You are not allowed to view links.
Register or
LoginYou are not allowed to view links.
Register or
LoginMarch 27, 2010
Source of the original report commented: You are not allowed to view links.
Register or
LoginRead there if the translation of this comments it´s hard to follow (google translated).
About half a year ago we published two entries on You are not allowed to view links.
Register or
Login, its debt until 2007 and the estimated You are not allowed to view links.
Register or
Login.
Then came the, described by many experts, false economic recovery. The sense of recovery left the debate on the global economic situation aside from pirates, influenza A and multiple climatic phenomena that we discussed in recent times.
But do not let events happen, and after verifying that the artificial liquidity introduced by rescue plans for banks has been leaked to the public, it's time to regain this case and the imminent plans to complete an Elite widespread bankruptcy in the near future.
West and its deficit The British Telegraph You are not allowed to view links.
Register or
Login a table of the world's major shortcomings, which we reproduce below:
Deficit as% of GDP Iceland 15.7
Greece 12.7
United Kingdom 12.6
Ireland 12.2
United States 11.2
Spain 9.6
France 8.2
Japan 7.4
Portugal 6.7
Canada 4.8
Australia 4
Germany 3.2
Provinientes * Data from a study in November 2009 by the OECD. The first thing I can mention here, these data confirm fears about the U.S. economic situation reflected by OR in the U.S. Bankruptcy insurmountable I and II. In addition, this situation has spread to the rest virulence of Western economies. The plans consist indebted to the U.S. to dissolve as a nation not only on track but are being implemented simultaneously with the rest of the West. The key drivers of liberal capitalism are "flu." West goes, sweetly spiced between football and Hollywood clunkers, toward greater global recession in history.
Gavin Andrew Marshall in a special article published in the portal You are not allowed to view links.
Register or
Login that used a more appropriate analogy based on a straight fall of dominoes, each of which represents the economy of a particular country:
"The Western world has been plundered to plunge him into poverty, a process that develops slowly for quite some time but after the deployment of the economic crisis will be quickly accelerated. As our societies collapse, governments will protect banks and multinationals. When people throw into the street, as undoubtedly will happen, governments will not come to his aid, but do so with the police and army to crush protests and oppress them. The social foundations will collapse with the economy and States take drastic measures to prevent re-build new ones.
The road to recovery is still distant. When the crisis has ended, the world we live in today has changed dramatically. No one grows in the same world you were born, things change forever. Our days are no exception. The only difference is that that approach is the most rapid changes that the world has seen to date. " We have discussed in Parts I and II as the U.S. has been de-industrialized and indebted to force its collapse and fragmentation. We also anticipate that this will occur only when other countries are also prepared to cede their sovereignty by the same strategy: global debt and bankruptcy. These are the concepts that have been put on the table to meet the conditions for a just government, law and economics supplant the current organization independent kingdoms and republics State. We are approaching at breakneck speed towards these goals and, worst of all is that many do not even know it.
Objectives of the Global Economic Crisis Marshall refers to in his recent, and brilliant, Article:
"It reassured people with a false sense of security based on a cunning apparent economic recovery. Unfortunately, most created in this recovery does not make reality, especially when the people making the decisions think and act in the opposite direction. The deficit crisis that has unfolded over the past two years and that seems to have worsened in recent months in Greece, is a warning sign for the rest of Western civilization. The crisis threatens to spread to Spain, Portugal and Ireland as do the dominoes in his fall: dragging each piece to the next ... one country after another collapse due to high debt and the crisis of the different currencies until the United States. "Oddly, considering the table with the largest global deficits, including in the previous section, Marshall makes no mention of the collapse of other great under threat as Italy, France or, more likely, failure of the United Kingdom. The answer to this observation later obtain but we can begin to discern a separation between two groups: those known as PIGS by the Financial Times and the visible head of the neo-liberal capitalism. The first seems to exert Turkish head of staging the most severe economic downturns (Greece, Iceland and Spain and have suffered dramatically). Some authors such as Victor Thorn suggest that, besides, they will act as social laboratories in which the reactions will be studied experimentally to collapse. The rest, despite having a deficit similar to that of the PIGS, would fall into recession but only would his fall at the final stage. If the facts confirm this hypothesis in the coming years would be further evidence orchestrated denoting the order of events.
"In October 2008, the media and politicians of the Western world warned of impending depression if they were not taken urgent steps to prevent it. The problem was that this crisis was coming long ago and chewing, which is worse, actions taken by the governments failed to address any systemic problems affecting the heart of the global economy. They just tried to save the banking sector collapse. To this end, governments worldwide have implemented massive rescue plans, plunging them all into deep debt to save the banks themselves to be borne by the rest of the world."The effect of these measures, and other advanced techniques such as looting scandal Influenza A have been deficits in different countries will be addressed in the following sections.
Marshall continues his description to the point where we are today:
"After this happened a welter of speculation in the markets, a result of money injected into Wall Street, but away from the real economy by such measures. In this way the vaunted recovery has been nothing more than a complete and total fantasy processed in the next two years in a total collapse.
The government gave the banks a blank check charged to the general public and now it's time to pay through a drastic tax increase, cuts in social spending, privatization of remaining state industry, dismantling protective tariffs and trade regulations and increasing interest rates. The effect will all this is the dramatic acceleration in volume and time, overall unemployment rates. The markets will crash at record lows that lead governments to suspend contributions.
When the crisis ends, the middle classes of the Western world will have been removed from their economic status, political and social. The global economy will have suffered the biggest process of industry consolidation and banker in the history of the world into a system in which only a few banks and corporative control the global economy and its resources. Governments have lost this right. The people of the Western world will be handled by financial oligarchs as they had tried earlier to the 'global South' and in particular, to Africa. Will eliminate our social structures and foundations so we get to be completely subservient by his command of political and economic structures of our society " How did we get here? The hegemony of neo-liberalism The answer has already been treated in the U.S. Bankruptcy insurmountable I and II through a historical analysis of empires Western bankers and their control of world politics fully achieved during the twentieth century. This was further accentuated in the second half of the century with the emergence of neo-liberalism.
In 1977, a new U.S. administration came to power under President Jimmy Carter, who was also a member of the Trilateral Commission. With this administration came two dozen other miebros of the Commission to key positions in that government. In 1973, Paul Volcker, a rising star on arrival from Chase Manhattan and the Treasury Department, had also become part of the Trilateral Commission. In 1975 he was appointed Chairman of the New York Federal Reserve, the most powerful of the 12 regional Federal Banks. En1979, Jimmy Carter awarded the post of Secretary of Treasury to the ex-governor of the Federal Reserve System, and in return, David Rockefeller recommended that Jimmy Carter nominated Paul Volcker as Governor of the Federal Reserve Board, which Carter did not take long doing.
In 1979, oil prices shot up again. This time Paul Volcker, from the Federal Reserve, took a different approach. His response was dramatic incrmento interest rates. They went from 2% in the late 70s to 18% in the early 80s. The effect this had on the U.S. economy was put it into a major recession. His imported by developing countries from the drastically reduced. At the same time these nations, which had borrowed heavily to finance its industrialization, they suddenly found themselves having to pay a 18% interest on their loans. The idea that they could ask plenty of loans that could help them build an industrial society which, in turn, allow these credits back ran into a concrete wall. As the U.S. dollar had been distributed worldwide in the form of petrodollars and or credits, the decisions taken by the Fed would affect the entire world. In 1982, Mexico announced it could not take charge of your debt. This marked the extent of the crisis deudataria-80 from Latin America and Africa.
Suddenly, much of the developing world was dragged into a crisis. At that time the International Monetary Fund (IMF) and World Bank (WB) entered the scene with the "Structural Adjustment Programmes (SAPs in English), which lead to troubled countries to sign an agreement, the SAP, by which credit is obtained for the same provinientes IMF and / or "Development Projects" by the WB. In return, the nation would have to introduce a restructuring towards neo-liberalism.
The Neo-liberalism has spread from the U.S. and the UK in the 1980s through their empires and financial instruments, including the WB and the IMF, which spread neo-liberal ideology throughout the world. In countries that resisted neoliberalism, were induced "regime change" through financial manipulation, mainly through currency speculation or by hegemonic monetary policies of Western nations (with the U.S. in the lead): economic sanctions through the UN or simple bilateral sanctions, covert regime change and executed by the structures of the CIA (revolutions of certain "colors", orange, green, etc., coups, assassinations, strategic, and sometimes military campaigns and / or wars).
The neo-liberal ideology was what has been often referred to as the "free market fundamentalism." This leads to a massive wave of privatization of property and public sector industries to become "more productive and efficient" economically. This meant ending whole areas of public officers, especially in the areas of education and health but also specially protected domestic industries, which accounted for many poor nations vital to obtain natural resources at an affordable price.
Then the market would be "liberalized" which means that reestricciones and impediments to foreign investment in the nation would be reduced or eliminated (in an ideal case) through the elimination of trade tariffs and taxes. Thus, the capital abroad (corporative and Western banks) could easily invest in the country, while domestic industries to grow and "compete" would be able to invest in other countries around the world. The Central Bank of that nation then remain interest rates artificially low to facilitate the movement of money in and out of the country. The effect of this would be corporative and international banks would be able to easily buy privatized industries and, thus,
buy the national economy. Simultaneously, the largest domestic industries would be allowed to grow and work with coorporacionesy global banks. Essentially,
this would come to the national economy oligopolized taking it to the sphere of influence of the "global economy" controlled by and for Western elites.
The European empires had imposed on Africa and other colonized peoples around the world, a sort of "indirect rule" by which local government structures were restructured into a system in which the local population is governed by locals, but for Western colonial powers. This creates a local elite that is enriched by the colonial system and therefore has no interest in dealing with the colonial power, and whether to protect their own interests, which coincide with those of empire.
The 'Third World' has been taken over and reorganized by companies and the interests of the global elite.
This is a system of "indirect rule" local elites to exercise the role of "indirect globalizing" have been absorbed by the global system and its imperial structures.
Following a structural adjustment program, lots of unemployed people had settled, prices of essential commodities like food and fuel will increase, sometimes well above 100%, while the currency loses its value. Poverty will spread and whole sectors of the economy will be deactivated. In developing Asia, Latin America and Africa, these policies are particularly hurtful. No safety nets to fall in, people go hungry and the state public will be dismantled.
In regard to Africa, the continent is deindustrialized so rapidly during the 80s and 90s that poverty has increased to an incredible degree. In these circumstances, the conflict will expand. In the 90s the harmful effects of neoliberal policies were easily and quickly observed in the African continent. However, the widespread notion in the academic atmosphere in the media and in politics is that the state of Africa is due solely to the mismanagement of Africa. The criticisms are strategically placed in just the national governments. While it is true that those governments and national elites acted as accomplices of such problems, these taxes came from beyond the continent and not from within.
Thus, during the 90s, the concept of "good governance" became fashionable. This is that in return for loans and "aid" obtained from the IMF and World Bank, the nations need to reform not only in the economic sector but also should create conditions for what was understood from the West " good governance. " However, in neoliberal parlance, "good governance" means "minimum government, and governments still had to dismantle their public sectors. Just had to start using the illusion of democracy by holding elections and permitting the formation of the civil society. The "Freedom" but applies only in the economic sphere, in the sense that the country would be free for the entry of Western capital.
While poverty and mass violence spread through the continent, people had been granted the "gift" of the elections. Elect a leader who was later locked in a political and economic structure by default, but that quickly enriched at the expense of their fellow citizens. These political leaders would be discarded or simply following these elections would be rigged in terms of how good a manager who was to Western interests. These practices are not applied only in the developing world (let's look at Barack Obama campaign and its sad post office) would perpetuate a leader to another without any real change in policy of the country happen.
In an article published in the 2002 edition of International Affairs, the journal of the Royal Institute of International Affairs (the analogous British Council on Foreign Relations, CFR), stated:
"In 1960 the average income of 20% of the world's richest people was 30 times that of the poorest 20%. By 1990 it was 60 times and by 1997, 74 times. Today the three largest holdings of millionaires exceed the combined GDP of all least developed countries and their 600 million inhabitants.
This was the context in which there has been an explosive growth in the presence of Western and non-governmental organizations (NGOs) in Africa. These now form part of the "development machine", a vast institutional and disciplinary nexus of official agencies, doctors, schools and a diverse group of experts
to produce and consume knowledge about the "developing world." [. . . ] The support (which express NGOs play a significant role) is usually seen as a form of altruism, a charitable act that allows goods to flow from rich to poor, reduce poverty and give impetus to the poor .
At this point the authors explain that NGOs have suffered a evoluciónpeculiar in Africa:
"His role in the" development "represents continuity in the work of their precursors, the missionaries and voluntary organizations that cooperated in the colonization and control of Africa by Europe. Today their work contributes marginally to the relief of poverty, but does so significantly when undermine the African people's struggle for emancipation from political oppression, social and economic "(Issue 78, Vol 3, 2002: pg 568).
The authors examined how the expansion of neoliberalism, the notion of "minimalist state" was distributed throughout the world and also for Africa. Thus, explaining that the IMF and World Bank
"became the new commander of the post-colonial economies." However, these policies were not imposed without was resisted:
"Between 1976 and 1992 were 146 protests against austerity measures supported by the IMF [SAPs] in 39 countries around the world. "governments usually responded with brute force with violent demonstrations of oppression. The widespread opposition to these" reforms "need to be considered by such organizations and agencies' aid "in a re-evaluation of the concept of" development. " (No. 78, Vol 3, 2002: pg 578).
The outcome of these deliberations was the agenda for "good governance" in the 90 and the decision to invite NGOs and other social organizations a new program of welfare provision, a social initiative that could be described more accurately as a social control program.
As a result we implemented the concept of "pluralism" in the form of "multi", which only ended up bringing "the public domain the angry divisions between sections of the ruling class in its struggle for control of the state." As for the "welfare initiatives, bilateral aid agencies and multilateral set aside significant funds to address the social dimension of economic adjustment," which "minimize the most glaring inequalities that perpetuate such policies." This is why the rapid growth of NGOs in Africa As for the 'welfare Initiatives', the bilateral and multilateral agencies Aid Significant set-aside funds for Addressing the "social dimensions of adjustment," which would "minimize the more glaring That Their Inequalities Policies perpetuated. "This is Where the Growth of NGOs in Africa Rapidly accelerated. [International Affairs: No. 78, Vol 3, 2002: pg 579]
Africa was again enthralled the pitfalls of imperialism. Conflicts would be agitated by the imperial forces foreigners, often using ethnic arguments to divide people and African political leaders as vassals of the Western hegemony. The war and conflict would spread, and thus so would the capital and Western multinationals.
Building a 'New' Economy While the developing world fell under the heavy sword of Western neoliberal hegemony, Western industrialized societies experienced a rapid growth of its own economic strength. It was the Western banks and multinationals which spread and took control of the economies of Africa, Latin America, Asia, and with the fall of the Soviet Union in 1991, Eastern Europe and Central Asia ..
Russia was opened to Western finance and the IMF and World Bank imposed a neoliberal restructuring, which led to the collapse of the Russian economy and the enrichment of a few oligarchs, billionaires, intricately connected with the Western economic interests, which now possess ( Again, "globalists indirect").
As the Western financial and commercial sectors were taking control of the vast majority of planetary resources and their productive industries (amassing incredible benefits), was a need for "business" in which to invest. Given the need for a new way the accumulation of capital, the U.S. Federal Reserve took a step forward in the 1990s gradually reducing interest rates to facilitate the flow of money again. This was the era of 'globalization,' in which they appeared for the first time calls for a "New World Order." Regional trading blocs and agreements of "free trade" expanded rapidly, while the national political and economic structures made the leap towards a supra-national. The Free Trade Agreement of North America (NAFTA) was implemented in a way " economic constitution for North America "as Reagan called it. The same model was developed in a more important development in Europe through the European Union.
The world economy is 'globalized' and did just as political structures at regional and global levels. The World Trade Organization (WTO) was established to maintain and enshrine a constitution for the neoliberal global trade. During this time, a true global ruling class emerged, the transnational capitalist class (TCC), or global Elite, which was a unique international class.
However, as the goods and the power of elites grew, all the rest of the world has been suffering. The middle class has been subject to a creeping dismantling. In Western developed nations, industries and factories closed, being replaced in countries of the Third World "to exploit their labor to sell cheaper and cheaper products in the West. Western living standards began to fall, but we could buy cheaper products no one seemed to complain. We continued eating and using credit to do so. The middle class only existed in theory, tied to the shackles of debt.
The Clinton administration used the 'globalization' as its grand strategy during the 90s, making the decline of productive capital (money flowing into the production of goods and services), and implemented an increase of financial capital (money created in money). Thus, financial speculation became one of the keys to economic expansion. This was described as "financialization" of the economy (Because we live in Financial Times, the slogan of the newspaper).To allow this to happen, the Clinton administration was active in the deregulation of the banking sector. Glass-Steagles Law Act, approved by Roosevelt in 1933 to prevent the merger of commercial banks and investment banks (the resulting speculation in large part created the Great Depression), was slowly dismantled through coordinated efforts of the largest banks of America, the Federal Reserve (owned by major international banks) and the Department of U.S. Treasury.
At that time, a massive wave of consolidation took place and the big banks ate the big boys, such corporative institutions were merged and were no longer going to American or European is truly global. Some of the key people who took part in the dismantling Glass-Steagles the Act and the expansion of the 'financialization' were Alan Greenspan at the Federal Reserve, Robert Rubin and Lawrence Summers from the Department of the Treasury, now key members of Obama's economic team.
This era saw the birth of the 'derivatives' which are 'complex financial instruments' which essentially act as insurance policies in the short term, betting and speculating on the price of an asset or a product will remain in the market, enabling earn money role of markets or prices rise or fall. However, these were not called "safe" because the insurance must be regulated. Therefore, were classified as "remarketing of derivatives and hedge fund organizations called stepped in to manage global trade in derivatives.
The markets rose while the speculation about future profits led them to increasingly higher levels, inflating the bubble mass of what was described as' virtual economy. " The Federal Reserve facilitated this, as he had done earlier in the Great Depression, keeping interest rates artificially low, allowing easy flow of money into the financial sector bubble inflating the dotcom in the technology sector. When this bubble burst, the Federal Reserve Allen Greenspan at the helm, created the "housing bubble."
This continued low interest rates and actively encouraged the flow of money into real estate. Reigned banks and other credit facilities to high-risk individuals who could never repay the debt. Again, the middle class only existed in the "myth of the free market."
At the same time, from the 90s to the beginning of XXI century, the role of speculation as a financial tool of war became apparent. In the global neoliberal economy, the money could easily flow from inside and outside the countries AHCI. Thus, when the confidence on the economy of a country is weakening, there may be a case of 'capital flight' that foreigners investors sell their assets in the currency of that country and withdraw their capital from it. This results in an inevitable collapse of the country's economy (as we shall see in Part II, has happened with Iceland and Greece).
This has already occurred in Mexico in 1994, through the process of binding to NAFTA, during which international investors speculated against the Mexican peso, betting that collapse, changed their pesos for dollars, which devalued the peso and Mexico's economy collapsed. This was followed by the 1997 Asian financial crisis. However, this resulted in an over-investment, as the real economy (production, etc) could not absorb the speculative capital. Thus the western capital feared a crisis and started to speculate against the national currencies of East Asia, which led to the devaluation of them and the financial panic following the flight of capital from East Asia to Western banks. Economies was collapsed and the IMF to restructure appropriately. The same strategy was carried out with Russia in 1998 and Argentina in 2001.
End Part I
Continue with the induced collapse of the Icelandic and Greek economies
Text: Andrew Gavin Marshall and Writing OR
Translation to Spanish: Antonio Sempere