Economic pressures

[Danny B]

P 2 P lending,,, Blockchain... Vids

Blockchain and GOV, https://www.youtube.com/watch?v=Cicwpqr5oR8
Cryptocurrencies and communism, https://www.youtube.com/watch?v=2uabpZAO0xI&t=167s
Bankers sense the competition, https://www.youtube.com/watch?v=W8TyZgJWUkA&t=16s
Bill gates weighs in, https://www.youtube.com/watch?v=k0HmrSfJwhU
An outline of the disruption, https://www.youtube.com/watch?v=G3psxs3gyf8&t=9s
Doug Casey weighs in, https://www.youtube.com/watch?v=CUQiYrc9tWc


GLD is another Ponzi scheme so, it is very susceptible to volatility and competition.

While cryptocurrencies have their place, it is the blockchain that will bring all the major changes. LEGITIMATE businesses love the universal distributed ledger. They love the idea of escaping the predations of the bankers. Since the State of Delaware has made the big jump, the blockchain will be universally accepted by business.

[Danny B]

Creating debt to finance consumption

The world-improvers are slowly shifting us to world socialism. Socialism is the firewall between non-producers and Darwinian pressures. BUT, supporting all those non-producers (bankers, bureaucrats and beggars) is getting quite expensive. The French GOV spends 57% of their GDP. Their are wildly out of compliance with Eurozone deficit rules. A State can only spend a small portion of the budget to support consumption. Money is spent either on consumption OR investment. If it is spent on investment, there is a chance for an increased return on investment.

If debt money is spent on consumption, it can never be repaid, other than with the proceeds from the money spent on investment. The investment spending must always be much larger than the consumption spending. In a debt-money system In the case of countries that ARE spending too much on consumption, they can temporarilyhttp://realinvestmentadvice.com/wp-c...wth-072217.png

"That clearing process is going to be very substantial. With the economy currently requiring roughly $3 of debt to create $1 of real, inflation-adjusted, economic growth, a reversion to a structurally manageable level of debt would involve a nearly $35 Trillion reduction of total credit market debt from current levels. "

https://realinvestmentadvice.com/how-big-of-a-deleveraging-are-we-talking-about/

You should read the whole article. The debt growth is going into hyperdrive. There doesn't seem to be an escape from our huge deflationary reset. After the reset, we could go to debt-free currency creation. Who knows?
Deutsche bank is doing their part to try to block Brexit, "Worse Than People Can Imagine" - Deutsche Bank To Shift $350 Billion Of Assets From London To Frankfurt | Zero Hedge

Governor Moonbeam will take care of them.
Yep, and it still hasn't worked.
At least you could hold a tulip bulb in your hands.

[Danny B]

https://dailyreckoning.com/dollar-demise-continues/

OK, most of you know that John Bedini developed a method for producing elemental gold. THAT would be a complication for a gold standard.
Aaron has sent out this announcement, Gold Magnet by Jeff Moe
A gold magnet would definitely cut down on the cost of extracting and refining gold.
There are so many wild cards in the deck, it is impossible to predict what will be a store of value 10 years from now.

[Danny B]

Electric vehicles,,, not yet

Here is an image showing how very important it is to switch over to electric cars.

https://mishgea.files.wordpress.com/2017/07/steen14.png?w=529&h=348

[Danny B]

The Greater Moderation - Danielle DiMartino Booth – Money Strong, LLC

" One of the most pernicious consequences of financialization is the shifting of risk from the top of the wealth-power pyramid to the bottom: those who benefit the most from financialization's leveraged, speculative credit bubbles protect themselves from losses while those at the bottom of the pyramid (the bottom 99.5%) face the full fury of financialization's formidable risk."
"As Chad observed, the wealthy own the income streams from debt (bonds, etc.), while everyone else owes the interest and principal due on debt. As this chart shows, the wealthy own business equity and financial securities and have a modest slice of debt. The bottom 90% owe most of the debt, and their primary asset is the family home-- an asset that doesn't generate income while it generates interest income for those who own the mortgage. "
"The asymmetry of risk and exposure to loss resulting from financialization is about to become consequential."
Of Two Minds - The Toxic Fruit of Financialization: Risk Is for Those at the Bottom

Venezuela has zillions of barrels of oil so, https://sputniknews.com/military/201...-latinamerica/
Venezuela is to be trashed in the short term to raise oil prices, What Trump's Venezuela Sanctions Will Do To Oil Prices: Barclays Explains | Zero Hedge
The militants are going to make sure that the place burns, https://www.bloomberg.com/news/artic...o-take-up-arms
The people are screwed no matter what, https://www.bloomberg.com/news/artic...w-constitution

"the IMF is worse than pathetic. Their chief economist just stated that the global economy is on track for the broadest synchronized upswing it has experienced in the past decade."
"Canada is experiencing a historic building boom" hot Chinese money

http://kingworldnews.com/john-embry-as-we-march-closer-to-economic-armageddon-something-is-terribly-wrong/

The CBs can create lots of money but, they can't control where it goes. Just like Canada, Australians are being priced out of the housing market.
It is very dangerous to price the average working man out of the housing market.

The IMF wants to be where the money is; https://www.rt.com/business/397424-i...ecade-lagarde/

http://kunstler.com/cluster****-nation/the-value-of-everything/

22 reasons;
Real GDP has grown 1.97%, .83% and .69% over the last 3, 5, and 10 years respectively.
The Federal Reserve forecast for real GDP is 2.05% and 1.90% for 2018 and 2019
Remember that FED GOV spends 24% of the gdp into existence with DEBT money.

http://www.zerohedge.com/news/2017-07-26/22-troublesome-facts

[Danny B]

The Ultimate Trifecta of Crony Capitalism | The American Conservative

The tab just keeps growing, "Total Government And Personal Debt In The U.S. Has Hit 41 Trillion Dollars ($329,961.34 Per Household)"
Total Government And Personal Debt In The U.S. Has Hit 41 Trillion Dollars ($329,961.34 Per Household) | Zero Hedge
The eventual debt liquidation is expected to erase $35 trillion. THAT will definitely leave a mark.

Illinois public servants have set a new benchmark for GOV consumption.
Why Illinois Is In Trouble - 63,000 Public Employees With $100,000+ Salaries Cost Taxpayers $10 Billion | Zero Hedge
The City of Bell, Ca must have been their spiritual guidance, Bell Reveals More Six-Figure Salaries - NBC Southern California

It can when the FED is your godfather.

Just like Vancouver and other cities favored by the Chinese. They can sustain these bubbles for a long time. 50% of the rich Chinese want to live some place other than China.
"In the 1990s as much as 50% of the debt of State Owned Enterprises went bad. The Chinese government engineered a huge bailout "

https://seekingalpha.com/article/4091155-update-china-debt

They are going to have to do this again.

[Danny B]

Permanent bailouts,,Saudi collapsing

The Central Banks engineered bailouts for enterprises, large and small. When consumption and manufacturing crashed in the West, the CBs came in to save the day. They expected to temporarilyNo more temporary.Credit Bubble Bulletin : Weekly Commentary: Five Years of Whatever It Takes

http://www.24hgold.com/english/news-gold-silver-chinese-leverage-to-kill-petro-dollar.aspx?article=11260085836H11690&redirect=false&contributor=Jim+Willie+CB&mk=1

Chinese money pours in. People buy RVs to have some place to live, https://dollarcollapse.com/stock-pri...-flashing-red/
Well, Raytheon and General Dynamics are doing well.
That should inspire lots of confidence.
Buy more popcorn
Jim Willie said that we would have to lease 10,000 tons to satisfy gold payment for trade if we want to continue our imports.
Their wages, markets and population are deflating.

Blockchain yes,,, bitcoin, no.

A few more hacks will change that.
Chinese money
So, they aren't going to let any ships come in?

Buy more bitcoin

[Danny B]

https://www.armstrongeconomics.com/international-news/europes-current-economy/refugees/refugee-crisis-tearing-europe-apart/

Australian Police Want a New Law to Covertly Turn All Phones into Listening Devices
The NSA is also in bed with major corporations and the idea of defending the economy has turned into defending corporations

Mother Nature avoids centralization and promotes inter-dependency.
Centralization didn't work for the U.S.S.R. and it appears that centralization is tearing the EU and USA apart.
Jordan Peterson argues that the "too big to fail" banks were so big that they HAD to fail.

https://www.youtube.com/watch?v=IpXVoSZyHXM&t=30s

Centralization forces everyone to walk the same path. This never works.

https://newswithviews.com/americans-oblivious-to-the-approaching-storm/

[Danny B]

Once again, my post got zapped. Here is the abbreviated entry.
Margin debt has gone screaming up to an all-time high. https://www.cmgwealth.com/wp-content...07/0707.01.png
The brokerage houses and banks have now invented shadow margin debt. Rich people borrow against their portfolio. Should their stock lose value, they will have to liquidate into a falling market.
Markets Relax Merrily on a Powerful Time Bomb | Wolf Street


Our standard of living continues to drop as we slide towards a global mean wage, Despite appearances, the idea of social progress is a myth | The Independent

"Clearly, the big concerns have been that all the economic theories are turning to dust. Nearly 10 years of quantitative easing has utterly failed to reverse course and the banks are most vulnerable in Southern Europe namely in Greece, Italy, and Spain. The understanding of inflation has collapsed as has the quantity of money theory and the notion that when interest rates rose, the stock market should have dropped. All of these theories still taught in school have crumbled to dust in the real world and people are more and more reaching out for help and explanations other than opinion."

https://www.armstrongeconomics.com/international-news/europes-current-economy/our-european-tour/

" Politics is disintegrating and it will only get far worse between now and 2021"

https://www.armstrongeconomics.com/international-news/politics/only-37-believe-the-democrats-stand-for-something/

http://www.zerohedge.com/news/2017-07-29/feds-are-terrified-cryptocurrencies-theyre-powerless-stop-them

Apparently, the transport system in Rome is even worse than the banking system.

http://www.zerohedge.com/news/2017-07-30/romes-transport-system-faces-meltdown-brink-collapse

The ECB refuses to let the zombies die for fear of systemic contagion. The zombies just grow bigger and a lot of them are Italian zombies.

[Danny B]

How Can America Afford A Universal Basic Income? Simple: "Tax The Robots" | Zero Hedge
Here are the best comments;
"So... let's assume that we have a program in place to give people a living wage. How will they while away their time? Drugs? Video games? Online porn? People need a reason for being, and consuming isn't it... Consider the massive increase in opiod use... pain killers do one thing, kill pain. People's lives are descending into hell.
It is a rare individual that can assign their own tasks in life. Most folks are self destructing... a process that is accelerating."

"Very true regarding human nature, but I see this coming automation as an inevitability. The question still remains: What about the people who will be put out of work as a result of this continued automation? Because it is not going to stop. It's just not. There is a very real crisis coming to the world's workforce if we don't get creative with our solutions, and I don't think they're going to be our grandparents' kind of solutions. "

"Automation is a sort of grim reaper eliminating both low level toilers and human interaction. 'Value' is created by reducing overhead in exchange for a ****tier, dehumanized experience. In the meantime, the workers who are replaced can now enjoy the glory of living out of their cars. The answer to automation is obviously heroin."
"Corporations have record debt on top of record personal debt and even larger unfunded entitlement liabilities, NONE of which can be paid for by a consumption tax, which is indirectly EXACTLY what corporate and business taxes are.

We are so weak and desperate that we are willing to cast rationality out the window and commit ourselves to absolute and irreversible redundancy"
"Automation will provide the goods and services to the OWNERS of this technology and ELIMINATE any need for the bulk of civilization."
"Technology has not YET reached the ability to make people redundant but this discussion shows us it's path. We have been manipulated through indoctrination, propaganda, marketing and redistribution to accept ever shrinking self sufficiency and independence while literally watching our jobs disappear."
"I get the philosophical aspect and agree; however, Pandora's box is not going to close. In fact, it is speeding up exponentially. The jobs are leaving whether we like it or not. And not just the blue collar automated jobs either. We are staring into the face of employment oblivion.

What are some real ways to deal with this coming automation that doesn't end in total catastrophe? I'm sincerely looking at what I see inevitably coming and looking for legitimate answers."
" You can't give EVERYONE a chunk of money, because who's going to pay for EVERYONE? there's no one left. Redistribution schemes only 'work' when you're taxing 'them' to give to 'us'. "
So, either people are supported with debt-free money, NOT taxes OR they reduce population.
"If you could tax the companies to make up for lost jobs, then there would be no benefit to automate in the first place. A UBI will be paid for through debt, just like everything else." Can't work,,, who repays the debt?

From the movie, Zardoz, The Eternals are overseen and protected from death by the Tabernacle, an artificial intelligence. Given their limitless lifespan, the Eternals have grown bored and corrupt. The needlessness of procreation has rendered the men impotent and meditation has replaced sleep. Others fall into catatonia, forming the social stratum the Eternals have named the "Apathetics".
We are moving towards a fork in the road. Employment will soon be a thing of the past. Who will receive support? Who will have a meaningful life? Will the masses be supported by debt-free money? Will they be able to maintain sanity. Will the herd be thinned?

[Danny B]

Westly: California public pensions still put state at risk
This is representative of GOV officials.

John Hussman has proved very well that returns will be negative 8-9 years out AND at zero % at the 10 year mark. Goldman Sachs recently concurred.
"Analysts at Goldman Sachs Asset Management pointed out that annualized returns on the S&P 500 10 years out were in the single digits or negative 99 percent of the time when starting with valuations at current levels."

https://www.cnbc.com/2017/07/31/theres-a-99-percent-chance-stock-market-returns-will-be-subpar-from-here.html

The public serpents are arguing over the difference between 7% and 7.75%

Ron Rosen, "This REPORT attempts to demonstrate that the day the Dollar Index crosses beneath the 91.88 level will probably be the beginning of a collapse in the stock averages "

https://dollarcollapse.com/dollar-5/ron-rosen-dollar-equities-plunge-gold-spikes/

https://dailyreckoning.com/currency-wars-trade-wars-shooting-wars/

https://www.armstrongeconomics.com/international-news/politics/trump-chaos/

http://kunstler.com/cluster****-nation/narratives-not-truths/

Private equity has quite a boom going by doing leveraged buyouts and then, asset stripping their victims.

https://straightlinelogic.com/2017/07/31/brick-and-mortar-retail-meltdown-fueled-by-asset-stripping-details-emerge-in-bankruptcy-courts-by-wolf-richter/

This is like "malware". It is a great business model. No matter that it destroys productive enterprise to satisfy the blood-suckers.
Freefire zone in the streets, http://www.zerohedge.com/news/2017-0...wn-dogs-street
The fast-fading empire, https://www.rt.com/op-edge/398234-us...inance-global/
THIS is the boat that you are in and it's going over the waterfalls.

[Danny B]

Bank freeze,,car loans,,death of Amazon

The politicians don't talk about something in public until it seems unavoidable.
"European markets includes a pan-European freezing of all bank accounts in the event of an impending banking crisis. The EU Commission is deeply concerned what happens when the EU stops its life-support for Eurozone government debt. They are actually considering the way in which multi-day cash disbursements can be practically implemented in order to resolve emergency measures for banks.
Their plan is looking at a prolonged banking and financial crisis that would be 20 to 30 days in duration. If government debt crashes with rising rates, then the reserves of banks will decline and this could result in a banking crisis unleashed when the EU stops its life-support program."
"The EU Commission will freeze all bank accounts for one week and up to one month if the crisis continues."
"Some countries already have legislation allowing for a total bank freeze such as Germany. Instead of bailouts, we have now move even beyond bail-ins, and into the realm of just total seizure. It is more likely that such a freeze will not preserve banks, but will result in more bank failures."
ah yes,,, contagion.

https://www.armstrongeconomics.com/world-news/banking-crisis/our-european-tour-part-ii-seizing-all-bank-accounts-throughout-eu/

https://www.caseyresearch.com/first-pillar-fall-coming-debt-crisis/

"During the first quarter, U.S. household borrowings hit $12.73 trillion"

https://casey-assets.s3.amazonaws.com/editorial/cdd/170801-cdd-chart02-1.png

https://dailyreckoning.com/amazon-new-tech-crash/

So, Amazon is toast in the long run.

Happily, solar, wind and gas are killing nukes, https://www.nytimes.com/2017/07/31/c...a.html?src=twr
Crosspost, total dysfunction, https://www.theautomaticearth.com/20...-the-yokeldom/
But don't worry. The economy is still expanding.
Well shoot,,, offer more credit.
Maybe we shouldn't threaten China with war.

Death awaits them and Pox Americana is making it worse by freezing their assets.

[Danny B]

Once again, we can't confuse State-sponsored crony capitalism with free-market capitalism.Vladimir Putin: Killing oligarchic schemes economically saved Russia | Veterans Today

"Money" is a token that you produced some kind of goods or services. You take this token and use it to purchase some other good or service. This is far more efficient than barter. The State is the main actor in the trio of non-producers that must survive by producing like tokens to have a claim on your productivity. Bankers, bureaucrats and beggars must have access to tokens to survive. The State mandates that you MUST use the tokens that THEY produce.
Regulatory capture ensures that the State will try to produce enough tokens to keep all the parasites supported. The interest-drain of usury means that the quantity of tokens must forever grow.

https://www.illinoispolicy.org/chicago-public-schools-to-pay-850-million-in-interest-on-500-million-loan/

"Chicago Public Schools to pay $850 million in interest on $500 million loan"

The State and the banks definitely have a great conundrum in the question of crypto-currencies. Free-market capitalism wants to escape the predations of the State and crony-capitalism. The West is pulling towards an electronic "token". The East is pulling towards a metallic token.
The crypto-currencies are not a good candidate for replacement of State tokens.
"This, ultimately, was bitcoin's promise to the world: a currency manufactured and supported by the users for the users, which no single entity could manipulate, and which no third party was required to intermediate. Understandably the pledge appealed most to those who might describe themselves as hard-money enthusiasts. Their view was that uncontrolled money creation was the probable cause of most economic instability in the world and must therefore be constrained. Bitcoin offered them the perfect conduit for this vision.

More than eight years after bitcoin's arrival, most of these principles have fallen by the wayside. Bitcoin spawned a litany of copycat systems -- each with its own profiteering opportunity for early adopters. It no longer matters, for example, that the system is being engulfed by rogue and untethered private-money creation. Nor does it seem to matter that it's been a long time since bitcoin could be honestly described as a decentralised system, free of intermediaries."
Izabella Kaminska: Crypto-currencies are mirroring pre-crash banking systems | Gold Anti-Trust Action Committeehttp://deviantinvestor.com/wp-conten...ord-image.jpeg
In A Better World | The Deviant Investor
It is obvious that the non-producers have control of the token machine.
They wind up the levers and springs and grab the cash through the bond market. "Greenspan Warns of Potential Bond Market Bubble"

https://finance.yahoo.com/video/greenspan-warns-potential-bond-market-175434047.html

"In its projections, the agency (Treasury) said in the first quarter of fiscal year 2018, the net marketable borrowing need is anticipated to be "substantially higher" -- at $501 billion

https://www.upi.com/Top_News/US/2017/08/02/Treasury-Higher-debt-ceiling-needed-to-fund-govt-after-September/9321501689730/

Sad news for Venezuela. They need to buy light crude to mix with their heavy, sour crude. They can't afford to buy it any more. Their home refineries are falling apart and their oil exports are of poor quality.

https://finance.yahoo.com/news/exclusive-venezuelan-oil-supply-phillips-66-falls-amid-005744830--finance.html

Pretty near all of the economic theories espoused by "progressive" economists have turned out to be garbage. They talked Modi into pulling all the big Rupee notes out of circulation. It failed miserably. They are still trying to recover, https://www.bloomberg.com/amp/news/a...epurchase-rate
More good news on the nuke story, https://www.nytimes.com/2017/07/31/c...a.html?src=twr

[Danny B]

Jim Willie,,, moving the IMF

Jim Willie has a lot of conjecture that isn't really on the horizon,,,, YET. He talks about a domestic New Scheiss dollar and an international dollar. OK, that's been done before many times. Everybody has their domestic currency and they use U.S. dollars or gold for international trade. Pox Americana abused their unlimited Bretton Woods credit card to give the world a sound thrashing and build an empire. We get a hint that there will be a major changing of the guard.

https://www.rt.com/business/397424-imf-move-beijing-decade-lagarde/

For the IMF to publicly come out and talk about moving to China, you know that there has to be SEVERE problems in the West that nobody is publicly talking about.
Jim Willie (excerpts from Youtube).

The pressures are building, even as Saudi desperation rises. The essence of the Petro-Dollar is global sales exclusively in USD terms. The weak link in the USDollar global currency reserve status is trade payments. The Saudi Kingdom is highly vulnerable in multiple ways, with grand deficits. The Saudis are being identified as liars on declared oil reserves. Consider the ARAMCO deal, where the Saudis claim the corporation is worth $2 trillion, but for which Western analysts estimate its value at most to be $500 billion.
Enter China on a white horse, to make an overly generous offer for an IPO stake. It will win them the right to force oil payments in RMB terms. Some certain copycat damage will occur with other Gulf Arab exporters and other Asian buyers. The geopolitical effect will be to declare the Petro-Dollar dead, and the King Dollar Era ended. As a result, pressure will build for the USGovt to create and launch a domestic only Dollar. It will suffer a powerful sequence of devaluations. The $500 billion annual US trade deficit will finally become a media topic.

Chinese Leverage to Kill Petro-dollar

July 29th: topics covered include USDollar fake corrupt support with QE, the coming dual universe of USD vs RMB in coexistence (which cannot be stopped), the coming IMF control of the International Dollar from Chinese offices, the global currency reserve risk of loss, the USFed bloated balance sheet at $4.5 trillion in toxic assets, the weak areas in the USEconomy in cars & pensions & energy sector, the Saudi-Qatar conflict as hint of Petro-Dollar fracture with late stage demise, the potential for Chinese oil purchases from Saudi but paid in RMB terms with powerful effect, the New Scheiss Dollar factors at work, the Trump America First reality with no progress on re-industrialization of the United States

https://www.youtube.com/watch?v=mCHUzrGe5SQ

GOLDEN JACKASS.COM - The Golden Jackass Knows Gold, Currencies & Bonds"

"$500 billion annual US trade deficit " We would have to increase our exports by $ 1.5 billion a day to live without a trade deficit. That isn't going to happen The world is wallowing in productive over-capacity at the same time that disposable income in the West is falling. Our stock market will go negative (John Hussman, Goldman Sachs). Our sovereign bond market will blow to smithereens (Martin Armstrong). Our corporate bond market survives solely on QE. Non-federal public debt is waiting for the inevitable meltdown. The pension funds are just a web of lies, not money.

If China does NOT go up in a cloud of revolutionary smoke, the IMF will probably move there. It is an open question of China wants the S.O.B.s

[Danny B]

supreme within its prescribed sphere, but powerless outside of it. In this country, sovereignty resides in the people, and congress can exercise no power which they have not, by their constitution, entrusted to it; all else is withheld."

https://www.armstrongeconomics.com/international-news/rule-of-law/is-the-federal-government-a-sovereign-or-a-corporation/

"We have a very serious problem with Congress. Their actions in far too many ways is displaying (1) a total disregard for international law, and (2) a clear arrogance that they will punish foreigners for not obeying US law outside the territorial jurisdictionGood article.

https://www.armstrongeconomics.com/international-news/rule-of-law/american-imperialism-why-congress-violates-international-law/

Well, that pretty much covers imperial over-reach. The world is closing ranks against us and our masters in Tel Aviv. The feces-for-brains in congress don't seem to appreciate the fact that America desperately needs imports. Pox Americana can not take on Russia-China now that Russia has their super-jamming system. America could possibly take on Iran. We could never prevail and israel would be a slag heap. The Straights of Hormuz would be Impassable for many years.