Archive for the International Finance Category

Marching For Science And Momma (April 24, 2017)

Posted in Environment, Gender, Global Climate Change, Global Warming, Greece, International Finance, International Monetary Fund, Journalism, Newspapers, Press/Media, Trumpi on April 24, 2017 by e-commentary.org

. . .

K          “What if as many folks had rallied in support of Galileo?”

J          “Signs intoning ‘No sides in science’ and ‘Science not silence’ and ‘Don’t let scientists go extinct’ floated amid and among the rising sea of concerned citizens.  ‘Free Galileo’ was raised toward the heavens.”

. . .

K          “In January, the pink pussy hats responded to the red Make America Great Again baseball caps.  On Saturday, a few white lab coats and many rain coats shielded the folks who marched peacefully on a gray rainy day.” 

J          “The women’s jaunt planned on the Mall in January gestated into an impromptu march from the foot of Capitol Hill to the White House and spawned the March for Science in April.  The March for Science and Earth Day Network started south of the White House and moved to the Capitol.  Going full circle.  And going forward.”

K          “The Women’s March was an emotional release and catharsis.  The March for Science was an intellectual rally and resurgence.”

J          “A walk is an antidote to insanity and irrationality.”

. . .

K          “At the same time the people were marching in the streets, the big money players were machinating in the suites.  The ‘green eye shade’ types at the International Monetary Fund (IMF) concluded that Greece has recovered slightly and thus needs to be burdened substantially.”

. . .

K          “The next public gig in Washington is the ‘(Former) Bikers for Trump Rally’ on October 14 to ride to the White House and Congress from all over the country.”

J          “The ‘What happened Donnie?  Ride and Rally’.  Everyone hates to be conned, yet so many of his supporters simply cannot repudiate him because he is their last hope.  By October, a few of his black leather and blue collar supporters may accept that they were bamboozled.”

K          “Sturgis runs from August 4 until 13 and Daytona from March 9 until 18, 2018.  October is a great time for the last long fall ride.”

J          “Somebody needs to inflame and inspire the national imagination.”

. . .

[See the e-commentary at “Happy Birthday Earth Day (April 23, 2012)”, “Women’s March On Washington (Woodstock With Conviction) / Coronation (January 23, 2017)” and the discussion of some of the underlying issues involving Greece and the IMF at “‘Grexit’, ‘GrexEUnt’, Percolating Problems:  PIIGS, BRICS, EU, EC, ECB, IMF, NATO, WTO, WTF, WAR (February 23, 2015)”.]

Bumper stickers of the week:

March on

“There is a cult of ignorance in the United States, and there always has been.  The strain of anti-intellectualism has been a constant thread winding its way through our political and cultural life, nurtured by the false notion that democracy means that ‘my ignorance is just as good as your knowledge.’”  Isaac Asimov, “A Cult of Ignorance”, Newsweek, January 21, 1980.  

Signs of the times on the Washington Mall:

Free Galileo

You must be smoking deGrasse if you de-Nye the facts

Science is good

Good science is better

Great science is best

Geology rocks

There is no PLANet B

This is not a moment, it is a movement

Make America 90   49   18 Again

Evidence based governance

What do you call a female scientist?  Scientist

4   28 58   To   1 68

Ignorance is a dish best served at absolute zero

Delusion is not the solution to pollution

Support 21   53   E   7   58

Factism Trumps Fascism

Facts are non-partisan

Make 95   68   53   20 Scientific Again

You can fool the voters but not the atmosphere

Repent the end is NIH

The elements of outraged disbelief  74   90   9

Science:  Because you can’t pray a rocket into space.

Free entropy

So bad that even introverts are here

Resistance is not futile:  It is voltage divided by current

Fact-based policy not policy-based alt.facts

In science we trust

Clinical research is healthy for children and other living things (on a yellow poster with a flower)

The Endangered Species Act is endangered

No science, no chance

This is what a scientist looks like

More mitosis, less division

Save our planet, plant a tree

Stem cells have potential and without them our children don’t

Science Trumps ignorance

Noah saved us once  Let NOAA save us now

They drowned the last climate deniers

Atoms and Trump both make up things

Science is not an opinion

Make America hypothesize again

It’s not rocket science, actually it is

Defiance for science

Extinction is forever  Animals need science

Don’t let science go extinct

Alternative facts are for quacks

Evolution:  Happened.  Climate change:  Happening.  Recognition:  Must happen

There are no jobs on a dead planet

I love science because God created it

I’m with her [arrow pointing to picture of the beautiful blue marble]

Make Earth great again

No science no beer

Dear future generations:  We’re sorry

Science is peer-reviewed not politician-reviewed

Not a sign type of person but geez

Let the forest be with you

Distinguish sense from nonsense

Science fights bad shit with evidence

I’ve reached my 100º C (212º F)

Your momma’s so hot

All the good chemistry jokes argon

Make America think again

Stop plate tectonics

Don’t frack with our future

Act like a proton; think positively

Keep calm and trust science

Resist [resistance symbol]

Veterans for science

_________________________________________________

“Proper press credentials”; “Are your papers in order?”:

From: e-commentator
Sent: Thursday, April 13, 2017 1:37 PM
To: International Monetary Fund SEC, Press <PRESS@imf.org>; IMF Media Relations <Media@imf.org>
Subject: IMF Meetings – Press Credentials

Dear sir or madam,

I am a journalist whose work appears weekly at www.e-commentary.org. and includes regular commentary on and about the IMF (e.g. https://e-commentary.org/category/international-monetary-fund/ and the AIIB, CFETS, NDB, CIPS and SWIFT.

I am interested in applying for press credentials for next week’s IMF meetings.

Thank you for your attention to this request.  Best wishes.

[e-commentator]

 

From: Elnagar, Randa Mohamed [mailto:RElnagar@imf.org]
Sent: Thursday, April 13, 2017 9:52 AM
To: [e-commentator]

Cc: COMMRAST
Subject: RE: IMF Meetings – Press Credentials

We will need proper press credentials issued by a US media organization and a letter of assignment from them to approve your accreditation.

Thank you.

 

From: e-commentator
Sent: Friday, April 14, 2017 2:40 PM

To: Elnagar, Randa Mohamed <RElnagar@imf.org>
Cc: COMMRAST <COMMRAST@imf.org>
Subject: RE: IMF Meetings – Press Credentials

Dear Mr. Elnagar,

The nature of news, news gathering and the media has changed and expanded in America.  www.e-commentary.org provides weekly electronic commentary that has been uploaded since the first week of January, 2005.  You can confirm this contention by reviewing the site.  This note authorizes [e-commentator] to attend the IMF public press conferences.  He can provide a passport and valid state driver’s license for identification.  This note suffices to obtain press credentials.

Thank you for your attention to this request.  Best wishes.

[e-commentator]

 

From: Elnagar, Randa Mohamed [mailto:RElnagar@imf.org]
Sent: Friday, April 14, 2017 10:51 AM
To: [e-commentator]
Cc: COMMRAST; Gaviria, Angela
Subject: RE: IMF Meetings – Press Credentials

Dear Mr. [e-commentator],

Unfortunately, the IMF does not issue register press/media without proper press credentials issues from either the country of origin (in case of non-U.S. nationals), or press credentials issues from the U.S. State Department, the White House, or the U.S. Treasury.

We apologize for the inconvenience.

Thank you.

Randa

 

USA + FRN/PD – – > IMF + SDR – – > NDB + UMU? The “Universal Monetary Unit” . . . Coming To a Planet Near You (January 2, 2017)

Posted in AIIB, Banks and Banking System, Book Reference, BRICS, CFETS, CIPS, Dollar - World's Reserve Currency, Gold, Gold Standard, Hyperdive Economic Collapse, International Finance, International Monetary Fund, Money, Petrodollar, SDR - Special Drawing Rights, Special Drawing Rights (SDR), Trade, Universal Monetary Unit, World's Reserve Currency on January 2, 2017 by e-commentary.org

. . .

K          “Remember way back on October 1 when the International Monetary Fund (IMF) implemented the modified composition of the Special Drawing Rights (SDR) that includes for the first time the Chinese Renminbi (RMB) along with the United States Dollar (FRN/PD), the Euro (€), the British Pound Sterling (£) and the Japanese Yen (¥) in the Great Valuation Basket?”

J          “Couldn’t forget.  To celebrate the transition, we got the entire day off.”

K          “The Federal Reserve Note/PetroDollar maintained its percentage share of the portfolio with the Euro, Pound and Yen yielding room for the new kid on the block.  The way I see it, the evolution of the SDR may be too slow for Brazil, Russia, India, China and South Africa (the BRICS countries) and other countries (the BRICS+ countries) and still leaves the FRN/PD as the world’s reserve currency.”

J          “They say more countries are getting cranky that the FRN/PD remains the mandatory currency peg for trade on the global market.  Last Thursday, the China Foreign Exchange Trade System (CFETS), the foreign exchange trading platform operator, announced that it is adjusting the way it calculates the CFETS Yuan Index which is a critical measure of the Yuan against a basket of currencies, starting yesterday.”

K          “And you got the entire day off.” 

J          “And today, for good measure.  They say that the USA will not allow the IMF to revisit the composition of the SDRs again for years.  The problem for the BRICS+ countries is that the United States has veto power over the composition of the SDR and will block any attempt to accelerate the transition to incorporate other currencies.”

K          “Think about this possible scenario.  The BRICS+ countries may make an end run and expand the mandate and activities of what is now known as the New Development Bank (NDB) and create a Universal Monetary Unit (UMU) constituted of the Chinese RMB, Russian Ruble, Indian Rupee, South African Rand, Brazilian Real, good old gold (Alpha uniform) and a smorgasbord of other currencies.”     

J          “While they are at it, the South African Kruggerand could supplant the Rand and serve as the gold component or part of the gold component.”

K          “Who knows, when they do that, you may get the week off of work.”

J          “Count me in and count me off.  And to provide for a smoother transition, include in the new generation UMU the current currencies in the SDR in diluted amounts.  A measured and gradual approach is prudent.  Interdependent economies and unintended consequences, you know.”

K          “While they are at it, they could go full in.  The Cross-Border Inter-Bank Payment System sometimes known as the China Interbank Payment System (CIPS) could develop into a comparable transnational multilateral payment system as a complement to and to compete with the Society for Worldwide Interbank Financial Telecommunication (SWIFT).”

J          “That’s exactly what I was going to suggest.  An economy needs a ‘thing’ to serve as money/currency/chits/script/wampum and a means to reconcile payments.  The BRICS+ countries have no reason to wait another half decade when they can do it themselves.”

. . .

J          “Or the BRICS+ countries may force the issue at the IMF meeting in Rome, District of Columbia on April 21 – 23.”

K          “And you will get at least two days off of work.”

J          “Can’t forget.  Stay tuned.”

. . .

K          “Someone surely has thought and wondered about these possible developments.”

J          “You think?  I wonder if anyone cares.  What’s on tv?”

. . .

[See the e-commentary at “The Mandibles, FRNs, SDRs, IMF, G20, WTD! (September 5, 2016)” and “Dollar – World’s Reserve Currency”.]

Bumper stickers of the week:

The “Universal Monetary Unit” . . . Coming To a Planet Near You

Paper [Money] Is Patriotic

Fight the War on Cash

 

The Mandibles, FRNs, SDRs, IMF, G20, WTD! (September 5, 2016)

Posted in Book Reference, Collapse, Courts, Debt/Deficits, Dollar - World's Reserve Currency, Federal Reserve, Gold, Gold Standard, Guns, INFORM Act, International Finance, International Monetary Fund, Journalism, Money, Newspapers, Petrodollar, Press/Media, SDR - Special Drawing Rights, Silver, Silver Standard, Special Drawing Rights (SDR), World's Reserve Currency on September 5, 2016 by e-commentary.org

. . .

X          “Some of the folks at the G20 Summit may kick around the future composition of the ‘Special Drawing Rights’ that is emerging as the new world’s reserve currency.  The International Monetary Fund formally sets the composition of the SDRs, yet the major players gathered in China yesterday to discuss such matters.  A thing is now being described as a right.”

Z          “Sounds like they are creating a right to reach first for your gun.”

X          “Or they are sketching a new picture of the economic future based on rights rather than on power and circumstance.”

Z          “Or someone special who has been allowed to have the only gun in the great currency gunfight now must play well with others who are suitably armed.”

X          “Or the one with the big gun is now being disarmed.”

. . .

X          “Felicitous publication really.”

Z          “Timely, even.  The times they are changin’ the way we will make change in the near future.”

X          “In The Mandibles, Lionel Shriver adopts Keynes’ term ‘Bancor’ rather than the new age term ‘SDR’ to describe supplementary foreign exchange reserve assets.  As the U.S. Petrodollar slips as the world’s reserve currency and then as the dominant component of the SDR/Bancor, the United States people will slip to second-world status in the world.”

Z          “The way I describe it, when the Petrodollar is no longer the big dog, the United States is no longer the leader of the pack.”

X          “Prices will increase and perhaps double in short order before more structural disorder devolves.  Our McMansions still will sport baroque brushed nickel bathroom fixtures in the multiple bathrooms, yet in due course the water coursing through the corroding pipes will be increasingly intermittent and decreasingly safe.”

Z          “Many of us have those problems now while everything appears to be dory hunky.”

. . .

X          “Her description of the human consequences is very plausible, yet her explanation for the underlying causes is only partially complete.  Contemporary economic doctrine is exposed as voodoo and a specious secular religion that rationalizes those in power acquiring and retaining wealth.  The entitlement Ponzi scheme receives appropriate blame.  The pernicious involvement of the Federal Reserve is alluded to obliquely, yet the entrenched corruption and incompetence in every quarter are not addressed.”

Z          “She does not describe the institutions that are failing systematically and simultaneously.  Congress, courts, executives and executive agencies, bureaucrats, universities, news outlets, parents, preachers, prophets, you name it.  At some time, a fragile, fractured, fissured and fundamentally weak system of manipulation and intervention will fail with consequence.”

X          “She does observe that the traditional news fashioners are defunct.”

. . .

X          “‘The Chip’ is first described in an e-commentary titled ‘Monitoring The Masses:  The Card And The Chip’ published on January 12, 2015.  She further develops the human impact of implanting ‘The Chip’ to control and corral the masses.  ‘The Chip’ is so much more efficient and effective than the corn chip and football at sating the populace.”

Z          “‘The Chip’ is an electronic lobotomy that is more powerful, pervasive and perverse than fear or drugs.  Technology saves us.  I think that is what one would conclude.  Surely.”

. . .

X          “An empire cannot continue to mimeograph a fiat currency and force it on the rest of the world at great cost and consequence to the rest of the world without the rest of the world demurring at some point.”

Z          “And the rest of the world is becoming restive.”

X          “They are issuing SDR-denominated bonds.”

Z          “And they are selling oil without even acknowledging the Petrodollar.”

. . .

X          “In her novel, the U.S. government confiscates gold and disregards even basic civil liberties while confiscating the yellow stuff.”

Z          “Survey the universe of commentary on the subject and you discover that no one has ever even questioned that the government will confiscate gold when the stuff competes with the fake stuff.”

X          “The people of the United State of Nevada who seceded from the dysfunctional disunion agree that it is ‘dumb’ and ‘arbitrary,’ but they base their currency the ‘Continental’ on the gold standard.”

Z          “She does not see that the government would have eliminated cash of any kind years or decades earlier.”

X          “That is one of the harbingers of great danger.  When the government outlaws or confiscates Au, Ag, Fe, Pb, or even worthless fiat cash, the end of civil rights and civil liberties is near.”

Z          “Or here.”

 . .

[See the e-commentary at “Monitoring The Masses:  The Card And The Chip (January 12, 2015)”, “Brave 1984 Farm:  The Best Of All Possible Worlds (March 19, 2012)” and the e-commentary on the institutional distractions in our society at “Foot Longs and Football (September 2, 2013).”]

Bumper stickers of the week:

G20 > G7; SDR > FRN; World > USA   

In the intermediate run, a Kleptocracy is unsustainable.

USA, FDIC, Or NCUA? LCU? SPCU? (October 19, 2015)

Posted in Bail In, Bailout/Bribe, Banks and Banking System, Boycott Series, Collapse, Credit Unions, Debt/Deficits, Depression, Dollar - World's Reserve Currency, Federal Reserve, Gold, International Finance, Kleptocracy, Money, SDR - Special Drawing Rights, Silver on October 19, 2015 by e-commentary.org

. . .

B          “I want out of the Racket – the stock market Racket.  I want to hold my deferred compensation in the form of dollars, for what they are worth.  As I see it, Treasury Bills and Treasury Bonds are allegedly protected by the ‘full faith and credit’ of the United States.  What is that worth?  When the Big Jolt hits, what is Uncle Sam’s telephone number?  Or e-mail address?  unclesam@unclesam.gov?  A general promise by the Uncle when I have full faith that the credit of the United States is sketchy, provisional and conditional at best.  I won’t touch Treasury Bills or Treasury Bonds.”

C          “Another hollow and worthless promise.  I won’t touch Treasuries and refuse to deposit money in a bank.  The FDIC (Federal Deposit Insurance Corporation) allegedly provides insurance for banks, yet the agency is ‘stressed’ to put it mildly and will not pay all claims in the event of a significant bank run.  The NCUA (National Credit Union Association) allegedly provides insurance for credit unions and may provide some insurance protection for some time for some depositors.  I am willing to make a tentative commitment to the system and keep some of my funds in my Local Credit Union (LCU).”

B          “Depositing a healthy chunk of money in the Sealy Posturepedic Credit Union (SPCU) involves little counterparty risk and allows me to sleep peacefully at night.  When the Big Jolt hits, there will not be enough physical dollars.  Regular folks may accept regular dollars for two related reasons – inertia and habit – until the shock triggers them to do something and change their habits.  Regular folks will accept the few available physical dollars for four or six or eight weeks for transactions as long as other citizens accept dollars for transactions.  Then regular folks will only accept Sacagawea dollars and some coins for a few weeks, although coins like dollars of any kind are in short supply today.  After a few more weeks, some informed folks will accept silver coins minted before 1964 at a premium.”

C          “In the end, the Depression is our guide.  Twelve gauge shot gun shells may be another medium of exchange and twenty-two rounds may be used as change to support the emerging barter economy.  Cash of any kind is the threat to the those who run System.  The government now requires banks to obtain and record the identity of anyone making a cash deposit and are refusing to accept cash for some payments.”

B          “Banks do not need deposits to be able to loan money.  Yet today many banks are offering gimmicks and gewgaws to attract funds that they will be able to retain during a ‘bail in’ without any obligation to the depositor.”

. . .

C          “Junior’s paper route money stored in his piggy bank may be our only available liquid asset.”

B          “She may not stand for us withdrawing some of the Standing Liberty quarters from the collection she has accumulated with her baby sitting money.”

C          “We may need a bushel basket of Wheat Pennies to buy a pocketful of wheat.”

B          “When the banks are maneuvering to avoid a haircut, we may be required to go to our Barbers.”

. . . 

[See the e-commentary at Preserve Cash; Preserve (Some) Privacy (May 4, 2015), “Bail Ins” Are Globalized; “Bail Outs” Are Bailed Back In; No Bail For Bankers (December 29, 2014), Globalizing The Bail In (July 8, 2013), Bailouts: Out; Bail Ins: In; Slowly Boilin’ The Frog (April 15, 2013), Money “In The Bank” Or “Under The Mattress” (October 8, 2012), Boycott Big Banks – Vote Your Dollars (November 21, 2011), and Boycott Big Banks (February 1, 2010).]

Bumper stickers of the week:

The U.S. government is pursuing an international currency war and a domestic war on currency.

SPCU/You > LCU/NCUA > Bank/FDIC > Uncle Sam/FF&C

Trans-Pacific Partnership / United Nations Convention On The Law Of The Sea (May 25, 2015)

Posted in Clinton, Foreign Policy, International Finance, Kleptocracy, O'Bama, Politics, Presidency, Trade on May 25, 2015 by e-commentary.org

. . .

5          “The United Nations Convention On The Law Of The Sea (UNCLOS) cedes minimal U.S. authority to international institutions; the Republicans vehemently oppose the treaty.  The Trans-Pacific Partnership (TPP) concedes substantial U.S. sovereignty to international corporations; the Republicans ecstatically support the treaty.”

6          “Go figure.  If O’Bama supports something, the Republicans hate it.  If O’Bama opposes something, the Republicans love it.  O’Bama supports the TPP, the Republicans love it.  What is up?”

5          “What is up?  O’Bama is not allowing anyone other than a few Senators to review the language of the legislation.  That is surreal.”

6          “And perverse and undemocratic.  If the Republicans had pulled that stunt, they would have gotten hammered.”

5          “At the end of his administration, Clinton capitulated to the Republicans and signed the Defense of Marriage Act (DOMA) and the Gramm–Leach–Bliley Act (GLBA), the legislation that repealed part of the Glass-Steagall Act of 1933 and has led to reckless financial speculation.  The damage done by DOMA has been undone, but the damage done by GLBA will undo America.”

6          “O’Bama may be the first President in American history to switch political parties while in office.”

5          “Other than Clinton.  They will still hate O’Bama because he remains Black.”

6          “Historians so inclined will be able to uncover the critique of a few prophets with honor who chronicled the dismantling of America in real time.”

. . .

Bumper stickers of the week:

“A great civilization is not conquered from without until it has destroyed itself within.  The essential causes of Rome’s decline lay in her people, her morals, her class struggle, her failing trade, her bureaucratic despotism, her stifling taxes, her consuming wars.” Will Durant

George Carlin was right

AIIB: China: 1; U.S.A.: 0? (April 6, 2015)

Posted in AIIB, Banks and Banking System, China, Dollar - World's Reserve Currency, Foreign Policy, International Finance, Money, SDR - Special Drawing Rights, Sports, Supernova Dollar on April 6, 2015 by e-commentary.org

. . .

A          “International March Madness, I say.  Tracking the bracket was an all-consuming delight.  Looks like the final score is a soccer score which is appropriate for an international vote after weeks of intense hardball lobbying.  But not as close as the likely score on the hardwood tonight.”

B          “1 to 0 is a soccer score, 40 to 0 is not a soccer score or a basketball score or a hardball score, it is a resounding shutout.  The Chinese AIIB Selection Committee is still selecting the Final Forty.  They say the Prospective Founding Members are in Division I and the Regular Members are in Division II.”

A          “The first plebiscite on a nation by other nations in history.  The world is weary of American hegemony.”

B          “And arrogance and dominance.”

A          “The vote was not an anonymous voice vote, the world spoke with one voice.  The roll call is deafening.”

B          “The World Bank and the International Monetary Fund (IMF) do not say ‘American Bank’.  The Asian Development Bank (ADB) does not say ‘Japan Bank’.  The Asian Infrastructure Investment Bank (AIIB) does not say ‘Chinese Bank’.  But it is clear what they say.”

A          “A pound to the penny that Great Britain and the City of London know a great deal and are quickly angling to be the player settling international accounts in lieu of the U.S.-dominated SWIFT.  The ‘special relationship’ between the U.S. and Great Britain is . . . so special.”

B          “Germany, France and Italy joined Britain and joined.  The ANZUS countries of Australia and New Zealand.  The Scandinavian countries of Sweden, Norway, Finland and Denmark.”

A          “Belgium of the BeNeLux countries did not submit an application although the Netherlands and Luxembourg did.”

B          “The three neutral ‘S’ countries during World War II including Sweden, Spain and the world’s banker Switzerland.”

A          “The BRICS including Brazil, Russia, India and perforce China, yet not South Africa apparently.”

B          “South Korea is on board but North Korea is jettisoned.”

A          “Vietnam and Iran and Saudi Arabia but not Afghanistan.”

B          “The PIiIGS are coming around including Portugal, Italy as noted, Iceland, possibly Ireland in the near future, and of course as noted Spain.  Greece is preoccupied.”

A          “Taiwan.  Taiwan.  China’s enemy is China’s friend.”

B          “Hong Kong.  Even Hong Kong.  China’s other enemy is China’s friend.”

A          “Tibet.  Still not free.”

B          “Israel.  Even Israel.  Oddly Israel.  America’s friend is America’s adversary China’s friend.”

A          “They say the enemy of my enemy is my friend.  Is it commutative?  The friend of my enemy is my enemy . . . or my friend?”

B          “A friend without benefits who get benefits?  It gets complicated.  Canada and Japan deciding not to join are revealing.”

A          “In contemporary culture, we are asked to ‘friend’ someone.  Nations have interests not friends.  Perhaps the United States needs to ask for other nations to ‘interest’ the U.S.”

B          “But they are interested in other national interests.”

A          “The Republicans in the U.S. oppose the 2010 IMF Quota and Governance Reforms and resist efforts to develop the Special Drawing Rights (SDR) to substitute as the world’s reserve currency in lieu of the U.S. petrodollar.  The AIIB will also settle accounts using something other than the SWIFT, the Society for Worldwide Interbank Financial Telecommunication, another institution dominated by the United States.  The world is developing a workaround and trying to quarantine the toxins in the current financial system.”

B          “The world is seeking free, fair and honest financial settlements.”

A          “The U.S. thought it could take their ball and go home, but instead of the world blowing up, the world blew up another ball.”

. . .

A          “Remember when we noted the ‘three principle products’ of a country in school.  In the past, the U.S. exported the Marshall Plan, the Berlin Airlift, and the Peace Corps.  Today, the United States exports phony dollars, toxic inflation and endless wars.”

B          “Many countries just are not interested in participating in the American Dream any longer.  However, the vote is less one of disdain for the U.S. than fear if the current contagion is not corralled.”

. . .

A          “If you can’t beat ‘em, join ‘em.”

B          “And the U.S. did not join.”

A          “The percolating world instability will lead to money flowing into the dollar for some time until the world refuses to import American dollars and American inflation and dooms the dollar.  The Supernova dollar.  The big bet is predicting the peak.”

B          “China is positioned to buy gold priced artificially low by the West and then revalue the gold and demand that the yellow stuff be included in the SDR, directly or indirectly.”

. . .

A          “I am betting dollars to doughnuts the Chinese will display the same arrogance and dominance in operating their racket.”

B          “The same incompetence and decadence.  The same new, same new, as they say.”

. . .

A          “And the changes will not even be understood by Americans even after the full force of the changes washed ashore.  Except when they go to buy a plasma tv and scope out the sticker.”

. . .

[See some background discussion at http://en.wikipedia.org/wiki/Asian_Infrastructure_Investment_Bank and http://en.wikipedia.org/wiki/Society_for_Worldwide_Interbank_Financial_Telecommunication.%5D

Bumper stickers of the week:

The central message of the Twentieth Century is that it is easier to take by investment than by invasion.  Neither “I” in AIIB stands for ‘Invasion’.  The United States still embraces the old paradigm of “bomb and kill and kill and bomb.”  Diplomacy is war carried on by other means.

Copies of the debate in each country discussing whether to join the AIIB are a rich trove of insight.

“Grexit”, “GrexEUnt”, Percolating Problems: PIIGS, BRICS, EU, EC, ECB, IMF, NATO, WTO, WAR (February 23, 2015)

Posted in Banks and Banking System, China, Greece, International Finance, Iran, Russia, Sports on February 23, 2015 by e-commentary.org

. . .

1          “‘GrExit’ admixes ‘Greek’ with ‘exit’ and may be the ‘Portmanteau Word of the Year for 2015’.”

2          “Or 2016?  Who knows.  They are punting and kicking.”

1          “What about ‘GrexEUnt’ for the ‘Greece’ ‘exeunt’ from the ‘EU’ because the dancing is so dramatic?  Devastating to stay, devastating to go.  So we Do-si-do and around we go.”

. . .

1          “Two prize fighters are circling each other warily, a flyweight versus a heavyweight.  In one corner, Greece cannot under any circumstances pay the massive debt to Germany (now d.b.a. IMF, ECB and EC) amassed by the Greek oligarchs.  In the other corner, Germany cannot under any circumstances allow Greece not to pay the massive debt it claims is owed to Germany.  In the stands, Greek citizens who now realize that the banks got bailed out but the citizens were abandoned and will suffer under any scenario.  On the sidelines, Portugal, Italy, Ireland, Spain (PIIGS) and other sovereign colonies await the outcome and their turn in the ring.  An unstoppable force meets an immovable object.”

2          “The Parthenon painted in black, red and gold does not seem striking.”

1          “The Pantheon bedecked in black, red and gold could trigger some strikes.”

2          “Another great battle between the ‘Versailles Reparations’ paradigm and the ‘Marshall Plan’ paradigm.”

1          “The central Lesson of the Twentieth Century is that it is easier to take by investment than by invasion.  The central Corollary of the Twenty-First Century is that you cannot take too much by investment or you risk an invasion.”

2          “The German group should not have foisted all the funds on the Greek oligarchs; the Greek oligarchs should not have gotten all the lucre from the German group.  Seems that they are each about fifty percent culpable.  Split the difference?”

. . .

1          “Markets usually price in inevitable developments and go on with life and business.  Which side has the market priced to prevail and how will the outcome play out on the planet?”

2          “What if Greece remains in NATO, pivots to Russia for assistance and opposes sanctions against Russia from the inside?  The BRICS Confederacy will need to fashion a new acronym.”

1          “The astute Western players might keep Greece cum a new drachma in the European Union for trade and transportation purposes and for international security concerns.”

2          “O’Bama traveled to India to keep India from allying more closely with the BRICS.”

1          “Senator Bernie Sanders wants the Federal Reserve to ride to the rescue.  He understands the Corollary.  However, expanding the Federal Reserve to become the American Monetary Fund (AMF) may not be wise or prudent.”

. . .

2          “The Europeans are fighting their civil war with each other and were drafted to serve as proxies and mercenaries to fight America’s currency war with Russia.  The French cannot sell fromage, the Pols cannot sell apples, and even the Germans cannot sell brats.  And no one can buy inexpensive gas from Russia.  And America does what America does.  America sits back far from the front and consumes.”

1          “And secretly funds some folks.  The Europeans are fighting America’s war with Russia and not making their required NATO defense expenditures.  The Germans and others could write off some of the debts and then book the amounts against their required NATO defense expenditures.  America is committed to fighting the Russians until the last European collapses.”

2          “America may not be able to sit back.  Under settled international law, America’s cyberespionage against Russia, China, Pakistan, Afghanistan and Iran are each acts of war that provide justification for those countries to attack America.  America’s antics may trigger an unattractive response.  Not a pretty situation.”

1          “But remember that America has proclaimed that it can always unilaterally exempt itself from international law.”

. . .

2          “The punting and kicking the can now is measured in time not in distance.  With the four month reprieve until June 21, the new ‘high noon’ show down occurs on the longest day of the year.”

. . .

2          “Greece is a failed state with few clear public records describing private property ownership, a tax collection non-system and a distended pension system.  Without a functioning country or economy in Greece, the prospect of a functioning country or economy in Greece is not promising.  Stay tuned.  Film at 11.”

1          “During the sports segment, surely.”

. . .

[See the article at U.S. Embedded Spyware Overseas, Report Claims” in “The New York Times” by Nicole Perlroth and David E. Sanger dated February 16, 2015.]

Bumper stickers of the week:

You can provide liquidity but you cannot provide solvency

Can God create a stone so heavy that not even God is strong enough to lift it?  Can man create a debt so heavy that not even mankind is strong enough to lift it?