16 May 2013


(And the recessions continue for as long as austerity continues.)

The above quote from Krugman was taken from here…


Let’s throw some more darts at Krugman. We’ll use quotes from the same source.

“The Greek crisis came as a shock to almost everyone, not least the new Greek government that took office in October 2009.”

No, Troika bankers planned these crises from before the euro was introduced on 1 Jan 1999. How do I know? Because the bankers knew that Germany had a trade surplus with the other nations.

I’ll repeat it again, folks. If two or more nations share a common currency that is issued as loans from a common bank, then the one nation that has a trade surplus with the others will rule the others, and will suck them dry.

All euro-zone nations get their money as loans from the ECB in Germany, or from selling bonds (if they can). Either way, they go into debt. However Germany has an alternate source of money, in its large trade surplus. Therefore Germany rules. It’s so simple that any child can understand it, yet it is beyond the grasp of people like Paul Krugman.

Germans are quite conscious of their theft, and they justify it by twisting everything in their minds. Germans claim that that they are the victims (the “makers”) while their slaves are the villains (the “takers”). As Germans suck Greece dry, they claim to be carrying Greece on their backs. The German parasite claims to be the host. Germans say that Greeks, Portuguese, Spaniards, etc. are lazy and inferior, and need discipline, and would all be lost without Germany.

It’s all lies to camouflage the rampant theft by Germany and the Troika.

“The Greek crisis was a godsend for anti-Keynesians.”

 No, the Greek crisis is irrelevant to Keynes’ teachings, since the teachings do not apply to nations that surrender their Monetary Sovereignty, as Greece and the euro-zone nations have. Since the USA creates its own money, it can never become Greece.

“Keynesian economics rests fundamentally on the proposition that macroeconomics isn’t a morality play—that depressions are essentially a technical malfunction.”

No. For Monetarily Sovereign nations, depressions are ALWAYS gratuitous and intentional. Bankers and rich people use austerity (spending cuts and / or tax increases) to create depressions, which destroy the middle class, thereby widening the wealth gap.



The Congressional Budget Office predicts that by the end of FY 2013 (on 30 Sep 2013) the federal deficit will be $642 billion, which is $259 billion below the CBO’s February estimate. This means that $259 billion more was sucked out of the economy and destroyed than the CBO earlier projected. Which means the current depression is $259 worse than projected. Which means a lot more suicide, poverty, and unemployment.


The deficit picture is expected to continue to worsen improve next year and beyond, with the 2015 deficit now projected at $378 billion, just 2.1 percent of the economy.

This proves that we are only at the beginning of the current depression. And since everyone is brainwashed, there is no possible way we can recover again until we have another world war, amd the government starts spending again.


Actually the two lines aren’t perfect mirror images, since GDP must include the national trade deficit, which fluctuates slightly from month to month. But the graph is essentially correct. If it were not for the trade deficit, the mirroring would be precise to the penny.






In Australia the Labour Party corresponds to the Democrats in the USA, or the (faux) “socialists” in France, while the Liberal Party corresponds to Republicans, or to conservatives in France. (The name “Liberal” in this case means deregulation, i.e. pro-plutocracy).

The Labour Party is currently in power. The right-wing Liberals are the opposition.

Australia’s economy has done well for the last 20 years, because of Chinese demand for Australian minerals and other mined goods. But now that much of the planet is in a depression (because of gratuitous austerity) demand for Chinese goods has shrunk, and thus, Chinese demand for Australia’s goods has shrunk. The result is rising unemployment in Australia.

This has not caused a severe recession, since the Labour Party has not imposed austerity on the masses. However, Australia’s federal deficit is reaching record highs. (Not that is matters, since Australia is Monetarily Sovereign, and can create as much money as it likes, out of nothing.)

The right-wing Liberal Party wants to exploit the unemployment situation, and hopefully take power in the September 14 elections, so they can plunge Australia into a severe depression, thereby widening the wealth gap between the 1% and 99%

Since Australians have not yet been subjected to severe austerity, they are not suffering like the euro-zone.  Indeed, Australia is still a paradise compared to the euro-zone, or even the USA. But the unemployment feels painful because it comes after decades of plenty.

The Liberal Party has seized on this, and is telling the public that their (comparatively minor) suffering is the fault of the Labour Party’s “reckless deficits” which has caused a (non-existent) “national debt crisis.” The Liberal Party says, “Vote for us and we will bring you prosperity.”

If they get into power, they plan to plunge the public into grinding poverty. They have a very good chance, since average Australians are as stupid as any other people. Currently the right-wing Liberal Party is leading in the polls. If the Australian public is stupid enough to give them power, then Australia will join the rest of the planet in poverty and suffering.

So what’s this “ray of light”?

It seems that (according to Bloomberg) Australian Treasurer Wayne Swan is human. He will not impose gratuitous austerity on the public.

“To those who would take us down the European road of savage austerity I say the social destruction that comes from cutting too much, too hard, too fast is not the Australian way,” Swan told parliament. “The alternative, cutting to the bone, puts Australian jobs and our economy at risk.”

YOW! When was the last time you heard so much reason and compassion from a public finance official?

The Liberal Party is paying all propaganda mills “think tanks” to issue lies about national finances. They want power. The Labour Party is countering with a stimulus program (!!!!!) consisting of infrastructure repair (!!!!!). It plans to spend $24 billion on roads and railways in Sydney, Melbourne, Brisbane and Adelaide. Where will they get the $24 billion? From their computer keyboard, of course, although the right-wing Liberals claim that Australia is “broke,” and that any stimulus program will be “disastrous.”

It remains to be seen if the ray of light will continue past the September 14 elections, or whether average Australian will let stupidity win.




As we all know, the purpose of austerity is to widen the gap between the 1% and 99%.

Now the Organization for Economic Cooperation and Development (OECD) has made a startling discovery that no one in the entire world expected. Namely that the purpose of austerity is to widen the gap between the 1% and 99%.

The OECD, headquartered in Paris, is a propaganda mill “think tank” founded in 1961 to promote the lies of globalism and the “free market.” In recent years, however, it has taken a slightly leftward tilt (in some ways), in that it studies the global effects of inequality.

Now the OECD says that income inequality rose more in the three years to the end of 2010 than in the previous 12 years. Clearly, austerity accelerates inequality. (Who’da thunk it?)

The widest gap between rich and poor was found in Chile, Mexico, Turkey and the United States while Iceland, Slovenia, Norway and Denmark were the most egalitarian societies.

Gee, could it have something to do with the fact that Chile, Mexico, Turkey and the USA are all imposing gratuitous austerity, while Iceland, Norway and Denmark are not?

By the way, Iceland, Norway and Denmark do not use the euro currency. Slovenia was indeed egalitarian until it adopted the euro in 2008. All of Slovenia’s biggest banks and industries were public. Now they are being privatized as part of a severe austerity program. Slovenia is moving toward extreme inequality, as its middle class is being destroyed.

So anyway, the prestigious OECD says that austerity worsens inequality.



This is cute…

The case for austerity, the notion that steep budget cuts can spur economic growth, has taken a beating lately.

Everyone knows it’s a lie, but not everyone is honest about it. In fact, much of the difference between people in their knowledge about economics comes down to their moral character. Are they honest, or are they liars?

Now austerity lovers are tweaking their argument: Austerity during crises doesn’t necessarily spur short-term growth. Instead, it sets the conditions for painful long-term reforms.

That’s true, since the “reforms” are a permanent shrinking of the middle class, and a permanent widening of the wealth gap. To “reform” is to destroy society’s form with its social programs, and re-form it into a feudal society with peasants and lords. For average citizens, this re-form is indeed painful.





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