The Road Ahead

Guest Post by Martin Armstrong

Euroopean Separatists

I am receiving tons of emails from amazed readers who are congratulating me on our model that forecast a rise in third party activity from Europe to Asia. This rise is becoming obvious everywhere around the globe as a new era of anti-establishment. I showed this chart of the number of European separatist movements back at our 2012 Berlin conference. What you have to understand is that this is BY NO MEANS my personal revelation or opinion. No person can simply spout out such forecasts on an “I think” perspective. Sure, someone can say that and then claim they are brilliant, but even a broken clock is correct twice a day.

Real forecasting can only be accomplished globally. It requires imputing everything that moves and then, and only then, can you walk away with an understanding of how, why, and when. This forecast was made in 1985. The timing remains the same for each wave. We projected 2015.75 as the peak in government globally and that the 2016 election would be an anti-establishment rise. This was not by luck. Such things unfold because people are complacent and politicians are thieves. The politicians in a republic ALWAYS become corrupt and sell themselves to the highest bidder. Hillary is the poster child for this corruption that is just in your face. She takes money from country leaders who oppress women, yet she claims to stand for women’s rights. She stands with whoever pays the most.

Road Ahead

By the 2018 election, we will probably see a wholesale overthrow of Congress, especially if they elect Hillary. Just as Obama was a great disappointment since so many people thought being black he would stand for something, they will become disenchanted with Hillary if they rig the election. Hillary, if she wins, may be impeached for everything she has done. It just keeps coming out with one revelation after the next. As the economy turns down, the people will turn against her.

The excuses are endless for the British vote to leave. They said it was austerity, immigration, fall in real earnings, social inequality, loss of domestic manufacturing jobs and fishing rights to over-regulation. The explanations have been endless. The biggest political question of our day is right before our eyes, yet the mainstream media is so much a part of the political corruption that they cannot see the truth anymore no less the trend.

Why are so many electorates around the developed world shifting away from politics as we have known it to anti-establishment movements? Only our model has forecast this shift with the timing correct. This is the explanation behind not just BREXIT, but Marine Le Pen in France and Donald Trump in the United States. The road ahead is dark and the night is full of terrors. There is hopefully a light at the end if we understand why this trend is even developing. It would be nice, just for once, to take a step forward to a new era in politics toward a real democracy and put an end to republican style governments that are ALWAYS swallowed by corruption.

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5 Comments
Wip
Wip
September 2, 2016 10:44 am

“..toward a real democracy and put an end to republican style governments…”?

What? Isn’t democracy majority rule? Why not get back to being the Republic we were formed as?

J. Ferguson
J. Ferguson
  Wip
September 2, 2016 11:31 am

I was disturbed by that quote as well. Great article and spot on everything but full Democracy wouldn’t last one generation with the FSA voting.

Stucky
Stucky
September 2, 2016 11:33 am

Here is the road ahead.

The author of the article below is a leading Russian economist, publicist, and TV and radio host … he writes prolifically, and has a very large audience in Russia. His articles typically receive hundreds of thousands of views. He is known for explaining complex economic ideas in clear terms non-specialists can understand.

==========================================

by Mikhail Khazin

As yet, no one has given a clear answer to a question of some interest: What is the origin of the current global economic crisis?

Here’s my answer, short version.

In 1944, the Bretton-Woods agreements were put into effect. Economically they served to widen dollar circulation. Under these agreements, such international bodies as the WTO (at the time GATT), IMF and World Bank were created, but the role of international currency was given to the dollar, and currency regulation remained under US national jurisdiction – namely, with the Fed.

At that time the US economy constituted more than 50% of the world economy, and the basic flaw of the Bretton-Woods system – that the Fed must concern itself with both the US economy and the world economy – was pretty much irrelevant. What’s more, dollar circulation still had space to grow.

Today, however, the situation has changed radically.

The US economy is now less than 20% of the world economy, yet the dollar zone still accounts for the whole world, and, it has no space to grow any more after the former USSR joined the dollar zone in the 90s. One problem is that the international financial system was created assuming permanent growth and constant demands for more money, which were to be provided by the Fed.

There being literally no place for dollar spending outside of the global dollar zone any more, dollars eventually return to the USA, thus creating very unpleasant problems for the US economy. To put it simply, this leads to price rises. To counteract this, in 2014 President Obama wisely stopped printing dollars, against stiff opposition. (History will show that this was a brilliant decision)

Bankers have understood this dilemma since it first appeared. In 2011 they tried to resolve it by terminating the initial Bretton-Woods system, by creating a new global currency under new IMF-based governance. This did not succeed. Again, this is great for the US, (well-done again Obama), but a disaster for bankers, for they cannot live without more and more money being created, which must be provided by the USA, because there is no one else who can do it.

Thus, the current economic crisis is because the bankers “overheated” the world economy, stimulating household demand, financed by money they received from the USA. If this river of new money were halted, the world economy would plunge (it is already plunging!), but it would survive after the downturn. The alternative, to keep the world economy going with current money-printing policies, will keep things going for a while, but will eventually fail, with the US economy going down first, and the rest of the world after it.

There is no way to completely avoid economic crisis. The world economy must shrink to its normal equilibrium state, where household earnings are balanced with spending. However, this inevitable plunge may take two different courses. Either it is the real sector and households which will be rescued, or preferential treatment will be given to the bankers, bailed out (again) by US taxpayers.

The upcoming election presents Americans a choice between these scenarios. If you want to support the bankers, choose Clinton. If you want to save your country’s economy, support Trump. In either case, recession is inevitable, but with Clinton it will be deeper and more painful to everyday citizens.

With Trump, the recession will be shallower and more painful to bankers.

It is as simple as that.

Let me conclude by explaining why no one is publicly discussing the origin of the current crisis.

Over the last decades it is the bankers who have controlled the bulk of world money. As the saying goes, he who pays gets to call the tune. The bankers do not want people to understand that it is the everyday citizen who must pay for their (bankers’) comfortable lives. Consequently they block public dissemination of research to that effect through their hammerlock on economics departments in the leading universities.

Quite simple, really.

Southern Sage
Southern Sage
September 2, 2016 1:24 pm

“Thought that because he was black he would stand for something”? WTF? Please, tell me there are no whites who believe such things! What absolute rubbish! Insanity! Stand for what? Fried chicken? Jesus take me home!

rhs jr
rhs jr
September 4, 2016 8:00 pm

Bozo stands for Blacks, Muslims and Commies.