THE REAL PREDITORS ARE NOT DRONES:
Illegal speculation, with trillion dollar pools of cash, are praying on nations. Reforming China is not easy or quick. Moving from manufacturing export economics – subject to boom bust cycles without internal stability – creates a future for China. Running at 5% growth is good – down from 15% growth but the 5% is on a so much larger base line number.
Speculators aware of the systemic flaw of communist central control, true in all socialistic nations, true in Russia which is worse than China and true in China. China has loaned trillions upon trillions of dollars to STATE RUN ORGANIZATIONS the state controls. These SRO’s are bankrupt and will never pay back their loans. The State Banks are bankrupt if they book those bad loans accurately – as bad loans. Under their system they simply avoid that inconvenient truth.
So HOW BAD IS IT?
There are some 36,000,000 SRO’s in China – the backbone of their economy. This week China announced it would lay off 20% of the SRO employee base. Folks this is 6,000,000 workers laid of in China from secure government jobs. Worse to avoid riots social unrest and a CHINESE SPRING – with Russia Pouring Miracle GROW on that CHINESE SPRING – the communist party could be WIPED COMPLETELY OUT in the transition ….and they of course know THAT.
So they create ZOMBIE SRO”s. These failed firms now closed and no longer operating have payrolls continuing. The workers are paid to not work until they find other jobs. Which they may never find in their lifetime. These ZOMBIE FIRMS are economically unsustainable in terms of hard finance. Eventually the INCONVENIENT TRUTH ( economics 101 ) will have to come out into the public – banks are bankrupt and the Chinese economic model failed –
Inside this environment the economic money pools that speculate – they do not add value to economies nations or the world. Rather they do what was illegal and a crime in 1999, they invest in side bets to enrich themselves and their stake holders. They earn 50 million dollar bonus’s for wrecking havoc on world trade balances. They manipulate the price of all goods and services and there derail any nations attempt to restore a REAL WORLD ORDER.
Without a G100 REGULATOR RE THINK there is no return to NEW NORMAL. There is just wild wild west and casino capitalism.
The Chinese Nation, trying to do the best for its people short and long term, and accommodate everyone’s positions, is now under financial attack. The BIGGEST RUN ON CAPITAL in the history of the world, at over 100 billion in out flow each month is taking place in China. China is using up its precious currency national reserves to support its own currency value in world markets against the speculators.
The Chinese People are not stupid. While they lack information to understand the clear and compelling economic war taking place by a band of financial criminals, they do see the SRO handwriting on their own walls and the walls are the walls of their state run banks who made the bad loans over 30 years. Today the bad loan debt in China exceeds 100 trillion dollars in a final tally.
China can not survive as it is today until the bad debt washes through the system. Without fresh modeling to take that step the hard landing is being propelled by criminal attacks.
China is in economic war. Criminals are pulling 100 billion out of Chinese Economics each month. China can not manipulate its currency against such world market forces. A 60% devaluation of the Chinese Currency will trigger a full on world wide trade war using currency as one aspect of that war. This move into competition versus cooperation ( as was the topic of the United Nations Counsel my wife attended this week on behalf of the UNITED NATIONS and CEO SPACE INTERNATIONAL ), fosters an outcome which is historic known as SUPER CRASH which is always followed by world war – real world war.
Today the 2008 Crash was actually the test firing of a digital weapon by the AXIS of EVIL. This digital war fare is now in full swing as WORLD WAR III started on line an is an attack against the West by the East. The first volley was software. The second is manipulation of prices through digital trading. The third volley is to weaponize migration and use massive migration to DESTABILIZE EUROPE. As the EU falls the old Soviet Union will be restored.
World War will follow.
Is this avoidable.
Possibly. If there was a G100 Three year ECONOMIC CONSTITUTIONAL CONFERENCE over three years in Hawaii to invent the NEW WORLD ORDER. Without that step, history has a way of repeating. The scale of the financial leverage and potential for depression worse than 1929 is taking place now. The IMF and the WORLD BANK are warning us. No one is DOING ANYTHING.
Everyone is moving into competition versus cooperation.
Folks we cooperate and we prosper together. We compete and we perish together. Competition is inane. Cooperation is sane.
Sanity or inanity.
Perhaps the human race will finally get it all right.
We are keeping a light on for you at nations, in the UN, and everywhere we can influence the outcome ( really ).
March 8th we host CEO SPACE which Forbes Magazine suggests every business owner CEO simply can NOT AFFORD TO MISS IT.
Register on line.
Berny Dohrmann – Author – Producer – Radio Show Host – founder CEO SPACE