A War for Control of the Planet
Since Western governments have pushed the real costs of their boondoggles and BS into the future, they are now all saddled with huge debts and all are caught in the ‘Inflate or Die’ trap.
Thursday, August 22nd, 2024
Bill Bonner, writing today from Poitou, France
‘Always, at every moment, there will be the thrill of victory, the sensation of trampling on an enemy who is helpless.’
—1984
In 1984, George Orwell imagined a world divided into large warring groups... with everybody and everything was under the control of the government.
Forty years later, big groups of adversaries seem to be taking shape. On one side is ‘The West,’ led by the US, together with Europe, North America, Australia, New Zealand and Japan.
NATO was set up to counter the threat of an expansionist Soviet Union, eager to promote communism throughout the world. But the Soviet Union disappeared more than thirty years ago. And its successors are no longer communists.
Still, NATO continues... and takes on new life. With thirty-two members, NATO has become not just a defensive alliance... but a huge military force with interests of its own. It is now the armed enforcer of what Orwell called “Oceania.” Associated Press:
European allies in NATO are stepping up their military spending... pointing to common interests, such as concerns over China. They’re creating American jobs by buying U.S. weapons. In words, deeds and arms deals, leaders of the United States’ partners in NATO are making the case for the military alliance...
The rest of the world takes fright. And another major group is forming around the BRIC nations... Russia, Brazil, China, Iran, India, Indonesia — and most of the world’s people!
Azerbaijan launches bid to join BRICS after Putin visit
The BRICS group of emerging economies could soon have a new member, with Azerbaijan having announced its intention to sign up to the club. Politico:
In a statement on Tuesday, Aykhan Hajizade, spokesperson for the South Caucasus country’s foreign ministry, confirmed that Azerbaijan is pushing for membership in the BRICS bloc of countries.
Initially founded in 2009 to foster closer ties among Russia, China, India and Brazil, the partnership now comprises nine members including Iran, Egypt, South Africa, Ethiopia and the UAE.
Cryptopolitan:
Palestine might soon join the BRICS club, according to recent developments. The group recently expanded to include four more countries and is now getting ready for a summit in Kazan, Russia, scheduled for October 22-24, 2024.
Reuters:
South Africa says five countries confirm they are joining BRICS
Egypt, Ethiopia, Iran, Saudi Arabia and the United Arab Emirates have confirmed they are joining the BRICS bloc after being invited last year, South Africa's Foreign Minister Naledi Pandor said on Wednesday. The five countries were extended invitations along with Argentina at a summit in August in Johannesburg to join the bloc comprising Brazil, Russia, China, India and South Africa. Members say the move would help reshuffle a world order they view as outdated.
Yes, a war for control of the planet may be on its way. ‘The People’ see no advantage in it. But it solves some problems for the elites.
The ‘western model’ may have played itself out. Western democracies now take, control, or stifle about half their nations’ output. But this huge investment is basically a waste of money.
Overseas, the wars in Iraq, Afghanistan and elsewhere, for example, were expensive disasters. At home, the poor are still poor. The homeless wander the streets. The cost of living goes up. And ‘The People’ grow restless... turning to ‘populist’ politicians who promise a change.
And since Western governments have pushed the real costs of their boondoggles and BS into the future... they are now all saddled with huge debts and all are caught in the ‘Inflate or Die’ trap. They are being forced to scale back benefits — via inflation or actual budget cuts — risking further defections from their supporters, as well as their own payoffs.
No reason has ever been put forward to explain why Russia, China, or Iran should be an enemy of the US. None has ever attacked the US…and none of them threaten an invasion or an attack now. But enemies and war have their benefits…at least to the elites.
As in 1984, they give the feds cause to tighten their grip on the economy…on the money…and on ‘The People.’ Menaced by evil people in foreign countries, the elites at home direct more resources to their favored industries (firepower)... and keep Big Brother and the Thought Police on the job.
And anyone who objects must be a traitor.
More to come.
Regards,
Bill Bonner
Research Note, by Dan Denning
In the September Monthly Strategy Report (due out next Wednesday), we’ll release our latest reading on the Doom Index. The Doom Index is a real-time gauge of the US economy, based on the movement of energy, goods, and people. It’s designed to give a more accurate picture than government statistics like those published by the Bureau of Labor Statistics. Here’s Investment Director Tom Dyson from his weekly note to paid readers yesterday (What to do when the Fed cuts rates):
The Labor Department announced today that it overstated the 2024 job growth by 818,000 jobs, which means the labor market is far weaker than the data led us to believe. Either the Fed knew about it and didn't care. Or the Fed didn't know about it and like everyone else, was making decisions based on data that was horribly wrong (and probably manipulated for political purposes). If the labor market (and the economy) are weaker than the Fed believed based on the bogus BLS data, then this would suggest more aggressive rate cutting than investors are expecting. This will trigger the 'second wave' of stimulus and liquidity we've been expecting, this time through BOTH dollar devaluation and rising M2.
Tom will also update our Asset Allocation Model in next Wednesday’s report. A breakdown in the dollar index (something Tom also covered in yesterday’s update) could add fuel to the inflationary fire ignited by rising M2. Investors with large allocations to cash (us included) will want to take note and plan accordingly. Stay tuned for more in the next Monthly Strategy Report.
The BRICS are the future. Although Russia and China are shrinking demographically, they are nuclear powers and Russia has lots of natural resources. India will be the most populous country and Indonesia has a growing population. Europe tried to fix their shrinking populations with third world immigration but these immigrants don't assimilate and have imported their backward ways to Europe. Here at home in America we are becoming an Idiocracy where we don't teach kids to think or create but we indoctrinate them into being mediocre at best. We elect self serving leaders who serve the rich powerful elites at our expense. Every presidential election cycle brings in worse and worse candidates. I will vote for Trump as the lesser of two evils and that he is mor elikely to stand up to the rich elites but they control the press so it is a losing battle.
Yes, and the US planned funded and mechanized foray into the Kursk region has taken negotiated settlement off the table for now… Nazis tried that before and it didn’t work out too well for them. I’m pretty sure it won’t work out too well for them this time either.