Gold Trade Between Russia and China – A Step Closer Towards De-Dollarization?

Source:   Information Clearing House
September 8 2017

By Peter Koenig

Transcript of Sputnik – SKYPE Interview

sberbank russia.jpg

Background for the Interview:

September 08, 2017 “- MOSCOW (Sputnik) — The largest Russian bank Sberbank is planning to increase the supply of gold to China up to 10-15 tons in 2018, the head of Sberbank CIB, the bank’s investment department, told Sputnik.

Igor Bulantsev“In July, our subsidiary bank in Switzerland started trading in gold in the Shanghai stock market. Under the pilot deal, we delivered 200 kilograms [440 pounds] of bars of gold to Chinese financial institutions. This year we are planning to additionally deliver about 3-5 tons of gold to China. Next year we expect the increase in deliveries to China of up to 10-15 tons. Perhaps we will even exceed this figure,” Igor Bulantsev said ahead of the third Eastern Economic Forum (EEF) in Vladivostok.

Sputnik
Could you, please, enlighten us about what could possibly stand behind Sberbank’s plans to increase the supply of gold to China?

PK
This is just a continuation of the economic and trade agreements between Russia and China; the first such official deal was the 2014 currency swap agreement of about US$ 25 billion equivalent, or rather 150 billion Yuan.

Let’s not forget, both currencies the ruble and the Yuan are 100% covered by gold; actually, the ruble is backed about twice by gold.

Both, the China – Russia economic cooperation and trade agreements, as well as their currencies being covered by gold is part of a larger already fairly advanced scheme of de-dollarization of their economies. In other words, Russia and China as well as the entire Shanghai Cooperation Organization (SCO), are rapidly moving out of the US dollar hegemony.

Let’s face it, the entire western monetary system is basically a fraud. It is privately made and privately owned, with the entire international payment system being controlled by the FED – which is totally privately owned – and the BIS (Bank for International Settlement, in Basle, Switzerland – also called the central bank of centrals banks). All international transfers and payments have to transit through Wall Street banks. This is the only reason why the US can “sanction” countries that do not behave according to Washington’s dictate. It is illegal, and would not stand up before any international law.

But since international courts are also controlled by Washington – there is no chance that the US will be called to account for their criminal economic actions around the world – at least not for now; at least not as long as the western dollar-based monetary system has supremacy on the world markets. But this may change rapidly. And China and Russia are moving fast towards complete independence from the western economy.

The BRICS summit that just ended in Xiamen, gave other clear signs that their enhanced economic cooperation among themselves and with the other SCO countries will be a further blow to the western monetary hegemony.

Already now, The SCO and BRICS countries contain about half of the world’s population and control one third of the world’s GDP. They truly do not need the west for survival. To the contrary. They can easily break this fraudulent dollar based ‘monopoly’. But – it has to happen prudently and gradually, because all the emerging economies that would like to join the BRICS and the SCO are still to a large degree dependent on the US-dollar; their reserves are still largely dollar-denominated. And if the western system collapses rapidly, they would tend to lose out dramatically.

Sputnik
Follow-up: What is the reason behind China’s active enlargement of the national gold reserves? 

PK
In my opinion, this may be a temporary measure to protect their currencies – I’m talking specially about China and Russia – from a drastic last minute “dollar-rescue” action by Washington.

For example, I could imagine that as a last-ditch effort, the FED or the US Treasury could instruct the IMF to go back to some kind of a ‘gold standard’ – which may come in the form of a massive devaluation of the dollar, where all those countries who do not have gold reserves or otherwise gold-convertible currencies would end up paying the enormous US dollar debt – becoming once again slaves to a new dollar-dependence.

By increasing gold reserves, Russia and China would be protected. Also, China and Russia, the world’s largest gold producers, accounting for almost a quarter of annual gold production (3,100 tons in 2016), will be instrumental in making the international gold price.

The problem with gold today is that it is completely beholden to the western monetary system – the price of gold on the international market is quoted in US dollars.

In the medium to long run, I believe gold is no viable indicator or back-up for a monetary system. Gold is just a step better than fiat money, because the price of gold is vulnerable and can be manipulated, as we see time and again.

For example, on 25 August, Blomberg reports a mysterious 2 million-ounce gold trade. It says – In a span of one minute, gold futures contracts equaling more than 2 million ounces traded — about 20 minutes before Federal Reserve Chair Janet Yellen was to address a gathering of policy makers in Jackson Hole, Wyoming.

The episode jolted the market after a measure of 60-day volatility on the metal touched the lowest since 2005. Gold had been in quiet mode even amid political discord in Washington, concerns about rising U.S. interest rates and tensions between the U.S. and North Korea.”

One wonders whether this clear manipulation of the price of gold has anything to do with the increased gold trade between Russia and China…..?

Sputnik
Now, China is soon expected to launch a crude oil futures contract priced in yuan and convertible into gold. How could this initiative change the rules of the global oil game? How soon do you think this landmark transition would happen? Who will profit from this initiative? 

PK
It will change everything.

Already now – since about three to five years – China and Russia and other members of the SCO are trading hydrocarbons no longer in US dollars, but in their local currencies or gold.

An oil futures contract in yuan and gold is about the equivalent of an ‘oil bourse’ – or a hydrocarbon exchange in yuan and gold – where every oil producer or trader can deal in hydrocarbons in non-dollar denominated contracts.

This will be an enormous blow to the US dollar hegemony. One of the key reasons the US dollar has maintained its hegemonic nature around the globe, is that according to an unwritten agreement between the US and Saudi Arabia of the early 1970s, Saudi Arabia, the head of OPEC, was to make sure that petrol and gas are traded only in US dollars. In return, the Saudis received “US protection” – lots of US bases, from which the wars in the Middle East are directed and carried out.

Those who wanted to depart from that unwritten and completely unlawful rule had to pay dearly – i.e. Saddam Hussein, when he announced that he would trade his oil in euros instead of dollars when the ten-years sanctions regime came to an end in 2000… we know what happened to him. We also know what happened to Gaddafi, who had similar ideas – and Iran was suddenly faced with accusations of having a nuclear weapons program, when they announced in 2007 the Teheran Oil Bourse – where all hydrocarbons could be traded in other currencies than the US dollar.

This US imposed ‘rule’ – totally illegal – allowed the US Treasury to print dollars indiscriminately, because the world needed dollars to pay for their energy.

The other reason for unlimited US Dollar printing was when the Nixon Administration abandoned the gold standard in 1971, and the dollar became de facto the world’s reserve currency. – It’s time that this fraud comes to an end. China and Russia offer an alternative.

Sputnik
Experts say that China’s decision to launch a crude oil futures contract will allow exporters such as Russia to circumvent U.S. sanctions by trading in yuan. What implications would yuan-denominated gold contracts have for Russia, in your view?

PK
Up to about 5 to 10 years ago, most international trading contracts were denominated in US- dollars, regardless whether they involved the US or not. This was also an unwritten, WTO-imposed rule. This is no longer the case.

Therefore, yes, detaching from the dollar-based western monetary system, and instead trading in Yuan, rubles or gold, or any other local currencies for that matter, will make ‘sanctions’ completely ineffective. This is already largely the case today, since Russia and China and many of the SCO countries are already trading in other than US-dollar denominated contracts.

It is through non-dollar international trade contracts that the western dollar-based monetary system will be gradually dethroned and dismantled.

Sputnik
How would these developments affect the dollar as a global reserve currency? What implications will it have on its hegemony?

PK
By dealing in other currencies than the US dollar, including in gold, world demand for the dollar will rapidly decline and so will the dollar’s significance as a world reserve currency.

Some 20 years ago, about 90% of all reserves were established in US dollar denominated assets. Today, this figure is less than 60% and shrinking. Once dollar-denominated reserves fall below 50%, abandoning the dollar as reserve currency worldwide may progress rapidly. That’s when a last-ditch effort by Washington to save the dollar hegemony may come in the form of a new gold-standard – at the cost of the countries that hold dollar reserves.

The western economy today and for the last at least 100 years has been based on a fraudulent, debt-driven privately-owned and manipulated monetary system – on fiat money. When in reality, it should be the economy of a nation or a region that makes and backs the monetary system.

If I may, I predict that in the foreseeable future, it will not be gold or other minerals that back a monetary system, but the economy itself; the strength of a country’s – or association of countries’ – socioeconomy that determines the monetary system. The strength of an economy will be determined by indicators well beyond the linear GDP; they will include societal values, such as education, health services, and behavioral values, like how a society deals with the environment, natural resources and conflict resolutions.

This is what I believe the new Eastern Economy, based on China and Russia – the Economy of Peace – will offer to the world as an alternative.

Peter Koenig is an economist and geopolitical analyst. He is also a former World Bank staff and worked extensively around the world in the fields of environment and water resources. He lectures at universities in the US, Europe and South America. He writes regularly for Global Research, ICH, RT, Sputnik, PressTV, The 4th Media (China), TeleSUR, The Vineyard of The Saker Blog, and other internet sites. He is the author of Implosion – An Economic Thriller about War, Environmental Destruction and Corporate Greed – fiction based on facts and on 30 years of World Bank experience around th

 

Egypt hails BRICS Plus initiative

egypt hail brics plus.jpgEgyptian officials say the expansion of the five-nation BRICS bloc into “BRICS Plus” is set to create a useful new platform for communication among developing countries.

First African nations

Egypt is one of two nations on the African continent to be invited to become part of the expansion initiative proposed by China in March 2017, and officials believe the country is set to benefit from.

Related:  China invites Egypt, Kenya to 2017 BRICS Summit

“The idea of interacting with one of the biggest developing countries, which are the members of BRICS, is very useful to other countries, those who are not members. It establishes good bridges of communication, of interaction, of opportunities as well. There is the possibility of meeting with, perhaps, some companies in China, and interacting and exchanging views and perhaps listening to the updates and follow-ups of the business of these companies and the investment they are doing in Egypt,” Egyptian Ambassador to China, Osama Elmagdoub said.

Egypt is ready

Egypt is ready to actively explore more cooperation opportunities under the China-proposed plan, which aims to build a wider partnership among developing countries and boost south-south collaboration, during the summit to run from the 3rd to the 5th of September in China.

While China and Egypt have been cooperating on the construction of infrastructure projects, Egypt’s ambassador to China says the country is looking forward to selling more products on the Chinese market.

Antigua and Barbuda Inaugurates Oil Yard With Venezuela Help

Source:  TeleSUR
September 1 2017

antigua improves energy infrastructure.jpgAn oil tank is seen at PDVSA’s Jose Antonio Anzoategui industrial complex in
the state of Anzoategui. | Photo: Reuters

The oil tank yard was constructed with help from Venezuela’s state-owned PDVSA and a Chinese company.

The West Indies Oil Company Limited, WIOC, has inaugurated a new oil tank yard in St. John’s, Antigua and Barbuda, improving the country’s energy infrastructure.

RELATED: ‘Libya and Iraq Are Lessons’: Antigua & Barbuda Warn Against Threats to Venezuela

Roughly 51 percent of the project is owned by the government of Antigua and Barbuda, while 25 percent is owned by Venezuela’s state-owned Petroleos de Venezuela, PDVSA, and another 24 percent is owned by a Chinese company.

Gaston Browne Antigua 2c.jpgThe yard, which features three new tanks, was inaugurated in the presence of Antigua and Barbuda Prime Minister Gaston Browne and Petrocaribe President Raul la Causi. Petrocaribe, launched in 2005 with help from former Venezuelan President Hugo Chavez, promotes oil-centered economic cooperation between the South American country and Caribbean nations.

The three tanks will produce an increase of 400,000 barrels in the country’s fuel storage power. Overall, they are expected to increase the supply of fuels for the Caribbean region as a whole while reducing costs.

Browne thanked Venezuelan President Nicolas Maduro for cooperation and solidarity with the Caribbean, especially with his country.

He also said that he advocates that countries should respect the principle of self-determination and sovereignty, referring to the sanctions imposed by the United States on Venezuela last month.

As the Democrats Press for War, the Left Must Demand Peace and Social Transformation

Source:  Black agenda Report
January 11 2017
by BAR executive editor Glen Ford

“The Left’s job is to oppose the warmongers, not band with them.”

as the democrats press for war.jpg

The Democrats are whipping up war hysteria and “cynically seeking to harness people’s well-founded fears of Trump’s domestic policies in order to sabotage the possibility of a relaxation of international tensions.” Some folks have taken the bait. “Leftists that think they can exploit the split between the Trump troglodytes (fascists) and the Obama/Clinton/Old Line GOP War Party (fascists) will ultimately wind up caught in a pincer between the two.”

 

The most imminent threats to human survival

As is ordained by law, at the end of the week much of President Obama’s legacy will become Donald Trump’s powers, including the power to detain Americans indefinitely (forever) without trial or charge, an authority the First Black President secured from Congress in 2011. Obama’s wars become Trump’s wars, which, if Trump follows Obama’s example — and if he succumbs to the furious pressures of leading Democrats, old line Republicans and an openly aggressive and “politicized” national security establishment — will be expanded and multiplied. The most imminent threats to human survival under a Trump presidency flow, not from the billionaire’s own belligerent instincts and unpredictability, but from the momentum of Obama’s policies of ever-escalating confrontation with Russia and China — his deliberate “pivots” towards brinksmanship on all the geopolitical fronts of Empire.

“U.S. policy is to militarily intimidate the world into submission — a gangster’s game.”

It is the Democrats that have whipped up war hysteria and a new McCarthyism, attacking Trump from the Right to force him to keep Obama’s imperial “surge” moving forward. With western economic power fading fast, U.S. policy is to militarily intimidate the world into submission — a gangster’s game. For the Lords of Capital and their national security servants, Obama’s greatest achievement was to put the U.S. back on the offensive after George Bush’s defeat and humiliation in Iraq. From their perspective, Obama has already “Made America Great Again” with his “humanitarian” military intervention doctrine, trampling every principle of international law, including the sovereignty of nations, in Libya and Syria. Trump’s talk of “deal-making” with Russia and China threatens to slow the imperial offensive.

The ruling class realignment that congealed in the Clinton campaign’s Big Tent sees any relaxation of U.S. military pressures against Beijing and Moscow as a prelude to imperial collapse. For them, de-escalation is an existential threat. They don’t give a damn about the damage Donald Trump intends to inflict on what remains of the U.S. social safety net — and neither did Obama, who came into office scheming to forge a Grand Austerity Bargain with the Republicans. And, if his preventive detention bill were not enough, Obama’s support for creation of a “Ministry of Truth” — officially, a joint governmental commission to police the media for “foreign disinformation and manipulation” — screams out to high heaven that protection of civil liberties is not part of their agenda, either. Internet publications like Black Agenda Report, cited by the Washington Post as “fake news” and “minions” of Russia, will be punished for deviance from imperial “exceptionalism” and aggressive war policies.

“Trump’s talk of ‘deal-making’ with Russia and China threatens to slow the imperial offensive.”

This is all about war. The Democrats, massed corporate media and the fully mobilized legions of spooks and disinformation specialists are cynically seeking to harness people’s well-founded fears of Trump’s domestic policies in order to sabotage the possibility of a relaxation of international tensions. Leftists that think they can exploit the split between the Trump troglodytes (fascists) and the Obama/Clinton/Old Line GOP War Party (fascists) will ultimately wind up caught in a pincer between the two.

The ruling class is, indeed, in an acute political crisis, to match its larger, systemic crisis. The duopoly system that has served the rich so well for most of the history of the Republic has come undone, split at the seams, endangering the corporate-imposed national “consensus” on empire and war. The War Party, deploying every disinformation trick in the book, foments anti-Russian hysteria to create a mass base for its imperial agenda. They point fingers at phantom “minions” of Moscow in order to make leftists into political foot soldiers of the Pentagon, Langley and the military industrial complex. MoveOn.org moves to their beat, as does the entire Congressional Black Caucus, including Barbara Lee (D-CA), the nation’s most left-leaning congressperson. Fine; they are duty-bound to go down with the Bad Ship Hillary. But the social movement activists that allow themselves to be swept up in the Democrats’ offensive-from-the-Right against Trump are the biggest dupes of all.

“They point fingers at phantom ‘minions’ of Moscow in order to make leftists into political foot soldiers of the Pentagon, Langley and the military industrial complex.”

The Democrats are incapable of agitating for anything more than defense of Barack Obama’s “legacy” — chiefly, his doomed Affordable Care Act, which was already disintegrating from its own contradictions and whose final demise will create an acute crisis that cries out for single payer health insurance, the outcome Obamacare was designed to forestall. The Left should be making that demand right now, rather than helping Democrats join with Republicans to patch together an even worse private-based system, down the road.

The precariat economy that is emerging from Obama’s post-Meltdown restructuring, in which 94 percent of the new “jobs” are so contingent, inadequate and insecure they can hardly be called jobs at all, demands a National Minimum Income – a potentially transformative leap that the Left should be loudly championing, right now.

Five years after Occupy Wall Street, the Left should finally call for the nationalization — not fragmentation — of the big banks, and creation of a public development bank to rebuild the national infrastructure without going into debt to private capital. Anybody that doubts masses of people will join in this demand doesn’t know their fellow Americans and their deep hatred for Wall Street banks.

“The social movement activists that allow themselves to be swept up in the Democrats’ offensive-from-the-Right against Trump are the biggest dupes of all.”

Ferguson set the new Black movement on a course of confrontation with the Mass Black Incarceration State, in all its manifestations. Obama’s legacy — and that of the Black misleadership class that has collaborated with mass Black incarceration for two generations – is to intensify intelligence gathering in Black communities, while dispersing Black population concentrations through gentrification. Trump or no Trump, there is no avoiding the logic of the movement’s central grassroots demand: Black community control of the police. Non-Blacks on the Left must support that demand.

There is no such thing as a genuine Left that supports imperialism, but there are plenty of fakers that do, including phony socialists. How sad — and maddening, at the same time — that a Donald Trump can speak of “cutting down” on “regime change,” while purported leftists rally to Obama’s “humanitarian” military interventionism, the lip-stick on the imperial pig. The Democrats want war so badly, they are fouling their bourgeois institutional nest and bearing down hard from the Right to prevent any let-up in tensions with Russia and China. The Left’s job is to oppose the warmongers, not to band with them.

There is no mystery to what the moment demands. What’s needed is Left movements for social transformation, not a farcical, Democrat-led anti-Trump pseudo-movement, whose real agenda is war.

BAR executive editor Glen Ford can be contacted at Glen.Ford@BlackAgendaReport.com.

Over 50 Chinese Students Graduate from Cuba’s Medical School

Source: Cuban News Agency
July 14 2016

chinese medical students graduate in cuba.jpgA total of 52 students from the People’s Republic of China, 51 in medicine and one in nursing, received on Wednesday at the Main Lecture Hall of the University of Havana their certificates as graduates from the capital’s University of Medical Sciences.

Fang Jun, deputy director general of the Department of International Cooperation and Exchanges of the Higher Education Ministry of the People’s Republic of China, confessed he was happy to be part of this training course of new health professionals, “for which, he said, the Cuban government has used a lot of material resources and some of its best professors.

Fidel

He also congratulated graduates, thanked Cuban universities and its education system, its officials, and the historic leader of the Revolution, Fidel Castro, for this cooperation, and highlighted the good reception given by China to previous graduates.

The scholarship program began in 2006 following a decision by the leaders of both nations. It has great scientific, political and social value for contributing to the formation of 3,417 young people from the People’s Republic of China and was created on the initiative of Fidel Castro, aimed at training and preparing students.

Cuban specialists to train in the assembly of electric cars

Source:  Cuban News Agency
June 23 2016

Cuban specialists will begin training in the assembly of electric cars over the next few years, said Industry Minister Salvador Pardo during a business round in Havana.

salvador pardo cruz cubaindustria 2016.jpg

The minister said that the initiative is in tune with the social and economic guidelines adopted by the Cuban Communist Party and is particularly linked to the need to use renewable energy sources and change the country´s energy matrix.

cuba to assemble electric carsThis does not mean that we will have electric cars in just few years, since these will be the first steps and will take time and resources to identify future investment projects, said the minister who attended the Second International Convention of the Cuban Industry.

China´s minister of Industries and Information Technology Miao Wei said that the first course on the manufacture of electric cars will be held in Cuba soon. He said that such vehicles can operate in a 50-kilometer area and recharge through a network of generators scattered around the city.

In 2015, China allocated six billion dollars to this industry, which reports significant energy saving.

If Americans Do Not Wake Up

Source:  Information Clearing House
June 09, 2016

By Paul Craig Roberts

On the eve of World War II the United States was still mired in the Great Depression and found itself facing war on two fronts with Japan and Germany. However bleak the outlook, it was nothing compared to the outlook today.

What if the Russians believe us?

Has anyone in Washington, the presstitute Western media, the EU, or NATO ever considered the consequences of constant military and propaganda provocations against Russia? Is there anyone in any responsible position anywhere in the Western world who has enough sense to ask: “What if the Russians believe us? What if we convince Russia that we are going to attack her?”

The same can be asked about China.

hillary clinton 1.jpgThe recklessness of the White House Fool and the media whores has gone far beyond mere danger. What do the Russians think when they see that the Democratic Party intends to elect Hillary Clinton president of the US? Hillary is a person so crazed that she declared the president of Russia to be “the new Hitler” and organized through her underling, neocon monster Victoria Nuland, the overthrow of the democratically elected government of Ukraine. Nuland installed Washington’s puppet government in a former Russian province that until about 20 years ago was part of Russia for centuries.

I would bet that this tells even the naive pro-western part of the Russian government and population that the United States intends war with Russia.

The Russians know that the US propaganda about “Russian aggression” is a lie

Ever since Russia stood up to Obama over Syria, the Russians have been experiencing hostile propaganda and military operations on their borders. These provocations are justified by Washington and its NATO vassals as a response to “Russian aggression.” Russian aggression consists of nothing but obviously false assertions that Russia is about to invade the Baltics, Poland, and Romania and recreate the Soviet Empire, the Eastern European part of which, together with the former Russian provinces of Georgia and Ukraine, now belong to the American Empire.

The Russians know that the propaganda about “Russian aggression” is a lie. What is the purpose of the lie other than to prepare the Western peoples for war with Russia?

There is no other explanation.

The West is incapable of producing leadership capable of preserving life on earth

Even morons such as Obama, Merkel, Hollande, and Cameron should be capable of understanding that it is extremely dangerous to convince a major military power that you are going to attack. To simultaneously also convince China doubles the danger.

Clearly, the West is incapable of producing leadership capable of preserving life on earth.

What can be done when the entire West demonstrates a death wish for Planet Earth?

Clinton, Bush, Obama reverse US Presidential trend to reduce tensions 

Until the criminal regimes of Clinton, George W. Bush, and Obama, American presidents from John F. Kennedy forward worked to reduce tensions with the Soviets. Kennedy worked with Khrushchev to reduce tensions caused by US missiles in Turkey and Soviet missiles in Cuba. President Nixon negotiated SALT I (the Strategic Arms Limitation Treaty) and the Anti-Ballistic Missile Treaty. President Carter negotiated SALT II, which was never ratified by the US Senate but was observed by the executive branch. President Reagan negotiated with Soviet leader Gorbachev the end of the Cold War. President George H.W. Bush in exchange for Gorbachev’s agreement to the reunification of Germany promised that NATO would not move one inch to the East.

All of these achievements were thrown away by the neoconized Clinton, George W. Bush, and Obama regimes, each a criminal regime on par with Nazi Germany.

The threat of a nuclear winter

Today life on Planet Earth is far less secure than during the darkest days of the Cold War. Whatever threat global warming poses, it is miniscule compared to the threat of nuclear winter. If the evil that is concentrated in Washington and its vassals perpetrates nuclear war, cockroaches will inherit the earth.

I have been warning about the growing danger of a nuclear war resulting from the arrogance, hubris, ignorance, and evil personified by Washington. Recently, four knowledgable Russian-Americans spelled out the likely consequences of trying to drive Russia to submission with war threats:http://www.paulcraigroberts.org/2016/06/03/41522/

See also: http://www.paulcraigroberts.org/2016/05/28/as-our-past-wars-are-glorified-this-memorial-day-weekend-give-some-thought-to-our-prospects-against-the-russians-and-chinese-in-world-war-iii/

The brainwashed American population

Don’t expect the brainwashed American population to have the moral conscience and fortitude to prevent nuclear war or even the intelligence to prevent their own vaporization. In a recent article in the Wall Street Journal Scott Sagan and Benjamin Valentino report that 59% of the US population support attacking Iran with nuclear weapons in the event that Iran sank one US Navy ship: http://www.wsj.com/articles/would-the-u-s-drop-the-bomb-again-1463682867

Republicans were much more likely than Democrats to approve attacking Iran with nuclear weapons with 81% of Republicans approving nuclear war compared to 47% of Democrats. Yet, the Democrats are behind Hillary who would be the first to use nuclear weapons. After all, a feminized woman has to prove how tough she is, just as Margaret Thatcher was “the Iron Lady.”

Those who live by the sword

Before it is too late for Americans and all of humanity, arrogant Americans need to recall that “those who live by the sword, die by the sword.”

The economic picture is equally dismal and unpromising. The latest payroll jobs report was even more awful than reported. Hardly any new jobs were created, but what largely escaped reporting is the fact that the economy actually lost 59,000 full-time jobs.

Increasingly the US economy consists of part-time jobs that cannot support an independent existence. Thus, more Americans age 19-34 live at home with parents than independently with spouses or partners. Fully half of 25-year old Americans live in their childhood rooms in their parents’ homes.

A monstrous lie told by the neoliberal economists

This is the “New Economy” that the filthy lying neoliberal economists promised would be reward for the American work force giving up their manufacturing and professional skill jobs to foreigners. What a monstrous lie the neoliberal economists told so that corporate executives and shareholders could put into their own pockets the living wage of the American work force. These neoliberal economists, and, alas, libertarian “free market” ones, have not been held accountable for their impoverishment of the American work force deeply buried in debt with no future prospects.

Those few Americans who have any awareness are beginning to realize that the One Percent and the western governments that serve them are re-establishing feudalism. The brilliant and learned economist, Michael Hudson, has labeled our era the era of neo-feudalism.

Young Americans primed for debtor prison

He is correct. The majority of young Americans come out of university heavily indebted, primed for debtor prison. When half of 25-year olds cannot marry and form households, how can anyone believe that housing sales and prices are rising except as a result of speculative investors banking on rental income from a population that cannot even pay its student loans.

The United States is the sickest place on earth. There is no public or political discussion of any important issue or of the multiple crises that confront America or the crises that America brings to the world.

Electing a criminal and a warmonger

The American people are so stupid and unaware that they are capable of electing a criminal and a warmonger like Hillary president of the United States and be proud of it.

These “tough” Americans are so frightened of hoax dangers, such as “Muslim terrorists” and “Russian aggression” that they willingly sacrificed their depleted pocketbooks, the Constitution of the United States—an act of treason on the part of the American people who utterly failed their responsibility to protect the Constitution—and their own liberty to a universal police state that has all power over them.

It is extraordinary that once-proud, once-great European peoples look for leadership from a country of moronic non-entities who have pissed away the liberty, security, and prosperity that their Founding Fathers gave to them.

Wake up and realize who is your most deadly enemy

Fellow Americans, if you care to avoid vaporization and, assuming we do avoid it, live a life other than serfdom, you must wake up and realize that your most deadly enemy is Washington, not the hoax of “Russian aggression,” not the hoax of “Muslim terrorism,” not the hoax of “domestic extremism,” not the hoax of welfare bankrupting America, not the hoax of democracy voting away your wealth, which Wall Street and the corporations have already stolen and stuck in their pockets.

If you cannot wake up and escape The Matrix, your doom will bring the doom of the planet.

Dr. 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. His internet columns have attracted a worldwide following. Roberts’ latest books are The Failure of Laissez Faire Capitalism and Economic Dissolution of the WestHow America Was Lost, and The Neoconservative Threat to World Order.