Searching... part 2

The 'search' has taken a more serious turn than the light hearted anti corporation mumble that was 'Searching Part... 1'

Why such an ominous turn of tone ?

The 18 month scenario with the Dow and Gold charts is simplistic (given below). In that they view, an upward rise for the Dow based on the 'breakout' from the upward directed channel starting from 2003. It is true that the falling dollar will increase US exports and that the rising currencies of the world will make US manufacturing more attractive. However, what is it that will take the Dow to new highs ? In other words how does one increase the purchasing power of the consumer that is already burdened with debt ? Lowering the value of debt via liquidity is one way to go as suggested in this very interesting article on the 'Global Research' website...

"How Far Will the Crash Go and What Do we Do Now?"
http://www.globalresearch.ca/index.php?context=va&aid=6575

We are not going to see an increase in interest rates to balance the trigger happy printing presses as individual's stretched by debt cannot afford higher rates. However, this is just a part of the scenario. With an increase in liquidity, resources come into the picture as do resource grabs. The hunt for resources is an ugly business which has involved war on many occasions, and as recently as the Iraq war by the US Govt. There is no other credible reason left for the US Govt's decision to go to war with Iraq apart from Oil and saving the further devaluation of the USD by Iraqi oil being sold in Euro. There were no WMD's, Iraq wasn't buying yellowcake from Niger and there were no links of Saddam's regime to the ex-CIA trained Mujahidin A.K.A. Osama Bin Laden' Al-Qaeda, the database of Muslim Extremists... I cannot put the result of US' interventions in the middle east better than a recent video on Jon Stewart's Daily Show.
http://www.comedycentral.com/motherload/?lnk=v&ml_video=91998

So, as all of you may have guessed, this was all a build up to writing about the US' annoyance with Iran. With the Bush administration's rhetoric reaching new highs, as evidenced by Greenwald's internet petition video.

http://foxattacks.com/blog/10777-fox-attacks-iran

For those who want to know why Fox is being trumped as the voice piece of the GOP should watch 'Outfoxed' http://www.outfoxed.org/

Now, this is beginning to sound like an anti republican and anti globalisation piece. It isn't, (this might be anti-establishment though) I'll explain why later. Let's get back to Iran. Why is there such a strong rhetoric surrounding Iran ? I would like to warn the war mongers , that though the American Air force is fresh, as is the Navy, fighting a war on three fronts is really a stupid idea. Can it be, that they want to increase pressure on Iran forcing them into a deal akin to the deal with N. Korea ? i.e. decrease Iran's isolation, allowing them to trade internationally. Possible... the new Turkish Govt. has opened up to Iran, though it's a conservative Govt. which has been traditionally opposed by the Turkish Military (who have strong ties with the US) Or could this rise in rhetoric simply be the dear Straussian philosophy trying to distract the public from what is really a horrendous economic system. How dare I attack the Capitalist bastion ? Capitalism ? Mmm will the real Capitalist please stand up ? I'm not sure how a Congress decreed minimum wage, international sanctions, federal bail outs and, my personal favourite, Bankers controlling Monetary Inflation, is Capitalism. It definitely isn't free market economics, it really is Corporatism. Politics and Big Business, always in bed together. This story is really very old. Gandhi came up with a way of dealing with the 'company' back in the 20's and 30's and that, still is, the only way to deal with corporations today. Self Sufficiency. However, let's be honest, there are practical applications of being self sufficient and then there are impractical applications. I mean, I could build a plane for myself, but it doesn't make sense, resource wise, for everyone to have a plane. Not yet anyway :)

So we come back to the original few lines of this piece. What happens to an economy which runs on credit when credit runs out ? This isn't just America's problem. I don't know anyone in the developed/developing world that doesn't own a credit card. The idea of buying on credit itself is really a concept which defeats the consumer in every way. I am told that my purchasing power is increased, that would be true if the price of what I'm buying is static. It never is. You don't need to be a economic whiz to understand supply and demand. If you increase purchasing power of the consumer you also drive up prices because ppl who couldn't afford that 4 bedroom house are now able to buy that 4 bedroom house, who's value has been trumped up because everyone can now get a loan and buy. In other words the conditions that force you to take a loan are forcing subsequent generations to live in debt. How is this possible ? Liquidity and expansion...

No we are not going back to the stone age, if we change the system. There is plenty that can be done and business can be self sustainable too. There will always be need for large businesses but they can be Co-op... more on this soon.

Another act of self sufficiency is brewing beer. I have now bought my own beer brewing kit, Cooper's. I must admit that these guys made a great kit and it really simplifies beer brewing. Cost advantage ? 23 litres of beer for under AUD 80 + cost of water and you get a kit which is robust enough for further use. Subsequent batches can be brewed for under AUD 20 + cost of water.