READER THOUGHTS ON “BRICS SDR TO BAILOUT EUROZONE”
Norman Ball FEBRUARY 10, 2015 AT 10:52 PM JC, I’ve come to read your blog religiously. It never fails to be provocative and insightful. However I find myself taking mild exception to your universal tone of ‘everything being firmly in hand’ as though there is a universal script from which no one digresses.
Do you perceive any authentic and actionable peril in the financial world today, or the chance of financial peril spiraling into actual war?
What about irrational factors such as megalomania and toxic exceptionalism? Are all parties in your mind prepared to go down without a fight?
Forgive me, but I haven’t read the entirety of your output. So I may be talking out of school. I believe there is a dangerous and recalcitrant force within the Anglo-American Empire that doesn’t wish to bow to what’s posed here as all-but-inevitable.
Norman Ball Continues: Surely there are fragmented counter-narratives. It is the nature of power, certainly at this highest of high levels, to be jealous and covetous. A monetary regime shift of this magnitude has to have powerful detractors.
Yes, you can feel that world wants to move towards a multilateral frame (which I believe is a thinly veiled NWO frame). However the US has enjoyed an exorbitant privilege for 70 years. Maybe it won’t give up so lightly.
JC Collins FEBRUARY 11, 2015 AT 12:11 AM Norman, I appreciate your honesty and would like to address your concern. Though the end result of the transition is determined, there is some flex allowed in the systemic changes, as such, there are different roads which can get us there.
This is the reason why some of the transitional changes are not clear until moments or weeks before, because the flex allowed can warp and bend the roads.
The exorbitant privilege of the US is something of an illusion, as the US was a front for a larger international banking entity.
This power which was consolidated within the structure of America was used over the last 100 years to force the central bank system upon countries around the world. This same banking power is now shifting away from the unipolar USD and towards the multipolar SDR.
There are certain western business interests, and even consolidated industry cartels, who desire security and access to resources and other commodities before shifting their sovereignty to the multilateral. We are seeing some of this taking place across the geopolitical spectrum.
In regards to resistance, there will be little of it on the macro level as the necessity of the system is recognized and acknowledged by all. There can be no one country, or grouping of countries, which can exist outside of the machination of the multilateral.
With this in mind, it is important to remember that Russia, China, India, even Iran, all have central banks which are beholden to the Bank for International Settlements.
This is no conspiracy theory. It is the same natural method of socioeconomic consolidation which humans have been practicing since tribal mergers took place to expand access to food security and develop broader methods of protection from predators and other tribes.
What is happening is in our nature and always has been. This tribal consolidation can be seen today in the globalization and environmental movements.
Please let me know if you would like me to expand on any of these points.
JC Collins FEBRUARY 11, 2015 AT 12:38 AM I would like to add that it doesn’t take many socioeconomic engineers to determine which way the system should shift, and how it should happen.
The determinants can be pre-arranged and the weaknesses in the human character can be capitalized on to ensure the desired outcome is achieved.
One example is how Mayer Rothschild was sidestepped on massive loans to the powers of Europe.
Such was the wealth already accumulated by the House of Rothschild by that time that he simply arranged for the release of his pawn Napoleon from exile on the Island of Saint Helena. Napoleon’s army was ready and they waged war against the powers of Europe.
Only when Europe had exhausted their capital fighting Napoleon and went to Rothschild for loans did Mayer cut of funding to Napoleon and allow the war to end at the Battle of Waterloo.
The same method is happening today. Very few likely even know they are being used as pawns, such as the new government of Greece. They are operating within a predetermined set of parameters which have been carefully designed to allow for one or two variable outcomes, and nothing more.
Whatever Greece decides to do will lead to the desired outcome of further consolidation.
The operating parameters today are defined in the Basel 1, 2, and 3 banking regulations, as engineered by the Bank for International Settlements. As such, we can assume that the financial crisis of 2008 was not an accident, nor is the amount of private and public debt which has been accumulated around the globe.
This is why I am so certain of the outcome, no matter the road we take to get there.
I would offer my help to those in Greece but I’m afraid the obvious nature of this socioeconomic engineering, which I call CSI, or Cultural and Socioeconomic Interception, is almost unbelievable to the linear and logical mind which is trapped in a small span of time and history.
I would suggest watching the old movie The House of Rothschild, and notice the subtleties in the dialogue and acting. It is not by mistake. It’s old and black and white, but well worth the viewing, as it was made just before the ratings standards were applied and the filters were not yet fully established.
Thank you for prompting me to explain this further.
Gustavsaure FEBRUARY 11, 2015 AT 11:00 PM Yes JC but if all roads lead to an SDR then whether there is World War 3 or world peace there will be an SDR. So as a purely logical matter it doesn’t tell us which.
What people want to know is what is going to happen on the ground, but there are too many layers of abstraction to infer how that is going to work out.
The world is too complicated and economies are to a large extent self-organizing. Because the bankers can collapse an economy anytime they want doesn’t mean they control it.
JC Collins FEBRUARY 12, 2015 AT 12:27 AM The roaring 20’s, caused by an expansion of the money supply, following by the stock market crash which began in late October, 1929, caused by the contraction of the money supply, would suggest that it can be controlled.
The same process is happening today, large availability of credit followed by deflation and low liquidity. While everyone is obsessing over this statistic and that metric, the simplicity of the system itself is lost.
Keep feeding crap chowder into your gaping mouths everyone. Things are far from being as complicated as they appear to be.
The ability of humans to prey on humans has been around since the dawn of consciousness, and nothing will change that until man himself, each individual, can see what is so obvious.
Everyone talks of this morality and that characteristic, but it’s only blather and banter, as very few human beings are capable of true self reflection, including myself.
The ancient philosophers and great thinkers were absolutely correct, man is divided into master and slave categories, and each of us decide which because we consciously choose one or the other.
If you overthrow one corrupt system, another will be right there to take it’s place. That is the symbolic hydra.
I can barely change myself, let alone change the world and everyone in it. But this site is the best way I know how to apply myself and offer the world something. Anyone who doesn’t appreciate my offering can find lots of senseless and distracting info elsewhere.
The human mind loves to externalize and project bad guys. The deficiencies within the hearts and minds of man are the problem. We are Man, you, me, and everyone else who breaths air. The division between us and them is an illusion. We are the world and the world is us. No boogeymen are required.
But people love to point there finger elsewhere. It’s so simplistic in it’s character.
Londonsimes FEBRUARY 11, 2015 AT 10:23 AM I think these are the questions many of us are asking within ourselves; thank you for expressing it so eloquently.
My own spin, is that it stems from feeling/thoughts of: How could ‘they’ get away with pulling such a transition off; surely there has to be a reaction against all the lies and trickery and faking and duplicity and ‘thieving'; someone’s gotta say no, and stand their ground, surely! Atlas Shrugged, (despite all its flaws), was true – wasn’t it?!!!
As well, there’s something within the irrational (mythological) side of our nature which would rather go out with a bang – than a kowtowing whimper.
Better to experience, even once, the sublime, the crashing together of all possible opposites in one space and time (i.e. total war) than to resign oneself to a drama-less everyday life.
Reminds of Chris Hedges immortal lines: ‘There is a part of me — maybe it is a part of many of us — that decided at certain moments that I would rather die like this than go back to the routine of life…
The chance to exist for an intense and overpowering moment, even if it meant certain oblivion, seemed worth it in the midst of war — and very stupid once the war ended.’ (Chris Hedges, War is a Force Which Gives us Meaning, 2003.)
Peaknikmicki FEBRUARY 11, 2015 AT 12:46 AM JC. Apologies if this has already been addressed in some post. My main query is related to debt levels of the world.
(And I understand within UN for instance there are some efforts being made in developing a plan for managing sovereign debt. But haven’t seen anything concrete leading me to believe they are far away from a solution)
With several nations already at levels where debt repayment won’t be possible and the alternatives are default or debt restructuring/forgiveness or perhaps (hyper)inflation where debt is denominated in a for the debtor printable currency.
This imposes a risk to global stability and in an extension also to the value of SDR if major nations (US/Japan/China)devalues their capital.
Secondly the liability issue in case of a major derivatives issue where the domino effect can affect private industry, especially banking, around the globe.
I cannot see how the SDR solution addresses these issues and without a solution for these there will be no economical stability.
(i.e. simply having debt converted from USD to SDR denomination doesn’t remove the burden of the debt and in the case of US may make it harder as they need to manage USD FX rate against SDR.)
And to ensure stability of the SDR what level of hard asset backing (gold) do you believe will be required?
I have seen some suggestions round 5% but at the face of it that seems more like a token amount.
Would you be able to articulate a brief response on how you believe these issues will be addressed or dealt with? (Or provide pointer if I managed to miss that article.)
JC Collins FEBRUARY 11, 2015 AT 1:03 AM I would first recommend the post The Coming SDR Gold Standard. The purpose of the sovereign debt load which exists today is not meant to be reduced but to ensure the transfer of sovereignty to an international entity which will restructure and manage the debt for each country.
This debt will never be completely eliminated as that would allow for sovereignty to be transferred back to the originating source.
With that being said, I do expect that there will be a large failure to manufacture authenticity of crisis, and we could potentially even see the purposeful implosion of derivatives, or the high risk portions of derivative contracts, with the low risk portions redenominated in SDR. I would also recommend the post The Fed and SDR Denominated Derivatives. There is much left to define and research.
Sergetomiko FEBRUARY 11, 2015 AT 1:18 AM JC: Do you believe money is a commodity, that the gold standard is a legitimate standard, or do you believe it is a unit of account that is a projection of sovereign power? You seem to go back and forth at times.
If it is the latter, and as you say this is all about the transfer of sovereignty to an international entity – is this not the true beginnings of a world government?
JC Collins FEBRUARY 11, 2015 AT 1:28 AM Real wealth is our time and labor. There are many vessels which we can store that wealth in, with gold being the most reliable when it comes to value retention.
Sovereignty, as in ideological and national identities, will eventually become redundant as they are only methods of herding mass populations based on religious and cultural similarities.
The growing multicultural conditioning is a testament to the broader process which we are describing here. The multilateral has many segments, not just economics, but religious, cultural, environmental, geopolitical, etc.., and yes, it is definitely the beginnings of a world empire.
Matt McBride (@MattMhmmcbride) FEBRUARY 11, 2015 AT 1:34 AM Great point JC.
By removing sovereignty it does make it harder for Elites to blame and scapegoat other sovereigns for what the Elites have caused. Although I am sure they will find something else to blame.
JC Collins FEBRUARY 11, 2015 AT 2:27 AM That is why the “enemy amongst us” script is picking up momentum. And the global warming devil.
Sergetomiko FEBRUARY 11, 2015 AT 2:15 AM Thank you for your quick reply JC!
My study of history indicates gold has been used only rarely, and when it was used, it didn’t seem to do anything but make usurers rich. Do you have any texts that would support that assertion?
As for sovereignty, is it possible that we have a differing understanding of this word? Sovereignty is supreme power. \
Money is the only universal method of enforcing supreme power, and it is done by demanding sovereign currency in taxes and by adjudicating civil disputes, debt and otherwise, in that currency. Propaganda, religious and otherwise, also is used – but its implementation varies considerably of course.
Are you saying that you believe that power should be vested in the hands of the United Nations? I mean, this is pure New World Order agenda here. Don’t you fear there will be resistance?
JC Collins FEBRUARY 11, 2015 AT 2:25 AM My posts are indifferent and only provide explanations and descriptions without colorful opinions expressed with emotionally ladden wording. I would suggest reading more of the site and comments sections. It should keep you busy for awhile.
Matt McBride (@MattMhmmcbride) FEBRUARY 11, 2015 AT 1:24 AM Hi JC, Fascinating article. I too wait with bated breath till you open your mind on the current circumstances and how it slots into the greater plan. My research on the SDRM does seem like it is not finalised.
Am I missing something, is it part of the CSI, or is this real reason for kicking the can and delay?
The UN (primarily the G77 and China) is taking action on a new SDRM structure, however the US and European Nations are not participating out of protest. These Western Developed Nations believe SDRM should be under the control of the IMF (not the UN).
As a holder of approx. $1.1T in European sovereign debt, and the key party involved in the decision by the BRICS to bailout Europe, I imagine, China can and will dictate the SDRM structure (and probably have it ready to dust off)
Below is a link to an article and podcast interviewing the U.N. sovereign debt expert and Executive Director of Jubilee USA Eric LeCompte.
In summary he details the concerns of the current system for handling Sovereign debt restructuring and the opaque derivatives particularly surrounding Greece.
He too stresses the positive progress the UN is making, but reiterates that the US and Europe are not participating, possibly due to them being happy with domestic (and market based resolution) rather than an international process. http://www.valuewalk.com/2015/02/greek-derivatives-ecb/
Finally, do you see a Eurozone crisis and BRICS bailout of Europe happening before or after the SDR basket review?
and do you agree with Martin Armstrong that a sovereign debt crisis will cause the bubble in stocks and property (private assets) to increase further as capital flees government debt for private assets?
Comments may be made at the end of Part 2 Thank You