Posts Tagged ‘Neocommunism’

I guess ‘socialism’ (Neocommunism) would include this. A society so broke and broken needing the government to feed it.

Read On

This is a direction this blogsite will be taking from here on, especially during hiatus from filmaking. This entry isn’t the actual HowTo, but those pages are upcoming and long overdue. The direction my life has taken during this economic collapse and film hiatus has me now having too much needed to be said in similar vein to the technological totalitarianism that usually dominates my work.

It’s all about preparing for the “Barter Economy”, and in the past 5 months I’ve got it down pat. I’m actually living in a sort of “NWO Survival” training grounds. As the last man standing in my company, with the offices having been moved out of the high-tech-industry work-compound over a year ago, I’ve taken up lone residence with round the clock free run in such facilities. I’m surrounded by my work, and by my GTFO (get the fuck out) survival projects. So the lessons I have to offer aren’t merely ideas that I think sound cool, they’re first hand routines.

You see, when the October Panic came I was caught with my pants down, completely unpreapred for anything, yet I still chugged on in working on my film. When the December busy season at work never came, I was caught once again unprepared for anything, only this time countinuing on my film 24/7 was no longer an option whether I liked it or not.

Here at the WordPress site I’ve changed the “NWO Hacking” tag to “NWO Hacking & Survival“. I hope to get an Internet radio show with 2 different themed nights per week, one on my rather exclusive outlook on Technological Totalitarianism, and the other on NWO Survival. Since ‘work-work’ is still not not enough to make ends meet, preparedness has interwoven with immediate day to day prosperity, and I don’t have enough time to do all of my text-driven Internet soapboxing.

In preparing for the barter economy I’ve found short term opportunities as well, as you likely will on your own if you become a survivalist 27/7. In regards to becoming a Mad Max Millionaire, it’s all about stockpiling key items that would ‘be worht their weight in’ silver or gold or better in the total New Great Depression / Mad Max Scenario.  There are many widely recognized items of such value (such as ammo) which you cannot likely get ‘for a few dollars’, but I’ve developed a list of items and techniques with which you can accumulate ‘vast wealth’ for even as little as the time it takes to do it…

America’s Total Debt

Must Read: Grandfather Economic Report

Inflation Nightmare

And so on:

See also: The Great Consumer Crash of 2009

So where does all the money go?!?

One way to ‘see’ the distribution of wealth in the U.S. is to imagine a group of 100 people who have a $100 between them. Evenly distributed each would have one dollar of wealth. Alas, that is far from the actual distribution. According to the most recent study, Currents and Undercurrents, by the Survey of Consumer Finance (Federal Reserve, Department of Treasury, 2006) wealth is distributed accordingly:

50 individuals at the bottom have a nickel. ($0.05 times 50 = $2.50)

The next 40 each have $0.70 of wealth (40 times $0.70 – $28.00).

The next 9 each have $4.00 of wealth (nine times $4.00 = $36.00)

The last richest individual has $33.40 (one time $33.40).

Combined, you have $100.00.

But wait, there’s more:

First Baby Boomer Files For Social Security Benefits … (Now entering the $50 Trillion hole)

‘We’ now apparently have a 2nd set of books, and here you go:

Financial Rescue Nears GDP as Pledges Top $12.8 Trillion

ARROYO GRANDE, Calif. (MarketWatch) — “Charlie and I believe Berkshire should be a fortress of financial strength” wrote Warren Buffett. That was five years before the subprime-credit meltdown.
“We try to be alert to any sort of mega-catastrophe risk, and that posture may make us unduly appreciative about the burgeoning quantities of long-term derivatives contracts and the massive amount of uncollateralized receivables that are growing alongside. In our view, however, derivatives are financial weapons of mass destruction, carrying dangers that, while now latent, are potentially lethal.”
That warning was in Buffett’s 2002 letter to Berkshire shareholders. He saw a future that many others chose to ignore. The Iraq war build-up was at a fever-pitch. The imagery of WMDs and a mushroom cloud fresh in his mind.
Also fresh on Buffett’s mind: His acquisition of General Re four years earlier, about the time the Long-Term Capital Management hedge fund almost killed the global monetary system. How? This is crucial: LTCM nearly killed the system with a relatively small $5 billion trading loss. Peanuts compared with the hundreds of billions of dollars of subprime-credit write-offs now making Wall Street’s big shots look like amateurs.
Buffett tried to sell off Gen Re’s derivatives group. No buyers. Unwinding it was costly, but led to his warning that derivatives are a “financial weapon of mass destruction.” That was 2002.
Derivatives bubble explodes five times bigger in five years
Wall Street didn’t listen to Buffett. Derivatives grew into a massive bubble, from about $100 trillion to $516 trillion by 2007. The new derivatives bubble was fueled by five key economic and political trends:
  1. Sarbanes-Oxley increased corporate disclosures and government oversight
  2. Federal Reserve’s cheap money policies created the subprime-housing boom
  3. War budgets burdened the U.S. Treasury and future entitlements programs
  4. Trade deficits with China and others destroyed the value of the U.S. dollar
  5. Oil and commodity rich nations demanding equity payments rather than debt
In short, despite Buffett’s clear warnings, a massive new derivatives bubble is driving the domestic and global economies, a bubble that continues growing today parallel with the subprime-credit meltdown triggering a bear-recession.
Data on the five-fold growth of derivatives to $516 trillion in five years comes from the most recent survey by the Bank of International Settlements, the world’s clearinghouse for central banks in Basel, Switzerland. The BIS is like the cashier’s window at a racetrack or casino, where you’d place a bet or cash in chips, except on a massive scale: BIS is where the U.S. settles trade imbalances with Saudi Arabia for all that oil we guzzle and gives China IOUs for the tainted drugs and lead-based toys we buy.
To grasp how significant this five-fold bubble increase is, let’s put that $516 trillion in the context of some other domestic and international monetary data:
  • U.S. annual gross domestic product is about $15 trillion
  • U.S. money supply is also about $15 trillion
  • Current proposed U.S. federal budget is $3 trillion
  • U.S. government’s maximum legal debt is $9 trillion
  • U.S. mutual fund companies manage about $12 trillion
  • World’s GDPs for all nations is approximately $50 trillion
  • Unfunded Social Security and Medicare benefits $50 trillion to $65 trillion
  • Total value of the world’s real estate is estimated at about $75 trillion
  • Total value of world’s stock and bond markets is more than $100 trillion
  • BIS valuation of world’s derivatives back in 2002 was about $100 trillion
  • BIS 2007 valuation of the world’s derivatives is now a whopping $516 trillion
Moreover, the folks at BIS tell me their estimate of $516 trillion only includes “transactions in which a major private dealer (bank) is involved on at least one side of the transaction,” but doesn’t include private deals between two “non-reporting entities.” They did, however, add that their reporting central banks estimate that the coverage of the survey is around 95% on average.
Also, keep in mind that while the $516 trillion “notional” value (maximum in case of a meltdown) of the deals is a good measure of the market’s size, the 2007 BIS study notes that the $11 trillion “gross market values provides a more accurate measure of the scale of financial risk transfer taking place in derivatives markets.”
Bubbles, domino effects and the ‘bad 2%’
However, while that may be true as far as the parties to an individual deal, there are broader risks to the world’s economies. Remember back in 1998 when LTCM’s little $5 billion loss nearly brought down the world’s banking system. That “domino effect” is now repeating many times over, straining the world’s monetary, economic and political system as the subprime housing mess metastasizes, taking the U.S. stock market and the world economy down with it.
This cascading “domino effect” was brilliantly described in “The $300 Trillion Time Bomb: If Buffett can’t figure out derivatives, can anybody?” published early last year in Portfolio magazine, a couple months before the subprime meltdown. Columnist Jesse Eisinger’s $300 trillion figure came from an earlier study of the derivatives market as it was growing from $100 trillion to $516 trillion over five years. Eisinger concluded:
“There’s nothing intrinsically scary about derivatives, except when the bad 2% blow up.” Unfortunately, that “bad 2%” did blow up a few months afterwards, even as Bernanke and Paulson were assuring America that the subprime mess was “contained.”
Bottom line: Little things leverage a heck of a big wallop. It only takes a little spark from a “bad 2% deal” to ignite this $516 trillion weapon of mass destruction. Think of this entire unregulated derivatives market like an unsecured, unpredictable nuclear bomb in a Pakistan stockpile. It’s only a matter of time.
World’s newest and biggest ‘black market’
The fact is, derivatives have become the world’s biggest “black market,” exceeding the illicit traffic in stuff like arms, drugs, alcohol, gambling, cigarettes, stolen art and pirated movies. Why? Because like all black markets, derivatives are a perfect way of getting rich while avoiding taxes and government regulations. And in today’s slowdown, plus a volatile global market, Wall Street knows derivatives remain a lucrative business.
Recently Pimco’s bond fund king Bill Gross said “What we are witnessing is essentially the breakdown of our modern-day banking system, a complex of leveraged lending so hard to understand that Federal Reserve Chairman Ben Bernanke required a face-to-face refresher course from hedge fund managers in mid-August.” In short, not only Warren Buffett, but Bond King Bill Gross, our Fed Chairman Ben Bernanke, the Treasury Secretary Henry Paulson and the rest of America’s leaders can’t “figure out” the world’s $516 trillion derivatives.
Why? Gross says we are creating a new “shadow banking system.” Derivatives are now not just risk management tools. As Gross and others see it, the real problem is that derivatives are now a new way of creating money outside the normal central bank liquidity rules. How? Because they’re private contracts between two companies or institutions.
BIS is primarily a records-keeper, a toothless tiger that merely collects data giving a legitimacy and false sense of security to this chaotic “shadow banking system” that has become the world’s biggest “black market.”
That’s crucial, folks. Why? Because central banks require reserves like stock brokers require margins, something backing up the transaction. Derivatives don’t. They’re not “real money.” They’re paper promises closer to “Monopoly” money than real U.S. dollars.
And it takes place outside normal business channels, out there in the “free market.” That’s the wonderful world of derivatives, and it’s creating a massive bubble that could soon implode.
Comments? Yes, we want to hear your thoughts. Tell us what you think about derivatives: as “financial weapons of mass destruction;” as a “shadow banking system;” as a “black market;” as the next big bubble dangerously exposing us to that unpredictable “bad 2%.”

Back in December, I was trying to add a humor slant to the prospects of the “Great Aggression” scenario in different ways. The 2 biggest phrases I’d been saying to people during my banter was “Get your black football shoulder pads ready, we’re going Mad Max bitches”, and the other is “Buy food & ammunition, get ready for the zombie apocalypse”.

In the use of such there had remained a degree of seriousness in the Mad Max saying, whereas the zombie apocalypse (ZA) bit was deliberately meant to absurd. Later, in January, it finally occurred to me that the zombie bit wasn’t necessarily absurd, and that perhaps what appears to be coming is far scarier than the darkest fictional horror film rendition typical of the zombie genre.

In the horror films we typically find half-rotten and mostly brain-dead zombie creatures. They are uniformly monsters by definition according to fictional story standards. A typical trait of a zombie is that they’re “undead”, or at least neurologically ‘rotten’ from a vicious brain attacking virus, which pushes the monster status.

Like others horrors, such as Friday the 13th, the obvious fiction shock and drop value is in effect what makes it work while allowing us to sleep ok at night. Knowing these are fictional monsters seems to even justify we paying to watch the senseless killings. I argue that real life serial killers provide a much greater sense of ongoing fear in the masses at large.

In pondering my own “joke”, the reality of the situation that we seem to be facing inevitably is ushering a far grimmer notion of epidemic scale cannibalism than any zombie tale or Jeffry Dahmer biography. I beg the question, for how long can the ‘Great Agrression” go on for before gangs of desperate ruthless killers begin hunting and cannibalizing people?

I ask you to ask yourself that question. The problem isn’t merely just spoiled and selfish people, it’s that none will be prepared. Only the 10% of survivalist society will be prepared. That leaves the 10-20% of the wealthy and elitist sectors of society who can pull off preparedness at the last minute (and who are meant to survive anyways).  That leaves quite a few zombies…

The Great Aggression:

Few will be prepared, and this perpetual state of unpreparedness coupled with the Neocommunist economic meltdown will spell the true disaster. If all people were prepared then the masses would hardly collapse regardless of the Establishments plans. The problem with today’s society vs. that of the Mad Max films is that there will be several far more people. An unprepared selfish society is its own nemesis.

Top economic forecasters predict something worse than the original ‘Great Depression’, and they predict social turmoil, but the situation eventually shocks and scares the best of us beyond our ability to focus. Top economic forecasters like Gerald Celente will project further into the darkest depths of future civilization than most. Celente even harshly uses the phrase “America will become the first undeveloped nation”.

After 4 years of rigorous study into the psyche of selfish American sheeple society, and the Media machine that programs it, in conjunction with Celente’s forecasts, I see a darker vision. It comes down to how much faith you have in society. I have about the same faith in society as I do it’s ‘chosen’ government. Ask yourself how much time of food shortages would pass before the masses begin feeding on the masses.

To me this reality is far more chilling than anything Hollywood could conjure. These aren’t ‘undead’ brainless monsters. These are humans with ‘fully functional’ brains. They know how to the weapons they have. They know to find your outside electircal shutoff box to cut the power. They are able to dive thru your windows and kick down your doors at roughly the same time. And the can distingiush your ideology and ethnicity to select you as prey. A well armed family is doomed at the arrival of dozens of these types of ‘zombies’.

And to think I used to refer to the masses as “zombies” from time to time in the past. Today the film “Dawn of the Dead” (the original) is more like educational than entertainment, as is the Road Warrior. I don’t count out the reality that society becomes like that of the Road Warrior, where men do feed upon men, so throw a ‘bird flu’ in the mix and you’re not too far off.

So even if it doesnt get that bad, or at least for awhile, I still argue that right now today is the “New Great Depression”. What tomorrow brings is what I call “The Great Aggression”. And click on the news from the past few weeks of shootings and so on and it sounds to me like we’re already getting there. Better hope there aren’t mass food shortages anytime soon…

Ignorance Is Futile:

Radio commentator Al Korelin for, the worlds leading gold investments site, not only pointed out that Donald Trump warned of a New Great Depression but also concurred. The guest, Roger Wiegand, stated that it won’t happen over days or weeks but that it will be spread out over a very long period. Korelin also stated that he believes that we might be headed to “rapid”, “rampant” inflation. Wiegand warned that we might be facing “hyperinflation“. Add Gerald Celente, the worlds leading economic forecaster to the list, and do the math.

Audio: WMA MP3 index