Financial Times Fumbles Trump’s Central Banking Criticism

Source: TheDailyBell.com
November 2, 2016

Populists stick to tradition of central bank-bashing … If anyone still doubts the affinity between support for Trump in the US and for Brexit in the UK, they should look no further than the two movements’ attitude to monetary policy. –Financial Times

The “populism vs. globalism” meme is increasingly evident in the mainstream media just as we predicted, and analyzing it can generate considerable insight into elite plans and societal positioning.

This Financial Times article provides us further information in a short editorial. Interestingly, it is not by any means persuasive propaganda. It would have been far more effective in the 20th century than today when so many more people are beginning to be educated about free-market economics.

More:

Donald Trump has accused the Federal Reserve of keeping interest rates too low for what is healthy for the economy in order to make the Obama administration, and by extension Hillary Clinton, look good. Theresa May, more elegantly but no more justifiably, used her party Conservative party conference speech to attack the Bank of England’s policy of quantitative easing.

In both cases, the technocrats at central banks are accused of making policy that helps rich elites and hurts the more deserving common people, be they small savers or hardworking families.

So far so good. But toward the end of the article we are – unfortunately for the argument – provided with more specifics. This is where the article’s logic weakens and then disintegrates.

A cursory search of “populism” or “populism vs. globalism” will reveal a tremendous amount of commentary in a short period of time. In fact,  this particular dominant social theme seems to be a foundational feature of upcoming arguments in favor of globalism.

But it is fatally flawed – as this article offers in a few sentences that are meant to be damning but instead reveal the basic bankruptcy of this rhetorical approach:

Traditionally, populists have berated central banks for their obsession with “sound money”: tight monetary policy, high interest rates and the gold standard. ¨

In about 25 words, the article seems to sabotage its entire argument and by extension the larger meme.

Is this the best that can be done? Probably so. It provides terrible testimony as to the state of elite memes generally.

For one thing, central bank criticism in the past few decades has not focused on central bank “obsession with sound money.”

On the contrary, most modern criticism regarding central banking focuses on the endless debasement of the fiat currency monetary facilities spew relentlessly.

Additionally, critics of central banking in the past decade or more have been sounding the alarm regularly about too-low interest rates. Rates so low, in fact, that they have now gone into negative territory.

Finally, in addition to mischaracterizing modern central bank criticism, the article doesn’t even attempt to grapple with cogent criticisms of central banking that are common on the Internet today.

These criticisms are rooted in the free-market economics of the Austrian School, which is in many ways the basis of all modern economics.

Marginal utility shows us clearly that markets create valid prices. Yet central banks “fix” the value and volume of money via interest rates and in other ways.

This cognitive dissonance is at the heart of the disaster of modern central banking.

Ask a central banker if he believes in price fixing, and you should receive a credible, necessary response: Price fixing destroys prosperity by substituting dictates for market competition. And yet … price-fixing is central banking’s significant – sole – methodology.

In the Internet era, memes have to be convincing and logical to have an impact with the intelligentsia that elites have traditionally sought to propagandize – as they are thought leaders. But here we have one of the most important dominant social themes – populism vs. globalism – being presented in a major financial newspaper in a most unpersuasive way.

This is probably why the fallback position when it comes to reasserting a necessary matrix of elite propaganda increasingly focuses on censorship.

The kind of comprehensive effort necessary to reestablish the once-commonly accepted disinformation of the 20th century is probably beyond the scope of even the most authoritarian propagandizing short of genocide.

Conclusion: Bur wait, is that a potential world war staining the horizon? …

Read More At: TheDailyBell.com

Central Banks Are Trojan Horses, Looting Their Host Nations

Source: GlobalResearch.ca

Source: WashingtonsBlog
February 11, 2016

A Nobel prize winning economist, former chief economist and senior vice president of the World Bank, and chairman of the President’s council of economic advisers (Joseph Stiglitz) says that the International Monetary Fund and World Bank loan money to third world countries as a way to force them to open up their markets and resources for looting by the West.

Do central banks do something similar?

Economics professor Richard Werner – who created the concept of quantitative easing – has documented that central banks intentionally impoverish their host countries to justify economic and legal changes which allow looting by foreign interests.

He focuses mainly on the Bank of Japan, which induced a huge bubble and then deflated it – crushing Japan’s economy in the process – as a way to promote and justify structural “reforms”.

The Bank of Japan has used a heavy hand on Japanese economy for many decades, but Japan is stuck in a horrible slump.

But Werner says the same thing about the European Central Bank (ECB).  The ECB has used loans and liquidity as a weapon to loot European nations.

Indeed, Greece (more), Italy, Ireland (and here) and other European countries have all lost their national sovereignty to the ECB and the other members of the Troika.

ECB head Mario Draghi said in 2012:

The EU should have the power to police and interfere in member states’ national budgets.

***

“I am certain, if we want to restore confidence in the eurozone, countries will have to transfer part of their sovereignty to the European level.”

***

“Several governments have not yet understood that they lost their national sovereignty long ago. Because they ran up huge debts in the past, they are now dependent on the goodwill of the financial markets.”

And yet Europe has been stuck in a depression worse than the Great Depression, largely due to the ECB’s actions.

What about America’s central bank … the Federal Reserve?

Continue Reading At: WashingtonsBlog.com

Crisis of Misinformation, Differing Solutions


Source: DailyBell.com
December 30, 2015

The Misinformation Mess … As Americans approach Election Year 2016, the crisis of misinformation is growing more and more dangerous. On issues from foreign policy to the economy, almost none of the candidates in the race appears to be addressing the real world, writes Robert Parry. – ConsortiumNews

Dominant Social Theme: False flags? Nothing to see here. Let’s move along.

Free-Market Analysis: Who is Robert Parry? He is editor of Consortiumnews.com, an online independent investigative journalism magazine founded in 1995, and an investigative reporter. We learn from his bio he “broke many of the Iran-Contra stories for The Associated Press and Newsweek in the 1980s.” His latest book is America’s Stolen Narrative.

This article was picked up from Consortiumnews, like many of Parry’s articles, by Common Dreams, a well-known left-leaning site that publishes often about “the misinformation mess.”

Our position has always been that the Internet Reformation (our term) was unstoppable in the short- and medium-term. We expected when exposed regarding perfervid implementations of directed history that the elites in some sense would take a “step back.”

Instead, they have forged ahead like Ronda Rousey when she lost her title. Toward the end of the fight, she was leading with her face to get it over with.

In fact, the elites we cover regularly seem kinda, well … punch-drunk. We’ve suggested that the growing mass of Internet exposés would reach a critical point eventually and that seems to be happening.

Robert Parry’s article adds significantly to the accumulation of material leading readers on both left and right ends of the spectrum to question the official narrative. Bear in mind Parry comes from AP. Given what he’s been through professionally, this article is remarkable.

Let’s examine some excerpts.

Is it really possible to expect that the American people (as propagandized and misinformed as they are) could effect significant change through the electoral process, which is itself deeply compromised by vast sums of dark money from American oligarchs, while other super-rich Americans own the major media companies?

Good point about the current oligarchical structure.

As part of all this reassessment, there needs to be a coming-clean with the American people regarding what U.S. intelligence knows about a variety of key events, including but not limited to the Aug. 21, 2013 sarin attack outside Damascus, Syria; the Feb. 20, 2014 sniper attack in Kiev, Ukraine, which set the stage for the coup; and the July 17, 2014 shoot-down of the Malaysia Airlines Flight 17 over eastern Ukraine.

The fact that such events have been exploited for propaganda reasons – to blame U.S. “adversaries” – while the detailed knowledge of the U.S. intelligence agencies is hidden from the American people has deprived the public of an ability to make rational assessments about the larger policies. U.S. positions are driven by false or faulty perceptions, not reality.

These two grafs above are perhaps the most remarkable. When intelligence agency narratives are confronted to this extent, something is changing. The last time this happened was in the mid-20th century, and it provoked some convulsive changes.

One more astonishing statement: “Along with bringing rationality and reason back to U.S. foreign policy, a similar process of truth-telling could take place domestically.”

He makes economic points, too, writing that the “core problem” of the US’s shrinking middle class has do with super profits from the new digital economy that should have been disbursed to everyone but have only gone to the “super rich.”

This is where Parry begins to go wrong. Like most reporters, he doesn’t seem to know enough about central banking or the dollar reserve currency to appreciate the US’s true monetary manipulation.

Continue Reading At: DailyBell.com