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  • Jose antonio primo de rivera

    "The other side, opposed to both employers and workmen, is the power of capitalism, the technique of finance-capitalism. If this is not true, then tell me, you who have far more experience than I have in such things: –how often have you had to go to the great credit houses to ask for economic aid, well aware that they charge you interest at the rate of 7 or 8 per cent, and equally well aware that this money they lend you does not belong to the institution that is lending it, but belongs to those who have deposited it and who are receiving 1,5 or 2 per cent interest themselves? This huge difference that they charge you for passing the money from one hand to another weighs jointly upon you and your workmen, who maybe are even now waiting round a corner to kill you.
    It is this finance-capital, then, which has been travelling towards its own collapse in recent decades."
    Capitalism is much maligned when it shoulf be finance capitalism that is the true culprit.

    "Thus this great capital, this technical capital, this capital which attains huge proportions, not only has nothing to do, as I said, with property in the elementary human sense of the word, but is hostile to it. That is why on many occasions, when I see how employers and workmen, for instance, reach the stage of violent conflict, even to the point of killing one another in the streets, even to the point of falling victims to outrages that express a savage hatred past all repair, I think to myself that neither side is aware that they are protagonists in an economic struggle, certainly, but one in which nine times out of ten both lots of them are on the same side. The other side, opposed to both employers and workmen, is the power of capitalism"
    Not surprisingly, it is finance that sets workmen against the owners of the means of production.

    "first, the accumulation of capital, which cannot fail to be produced by large-scale industry. Small-scale industry worked with practically two ingredients alone: labour and raw material. In periods of crisis, these two things were easy to reduce: less raw material was bought, the number of hands employed was reduced, and production was roughly equated to the market's demands. But large-scale industry comes into being, and large-scale industry, apart from that element which Marx himself calls variable capital, employs a vast part of its reserves in fixed capital –a vast part, far exceeding the value of the raw materials and wages of labour; and it sets up great installations of machinery which cannot be instantaneously reduced.
    Hence, if production is to repay this vast concentration of dead capital, there is nothing this type of industry can do but produce on an enormous scale, as it does; and as it produces cleaper by dint of increasing the volume of production, it invades the small producers domain, ruining them one by one, and ends by absorbing them all."
    Also, as it produces on an enormous scale, it must promote a high level of consumption AND a high level of credit.

    "This Karl Marx long since augured the social collapse of capitalism which I am discussing with you now."
    "Craftsmen displaced from their positions, craftsmen who have been the owners of their own means of production and who naturally have had to sell this as it is now useless to them, as also small manufacturers and small traders, continue to get economically crushed by this huge, colossal, irresistible advance of big capital, and end by becoming incorporated in the proletaries, and proletarianized. Marx describes this in remarkably dramatic terms and he says that these men, after selling their products, selling the means they had of manufacturing their products, and selling their houses, have now nothing left to sell, and they then realise that they themselves can be a form of merchandise, their very labour can he a form of merchandise, and they rush to the marketto hire themselves out in temporary slavery. This phenomenon, then, the proletarianization of vast masses, and their conglomeration round city factories, is another symptom of the social bankruptcy of capitalism."
    Check!!! small business and small enterprise is continually destroyed by the big boys who can afford to operate at a loss in a few areas so that they can bankrupt their small competitor.

    "The displacement of men by machines is not accompanied by even the poetical compensation"
    "while maintaining the working day more or less unchanged –for the reduction in working hours is due to different causes–to displace all the surplus men. Nor has it had the compensation of involving an increase in wages. It is clear that workmen's wages have increased; but here again we must repeat everything truthfully just as we find it in the statistics. In the prosperity period in the United States, from 1992 to 1939, do you know how much the total volume of wages paid to workmen went up? Well, it went up 5 per cent. And do you know how much dividends on capital went up during the same period? Well, it was eighty-six per cent. Tell me if that is a fair way of sharing the advantages of mechanisation!"
    Yep, surplus men. Chart Of The Day: The Relentless 65-Year Decline In The Labor Force Participation Of Men | David Stockman's Contra Corner

    "For instance: periodic crises have been a phenomenon produced by large
    -scale industry, and produced by exactly the same cause I mentioned before, when I dealt with the accumulation of capital. The irrecoverable expenditure of the original installation is dead-weight expenditure which can in no case be reduced as the market shrinks. Overproduction, the overproduction on a violent scale of which I
    spoke before, ends by saturating the markets. Then underconsumption is produced, and the market absorbs less than the factories are delivering to it. If the structure of the former small-scale economic system had been preserved, production would decline in proportion to demand by means of a diminution in the intake of raw materials and labour; but as this cannot be done in the case of large-scale industry, since it has this vast fixed capital, large-scale industry is ruined; that is to say, technically large-scale industry has to face periods of worse crisis than small "

    Many corporations are now borrowing money to pay stock dividends. Business 101; you can shrink your labor and raw materials but, it is very difficult to shrink your debt load.
    "as soon as the periods of crisis arrive it has recourse to public assistance, and so we have seen how the most powerful concerns have resorted to the benevolence of the State, either to gain tariff protection or to obtain financial support. In other words, to quote a writer hostile to the capitalist system, the capitalism which is so haughty and so refractory in the matter of a possible socialisation of its profits, is the first to beg, when things are going badly, for the socialisation of its losses."
    Yep, the corporate taxes are at an all-time low if you take everything into account ( socializing the profits ) Bailouts are at an all-time high ( socializing the losses ).


    • Rumsfeld, Fitts and the black triangles.

      As everyone and their dog already knows, Rumsfeld reported that $ 2.3 trillion was missing. The very next day, the office of budget and management was destroyed,,, by a hologram. Rumsfeld later said; "Rumsfeld responds, though with a dubious answer. The former Secretary of Defense explains that the $2.3 Trillion was never truly lost, but rather untracked in a complex accountability system"
      OK, just how big are the holes in this system if $ 2.3 trillion could slip through the cracks?
      Catherine Austin Fitts reports that the money was used for building a space fleet.
      Judging by the number of black triangles, we evidently paid for a lot of spacecraft with the missing money.
      Silent Running: 'Black Triangle' Sightings on the Rise
      "According to Colm Kelleher, NIDS Administrator, the newly completed quasi "meta-analysis" of Flying Triangles melds three major U.S. databases: NIDS, the Mutual UFO Network (MUFON) and data collected by independent researcher, Larry Hatch, the creator and owner of one of the largest and most comprehensive UFO databases in the world.

      Kelleher said, the analysis indicates that deployment of Flying Triangles is open, not covert, and involves low-flying, brightly lit aircraft routinely deployed over populated areas including cities and Interstate highways."

      The black triangles should not be confused with the Aurora. It is a different animal.
      Black Triangle UFOs, TR-3B Aurora And Astra | Beyond Science
      Several years ago, I was reading an article about a low-rumbling earthquake in 3 counties of southern California. This happened 5 wednesdays in a row at the same time of day. Cal-Tech said that it wasn't an earthquale but, a very high-speed plane. I remarked to my friend, " The Aurora muct be flying. I wonder what the leading edges are made of?"
      He was head of engineering at Rockwell and later, Boeing. He replied, OFC and boy is it a female dog to machine. ( oxygen free copper)
      Last edited by Danny B; 05-25-2015, 01:59 AM. Reason: too many aterisks


      • Contagion

        Long Term Capital Management was a company formed of Nobel prize winners and heads of economic departments at a few colleges.
        "You guys, you won a Nobel Prize. You’re the head of the finance faculty at Harvard. You’re the head of finance faculty at Berkeley. You’re the head of the finance faculty at the University of Chicago"
        "At its peak, LTCM was leveraged 250-1. And they had made derivative bets totaling $1.25 trillion that connected them to nearly every market on the globe."
        “Peter Fisher told us, ‘You guys are gonna close every stock market in the world and every bond market in the world, and take down the banks.'
        "“At the end, Peter Fisher [then head of open market operations at the New York Federal Reserve], his face is white, looks to us and says, ‘I knew you guys could destroy the bond market, but I didn’t realize you could destroy the stock market.’”
        When Genius Fails Again, Part I


        • BIG party in October

          As I already posted, the Sovereign bond market is scheduled to blow in October. Big Bang 2015.75 | Armstrong Economics
          Seems that another BIG event is cheduled for October.

          "Amy Goodman, the host of the PBS show, Democracy Now, has recently reported on a permanent martial law occupying force that will go live in October of 2015. ,,,,,
          The martial law enforcement unit is the 3rd Infantry Division, 1st Brigade Combat Team. The mission is to serve as “an on-call Federal response in times of emergency”.
          Military Reveals Martial Law and Dissident Extraction Plans for US Citizens -


          • Bubbles and icebergs

            Nice graph here;
            We Have Officially Entered The Final Phase Of Every Market Bubble | King World News
            Short and to the point;
            "The chief economist of the world’s third largest bank, HSBC’s Stephen King, has compared the global economy to the Titanic.

            In a note to clients on Wednesday he wrote “We may not know what will cause the next downswing but, at this stage, we can categorically state that, in the event we hit an iceberg, there aren’t enough lifeboats to go round.”
            ?Titanic? Global Economy May ?Collapse? Warn HSBC - Gold Is Lifeboat
            Funny that his name is Steven King.
            A couple of images come to mind;


            • Labor, money and work

              The farmer and the gold miner have to work to earn money. They have to work even harder to earn more money.
              "Money is human labor transferred to a store of value"
              " All other businesses that want to get a return on an asset must first buy the asset with money earned through work. This is not the case for banks. They earn interest on something they don’t create."
              "For everyone except banks, money is an expression of human labor, creativity, or even luck. But for banks, money is something they simply ‘create’ in exchange for IOU’s. What Jack works ten years to pay back should not have the same value as what the bank created in the blink of an eye. They are two different things, yet they are treated as one."
              This is How Banks Create AND Destroy Money - Waking Times : Waking Times
              There are various suggestions for reforming banking;
              Review: Why banking is flawed and how to fix it
              They may sound good but, are not likely to get implemented. Those who don't labor for their profits are not likely to give up the current system.

              The much bigger problem is WORK. Most of us WORK for money. How much future does that have?
              podcast ? The end of work, with Ray Kurzweil, Andrew McAfee, Chris Lydon | KurzweilAI
              The Abolition of Work by Bob Black


              We must work for our money but, what happens when there is no work available?


              • Yanis and the micro brained finance ministers

                The majority of public finance people are dinosaurs who understand very well how things previously worked. Yanis Varoufakis is out of their league. He is in a league of his own. The troika demanded that Greece pays it's debts. He squeezed out every Euro that he could beg, borrow or steal. He even stole the savings of municipal GOV. He did EXACTLY what they demanded. Now,,,
                "Greece will not be able to make next tranche of debt repayment to the International Monetary Fund (IMF), as the country has no money to pay, the Interior Minister said."
                "According to Varoufakis, it would be "catastrophic" if Greece left the euro, saying that it would be "the beginning of the end of the common currency project.”
                Yep, wouldn't that be nice.
                "If we can, on June 5, repay the IMF and pay pensions and salaries as well as the other obligations we have to our internal creditors, we shall. If not, we will have to prioritise pensioners and public sector workers," he said. "

                The club med countries want out. They will play follow-the-leader when Greece leaves. The northern countries know this but, they refuse to bend to Greece. Later on, it will be bend-over time.
                Blog | The Wealth Watchman
                Last edited by Danny B; 05-25-2015, 02:01 AM. Reason: one more link


                • Money

                  Three definitions of money: 1. Something useful as a medium of exchange (my preference) 2. A store of value, and 3. A means of accountancy, i.e. a way to account for and track transactions.

                  I like 1. because the definition makes the nature of the con game imminently clear. Some individual people are the cons, some are the marks. Another group is clueless but will suffer the consequences because their employer or sugar daddy will win or lose, etc. So, with these three groups in mind, what happens next? The marks, collectively, discover the con and save themselves from the impending calamity or fail to discover the con until it is too late and lose to the con artists. Store of value? Not likely. Keeping track of worthless chits? Not worth the effort. Too late to fix the system by changing the rules? Yeah, wiseguy, you got that right. (I'm just having a bit of fun!)

                  The system has a lot of inertia. Things are likely to develop over a span of time. I think taking positive action on a day by day basis is the best course of action. After all, sudden extreme moves might attract unwarranted attention.

                  The Greek situation is interesting to observe.
                  There is a reason why science has been successful and technology is widespread. Don't be afraid to do the math and apply the laws of physics.


                  • Capital bounces from the private sector to the public sector

                    The various GOVs have worked very hard to ensure that their paper is the only game in town.
                    GOV / banks want all your stored wealth / work, stored with THEM. They buy off academia to make appropriate soothing noises any time that we hit a bump in the road.
                    Nobel Laureate Economist Robert Shiller says that the world’s economy remains mired in “a vicious circle of despair” seven years after the 2008 global financial crisis.

                    “Fear causes individuals to restrain their spending and firms to withhold investments; as a result, the economy weakens, confirming their fear and leading them to restrain spending further,”

                    “The downturn deepens, and a vicious circle of despair takes hold. Though the 2008 financial crisis has passed, we remain stuck in the emotional cycle that it set in motion,”

                    Read Latest Breaking News from David Stockman CNBC Interview: The Morning After Will Be Nasty
                    What a bunch of BS. Millions of jobs were lost to a low-wage competitor and he thinks that it is just an attack of "nerves".

                    ALL governments eventually default. Between defaults, there is a high level of trust in GOV because it has taxing authority. That means that everything is based on confidence in GOV.
                    "People park in government bonds when they distrust the private sector. But what happens when they distrust government?"
                    "It is always a matter of confidence. When capital loses confidence in government, it flees to the private sector but you have to understand at that point it is not about profit – it is about survival."
                    " But then with the first crack in government debt, capital will look around and ask who is next. "
                    "As capital withdraws from the public sector (both federal & state/local worldwide), that will drive rates higher. The lower rates are setting in motion a massive collapse in pensions and the elderly cannot survive off of their savings. Moreover, the Fed will be compelled to raise rates if the share market rises despite the economic decline. If they do not, they will be accused of creating the bubble."
                    Interest Rates & the Collapse of Public Confidence | Armstrong Economics

                    This is the dreaded interest rate spike that will crash everything.
                    The central banks hold interest rates WAY down on GOV paper. They are trying to force investors out of GOV bonds and into the producing economy. The consumers are out of work AND debt saturated. The productive sector refuses to invest in servicing the WANTS of the broke consumer.
                    FED ZIRP is killing the sectors of the economy that depend on interest income. BUT, if they raise rates, they not only crash the derivatives, they will also pull investment money OUT of the producing economy and INTO GOV bonds.
                    This was all known ahead of time and ZIRP was supposed to last just 6 months. The bankers booby-trapped the ZIRP system with derivatives,,, interest rate swaps.
                    If the FED continues with ZIRP, all funds and people that depend on interest income continue to go broke. If the FED raises rates, it pulls investment money out of the producing economy and crashes derivatives.
                    To make it even uglier, GOV is broke. If Rates go up, GOV can't pay the interest on outstanding bonds. Bonds are already crashing because so many investors are cashing out rather than rolling them over. Various States are cashing out bonds and buying gold. If GOV stops shipping gold, the bonds are viewed as worthless.
                    GOV is hard at work trying to maintain confidence in GOV paper. Reportedly, this all comes to an end in October. I wonder of this is when the gold runs out.

                    We see that Greece has chosen to pay persons rather than institutions,,, salaries rather than bond holders. 51% of Americans rely on a check from GOV. Will GOV pay persons or bond holders?


                    • New global, brutal feudalism!

                      In a general sense, society moves forward by increasing knowlege and the standard of living.
                      "noblesse oblige" 1. the inferred responsibility of privileged people to act with generosity and nobility toward those less privileged.
                      The privileged people take care (to a point) of the masses. Why?
                      " Since the French revolution and the new form of the urban states-democracies, the ruling class had to make the so-called "social contract" with the majority. From the moment that the dominant urban class took the power from feudalism and monarchy, should had to find a way to protect the means of production and the labor force.

                      Therefore, the ethnic consciousness in each state served to bound the majority in order to shape national armies to protect the ruling class interests. In exchange, the ruling urban class had given the so-called social state, labor rights, etc., through the nation-state as a carrier and guarantor for all these benefits for the middle and lower classes."

                      "However, the ruling class still needed labor hands and therefore the social contract remained alive, always through the nation-state as guarantor."
                      "Hyper-automatization is the key for the ruling class to break the social contract exactly because it doesn't need human labor anymore."
                      "It's not accidental that the arms industries demonstrate new weapons designed to be used inside urban areas for suppression of potential riots. There will be no "outside enemy" in the future."
                      "Having secured the new labor force through fully automated machines, what has left for the dominant elite now, is to take all the resources."
                      the unbalanced evolution of homo sapiens: The dominant elite ready to break the "social contract"

                      “I asked him about the move of Apple to produce computers in America, by bringing back in the US the production from China for the first time after decades. 'How's that?' And the answer was the expected one, although quite impressive: 'Wages are of no importance. The export of productive processes from America to China (off-shoring) was only an intermediate stage. The production has returned to America, but not the jobs. The new factory of Apple, not only is constructed without American workers' sweat, but will also produce MacBook Pro through complete automatization, without hiring Texans."
                      "Economic crises are used to destroy big competitors and keep the value of money high, through capital "hyperaccumulation". Capital "hyperaccumulation", however, is also used to fund the next stage of the destructive capitalism which is hyper-automatization."
                      "The big question is: If all the production will be automatized (even the services sector), who will consume the products? Are we going to a model that most of the people will be receiving unemployment benefits just to survive and consume?"

                      “The base of the pyramid will be consisted by the majority of workers in global level, with restricted wages, zero labor rights, and nearly zero opportunities for activities other than consumption.”

                      “However, the most horrific thing of all will be the expansion of the lower social level, consisted by millions of people all over the planet, which will be left without any kind of help, dying in extreme poverty, since the global economic elite will secure its domination through the oversupply of labor force and consumers."
                      the unbalanced evolution of homo sapiens: Already happens: Capitalism destroys human labor force and goes to the next phase


                      • The timing is becoming clearer and clearer

                        Perhaps you also saw this? If correct, the next 18 months will be something to watch from the sidelines.

                        A 100% Perfect Predictor of Stock Market Crashes | National Inflation Association

                        Regarding the last post, "Bread and circuses.", Marie Antonette, the Bartholomew's Day Massacre, etc. Those who fail to study history, etc.
                        There is a reason why science has been successful and technology is widespread. Don't be afraid to do the math and apply the laws of physics.


                        • Originally posted by wayne.ct View Post
                          Perhaps you also saw this? If correct, the next 18 months will be something to watch from the sidelines.

                          A 100% Perfect Predictor of Stock Market Crashes | National Inflation Association

                          Regarding the last post, "Bread and circuses.", Marie Antonette, the Bartholomew's Day Massacre, etc. Those who fail to study history, etc.
                          "but we will need to wait until October 2016 for the crash to fully play out"
                          Armstrong said that the sovereign bond marlet would crash in October of 2015 but that, the stock market would not crash at that time. I'm doubtful that there will be a full year lag. Of course, it is a process, not an event.
                          Retail sales are fallin fast; United States Retail Sales YoY | 1993-2015 | Data | Chart | Calendar
                          Last edited by Danny B; 05-27-2015, 12:42 AM. Reason: more info


                          • The toilet of history has been flushed

                            That is the final line in the vid with Fulford. The guy is entertaining. Some of his stuff is true, much is questionable.
                            One more.


                            • Social insecurity

                              Someone is always pushing some part of the world towards socialism. It never works,,, they never quit. Since bankers never work in the traditional manner, they always try to create unlimited riches for themselves. Not happy with being fettered by GOV regulations, they have spent $ 3.8 billion for lobbying to get unfriendly laws eradicated. Eventualy, they create crony-capitalism and give free-market capitalism a bad name.
                              When crony capitalism crashes, socialism is drug out once again.

                              Western GOV has promoted itself as the ultimate "security balanket". Just send them payroll taxes and you don't have to save for your retirement years. Pay, pay, pay and they will take care of you. Nobody has to have any savings and you can spend 105% of your income because your wages will always go up. GOV has worked hard to destroy the nuclear family so that your only god will be the State.

                              What happens to the "security balnket" when GOV runs out of money?
                              "For years, I have warned that we will face our worst nightmare – the collapse of socialism. In the death throes of this abomination that even the Ten Commandments listed as a serious sin, equal to “thou shalt not kill”, government will become the ugly beast that will devour society to retain power. Of course, they will never see themselves that way, but they will justify in their minds that stripping us of our freedom, rights, privileges, and immunities, is necessary to maintain socialism for the good of the people."

                              "Why is this Sovereign Debt Crisis collapse different from 1931? When the governments of the world defaulted on their debts in 1931, there were no pension funds. Government has exempted itself from all prudent reason for you take the state operated pension funds, like Social Security in the USA, where 100% of the money is in government bonds."

                              "A Sovereign Debt Default this time around will wipe out socialism, yet the bulk of the people are clueless not merely about the risk, but the ramifications. Younger generations do not save to support their parents for that was government’s job post-Great Depression. Socialism has altered thousands of years of family structure following the ranting of Karl Marx. This has been one giant lab experiment that ended badly in China and Russia and is coming to a local government near you."

                              "This time it is very different. They have wiped out society placing the entire scheme of socialism as a terrible nightmare that will end badly, and they have ruined the social family structure disarming people that for thousands of years was our very means of self-sufficient survival. These clown have set the tone for wiping out the dreams they sold the elderly, all while hunting taxes and causing job creation to implode as the youth has been converted into the lost generation."
                              This Time It Is Different | Armstrong Economics

                              GOV always sees itself as the solution, NEVER as the problem.
                              GOV sucks all the wealth out of the economy and then, wonders why we don't have any growth.
                              Economic Growth Is Impossible
                              You DO know where this is leading,,, those who depend on the security blanket will get cut off and tossed out first.


                              • The noose is tightening but, whos neck is in it?

                                The Vatican Curia was so rotten that the Pope had to quit his job to get rid of the corruption. The Vatican bank was laundering LOTS of money for various groups. The Pope spent 8 million Euros for outside consultants to advise on how to clean up the bank. It cancelled 4600 accounts. This resulted in it making more profit. Somebody was skimming the bank.
                                Vatican Bank Profits Soar As Recovery, Reform Continue

                                "Net profit of Italian mafia makes them Italy's biggest business
                                The Italian mafia is squeezing legitimate businesses for £130,000 every minute through extortion, protection rackets and loan sharking, a report has revealed. "
                                Net profit of Italian mafia makes them Italy's biggest business - Telegraph
                                What happens to organized crime in a cashless society?

                                The main crime groups pull in many $ billions.
                                The 5 biggest organized crime groups in the world - Fortune
                                The bigger crime groups pick the bigger targets;
                                ?Russia Challenged by Four Global Mafia Cartels? / Sputnik International
                                The biggest crime group picks the biggest target;
                                The Hidden History of the incredibly Evil Khazarian Mafia » David Icke

                                FACTA is killing global trade and amounts to American capital controls. What happens to the bank accounts of organized crime when they can't move money in the dark? What happens to the street narcotics trade when cash is not accepted? What happens when this is no longer possible?

                                It's true that a cashless society would put a crimp on the little guy. What will the Mob do? There was a British guy working for GOV who was making great progress creating a computer program that tracked money through any labyrinth. They killed him.
                                Edit; "This is very curious, for when they take that final step, it will most likely be sudden and overnight. They would announce it and give everyone some time frame to take their paper currency and deposit it into their bank accounts."
                                Last edited by Danny B; 05-29-2015, 01:58 PM. Reason: Another link