We are going to move from denial to realization. Physical world events will drive the process of realization. The primary trend is between stability and instability. We are moving from a multi-class system running from Super Elite to Unperson into a model of have's and have-nots, the unpersons. Labor has become a problem because less than 500 million are involved in life support activities thereby leaving more than 7 billion people very vulnerable to dependency (and treated as expendable containers). We are watching a redistribution process bound towards divestiture as more people become unpersons. Destruction of paper assets, debt collapse, bank failure, and war are all part of the redistribution process. With more unpeople, it becomes easier to reduce population through death and abuse. Our current economic structure has at least six trajectories of support; the physical world, human capital, transportation, technology, rule of law,and money.
Fukishima, Katrina, Gulf of Mexico oil spill — all examples of entire populations treated as “unpersons.”
An economic model that seeks to include the cost of negative externalities into the pricing of goods and services. Supporters of this type of economic system feel products and activities that direct or indirectly cause harmful consequences to living beings and/or the environment should be accordingly taxed to reflect the somewhat hidden costs.
Personally and collectively, the Greeks don’t understand and can’t cope with what’s happening now, let alone what will happen next. The welfare state is being swiftly and deliberately dismantled without any time to set up replacements
Noëlle Burgi
Le Monde diplomatique, December 2011
EXTRACT:
The Greeks struggle to see a way out of what a social worker described as a return to a “barbaric” way of life. They feel abandoned and unable to cope. Strong family ties are buckling under the pressure of diminished incomes and a collapsing welfare state. Those who can leave, do so. The options for those remaining are limited. Some turn to the Church, which arranges soup kitchens and other social services. In Salonika, Father Stefanos Tolios of the Orthodox church, is swamped by desperate people looking for work. Residents of several cities (Volos, Patras, Heraklion, Athens, Corfu, Salonika) have set up community-based informal economies, based on local exchange systems. Families are bringing their elderly back from retirement homes, to recover the monthly charge of € 300-400.
No country could withstand this. Greece is worse equipped to deal with the social consequences of the austerity measures imposed with a “scientific cruelty” (7) by the national and transnational elites.
Phi Beta Iota: The level of detail in this article is superb. The author provides a gripping preview of what could befall the USA in 2012 — Obama will cook the books and spend borrowed money to create a semblance of stability in support of his bid to be President but the bottom line is clear: whoever is elected will deal with a near-total collapse of the economy and the government in 2013. If America does not elect a team with a governance philosophy that places We the People first, we are in for four more years of elite loot-fest and the implosion of what is left of the USA.
Invite your attention to pages 5 thru 7 of attached which outlines in very clear terms the likely FY 2013 and longer term impacts on the Department of Defense and the Joint Force of the impending sequester brought about by this week's dereliction of duty on the part of the Senators and Representatives making up the Joint Select Committee on Deficit Reduction.
Phi Beta Iota: Panetta-McCain may be the toxic replacment to Cheney-Warner. The letter is without merit. The acquisition system is so broken now the Navy and Army cannot build anything coherently–the Navy still lacks Naval Gun Fire and the Army still lacks an infantry weapon able to out-gun the Taliban, while the Air Force continues to stink at close air support and lack both an intra-theater adequacy of lift and a long-haul heavy lift capability (or the ability to be effective above 6,000 ft). DoD, in short, is a mis-managed mess and Panetta has no idea how to go about fixing that, nor does he want to. Lockheed Martin and others are quite happy with the way things are, where 50% of every dollar is waste but that waste is profit for them because it includes their overhead. It is true that the current laws mandated by Congress make it difficult for any Cabinet Secretary to cut waste–this is the same Congress that mandated we pay 100% asking price for Medicare drugs instead of the more common global standard of 2% for generic wholesale. As long as Congress remains corrupt, and the SecDef remains corrupt, there is no fixing this problem. The FACT is that we have to cut one trillion a year (what we are borrowing), not one trillion over ten years. The FACT is that DoD would be much stronger if it could combine both intelligence and integrity and actually create the four forces after next, at a much reduced cost, that those with intelligence and integrity have been discussing for decades, and with greater intensity, since the mid-1990's.
My friend Andrew Cockburn is on a roll. One week after his brilliant article on IEDs in Harpers, he has produced another hard-hitting tubesteak, this time in Counterpunch. Andrew's targets are the Banksters, whose looting continues to push the middle class into poverty and the lower income classes into a kind of debt servitude that is reminiscent of that imposed by company stores in the West Virginia coal towns in what we had hoped was a bygone era.
Andrew's essay is important, because the problem he is describing exists against the backdrop of the Great Recession, which now, three years after the banking system started to collapse, may be on the cusp of a full blown debt deflation, triggered by another, even more catastrophic banking collapse. My introductory comments are intended to help you understand that magnitude of that danger that Andrew is describing.
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The following charts (Figures 1 & 2), based on the most recent data released by the Federal Reserve,
portray ratio of debt to gross domestic product over time. Figure 1 shows how the cumulative debt changed in the entire system, with debt expressed as a percentage of the GDP produced by the economy. The debt ratio for the entire economy should not be thought of as an absolute measure of debt burden but as an indexof that burden, and is an indicator of the comparative pressure of that debt regardless of the overall size of the economy.[1] Thus, one can compare
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changes in earlier years to those in later years. Figure 2 plots the sector burdens separately for the components in the private sector (note: since Federal Debt is arranged in bottom position in Figure 1 it is also the same shape that would be plotted in Figure 2; other categories, like state and local debt have been ignored because over time their ratio changes have not been significant enough to the alter the pattern in the figures). What do these figures tell us?
“If the Occupiers start chanting ‘Mark to Market,’” an attorney highly conversant with the darker workings of the Wall Street-Washington complex told me, “we’ll know they’re serious.” Such a call would quickly presage the collapse of our “too big to fail” banks, for it would highlight the fact that a huge proportion of the assets of Bank of America, Wells Fargo, JP Morgan, and Citigroup consist of loans that will never be paid back and are therefore essentially worthless. The so called “recovery” of our leading financial institutions from the post-Lehman abyss has depended on a fraudulent valuation of these assets, but stripped of the fiction, the banks are insolvent.
Phi Beta Iota: The banks are on the brink–wildly fearful of a run on stocks and deposits–and the US Government knows they are on the brink–and is wildly fearful of nation-wide violence. Pissed off white people will make the Watts Riots looks like an effete tea party. There is good news. The close OccupyWallStreet gets to understanding the depth of the depravity of the government that enabled and enables Wall Street, the lack of intelligence and integrity within that government, the closer we get to being able to demand and secure the Electoral Reform Act of 2012, in our view the sole means by which a non-violent revolution might restore the integrity of the U.S. Government.
Phi Beta Iota: This is the single best reality rant we have seen, kudos to Brother John for pointing it out. No one is qualified to run for office without reading this first. No on is qualified to vote without reading this first. This is the “reset” button on reality & integrity in the USA and elsewhere.
Before Tuesday this week, Secretary of Defense Leon Panetta had been sprinkling Washington D.C. with words like “doomsday mechanism,” “catastrophic,” and “shooting ourselves in the head” to describe any cuts in the Pentagon's budget beyond the $450 billion over 10 years (overall a 4 percent reduction) he and President Obama have already committed to. Panetta had set a new standard for overheated rhetoric to defend the Pentagon's budget.
Phi Beta Iota: Panetta, like Gates and others before him, is a political toad incable of telling the truth or pursuing the public interest. He is telling two major lies in all of his speeches: 1) that cutting the defense budget will weaken national security; and 2) that what we pay $1 trillion a year (in borrowed money) for is “the finest fighting force in the world.” Not so less the infantry, which is 4% of the force, takes 80% of the casualties, and receives 1% of the budget. In an honest government, Panetta would be impeached–and all his senior generals and senior executive sychopants retired.
