The secret of freedom lies in educating people, whereas the secret of tyranny is in keeping them ignorant. - Maximilien Robespierre.

Showing posts with label markets. Show all posts
Showing posts with label markets. Show all posts

Monday, July 06, 2026

Pound Falls, Confidence In Burnham Evaporates As Prime Minister In Waitig Lurches To The Left

 

 

Traders in London's financial markets have staked their biggest bet against the pound in almost a decade, according to The Mail on Sunday.

In a blow to Prime Minister-in-waiting Andy Burnham, speculators are  piling into short positions in the expectation that sterling will fall against the dollar and other currencies if Burnham's government moves to the Left.

News of the £7billion wager against the pound comes as Burnham, who is will replace Keir Starmer and enter No.10 later this month, seeks to calm financial markets.

His major policy speech last week promising to devolve more power to English regions caused barely a ripple on the bond markets, though Government borrowing costs remain high, but this news shows there is little confidence that he will prove to be more competent than Starmer.

Sterling recently fell to $1.32  after Burnham emerged as the front-runner to oust Starmer when he won the Makerfield by-election, clearing his path back to Parliament.

Now, in what amounts to a big thumbs-down on the prospect of a Burnham premiership, speculators have raised their wagers on a weaker pound to their highest level since the aftermath of Brexit almost ten years ago. All of which would lead to a reduction in tax revenues, more borrowing to fund the deficit, higher inflation and further weakening of the pound.

 And the the UK Government would have no option other than to seek a bailout from the IMF as Labour governments of the 1960s and 70s did.

The incoming PM  has pledged to retain fiscal rules designed to the curb excessive borrowing of the Starmer - Reeves financial policy and stick to Labour’s 2024 manifesto promise not to raise VAT, income tax or employee National Insurance. But the former Mayor of Greater Manchester has suggested other taxes could rise, while ruling out ‘crude cuts’ to the welfare bill.

Burnham has already expressed his opinion on 'the markets' and seems to believe he can ignore them and introduce whatever public spending policies he has in mind. The previous Labour government left a 'no money' note when it exited in 2010; the one before it had to apply to the IMF in 1976 for a fiscal bail-out. The common denominator then and now being that of SOCIALIST GOVERNMENTS  running out of cash and credibility as they slide towards authoritarianism.

A financial or currency shock - as we saw with the Soros bet of a similar amount in the 1990s - during the handover of Starmer to Burnham could be politically exploited to reset the UK’s economic baseline. It would weaken confidence in the incoming Burnham government, justify tighter controls on the financial system which, so long as things go according to plan, then shifts public appetite toward more state intervention, and creates the opening for reforms like a CBDC that would have been harder to sell before. 

It is the road to communism.

FROM THE ARCHIVE 

 

 

 

The Truth Has Become An Enemy Of The State And Must Be Kept Hidden At All Costs
Several industries have grown out of the need of globalist governments to keep the majority of the population in a state of fear in order that We The People will not rise up against the oppressive policies related to climate change, health tyranny, mass immigration, surveillance and censorship, technological dictatorship, and the suspension of our civil rights and liberties ...

Tractors Are Heading For Central London As UK Farmers Protest
Scores of farm tractors from all over Britain were reported to be converging on Westminster as British farmers finally ran out of patience and pushed back against what they say is a lack of government support. Flying Union flags and displaying signs with slogan such as 'Save British farming' and 'No farming, no food, no future' they were gathering in London and plan to arrive in central London by early evening

The Theraputic Society Is Destroying Civilisation
Many of the problems afflicting Britain and its neighbours appear to be related to what has been called The Theraputic Society, Nanny State and paternalistic liberalism. As government grows, corporate industry and private business is increasingly coming to resemble the public sector, ruled less by economic rationality than by an intrusive bureaucracy functioning increasingly like an HR department.

UK Gov. Fossil Fuels U Turn Means Its All Over For Net Zero
The Announcement made by UK Prime Minister Rishi Sunak acknowledged at last that to keep the lights and heating on in our homes and the wheels of industry turning it will be necessary to start building new gas-fired power plants because the great science backed leap to transition energy productions to clean, green, pollution free, sustainable, renewable, blah blah blah sources has failed dismally.

Double Blow To Irish Woke Wonks - Voters Reject ‘Progressive’ Reforms to the Constitution By Big Majorities
Simpering, limp wristed Irish Prime Minister Leo Varadkar whose government has faced protests because it is claimed they govern in the interests of the liberal elite and ignore the Irish people, suffered two blows to his ambition to turn Ireland into the wokest country in Europe last weekend. Varadkar admitted on Saturday that voters had delivered “two wallops” to the government, which, led by Leo himself, had pushed for a "Yes" vote on a pair of referendums.

Corbyn's Politically Correct Hypocrites Hate Sexism But Approve Of Muslim Sexism
On encountering my insense dislike of the Labour Party, people asume I am a Conservative. WRONG! I have never supported The Conservatives and have never voted either Conservative or Labour in my life. Politicians should never be trusted, I but what sets Labour politicians and activists above the rest in terms of being worthy of only contempt is the hypocrisy.

He's Not The Messiah, His Name Is Edymandias - Miliband's slab stunt goes down like a Lead Balloon Only two days campaigning left before polls open for the 2015 general election. Who will winn? Opinion Poll show no conclusive trends. But inside information tells us the reason conservative Prime Minister David Cameron has a smile on his face as the campaigning draws to a close. Farage is radiant, clegg liooks chirpy, only Ed Milband is down in the dumps.

Were Rotherham Abuse Victimes sacrificed To Save The Labour Party
One of the victimes of Rotherham's grooming and child abuse gangs has put a political perspective on the scandal by claiming she and other victims were ignored, effectively sacrificed to the tender mercies of the gangs to ensure Labour did not lose votes in the town. The young girls were abused by Muslim men for years on end, but council did nothing to stop the crime.

Miliband Promises Same Old Shite - Not A Word About Action Against Paedophile Sex Gangs
Labour leader Ed Miliband's keynote speech at the Labour Party conference woyuld have to be the best speech of his life if he hoped to be Prime Minister after next years election, the consensus of opinon said. Ed's friends and opponents awaited the speech with very different hopes and expectations. in the end as Ed dodged the bg issues, the economy and debt, law and order, immigration and Europe, it was probably his enemies who were happier.

The Left's Rhetorical Technique Explained
In the first of what might become a long if irregular series of posts with the collective title, "Left Wing Authoritarianism for beginners," your friend and mentor Little Nicky Nicky Machiavelli will expose the origins of the socialist left's propaganda technique and its apparent dependence on slogans, dogma and mantras. But first let's play a little game ...

The Hate And Prejudice The Bourgois Left Find Acceptable
The neo - fascist left are quick to jump on any of the forbidden pejudices, racism, sexism, homophobia, islamophobia and so on. But as we have seen, they find pejudice and hated againt Christians and white Europeans quite acceptable. The bourgeois metropitan set might think that is acceptable but where I come from it's called hypocrisy.

Ve Haff Vay Of Making You Konform. The Tide Is Turning against the Autoritarian Left
The left's self confidence has had a hint of desperation about it for a long time. From their constant whines about the sexism, racism and homophobia of the working class who happen to be the party's core constituency to the substitution of smearing UKIP for policies in the european Election this is a party of arrested adolescents throwing a hissy fit because people are laughing at them.

Secret Justice Threatens The Right To A Fair Trial
A move to extend the government's power to order court proceedings to be held in secret and without a jury from only applying to trials affecting national security to anything the government would rather we did not know about threatens the most basic principles of British justice and the right to a fair trial.

These stupid laws insult the public and threaten free speech When the law forbids us to insult or offend somebody, to insult or offend a religion, race, skin colour or sexual preference, free speech and other important democratic rights are under threat. When the law then goes on to say that anyone accused of these offences has no right to defend themselves and the word of the accuser is sufficient evidence on which to obtain a conviction then we have abandoned justice and are ruled by fascists.

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Monday, March 09, 2026

War In Iran, Fuel Crisis and Food Shortages In Europe, Economic Chaos Everywhere

 

 

News from the Persian Gulf war zone today is that Iraq has shut down some oil wells, following the kead of Kuwait, Qatar, Bahrain, the Emirates and Saudi Arabia. Qatar has also shut down is gas wells and the process ‘trains’ needed to liquefy natural gas.

This is bad news for Europe particularly, and for the rest of the free world and is, as we reported yesterday, due to the virtual closure of the Strait of Hormuz and because of potential missile and drone attacks on the vulnerable and highly exposed production installations. With our energy security already compomised by Net Zero lunacy this could be disastrous for Europe.

While oil and LPG prices have increased on all global markets, commodity traders  have not yet recognized the length and severity of the supply crunch these shut downs will cause. Prices, currently in the high $90s per barrel, will need to get much higher ($150+/bl) to cause an equivalent demand destruction.

Even if the war on Iran stopped tomorrow and the Strait could be reopened immediately (which would require US Marines' boots on Iranian ground) it would take many weeks until the flow of supplies returned to normal levels.

Oil wells, like electricity generating stations, once shut down, cannot be brought back oline at the flick of a switch. The bore of an unused oil well may close up, sediments may block the oil flow, valves start to fail. It means that drilling rigs will need to be setup at each of the wells a task involving several days work even if all materials are readily available, before the oil starts to flow. There are thousands of wells that have been shut down.

Qatar’s liquefaction of natural gas is an even bigger problem as sactions over Rssia's war with Ukraine have cut off supplies from that source making exports from the Gulf even more vital and the process to create Liquefied Petroleum Gas is quite complex:

The first step on the onshore facilities is the separation of condensate from gas. The separated condensate is stabilised and sent to storage to await export. The natural gas then flows to the liquefaction trains for processing into LNG. During the first phase of this process, sulphur compounds, carbon dioxide, and water are removed in stages. The gas is then chilled using propane and ​mixed refrigeration processes.

The heavy hydrocarbons are separated out and fractionated into liquefied petroleum gas (LPG) and plant condensate. The cryogenic main heat exchanger in each train then cools the gas to approximately – 150 °C, liquefying it in the process. Finally, as the pressure is reduced to almost zero, the temperature decreases to – 162 °C, nitrogen is removed and LNG is transferred to one of the storage tanks prior to being loaded into a LNG vessel.​​​

When a liquefaction system shuts down all the product in it will have to be removed. The whole cryogenic chain, once stopped, will warm up and will need to be cooled down again to its very low working temperatures. The metal structures involved do not react well, to say it mildly, to frequent changes in temperature. Failures will occur. Repairs will be needed.

It will take at least two months to revive the Qatari process trains. This of course only after the war has ended. Some 20% of the global LPG supply will thus be unavailable for a lengthy period of time.

The big mouths and bigger egos on the American side of the conflict have not only let the cat out of the bag but have painted a very complete picture for Gulf Control Councol (GCC) rulers to see a long war is completely against their interest. Their  ambassadors got dressed down very well by Lavrov with what some have described as tough love. Despite that, GCC rulers now see Russia as more powerful than the US Empire in the Gulf region and with Russia comes China. 

The big dilemma for GCC rulers is their investment portfolio in the west which has the very real possibility of becoming a total loss if war spreads beyond the gulf region and becomes global conflict. The economies of EU members and the UK are already in a death spiral of debt. Likewise are US corporate assets within the GCC that Iran aims to eliminate as part of its goal to eject all US & European related assets from the region. 
 

Shi’a leaders have now issued fatwas calling for jihad in support of Iran, a move  that coulfd have a major impact on events in Iraq. Hezbollah has been performing very well in the eastern Mediterranean so far.

Iran’s 91 million people are spread out across the nation aside from the 10 million or so that live in the Tehran metro region, meaning the US - Israeli war effort needs to target an area the size of Europe, while Occupied Palestine houses about 7.5 million Zionists 75% of whom are concentrated in Tel Aviv and Haifa metro areas making it far easier for Iran to concentrate its attacks.

 While this is going on economic damage continues to mount up, particularly amongst four key US East Asian allies–South Korea, Japan, Taiwan, and Philippines, all of which are dependent on energy imported from the Persian Gulf. That factor along with EU food security dependence on fertilisers derived from oil brings the possibility of shifting the geopolitical balance away from the USA Empire since Trump has made clear he doesn’t care if the world enters a massive depression caused by prolongation of the war.  

FROM THE ARCHIVE:

 

 

Just How Close Are We To World War Three
Have you read or heard in your news supplier of choice of the recent massive troop movements in Israel, the massive build up of British, French and American warships around the approaches to the Persian gulf or just how badly the situations in Egypt and Libya have deteriorated since ...

Irony Overload: Iran Warns Obama Not To Cross Red Lines
the United States concluded an agreement with Iran which lifted US and International sanctions in return for Islamic Shi'ite Republic agreeing to limit their nuclear ability. At a high level, the US would lead the way in lifting oil and financial sanctions imposed due to Iran’s nuclear programs; in return Iran would reduce their stockpile of enriched uranium,

How Hillary Clinton Planned The Syrian Holocaust We bring you evidence that the destruction of Syria was planned by the USA and Israel long before the US engineered 'spontaneous uprising'known as The Arab Spring ...

Another Obama Sponsored Genocide - not Alawi or Christians In Syria but Yazidi in Iraq.
While the west has been distracted by events in Gaza and Ukraine, and the neo - fascist 'left' have suddenly discovered the joys of anti Russianism and anti Semitism, the FUKUS axis sponsored genocidists of ISIS have discovered another inoffensive minority to exterminate now that the Syriac Christians have fled.

More Than ISIS, Iraq’s Sunni Insurgency
The story emerging in Iraq is of another American foreign policy fuck up, a total misreading of the situation by the world's most parochial global power. By December 2013, Sunni leaders had become tired of the jihadi group the Islamic State of Iraq and al-Sham (ISIS) actions in their areas and publicly supported the Iraq government’s military campaign against the group’s bases. Unfortunately the ISIS rebels were armed with US military technology and Obama was calling for the resignation of the government in Baghdad, prompting Russia and Iran to support them ...

Over 4000 Civilians Have Died In Forgotten War. As attention has focused on Syria ans then on the efforts of the Obama administration, in its dying months, to avenge the defeat of the anointed successor Hillary Clinton and discredit the election victor and President - elect Donald Trump, and simultaneously demonize Russia and President Putin Will Egypt Seize Libya For Its Oil

If the conflict in Syria, currently showing signs of spreading to Turkey, Iraq and Kurdistan were to escalate into a regional war, a proxy for east and west to butt heads without sustaining too much domestic damage, is Egypt likely to take advantage of the distraction and

Irony Overload: Iran Warns Obama Not To Cross Red Lines
the United States concluded an agreement with Iran which lifted US and International sanctions in return for Islamic Shi'ite Republic agreeing to limit their nuclear ability. At a high level, the US would lead the way in lifting oil and financial sanctions imposed due to Iran’s nuclear programs; in return Iran would reduce their stockpile of enriched uranium,

"West's War In Syria Is Part Of A Global war Waged By The USA And Its Dupes Allies Against Russia"
Arthur Foxake brings us a brilliant analysis of the geopolitical picture from the black Sea and Middle East, but ahead of the embed window we get a few of Arthur's own thoughts on the situation

Another Obama Sponsored Genocide - not Alawi or Christians In Syria but Yazidi in Iraq.
While the west has been distracted by events in Gaza and Ukraine, and the neo - fascist 'left' have suddenly discovered the joys of anti Russianism and anti Semitism, the FUKUS axis sponsored genocidists of ISIS have discovered another inoffensive minority to exterminate now that the Syriac Christians have fled.

More Than ISIS, Iraq’s Sunni Insurgency
The story emerging in Iraq is of another American foreign policy fuck up, a total misreading of the situation by the world's most parochial global power. By December 2013, Sunni leaders had become tired of the jihadi group the Islamic State of Iraq and al-Sham (ISIS) actions in their areas and publicly supported the Iraq government’s military campaign against the group’s bases. Unfortunately the ISIS rebels were armed with US military technology and Obama was calling for the resignation of the government in Baghdad, prompting Russia and Iran to support them ...

Poison Gas Used In Syria Sparks Calls For Western Military Invasion
Claims circulating in Washington, London and Brussels that chemical weapons have been used in the Syrian conflict have prompted less conspiracy theories and more intelligent discussion that we might expect. Even so commentators in mainstream media have divided into two opposing camps – those who believe that President Obama's failure to ...

Syria's Dirty War Looks Set To Get Dirtier
'From unobtrusive, anonymous offices scattered around the middle east, in Qatar, Jordan, Turkey and Croatia, CIA officers have acted as brokers and overseers of a programme of massive arms shipment to Syria's rebels. The western powers operation to support those trying to overthrow the Assad regime is officially denied and ...

Islamic Cleric Announces Fatwah Allowing The Legal Rape Of Syrian Women By Anti Assad Rebels

An Islamic cleric has pronounced a fatwa that permits US-backed FSA rebels to rape non-Sunni women in Syria as part of a "sexual jihad" that has so far involved girls as young as 14 being transported to remote areas of the country to service the needs of ...

Over 4000 Civilians Have Died In Forgotten War. As attention has focused on Syria ans then on the efforts of the Obama administration, in its dying months, to avenge the defeat of the anointed successor Hillary Clinton and discredit the election victor and President - elect Donald Trump, and simultaneously demonize Russia and President Putin

EXPLORE:
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Wednesday, April 24, 2024

The West Is About To Shoot Itself In The Foot In Its Economic War With Russia

 

In spite of all the sanctions imposed by the NATO alliance and all the false narratives spun by government propagandists and mainstream media commentators in the west the Russian performed more strongly last year than any G7 advanced economy, including the US, and according to International Monetary Fund forecasts, and is expected to do so again this year. Sanctions have at best only slightly weakened the Russian war machine.

 

Credit: Sofia Sandurskaya/Pool Sputnik Kremlin  

The main reason for this failure is Russia's trade partnership with China, which is set to overtake the USA as the world's largest economy but another reason is the “Global South” – the fashionable term for countries making up the developing and low income world. Nations of such disparate and often conflicting geopolitical and economic interest cannot be so easily pigeon-holed.

To understand the roots of anti-Western feeling you have to go way back to colonial times, and the resentments that this now long-gone world incubated. But it has also grown worse in recent decades, starting with disastrous Western interventions in both Afghanistan and Iraq, and continuing with the global financial crisis, which undermined trust in Western financial markets.
 
Yet there is one thing many members do tend to have in common, which is a generally anti-Western mindset. This assumes particular meaning when it comes to Russian sanctions.

That these have self-evidently failed is largely because major parts of the “Global South” have refused to be bound by them, thereby providing ample export markets for Russian oil – which after being refined is frequently re-exported to Western markets – and abundant alternatives to the West in meeting Russian demand for manufactured goods.

To understand the roots of anti-Western feeling in the Global South we must look back to colonial times, and the resentments that this now long-gone world incubated. But it has also grown worse in recent decades, starting with disastrous Western interventions in both Afghanistan and Iraq, non violent meddling in the internal politics of many other nations, and continuing with the global financial crisis, which undermined trust in Western financial markets.

Unlike China, which has showered the Global South with development money, the West has taken few steps to effectively court these economies. It then further added to the sense of grievance by initially refusing to share vaccine innovations during the pandemic with low income countries.

  A remarkable commentary by 'Inside Russia' on this very issue, was publisged yesterday:

https://www.youtube.com/watch?v=KIzN2tIynxM

It's about 48 minutes long. I think that what he's saying makes a heck of a lot of sense and challenge those Russophobic people still convinced that Russia is close to collapse and Ukraine is winning the war to listen to that and then to say it's not true and I am just a far right nutter and Putin's catamite.

But the heart of the commentary is the point that a large percentage of the Russian population is being redirected into supporting the war against Ukraine. The Russian government is spending lots of money on this war, and you can get a much better salary working for the war effort than what the non-war economy offers. And so in consequence the non-war (domestic) economy is suffering shortages of labour and materials. And lots of things are failing.

When the war ends, what will there be to show for it? A lot of dead Ukrainians and lot of dead Russians for sure. But Russia will still have oil and gas, coal, iron, nitrates, phosphates and a wealth of other natural resources as well as its valuable agricultural economy. And Ukraine will have ...... been reduced to rubble. 

This being the case the next issue is the rebuilding of Ukraine. Putin will only pay for rebuilding those Ukrainian territories that will become part of Russia. The west has been running its economies on debt for decades and its credit is almost maxed out. One plan being considered is “To seize and transfer frozen Russian assets held in the west..." To do so will set a disastrous precedent against the existing international financial order and further alienate the Global South and drive those developing nations towards BRICS, the free trade bloc set uo by Russia and China. This issue is only of concern to Russia, its Chinese allies, and the Global South, all of which have valuable assets held in the west. “Moving from freezing assets to confiscating and disposing of them is something that needs to be carefully considered”, Christine Lagarde, president of the European Central Bank, said last week, which is understated central bank speak for “this is beyond the pale”. If the west goes ahead with that plan it could wreck the global financial system. During both the Fst and Second World Wars, Central Banks, regardless of which country they belonged to, set out to operate in international money markets as if not a shot had been fired, with regular contact maintained and gold reserves scrupulously curated on behalf of hostile powers. If governments force their Central Banks to We pretend that most of the things that governments do are productive although the preceding paragraph shows they are not. Is that really a valid assumption? That is one of the implicit assumptions behind the GDP number. That a government expenditure is productive and as productive as that of a private company. War is certainly productive for the private companies that manufacture weapons, ammunition and equipment, but for governments, though it may increase GDP just as welfare expediture increases GDP because benefit claimants spend the money taken from productive people who pay taxes and spend it. But it does not increase the overall wealth of the nation. And to seize the wealth of foreign nations would fragment the world and led to more and more regional wars. However much of Russia's industry is supported by government from revenue earned by export of natural commodities from its vast reserves. Thus we cannot really compare Russia with western economies. The west is bankrupt having spaffed the last of it wealth fighting a pointless and unwinnable war. And Russia, by extending its influence in the Global South has been productive and added significantly to its geopolitical clout.


The Global Times, a Chinese state controlled news outlet, had this to say about the matter: “To seize and transfer frozen Russian assets... will set a disastrous precedent against the existing international financial order”. Nor is it an issue only of concern to Russia, its Chinese allies, and the Global South. “Moving from freezing assets to confiscating and disposing of them is something that needs to be carefully considered”, Christine Lagarde, president of the European Central Bank, said last week, which is understated central bank speak for “this is beyond the pale”. Central banks are often accused of being essentially supranational organisations with scant regard for the nations to which they belong. Sometimes it’s true. During both the First and Second World Wars, they set out to operate in international money markets as if not a shot had been fired, with regular contact maintained and gold reserves scrupulously curated on behalf of hostile powers.

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There Is Only One Way Ukraine Can End The War
As Ukraine's much hyped counterattack has failed to achieved the and momentum that hoped for by American and NATO leaders including President Volodymyr Zelensky who admitted it was "slower than desired", and a range of soldiers interviewed by BBC and Sky News television reporters t on different parts of the long (probably too long given the depletion of Ukrainian military manpower,) frontline have blamed minefields laid by Russian troops for that delay. Well as is often said, in any wartruth is the first casualty.

Who Blew Up The Nordstream Pipeline
So whodunnit? Sabotage of undersea gas pipe will escalate tension and move the world closer to nuclear war, but who is behind it, Russia in a bid to put more presure on Europe, Ukraine in an attempt to drag NATO into direct action, or the USA using a CIA false flag event to advance its own agenda.

Has Putin Has Pushed Europe Into Economic Depression, Hyperrinflation and Currency Collapse?
Though it was entirely predictable and indeed had been expected for some time, the news over the weekend that the Nord Stream 1 pipeline which feeds gas from Russia to northern Europe via The Baltic route had been shut down completely by The Kremlin in retaliation for the continued financial and military support given by NATO and EU member states to Ukraine in the conflict with Russia. The European Commission, governing body of the EU, immediately put the community on something close to a war footing, ...
Continue reading >>>

Is Russia Selling Its Oil To The World Through An Obscure Egyptian Port?
As this blog predicted when NATO and EU member states shot themselves in the foot by reacting to Russia's invasion of Ukraine with sanctions that prevented Russia from selling oil, gas and vital raw materials to the countries that needed them most, the NATO and EU member states, the Russians have had no problems finding alternative customers for their gas and oil and no problem getting oil into the world's commodity markets through the back door.

Jingoistic Western Triumphalism Will Not End The War In Ukraine Or Cripple Putin, But It Is Crippling Western Nations

As the war in Ukraine grinds on and Russia steps up its economic war against the west and in particular The European Union, claims made recently by the idiotically 'woke' leaders of Europe's main economic and military powers that the West has a once-in-a–generation chance to severely weaken Russia’s capabilities, both militarily and geopolitically, look increasingly hollow. Putin's critics have cited 'Western unity' as one of the main reasons why Russia will be economically destroyed and politically humiliated when the Ukraine's military finally claim victory.

European Union Is Again Close To A Meltdown As Eurozone Economy Collapses
Once more we return to the political instability and economic fragility of the European Union as the conflict in Ukraine combined with loonytoons Climate Change mitigation policies, the failure of 'sustainables' to meet ever increasing demand for electricity, fod shortages and rampant price inflation put economic and social pressure on governments of member states ...

We The Good Guys Versus They The Bad Guys Reporting Does Not Make Sense For The Ukraine Crisis
Mainstream media reporting of the conflict in Ukraine has disappointed. Perhaps I was naive to suppose that lessons might have been learned from the hits their print sales and online traffic rates took as a result of their handling the COVID pandemic But instead of focusing on the most obviously newsworthy aspect of the build up to and escalation of the war, Russia’s view of NATO expansion into Ukraine and even further to Georgia and Kazakhstan, news reports have simply demonised Russia and portrayed Ukraine as the good guys.

Boris and Biden Can't Blame Ukraine War For Energy Crisis
With typical arrogance and condescension towards the people who elected them Boris Johnson, Joe Biden and their respectiive presstitutes are trying to spin the energy crisis Europe and North America are currently facing as somehow being linked to the conflict in Ukraine and therfore blame is being attactched to Russia and Vladimir Putin. Do they really think we are stupid enough to believe such unmitigated bollocks? ...

Even If The War In Ukraine Ends, Sanctions Will Stay - So How Bad Will The Food Crisis Get?
Western leaders, desperate to show their own countries they were taking a firm stance on Russia's invasion of Ukraine, were quick to impose economic sanctions ... so quick in fact that they acted before they had though things through. While freezing Russia out of the global finance system they have exacerbated the wests energy crisis, while Russia's retaliatory ban on raw materials (fertiliser) exports will create extra problems on top of those we already had ...

Europe's Depleted Gas Storage Might Not Get Refilled Ahead Of Next Winter
While mainstream news reporting of the conflict in Ukraine continues to pump out a torrent of anri - Russia, pro - war propaganda the catastropic effects of this war that could so easily have been avoided are not mentioned. Well why would warmongering governments admit they have inflicted an energy crisis, food shortages and soaring living costs on their people for no good reason ...

Germany News Mag. Spiegel Asks "Is Vladimir Putin Right?" About NATO Expansion
As the confrontation along the border between Ukraine and Russia has escalated to actual shooting with ethnic Russian rebel separatists in Donbas reporting intensified shelling and initiating a "general mobilization" of military-age males, with Moscow denying they plan to invade and Ukraine's leaders accusing US, UK and French leaders of hysteria for talking up the threat of war, Germany's leading newspaper Spiegel asks the question fundamental to the entire conflict...

While Crazy Joe Biden Claims Victory Over Russia, NATO's Expansin Plans Have Been Derailed By PutinJoe Biden (or his handlers because we all know Joe's mind is gone,) have been trying to spin reports of Russian troops withdrawing from positions close to the Ukraine border as a diplomatic victory for the USA over Putin but in the geopolitical game things are seldom what they seem to be ...

As The COVID Narratyive Crumbles War Takes Over As The Scary Monster That Keeps People In Fear
As the COVID narrative crumbles under the weight of evidence that the vaccines do not work, masks are useless and lockdowns kill more than they save a new scaremongering narrative - or a revamped old one - is emerging as the threat of war with Russia is the latest fear and panic vehicle to scare the people into compliance with tyranny. Continue reading >>>

Friday, June 02, 2023

As The US Debt Crisis Deepens, Jeffrey Sachs Offers Some Insight On HowSupport For Wars Is Killing American Prosperity

 https://www.democracynow.org/2023/5/24/jeffrey_sachs_defense_spending_us_debt

For the past few weeks the talk on international finance markets has mostly been about a debt default by the government of the USA. The United States faced a default on its debt, an eye watering $31,825,000,000,000 (rounded down to the nearest ten billion,)
in early June had a deal on the debt ceiling not been reached between the Biden administration and Republicans in Congress before then. House Speaker Kevin McCarthy is pushing for sweeping budget cuts and new work requirements for recipients of government programs, including Social Security, Medicare, Medicaid and SNAP. Notably, however, neither Republicans nor Democrats are proposing cuts to one of the biggest drivers of the nation’s debt: the massive U.S. military budget. “We’ve got to get this military-industrial lobby under control, but it’s hard to do, because it’s a bipartisan affair,” says our guest, economist Jeffrey Sachs, whose recent article is headlined “America’s Wars and the US Debt Crisis.”

Watch Sachs Interviewed By Amy Goodman for Democracy Now

Full Transcript: AMY GOODMAN: Negotiations are continuing in Washington, D.C., over raising the debt ceiling. The United States faces a default on its debt in early June if a deal is not reached between the White House and Congress. On Tuesday, House Speaker Kevin McCarthy privately told Republican lawmakers he was, quote, “nowhere close” to an agreement with the White House. McCarthy and President Biden had met at the White House Monday after Biden cut short his trip to Asia. McCarthy is pushing for sweeping budget cuts and new work requirements for recipients of government programs, including Social Security, Medicare, Medicaid and SNAP, the Supplemental Nutrition Assistance Program. The Republicans, however, are not proposing cuts to one of the biggest drivers of the nation’s debt: the massive U.S. military budget. According to the Costs of War Project at Brown University, U.S. wars since the September 11th attacks have cost over $8 trillion. A separate report by the group estimates 4.6 million people have died since 9/11 as a result of the wars in Afghanistan, Iraq, Pakistan, Syria, Yemen, Libya and Somalia. And over the past 16 months, Congress has approved more than $113 billion for Ukraine following Russia’s invasion. We’re joined now by the economist Jeffrey Sachs. He is the director of the Center for Sustainable Development at Columbia University, president of the U.N. Sustainable Development Solutions Network, has served as adviser to three U.N. secretaries-general, currently serves as a sustainable development solutions advocate under Secretary-General António Guterres. He recently wrote an article headlined “America’s Wars and the US Debt Crisis.” Professor Sachs, welcome back to Democracy Now! Well, why don’t you lay it out for us? Talk about what’s happening in Washington, the historic possibility that the U.S. could renege on the — could possibly not lift that debt ceiling, and what that means, and how that fits into the budget that Republicans want cut and the budgets they not only want not to cut, but to increase. JEFFREY SACHS: Well, great to be with you. You know, it is startling that since the year 2000, the debt that the U.S. government owes to the public has gone from about 35% of our national income to nearly 100% of our national income, or GDP. That has been dramatic because we have been engaged in nonstop wars literally since the start of this new century — Afghanistan, Iraq, Syria, Libya, Yemen and now Ukraine. And we have spent a fortune. But no president has said to us, “These wars are so important that we should pay taxes.” They’ve just put it on the borrowing. And as that Watson Institute study has shown, that you cited, the one at Brown University, these wars have cost us around $8 trillion. That’s direct military outlays. That’s ancillary costs. That’s the veterans’ medical expenses. This has been a very significant proportion of the rise of this debt. Another significant proportion was the financial sector, the Wall Street bailout in 2008 and the pandemic costs. But the wars have been a huge deal. And it’s bipartisan. This isn’t Republicans or Democrats. Neither party wants to talk about the elephant in the room, which is that we are currently at an incredibly destructive, disastrous and, I would say, avoidable war. The toll is rising, of course, in destruction and human lives, but also in outlays. You mentioned the $113 billion. And there’s more to come, if this administration gets its way. They’re not talking about this in these negotiations. They’re talking about cutting help for the poorest people in this country and to continue the warmongering and feeding the military-industrial complex. That’s why I wrote the article, because it’s shocking. It’s both parties that are not talking about the real issue here. JUAN GONZÁLEZ: And, Jeffrey Sachs, if you could talk, as well — you talk about these as wars of choice — what you mean by that, and also the issue of the pressure now to, quote, “modernize” the U.S. military to face potential conflicts with China as another strategic plan that will result in more military spending in the future? JEFFREY SACHS: These are not only wars of choice, the ones that I mentioned. They are wars of lies, because we’ve never been told the truth about what these fights are about, why we’re doing it. Of course, Iraq famously was on completely phony pretenses, but that’s not the only one. All of them have been based on lies. When it comes to Ukraine, we knew — our diplomats knew and warned that the continued pressure by the military-industrial complex to expand NATO to Ukraine would provoke war. But they never told the American people that. They never explained it. And 'til this day they haven't explained what this war is really about. You think about Libya. Again, lies. No explanation. Violation of the U.N. Security Council. You think about Syria. Not only was the whole Syrian effort a lie of the United States, it’s never even been explained to the American people that this was an operation that President Obama ordered the CIA to overthrow the Syrian government. It failed, but it was extremely costly and destructive. So, these have been wars of choice and wars of lies. They are pushed by the military-industrial complex. They are pushed by neoconservatives in both parties. Now we have new drumbeats of war, not only — as if Ukraine was not devastating and threatening enough with nuclear annihilation, now we’re talking war with China. Unimaginable. It could end the world. And yet this is normal discourse in what passes for grown-up discussion in Washington, which is not grown-up at all, in my opinion. JUAN GONZÁLEZ: And I wanted to ask you — you mentioned Ukraine. You’ve written often about this whole way that the American — top officials in the U.S. government, as well as the media, talk about the Ukraine war and Russia’s entry, invasion as unprovoked, this whole issue of being an unprovoked war. JEFFREY SACHS: I noted that The New York Times has used the word “unprovoked” regarding this invasion 26 times in its editorials, its opinion columns and its invited guest op-eds. They don’t talk about the truth, which is that our own diplomats — I’m talking about U.S. diplomats, including CIA Director William Burns, who wrote a memo that was released by WikiLeaks in 2008. His 2008 memo said this is existential, from Russia’s point of view. If we continue to push NATO enlargement to Ukraine, this could have absolutely dire consequences. Our diplomats have known this all along. But it’s been the politicians, it’s been the military-industrial complex, it’s been the big companies that have been championing NATO enlargement. That’s a lot of weapons sales if you do that. Even though the risks are completely understood inside the government by serious people, they’re just not heeded. And this has been true about Ukraine all along. And up until the end of 2021, Vladimir Putin put on the table a draft U.S.-Russia security agreement that was based on don’t expand NATO to Ukraine. And that has been Russia’s refrain for 30 years, and yet we don’t heed it, and now we’re $113 billion into this. It is horrible for Ukraine. We’ve trapped yet another country in the middle of our lobbying campaigns, because this isn’t going to work out well for Ukraine. It’s a disaster. It’s like how it worked out for Afghanistan. So, this is what’s really going on. And I wish that The New York Times would carry some truth in this to explain what this is really about. AMY GOODMAN: Well, Jeffrey Sachs, you also have been critical of Russia’s brutal invasion. And I’m wondering how you see this ending now. And also, as we started, if you could talk about how you see this debate on lifting the debt ceiling ending? JEFFREY SACHS: Well, this war is going very badly. There were tens of thousands of deaths in this Bakhmut battle just now that Russia has won and Ukraine has lost. And the estimates are that just this one narrow battle cost billions and billions of dollars, not to mention the disaster of how many deaths. So, they’re running through money like there is no tomorrow. And if we’re not careful, there will be no tomorrow. We need to negotiate a stop to this war, whether it’s an armistice or a real peace agreement. That is what China is saying. That’s what Brazil is saying. That’s what South Africa is saying. That’s what India is saying. Major countries around the world that aren’t part of this NATO-Russia conflict are saying, “Stop, before this completely engulfs the whole world,” which it is at risk of doing. So, I think that moving to negotiations now, whether it’s stopping the fighting and freezing the lines, whether it is really a peace agreement based on Russia leaves and NATO doesn’t go in — this has been the core issue from the very beginning — this is feasible, and the world is demanding it, outside of the so-called Western, what’s really NATO and U.S.-allied, world versus Russia. So, that, I think, is how we could spare lives, save the world and help the budget, by the way. When it comes to these negotiations on the debt ceiling, I really hope that these negotiators face up to the fact that our military budget, which is 40% of worldwide military spending, is brought dramatically under control, because that’s really how to save money. We are 40% of the world total military spending right now, and more than the next 10 countries combined. We’ve got to get this military-industrial lobby under control, but it’s hard to do, because it’s a bipartisan affair. The Congress and the White House, on both sides, is beholden to this seemingly all-powerful lobby. But this all-powerful lobby is driving us to ruin. JUAN GONZÁLEZ: And, Jeff Sachs, I have one final question about both the wars in Afghanistan that the United States — when the United States backed mujahideen forces against — when Afghanistan was occupied by the Soviet Army, many of those guerrillas that the U.S. backed ended up returning to their Arab and African countries and became the basis of jihadist groups like al-Qaeda. There was the unexpected blowback of that U.S. support of that war in Afghanistan. Are we potentially seeing a similar blowback from the war in Ukraine, which has been a country that’s become a magnet, even before the Russian invasion, for neo-Nazi and ultra-right groups from Europe and even the U.S.? Could these foreign fighters now battling Russia in Ukraine become a danger to European democracies in the future? JEFFREY SACHS: Of course. And it’s a very well-put point. But I would say something even more stunning about this. It used to be said, for decades, that the U.S.-backed the mujahideen in Afghanistan to confront the Soviets, who had invaded Afghanistan. But Zbig Brzezinski let us know the truth a few years ago, before he passed away. And that was that the U.S. supported the mujahideen first as bait to induce the Soviet Union to invade. We started it. We started arming an insurrection to help pull the Soviet Union into an invasion in Afghanistan. It’s shocking in its cynicism, and it left that country at nonstop war and destruction from 1979 until today, a completely ruined, wrecked, hunger-ridden, famine-ridden society more than 40 years, because the U.S. was playing a covert game, with all the backlash that you note rightly, that it created al-Qaeda. It created so many disasters down the road. But it started as a great game, as if this were a game. AMY GOODMAN: Jeffrey Sachs, we want to thank you for being with us, director of the Center for Sustainable Development at Columbia University, president of the U.N. Sustainable Development Solutions Network. We’ll link to his recent pieces, ”America’s Wars and the US Debt Crisis” and ”The War in Ukraine Was Provoked—ad Why That Matters to Achieve Peace.” 

 ***** 

 

 


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Thursday, October 27, 2022

Former Bank of England Chief Blows The Gaffe On Post COVID Economic Crisis

 BBC Breakfast, like most of mainstream media, obsessed over the Conservative Party leadership contest and who it will throw up as our next Prime Minister throughout the weekend just gone, giving a platform to contenders and their supporters and critics, and also to various talking heads from the opposition Labour Party who were all keen to describe in detail what the government had got wrong, but rather coy when required to detail how Labour would have done things differently and how their policies would have produced a better outcome.  

However the most significant comments on the many headed crisis that awaits the new
Prime Minister came from a guest who is not linked to any political party: Lord Mervyn King, who was governor of the Bank of England between 2003 and 2013. Asked about the narrative being spread by some Liz Truss supporters, perhaps in a bid to undermine her successor and set in train events that will lead to another gangland execution,  that financial markets ‘bullied’ Truss out of her plans and out of office, King gave a clear explanation of what had gone so badly wrong for Liz Truss and her hapless Chancellor Kwasei Kwarteng:

“Markets are not in charge. Governments and central banks are. Markets respond to the announcements made by government and central banks. And central banks have lost control of inflation, government lost control of the public finance; not surprising that markets respond to that.
“I think all central banks in the west, interestingly, made the same mistake. And during Covid, when the economy was actually contracting because of lockdown, central banks decided it was a good time to print a lot of money. That was a mistake. That led to inflation. We had too much money chasing too few goods. And the result was inflation. That was predictable. It was predicted, and it happened. So that’s one problem we have to try to get out of. But the public finances both in the United States and the United Kingdom were not put on a sustainable track. And markets responded to that.

 

King’s words highlighted several important factors that led to the mayhem that followed on the heels of the ill - fated mini-Budget, reportedly authored by Kwarteng and Truss themselves, and the economic chaos it plunged the country into. He stressed that the economic crisis is global, that the UK is not the only country experiencing higher interest rates or borrowing costs, as the economic climate is changing for everyone (albeit it’s happened faster in Britain, with far more international attention). This will not be well received by the people who still cannot accept that in a democratic vote we chose to leave the European Union and thus try to twist every negative news story in a way that enables them to blame it on Brexit. Unfortunately for them, Joe Public is all too aware that all the economically significant EU member states are as far or further up shit creek than we are.

The former central banker's verbal lashing did not spare the central banks. King made it crystal clear that mistakes had been made by all central banks in the west, though it was obvious he rated the Bank of England’s decision to dither and dally on actions to curb inflation as the biggest of all central bank cock ups, also lambasting their decision to print uncontrolled amounts of money in order to appease politicians and purveyors of 'The Science.'

While the cost of wrong headed and utterly ineffectual COVID reponse schemes like furlough (paying people to stay off work,) – roughly £70bn in total – did require the Bank and Treasury to work hand-in-hand, it has been a point for contention for a while now just how much money printing took place (the Bank created more money in the first year of Covid than it had in the decade leading up to it).

NB when we say 'printing money' in relation to governments and central banks, it is not a case of simply turning the speed of the printing presses up to eleven, money is created by selling bonds - in effect a contract to pay interest at a fixed rate on a certain sum for a specified number of years before redeeming the bond at face value.

Not only did the Bank oversee an astoundingly huge increase in the money supply; government policy saw cash flow into the national economy through furlough, business support support schemes, etc), yet central banks meekly went along with political denials that such reckless economic management would have  no inflationary consequences, which was bollocks of course.

 At one point in the show King blamed on the economics profession directly: 'If I were to blame anyone,’ he said, ‘I would blame the economics profession for encouraging [central banks] to print money [like] it didn’t matter.’

He also stressed that markets are not political in the way party politics are, forming policy and reacting to world events but instead are responding to a particular tax cuts or set of performance statistics  – on the wider scale they are responding to the sustainability of financial plans, the ‘sustainable track,’ as King called it. 

The recent mini-Budget that sank the government of Liz Truss was evidence that politicians are not taking fiscal discipline seriously after the loonytoons public spending splurges of the pandemic responses. It was a time when public debt has skyrocketed and deficits in peacetime hit record highs. It appeared to be a tipping point beyond which the philosophy of debt driven economies and rational behaviour parted company. All politicians are having to grapple with the consequences now, unfortunately few seem to realise that.

But perhaps the biggest impact of King’s appearance was not simply what he said, but how his contributions influenced what followed. Asked by The BBC's Laura  Kuenssberg what direction the UK ought to be taking, King was warning about the ‘more difficult’ decision to come, including austerity and possibly ‘significantly higher taxes’ to fund public services, both to get the books in order but also to avoid passing on a staggering bill to future generations.

His comments echoed as unsuccessful Tory leadership  contender refused to comment on any public policy, economic and otherwise, insisting that she would ‘not being drawn into the detail’ on decisions that presumably she would need to start making in less than a week, were she to become leader and by tradition Prime Minister. This included not talking about how she might reduce the UK’s deficit, which is thought to be required to regain market confidence and get things back on track – no doubt in part due to the serious lack of popularity spending cuts will have at a time when the cost of living crunch is worsening.

‘You heard from Penny Mordaunt,’ King pointed out, ‘we will probably hear in a minute from Keir Starmer (leader of the opposition Labour Party), that public expenditure isn’t going down, if anything it will go up. Therefore taxes will have to rise to fill the gap which is there at present. That doesn’t make a very happy picture for the next few years.’

Indeed, that’s exactly what happened when the Labour leader sat down in the hot seat, refusing to be pulled in on discussion of spending cuts, while insisting that some areas, including the usual Labour Party sacred cows, needed a funding boost. Starmer singled out healthcare, declaring ‘of course the NHS needs more money’ (he followed up later with vague talk of reform as well). With healthcare spending on track to account for almost 45 per cent of day-to-day government spending in the next few years, at some point Starmer will have to lay out just how high he thinks that number should go, and where exactly the money might come from.

King’s main point, that these are difficult times indeed, has been echoed by our new Prime Minister, Rishi Sunak, and by every politician of every party who has been given chance thecise their vocal cords in public since . Very few of those politicians however, are ready to discuss the remedies publicly, nor are they prepared to seriously discuss spending cuts. 

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Sunday, August 07, 2022

"Revolution Has Begun": 75,000 Brits Plan To Stop Paying Power Bills In Protest At Energy Rip Off

 

Resistance is growing to spiralling domestic energy costs in Britain as more than 75,000 irritated people in the UK have pledged not to pay their electricity bill this fall when prices jump again. 

"75,000 people have pledged to strike on October 1st! If the government & energy companies refuse to act then ordinary people will! Together we can enforce a fair price and affordable energy for all," tweeted "Don't Pay UK," an anonymous group spearheading the effort to have more than one million Brits boycott paying their power bill by Oct. 1. 

The strike comes as an inflation storm of high energy prices has obliterated household incomes, and increasing public awareness that the increaes imposed by the energy companies are far in excess of what can be justified by rising costs of oil and gas on world markets. Opinion polling suggests we Brits are at our most miserable and passimistic about our future prospects in three decades as inflation is expected to hit 13%. And while Bank of England (BoE) Governor Andrew Bailey hiked interest rates the most in 27 years to tame inflation, a recession now looks inevitable. 

 

From Oct. 1, the average household will pay almost £300 a month for heating, lighting and cooking fuel, the BoE warned. Couple this outrageous increae in power costs with negative real wage growth, and it becomes apparent working class and middle class households are being made to bear the costs of government's mismanagement of the economy over three decades. As well as being hit by increaces in the cost of domestic fuel, prices of food and petrol at the pump are also rocketing -- this trend is unsustainable and could result in civil unrest.

UK financial journalist and broadcaster Martin Lewis said this about the strike:

"I think I can categorise it more accurately now, the big movement that I am seeing is an increase of growth in people calling for a non-payment of energy bills, mass non-payment. Effectively a consumer strike on energy bills and getting rid of the legitimacy of paying that.

"We are getting close to a Poll Tax moment on energy bills coming into October and we need the Government to get a handle on that, because once it starts becoming socially acceptable not to pay energy bills people will stop paying energy bills and you're not going to cut everyone off."

Meanwhile, Ofgem (UK energy regulator) Chief Executive Jonathan Brearley told BBC Radio 4's Today on news magazine program that people shouldn't join the strike for two reasons.

"First of all, it will drive up costs for everyone across the board. And secondly, if you are facing difficulty in paying your bill, the best thing you can do is get in touch with your energy company."

He added: 'I would not encourage anyone to withhold their paying their bill because that just damages things further and it will impact them personally.'

Last week, the UK government condemned the bill boycott , calling it "highly irresponsible." 

"This is highly irresponsible messaging, which ultimately will only push up prices for everyone else and affect personal credit ratings," a government spokesperson was quoted by The Independent.

Don't Pay UK estimates 6.3 million UK households will be driven into poverty this winter, unable to afford food and fuel, with millions more feeling the stress of out-of-control inflation. 

People on Twitter responded to the moment by saying, "the Revolution has begun" and "a bit of civil unrest on its way onto our streets & rightly so." 

Perhaps the movement's involvement will be an excellent proxy for the growing discontent festering among Brits that could result in civil unrest this winter as millions will struggle with keeping the lights on, the furnace hot, and putting food on the table. 

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E U Central Bank Digital Currency Is The Death Rattle Of A Failed Experiment

The announcement from the European Central Bank (ECB) that is is to intrduce an official European Union digital currency spells the end of the European Single Currency experiment and with it the ambition of "ever closer union until the EU's member states were merged into a single political entity Digital Currencies might not quite be Ponzi schemes but on appearances the difference can be compared to that between a horse and a pony.

Negative Interest Rates - Final Nail In The Coffin Of Neoliberalism? Negative interest rates, in plain terms a situation in which we pay bankers for holding our money, are the latest ruse of politicians and economists to make uis start spending our investments and savings, thus kickstarting the global economy thy have screwed up.

The age of financial privacy is over
Yes you read that right. The fascist regime in the USA has usurped to itself the right to raid bank accoutns anywhere is the world. At the moment they are only stealing money by way of tax demands from people who were born on US soil even if those people have not lived in the USA since childhood and have never be employed by a US business.

Inland Revenue a Dysfunctional department that ‘can’t be trusted’ with power to raid bank accounts
Plans to let the taxman take cash out of people’s bank accounts without their permission were condemned by MPs after Rebecca Benneyworth, of the Institute of Chartered Accountants, warned the department is ‘shooting itself in the foot.’ She told the ICAEW conference : ‘Public trust in HMRC would be eroded very quickly if cases come to light where funds have been incorrectly removed. ‘HMRC cannot afford to have public opinion turn against the tax system and those charged with administering it.’Accountants have warned HMRC cannot be trusted ...

Taxes Will Rise If Government Do Not Raid Bank Accounts Taxes will have to rise unless officials are given new powers to raid people’s bank accounts, David Cameron has said.

The Treasury select committee warned that allowing HM Revenue and Customs to remove cash from bank accounts without court orders is “very concerning” because of its history of mistakes.
The committee said that taxpayers could suffer “serious detriment” if officials are able, either by mistake or through an “abuse” of power, to take money from people who have done no wrong.

Magic Money - How The Fractional Reserve Banking System Conjures Money From Fresh Air:
A look at how the fractional reserve banking system works and how it brought the global economy and many people's personal finances close to collapse. It's really all about pulling magic money out of fresh air.

Investors Ignore Triple Dip Regession As Stock Market Hits Four Year High
News that the British economy was staring an unprecedented triple dip recession in the face left investors unperturbed yesterday as shares on Britain's leading index hit their highest point in since the crash four-and-a-half years ago.

Tax The Rich, Hurt The Poor
The loopy left in Britain and the USA have, throughout the cedit crunch, chanted their Tax The Rich mantra. Those who do not learn from history are condemned to repeat it of course and the left have still not learned from all the other economic catastrophes caused by attempts to redistribute wealth that taxing the rich huts the poor most.

The Folly Of Using Inflation To Reduce The Debt As the Obama administration starts to seriously consider minting Trillion dollar coins to reduce debt by fuelling massive inflkation the Daily Stirrer's finance expert explain why this would not work and would have catastrophic consequences.

A Dickensian Christmas Gift: Mister Micawber's Economic Wisdom
Despite the ever growing dunghill of evidence to the contrary lefty politicians around the world continue to call for higher taxes, more government spending and collectivist solutions while the clueless Obama administration embark on another futile round of "quantitative easing. What they are trying to do is inflate away debt but inflation is the curellist stealth tax. (Also posted at Scribd)

Anti Austerity Protests Bring European Capitals To A Standstill Angry protests have left many European capitals in chaos as millions of workers joined strikes against austerity measures they claim have made their national economies worse. Trade unions in Spain, Greece, Portugal and Italy staged a series of demonstrations throughout the continent on the ...

Government Powerless Against a New Wave Of Immigration The government is powerless to stop tens of thousands new migrants heading to Britain after a new EU borders shake-up, Theresa May has admitted. The Home Secretary yesterday warned the Government is legally unable to block Romanian and Bulgarian citizens from coming to the UK under an expansion of ...

Poverty tycoons who make themselves millionaires from taxpayer-funded foreign aid budgetIn responce to questions about Britin's overseas aid budget,David Cameron has said at the United Nations that rather than cutting aid to developing nations in these austere times UK taxpayers should be happy it is being increased. Meanwhile with her own millions safely tied up in trusts Hillary Clinton demands global wealth taxes to raise money for helping the disadvantaged.

The Folly Of Trying To Inflate Away Debt
As the debt crisis grinds on and the creit crunch mutates into the credit famine the clueless politicians and even more clueless economists and academics who advise them can only think of one course of action. That is to inflate away their debt problem by devaluing currency to the extent at whic a bag of potatoes or wheat grain costs $£€ 1 trillion. Inflation is the cruellest tax, destroying the savings and pensions of sensible people and rewarding irresponsibility.

Feeding The Monster
As Spain's economy nears collapse and economists call for Europe's taxpayers to stump up still more money for a bigger bailout fund to save bankrupt nations, The Daily Stirrer economic expert under his new nom de plume explains why efforts to save the Euro are throwing good money after bad.

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