Economic pressures

[Danny B]

Speed bumbs on the downslope

Here is an article listing 2 E-trade commercials that aired just before 2 crashes. The gist of the commercials; throw your money at us and, everything will be good.
https://realinvestmentadvice.com/f-i...d-by-the-bear/
Oil consumption is falling.
https://oilprice.com/Energy/Energy-G...sion-Hits.html
Pox Americana can't seem to stop the Nordstream gas pipeline so, they are going to plan "B"
Europe Bans Natural Gas in New Homes

"The Fed meets on July 31 to make an interest rate policy decision. What should the Fed do?
Jim Bianco at Bianco Research says Only a Half-Point Rate Cut From the Fed Will Do.
"Anything less would fail to fix the imbalances in the global bond market"
Ah yes, the global bond market.
https://moneymaven.io/mishtalk/econo...0m-TZ1kVp0-eg/

Armstrong, The Middle East has been in turmoil and Trump has stood his ground against the neo-cons.

7/23 European Central Bank could act before Fed to add stimulus – AP
Yep, desperation time. The meltdown of Deutsche bank will ensure that everything melts down.
7/23 The biggest bull market ever — yet disaster looms for millions of retirees – MW
The pension funds put hedge fund managers in charge of pension money. The hedge fund managers gambled away all the funds because, that's what hedge fund managers do.
7/22 Wall Street braces for Trump’s economic colonic – Vanity Fair
"$hit out a bunch of bankers" sounds like a good idea.
7/22 Fed’s national activity index contracts for 7th straight month – Zero Hedge
Ignore all that BS. It's only the stock market that matters.

7/22 Euro near $1.12 as investors wait for central bank meetings – Reuters
The States would like to free themselves from the limitations of the private investors. CAN they print debt-free money and survive. A very big question. Japan seems to indicate that it is possible. Apparently, the ECB will be the next to try.
7/23 Report: DoJ watchdog has evidence Comey misled Trump – Newsmax
NO!, he wouldn't do that.
7/22 After Russia narrative implodes, Buzzfeed fingers Ukraine as pro-Trump bogeyman – ZH
Now, we'll investigate Ukrainegate.
7/22 Hilarious hypocrisy: Sanders campaign workers demand $15 minimum hourly wage – ZH
But, but, they're working for a good cause. They should volunteer.

7/22 The race to zero emissions: Chicago meet-up, ocean fertilization, biofuel bind – Quartz
Chicago is on the shores of lake Michigan. There was a study done many years ago about the enormous pool of 34 degree water in the lake. They could pipe mega tons of cold water out of the lake and, use it to run chillers and cool the entire city. The water would be piped through existing coal-delivery tunnels. They could air condition the entire city for just the cost of circulating the water. NOPE, that would cut into energy usage.

[Danny B]

Globalization, corporatocracy and, the resulting downfall of everything

As many people have noted, globalization has not worked out well for most States. It worked very well for Germany and China UNTIL their competitive advantage impoverished their customers. There is a huge imbalance because capital can do an instant flow but, labor can NOT. Here is an excellent article that lays it all out. A corporation is a pile of money looking to grow larger. It is immortal and immune to prosecution. It has no brain, nor heart, not soul. It devours everything it can reach. It has NO PERCEPTION that it is destroying it's customer base. It now has personhood thanks to regulatory capture. This same regulatory capture has allowed it to acquire monopolistic powers that further reduce the purchasing power of it's customer base. It uses these same powers to force the State to subsidize it when it's customers can no longer support it's business model.

"However, one thing stands out: globalization has profoundly changed the structure of social and political power within each country by strengthening corporate power and their leaders’ influence, and by decreasing the power of workers in general and of labor organizations in particular. There are indications that it has hurt the functioning of democracy in several countries.

One general conclusion in terms of economic policy: in the context of economic globalization, it would appear essential that national governments retain control over their financial and banking sectors, as well as over their monetary policies, if they want to avoid, in times of crisis, that their economies behave like a ship without a captain, without direction on a rough sea.

More generally speaking, because of so many hazards, I am afraid that the all-out economic globalization that is currently being imposed on nations and people alike risks imploding, sooner or later. This is a model that has too many economic and political pitfalls to persist without profound reforms. That is because it de facto transfers the real power in our societies from legitimate elected officials to officers of large corporations and of mega banks, and to owners of capital in general who, in turn, can use it to corrupt the political system to their advantage. —There exists a basic economic and democratic deficit to economic globalization that will not be easily corrected."
Read the whole article.
https://www.globalresearch.ca/pitfal...zation/5458460

CIA wants less transparency
https://www.youtube.com/watch?v=Y9IQWtBWQds&t=237s
Veteran Reporter Seymour Hersh On Trump-Russia 'Collusion' - 'It Was a Brennan Operation' (CIA)
Elizabeth Warren says that a crash is coming and that; only she has the answer.
https://www.zerohedge.com/news/2019-...ly-she-has-fix

Boris Johnson Wins Britain Right on Target
Posted Jul 24, 2019 by Martin Armstrong

7/24 Equifax to pay at least $650 million in largest-ever data breach settlement – NY Times

7/23 Bulgaria’s hacked database is now available on hacking forums – ZD Net

7/21 Russia’s spy agency hit in massive hack; 7.5 TB of data stolen – Zero Hedge
It seems like hacking is here to STAY.

7/22 Hong Kong protests: armed mob violence leaves city in shock – BBC
The mainland Chinese Triads (mafia) are beating up those protesting for democracy.
7/24 Gigawatts solar potential in coal regions in Europe, finds new report – SPE
Nuke power is a total economic bust. Britain plans to go ahead anyway and REALLY screw the ratepayer.
https://www.montelnews.com/en/story/...uclear/1028647
7/24 Not the Onion: NY Times urges Trump to establish closer ties with Moscow – ZH
Ah, somebody looked into the crash of fracking.
Good article on free riders.
https://dailyreckoning.com/free-ridi...or-collapse-2/

7/24 Black hole in global banking is being exposed – Technical Traders
In the 2007-8 crash, the only liquidity available was the cash coming in from the drug cartels. J.P. Morgan is now pushing drugs. The system just doesn't have adequate liquidity to cover defaults and failing derivatives.
7/24 10 asset bubbles waiting to pop – Nasdaq
Right,,, look at equities DO NOT LOOK AT BONDS !
7/24 Why a 100bps ECB rate cut would crush European banks – Zero Hedge
They're looking pretty crushed as it is. There is another 10,000 layoffs coming.
7/23 UBS CEO warns of ‘dangerous’ bubbles spurred by central banks – Yahoo!
The CBs are screaming that monetary policy just isn't working any more. They demand that GOV institute fiscal policy like austerity. It's been well proven in places like Greece that austerity doesn't work either.

7/23 Shock and awe needed to un-invert the yield curve: half-point cut not enough – Mish
The yield curve is inverted because investors have more faith in the long term than they have in the short term. No shock & awe is going to buy confidence.
7/23 Richmond Fed unexpectedly crashes to lowest in over 6 years – Zero Hedge Remember confidence.

[Danny B]

Big tech hits Kryptonite,, Socialism is the cure

In previous ages, socialism was the firewall between, Darwinian pressures AND, the non-producers. GOV handouts to the unemployable in exchange for votes. If you couldn't / didn't work, you would just vote for somebody who promised freebies. Times have changed and, automation is wiping out huge niches of jobs. Evidently, the PTB have voted for socialism as the least-worst solution for general unemployment caused by automation. Naturally, the financial sector is very much against free money. I talked to an acquaintance who is a jewish banker. He said that it was great that B of A had increased their dividends. I told him that they had cut their workforce by more than 20%. He replied, "That's great, get rid of the fat."
He never considered that all those laid off employees would no longer be spending money.

The banks borrow short (interest on deposits) and, loan long. (30 year house loans). This creates a situation where they are always liquidity constrained. The FED was created to cover any temporary shortages with overnight loans for good collateral. Times have changed and regulatory capture means that the banks get free money. They no longer have to pay interest to attract savings. They earn an even greater margin loaning free money than they do loaning interest-bearing deposit money.
The banking industry is just too crowded and, they got over-extended. TARP gave American banks several hundred $billion. European banks were also over-extended. The FED gave Deutsche bank $ 354 billion.
https://www.youtube.com/watch?v=cHgqL5KTBQc&t=109s


The black hole of derivatives is sucking everything down. The banks are considered so systemically important that GOV will give them anything to keep them from collapsing.
Trump just signed an enormous budget because FED money is the only thing keeping the system afloat.
At the same time, there are forces that consider socialism to be the ONLY solution for automation. Apparently, they are pushing to crash the system to get us all to beg for socialism.
It's Obvious Who Will Replace Trump After The Controlled Demolition Of The Economy
" Once populist groups were entrenched and feeling overconfident, the cabal would then tighten liquidity into existing economic weakness and crash the system on their heads. Populists would get the blame for an economic disaster that the central banks had engineered many years in advance.

Once enough suffering had been dealt to the populace, globalists and extreme leftists would arrive on the scene to offer anti-populism as a solution; meaning the centralization and socialization of everything on a scale never before witnessed except perhaps in the darkest days of the Bolshevik Revolution."
Keep in mind that the writer is talking about jewish controlled Central Banks.
Aaron Liebermann: the father of Jewish socialism - Jstor
https://www.jstor.org/stable/29780126

The Cloward-Piven strategy out of the Chicago School is a strategy designed to collapse GOV with crushing social demands. After GOV is crushed, a marvellous socialist phoenix will rise up out of the ashes.
INSTITUTE FOR HISTORICAL REVIEW
The Jewish Role in the Bolshevik Revolution and Russia's Early Soviet Regime Assessing the Grim Legacy of Soviet Communism

There are credible claims that the left is trying to crash GOV right now.
https://www.youtube.com/watch?v=MvHer5ySzIY&t=49s


Socialism is incompatible with human nature. The corporatocracy seems unconcerned with mass starvation. China and Germany did VERY well with globalism,,,, until their customers were impoverished and quit buying. The same is true of the corporatocracy. They have starved us down to where we no longer have children. NOW, they can only survive with State-created liquidity keeping them afloat. 12% of companies worldwide are zombies. To the corporatocracy, it probably sounded like a great idea to wipe out living wages. OBVIOUSLY, they didn't consider the long-range effects OR, they are trying to promote mass depopulation.

As Billions Pumped Into Restructuring, Deutsche Bank Suffers Biggest Quarterly Loss Since 2015
Yes, the black hole.

The Bay area techies believed that they could attack Trump with COMPLETE immunity.
Big Tech 'monopolies' targeted in sweeping new antitrust probe by US Justice Department
Facebook agrees to pay record $5 Billion fine over privacy violations, critics call it 'parking ticket'
7/24 Uncle Sam comes for big tech – Seven Figure Publishing

Good article on population growth,,, It's slowing a lot.
https://econimica.blogspot.com/2019/...ration_39.html
Seems that everybody wants to overthrow the government.
https://www.armstrongeconomics.com/w...ng-capitalism/
7/25 Per capita world debt has surged to more than $200,000 – Seeking Alpha
I'm sure that this will all work out in the END!
7/25 Junk-bond fund draws $622 million as negative yields go global – Bloomberg
These are people chasing yield, NO MATTER how risky.
7/24 Boeing posts loss of nearly $3 billion in 2Q – AP
YES, but think of how much money they saved by paying $9 an hour to Indian programmers to write their software. Once again, I claim that a corporation has NO BRAIN.

7/25 The world’s central banks are debating whether to change their strategies – Bloomberg
The CBs are screaming that GOV must cut back instead of printing more money. The systemic collapse that was POSTPONED in 2008, is knocking on the door.
7/24 Facebook is already dealing with scams for its own cryptocurrency – Forbes
Hacks my be the undoing of everything.

Residential RE is where the upper loop and the lower loop meet. BUT, a household is a money losing proposition. The upper loop has pumped their free money into RE as a store of value. The actual household has been priced out by speculators.
https://moneymaven.io/mishtalk/econo...0aElsAuUI-GXw/
7/24 Pulte full-year forecast disappoints, higher costs persist – Reuters
Russian econ minister.
https://www.zerohedge.com/news/2019-...-downturn-2021

Armstrong on BoJo, "
Posted Jul 24, 2019 by Martin Armstrong

Boris Johnson has been elected as the new Prime Minister of Britain and he has promised to take Britain out of the European Union “come what may.” Jeremy Corbyn says Labour will table a motion of no confidence, designed to force Boris Johnson from office “at a time of (their) choosing,” adding “it will be an interesting surprise for all of you.” That is the main concern that if Labor gets a hold of the government, Britain will see a massive exit of capital and Corbyn will single handedly destroy the British economy, which has been the concern behind in the decline in the pound sterling."

[Danny B]

Bunch of headlines

Germany and China benefited from globalism but, eventually wiped out the earning power of their customers
7/26 Amazon stock tanks after disappointing Q2 results – Yahoo!
Amazon is going to kill more American jobs than China did ...
https://www.marketwatch.com › Economy & Politics › Rex Nutting
Of Course Amazon Destroys More Jobs Than It Creates, That's The ...
https://www.forbes.com/.../of-course...creates-thats-..

7/26 US GDP Q2 2019: up 2.1% vs 2% estimate – CNBC
This INCLUDES the money Trump & Pelosi are spending.
7/26 World trade in face of tariffmageddon, trade wars & manufacturing slowdown – WS Hmmm, no doubt.
7/26 Russia c.bank trims key rate to 7.25%, says more cuts on way – Reuters
That giant sucking sound is Russia hoovering up capital that is looking for returns.
7/25 European Central Bank could someday buy stocks, strategists says – CNBC
Convert their free money into assets,,, Why not?

7/25 US, Germany, Japan in manufacturing recessions: full-blown recessions coming – Mish
7/26 Gold at 6 year high in euros at €1,288 as ECB says outlook is “worse and worse” – GC
7/26 Inflation ghosts: past, present & future – Deviant Investor
7/26 Our trillion dollar deficit a sign inflation will hit us hard – NY Post
Yes, unfortunately, we're going to see prices rise.
7/25 Financial media elite defensively bash “useless” gold – Sound Money
ALL the CBs are buying it as fast as they can rip it out of the ground.

7/26 Brussels repels Boris Johnson’s quest for new Brexit deal – Guardian
I'm positive he planned it that way.
7/26 Lawmaker says she is under siege for seeking Epstein probe – Miami Herald
So, give us a list of the attackers.
7/26 Ron Paul: forget Russiagate, look at FBI-gate instead – 21st Century Wire
The CIA is more guilty.
7/26 The tyranny of the police-state disguised as law-and-order – Zero Hedge
France comes to mind.
https://www.armstrongeconomics.com/i...to-revolution/

China is signing up EVERYBODY to it's Belt and Road initiative to get one huge Asian economic bloc. At the same time, they are damming rivers and stealing water from India and Pakistan. Not happy with pissing off 1.4 billion people who depend on the Ganges, Indus and Brahmaputra, they are now blocking water to the Mekong delta.
https://news.yahoo.com/missing-mekon...101053291.html
Just to make matters worse, we are going into solar cycle 25 that will last for about 5 years. It will be a time of "highly volatile weather and crop failures as we hit both extremes."
https://www.armstrongeconomics.com/w...olar-activity/

[Danny B]

Too much prior liquidity cured by even more liquidity

Bernanke claimed that the FED caused the great depression one by not pushing enough liquidity into markets. The guy is flat out stupid. GD one was caused by pushing liquidity into the markets before the collapse. The DOT COM and RE crash were caused by pushing liquidity into the markets to keep the finance sector making money no matter how big it got.
In recent years, the CBs have created a reported amount of new liquidity of $ 247 trillion. Regulatory capture means that the banks get pumped up no matter how much legitimate business they have. Deutsche bank is a good example. With a stock price of under $7:00, they have a derivatives book of $45 trillion.
Here is an excellent article with a very clear projection of what we can expect when this bubble comes to an end.
https://www.peakprosperity.com/overd...n-crazy-pills/

Keep in mind that regulatory changes have changed the bank--depositor relationship. Your deposit is now considered an investment in the bank, NOT a deposit. Like any other investor, you can lose your money. Generally, when a bubble pops, the investors lose 50---95%
The Bail-In: How You and Your Money Will Be Parted During the Next ...
https://sandiegofreepress.org/.../th...ill-be-parted-...
The FDIC is capitalized to about $2.4 billion BUT, it is covering deposits of about $70 trillion.

[Danny B]

The reign of the CB is coming to an end, everything else with it

Many decades ago, gold was the governor on how much "money" the CBs could create. With that gone, the "bond vigilantes" were the closest thing to a governor. The primary dealers are required to buy discounted new federal debt. They, in turn, sell it to investors. The yield curve in inverted because investors don't want short term paper. Since the State wants NO limitations on it's spending for welfare and warfare, it has used ZIRP to squeeze out the bond vigilantes. The FED credits the BOE or ECB or BOJ with a boatload of pixels with which to buy it's freshly issued debt.
The ECB is not in a position to do the same.

AOL, "Once President Trump signs the budget deal that was passed by the House on Thursday and is expected to be approved by the Senate in a few days, he will have added $4.1 trillion to the national debt, "
OK, so he is trying to pump up an inflated edifice that has major holes / leaks. Besides automation, there are other problems.

"Global debt is currently at $246.5 trillion and primarily in the Wealthier, Consumer Nations of the world.
The population of young in Consumer Nations has fallen 12% or over 100 million Since Peaking in 1975.
Debt on a per capita basis gauged against the consumer nations young is going parabolic."

"For nearly a half century wealthy nations young populations have been declining versus rising young among poor nations...offset by secularly declining interest rates and the addition of over $240 trillion in global debt to maintain unnaturally high rates of economic growth."
"Looking at the same chart but running through 2050, with UN population projections and debt estimated to continue growing at the same pace it has since 1950 (these #'s are inclusive of the impact of immigration and emigration). Continued declines among the wealthy young consumers, growth among poor young non-consumers, and debt running from the current $250 trillion up to $2.6 "
https://econimica.blogspot.com/2019/...pulations.html
The only way to "have" $2.6 quadrillion is to Create it out of thin air.
OK, so there is $2.6 quadrillion in funny money sitting in some giant pixel factory somewhere. UBI could be used to convert this pixel mountain into consumption. This isn't likely because more and more people are seeing the absurdity of growth for growth's sake.

Armstrong makes it clear that stocks are going up because they are attracting fleeing capital. A great many people are only interested in protecting their capital,,, not so much earning interest. At what point do they change their minds?
"However, this was more than offset by negative revisions to US corporate profitability showing a sustained decline in US corporate profits, which have slumped to the lowest level in over 5 years even as the S&P has risen by 50% in the same period, indicating that all of the upside in the stock market was due to PE multiple expansion, "
https://www.zerohedge.com/news/2019-...al-crisis-lows
The buybacks distorted the price--earnings ratio even as the indices rose to new heights. NO profitability.

House Approves $1.48 Trillion Pentagon Budget 'Unprecedented, Wasteful & Obscene'
Rather than creating some kind of regulated universal basic income, the State is pumping liquidity into the arms industry. This will make the rich even richer. It will NOT flow to Main Street. But, here are the numbers.
"Government Spending jumped to a 5.0% annualized growth rate (Q1 2.9%), led by a 7.9% annualized expansion in federal government expenditures (strongest reading since Q2 ’09). With federal deficit spending near 4.5% of GDP, fiscal stimulus has become a powerful force in the real economy. "
"“Jay Powell this month stressed the Fed’s determination to fight the sluggish inflation numbers dogging the US economy, warning Congress that downbeat prices could lead to an ‘unhealthy dynamic’ of lower interest rates and less room to act in a downturn. ‘We’ve seen it in Japan. We’re now seeing it in Europe,’ Mr Powell said in his testimony. ‘And that’s why we think it’s so important that we defend our 2% inflation goal here in the United States and we’re committed to doing that’.” "
The 2% inflation goal is a total ripoff of everyone but the bankers. The downturns in Japan and Europe are directly related to the downturn in population.
Credit Bubble Bulletin : Weekly Commentary: Fanning the Flames

The East "stole" the jobs from the West. The West went broke and, is trying to paper over all the problems with fresh CB "money". When the West went broke, this drug down the East because they had lost their markets. Consumption in the West is marginally / temporarily supported by wet ink money. So, while there is lots of "money" , there is falling consumption. The production--- consumption is what normally finances the banks and State. Substituting funny money for money that represented consumption & production is a sure way to get locked into permanent funny money production.

The hordes of beggars, bankers and bureaucrats has just gown too large for the actual economy to support. QE may support all the non-producers, but, the direct taxes and, the inflation tax drive the producers out of business. The FED and the State are trying to hold back the looming huge wave if defaults by pumping in money. Remember that 12% of businesses worldwide are zombies. Instead of whack-a-mole, the State is playing support-a-mole.
Every little niche that looks like it might go bankrupt AND default, is sent some kind of rescue. This just isn't enough. Millions of individuals are defaulting. The banks write off as much as possible and, Uncle Sam pumps them up. The current game is; hold off the default cascade by pumping liquidity into anything that looks to be falling.

The FED, PPT and ESF can create boatloads of liquidity on the sly. The ECB can't do that so, nobody will touch it's paper.
https://www.alhambrapartners.com/201...-for-stimulus/
Here is a good vid explaining what happens when there is even a little shrinkage of credit.
https://www.youtube.com/watch?v=bx_LWm6_6tA

Real corporate profit margins “revised” to financial crisis lows – Zero Hedge
Just don't tell anyone.
7/28 25% of bonds in the world make lenders pay for the privilege of owning them – MW
Desperation time.
7/28 Even the Financial Times notices how crazy central banking has gotten – GATA
The CBs are screaming that the State must abandon monetary policy and fix the situation with fiscal policy,,,,, more taxes and, less spending.
7/28 Once again, Uncle Sam shirks fiscal responsibility in budget deal – Reason
This isn't about financial responsibility. It is about avoiding revolution.
We form a State for mutual prosperity and mutual protection.
7/27 Once “prosperity” falters, the legitimacy of the status quo evaporates – CHS

7/27 EU about to face 2 realities: Johnson will deliver Brexit, eurozone in recession – Mish
Give BOJO time to make trade deals outside of the EU structure and, he will be free to kick Macron in the teeth. Farage will have his boot on Macron's neck.

7/28 ECB money printing is ‘rocket fuel’ for bitcoin price, says Pompliano – Coin Telegraph
7/28 Trump DOJ sues infamous bitcoin exchange for $100 million – Yahoo!
7/28 The U.S. Treasury Secretary issues dire bitcoin warning – Forbes
The various States have weighed in against BTC because it allows capital flight.
7/27 Wages aren’t keeping pace with home-price growth, denting housing market – HW
THAT is an old story. Most houses are bought by speculators. They are losing interest.
7/27 UK PM Johnson tells EU: ditch backstop or face no-deal Brexit – Reuters
Like Trump did to China, he gives them an ultimatum that they can't agree to. England will do a LOT of traded deals. Scotland and Wales will be left behind. Ireland is going to be in deep trouble.
Kunstler is of the opinion that our political crisis will bring big financial problems.
https://kunstler.com/cluster****-nat...rview-of-dust/

7/28 Cyber veterans imagine what a hacker-fueled war would look like – Fast Company
That's the future all right.
AOC is in congress just because she answered a casting call from the Justice Democrats. They are very finely pulling her strings.
https://www.youtube.com/watch?v=1h5iv6sECGU&t=514s

[Danny B]

Benjamin Fulford

Fulford can always take your breath away.
https://benjaminfulford.net/

[Danny B]

CBs diversify OUT of public debt and, into stocks.

ALL sovereign debt eventually defaults. Between defaults, it is considered "risk free".
The CB takes Treasury debt and , monetizes it. Since the CB can create new "money" as fast as it wishes, it can buy other things also besides GOV debt. Currently, the CBs are screaming for GOV to abandon monetary policy and fix the problems with fiscal policy. Automation and outsourcing have wiped out domestic earning power and, consumption.
Martin Armstrong has given a fairly short timeline before public debt defaults once again. The FED holds $trillions of this debt and, isn't likely to ever collect.
Japan is even more problematic.
"Jul 10, 2019 - BoJ now holds nearly 50% of the government bonds
Bank of Japan's balance sheet now larger than country's GDP - Reuters"

The CBs read Armstrong and, they can see the writing on the wall. Sovereign debt will go bust before long. They are using their free money to buy ASSETS, rather than GOV debt.

". It's remarkable not only because the SNB actively chose to pour hundreds of billions of Francs into foreign stock purchases,"
"The SNB’s profit was lifted by a trio of positive forces: low bond yields preserved the value of its foreign bonds; higher equity prices raised the value of SNB holdings that included $2.8 billion in Apple Inc. stock at the middle of 2017 and $1.3 billion in Facebook Inc. and the weaker Swiss currency made those foreign assets worth more in franc terms. For the first nine months of 2017, the SNB’s profit was 33.7 billion francs. Of that, over 14 billion francs was from rising equity prices"
https://mises.org/power-market/when-...market-players

Central Banks' Plunge into Stocks: A Flashing Warning Sign ...
Proof That Central Banks Are 'On The Bid' In Stocks - Forbes
Central Banks Boost Holdings of Equities Beyond $1 Trillion .
It's not just stocks.
Why the World's Central Banks Are Going Embracing Gold - TheStreet
Central Banks' Plunge into Stocks: A Flashing Warning Sign ...
There is a lack of understanding on this process.
Central Banks Have Gone Rogue, Putting Us All at Risk - Truthout
https://truthout.org/articles/centra...s-all-at-risk/
The CBs can buy up stocks,,, price insensitive. This can squeeze out the normal buyers who must make a profit. Remember that Keynes advocated "Euthanasia of the Rentier"
ZIRP bonds are a good start

Sep 21, 2018 - Central banks buying stocks are effectively nationalizing US corporations just to maintain the illusion that their “recovery” plan is working .
CBs buy stocks with free money. Earnings are dead in the water. Why should CBs worry? As the CBs progressively abandon hope in holding GOV bonds, they will progressively buy more stocks.

While it is true, that CB stock purchases have raised up asset markets, they mostly want to diversify OUT of public debt.
Central Banks Buying Stocks Have Rigged US Stock Market Beyond ...
ECB can boost growth across Europe by buying stocks | Financial Times
China's central bank stocks up on gold as it seeks to diversify ...
World Central Banks Doing The Heavy Stock Market Lifting | Seeking ...
Central Banks Are Doing the Unthinkable – Buying Stocks

Armstrong, "ANSWER: Yes. The central banks have been buying equities to try to diversify their balance sheets as they also see what is coming down the road. Still, they are not the major buyers to influence the market in that manner. Corporate buybacks have been a much stronger factor in the marketplace.

The reason why we will not have a major crash is simply because this time it is different — the crash is in the debt markets."
https://www.armstrongeconomics.com/m...ying-equities/

If you look at markets from the right angle, you can see that the CBs don't want to be stuck holding nothing but public debt. But, as stated in the articles, this amounts to nationalizing companies. Nationalizing a big part of the economy could be a big step towards global governance.

The State is facing horrendous pension liabilities. The CB doesn't want to get stuck monetizing bonds for bazillions of dollars for pensions. The unfunded public pensions in America reportedly total $213 trillion. (Kotlikoff)

"Preliminary data for 2018 show that assets in pension funds amounted to USD 27.6 trillion in the OECD area, close to 4% lower than in 2017, according to OECD's Pension Funds in Figures. Calculated in national currencies, pension fund assets declined in 12 out of 34 reporting OECD countries, including some of the largest pension markets: Japan (-1.1%), the Netherlands (-1.2%), Switzerland (-0.7%), the United Kingdom (-0.3%) and the United States (-5.0%)."
Global pension statistics - OECD
Keep in mind that private pensions are NOT in good shape either.
S&P 500's Biggest Pension Plans Face $382 Billion Funding Gap

Here is an excellent article on the pension fund apocalypse.
https://www.zerohedge.com/news/2019-...und-apocalypse

Here is an excellent but, fairly dense article about the battle over the future world monetary system.
https://www.zerohedge.com/news/2019-...dead-what-next
Related, 7/28 The threat to the global economy from resurgent imperialism – Murray

7/29 Who’s afraid of cryptocurrencies? Everyone in Washington – Dallas News
And Beijing and Brussels....

[Danny B]

CBs buy up everything,,,, CAFR

The Central Banks are using their printing press to buy up equities and, diversify OUT of public debt. The FED was originally created to give overnight loans for good collateral to banks that had a short-term liquidity problem. NOTHING more. Time and again, they were hitched up to finance whatever war or social problem came along. The State always has so MANY needs. The private banks always have SO many needs. The reign of Central banks is coming to an end,,, at least in their original configuration. The federal government wants complete control over the printing press. What about the States and cities?
Walter Burien has a site that lists and exposes the finances of the 37,000 GOV bodies that tax the snot out of us and, stash it away.
" When Orange County lost a little over $1 billion in derivatives investments, they were crying "poverty" and threatening to shut down schools, police would have to be laid off etc. However someone dug into the Orange County CAFR and found out that the county had about $16 billion in profitable investments! The county, from their profitable liquid investment funds / cash position could have continued performing the same services, without collecting one dime in taxes, and could have done so for another 11.9 years from the existing funds"

"While he was a Mayor, Jesse Ventura's city council wanted to raise $360,000 in taxes to cover a short fall on their "city budget for schools." Ventura objected when he discovered the city owned $48,000,000 in idle investments funds from which the $360,000 could be drawn from without raising taxes!"
https://rense.com/general2/bigsecret.htm
Kotlikoff reports that FED GOV has $231 trillion in unfunded liabilities. What Burien pointed out is; GOV projects it'\s liabilities but, OMITS to project it's income.
GOV always points out it's liabilities to justify more taxes.

Fracking is a net loser to the tune of $280 billion. It's not alone. Ethanol is a net energy loser. It is supported by the junk bond market. It is in trouble too.
https://www.reuters.com/article/us-u...-idUSKCN1UO0FN

I have to stop now. Any time that I link to certain subjects, my computer takes a dump.

[Danny B]

pound / euro,,, saving the banks with unlimited liquidity

Had to restart.
Macron and other assorted idiots decided to play hardball with Great Britain. Bunch a panzies.
Boris Johnson Reportedly Says 'No' to Meeting EULeaders, Ramps Up No Deal Preparations
7/30 Deal or no-deal, Brexit dooms the euro – Tom Luongo
7/30 Pound worth just 85 euro cents at UK airports as sterling sinks – Independent
They're both going to hell,,, locked in a deadly embrace.

7/30 Capital One shares dive after data breach affecting 100 million – CNBC
7/30 Expert warns of cyber attacks on power grid; new approach needed – Military Aerospace
7/28 Cyber veterans imagine what a hacker-fueled war would look like – Fast Company
France Announces Plan to Launch Satellites With Defensive Lasers, Possibly Submachine Guns
India Launches First-Ever Space War Drill To Defend Satellites
New Russian S-500 ‘Prometheus’ can hit targets in space
The whole nature of warfare has changed so much that it is impossible to protect everything.

U.S. Treasury plans to borrow $800 billion. NOBODY is going to loan that so, they will have to run the printing presses in stealth mode.
https://www.zerohedge.com/news/2019-...t-two-quarters
7/30 Treasury projects $433 billion borrowing need this quarter – AP
California is slipping.
"First of all, the Garlock fault is the second largest fault line in the entire state of California, and it is a major threat to southern California.

Secondly, the Garlock fault runs directly into the San Andreas fault, and many believe that a major quake along one could potentially trigger a major quake along the other."
https://www.zerohedge.com/news/2019-...toward-garlock

7/30 Companies increasingly using debt to repurchase stocks – CNBC
7/30 The Federal Reserve is gambling with the global economy – SHTF Plan
The FED will play games with the worldwide dollar shortage to prop up demand for the dollar.
7/30 Negative yields could be the death of bond markets – Yahoo
It's for sure that something will kill it.
TARP was just $700 billion to save the banks. It was authorized by congress. What congress did NOT authorize was; $16 trillion for banks worldwide BEFORE the crash.
https://www.armstrongeconomics.com/w...ending-crisis/

[Danny B]

Pumping up markets to avoid starvation and revolution

April to August 2007;
New Century
Bear Stearns
American home mortgage
Countrywide
Starting in December of 2007, The FED started pumping in liquidity, eventually amounting to $16 trillion to any banks that were at risk. Since there was about $13 trillion in dollar-denominated debt worldwide, only the FED could produce the needed liquidity. The total sum of liquidity PLUS guarantees eventually reached $27 trillion. The FED was originally created to backstop domestic, member banks. BUT, as the dollar spread, so did it's "responsibilities". Regardless of where it started the contagion from a collapse would spread everywhere.
https://www.armstrongeconomics.com/w...ending-crisis/

Armstrong, "
Unfortunately, as governments begin to collapse moving into 2021/2022 due to the complete failure of Socialism, they will not simply yield to the people and admit that their fiscal mismanagement is the cause of destroying everyone’s future. They will not go quietly into the light."
https://www.armstrongeconomics.com/i...-to-kill-them/
Revealed: The shocking scale of poverty in France in 2018 - The Local

Armstrong, "The OECD has confirmed what our computer models have been warning that we are entering into the collapsing stage of Western Civilization that is being caused by Marxist-Keynesianism. Government keeps raising taxes and hunting down the rich, which is destroying capital formation and thus the prospects for long-term economic growth."
Armstrong certainly has his blind spots. This is from 5 years ago. He talks about a dearth of capital formation. Since then, the CBs have injected a couple hundred $trillion. The West is a high-wage,,, high-price economy. As the global mean wage is forced on us, we must revert to a low wage & price economy. All the injections are stuck in the upper loop. Wages and consumption have crashed because of automation & China / India. Many millions of people have lost their job niche. If the State tries to give them some support to avoid starvation, Armstrong calls this "socialism". If this "socialism" collapses, it will be followed by mass starvation and revolution.

"The OECD’s Employment Outlook 2013 is grim to say the least. This report is indicating that over half of joblessness is now long-term: one year or longer, and that young people and low-skilled workers will continue to be hit hardest exceeding 60% in many European nations. This is simply unsustainable and is bringing Western Society to the brink of revolution, civil unrest, and massive political chaos. The OECD reported:"
https://www.armstrongeconomics.com/u...alism-is-over/
These people are NOT unemployed because of State "mismanagement". They are unemployed because of wage competition. Armstrong goes on to talk about Greek unemployment. Well, the Troika is taxing Greece to death to repay German banks who lent them money KNOWING that they would default. Is it any wonder that many bankers have been hung from lamp posts?

The Wave of Deflation & Rising Unemployment | Armstrong Economics
This so-called "deflation" is deflation of wages & savings of the middle class brought on by the price inflation created by the banks.

Armstrong, "We still see unemployment rising. The primary trend is the state and local government cannot print money and are the major source from which jobs will vanish. While that will contribute to rising unemployment from the private sector, the public sector is the one really in the crash and burn mode where jobs destruction is taking place not just displacement."

PRIVATE BLOG – Complete Disruption to the World Economy
Posted Jul 30, 2019 by Martin Armstrong

PRIVATE BLOG – Complete Disruption to the World Economy Private blog posts are exclusively available to Socrates subscribers.

Revenge of the Corporate Zombies: 15% of Largest US Companies ...
13% of the world's companies are 'zombies.' That's not healthy - CNN
Just imagine what will / would happen if 15% of American companies closed. Just imagine what would happen if American GOV / employment went bust.

Armstrong calls this the "collapse of socialism" BUT, off to the side is another facet that he never mentions.
The cost of the safety net is reckoned at $1.5 trillion a year.
The cost of the safety net for the rich is figured at $15 trillion.
It Costs $685 Billion a Year to Subsidize U.S. Health Insurance ...
United States Spend Ten Times More On Fossil Fuel Subsidies Than education
Study: U.S. Fossil Fuel Subsidies Exceed Pentagon Spending
America spends over $20bn per year on fossil fuel subsidies
NO mention of the $280 billion pumped from the FED to the junk bond market to the frackers.

Subsidies
https://www.investopedia.com/article...-subsidies.asp
So, what would be the cost of basics if they weren't subsidized?
7/30 Treasury projects $433 billion borrowing need this quarter – AP
The State is trying to keep all the balls in the air. Armstrong talks about revolution and general chaos in a clinical sort of way. The French government spends 57% of the GDP and still, people are hungry.
Getting Old & Risking Unemployment Thanks to Socialism | Armstrong ...
The banks are trying to preserve the notional value of the loans they hold. If prices fall drastically, everyone defaults. The banks are trying to maintain the "high price economy" long after high wages have left.

Reportedly, the food industry operates on just 2% margin. A big bout of price inflation would wipe them out.

https://www.zerohedge.com/news/2016-...-meals-anarchy

Last but, not least.
"where the US economy is now, compared to September 2007 - when the Fed also started an easing cycle by cutting rates by 50bps to insure against uncertainty resulting from tighter financial conditions, and just two months before the last recession officially began in December 2007 - Morgan Stanley compared some of the key leading and market indicators now and back in September 2007."
"irst cut in 2007 without the benefit of hindsight – meaning, the Fed’s decision to cut 50bp had nothing to do with the coming financial crisis. It was about lessening downside risks coming from tighter financial conditions. Fast forward to today when it’s about downside risks coming from global growth and trade uncertainty.

And here Hornbach makes a the stunning observation: as shown in the exhibit below, things look worse today than at the September 2007 meeting on every metric."
"The US labor market data also look better today than in late 2007. "
" First, the S&P hit an all time high just after, in October 2007: that high would not be revisited until 6 years later, and at the cost of trillions in central bank QE.
Second, just three months after the Fed cut 50bps, the recession started in December 2007, which then promptly mutated into the greatest financial crisis since the Great Depression.
Third, after hitting a record - for the time high - the S&P then proceeded to plunge 60% lower by March 2009, and only the coordinated effort of all the world's central banks managed to restore faith in the Western financial system.

It will be delightfully ironic if the Fed's rate cut in three days unleashes a similar chain of catastrophic events."
https://www.zerohedge.com/news/2019-...uldnt-be-worse

[Danny B]

Confiscation,,, CB problems

"A law was passed in 2010 that allowed any bank, if it declared a bank emergency, to confiscate deposits in such a way that the liability could be diminished or eliminated by the bank unilaterally. In effect: a license to steal.

This law was then tested. A trial balloon went up in Cyprus, where deposits were confiscated as a result of a declared but unannounced bank emergency. Since Cyprus is merely a small island nation, most people outside the country paid the event little heed, but it established the principle that it was all right to confiscate deposits if the bank felt an emergency condition existed. (And remember, the bank wasn’t required to announce the emergency prior to confiscation.)

Since the trial balloon was so successful, Canada also passed confiscation legislation (in 2013), as did the EU (in 2014"
https://swpcayman.com/media/commenta...all-your-money

7/31 Crackdown coming? China gathers forces on Hong Kong border amid unrest – ZH
I'm sure that this won't cause any capital flight.
Brussels to Build a Berlin Wall in Ireland in the event of a Hard BREXIT .
Boris Johnson Vows UK Will Never Put Physical Checks or Infrastructure on Irish Border
BOJO will be out there with a wrecking ball.

7/30 Summers blasts Trump: ‘no nation can devalue its way to prosperity’ – GATA
7/30 Why Trump’s low-dollar plan won’t work – Ahead of the Herd
Trump wants to devalue the dollar to make American exports cheaper. The Pound and Euro are crashing. The dollar is more attractive to the markets than anything else.
7/31 Central banks will unleash inflation and gold is headed above $5,000 – Kitco
The CBs created tons of new liquidity but, they didn't have any control over where it went. They tried to direct it to the upper loop. The upper and lower loop intersect quite a bit in Residential RE. House prices have risen for 88 quarters. Price inflation in consumer items has been about 10% (Shadowstats).
Price inflation in the lower loop has not been real bad. Yes, it will get worse.

7/31 Charts say recession is inevitable in the US – Lombardi
Wall Street is having record profits by gutting Main Street.
oftwominds-Charles Hugh Smith: Main Street Small Business on the Precipice
7/31 Consumer confidence surges near 18-year high – MarketWatch YES, on some planet in the Lesser Magellanic clouds.
7/31 Why Morgan Stanley thinks the S&P is about to crash – Zero Hedge
Because they don't read Armstrong.

[Danny B]

Profit deflation,,,runaway debt,,, crop loss

Much of news articles are about how the Central Banks just can't seem to accomplish the price inflation they are trying to spur with their currency inflation. Why are they adamant that we must have price inflation?
Much of the chain of retail trade is financed by speculators before an item reaches the final vendor. The retail vendor uses his own money to carry inventory. This personal investment is repaid by his profit margin. The speculator is just a middle-man and never has contact with the final consumer. If there isn't constant price inflation, there isn't enough money to finance the speculators. The retailer has a necessary profit margin to keep his doors open. If that, is reduced by the speculators, he goes out of business.

A Dozen or so Companies Amazon Is Slaying This Year - Investopedia
Amazon Will Kill CVS And Walgreens' Business Model -- More Bad ...
Amazon is threatening these industries - Business Insider

As profit margins fall, more and more speculators go broke. The CBs want price inflation to ensure that there is a continuous cash flow for finance.
I needed a connector plug for 3 phase power. It was $46.92 at Graingers. It was $6.02 for an identical plug bought direct from China. China has a payment system that completely bypasses banks.
Why China's Payment Apps Give U.S. Bankers Nightmares - Bloomberg
https://www.bloomberg.com/graphics/2...ems-china-usa/

The Western CBs demand 2% inflation to keep legions of money renters from going broke. The price inflation created by all these money renters has severely reduced purchasing power for the middle class. They insist on continual price inflation at the same time that we suffer from continual (effective) wage deflation. We stop buying so, they have to increase printing to keep the money renters solvent.
This is nothing new. It's just gotten much worse by the implementation of electronic currency.

"Hudson says that - in every country and throughout history - debt always grows exponentially, while the economy always grows as an S-curve."
https://georgewashington2.blogspot.c...nentially.html
In the waning days of the empire, debt is increasingly used to sustain everything.
Commonly referred to as the "everything Bubble"

At the same time that we face dissolution of the empire, the ongoing pole flip (started in 1880), means we also face food production problems related to violent and unpredictable weather.
Youtubers depend on hits and, often resort to sensationalism, there is always some truth behind most claims.

https://www.youtube.com/watch?v=-nlkUWt7adA&t=128s

https://www.youtube.com/watch?v=Nun7ftprv6I&t=43s

[Danny B]

Armstrong,,, whacking China,,, corporate debt

Armstrong, "I had tapes that would have put the whole New York banker crew in prison if we had a real government. There were tapes covering every manipulation they pulled off from rhodium to platinum and silver. It was the platinum manipulation that I had a tape of where they admitted to bribing to a Russian minister to “recall” their platinum to take an inventory. They forced platinum to rally, then the Russian minister announced they found “more” platinum to ensure the price would crash after they flipped their positions. Even Ford Motor Company was looking into suing over that manipulation.

All the evidence I had documenting each player and what they did was seized and vanished. My requests for documents were never honored. One is supposed to be entitled to discovery. There is no rule of law. You cannot win against the bankers."
https://www.armstrongeconomics.com/w...o-seize-power/
And, he wonders why they threw him in prison for 7+ years.

Armstrong, "According to a new report by the Fraser Research Institute, taxes consume 44% of the average Canadian’s income. In contrast, basic necessities only compose 36.3% of consumption. “Taxes have grown much more rapidly than any other single expenditure "
"The number of $100 bills in circulation has surpassed the number of $1 bills, according to a recent report by the IMF. The number of $100 bills in circulation has doubled since the Great Recession. The Federal Reserve in Chicago noted that 80% of the $100 bills in circulation are held overseas, which reiterates the dollar’s position as the world’s reserve currency."
India has now slipped to 7th place according to GDP rankings. Last year, India occupied the 5th slot
India buys 1,000 Russian air-launched missiles
It looks like India is going to whip up a war with Pakistan to keep occupied. Keep in mind that both of them are participants in China's Belt and Road initiative of COOPERATION.

There are 2 great graphics on this page about the economic sanctions on China.
https://www.philstockworld.com/2019/...-to-get-off-6/
Armstrong, "There has been news suggesting that China wants to retaliate to the tariffs imposed by Trump, but their faltering economy and high debt burden does not allow them to do so. "
Trump is going to push them until they blow. When they blow, the whole world blows with them. He does have legitimate reasons;
"“Our representatives have just returned from China where they had constructive talks having to do with a future Trade Deal. We thought we had a deal with China three months ago, but sadly, China decided to re-negotiate the deal prior to signing. More recently, China agreed to...”

“...buy agricultural product from the U.S. in large quantities, but did not do so. Additionally, my friend President Xi said he would stop the sale of Fentanyl to the United States – this never happened, and many Americans continue to die! Trade talks are continuing, and...”
"“...during the talks the U.S. will start, on September 1st, putting a small additional Tariff of 10% on the remaining 300 Billion Dollars of goods and products coming from China into our Country. This does not include the 250 Billion Dollars already Tariffed at 25%...”

Asia has a long history of agreeing to everything and, implementing NOTHING. Trump is playing hardball.
Credit Bubble Bulletin : Weekly Commentary: Trump's China Tariff Tweets

8/03 Seattle house prices fall – LA, NY & Chicago hit 0% appreciation – Forbes
That can be the start of "jingle mail" where home owners drop their keys in the mail box and, walk away. It costs about $50,000 to do a complete foreclosure. If the price is falling and the value is reduced, there is no point in the bank trying to retain the house.
8/03 Fed’s mild rate turn crushes U.S. inflation expectations – Reuters
8/03 Stefan Gleason: as Fed disappoints, will Trump try currency intervention? – GATA
It just doesn't work that way.
8/03 ‘Hidden debts’ reveal risks of China’s lending spree – Asia Times
8/03 Perfect storm building for market correction – CNBC
Trump tries to put China up against the wall so that they fall first.
8/03 The Fed rate cut shows the Fed is either clueless or lying. Or both. – Mises Institute DESPERATE.
8/03 Global manufacturing recession started: China tariffs made matters worse – Mish REALLY ! ?

8/03 Trump’s new tariffs may set stage for more Fed rate cuts – GATA
8/03 Trump’s new China tariff was a shot at fed chair Jerome Powell: Peter Schiff – Fox
Powell says NO WAY !
8/03 Local pension costs grew in California at nearly six times national rate – GOP USA

Super Mario Draghi bought up public sector bonds with wild abandon. Legarde is replacing him.
"Instead, Lagarde will likely stick to her brief, as any good lawyer does. There’s no doubt that her years of operating as head of the IMF will also reinforce her inclination not to disrupt the prevailing austerity-based ECB ideology."
Austerity in Europe is the perfect poison pill.
https://www.salon.com/2019/08/02/sig...urope_partner/

The guy who correctly predicted the sub-prime crisis and, made billions off it has now warned against U.S. corporate debt.
When the U.S. falls into a recession, a credit bubble will explode ...
Swelling US corporate debt raises risk of global financial meltdown ..
The Countries with the Most Monstrous Corporate Debt Pileups: US ...
Corporate Debt Is Rising and The Debt Bubble Could Hurt Stocks .
Armstrong writes that public debt will blow up but, equities will do OK. How can corporate bonds blow up without blowing corporate stocks also?

[Danny B]

Yes, the recession has started,,,free money for bureaucrats and bankers

In the lower loop, people must actually work for their money. Pumping in liquidity doesn't do anything for them directly. New liquidity is an instant "rush" for the upper loop. Since the majority of people are in the lower loop, they do most of the consumption.
Materials are down 18.5 %,,,, Industrials are down 12.2%. As these sectors fall, the upper loop needs ever-more liquidity pumped in.
https://acting-man.com/blog/media/20...h-1024x569.png
"But in sectors that actually make stuff, like materials and industrials, earnings are suffering double digit declines.

From a practical standpoint, earnings are declining in these sectors because manufacturing is contracting. For example, this week it was reported that the Chicago Purchasing Mangers’ Index (PMI) collapsed in July to 44.4. That is the second weakest Chicago PMI reading since the Great Financial Crisis."
"U.S. non-financial corporate debt is about $10 trillion, or roughly 48 percent of gross domestic product (GDP). That is up about 52 percent from its last peak in the third quarter of 2008, when corporate debt was about $6.6 trillion, roughly 44 percent of 2008 GDP. "

Here is the graph, https://acting-man.com/blog/media/20...t-1024x676.png
https://acting-man.com/?p=54586
The markets have topped out but, some gamblers still have a fear of missing out. It's called "picking up dimes in front of a steam roller" or "catching a falling knife"
Trump is hard at work trying to keep gamblers from leaving the table. Trump bumps up the trade war another notch and, Powell must lower rates to keep the markets from seizing up.
https://www.zerohedge.com/news/2019-...-war-one-chart
Powell swears, NO MORE cuts.

Endgame: Starting In 2024, All US Debt Issuance Will Be Used To Pay Only For Interest On Debt
https://www.zerohedge.com/news/2019-...-interest-debt
There is no possibility of continuing to operate with debt-money. MMT is now called absurd by bankers who like charging interest for us to use our money. This isn't going to go down smoothly.
Federal debt, https://acting-man.com/blog/media/20...g-1024x678.png
The rise in total credit market debt.
https://acting-man.com/blog/media/20...P-1024x674.png
https://acting-man.com/?p=54571

As we get a greater and greater amount of automation, the State pumps in a greater and greater amount of new money. It flows everywhere.
Fleetowner, Oct 2010;
New Jersey pays $1.1 million per mile of state road.
Florida pays $671,000 per mile
California $545,000 per mile
South Carolina spends $34,000 per mile
California spends $94,564 for administrative costs per mile.
About 23 million work for GOV.

Democracy is socialism-lite. Both systems eventually crash the bank. Socialism is a system whereby the non-producers have a very big influence in the maternity wards. They pump out ever-more non-producers. The actual producers are tasked with supporting the non-producers.
"What is fascinating about this is that Parkinson's Law, albeit having been variously formulated since its first statement in 1955, predicts that the staff within a bureaucracy will expand at a rate between 5 and 7 percent per year, “irrespective of any variation in the amount of work (if any) to be done.” Isn't it interesting that government debt falls precisely within this range? "
https://www.fourmilab.ch/fourmilog/a...08/001328.html

So, GOV is trying to save a system with exponential debt growth. What does the slippery slope look like on the downside?
"Macron has made no decision to remedy the disastrous economic situation in France. When he was elected, taxes, duties and social charges represented almost 50% of GDP. Government spending represented 57% of GDP (the highest among developed countries). The ratio of national debt to GDP was almost 100%.

Taxes, duties, social charges and government spending remain at the same level now as when Macron came in. The debt-to-GDP ratio is 100% and growing. The French economy is not creating jobs. Poverty remains extremely high: 14% of the population earn less than 855 euros ($950) a month."
This is a very sad article about the destruction of a once great nation. There will be no saving of France.
https://www.gatestoneinstitute.org/1...-sinking-chaos