The End-Stage Process of Mature Fiat-Currency-Capitalism


The End-Stage Process of Mature Fiat-Currency-Capitalism
11-30-11
mpg

If you're wondering why the "markets" (hah!) have done quite well for the last two years, but also why it's going to "get worse" for the 99 percent and the "real" economy.  Just read the articles shown below.  Here's how it works.
  • The Fed hands trillions of dollars to the wealthiest one percent, directly to the TBTB's, or indirectly by effect as these no-cost, ZIRP funds, are plowed, with ever increasing leverage, into the financial "markets", stocks, bonds and commodities (also known as the "virtual economy") to pump them up.
  • Markets which are now almost completely owned and controlled by the one percent.
    • The Fed's monetary largess also has several other effects.....
    • The depreciation of the dollar IF other countries do not fallow suit and print to match.
    • The depreciation of the dollar relative to "real" assets.
    • Ever greater amounts of securities (also known as securitization or paper products) to be issued to represent the real assets of the society. What is commonly referred to as financialization, dilution, or more commonly as fraud or counterfeiting
    • The maintenance or growth of large asset bubbles when all these paper products are used as "loans" for debt extension, leverage or additional purchases
    • Eventual large scale inflation when these debts are finally forgiven, or all these paper products are not treated as loans, or they're treated as actual currency
    • Or eventual large scale deflation if the assets in the asset bubbles are marked to market, or the loans are required to be payed back, or the paper products are not treated as currency (they become worthless, lose their value, etc.)
  • At the same time ever increasing austerity measures are applied to the US-NRE's and the EU's populations, reducing their disposable incomes and their standard of living
  • Causing them to work harder, produce more, but have ever less to pay for what they produce.
  • Creating more over production of goods and services.  What is commonly referred to as "overcapacity" or "inventory build".  This is also known as the standard "business cycle".  Unlike the monetary cycle this involves real goods and services.
  • While also creating more debt for the 99 percent who are paid less and less each year
  • Forcing them to sell what few assets they still have. (Reducing their share of the wealth pie) to make up for their loss of income
  • Concentrating further amounts of "wealth" at the top of the financial pyramid.  What is commonly referred to as the "wealth gap", "wealth disparity", or the GINI index.
  • Creating ever increasing deflationary pressures on the overall worldwide "real" economy
  • Causing the Fed to hand trillions more to the wealthiest one percent, in case they might actually, (Gawd forbid!), lose some of "their"....wealth
  • While also creating more strident calls for ever increasing amounts of austerity, wage cuts, pension reductions, etc. of the 99 percent
  • Causing the cycle to begin another downward iteration in the "real" economy (economic contraction)
Keep in mind this process may not be linear. Also keep in mind this downward cycle and massive transfer of wealth to the parasites is the rapidly evolving end-stage process of mature fiat-currency-capitalism, what is known as Banksterism or Parasitical Financialization. 

It occurs in societies where the paper products produced continue to exceed the underlying, (and in the case of the US-NRE, rapidly declining) "real" assets.  It is also caused by the increasing, inflation adjusted, debt per capita imposed on each citizen that these products represent, along with the destructive cumulative effects to society of the Ten Year Economic / War Cycle the parasites use to time their investment decisions.

The concept can best be thought of as a double helix, where the real economic business cycle going forward is controlled by its counter point on the other side of the helix, the monetary economic cycle. The cycles timed, or punctuated, every ten years by war.

It has taken almost one hundred years to arrive at, or should it be said, to lever-up to, this point since the establishment of the Federal Reserve, the US-NRE's income tax system and the ten year economic / war cycle back in 1913.  At its present rate of of unraveling it will probably only take only another two to five years to complete this society's utter destitution .

Unless some sort of Jubilee or other arrangement is made to write off all these debts and paper products, (deleveraging) it appears the parasites intend to repeat the process described above until either the 99 percent have all become complete, abject, slaves....or, the one percent have all been rounded up and executed.

This seems like a pretty STUPID, self-reinforcing, highly destructive process to this website editor, but than again, this website editor isn't an economist, (thank God). - mpg

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