Friday, 17 October 2014

Back to the Bailout

All through the week there has been major trouble on the stock market. On Monday share prices plummeted by many percent all over Asia and this spread to the rest of the world. Since then some stability has been regained, but forecasts are being revised to a lower level of growth and prosperity. The current volatility is being blamed on the Ebola crisis, and also the feeble growth in the Eurozone, see: What is already being called "The Great Recession" following the crash of 2008, is thought by many to be over. In fact a few days ago the government proudly announced that unemployment has dropped below 2 million, see: (although no doubt these figures have had a session with the employed Parliamentary masseur!). We're always hearing the word "recovery" in the news, but is it correct to use it? Has the economy stalled again and are we about to descend once more into chaos and deprivation. This happened after the Great Depression following the stock market crash of 1929. By 1934 there was hope that we were coming up out of it, but in the late 1930's the economy dipped again for a couple of years and there was no real rise in the figures again until after the devastation of World War II. The Great Recession of 2008 onwards has changed the financial landscape of the world in every way. We've seen unemployed people drafted into slave labour schemes, see:, mass mortgage default and homelessness among the American middle classes, youth unemployment so high that it's become less common than not in some countries for a young adult to have a job, banking bailouts on a scale beyond the imagination of anything previous, and currency wars between the superpowers, see: It has also been announced that China is suffering an economic slowdown, just when it was assumed that it was the only nation on Earth with any real capital, see:

So what's going to happen now? Who knows, but one thing is certain- if we drop down back into the darkness of a slump then once again it will be the common folk who will have to pay for it. There will be more of what's been labelled with that wonderful Orwellianism- austerity, more job cuts, more benefits cuts, more pay freezes, more rising food and energy prices, more youth slavery. There will also be a whole new array of bailouts for the banks. Like the Great Depression, this one could end in global war. The powers-that-be are desperately assembling any fuel they can to stoke the fire for world war. In fact the oil prices right now are very low and even the BBC are openly speculating that this might be an attempt to lever Russia and Iran, see: I have said several times that recessions like these don't just happen by accident, they are a form of economic terrorism which are introduced to serve a political agenda. As we've seen, the gold of the world is being redistributed in suspicious circumstances, see: I think this could lead to a restructuring of the entire world economy. There could be a currency reset, which I'll be writing more about presently. The solution to this is not to just sit around and wait for the good times to return, to trust the chancellor when he says he has things "under control". Human beings can take control of our own economic activity by introducing small cooperative businesses and local financial systems, LETS and community currencies, see links below. Also if you want to keep up with what's going on in the world of global finance then forget the BBC, watch The Keiser Report instead:

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