The Economic crisis 2007/8: Reliance on Violence, Genocide and Erosion of Political Control

Would you like to understand what caused the BANKING CRISIS and is starving us of funds for jobs, pensions, research and the International Economy?

 George Lees (no remunerated academic, commercial, political, or religious affiliation)

Correspondence: profgeorgelees@gmail.com

 

"The Sovereign Debt & Banking Crises" are diversionary, corrupt scams to divert the global taxpayer from the truth and to impose upon them punitive austerity measures. It is important that all business-, academic-, technological-, civic-, political-leaders and all good hearted “common” people do absorb the NEWS that the fiscal crisis is virtual.  To understand this then they must read or absorb the contents of these two disturbing books

 

"The Shock Doctrine" by Naomi Klein.  Klein’s shocking book explains how fear, incarceration, sensory deprivation, electroshock treatment,  kidnapping, torture, water boarding,  wars (imperialist, civil, or revolutionary), genocide  & human suppression have been closely associated with governmental security, intelligence, macro-economic and political policy making over much of the globe since the early 1960s.  Human trauma to “shock and awe” (probably peaking with the two recent wars in Iraq) was used to eliminate alleged weapons of mass destruction and threats of terror at home and abroad.  Klein describes how escalation of cold war fear and the outbreaks of violence or suppression in many countries has been used to remove political interference in, or the right to protest against, free market economics in the shocked nations or continents.  The sad saga touches all corners of our troubled world but particularly the developing nations, or those with mineral or energy wealth which are perpetual motives to apply shock politics.  The book explains how, Imperialist or economic gurus (many of the founding fathers of these policies have now passed on) in a lucrative liaison at the revolving door between politics and multi-national business worked with private corporations to advise (or bypass) local, transitional, deposed or newly elected leaders.  Although these interventions or large contracts were purportedly  to quickly rebuild stricken regions, drain flood zones or build from quake ridden rubble and restore peace and prosperity to the affected regions, Klein describes how often massive profits were made at the negotiating stage but the work was eventually conducted by local people working for a pittance!  The irony is that even fair minded and honest democratic leaders were caught up in the flawed ideology (because of earlier short term precedents across the world) that shocks erode political interference to create perfect free-market business opportunities.  Leaders across the globe were given no alternative but to borrow from International Governments & the Multi-National Agencies & monetary organisations (like the IMF, ECB and the World Bank), to immediately fund the revival of their “liberated” country.  Economic advisors to new regimes all over the globe were unable to see the damage caused by passing on old debt (often massive sums attributable to earlier corrupt regimes, dictators, JUNTAS or malign leaders) with new loans (and interest payments) to new  regimes that is now so apparent.  As a result, nascent democracies were crippled by debt before the populist democratic programme could find its feet.  So this is a call for awareness that war debt and repatriation payments have often been ignored historically which has allowed countries like West Germany to thrive from the rubble and to inspire neighbours to build an open democratic economy (it has taken longer in Eastern Europe because of the negativity and fear perpetuated by the cold war).  Tragically, iconic leaders like Nelson Mandela, and many more newly elected leaders (from Argentina to Zimbabwe), have dedicated their lives to their countries but have failed to restore effective democracy and socio-economic welfare for their people.  So this is not a call for retribution (all across the troubled regions we need to forgive forget and move forward objectively).  It is an articulate call for awareness of the very negative connotations of making National decisions and Legislation for geopolitical profit (rather than for the long term welfare of people with access to open, honest democracy) at home and overseas.

Treasure Islands: the Men Who Stole the World by Nicholas Shaxson.  The world is now waking up to the huge inequalities in global society.  Shaxson explains how the workings of globalism, tax havens, unregulated financial services, imperialist occupation, trade agreements, banking secrecy and unrestricted capital flow have impaired global economics.  Effectively, deregulation of financial services and banks has SYNERGISED Shock Economics and together these flawed policies have incapacitated honest politicians  and well-meaning leaders globally.  Together with corruption, and lobbying at the revolving door between politics and business, Shaxson explains how tax revenues (from multi-national corporations) are dwindling because of the spectacular short-term success of these policies for efficient and law abiding business leaders. With the potential collapse of the global economy though, the long term implications of not drawing down revenues to sustain essential social services, jobs and economic growth are becoming plain.  These methods of money laundering through tax-free havens and the disappearance of effective audit (all the major auditors are now limited liability partnerships) have become so efficient that they are impoverishing the host countries, the employees and the customers. It just needs public awareness and honest real-time coverage by the world’s media.  The tragedy is that approximately 30% of GLOBAL GDP is now laundered out of treasury coffers every year (which is more than enough to sustain pensions, job creation, education and to allow both National & International politicians to regain democratic control and fiscal solvency).  Perhaps it will take a new breed of politicians to reverse the damage but those who align themselves with keeping this malign secret (the courageous authors portray a system that works for corrupt leaders regardless of political, religious or commercial affiliation) seem likely to lose their electoral popularity really quickly.

 

Both authors articulately explain how these legalised working practices (and the costs of pursuing justice) now unite International criminals, legitimate & well meaning multi-National Corporations, Terrorist organisations, Greedy elite leaders and newly elected honest democratic figureheads (like Mandela, Walensa, Gorbachev) .  If you want to understand why the National debt crisis has been funded by tiers of private investors lending repeatedly to (and paying off) more debt then look up “Ponzi scheme” on Wikipedia or watch this shocking clip

http://rt.com/programs/keiser-report/episode-258-max-keiser/   Banks no longer have reservations or capital reserves to underpin lending in this global pyramid of “notional debt” but they can freely lend to multiple tiers of borrowers with impunity (in the knowledge that the public and politicians have been blissfully unaware of, or complicit with,  the immense risks).  The huge bankers bonuses are allowing the “experts” in these sectors to lead us further into the economic wilderness.  The rating agencies on National Debt make decisions for profit and advocate austerity for taxpayers overseas.  The issues of national sovereign debt, monetarist controls and interventions by multi-national monetary funds or central banks are irrational, sensationalist and emotive.  Together with quantitative easing (where vast sums of currency are printed with no meaningful economic calibration), the siphoning of taxpayer’s bailout funds through taxpayer funded  monetary organisations like the ECB, the world bank and the  IMF in Washington  to fund the price swap profits on meaningless slips of paper ( National Coupons/bonds) is ruinous for even the monetary leaders (who make token sacrifices but convene obscenely expensive summits to perpetuate the agony for all intelligent analysts.   The historical truth is that when countries go to war they run up massive debts (usually imposed on taxpaying citizens) but, for over a millennium, a policy of reneging on your debt (and conquering your creditor or the seizing their major asset s) has prevailed.  At the moment all countries across the globe appear to be “in debt” but there are no creditors (the missing funds and assets are offshore or are in the process of being laundered).  This is not logic or expert leadership it is a shameful scam (taxpayers revenues are being systematically laundered into private accounts).   

 

These issues together have wreaked havoc on world peace, International Trust and the global economy.  It is time to share the good news  (the crisis is virtual: it has been imposed on global leaders by idealistic fundamentalist economic advisors pursuing a flawed hypothesis : “that banking and business unrestricted by political control or even token regulation can maximise profit and societal benefit”).  Awareness, social networking, morality and a new world order (perhaps a return to the gold standard without scope for political manipulation) can quickly create a peaceful, prosperous, educated, research-informed, and honest world!  Many across the world will shrug their shoulders and proclaim that the human condition means it has “always been like this” but the economic hypothesis fell apart in 2007 and the world is too well educated now to let our economic bubble burst into warfare this time around.  The educational, industrial & technological progress over the last fifty years makes it easy to envisage how to restore the world to prosperity and peace (without global conflict).  Goodwill, trust and honest leadership can eliminate the corruption, criminality and well meaning policy errors that have impacted so badly on the equality and welfare of 7 billion global citizens. Ask your political representatives to pursue this now before they, or their parties, get implicated (in the human rights issues and corruption) but if they will not support you then tell all your friends the facts plainly in their own language (why they are out of work, facing dwindling pensions and how honest politicians and civic leaders can fix it)!  This was created by executive idealism but it can only be fixed by democratic means (from the bottom up)....without staring down the barrel of a gun.

References:

Klein N (2007) The Shock Doctrine, Penguin Group Ltd.

Shaxson N (2011) Treasure Islands :Tax Havens and the men who stole the world. Publisher The Bodley Head , London

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