2013: A Successful Year Of Price Suppression (Part III)
Part II of this series ended with the promise to explain to readers how “globalization” (based on so-called “free trade”) was not only contributing to the destruction of food inventories, but is also an important, overall component of the One Bank’s price-suppression paradigm. This will not be obvious to readers, as here the Machiavellian machinations of this Crime Syndicate are more indirect than what we are used to seeing.
To understand these two, parallel tracks of economic destruction; it is necessary (as always) to begin with definition of terms. In defining “globalization”; it is best to start with discussing what globalization is not. It is not “free trade”.
“Free trade” is a theoretical model of (supposed) economic efficiency in the realm of trade, which has two necessary/essential components. It must be pure trade, meaning trade unencumbered by any trade-distorting rules, and it is trade based entirely upon the doctrine of “comparative advantage”.
What is “comparative advantage”? Few, if any readers will be able to answer that question, because it is a phrase which is rarely uttered by the charlatan economists, and on the rare occasions they do use these words, they are always speaking in purely theoretical terms. Why is this? Because comparative advantage exists nowhere in the 21st century global economy.
By itself; this proves that globalization has absolutely nothing to do with free trade. However; it is even more important to look at the second, violated principle of “free trade”: the (lack of) purity of the international trading system. Here it is revealing to look at a recent confession by the Political Puppets, (surprisingly) published by the Corporate media.
Obama Seeks Trade Deals Sought by Biggest U.S. Companies
This is what globalization is really all about; making the world a “better place” for the world’s largest mega-corporations – and only the largest mega-corporations. Any benefits for people which result from globalization are purely accidental, and completely unintended.
When our Western governments betrayed their own populations, and signed these “free trade deals”; they only erased some of the trade-distorting rules which made our international system less-than-pure. Specifically; they tore-up all of the rules which provided protection/support for jobs and wages, and they kept most of the rules which only subsidized corporations.
In the ultra-right-wing, utterly insane paradigm of the 21st century economy; subsidies or “welfare” of any kind for the People are the ultimate evil, while welfare for the largest corporations (which are merely fronts for Western Oligarchs) is the ultimate good. But this subsidization hypocrisy is only tangential to our discussion (despite the $trillions in welfare these mega-corporations extort each year).
Globalization is primarily a model of wage-destruction: goods in the 21st century global economy are not produced where they can be produced best (“comparative advantage”); rather they are simply produced where the Oligarchs can pay the lowest slave-wages. It is a perpetual race-to-the-bottom for workers; while all the profits/benefits of global production are hoarded by these Corporate fronts (i.e. the One Bank), on behalf of the Oligarchs.
Globalization was a (Western) scheme with the primary goal of giving away tens of millions of Western manufacturing jobs (literally “shipping them to Asia”), and destroying the wages and working conditions for the jobs which remained for Western workers – with the ultimate objective of global slavery. And the Oligarchs are succeeding.
Western “structural” unemployment is now somewhere in excess of 100 million workers, we’re not sure precisely how obscenely large this number is, because our Traitor Governments refuse to measure the total number of unemployed workers – or, at least, they simply refuse to tell us that number. It is the worst unemployment ever experienced in the Western hemisphere since the Industrial Revolution.
Globalization has been just as successful in destroying Western wages as it has been at destroying Western jobs. Western wages (in real dollars) have now been driven all the way back to (literally) “Great Depression” levels. Ironically; the best data exists in the epicenter of Western corruption: the United States. The charts below paint an unequivocal picture of wage-destruction and jobs-destruction:
[courtesy of nowandfutures.com]
For those who believe the characterization of this paradigm as “slavery” is hyperbole; consider this. The only jobs now available across the Western world pay below-survival wages, wages which cannot even provide adequate food/shelter for one person – let alone a family. Meanwhile; the right-wing Neanderthals fume in outrage (or lie, with phony “statistics”) every time raising these slave-wages is even discussed.
This is worse than slavery. At least the Slave Masters of old made themselves responsible for (rudimentary) food and shelter for their slaves. In 21st century neo-slavery; the Slave Masters don’t care if the slaves are “paid” even enough to keep them alive. The Oligarchs have already done such a good job of destroying the global economy that there is an infinite supply of surplus workers. The slaves of the 21st century are literally “disposable parts”.
With commodity price-suppression and wage-destruction together; we also see how the One Bank hides the horrendous inflation (and ultimately hyperinflation) which it has created with its (insane) money-printing. Commodities (i.e. materials) and labour are the two, primary inputs of production. By savagely suppressing those input-prices; this also suppresses the price of manufactured goods – until this paradigm of fraud/corruption/deceit implodes.
This brings us to the “accidental benefits” of globalization. Even the slave-wages which Western Slave Masters pay their (new) Asian workers are generally enough to improve their standard of living. While this modest improvement is nowhere close to a “middle class” standard of living (as previously defined in our own societies); it is sufficient to allow them to improve their diets.
Specifically; 100’s of millions of Asians have suddenly become meat-eaters. Now readers should begin to see how what appeared to be entirely separate, economic tracks begin to merge. On the one hand; we have our financial paradigm of debauched (worthless) paper currencies. Commodity-producers (i.e. food producers) are literally not being paid for their production, causing permanent and increasing deterioration of the food supply-chain.
At the same time; we have the Oligarchs’ model of economic slavery, known as “globalization”. Ironically/inadvertently, this has had the effect of rapidly-and-relentlessly increasing global food demand. As most readers know; it takes roughly 10 pounds of “feed” (primarily grains) to produce one pound of meat – in a healthy animal.
Thus while the financial crimes of the One Bank (price-suppression crimes and money-printing crimes) are putting serious/permanent downward pressure on global food supplies; its equally heinous crimes in the realm of international trade have (inadvertently) caused a permanent, upward spiral in food demand – a trend which readers previously saw (in the form of a chart) is totally unsustainable.
Our global slave-economy now has dangerously low reserves of nearly all of our most-important food stocks; inventories which (in relation to demand) are at their lowest levels in modern history. We are already just one natural disaster away from a starvation-crisis of unprecedented magnitude. And still the One Bank’s crimes of oppression cause these parameters to deteriorate.
The year 2013 was, indeed, a very “successful” year for the One Bank. It is yet one more example of why smashing the One Bank, and sweeping-out all of our Traitor Governments is the primary imperative of our era.
Jeff Nielson is co-founder and managing partner of Bullion Bulls Canada; a website which provides precious metals commentary, economic analysis, and mining information to readers/investors. Jeff originally came to the precious metals sector as an investor around the middle of last decade, but soon decided this was where he wanted to make the focus of his career. His website is www.bullionbullscanada.com.