Economic pressures

[Danny B]

Ahead of the Herd

Here are 2 articles that answer a lot of questions. Keep in mind that GDP is just a measure of how much "money" is in the economy. Here is a chart of debt-to-GDP http://aheadoftheherd.com/Newsletter...s/image004.jpg
Remember that any measure of GDP INCLUDES debt. If you subtract the debt from the GDP number, I suppose that you will be left with actual productivity. Everything else would just be debt.
"Global debt had risen more than $11 trillion in the first nine months of 2016 to more than $217 trillion with general government debt accounting for almost half of the increase. " The State is broke.

"US$3.9 trillion worth of global private debt (the combination of business debt and household debt) was issued in 2016, a record high. " You and I are broke.Ahead of The Herd - Why Now Precious Metals?

https://mishtalk.com/2017/04/21/reader-asks-can-the-bubbles-last-forever/

[Danny B]

https://en.wikipedia.org/wiki/Gramm%E2%80%93Leach%E2%80%93Bliley_Act

https://dailyreckoning.com/donald-trump-big-fat-ugly-bubble/

https://3r8md7174doo44lgpk3kou79-wpe...nceVsSAndP.jpg
The unwinding will bring great deflation.

https://www.theautomaticearth.com/2017/04/you-are-not-an-investor/

[Danny B]

So, who dun it?

Credit must grow. The finance sector must grow. Every time it ran into limitations, it used regulatory capture to remove those limitations. The finance sector used the State to facilitate it's cannibalization of the productive sector. This wasn't too difficult because the state is the biggest single borrower. All through history, we see examples of sovereign States printing debt-free money needed for the economy to operate.
Sequentially, we see a central bank come in and usurp the power of the State to create the money needed by the economy. The finance sector can not grow without limit if money is only created to facilitate JUST the productive sector of the economy.

A central Bank MUST be created to "stabilize" the economy. It's always the same old story with the same old results. Wealth transfer to the bankers impoverishes the majority and, eventually, the credit system stalls out.

The bankers get together and press for a central bank that is to be the "overlord" of the system. NATURALLY, this CB must be independent. We can't have it creating any kind of debt-free money, nor, injecting money into the lower loop.
The State goes along with this because the banks use part of their predations to buy GOV bonds.
The time has come that a collapse is looming. The State is / was willing to remove all legal obstacles to the predations of the banks but, the lack of money has stalled the production / consumption cycle. The CB is printing like mad but, printing more DEBT money makes things worse with the increased interest burden.
ZIRP was a desperate measure because it destroyed interest-income. ZIRP brought interest-free money to the very top of the financial chain so that they could earn spread. The banks could earn spread on loans but, everybody else that depended on interest-income was screwed. Everything possible was done by the banks FOR the banks. No matter if every pension, hedge and insurance fund went broke.
Greenspan initiated the rescue of the banks in '87. We have been in rescue mode ever since. The ACTUAL economy has been in destruct mode ever since. The State was heavily involved in this because the State is such a huge borrower.
On the cusp of the crash, the finger-pointing has begun.
Stanley Fischer, We Will Never Forget Who Created This Nightmare - The Daily Coin

[Danny B]

https://www.peakprosperity.com/blog/108546/where-there%E2%80%99s-smoke

Evidently, $250 billion every month is what is needed to hold back deflation.

https://www.peakprosperity.com/insider/108547/coming-conflagration

Yep, the FED tries to pump money into the balloon at just the right rate to keep the bubble from deflating.
Credit Bubble Bulletin : Weekly Commentary: Liquidity Supernova and the Big Ugly Flaw

Keep in mind that the FED can't actually be seen to be pumping in money. The PPT, ESF and BLICs are supplying all the liquidity. Not to mention capital flight from the PBOC, BOJ, ECB et al, that flow cross-border.

The more that China tries to rescue / stimulate it's economy, the more money it has to print. Increasing money printing causes more capital flight. Are they going down the drain OR up in smoke?
China?s Credit Excess Is Unlike Anything The World Has Ever Seen | Zero Hedge

The FED is speculating in commodities. They have financialized the food industry to where the farmers get nothing and the speculator gets all the profit.
The Tragedy Of The American Farmer, Revealed In A Craiglist "For Sale" Post | Zero Hedge
Here is an interesting article predicting that large farm operators will go bust.
"These large operations, highly mechanized and highly efficient in technical terms, are the ones most at financial risk right now."

http://www.twincities.com/2016/05/14/real-world-economics-farm-bust-coming-especially-for-larger-producers/

The FED and bankers can make lots of money speculating in food commodities but, they run the risk of crashing the food supply. They financialized the Food industry like they did with the health industry. Now, nobody can afford health care.
The speculators poured money into farmland until demand faltered. They speculated on crop futures until falling consumption and falling exports made it no longer profitable. They pulled out and the farmer was left with a deflating market.
The State is asleep at the wheel.

[Danny B]

The siren call from your broker, GET RICH

Post WW II, America had a lock on manufacturing. By about 1970, the R.O.W. had rebuilt and the boom was waning. The warfare-welfare stimulus was just too costly and the link with gold was broken. This gave the rentier class free rein to expand the money supply. The CB sequentially increased the money supply to effect a wealth transfer to the rentier class. The rentier class found it necessary to cannibalize more and more of the productive sector.
50% of the cost of everything that you buy is for finance. The State takes about 30% depending on your income level.

This is labor's share of the GDP, http://static4.businessinsider.com/i...r-40-years.jpg
As our aggregate purchasing power fell, the rentier class had to look farther and farther to find a return on investment. They blew bubbles in stocks, land real estate, collectables and many other things. After they wrecked a sector, they pulled out their money and moved on.

Many of the people in the rentier class appear to be moderately stupid. Armstrong has said that the herd is always wrong. Wall Street banks depend on them being wrong. Just imagine sheep being led to the slaughter, WEARING BLINDERS.

"The last phase of any bubble is almost invariably the euphoric shopping spree of an irrational public that buys stocks, real estate, etc. at record highs, foolishly believing that prices will keep rising indefinitely."
"A few days ago Charles Schwab, the investment brokerage firm, announced that the number of new brokerage accounts soared 44% during the first quarter of 2017.

More specifically, Schwab stated that individual investors are opening up stock trading accounts at the fastest pace the company has seen in 17 years."I'm sure that this is just a coincidence.

https://www.sovereignman.com/trends/the-last-time-this-happened-the-market-crashed-21379/

The herd is looking straight at the blinding light from the liquidity supernova. They have money in-hand waiting for the riches to pour into their accounts. The late arrivers always get fleeced but, these idiots are ignoring all the numerous warnings from banks, et al.
NOW is the time that the Wall Street banks have been waiting for. When the flood of new money slows to a trickle, the markets will blow.

[Danny B]

When the stock market crashes,,, Granny gets the axe

So, free FED money juiced the markets but, NOT earnings. The peak of the parabola. The muppets figure that it is the base of an ever-climbing market. They are piling in to get a piece of the action.
These are retail investors who are just chum for the big banks. But, the State tries to maintain confidence. No matter, the markets will do this;

http://static1.businessinsider.com/image/58fc881edd0895aa5c8b4bb5-1750/screen%20shot%202017-04-21%20at%20154256.png

The pundits SCREAM for the FED to rescue markets, Debt today is the same as 10 years ago, when Jim Cramer had his CNBC meltdown - Business Insider

As the retail gamblers (muppets) get slaughtered, the middle class shrinks ever-more.
Visualizing The Collapse Of The Middle Class In 20 Major U.S. Cities | Zero HedgeThe epic retirement crisis for older Americans: The median family of retirement age has $12,000 in savings.
So, what happens when that $27.35 trillion gets cut in half? What happens to the old farts when all the pension funds go broke? What happens when 100,000 old farts in wheelchairs go to the national mall to demonstrate?
Even the S&P 500 companies haven't funded their pensions adequately.
People based their retirement plans on the OLD economy that was booming decades ago.
Decades of wealth transfer from monetary inflation combined with massive loss of jobs have cut the velocity of money to almost nothing. The coming stock crash will push many pension funds over the edge. Laws have been changed so that they can now cut benefits. The old farts are going to get it the worst because they have no value to the economy,,, only to their families.

[Danny B]

"Radical Marijuana" comment

There are people who understand the economy better than I do. I found a comment at Zero Hedge that fits in this category. I can't excerpt it because it would lose too much meaning. The writer explains that we have gone from metal money backed by swords to Paper money backed by gunpowder to electronic money backed by atomic weapons.
Here is the whole comment,

"Radical Marijuana Kotzbomber747 Apr 24, 2017 6:00 PM

Figuring out that money is measurement backed by murder does not change that.

That show goes on for the same reasons as why it originally started, namely that the biggest and best organized gangsters have no capable opposition, but rather, the only publicly significant groups are controlled "opposition," which stay within the same frame of reference.

A few people figure out how the MAD Money As Debt systems actually work ...

Anyone who wants to could learn by watching the available abundance of free

Excellent Videos on Money Systems.

However, when doing so, the more that one learns, then the worse it gets!

The vicious spirals of the funding of the political processes make it politically impossible to pull out of the ways that public governments enforcing frauds by private banks are becoming exponentially more fraudulent. Overall, more than 99% of the public do not significantly participate in the funding of political activities, and do not want to begin to do so. Rather, less that 1% pretty well pay for all the political activities. Especially in the USA, a tiny, tiny minority overwhelmingly dominate the funding of political activities. NOBODY WHO CANNOT CREATE "MONEY" OUT OF NOTHING COULD COMPETE WITH THOSE WHO CAN.

It is barely possible to exaggerate the "scaremongering" which would be appropriate to regard the ways in which the entrenched enforced frauds are becoming exponentially more fraudulent. "Money" made out of nothing as debts is being used to "pay" for strip-mining the natural resources of a fresh planet at an exponential rate. Lending that abstract "wealth" into existence is actually based upon turning natural resources into garbage and pollution as fast as possible.

Those fundamentally fraudulent financial accounting systems operate by being able to back up legalized lies with legalized violence, despite that doing so never stops those lies from still being false. The results are that Globalized Neolithic Civilization is manifesting runaway criminal insanities, due to the excessive successfulness of applying the methods of organized crime through the political processes. Hence, the ways that public governments enforce frauds by private banks, regardless of the longer term consequences from doing so, because, in each short to medium term increment, backing up lies with violence continues to be the most socially successful strategy. Since the political economy is based upon being able to enforce frauds, its systems are operated by the best available professional hypocrites, despite that the resulting about exponential increase in overall fraudulence means that those professional hypocrites who are making "money" within those MAD Money As Debt systems, are becoming ever increasingly psychotic psychopaths.

Of course, that kind of runaway criminal insanity does not change, because those trends in the ruling classes are matched by the ways that those they rule over become increasingly impotent political idiots. That is especially the case because there are no publicly significant genuine opposition groups, but rather, only a range of controlled "opposition" groups, who continue to stay within the same frame of reference.

The parable of the boy who cried "wolf" ends with the wolf actually coming. However, such social stories are an expression of the degree to which "we" are living in Wonderland Matrix Bizarro Worlds, where everything is publicly presented in the most absurdly backward ways possible, since the biggest and best organized gangsters are publicly able to get away with presenting themselves as NOT being so, but rather, than only smaller and less well-organized groups are gangsters.

In nature, wolves do not kill each other, while doves do. The dominate social stories are mostly inverted and perverted. The various controlled "opposition" groups tend to recommend that everyone should be better sheep, while the only realistic resolutions of the real problems would require everyone becoming better wolves. While everything that Civilization actually does is actually based on being able to back up legalized lies with legalized violence, the resulting behaviors are rationalized and justified with bull**** which does not admit that. Therefore, everything gets done in the most convoluted and oblique ways possible, whereby huge lies are routinely presented AS IF those were not Huge Lies, especially by how the public money supplies are created out of nothing by private banks, which is only possible because those frauds are enforced by governments within an overall situation where those facts are as deliberately ignored and misunderstood as much as possible.

The best organized gangsters, the banksters, made and maintained the MAD Money As Debt systems through persistent and prolonged applications of the principles and methods of organized crime through the political processes, such as through bribery, intimidation, as well as occasional assassinations of those who otherwise could not be bribed or intimidated. The content published on Zero Hedge tends to present superficially correct analyses of that, followed by bogus "solutions" which are similarly too superficial. The overall realities based on natural laws, which create natural selection pressures, have resulted in social "realities" which are deceitful and treacherous as possible, and which are becoming ever more so. The resulting social situation is becoming more and more surreal, since social "realities" have developed the most absurdly backward ways of perceiving natural realities. Hence, while Civilization necessarily operates according to the principles and methods of organized crime, because Civilization must necessarily have some death control systems, with murder systems as the most extreme forms of that, that drives the sets of consistent contradictions that the biggest and best organized gangsters, i.e., bankster dominated governments, have well-developed, bull****-based, languages, which enable the systems which actually operate through enforced frauds to be operated by professional hypocrites, who have perfected ways to discuss those central social facts in the most absurdly backward ways possible, and yet, for the social successfulness of those symbolic robberies to manifest through vicious feedback loops which enable those who succeeded at doing so to continue to do so.

[Danny B]

had to break it up

Meanwhile, the established debt slavery systems are driving the development of debt insanities. Since the debt controls were always backed by the death controls, that means those entrenched debt slavery systems are driving towards provoking death insanities. Of course, all of that is publicly presented in the most absurdly backward ways possible, as the paradoxes continue to intensify the ways that not only does Civilization necessarily operate according to the methods of organized crime, but also, by doing so that Civilization becomes as dishonest about itself as possible. Therefore, the combined money/murder systems automatically become exponentially more fraudulent, and thus, exponentially more psychotic. However, as that happens, the best available professional hypocrites continue to operate those systems, while the vast majority of other people tend to only notice the accumulating apparent anomalies which follow from systems based on being able to enforce frauds, enabled by about exponentially advancing technologies to become about exponentially more fraudulent.

Given that Globalized Neolithic Civilization has become based on globalized electronic monkey money frauds, backed by the threat of force from apes with atomic bombs, it is no longer possible to say anything which achieves sufficient "scaremongering," because there is nobody who can completely comprehend or fully imagine what that means. The ratios of physical economy to financial frauds have gone beyond 1 to 100, while those are automatically headed towards becoming 1 to 1,000. The previous systems of metal money, backed by swords, became paper money, backed by gunpowder weapons, and then, have recently and rapidly become electronic money, backed by atomic weapons.

That MAD Money As Debt, backed by MAD Mutual Assured Destruction, has become far MADDER than anyone could possibly understand, and certainly is not understood, nor wanted to be understood, by the vast majority of people. As long as it is still possible to strip-mine the natural resources of a fresh planet using the technologies provided by the series of industrial revolutions, then Globalized Neolithic Civilization will continue to do so ... Indeed, both the physical steam engines, and the social debt engines, were invented at about the same time and place in human history, after which those spread out and conquered the whole world, through their abilities to back up bigger lies with more violence.

At the present time, those trends in human history have become runaway electronic frauds, which are orders of magnitude greater than anything which previously existed in human history. Indeed, financial frauds have been effectively automated, while everything that flows from that kind of legalized counterfeiting continues to be backed up by the armed forces which are paid with those public "money" supplies. The more one learns about that collective MADNESS, the worse it gets, because the more that one has to think about the longer term consequences, which will be diametrically different to the series of short to medium term consequences. For now, as well as for the foreseeable finite future of Globalized Neolithic Civilization, public governments enforcing frauds by private banks will continue to be socially successful symbolic robberies, which will drive the vicious spirals of the funding of the politically processes to get worse, faster, at about an exponential rate ... while it will therefore continue to be politically impossible to either effectively prevent or sufficiently prepare for that happening.

[Danny B]

Marijuana Party ? Parti Marijuana | Excellent Videos on Money Systems

[Danny B]

In Today's Fiat Money Financial System, 'The House' Always Wins | Zero Hedge

[Danny B]

Headlines from France

Rothschild Banker Macron To Be
France's Youngest President

Euro Elites Flock To Praise Macron

Macron Expected To Win Run-Off With 60% - Poll

Thousands Of French Were Unable To Vote On Sunday

Marine Triggers A Political Earthquake

[Danny B]

Rapid risk transmission

That post on France was supposed to be in another thread. Dunno
Debt is growing faster than exponentially

https://www.rt.com/business/385913-jack-ma-world-pain/

The State can pass out lots of perks but, the feces hit the fan if they take them away.
PressTV-Saudi Arabia restores perks amid fears of unrest
The Saudis are burning through currency reserves. The House of Saud is universally beloved as long as the money flows.

Gov most assuredly wants to grow bigger. All it needs for this is, MORE TAXES. VAT Tax Ends the Consumer Economy
Apparently, Greece is to be driven into total destruction, https://www.theautomaticearth.com/20...s-or-stimulus/

"Since 2007, China has added $24 trillion in debt across its entire economy. The IMF believes China's banking system has developed "a structure potentially susceptible to rapid risk transmission and destabilizing liquidity events."

U.S. FED GOV has a very short time to build the wall,,, Cut taxes,,,, repeal obummercare,,,pass a budget deal. At the moment it is transfixed with the problem in North Korea.
The White House has been busy on many fronts, Trump Administration Begins Quiet Preparations For Government Shutdown | Zero Hedge

The cabbage patch dictator is so impressed with his own BS that, he thinks the world is impressed with his BS.
If you remember correctly, Russia has a jamming system that can shut down anything. Kim made a BIG mistake when he pissed off China.

Our latest milestones, http://theeconomiccollapseblog.com/a...it-was-in-2016

Hollande's popularity is lower than a snake's belly in a wagon rut. Le Pen should be happy.
NO political change will release them from poverty. Only death can do that.
Ah yes,,, the hard data and the soft data are starting to converge.
A vid from a former illuminati bankers who refused to participate in child sacrifice and was phased out. He says that the Luciferians are anti-life. If we get lucky,,, they will all kill themselves.

https://www.youtube.com/watch?v=nEpcY5JU120

Here is a brief guide from The American Association of Evangelicals https://www.youtube.com/watch?v=MeM_l5mkyYc

[Danny B]

It is possible because he gets reamed on a regular basis.

http://ggc-mauldin-images.s3.amazonaws.com/uploads/pdf/170423_TFTF.pdf

This is also true to a great extent for institutional investors,,, like your pension fund. They keep going back to the casino. They are soon to get smacked down again.

"For starters, the government's fiscal deficit for the month of March came in at $176.2 billion, which means the deficit 6 months into fiscal 2017 is $526.9 billion and running 15% over last year. If not for the calendar timing of receipts and payments, our government's deficit would be a year-to-date $564.0 billion or 23% above last year. In addition, there was an 18% decline in corporate income tax collection. "
"More proof of recession and deflation came from the economic data released on Good Friday: CPI down 0.3% in March and even the core rate fell 0.1%, Retail sales fell 0.2% in March and February sales were revised sharply lower to minus 0.3%, from previously reported up 0.1%

Housing starts, Empire State Manufacturing and Industrial Production have all recently disappointed estimates. Housing starts fell a very steep 6.8 percent to a 1.215 million annualized rate. Empire State Manufacturing dropped from 16.4 in March, to just 5.2 in April and within Industrial Production, the manufacturing component shrank to minus 0.4 percent. "

http://www.pentoport.com/pentonomics.php

The article is anti-Trump. Just the same, Trump sees the same numbers that we see. government's deficit would be a year-to-date $564.0 billion or 23% above last year

Trump really has no options. I posted a comment frommarijuana Party in 3 parts that seems to show that the finance sector will eventually burn down the whole house to save themselves.
John Tainter wrote, The Collapse of Complex Societies. Like a game of Jenga, you can only pull out just so many elements of support before it all comes crashing down. Trump's actions will be dictated more by survival than by desire.
If the deficit is growing by 23% and rising, just how much risk can he take with the budget and shutdown?


This is the dichotomy between the upper loop and the lower loop. The end result of cannibalization.
The Trump team is undoubtedly aware of Armstrong's prediction of a crash of sovereign debt. At 23% growth, there is not a lot of time left.

[Danny B]

falling population=print more money,,nude loans,,socialist bust

There is quite a bit going on.
This graph is central to the latest article from Economica. YIKES,it had a 500 line url. Yes, I know about tinyurl.
"QE maintained the period of extremely high oil prices, and oil prices collapsed immediately upon the completion of the taper."
"So, the Fed's efforts to create inflation instead created over leveraged, oversupply, and further deflationary declines in oil that only continue." "Seemingly, US oil production has zero to do with price or consumption. "
It's all about saving the profits of oil companies.

The writer covers the fluctuations in oil price very well. Oil only rose with stimulus.
"Lastly, why growth is breaking down is so simple. The chart below shows the stalling employment among the US 25-54yr/old population, the concurrent stall in total energy consumption"
"Breakdown of US energy consumption growth by period. US Energy consumption growth has ceased following the absence of US core population and core employment growth"

https://econimica.blogspot.com/

Japan has shown us the way. A Falling population of consumers results in falling consumption. They strangle us to grow their profits,,, and then, wonder why our lack of reproduction causes a fall in profits.

https://econimica.blogspot.com/

Here is a big dose of DOOM, Elites Are Orchestrating A Global Catastrophe: "There Are Many Things The President Does Not Know" | Zero Hedge
Here is a comprehensive article on Technofeudalism, An Introduction to Technofeudalism Ascending The corporatocracy may be pushing towards neofeudalism but, that would just lower the birth rate and consumption even further. The salaryman of Japan is the perfect example. He has no time or energy for anything outside the job.

"Central Banks Are Now Printing $200 Billion Per Month... Without a Crisis"
Central Banks Are Now Printing $200 Billion Per Month... Without a Crisis | Zero Hedge in the lower loop
Rest assured, it will hit the upper loop before too long. The CBs are printing money to save the upper loop, not really noticing that the productive loop is dropping dead all around them.

blame it on Musk.
Only $ 20 trillion to go.
The Euro is on it's deathbed and it spikes up. No wonder the investors get cleaned out on a regular basis.
http://www.oftwominds.com/blogapr17/...ubble4-17.html
Housing bubble 2 is bigger than housing bubble 1.
Humpty Dumpty sat on a wall. Humpty Dumpty had a great fall. After Bernanke & friends put him back together again,,, Humpty Dumpty climbed upo on a higher wall.

Too weird to pass up, "Interest on the "nude loans" reached an astonishing 30 percent a week, according to the Global Times newspaper."

https://www.yahoo.com/news/naked-selfies-used-collateral-chinese-loans-111137036.html

https://www.armstrongeconomics.com/international-news/politics/end-of-socialism-will-be-a-tumultuous-hard-landing/

Man is competitive. It is ingrained in his nature. That is why we constantly have competitions. Socialism exalts the mediocre. Survival-of-the-fittest originally selected for physical traits. As time went by, mental superiority became more important. As society and commerce become ever-more technical, those who don't have a niche cry ever-louder that they are being discriminated against. They place ever-larger financial burdens on the State. The State is soon to go bust. What about all those persons who came into this world AND survived solely on State support. What are they going to do when State support evaporates?

[Danny B]

Technofeudalism

The rise of the corporatocracy should be no surprise. Immortality and legal immunity are Great building blocks. The capital accumulation flows naturally towards regulatory capture. At one time, corporations paid 30% of the support to GOV. Since they got the reigns of power, they have reduced this to about 3%. They found it far more cost-effective to pay the politicians directly rather than to pay taxes.
Corporations' aggregation of wealth, political influence and legal protections has far surpassed those available to citizens. Corporations have usurped citizens' contract with their elected representatives so that government primarily serve corporate interests rather than those of citizens.

This is a debate page with all the pros and cons. It is very informative,
Corporations are a threat to Democracy and society. - DebateWise
The rise and fall of corporate social responsibility http://www.waynevisser.com/wp-conten...r_-wvisser.pdf1, prohibitions against any corporation;

a, owning another corporation,

b, becoming economically indispensable or monopolistic, or

c, otherwise distorting the general economy;

2, prohibitions against any form of interference in the affairs of;

a, government,

b, education, or

c, news media, and

3