Tyler Durden at ZeroHedge has provided a link to a very good article at Gold Switzerland:
With most of the world’s major economies as well as the financial system bankrupt, there is only one solution that can save the world economy. Like in the Greek tragedies, Deus ex Machina is now the only way that the world can avoid a total economic collapse. This would involve God being lowered down onto the world stage and miraculously saving the plot.
Let us return to the wise [Ludwig] von Mises to look at the options available now: “There is no means of avoiding the final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as a result of a voluntary abandonment of further credit expansion, or later as a final or total catastrophe of the currency system involved.”
Whatever politicians, bankers, economists or others experts say, there is no solution to this crisis.We have reached the end of the road and are now staring into the abyss.
To stop the money printing and credit creation would be the only sensible way of ending the failed quasi-capitalist, socialist experiment which is in the process of destroying the structure of the Western world. For almost 100 years we have lived on a system based on debt. This has created a false prosperity as well as false values. The transfer of capital from private enterprise to government by massive taxation is approaching 50% in many countries (see table). The average for 18 industrialised countries is almost 40%. This means that on average 40% of the productive economy is transferred to a non-producing entity (government) which wastes most of the money in the process of redistribution. But not only that, since the state has taken over up to 50% of the economy in these countries, the desire to work, to strive, to take risk and to invent has been taken away from a major part of the population.
To any thinking individual, it is totally incomprehensible that governments and central banks believe that an insolvent world can be saved by debt issued by bankrupt nations and then bought by the issuers themselves as there is no other buyer. This is the perfect recipe for self-destruction and “total catastrophe of the system.”
The world is in a total mess and there is absolutely no solution to this unprecedented crisis. The hyperinflationary depression that we will experience in the next few years will totally destroy the majority of the credit based wealth that has been created in the last few decades.
3 comments
emma
9 December 2011 at 3:05 (UTC -7)
I know they are keeping things up for a reason…I am scared…as most people are I bet.
I subscribe to the FFT guy in Australia over at http://www.forecastfortomorrow.com his economic stuff is killer and scarily accurate too, well worth a look if you have the time.
bertie
9 December 2011 at 7:00 (UTC -7)
The world is in a total mess and there is absolutely no solution to this unprecedented crisis..This is certainly not a true comment…All that needs to be done is jail the GW fraudsters and get rid of all this GW carbon footprint fraud payment,s being made to scam artists.Energy costs are the problem and will be the solution to bringing back financial stability to the world.Oil is not the culprit,it is the GW scam that is the culprit..Get rid of the scam and the problem disappears.
Cynical Bard
9 December 2011 at 9:47 (UTC -7)
Way back in the 1960′s, a pair of US Professors, (those deep thinkers in Universities) named Cloward and Pivens wrote a paper advocating a program to get as many people as possible on welfare. Their stated goal was to overwhelm and collapse the system. It was tried in New York City and worked until the city had to be bailed out of its financial morass. Pivens is still active, and promoting great causes like Occupy Wall Street and Marxist Revolution.
I have to confess I don’t really understand the end game, but if the society collapses, who, or what, gets to take over.
My point is that, how do we know that the current financial difficulties in Europe and the US are not part of the same plan?
I have often pondered how anyone, in government or private life can reasonably expect to borrow money, year after year, and not expect to get into financial armageddon. Its not a matter of ideology but mathematics.
Look at the US today. They are marching toward the same problem that Europe already has. A special commission (Simpson Bowles) was appointed to come up with a PLAN. They did so , and it has been summarily ignored.
We have people in Canada today arguing that we need more debt to stimulate the economy, and edge us closer to the problem that Europe already has an The US is marching toward.
Read The Coming Insurrection by the Invisible Committee, compare it to the present riots about cutbacks in Europe or OWS, coupled with the apparent indifference to financial armageddon, and tell me this is not part of an organized plan .