"The collapse of the Western financial system will wipe out the standard of living of its population while ending ponzi schemes such as the stock exchange and the pension funds. The population will be hit so badly by a full array of bubbles and ponzi schemes that the migration engine will start to work in reverse accelerating itself due to ripple effects thus leading to the demise of the States."
(Source: Deagel)
In the seventies I read a book by Servan-Schreiber. In this book there were future developments described. One of these developments was a predicted post-industrial society. I have never understood why this ought to be the holy gral of any society. Actually it was described that this kind of society would be tagged by "services". At that time I could not even imagine what that would be. It was predicted that for example foundations would give work to the populace. Sweden was - according to Servan-Schreiber - on the way of becoming a post-industrial society.

From todays point of view I think it was just an ideology for the owner of capital to justify the leave of their own country to make even more money in foreign countries. This ideology was strong as the industry of France shrank to 10 percent of the economy. The U.S. and UK no better. Germany stayed at 20 percent.

The idea behind the postindustrial society is that populaces of foreign countries support the own populace making products cheap and adding profits from outside to the profits of inside.

In fact, in the current discussion around free trade the U.S. receives billions and billions from Europe by selling its services to her. The current account between Europe and the U.S. is even slightly in favor to the U.S. But: the common U.S. populace has nothing from this exchange as patents or Google and Facebook don't give really many jobs to her home populace. The consequence: the postindustrial society is a scam for its own populace. A country needs an industrial base - substance - to rely on.

Dr. Markus Krall, a German macro economist, predicts that the Euro will collapse. As a neoliberal he does not believe in Keynes. He believes in productivity. And as the Federal Reserve had a zero percent interest rate policy for the money market the European Central Bank went on the same path. Krall states - as he had the task of introducing 80 percent of the risk managing systems in German banks after the crash of 2007 - that usually there has to be bancruptsy rate of about 2 percent of all companies per year. In the time period before it was that way. According to Schumpeter - an influential economist like Keynes - it is necessary to keep the economy healthy. It is called "creative destruction" by him. With the zero percent interest rate policy there is only a 0,5 percent brancruptsy rate per year. Therefore - his opinion - 1,5 percent of sick companies are adding each year with a zero percent interest rate policy by the central banks. Ending in a worldwide depression because of the economically sick companies when the interest rates will be going up because states don't have enough money anymore to go the path of Keynes. In Europe, Target 2 is not backed by anything adding another trillion €s in wealth loss. The U.S. is more solid as the 12 Federal Reserve Banks are exchanging Gold within the U.S. with each other. Target 2 is just an account without debt limit. And obviously, there is no political will to change it. The consequence: the market will create this political will.

Therefore, in that way the desaster forecast of deagel is not that bad - explaining also the cashless society driven by Wallstreet. After its introduction the populace will be even more blackmailed than now - with negative interest rates in the depression to get out of the depression. A shopowner is getting right now 10.000 US$ in the U.S. from the financial industry for becoming cashless. Why?

Last edited by Denglisch; 09/12/18 05:45 AM.