I have been offline for a week because a fire burned up half of my house. I don’t know what caused the fire (I don’t smoke), but water from the firemen’s hose damaged my computer. Only now have I been able to get the computer running again. Fortunately no one was hurt, although I no longer have a bedroom. Or a kitchen. On the bright side, my cockroach problem has finally been solved. If I seem calm, it is because I have already been through the anguish phase.
I promised one reader (“Beaner who looks like a cracker”) that I would discuss Venezuela, and so I shall.
But for this moment, I want to quickly describe a form of revenge that I am enjoying. To explain this revenge, I must first give some background…
The euro scam plunges some nations into ever-worsening debt and austerity even when they enjoy a trade surplus. More debt means more austerity, which causes more debt, which causes more austerity, and so on…forever. The purpose of this self-perpetuating nightmare is to widen the gap between the rich and the rest.
The nightmare continues because most people are cattle. (I’ll come back to this.)
Spain, for example, has an average monthly trade surplus of 1.61 billion euros. This means that each month, 1.61 billion more euros flow into Spain than flow out of Spain.
This sounds great, except that Spain is now in debt to the bankers for a record 1.1 trillion euros! As a percentage of gross domestic product (GDP), Spain’s debt is 100.9 percent, which is equivalent to the total value of the goods and services that Spain produces in an entire year.
Back in 2007, Spain’s national debt was only 35.5 percent of GDP (€384 billion).
Just to pay the interest on the Spanish government’s ballooning debt, the caretaker Popular Party government has set aside €33.5 billion in this year’s budget. This is nearly twice as much as what the government will give out for social subsidies and unemployment payments.
That €33.5 billion in interest will go to the bankers, who create their loan money out of thin air.
So let’s see…
Beginning in 2012, Spain climbed out of a trade deficit, and now has a trade surplus, such that 1.61 billion more euros come in each month than go out (on average).
However, Spain must pay an average of almost three billions euros a month to the bankers in the form of interest payments.
Therefore no matter how hard the Spaniards work, they go 1.39 billion euros further into debt to the bankers each month.
By the end of 2016, Spain will have a trade surplus of 19.32 billion euros, but will also have paid 33.5 billion euros in interest payments alone. This means that by the end of 2016, Spain will be another 14.2 billion euros in debt to the bankers. (The bankers are in Spain and elsewhere. They lend to the Spanish government.)
Whenever the ECB in Frankfurt “bails out” Spain, it is the bankers who get paid off. Spain’s remains loaded with the full debt, only now (after the “bail out”) Spain owes the ECB instead of the bankers. Thus, the bankers can’t lose.
Spanish politicians support all this because they are on the ECB’s payroll. Same with Greek politicians. They live in luxury while average people starve. Can I prove they are on the ECB payroll? No, but there is no other possible explanation.
Of course, this is what average Spaniards want, as evidenced by their devotion to the euro. In Europe, because of average people’s stupidity, Belgium’s debt-to-GDP ratio is 105 percent, Cyprus’ ratio is 108%, Portugal’s 128 percent, Italy’s 130 percent, and Greece’s ratio is 176 percent. This is insane.
Meanwhile the USA’s debt-to-GDP ratio is 125%, and Japan’s ratio is 229.2 percent. However these latter two figures mean nothing, since the U.S. and Japanese governments create their spending money out of thin air. Their “national debts” are simply money that has been deposited into central bank savings accounts. That money is not used to run the U.S. or Japanese governments.
Not so with euro-zone governments, most of which must borrow their spending money from bankers. Their debt is real.
The “Podemos” movement in Spain is a coalition of so-called “leftist” and “progressive” politicians who claim to oppose austerity, but who actually favor austerity, since they champion the euro.
I knew from Day One that “Podemos” in Spain were liars, just as I knew from Day One that SYRIZA in Greece were liars. How did I know? Because both coalitions champion the euro. Therefore both coalitions favor more austerity. Always more. They made “anti-austerity” sounds to get elected, that’s all.
SYRIZA betrayed the Greek masses, doing the exact opposite of what SYRIZA had promised it would do. In Spain the “Podemos” movement did the same, and says that the Spanish government’s top priority must be to keep making interest payments to the bankers.
“Podemos” politicians do this because (once again) they are on the ECB payroll.
Spain has been unable to form a new government since the general election in December 2015. Another general election in June 2016 was also undecisive. Therefore Spain must have a third election before the end of 2016.
Not that any of this matters, since all the major parties in Spain are committed to paying the bankers first (Popular Party, Socialist Party, Citizens Party, and the pseudo-left Podemos Party).
In addition, all are committed to ramming through another €10 billion in austerity measures before October 15.
Podemos, in its program for the elections of 26 June 2016, explicitly committed the party to more austerity, and to paying the bankers first.
Their betrayal caused a million Spaniards who voted for the Podemos / United Left alliance in December 2015 to not vote for them again in the 26 June 2016 election.
So where is my revenge in all this?
The masses bring all this on themselves because of their herd behavior. They enjoy attacking you with rage if you question the official lies about World War II, including the “holocaust”™ lie. They enjoy attacking you if you oppose mandatory vaccination, or if you prove that the Zika virus does not cause microcephaly, or any other birth defect.
These are herd behaviors, which to me are frustrating.
However the same herd behavior causes them to cling to the euro, which causes them to suffer more and more each day.
Now that is sweet.