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Dictatorship
(noun): Definition #3: absolute power or authority (Websters);
Def. #2:
absolute, imperious or overbearing power or control (Random House);
Def. #3:
Absolute or despotic control or power (American Heritage);
Def. #3:
Absolute or supreme power or authority (Collins English Dictionary);
Def. #1:
A type of government where absolute sovereignty is allotted to an individual
or small clique (Wikipedia).
“If you
know the enemy and know yourself, you need not fear the result of a hundred
battles. If you know yourself but not the enemy, for every victory gained,
you will also suffer a defeat. If you know neither the enemy nor yourself,
you will succumb in every battle.” Sun Tzu, The Art of War
Magicians
use distraction, deflection and misdirection to conduct their tricks. They
get their audiences to look to the left while they perform their magic
undetected on the right. So do con artists and swindlers.
George
H. W. Bush, in a speech delivered to a joint session of Congress on 11
September 1990 entitled “Toward a New World Order,” headlined a geopolitical
theme that has garnered a great deal of attention ever since. And while Bush
was not the first person to use the term, it struck a global nerve when he
invoked it.
Bush’s
speech about the New World Order deflected and misdirected the people’s
attention to the left, and prevented them from seeing the real action that
was taking place to the right: the imposition of a New World Central Banking
Order throughout the west. This multi-country, supranational, autonomous,
all-powerful, privately-controlled, for profit, non-auditable, monopolized,
collusive, monetary leviathan has become what we call the Western Central
Banking Dictatorship (WCBD).
This
dictatorship, and we are not being pejorative, we are simply applying the
standard definition of the word to what central banking actually is, operates
throughout the broadly defined “west,” which includes: the United States,
Canada, Mexico, the European Union, the United Kingdom, Japan, India, New
Zealand and Australia. Certain African, Asian and South American countries
also play lesser parts in the regime. Dictatorially ruled by this private
monetary system are the hundreds of millions of citizens who must use Euros,
Yen, Rupees, and United States, Canadian, Australian and New Zealand dollars
to function in their daily lives, as these fiat currencies are all 100%
controlled by the regime, and are subject to whatever actions, no matter how
experimental or extreme (such as Quantitative Easing and negative interest
rates), the controllers, in their sole discretion, decide to take.
One of
the seven core principles of Inferential Analytics, the forecasting method we
have developed and use, is that all phenomena represent Life Forces, and that
all Life Forces ceaselessly work to expand, evolve, empower themselves, and
conquer new terrain.
Some of
the most powerful Life Forces on earth are the “isms.” One of today’s most
rapidly evolving isms is crony communism, the national operating system now
metastasizing throughout western nations to replace its dying predecessor,
crony capitalism. In this expanding system of crony communism, the cronies
loot the capital that was produced by the dying capitalistic system, while
the masses descend into communistic impoverishment, entrapment and despair.
Crony communism is a system in which the forces of diabolism, greed and evil
usurp and exploit state power for their own enrichment, empowerment and
dominance, at the direct expense of the communized masses.
Relentlessly
increasing wealth concentration combined with spreading impoverishment and
paycheck to paycheck living are two glaring signs among many others that the
Life Force of crony communism has entrenched itself throughout the west, and
that it is evolving and advancing.
The
enabling institution for the spread of crony communism is the WCBD, which is
owned and operated by the Deep State crony elite, both of which are Life
Forces of plunder and human exploitation.
To those
who pay attention to fiscal, monetary, economic and financial realities, it
is becoming clear, despite the current frenzy of propaganda to the contrary,
that the existing system is failing. In the United States, to focus on one
national example, massively underfunded pensions will collapse without
equally massive bailouts; every government entitlement program is bankrupt, a
fact publicly admitted by the programs’ respective government overseers;
structural deficits are uncontrollable under current law and can only be
contained if government promises are broken at extreme expense to the economy
and people; debt at all levels is exploding and structurally, must continue
to explode; mass financial stress is directly observable in such forms as
street-level, in one’s face homelessness, fast-spreading tent cities, and
teeming under-bridge communities; paycheck to paycheck and government welfare
payment to government welfare payment living is now the norm for the vast
majority of the population (for example, 78% of full time
workers in the United States now live paycheck to paycheck; the financial
condition of part time and unemployed persons is even more dire); the savings
rate has plunged as people struggle to make ends meet or engage in
financially disastrous “Eat, Drink and Be Merry” binge spending programmed
into their brains by the MSM, which repeatedly tells them that things have
never been better and they should go shopping; overall savings are
non-existent or meaningless for the vast majority of the population; among
many other signs of fiscal and financial decline.
The
WCBD, which includes all western central banks, the World Bank, the IMF, the
ESF and their consolidating organization, the intensely secretive, predatory,
and frigid BIS, is fully aware that the system is failing. The United States
Federal Reserve System alone employs hundreds of Ph. D. economists and
statisticians, and it is literally impossible they do not comprehend that
trillions more fiat currency units must be created out of nothing to keep the
monetary system functioning. Further, it is impossible that these Ph. D.s and
their management do not realize that ultimately, the very design of the fiat
monetary edifice means that it must erupt into a hyperinflationary bonfire,
exactly as it has repeatedly done throughout history. Every “fix” now being
implemented, most particularly the new, frenzied fixation on GDP growth, is an
urgent attempt deflect attention away from the structural impossibilities of
the monetary system, and to buy time.
For
years, people have realized that certain vital government statistics, such as
employment, inflation, retail sales and GDP are manipulated to tell a
comforting narrative that all is well in the land. Confidence is everything
in debt-dependent, fiat currency-based, consumer-expenditure-addicted
economies. But for some strange reason, very few people question the most
important statistic of all: money supply. This is remarkable in light of the
fact that long after the emergency measures taken to re-start the system
during the Great Financial Crisis (GFC), we learned that the Fed had created,
in total secrecy, trillions of dollars’ worth of currency swaps that were
extended to foreign central banks in order to bail out the financial system.
This was so far outside the Fed’s “Dual Mandate” that it beggared belief they
had actually done it, let alone without any public or even intra-governmental
disclosure whatsoever.
We
believe that such secret GFC money creation is just the tip of the iceberg,
and that the revelation of actual, as opposed to deliberately misstated money
supply would dumbfound even the most sophisticated of financial observers and
require a recalculation of virtually every financial and economic metric. All
of which would massively deteriorate. We believe that this is one black swan
among dozens that could ignite a broad-based flight into physical gold, as
people rushed to monetary high ground for financial and personal safety.
On 27
June 2017, during the British Academy President’s Lecture Q&A Session in
London, Janet Yellen made the following, now famous statement in answer to a
question:
“Would I
say there will never, ever be another financial crisis? You know,that would
probably be going too far, but I do think we are much safer, andI hope that
it will not be in our lifetimes, and I don’t believe it will be.”
Many
observers chalked up this comment to central banker self-congratulation and
boastfulness. Or, they assumed that Ms. Yellen was making a campaign
statement to land a second term as Fed Chair. We viewed it differently.
We do
not believe Yellen ever had any intention of serving a second term as Fed
Chair, and that her “candidacy” was theater. Yellen, Fischer and Dudley, all
of whom have gotten or are getting out, realize that the monetary and
financial systems are rigged to the breaking point, and that when they fail,
the fallout will be uncontrollable. They know the systems are rigged, because
they rigged them, and don’t want to be anywhere near them when they blow
apart. This helps explain the documented elitist fascinations with long range
Gulfstream jets and New Zealand, among their numerous other escape vehicles.
If
Yellen had said she was not interested in serving a second term, this would
have indicated that something is seriously wrong, a message central bankers
never send beforehand. Having admitted, as she has, that she and many of her
colleagues no longer understand inflation, an appreciation of which is
absolutely critical to the entire process of central banking, she also
admitted that, like Fukushima, the monetary system is melting down and out of
control. Therefore, she played the game of running for a second term, even
though it was just an act.
In the
second to last paragraph of her 20 November 2017 resignation letter, Yellen
wrote:
“I am
enormously proud to have worked alongside many dedicated and highly able
women and men, particularly my predecessor as Chair, Ben S. Bernanke, whose
leadership during the financial crisis and its aftermath was critical to
restoring thesoundness of our financial system and prosperity of our country.
I am also gratifiedby the substantial improvement in the economy since the crisis.
The economy has produced 17 million jobs, on net, over the past 8 years and,
by most metrics, isclose to achieving the Federal Reserve’s statutory
objective of maximum employmentand price stability. Of course, sustaining
this progress will require continued monitoring of, and decisive responses
to, newly emerging threats to financial and economic stability.” [Our
italics.]
This
statement was an Inferential Analytics trigger, because we noted that she did
not say, “if” there are “newly emerging threats to financial and economic
stability.”
A second
IA trigger was pulled when Jerome Powell, during his opening comments to the
U.S. Senate Banking Committee reviewing his Fed Chair nomination, said the
following on 28 November 2017:
“We must
be prepared to respond decisively and with appropriate force to new and
unexpected threats to our nation’s financial stability and economic
prosperity.”
Please
note two things: 1) Like Yellen, he did not say “if” there are “new and
unexpected threats to our nation’s financial stability and economic
prosperity;” and, 2) the nearly identical language used by both.
To us,
both Yellen and Powell are warning that “newly emerging financial threats to
financial and economic stability” and “economic prosperity” are on the
horizon. People might comfort themselves by saying, “That is always the
case,” which is true. Endogenous and exogenous risks to complicated systems
always exist. The problem is that when these threats manifest themselves,
what can they do about them at this point, other than print massive
quantities of new currency units, a so-called medicine that has become more
toxic than the disease it attempts to cure.
Central
bankers go to lengths to paint a rosy picture, because belief is everything when
people are living in a fantasy, which an economy that is more than $200
trillion in debt all told, is. We therefore find it extraordinary that
Yellen, on her way out, and Powell, on his way in are painting a dark picture
by talking about “threats to financial and economic stability.” They would
not be using these words if they did not know that something serious is on
the horizon. They know, because the threats are of the WCBD’s direct making.
Regarding
the specific comment Yellen made in London, we believe she was saying that
the Fed in particular, and the WCBD in general, have now transferred the
mechanisms perfected over the past 40 years to control precious metals
prices, to western stock markets, in order to control their prices. The only
difference being that while they have used sophisticated, computerized price
manipulation techniques to push precious metals prices down, they are using
the same techniques to push stock prices up.
Why? For
four primary reasons: 1) To prevent the pension system from collapsing, which
would bring down the entire economy and banking system with it; 2) To
generate badly needed income and capital gains tax revenue; (Please keep in
mind that most employee stock option gains are taxed as individual income,
and result in top income tax rates being imposed; full, uncapped Medicare
taxes being paid by both employee and employer; and, the Obamacare 0.9%
Medicare surtax being collected. Therefore, such stock option gains represent
a trifecta tax bonanza for the government. Additionally, capital gains over a
minor threshold amount, which is not indexed to inflation, are now subject to
the Obamacare 3.8% surtax, which the proposed “Repeal and Replace” House and
Senate legislation never rescinded, evidence that the government is dependent
upon the surtax revenue and will not let it go. As we can see, Republican
legislators spoke with a forked tongue; while they said they hated Obamacare,
they forgot to mention that they love its tax revenue and have no intention
of parting with it); 3) To foster the “Wealth Effect,” and thereby stimulate
consumer spending, which is critical to employment, corporate profits,
corporate profit taxes and state sales taxes. In deliberately creating a
consumer spending, as opposed to a production economy, the government and the
citizens have become slaves to a low-to-zero savings, binge spending,
consumer impoverishment economy, which is a Castle in the Air and a mirage
that will fade; 4) To facilitate a high-intensity, big-dollar insider
trading, front running and looting spree, via the dissemination of inside
information to the elite regarding upcoming WCBD policy decisions and
government economic reports, all of which move markets in predictable,
sizable, and enormously profitable ways for those who can exploit them in
advance. The surge in wealth inequality is not natural, and not an accident.
In
addition to precious metals price controls and the legalization of bail-in
banking, numerous other developments, such as the accelerated push to
eliminate cash all suggest that the people are being elaborately set up for
epic financial slaughter by the Deep State plunderers. The Deep Statists are
intent on eliminating financial sanctuaries that are outside their bail-in
dragnets. In past situations of this kind, gold has performed admirably in
protecting wealth and, far more important, human lives.
We
mentioned in Part 1 that there is a clue in the Financial Times article that
demonstrates the statists’ fear that they cannot prevent broad scale interest
in gold from developing among the people. The FT article argued that due to
dealer commissions, physical gold is more expensive than its electronic
counterpart. It also stated that physical coin dealers are dangerous because
they are “exploitative” and “shady.” The conclusion the author reached for
his dear readers to follow was this: “More gold will be traded
electronically,” because if one is going to buy gold, electronic products are
the better deal.
This is exactly
what the increasingly concerned Deep Statists are trying to steer people into
doing: buying electronic, not physical gold. They appear to realize that they
might not be able to control the gold price for much longer, and that if the
price gets away from them, the Cryptocurrency Effect will be activated in
gold. If that happens, a price Vesuvius lies ahead. The volcano, they cannot
stop. All they can do is misdirect the people’s money into their phony
electronic gold products, to sterilize and control those funds. Then, when
the price does explode, they will force customers to accept involuntary cash
settlements and close out the electronic acounts. The customers will get fiat
currency at the precise time when it is plunging in value, and the statists
will keep any physical gold they might have purchased with customers’ funds.
As Sun
Tzu said, in war, you must know the enemy and yourself if you intend to win.
We hope that our article has helped readers know the enemy a bit better. The
next task is to know yourself; to ask yourself, “Given what I know, what
should I do?” In our opinion, and this is just our personal point of view,
not an investment recommendation, which we are not licensed to provide, the
fact that the Deep State elitists are stopping at nothing to discourage you
from buying physical gold is the precise reason why you should buy it. And if
this article has resonated with you, then you probably also believe, as we
do, that the time to financially prepare yourself is getting short. The
current intensity of price maneuvering and manipulation in a broad variety of
markets implies that the center is losing hold, and that something wicked
this way comes.
Stewart
Dougherty is the creator of Inferential Analytics, a forecasting method that
applies to events proprietary, time-tested principles of human instinct,
desire and action. In his view, forecasting methods not fundamentally based
upon principles of human action are unlikely to be reliable over time. He is
a graduate of Tufts University (BA) and Harvard Business School (MBA). He
developed expertise in strategic analysis and planning during a 35+ year
business career, has traveled to and conducted research in over 25 countries
and has refined Inferential Analytics into a reliable predictive instrument
over a period of 17+ years
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