By unwittingly tying together their fortunes as they pursued their own interests, the 2 nations have put themselves on an economic path of mutually assured destruction.
By Jon Markman
July 17, 2009
Imagine becoming so successful at your job that you stack up $2 trillion in income, which you conservatively place in short-term U.S. Treasury bonds for safekeeping.
Now imagine that when you try to cash in those bonds to buy a few things for your kids, the clerk at the bank abruptly shuts her window and tells you to go away.
That is essentially the situation faced by China these days as it wonders whether its plan to manufacture goods for U.S. consumers over the past two decades in exchange for a pile of credit slips was really such a hot idea.
The answer is coming up as a big, fat "uh-oh" as the U.S. deficit and debt obligations balloon to levels never before contemplated, and Beijing is denied requests to buy U.S. and Australian mines and oil properties. And as Beijing leaders talk openly, if obliquely, about their angst, they are unsettling world credit, currency and stock markets, which don't know what to make of the idea that the world's largest Ponzi scheme might be coming to an abrupt end.
This is a good time to assess the chilling possibilities, as the resolution of this pending crisis will afflict investors, workers and business owners alike.
http://finance.sympatico.msn.ca/investing/jonmarkman/article.aspx?cp-doc...
I believe that this is all about creating such a mess that we must fully implement a world wide cashless society. Before that happens though, the people who have all the money are going to buy up all the real assets in the world. By monopolizing all means of production and sustainability they would no longer need the modern form of money to control the population. This must also be combined with the plans for eugenics and population culling carried out by the police state to maximize the effect of the new slave system. I believe it was F.A. Hayek who wrote the book, "The Road to Serfdom" where he explains the desire to move the world back into a feudal system operating under the divine right of kings.
The only hitch I see is knowing that even under a world government some entities would like to be at the head of that system and will fight for it. The British and Americans as the Angle-American Empire have always wished to hold this position, but with the emergence of China and the re-emergence of Russia things are getting complicated. It is in my opinion that due to human nature there will be a war between NATO and the SCO in the future to decide who gets to be the big dog of the neo-feudal slave world.
Of course we the lowly peons (as they think of us) could also realize that we have great power in our numbers and could short circuit the whole thing. We could overthrow our so called leaders and repudiate all debts and develop a new form of exchange and take back our world from these social overlords.