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Gary Edwards

America Is Exhibiting All of the Signs of a Failing Empire Washington's Blog - 1 views

  • The U.S. is also following the age-old recipe for imperial decline by: Creating unsustainable levels of inequality Destroying upward mobility (and see this) Incurring staggering levels of debt to finance war and luxury goods Debasing its currency Military overspending Runaway corruption Apathy and greed And the decline of the America empire is speeding up due the U.S. falling into the Thucydides trap.
  • The U.S. is also following the age-old recipe for imperial decline by: Creating unsustainable levels of inequality Destroying upward mobility (and see this) Incurring staggering levels of debt to finance war and luxury goods Debasing its currency Military overspending Runaway corruption Apathy and greed And the decline of the America empire is speeding up due the U.S. falling into the Thucydides trap.
  • The U.S. is also following the age-old recipe for imperial decline by: Creating unsustainable levels of inequality Destroying upward mobility (and see this) Incurring staggering levels of debt to finance war and luxury goods Debasing its currency Military overspending Runaway corruption Apathy and greed And the decline of the America empire is speeding up due the U.S. falling into the Thucydides trap.
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  • The U.S. is also following the age-old recipe for imperial decline by: Creating unsustainable levels of inequality Destroying upward mobility (and see this) Incurring staggering levels of debt to finance war and luxury goods Debasing its currency Military overspending Runaway corruption Apathy and greed And the decline of the America empire is speeding up due the U.S. falling into the Thucydides trap.
  • The U.S. is also following the age-old recipe for imperial decline by: Creating unsustainable levels of inequality Destroying upward mobility (and see this) Incurring staggering levels of debt to finance war and luxury goods Debasing its currency Military overspending Runaway corruption Apathy and greed And the decline of the America empire is speeding up due the U.S. falling into the Thucydides trap.
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    "America Is Exhibiting All of the Signs of a Failing Empire Posted on October 10, 2015 by WashingtonsBlog The American Empire Is Quickly Declining Consummate insider Colonel Lawrence Wilkerson - former chief of staff to Colin Powell, and now distinguished adjunct professor of Government and Public Policy at William & Mary - notes that the U.S. is exhibiting all of the signs of a failing empire, including: Relying on massive military force (and using gigantic complexes to support it) as the be-all and end-all of power, and belittling diplomacy Maintaining standing armies, instead of disbanding military forces between wars Using more mercenary forces than citizen troops Spending disproportionately large amounts of blood and treasure in order to counter threats on the status quo … which simply exacerbates the threat against the empire Going ethically and morally bankrupt Ending up up having bankers and financiers end up running the real power Suffering great hiccups in finance and trade The leaders no longer really believe in or follow the ideals of the founders"
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    The 1 hour-25 minute video talk is well worth listening to. Col. Wilkerson is now a professor who has deeply studied the decline of empires. He speaks from deep knowledge both as a former insider and as a scholar about the state of the American Empire. But notice that the linked page has two copies of the same talk embedded. Don't bother watching both unless you want to hear it twice. :-)
Paul Merrell

A Snapshot of a Multipolar World in Action « LobeLog - 0 views

  • In the strangest election year in recent American history — one in which the Libertarian Party’s Gary Johnson couldn’t even conjure up the name of a foreign leader he “admired” while Donald Trump remained intent on building his “fat, beautiful wall” and “taking” Iraq oil — the world may be out of focus for many Americans right now.  So a little introduction to the planet we actually inhabit is in order.  Welcome to a multipolar world.  One fact stands out: Earth is no longer the property of the globe’s “sole superpower.” If you want proof, you can start by checking out Moscow’s recent role in reshaping the civil war in Syria and frustrating Washington’s agenda to overthrow President Bashar al-Assad.  And that’s just one of a number of developments that highlight America’s diminishing power globally in both the military and the diplomatic arenas.  On a peaceable note, consider the way China has successfully launched the Asian Infrastructure Investment Bank as a rival to the World Bank, not to speak of its implementation of a plan to link numerous countries in Asia and Europe to China in a vast multinational transportation and pipeline network it grandly calls the One Belt and One Road system, or the New Silk Road project.  In such developments, one can see ways in which the previously overwhelming economic power of the U.S. is gradually being challenged and curtailed internationally.
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    Yes. We have an empire in decline. Isn't it about time that our politicians address that reality rather than exchanging barbs about "making America great again" or "America is still great?" The western economic system needs a rework to accommodate the reality that western economies will not continually expand and will instead contract. We need to address the reality that there are no longer enough living wage jobs; is it time to recognize that we don't need for everyone to work and flip to an economic model where the rich subsidize the poor instead of vice versa? And it's past time to recognize that the Cold War is over, downsize the military drastically, and refocus our military on defense rather than projection of power. We have enough nukes to melt down the entire planet; why do we need a large military force to defend the Homeland? No conventional force would dare invade while we still have the nukes. Defense could probably be handled with two ground divisions, one for the continental U.S. and the other dispersed among Hawaii, Alaska, and U.S. territories. Get rid of the aircraft carrier groups; they've been obsoleted by Russia's advanced hypersonic carrier killer missiles, which it has shared with China and looks to be soon sharing with India. Maybe it's time for a new Diigo group, "The Empire in Decline?"
Paul Merrell

Tomgram: Dilip Hiro, Behind the Coup in Egypt | TomDispatch - 0 views

  • Given how long the United States has been Egypt’s critical supporter, the State Department and Pentagon bureaucracies should have built up a storehouse of understanding as to what makes the Land of the Pharaohs tick. Their failure to do so, coupled with a striking lack of familiarity by two administrations with the country’s recent history, has led to America’s humiliating sidelining in Egypt. It’s a story that has yet to be pieced together, although it’s indicative of how from Kabul to Bonn, Baghdad to Rio de Janeiro so many ruling elites no longer feel that listening to Washington is a must.
  • The helplessness of Washington before a client state with an economy in freefall was little short of stunning. Pentagon officials, for instance, revealed that since the “ouster of Mr. Morsi,” Defense Secretary Chuck Hagel had had 15 telephone conversations with coup leader General Sisi, pleading with him to “change course” -- all in vain. Five weeks later, the disjuncture between Washington and Cairo became embarrassingly overt. On September 23rd, the Cairo Court for Urgent Matters ordered the 85-year-old Muslim Brotherhood disbanded. In a speech at the U.N. General Assembly the next day, President Obama stated that, in deposing Morsi, the Egyptian military had “responded to the desires of millions of Egyptians who believed the revolution had taken a wrong turn.” He then offered only token criticism, claiming that the new military government had “made decisions inconsistent with inclusive democracy” and that future American support would “depend upon Egypt's progress in pursuing a more democratic path.” General Sisi was having none of this. In a newspaper interview on October 9th, he warned that he would not tolerate pressure from Washington “whether through actions or hints.” Already, there had been a sign that Uncle Sam’s mild criticism was being diluted. A day earlier, National Security Council spokeswoman Caitlin Hayden stated that reports that all military assistance to Egypt would be halted were “false.”
  • In early November, unmistakably pliant words came from Secretary of State John Kerry. “The roadmap [to democracy] is being carried out to the best of our perception,” he said at a press conference, while standing alongside his Egyptian counterpart Nabil Fahmy during a surprise stopover in Cairo. “There are questions we have here and there about one thing or another, but Foreign Minister Fahmy has reemphasized to me again and again that they have every intent and they are determined to fulfill that particular decision and that [democratic] track.”
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  • By this time, the diplomatic and financial support of the oil rich Gulf States ruled by autocratic monarchs was proving crucial to the military regime in Cairo. Immediately after the coup, Saudi Arabia, Kuwait, and the United Arab Emirates (UAE) poured $12 billion into Cairo's nearly empty coffers. In late January 2014, Saudi Arabia and the UAE came up with an additional $5.8 billion. This helped Sisi brush off any pressure from Washington and monopolize power his way.
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    Add Egypt to the score card of nations departing from U.S. control, with the U.S. still shoving money at it. (The Egyptian generals told the U.S. that they would cut a weapons deal with Russia if the U.S. stopped providing them. Of course when the profits of the U.S. armaments industry and Israel's imperial ambitions are involved, incredible human rights violations don't look nearly as bad in the White House. And note that the Egyptian generals were assisted in their escape by the House of Saud, United Arab Emirates, and Qatar. Note that I've added a new tag, "nations-jumping-ship" to begin tracking what nations formerly under U.S. control are jumping off the U.S. ship.
Paul Merrell

Washington Misses Bigger Picture of New Chinese Bank « LobeLog - 0 views

  • Bibi Netanyahu’s election, persistent violence through much of the Middle East and North Africa, and intensified efforts to forge a nuclear deal between the P5+1 and Iran topped the news here in Washington this week. But a much bigger story in terms of the future order of global politics was taking place in Europe and Beijing. The story was simply this: virtually all of the closest European allies of the United States, beginning with Britain, defied pressure from Washington by deciding to apply for founding membership in the Asian Infrastructure Investment Bank (AIIB). This Chinese initiative could quickly rival the World Bank and the Asia Development Bank as a major source of funding for big development projects across Eurasia. The new bank, which offers a serious multilateral alternative to the Western-dominated international financial institutions (IFIs) established in the post-World War II order, is expected to attract about three dozen initial members, including all of China’s Asian neighbors (with the possible exception of Japan). Australia, Russia, Saudi Arabia, and other Gulf states are also likely to join by the March 31 deadline set by Beijing for prospective co-founders to apply. Its $50 billion in initial capital is expected to double with the addition of new members, and that amount could quickly grow given China’s $3 trillion in foreign-exchange reserves. More details about the bank can be found in a helpful Q&A here at the Council on Foreign Relations website.
  • Along with the so-called BRICS bank—whose membership so far is limited to Brazil, Russia, India, China and South Africa—the AIIB poses a real “challenge to the existing global economic order,” which, of course, Western nations have dominated since the establishment of the International Monetary Fund (IMF) and the World Bank in the final days of World War II. As one unnamed European official told The New York Times, “We have moved from the world of 1945.” That Washington’s closest Western allies are now racing to join the AIIB over U.S. objections offers yet more evidence that the “unipolar moment” celebrated by neoconservatives and aggressive nationalists 25 years ago and then reaffirmed by the same forces after the 2003 Iraq invasion is well and truly. And yet, these same neoconservatives continue to insist that—but for Obama’s weakness and defeatism—the United States remains so powerful that it really doesn’t have to take account of anyone’s interests outside its borders except, maybe, Israel’s. (That Washington’s closest Western allies are now racing to join the new bank over U.S. objections could also presage a greater willingness to abandon the international sanctions regime against Iran if Washington is seen as responsible for the collapse of the P5+1 nuclear negotiations with Tehran. Granted, Iran’s economy—and its potential as a source of investment capital—is itsy-bitsy compared to China.)
  • Indeed, commentators are depicting US allies’ decision to join the AIIB (see here, here, and here as examples) as a debacle for U.S. diplomacy. The Wall Street Journal editorial board has predictably blamed Obama for defeat, calling it a “case study in declining American influence” (although it also defended Washington’s decision against joining and accused Britain of “appeasing China for commercial purposes.”) What the Journal predictably didn’t mention was a key reason why the administration did not seek membership in the new bank: there was virtually no chance that a Republican-dominated Congress would approve it. Indeed, one reason Beijing launched its initiative and so many of our allies in both Asia and Europe have decided to join is their frustration with Republicans in Congress who have refused to ratify a major reform package designed to give developing countries, including China, a little more voting power on the Western-dominated governing boards of the IMF and the World Bank. The Group of 20 (G20) biggest economic powers actually proposed this reform in 2010, and it doesn’t even reduce Washington’s voting power, which gives it an effective veto over major policy changes in both institutions. As a result of this intransigence, the United States is the only G-20 member that has failed to ratify the reforms, effectively blocking their implementation.
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    U.S. global hegemony is rapidly disintegrating as former puppet states in Europe jump from the dwindling dollar economy to the rising remnimbi/ruble BRICS economies. And many of the "stans" south of Russia threatened by U.S. mercenaries provided by the Gulf Coast States are jumping in that direction too, along with Turkey, a NATO member. The Stans involved are oil and natural gas rich; combined with Russian oil and gas, they have enough oil and gas reserves to rival the Gulf Coast States.  The most interesting part to me is the debate now under way in the EU over dropping out of NATO and creating a replacement European mutual defense force that excludes the U.S. I'm beginning to hit some chatter about inviting Russia into that hypoethesized treaty. That makes sense for the EU because it would give Europe the benefit of Russian nuclear deterrence, both in land and submarine-based ICBMs. I'm not convinced that Russia would sign on. Russia is already running joint military exercises with China, which is playing the role of Russia's economic savior at this point. So China might have the final say on that scenario. A pan-Eurasian mutual defense treaty? What would be left of the U.S. Empire without NATO, particularly given that the dollar would surely collapse before such a treaty were signed? The War Party in Congress has only one tool to work with, war, and when all you have is a hammer, all problems look like nails. Current U.S. military power is built around the capacity to wage two major wars concurrently, but is very heavily dependent on NATO to do so. I'm not sure at all that the War Party has what it takes to cope with a peaceful group boycott by other NATO members. 
Paul Merrell

How the U.S. Uses Surveillance and Scandal to Advance Its Global Control | Alternet - 0 views

  • For more than six months, Edward Snowden’s revelations about the National Security Agency (NSA) have been pouring out from the Washington Post, the New York Times, the Guardian, Germany’s Der Spiegel, and Brazil’s O Globo, among other places.  Yet no one has pointed out the combination of factors that made the NSA’s expanding programs to monitor the world seem like such a slam-dunk development in Washington.  The answer is remarkably simple.  For an imperial power losing its economic grip on the planet and heading into more austere times, the NSA’s latest technological breakthroughs look like a bargain basement deal when it comes to projecting power and keeping subordinate allies in line -- like, in fact, the steal of the century.  Even when disaster turned out to be attached to them, the NSA’s surveillance programs have come with such a discounted price tag that no Washington elite was going to reject them.For well over a century, from the pacification of the Philippines in 1898 to trade negotiations with the European Union today, surveillance and its kissing cousins, scandal and scurrilous information, have been key weapons in Washington’s search for global dominion. Not surprisingly, in a post-9/11 bipartisan exercise of executive power, George W. Bush and Barack Obama have presided over building the NSA step by secret step into a digital panopticon designed to monitor the communications of every American and foreign leaders worldwide.
  • What exactly was the aim of such an unprecedented program of massive domestic and planetary spying, which clearly carried the risk of controversy at home and abroad? Here, an awareness of the more than century-long history of U.S. surveillance can guide us through the billions of bytes swept up by the NSA to the strategic significance of such a program for the planet’s last superpower. What the past reveals is a long-term relationship between American state surveillance and political scandal that helps illuminate the unacknowledged reason why the NSA monitors America’s closest allies.Not only does such surveillance help gain intelligence advantageous to U.S. diplomacy, trade relations, and war-making, but it also scoops up intimate information that can provide leverage -- akin to blackmail -- in sensitive global dealings and negotiations of every sort. The NSA’s global panopticon thus fulfills an ancient dream of empire. With a few computer key strokes, the agency has solved the problem that has bedeviled world powers since at least the time of Caesar Augustus: how to control unruly local leaders, who are the foundation for imperial rule, by ferreting out crucial, often scurrilous, information to make them more malleable.
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    Excellent, detailed, and heavily referenced with hyperlinks. A history of U.S. use of intelligence for blackmail purposes. The author makes the case that with the U.S. empire and economy waning, the U.S. has found an extremely inexpensive method to project power by blackmail.
Paul Merrell

Latin America is ready to defy the US over Snowden and other issues | Stephen Kinzer | ... - 0 views

  • Any country that grants asylum to Snowden risks retaliation from the United States, including diplomatic isolation and costly trade sanctions. Several don't seem to care. The fact that Latin America has become the favored refuge for a United States citizen accused of treason and espionage is an eye-popping reminder of how fully the continent has emerged from Washington's shadow."Latin America is not gone, and we want to keep it," President Richard Nixon told aides as he was pressing the covert operation that brought down the Chilean government in 1973. A decade later, the Reagan administration was fighting proxy wars in Nicaragua, El Salvador and Guatemala. In the 1980s the US Army invaded two Caribbean countries, Grenada and Panama, to depose leaders who had defied Washington.
  • During the 1990s the United States sought to impose the "Washington Consensus" on Latin American governments. It embodied what Latin Americans call "neo-liberal" principles: budget cuts, privatization, deregulation of business, and incentives for foreign companies. This campaign sparked bitter resistance and ultimately collapsed. In spite of these military, political, and economic assaults – or perhaps because of them – much of Latin America has become profoundly dissatisfied with the made-in-USA model. Some of the continent's most popular leaders rose to power by denouncing the "Washington Consensus" and pledging to pull their countries out of the United States orbit.Because President Hugo Chavez of Venezuela was the most flamboyant of these defiant leaders, some outsiders may have expected that following his death, the region would return to its traditional state of submission. In fact, not just a handful of leaders but huge populations in Latin America have decided that they wish for more independence from Washington.
  • This is vital for Snowden because it reduces the chances that a sudden change of government could mean his extradition. If he can make it to Latin America, he will never lack for friends or supporters.
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  • From Ecuador, Snowden could travel widely. Everything from the splendor of Bolivia's Lake Titicaca to the vibrancy of teeming Caracas awaits him. With luck, he might even be able to visit Guatemala in September to attend the grand festival being planned for the 100th anniversary of the birth of Jacobo Arbenz, the reformist president who the United States deposed in 1954.
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    Remember when the U.S. routinely overthrew Latin-American governments at will, at the first sign of a government's resistance to U.S. dictates? The last time that occurred overtly was in 1989, with the invasion of Panama (although there have been later clandestine attempts). The cases of Julian Assange and Edward Snowden's selection of Ecuador as the refuge nation least likely to hand them over for U.S. prosecution illustrates the declining influence of U.S. government in Latin America.   
Paul Merrell

2015 Will Be All About Iran, China and Russia / Sputnik International - 0 views

  • Fasten your seatbelts; 2015 will be a whirlwind pitting China, Russia and Iran against what I have described as the Empire of Chaos.
  • So yes – it will be all about further moves towards the integration of Eurasia as the US is progressively squeezed out of Eurasia. We will see a complex geostrategic interplay progressively undermining the hegemony of the US dollar as a reserve currency and, most of all, the petrodollar. For all the immense challenges the Chinese face, all over Beijing it's easy to detect unmistakable signs of a self-assured, self-confident, fully emerged commercial superpower. President Xi Jinping and the current leadership will keep investing heavily in the urbanization drive and the fight against corruption, including at the highest levels of the Chinese Communist Party (CCP). Internationally, the Chinese will accelerate their overwhelming push for new 'Silk Roads' – both overland and maritime – which will underpin the long-term Chinese master strategy of unifying Eurasia with trade and commerce.
  • Global oil prices are bound to remain low. All bets are off on whether a nuclear deal will be reached by this summer between Iran and the P5+1. If sanctions (actually economic war) against Iran remain and continue to seriously hurt its economy, Tehran’s reaction will be firm, and will include even more integration with Asia, not the West.
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  • Now let’s take a look at Russian fundamentals. Russia’s government debt totals only 13.4% of its GDP. Its budget deficit in relation to GDP is only 0.5%.  If we assume a US GDP of $16.8 trillion (the figure for 2013), the US budget deficit totals 4% of GDP, versus 0.5% for Russia. The Fed is essentially a private corporation owned by regional US private banks, although it passes itself off as a state institution. US publicly held debt is equal to a whopping 74% of GDP in fiscal year 2014. Russia’s is only 13.4%. The declaration of economic war by the US and EU on Russia – via the run on the ruble and the oil derivative attack – was essentially a derivatives racket. Derivatives – in theory – may be multiplied to infinity. Derivative operators attacked both the ruble and oil prices in order to destroy the Russian economy. The problem is, the Russian economy is more soundly financed than America's.
  • Considering that this swift move was conceived as a checkmate, Moscow’s defensive strategy was not that bad. On the key energy front, the problem remains the West’s – not Russia’s. If the EU does not buy what Gazprom has to offer, it will collapse. Moscow’s key mistake was to allow Russia's domestic industry to be financed by external, dollar-denominated debt. Talk about a monster debt trap  which can be easily manipulated by the West. The first step for Moscow should be to closely supervise its banks. Russian companies should borrow domestically and move to sell their assets abroad. Moscow should also consider implementing a system of currency controls so the basic interest rate can be brought down quickly. And don’t forget that Russia can always deploy a moratorium on debt and interest, affecting over $600 billion. That would shake the entire world's banking system to the core. Talk about an undisguised “message” forcing the US/EU economic warfare to dissolve.
  • Russia does not need to import any raw materials. Russia can easily reverse-engineer virtually any imported technology if it needs to. Most of all, Russia can generate — from the sale of raw materials – enough credit in US dollars or euros. Russia's sale of its energy wealth — or sophisticated military gear — may decline. However, they will bring in the same amount of rubles — as the ruble has also declined.  Replacing imports with domestic Russian manufacturing makes total sense. There will be an inevitable “adjustment” phase – but that won’t take long. German car manufacturers, for instance, can no longer sell their cars in Russia due to the ruble's decline. This means they will have to relocate their factories to Russia. If they don’t, Asia – from South Korea to China — will blow them out of the market.
  • The EU's declaration of economic war against Russia makes no sense whatsoever. Russia controls, directly or indirectly, most of the oil and natural gas between Russia and China: roughly 25% of the world's supply. The Middle East is bound to remain a mess. Africa is unstable. The EU is doing everything it can to cut itself off from its most stable supply of hydrocarbons, prompting Moscow to redirect energy to China and the rest of Asia. What a gift for Beijing – as it minimizes the alarm about the US Navy playing with "containment" across the high seas.  Still, an unspoken axiom in Beijing is that the Chinese remain extremely worried about an Empire of Chaos losing more and more control, and dictating the stormy terms of the relationship between the EU and Russia. The bottom line is that Beijing would never allow itself to be in a position where the US could interfere with China's energy imports – as was the case with Japan in July 1941 when the US declared war by imposing an oil embargo, cutting off 92% of Japanese oil imports. Everyone knows a key plank of China’s spectacular surge in industrial power was the requirement for manufacturers to produce in China. If Russia did the same, its economy would be growing at a rate of over 5% per year in no time. It could grow even more if bank credit was tied only to productive investment.
  • Now imagine Russia and China jointly investing in a new gold, oil and natural resource-backed monetary union as a crucial alternative to the failed debt "democracy" model pushed by the Masters of the Universe on Wall Street, the Western central bank cartel, and neoliberal politicians. They would be showing the Global South that financing prosperity and improved standards of living by saddling future generations with debt was never meant to work in the first place. Until then, a storm will be threatening our very lives – today and tomorrow. The Masters of the Universe/Washington combo won’t give up their strategy to make Russia a pariah state cut off from trade, the transfer of funds, banking and Western credit markets and thus prone to regime change. Further on down the road, if all goes according to plan, their target will be (who else) China. And Beijing knows it. Meanwhile, expect a few bombshells to shake the EU to its foundations. Time may be running out – but for the EU, not Russia. Still, the overall trend won’t be altered; the Empire of Chaos is slowly but surely being squeezed out of Eurasia.
Paul Merrell

'Realists' Warn Against Ukraine Escalation | Consortiumnews - 0 views

  • The neocons’ war-and-more-war bandwagon is loaded up again and rolling downhill as “everyone who matters” in Washington is talking up sending sophisticated weapons to Kiev to escalate Ukraine’s civil war, but some “realists,” an endangered species in U.S. foreign policy, dissent, notes Robert Parry.
  • In Foreign Policy, Wald notes that despite the emerging consensus to ship arms to Ukraine, “few experts think this bankrupt and divided country is a vital strategic interest and no one is talking about sending U.S. troops to fight on Kiev’s behalf. So the question is: does sending Ukraine a bunch of advanced weaponry make sense? The answer is no.”
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    While I have a lot of respect for Mearsheimer and Wald, they have completely missed why the U.S. is involved in the Ukraine. The U.S. has done its level best to create an arc of instability from Russia south to the Mediterranean and Suez Canal in order to protect the petrodollar from merger of the European and Asian markets. It's about pipelines and railroads both existing and to be built in the future. It's about getting in the way of China's rising economy. It's about combating de-dollarization. It makes sense to Western banksters, in a "prolong the decline of the American Empire as long as possible" way.  
Gary Edwards

U.S. Treasury Says Financial Crisis Is Over But The Next One May Be Right In Front Of Us - 0 views

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    More great charts, this time courtesy of the US Treasury Department. The charts use select areas of measurement to show a slowly improving economy, with the private sector leading the way. What the charts don't show or discuss is that the Obama economy has been assisted by $3 Trillion in Federal Reserve Bankster Cartel "quantitative easing", and the $5 Trillion in debt that Obama spending has racked up. Throw in the secret $16.1 Trillion the Federal Reserve pumped into the international bankster system, and the question becomes, "Where is all this money going? And why isn't the economy jumping?" The numbers are staggering. One chart provided by Treasury shows a successful TARP program where the Banksters have paid back in full the massive bailout funds. One has to wonder though, are they paying back the taxpayer bailout with newly generated profits? Or are they simply using freshly printed Federal Reserve dollars ($19.1 Trillion by the Federal Reserve's count), passed to them at zero interest? The shell game Obama, the ruling establishment, and the Federal Reserve Bankster Cartel have been playing may be running out of steam. We're now in the money laundering stage where Banksters and trading partners like China are dumping their digital-ions of dollars for real property, corporate assets and hard currencies. The St Louis branch of the Federal Reserve Cartel says as much in their most recent economic study. From the article: ....... The nation's debt load has grown to the point where the U.S. is now threatened with bankruptcy but the economy is not likely to grow fast enough to reduce the need for additional government borrowing. Empirical studies have shown a strong correlation between high levels of debt and reduced economic growth which results in decreased government revenue as explained below.......... An essay published by the St. Louis Federal Reserve on the Federal debt poised the question, "Too Little Revenue or Too Much Spe
Paul Merrell

The Beginning of World Trade Disorganization? | The Diplomat - 0 views

  • Last summer, the World Trade Organization (WTO) entered a phase of paralysis as India unilaterally shifted its stance and vetoed the Trade Facilitation Agreement, a modest attempt to remove red tape at borders. The WTO, as its director-general Roberto Azevêdo lamented, has plunged into the “most serious crisis” ever since its formation in 1995. India eventually agreed to back down under American persuasion. Meanwhile, in an effort to update the WTO’s Information Technology Agreement of 1996, China presented a long list of IT products that it requests be excluded from the new agreement and prompted a deadlock, only later to make concessions as U.S. threw its weight behind the 18-month negotiations. Uniting the two incidents is the emerging sense of frustration with the WTO platform and, consequently, the growing need for direct U.S. intervention in safeguarding agreements. The WTO has entered a new phase of existential crisis, being multilateral in appearance, but bilateral in essence. This is in revealing contrast with the past, when the U.S. could only be the spoiler, not defender, of the multilateral trade regime it established. Why is this happening to the WTO? There is a simple yet powerful explanation: The entire system of the WTO is underpinned by the American hegemon supplying political and economic capital. If the U.S. is in relative decline, the trade system will naturally fragment. This theory is known as the hegemonic stability theory.
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    Let's not even mention that U.S. sanctions imposed on Iran and Russia are in direct definance of the WTO agreements. 
Paul Merrell

A New Recession and a New World Devoid of Washington's Arrogance? - 0 views

  • June 25, 2014. A final number for real US GDP growth in the first quarter of 2014 was released today. The number is not the 2.6% growth rate predicted by the know-nothing economists in January of this year. The number is a decline in GDP of -2.9 percent. The negative growth rate of -2.9 percent is itself an understatement. This number was achieved by deflating nominal GDP with an understated measure of inflation. During the Clinton regime, the Boskin Commission rigged the inflation measure in order to cheat Social Security recipients out of their cost-of-living adjustments. Anyone who purchases food, fuel, or anything knows that inflation is much higher than the officially reported number. It is possible that the drop in first quarter real GDP is three times the official number. Regardless, the difference is large between the January forecast of +2.6 percent growth and the decline as of the end of March of -2.9 percent.
  • Any economist who is real and unpaid by Wall Street, the government, or the Establishment knew that the +2.6 percent forecast was a crock. Americans’ incomes have not grown except for the one percent, and the only credit growth is in student loans, as those many who cannot find jobs mistakenly turn to “education is the answer.” In an economy based on consumer demand, the absence of income and credit growth means no economic growth. The US economy cannot grow because corporations pushed by Wall Street have moved the US economy offshore. US manufactured products are made offshore. Look at the labels on your clothes, your shoes, your eating and cooking utensils, your computers, whatever. US professional jobs such as software engineering have been moved offshore. An economy with an offshored economy is not an economy. All of this happened in full view, while well-paid free market shills declared that Americans were benefiting from giving America’s middle class jobs to China and India.
  • An official decline of -2.9 percent in the first quarter implies a second quarter GDP decline. Two declines in a row is the definition of recession. Imagine the consequences of a recession. It means that years of unprecedented Quantitative Easing failed to revive the economy. It means that years of Keynesian fiscal deficits failed to revive the economy. Neither fiscal nor monetary policy worked. What then can revive the economy? Nothing except to force the return of the economy that the anti-American corporations moved offshore. This would require credible government. Unfortunately, the US government has been losing credibility since the second term of the Clinton regime. It has none left.
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  • Washington’s lies are catching up with Obama. German chancellor Merkel is Washington’s complete whore, but German industry is telling Washington’s whore that they value their business with Russia more than they value suffering in behalf of Washington’s empire. French businessmen are asking Hollande what he proposes to do with their unemployed workers if Holland goes along with Washington. Italian businesses are reminding that government, to the extent that Italy has one, that uncouth Americans have no tastes and that sanctions on Russia mean a hit to Italy’s most famous and best recognized economic sector–high style luxury products. Dissent with Washington and Washington’s two-bit puppet rulers in Europe is spreading. The latest poll in Germany reveals that three-quarters of Germany’s population rejectpermanent NATO bases in Poland and the Baltic states. The former Czechoslovakia, currently Slovakia and the Czech Republic, although NATO members, have rejected NATO and American troops and bases on their territory. Recently, the Polish foreign minister said that pleasing Washington required giving free oral sex for nothing in return.
  • Thus, America’s two largest business organizations, important sources of political campaign contributions, have finally added their voice to the voices of German, French, and Italian business. Everyone, except the brainwashed American public, knows that the “crisis in Ukraine” is entirely the work of Washington. European and American businesses are asking: “why should our profits and our workers take hits in behalf of Washington’s propaganda against Russia.” Obama has no answer. Perhaps his neocon scum, Victoria Nuland, Samantha Powers, and Susan Rice can come up with an answer. Obama can look to the New York Times, Washington Post, Wall Street Journal, and Weekly Standard to explain why millions of Americans and Europeans should suffer in order that Washington’s theft of Ukraine is not endangered.
  • Today no one anywhere in the world believes the US government except the brain dead Americans who read and listen to the “mainstream media.” Washington’s propaganda dominates the minds of Americans, but produces laughter and scorn everywhere else. The poor US economic outlook has brought America’s two largest business lobbies–the US Chamber of Commerce and the National Association of Manufacturers (or what is left of them) into conflict with the Obama regime’s threat of further sanctions against Russia. According to Bloomberg News, beginning tomorrow (June 26), the business groups will run advertisements in the New York Times, Wall St Journal, and Washington Post opposing any further sanctions on Russia. The US business organizations say that the sanctions will harm their profits and result in layoffs of American workers.
  • The strains that Washington’s morons are putting on NATO might break the organization apart. Pray that it does. NATO’s excuse for existence disappeared with the Soviet collapse 23 years ago. Yet, Washington has increased NATO far beyond the borders of the North Atlantic Treaty Organization. NATO now runs from the Baltics to Central Asia. In order to have a reason for NATO’s continued expensive operation, Washington has had to construct an enemy out of Russia. Russia has no intention of being Washington’s or NATO’s enemy and has made that perfectly clear. But Washington’s military/security complex, which absorbs about $1 trillion annually of US hard-pressed taxpayers’ money, needs an excuse to keep the profits flowing. Unfortunately the Washington morons picked a dangerous enemy. Russia is a nuclear armed power, a country of vast dimensions, and with a strategic alliance with China.
  • Only a government drowning in arrogance and hubris or a government run by psychopaths and sociopaths would pick such an enemy. Russia’s President Vladimir Putin has pointed out to Europe that Washington’s policies in the Middle East and Libya are not merely total failures but also devastatingly harmful to Europe and Russia. The fools in Washington have removed the governments that suppressed the jihadists. Now the violent jihadists are unleashed. In the Middle East the jihadists are at work remaking the artificial boundaries set by the British and French in the aftermath of World War I. Europe, Russia and China have Muslim populations and now must worry if the violence that Washington has unleashed will bring destabilization to regions of Europe, Russia and China.
  • No one anywhere in the world has any reason to love Washington. Least of all Americans, who are being bled dry in order that Washington can parade military force around the world. Obama’s approval rating is a dismal 41 percent and no one wants Obama to remain in office once his second term is complete. In contrast, two-thirds of the Russian population want Putin to remain president after 2018. In March the poling agency, Public Opinion Research Center, released a report that Putin’s approval rating stood at 76 percent despite the agitation against him by the US financed Russian NGOs, hundreds of fifth column institutions that Washington established in Russia during the past two decades. On top of US political troubles, the US dollar is in trouble. The dollar is kept afloat by rigged financial markets and Washington’s pressure on its vassal states to support the dollar’s value by printing their own currencies and purchasing dollars. In order to keep the dollar afloat, much of the world will be inflated. When people finally catch on and rush into gold, the Chinese will have it all.
  • Sergey Glazyev, an adviser to President Putin, has told the Russian president than only an anti-dollar alliance that crashes the US dollar can halt Washington’s aggression. That has long been my opinion. There can be no peace as long as Washington can print more money with which to finance more wars. As the Chinese government stated, it is time to “de-Americanize the world.” Washington’s leadership has totally failed the world, producing nothing but lies, violence, death, and the promise of more violence. America is exceptional only in the fact that Washington has, without remorse, destroyed in whole or part seven countries in the new 21st century. Unless Washington is replaced with more humane leadership, life on earth has no future.
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    Paul Craig Roberts wields a pen striking at the very heart of what ails American government.
Paul Merrell

The West Dethroned -- Paul Craig Roberts - PaulCraigRoberts.org - 0 views

  • The “New American Century” proclaimed by the neoconservatives came to an abrupt end on September 6 at the G20 meeting in Russia. The leaders of most of the world’s peoples told Obama that they do not believe him and that it is a violation of international law if the US government attacks Syria without UN authorization. Putin told the assembled world leaders that the chemical weapons attack was “a provocation on behalf of the armed insurgents in hope of the help from the outside, from the countries which supported them from day one.” In other words, Israel, Saudi Arabia, and Washington–the axis of evil. China, India, South Africa, Brazil, Indonesia, and Argentina joined Putin in affirming that a leader who commits military aggression without the approval of the UN Security Council puts himself “outside of law.” In other words, if you defy the world, obama, you are a war criminal.
  • We are yet to see an american president who can stand up to Israel. Or, for that matter, a Congress that can. Or a media. The obama regime tried to counter its smashing defeat at the G20 Summit by forcing its puppet states to sign a joint statement condemning Syria. However the puppet states qualified their position by stating that they opposed military action and awaited the UN report.
  • What this reveals is that the support behind the liar obama is feeble and limited. The ability of the Western countries to dominate international politics came to an end at the G20 meeting. The moral authority of the West is completely gone, shattered and eroded by countless lies and shameless acts of aggression based on nothing but lies and self-interests. Nothing remains of the West’s “moral authority,” which was never anything but a cover for self-interest, murder, and genocide.
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  • The idiot Western governments have pissed away their clout. There is no prospect whatsoever of the neoconservative fantasy of US hegemony being exercised over Russia, China, India, Brazil, South Africa, South America, Iran. These countries can establish their own system of international payments and finance and leave the dollar standard whenever they wish. One wonders why they wait. The US dollar is being printed in unbelievable quantities and is no longer qualified to be the world reserve currency. The US dollar is on the verge of total worthlessness. The G20 Summit made it clear that the world is no longer willing to go along with the West’s lies and murderous ways. The world has caught on to the West. Every country now understands that the bailouts offered by the West are merely mechanisms for looting the bailed-out countries and impoverishing the people.
  • In the 21st century Washington has treated its own citizens the way it treats citizens of third world countries. Untold trillions of dollars have been lavished on a handful of banks, while the banks threw millions of Americans out of their homes and seized any remaining assets of the broken families. US corporations had their taxes cut to practically nothing, with few paying any taxes at all, while the corporations gave the jobs and careers of millions of Americans to the Chinese and Indians. With those jobs went US GDP, tax base, and economic power, leaving Americans with massive budget deficits, a debased currency, and bankrupt cities, such as Detroit, which once was the manufacturing powerhouse of the world. How long before Washington shoots down its own homeless, hungry, and protesting citizens in the streets?
  • Washington represents Israel and a handful of powerful organized private interests. Washington represents no one else. Washington is a plague upon the American people and a plague upon the world. http://rt.com/news/g20-against-syria-strike-527/
  • About Dr. Paul Craig Roberts Paul Craig Roberts was Assistant Secretary of the Treasury for Economic Policy and associate editor of the Wall Street Journal. He was columnist for Business Week, Scripps Howard News Service, and Creators Syndicate. He has had many university appointments.
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    Paul Craig Roberts makes a compelling case that the just-completed G20 summit is a historic event, marking the virtual end of U.S. ability to influence other nations to assist in imposing the Neocon/right-wing Israeli hegemonic agenda on the world. The Israel-first AIPAC lobbyists hit the hill beginning Monday morning to produce the authorization for war against Syria, painting it as essential to the Israeli goal of destroying the Iranian government. http://www.politico.com/story/2013/09/aipac-syria-96344.html The Israel-first lobby almost invariably attains its Congressional goals, regardless of those goals' damage to America. They are willing to fight to the very last drop of American blood to fulfill the Eeretz Israel dream of a Jewish empire in the Mideast and North Africa. Will Congress roll over for Israel's right-wing government yet again? We will know very soon. The key members of Congress to watch on their position in regard to war against Syria are those who are up for re-election next year. None will want to disturb voters this close to election by voting for war. Will that give them sufficient spine to withstand the Israel-firsters?  One can hope.  But the citizen message to Congress needs to be: "No to Obama. No to AIPAC. No to war."
Paul Merrell

Philippine leader Duterte now wants U.S. troops out 'in the next two years' - The Washi... - 0 views

  • Philippine President Rodrigo Duterte said Wednesday he wanted U.S. troops out of his country, perhaps in the next two years, underlining his intention to press ahead with a major realignment of his country’s foreign and security policies. It is not the first time Duterte has made this kind of threat, but his two-year timetable for a U.S. military exit appeared designed to reinforce his break-the-mold message to Washington and neighbors in Asia, particularly powerhouse China. So far, however, his administration has failed to follow through on previous pledges to remove a small contingent of U.S. counterterrorism troops from the southern island of Mindanao or to notify Washington of an end to military exercises. The United States “has received no formal communication from the government of the Philippines expressing a desire to make specific changes to our relationship or alliance,” White House press secretary Josh Earnest said Wednesday at a news briefing in Washington. “The United States remains committed to our pursuit of shared objectives” in keeping with the “seven-decade alliance between our two countries,” he said.
Paul Merrell

Petrodollar Alert: Putin Prepares To Announce "Holy Grail" Gas Deal With China | Zero H... - 0 views

  • While Europe is furiously scrambling to find alternative sources of energy should Gazprom pull the plug on natgas exports to Germany and Europe (the imminent surge in Ukraine gas prices by 40% is probably the best indication of what the outcome would be), Russia is preparing the announcement of the "Holy Grail" energy deal with none other than China, a move which would send geopolitical shockwaves around the world and bind the two nations in a commodity-backed axis. One which, as some especially on these pages, have suggested would lay the groundwork for a new joint, commodity-backed reserve currency that bypasses the dollar, something which Russia implied moments ago when its finance minister Siluanov said that Russia may refrain from foreign borrowing this year. Translated: bypass western purchases of Russian debt, funded by Chinese purchases of US Treasurys, and go straight to the source. Here is what will likely happen next, as explained by Reuters:
  • Igor Sechin gathered media in Tokyo the next day to warn Western governments that more sanctions over Moscow's seizure of the Black Sea peninsula from Ukraine would be counter-productive.   The underlying message from the head of Russia's biggest oil company, Rosneft, was clear: If Europe and the United States isolate Russia, Moscow will look East for new business, energy deals, military contracts and political alliances.    The Holy Grail for Moscow is a natural gas supply deal with China that is apparently now close after years of negotiations. If it can be signed when Putin visits China in May, he will be able to hold it up to show that global power has shifted eastwards and he does not need the West. More details on the revelation of said "Holy Grail": State-owned Russian gas firm Gazprom hopes to pump 38 billion cubic meters (bcm) of natural gas per year to China from 2018 via the first pipeline between the world's largest producer of conventional gas to the largest consumer.   "May is in our plans," a Gazprom spokesman said, when asked about the timing of an agreement. A company source said: "It would be logical to expect the deal during Putin's visit to China."
  • Summarizing what should be and is painfully obvious to all, but apparently to the White House, which keeps prodding at Russia, is the following: "The worse Russia's relations are with the West, the closer Russia will want to be to China. If China supports you, no one can say you're isolated," said Vasily Kashin, a China expert at the Analysis of Strategies and Technologies (CAST) think thank. Bingo. And now add bilateral trade denominated in either Rubles or Renminbi (or gold), add Iran, Iraq, India, and soon the Saudis (China's largest foreign source of crude, whose crown prince also happened to meet president Xi Jinping last week to expand trade further) and wave goodbye to the petrodollar.
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    The follies of an empire in decline that still imagines itself the master of the planet. 
Paul Merrell

U.S. Intelligence Agencies See a Different World in 2030 - Bloomberg - 0 views

  • New technologies, dwindling resources and explosive population growth in the next 18 years will alter the global balance of power and trigger radical economic and political changes at a speed unprecedented in modern history, says a new report by the U.S. intelligence community.
  • The 140-page report released today by the National Intelligence Council lays out dangers and opportunities for nations, economies, investors, political systems and leaders due to four “megatrends” that government intelligence analysts say are transforming the world. Those major trends are the end of U.S. global dominance, the rising power of individuals against states, a rising middle class whose demands challenge governments, and a Gordian knot of water, food and energy shortages, according to the analysts.
Paul Merrell

MH17: World See Tragedy, US Sees "Game Changer" | New Eastern Outlook - 0 views

  • Power asserted that the most likely culprits behind the downing of MH17 were eastern Ukrainian separatists. Because of the high altitude MH17 was travelling at – approximately 33,000 feet – Power conceded that the weapons separatists have been using to down Ukrainian military aircraft would have been inadequate to down MH17. After claiming separatists had “bragged” about downing the airliner based on information from “social media,” she explained that Russia most likely assisted the separatists in operating the sophisticated anti-air missile systems required to reach MH17′s altitude. Power gives no explanation as to why after multiple successful downings of Ukrainian military aircraft with man-portable air defense systems (MANPADS), Russia and the separatists decided to employ larger, more complex weapon systems that would link any incident directly back to Moscow. Power also failed to explain how in one breath she suggests the separatists shot down MH17, then in the next claimed they did not have the ability to do so, and that Russia instead “assisted.”
  • Power appears to be suggesting Russia rolled self-propelled anti-air missile systems into Ukrainian territory and assisted separatists in firing at MH17 specifically – since all other incidents of separatists shooting down aircraft involved man-portable systems incapable of hitting MH17.
  • Strategically, politically, and even tactically, Russia and the separatists gained nothing by employing the larger Buk systems within Ukrainian territory as Power is suggesting. Where the World Sees Tragedy, NATO Sees a “Game Changing” Opportunity  Power’s comments and conclusions were echoes from the halls of the West’s corporate-financier funded policy think-tanks. The Royal United Services Institute (RUSI) in a statement titled, “The Downing of Malaysian Airlines Flight MH17: Russia in the Dock,” provides a self-incriminating indictment as to the motives Kiev and its NATO backers had in carrying out the attack on MH17 and subsequently framing Russia for it. RUSI’s statement claims: A Game Change: Within days, however, the real debate will shift from one about producing the right evidence and culprits, to more about what can be saved from the rapidly-deteriorating relations between Russia and the West.
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  • The tragedy will stain Russia’s relations with the world for years to come. Nations determined to keep on good terms with Russia – such as China or Vietnam which relies on Russian weapon supplies and wishes these to continue – will keep quiet. And there will always be some plausible deniability, giving other countries enough room for manoeuvre to avoid accusing Russia directly for this disaster. But the culprits for the crime will be pursued by international investigators and tribunals. And many Russian officials will be added to the ‘wanted’ lists of police forces around the world. The story will linger, and won’t be pretty for Russian diplomats. Given the fact that the majority of the victims are European citizens, it is also getting increasingly difficult to see how France would be able to deliver the Mistral ships which Russia ordered for its navy, or how Britain could continue shielding Russia from financial sanctions. And, given the fact that scores of US citizens were also killed on the MH17 flight means that the US Congress will demand greater sanctions on Russia, making any improvement in relations with Washington highly unlikely.
  • USI explains in great detail the possible motivation Kiev and NATO had to shoot down MH17 and subsequently frame Russia. An international flight, with passengers from across the globe would invoke unifying outrage against Russia as well as universal support for NATO’s so far unsuccessful attempts to isolate Moscow. RUSI itself admits that individual members of the EU have until now, been reluctant to back sanctions and further confrontation with Moscow.
  • NATO needed a “game changer,” because it was playing a game it was clearly losing. The dubious circumstances surrounding the downing of MH17 – occurring just as Kiev’s forces were deteriorating across the country and additional US sanctions against Russia fell flat –  is more than a mere coincidence. RUSI and the Atlantic Council’s statement represent an increasingly desperate and shrinking corner the West finds itself in. With the ascension of Russia along with other BRICS nations, a “game changer” was desperately needed to “stain Russia’s relations with the world for years to come,” and help arrest what appeared to be the irreversible rise of the global East and South, in tandem with the irreversible decline of the West. If the West was so sure of who was responsible for the downing of MH17, it would patiently allow the facts to reveal themselves, giving them unassailable credibility as they begin an effective campaign to contain, isolate, and dismantle Russia’s global influence. However, just like in Damascus, Syria in August 2013 when NATO gassed thousands of Syrians in what is now confirmed to be a false flag attack, the West is racing against the clock to do maximum damage before the truth of MH17 emerges.
  • The very expediency the West pursues its smear campaign against Russia with raises suspicion. The world has been at critical junctures like this before, with Western politicians and media personalities making well-scripted, passionate pleas – but based on little to no “evidence.” Weathering the psychological inertia the West is seeking to stampede its political assault on Russia through with, will cause the West’s attempts to reverse its fortunes in Ukraine to fail. Failing in Ukraine will weaken the West’s position in Syria and Iraq, further undermine its “pivot” in Asia, and diminish its ability to visit upon humanity yet another horrific staged event it may finally realize will only further compromise its place among a new emerging, multipolar global order – not help it restore its antiquated “unipolar” empire.
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