The Western-System is More Fragile Than Ever… Here’s What Comes Next

Guest Post by Chris MacIntosh

Two things I want to point out.

One is that John Locke was right.

Government has no other end than the preservation of property. Tyranny is the exercise of power beyond right… there is only one thing which gathers people into seditious commotion, and that is oppression.” -John Locke

If ever there was a catalyst to galvanize and accelerate an alternate system or systems to provide relief from the tsunami of oppression coming at us, then surely this is it.

And secondly… the galvanizing of current existing alternative systems, which, if I’m even half right, will morph during the course of the decade resulting in something that will be unrecognizable from its current state.

While the Western “democratic” world focuses on ensuring the gender confused have tampons in the boys’ loos, dramatic changes are afoot in that world outside of the narrow Western dominated MSM scope.

At the recently convened St Petersburg International Economic Forum Vladimir Putin put it like this:

To reiterate, these changes are fundamental, groundbreaking and rigorous. It would be a mistake to assume that at a time of turbulent change, one can simply sit it out or wait it out until everything gets back on track and becomes what it was before. It will not.

Now think what you will of Vlad but to discount his views is foolish. If nothing else his grasp of history, economics and realpolitik is vastly superior to any of the podium donuts in literally any western country today.

Differing ideologies, differing economic, political and social systems

As the central planners at the WEF, NATO, EU, UK, Canada, New Zealand, Australia and US administration press ahead with what can only be described as a tyrannical evil agenda, this creates a greater synergy and connectivity for those systems which are in disagreement, even if only marginally so.

“The enemy of my enemy is my friend”

Remember… The Allies joined with Stalin in World War II in order to defeat Hitler.

Go back to what we’ve seen taking place over the last, 40 odd years.

The Western-led system has been de-industrializing, shifting manufacturing to Eurasia (China in particular), India, South East Asia and Latam (Mexico in particular).

Raw material production, especially in energy, has been shifted… largely to Russia from the Western Europeans, and from North America to the Middle East. The latter being both a reduction in North American energy production as well as leaving a power vacuum in the Mid-East, now rapidly being filled by China, Iran and Russia.

This has now formed a system whereby the Eurasian leadership now controls vast amounts of the marginal manufacturing, energy and raw materials supplies.

A look at “our” system. That of the liberal West

Here, infrastructure is largely privatized and forms a natural monopoly, extracting rent from citizens directly while the taxes paid, ostensibly for said services, remains high. It is a double taxation system which has eroded the middle class, together with the de-industrialization mentioned which eroded the working class, offshoring their jobs while increasing the profits of the 1%.

The situation we find ourselves in now is one where the West finds itself burdened with an over indebted economy, where the middle-class rely on credit to finance their living standards, and the government relies on debt issuance to finance these living standards. I can’t think of a more fragile system than credit being used for consumption rather than production.

The result in the West is an extraordinarily high-cost system where housing, education, and everyday consumption is debt financed. The costs to businesses, (minimum wage, taxes, red tape, insurance, legal etc.), especially industrial production, are simply too high – and hence the “offshoring” of this work.

Keeping this unsustainable system going, has led to the US ensuring – or more accurately, attempting to ensure – that other major economic blocs don’t seek better terms with the Eurasian bloc.

Those economic blocs that are now under this system and collapsing with it are principally Western Europe, the UK and Japan.

Towards a Global Conflict

And for those who say “meh… look at Russia. Stupid, ignorant Ruskies. Their GDP is the same as Italy (3rd largest in Eurozone) and then look at the US. They’re massive.”

What these academics entirely miss is how GDP is measured. The GDP of the US in particular is based on companies such as Apple, Tesla, Facebook and Twitter, sprinkled with a healthy dose of mortgage backed securities, and an alphabet soup of “credit instruments”.

Fine, but let me know how your Tesla drives when you can’t source the copper, lithium or various petrochemicals to manufacture it, let alone the electricity to power it. How great is that iPhone with Facebook and Twitter when food can’t get to your door because the fact is all this stuff just doesn’t work without oil, gas, petrochemicals and metals… all the things that Russia has.

The Western world is rapidly finding out where stuff actually comes from, and while that’s a painful experience, it is nothing compared to the grand picture here and how these competing systems are leading us towards a global conflict.

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