nuking them out of the blue. In other words, by the elimination of life on earth.

Is this Washington’s program revealed by the neoconservative warmonger, Bill Kristol, who had no shame to ask publicly: “What’s the good of nuclear weapons if you can’t use them?

Sunday, May 6, 2012

The Coming Economic Collapse Is More Real Than You Think



 David Seaman/Business Insider/5-5-2012

"Governments worldwide have borrowed 100 trillion last ten years. Defaults inevitable sometime soon. Means crash, hurting rich and poor," News Corporation CEO and Chairman Rupert Murdoch recently tweeted.

"Of course markets stay high with central banks printing huge sums, inflating everything except jobs," he had pointed out in a prior tweet.

And Rupert Murdoch isn't the only "elite" "insider" hinting at something unpleasant down the road if governments continue their spending (which they are doing, unabashedly).

Hedge funder David Einhorn recently opined over at Huffington Post: "I believe that stocks are depressed because there is a pervasive feeling that something awful is going to happen. What is this enormous tail-risk? It's the intersection of reckless fiscal policy with Jelly Donut monetary policy. There is a fear that our Fed Chairman is an academic willing to take great systemic risks in an experiment to prove out his thesis as to how we should have fought the last Great Depression."

And yes, the federal government really has been spending a LOT lately.

CBS News last year reported that the Obama administration has effected "the most rapid increase in the debt under any U.S. president," bringing us more than $4 trillion in fresh public debt since he took office. Is there some top-secret war being waged against an alien species on Mars?

No, the truth is far more mundane: hapless military excursions in the Middle East, declining revenues (due to declining economic growth), and outlandish police state expenses like a $2 billion data center in the Utah desert to spy on American citizens' online communications -- sadly this list explains much of our debt.

Automated data centers aren't exactly the best way to boost [human] employment, by the way.

Other debt icebergs, perhaps far more pernicious, lurk just below the surface: student loan debts have reportedly surpassed the $1 trillion mark, and with more than 1 in 2 new graduates unable to find gainful employment, this is a huge class of borrowers that appear less capable than ever of repaying their debts.

2012 should be interesting after the summer malaise subsides, giving way to real fear.