China Sucked Deeper Into World Financial Vortex, as BRICS Sink Fast

By Prof. Patrick Bond

Global Research, December 04, 2015

Socialist Project 4 December 2015

Region: Asia

Theme: Global Economy

On Monday November 30, the Chinese currency – the yuan – will join the dollar, euro, pound and yen as the world’s official reserve currencies, as recommended by the International Monetary Fund (IMF). Are we reaching the fabled new era of multipolarity, and will it bring stability to a chaotic world economy – “a win-win result for China and the world,” as the People’s Bank of China claims? Or instead, will this heraldthe amplification of extreme uneven development, worsening financial crises, and the abuse of Chinese economic surpluses, yet again, for the purpose of bailing out the corrupt, fragile world financial institutions and their elites?

In that optimistic People’s Bank statement, I take the name “China” to mean the neoliberal clique at the helm of Beijing’s economic management and Shanghai’s financial institutions, and the “world” to mean a very shaky capitalist system suffering periodic spasms in its hyper-speculative financial centers.

Since Wall Street’s crash of 1987, these centres have enjoyed Washington backstops (the Federal Reserve Board and Treasury) that have themselves been the lucky beneficiary of Chinese purchases of U.S. Treasury Bills. Reaching the sum of $1.3-trillion in late 2013, that process has finally reversed, with about $100-billion in net T-Bill sales by China since then. But Beijing still holds about a third of its total foreign reserves in these investments, representing more than a fifth of all foreign U.S. T-Bill holdings. In turn, the $6-trillion in U.S. T-Bills is about a third of total U.S. foreign indebtedness.

China is joined at the hip with Washington’s maniacal, money-printing Fed and Treasury. Its elites need U.S. borrowing power to translate to U.S. consuming power to translate to Chinese exports; that relationship appears too important to jettison.

China’s Homegrown Economic Problems

Moreover, Beijing is mindful of homegrown economic problems, including its own vast overindebtedness, the secondary cities’ real estate meltdown and the $3.5-trillion collapse of the main stock markets mid-year. If London bankers are correct, then as the IMF welcomes the yuan to world-bourgeois respectability, an additional $1-trillion of global reserves could move into Chinese financial assets. That inflow would negate Beijing’s August 2015 two per cent currency devaluation and make the whole system more balanced at surface level (since there is currently so little yuan trade outside Hong Kong), yet far more chaotic underneath as a result of international contagion from a future Chinese debt crisis or from world finance meltdowns finally affecting China. Meantime, China will probably bolster the IMF’s own loan-pushing in its new self-interested currency partnership.

Is there an alternative strategy: an opting-out of the financial death grip between China and the West? And for the other BRICS (Brazil, Russia, India, China, South Africa), is there a way to support the Bank of the South founded by Hugo Chavez (which without Brazil’s support appears stillborn), or to default on ‘Odious Debt’ (as did Ecuador in 2009), or to impose tough exchange controls (as did Malaysia to halt capital flight in 1998), or to insist that state regulators get control of local financiers rather than the other way around?

Aside from Russia (facing partial Western financial sanctions), the answer is no, thanks to the BRICS’ neoliberal decision-making officials now in power. To illustrate, at its founding, the BRICS Contingent Reserve Arrangement (CRA) was designed so the IMF gets ever stronger, the more quickly and desperately BRICS borrowers need a bail-out loan. The CRA articles of agreement compel the borrower to visit Washington for an IMF structural adjustment loan after drawing down just 30 per cent of their quota in the supposedly ‘alternative’ institutions.

China, USA and Global Financial Institutions

Just after the BRICS CRA became operational in late September, Barack Obama’s statement during Chinese leader Xi Jinping’s visit confirmed the game in play: “China has a strong stake in the maintenance and further strengthening and modernization of global financial institutions, and the United States welcomes China’s growing contributions to financing development and infrastructure in Asia and beyond.”

To be sure, Obama was outmanoeuvred on this front earlier in the year – when Beijing’s Asian Infrastructure Investment Bank received European and Bretton Woods Institutions’ support against his wishes – and so in appeasement mode, he told his guest, “The United States commits to implement the 2010 IMF quota and governance reforms as soon as possible and reaffirms that the distribution of quotas should continue to shift toward dynamic emerging markets and developing countries.”

He may break that promise, because Republican members of the U.S. Congress have for five years blocked the quota voting reform, due to their worry about declining power at the IMF, even with minimal shrinkage (from 17% to 16.5% of voting shares). It’s a typical silly rightwing-populist ruse, for Obama has protected the U.S. veto by not letting his delegate’s voting quota fall below 15 per cent.

The argument for IMF vote rejigging comes mainly from the countries that gain votes once the 2010 deal is implemented: China +37%, Brazil +23%, India +11%, and Russia +8%. (South Africa loses out, as Pretoria’s share would fall 21% under the 2010 terms.)

Which countries, then, lose the most IMF voting power if the 2010 deal is implemented? Amongst them are these Southern countries: Nigeria -41%, Venezuela -41%, Sri Lanka -34%, Uruguay -32%, Argentina -31%, Jamaica -31%, Morocco -27%, Gabon -26%, Algeria -26%, Bolivia -26% and Namibia -26%. So much for the BRICS’ South-South solidarity.

In return, said Obama, “The United States supports China’s presidency of the G-20 in 2016.” After all, Beijing will also “promote international trade and investment as engines of global growth,” even if left out of Obama’s trade deals.

Engine of Global Crisis

In reality, China stands poised to be the engine of global crisis. Though he is not always trustworthy, the Ronald Reagan regime’s former Budget Director and subsequent Wall Street financier, David Stockman, is scathing about China’s governing elites: “In the process of taking its debt from $2-trillion in the year 2000 to $28-trillion at present, in fact, China has erected an endless string of uneconomic public facilities and industrial white elephants that boggle the mind. For instance, it has 1.1 billion tons of steel capacity: 400-500 million tons more than its domestic economy will ever be able to use on a sustained, sell-through basis.”

Here in South Africa, the steel industry is an obvious victim of Chinese overcapacity, with the recent closure of the second biggest firm, Evraz Highveld (owned by a Russian tycoon) and the shuttering of many foundries belong to the world’s largest, Arcelor Mittal (owned by an Indian tycoon). The 10 per cent tariff protection offered the two by the Trade and Industry Minister (a Communist Party member, Rob Davies) is simply a flimsy bandage: much needed for flesh-wounds but not much use against China’s fatal overproduction malady.

For this reason, the world’s most frivolous investors, notorious for fad acronyms and investor-churning, have just abandoned the BRICS: Goldman Sachs. On November 8, the bank that brought the world to the edge of the financial cliff after gaming U.S. home mortgages and other ‘toxics’, closed its main BRIC (i.e. minus South Africa) investment fund. That fund’s peak valuation of $842-million in 2010 was reduced by 88% in value to $98-million this month. Over the same period, $15-billion was withdrawn from the four economies by Goldman Sachs and other frightened investors.

In this chaotic context, the IMF’s assimilation of the yuan helps prepare world financial markets for the next version of bailouts, perhaps similar to the 2008-13 Federal Reserve ‘Quantitative Easing’ and 2009-style IMF Special Drawing Rights pump-priming. If in coming months recessionary winds howl, as expected, it appears the BRICS and especially China will blow even harder to keep the West’s financial house of cards standing.

They shouldn’t, but the power balance within the BRICS today seems to dictate a sub-imperialist stance in relation to global finance, instead of an anti-imperialist one. To illustrate, the two men the Pretoria regime just deployed to co-direct the BRICS New Development Bank go to Shanghai from high-paid jobs at, you guessed it, Goldman Sachs-Johannesburg: Leslie Maasdorp and Tito Mboweni.

To change that power balance here in South Africa, much more pressure is needed from below:

• more student victories so as to redistribute the fiscus to where it is needed, probably at next February’s Budget Speech;
• more demonstrations at SA Reserve Bank branches to lower interest rates (as implied by the leftist students’ anti-debt protest in Pretoria and the Economic Freedom Fighters’ 50,000-strong march in Johannesburg, both on October 27);
• renewed metalworker trade union demands for exchange controls (since the limit on annual expatriation was loosened from $275,000 to nearly $700,000 this year to the applause of rich whites); and
• an intensification of society’s critique of bankers’ exploitation (coming from ordinary citizens who are filing successful lawsuits against salary-garnishee and debit order abuses).

Those, at least, are hopeful signs that while China shifts the deck-chairs on the world financial Titanic and while the BRICS sink fastest into the whirlpool, a few life-preservers are being readied for the rest of us on the lower decks here in South Africa.

Internationally, other life-rafts are being pumped up or hopefully can be quickly reinflated: European struggles against austerity, the Occupy movement and its various residues, debt cancellation advocacy and the Third World’s thousands of ‘IMF Riots’ over the last third of a century. Sure, that kind of counter-power has repeatedly risen and then rapidly shrivelled during the neoliberal era’s contestations against corporate and banking elites.

So in your neck of the woods? What preparations are activists and progressive strategists making for the next 2008-type financial melt? •

Patrick Bond teaches political economy at the Wits University School of Governance in Johannesburg. He also directs the UKZN Centre for Civil Society. His book BRICS: An Anti-Capitalist Critique (co-edited with Ana Garcia) will be published in July by Pluto (London), Haymarket (Chicago), Jacana (Joburg) and Aakar (Delhi). This article appeared originally at CounterPunch.org.

The original source of this article is Socialist Project

Copyright © Prof. Patrick Bond, Socialist Project, 2015

Flat Earth Enlightenment From Lighthouses

Posted by George Freund on December 1, 2015    fuck me ! is any~thin we r  " taught "    ...real Hehe

THURSDAY, APRIL 2, 2015

A copy of the book “The Lighthouses of the World” and a calculator are enough to prove that the Earth is not a globe, but an extended flat plane. The distance from which various lighthouse lights around the world are visible at sea far exceeds what could be found on a globe Earth 25,000 miles in circumference. For example, the Dunkerque Light in southern France at an altitude of 194 feet is visible from 28 miles away. Spherical trigonometry dictates that if the Earth was a globe with the given curvature of 8 inches per mile squared, this light should be hidden 190 feet below the horizon!



The Port Nicholson Light in New Zealand is 420 feet above sea-level and visible from 35 miles away which means it should be 220 feet below the horizon. The Egerö Light in Norway is 154 feet above high-water and visible from 28 statute miles where it should be 230 feet below the horizon. The Light at Madras, on the Esplanade, is 132 feet high and visible from 28 miles away, where it should be 250 feet below the line of sight. The Cordonan Light on the west coast of France is 207 feet high and visible from 31 miles away, putting it 280 feet below the line of sight. The light at Cape Bonavista, Newfoundland is 150 feet above sea-level and visible at 35 miles, where it should be 491 feet below the horizon. And the lighthouse steeple of St. Botolph’s Parish Church in Boston is 290 feet tall and visible from over 40 miles away, where it should be hidden a full 800 feet below the horizon!



“The distance across St. George's Channel, between Holyhead and Kingstown Harbour, near Dublin, is at least 60 statute miles. It is not an uncommon thing for passengers to notice, when in, and for a considerable distance beyond the centre of the Channel, the Light on Holyhead Pier, and the Poolbeg Light in Dublin Bay. The Lighthouse on Holyhead Pier shows a red light at an elevation of 44 feet above high water; and the Poolbeg Lighthouse exhibits two bright lights at an altitude of 68 feet; so that a vessel in the middle of the Channel would be 30 miles from each light; and allowing the observer to be on deck, and 24 feet above the water, the horizon on a globe would be 6 miles away. Deducting 6 miles from 30, the distance from the horizon to Holyhead, on the one hand, and to Dublin Bay on the other, would be 24 miles. The square of 24, multiplied by 8 inches, shows a declination of 384 feet. The altitude of the lights in Poolbeg Lighthouse is 68 feet; and of the red light on Holyhead Pier, 44 feet. Hence, if the earth were a globe, the former would always be 316 feet and the latter 340 feet below the horizon!” -Dr. Samuel Rowbotham, “Zetetic Astronomy, Earth Not a Globe!” (59)



“The lights which are exhibited in lighthouses are seen by navigators at distances at which, according to the scale of the supposed ‘curvature’ given by astronomers, they ought to be many hundreds of feet, in some cases, down below the line of sight! For instance: the light at Cape Hatteras is seen at such a distance (40 miles) that, according to theory, it ought to be nine-hundred feet higher above the level of the sea than it absolutely is, in order to be visible! This is a conclusive proof that there is no ‘curvature,’ on the surface of the sea - ‘the level of the sea,’- ridiculous though it is to be under the necessity of proving it at all: but it is, nevertheless, a conclusive proof that the Earth is not a globe.” -William Carpenter, “100 Proofs the Earth is Not a Globe” (5)



The Isle of Wight lighthouse in England is 180 feet high and can be seen up to 42 miles away, a distance at which modern astronomers say the light should fall 996 feet below line of sight. The Cape L’Agulhas lighthouse in South Africa is 33 feet high, 238 feet above sea level, and can be seen for over 50 miles. If the world was a globe, this light would fall 1,400 feet below an observer’s line of sight! The Statue of Liberty in New York stands 326 feet above sea level and on a clear day can be seen as far as 60 miles away. If the Earth was a globe, that would put Lady Liberty at an impossible 2,074 feet below the horizon! The lighthouse at Port Said, Egypt, at an elevation of only 60 feet has been seen an astonishing 58 miles away, where, according to modern astronomy it should be 2,182 feet below the line of sight!

“The distance at which lights can be seen at sea entirely disposes of the idea that we are living on a huge ball.” -Thomas Winship, “Zetetic Cosmogeny” (58)



Another great example is the Notre Dame Antwerp spire standing 403 feet high from the foot of the tower with Strasburg measuring 468 feet above sea level. With the aid of a telescope, ships can be distinguished on the horizon and captains declare they can see the cathedral spire from an amazing 150 miles away. If the Earth were a globe, however, at that distance the spire should be an entire mile, 5,280 feet below the horizon!

“In the account of the trigonometrical operations in France, by M. M. Biot and Arago, it is stated that the light of a powerful lamp, with good reflectors, was placed on a rocky summit, in Spain, called Desierto las Palmas, and was distinctly seen from Camprey, on the Island of Iviza. The elevation of the two points was nearly the same, and the distance between them nearly 100 miles. If the earth is a globe, the light on the rock in Spain would have been more than 6600 feet, or nearly one mile and a quarter, below the line of sight.” -Dr. Samuel Rowbotham, “Zetetic Astronomy, Earth Not a Globe!” (59)




A man named Lietenant-Colonel Portlock used oxy-hydrogen Drummond’s Lights and heliostats for reflecting the sun’s rays across stations set up on Precelly, a mountain in South Wales and Kippure, a mountain 10 miles south-west of Dublin. The instruments were placed at the same altitude above sea-level and shined across 108 miles of St. George’s Channel. Technical problems plagued Portlock’s experiment for weeks, until finally one successful morning he wrote: “For five weeks I watched in vain; when, to my joy, the heliostat blazed out in the early beams of the rising sun, and continued visible as a bright star the whole day.” If the world were a globe, Portlock’s light should have remained forever invisible hidden under approximately a mile and a half of Earth’s curvature!

“If we take a journey down the Chesapeake Bay, by night, we shall see the ‘light’ exhibited at Sharpe's Island for an hour before the steamer gets to it. We may take up a position on the deck so that the rail of the vessel's side will be in a line with the ‘light’ and in the line of sight; and we shall find that in the whole journey the light won't vary in the slightest degree in its apparent elevation. But, say that a distance of thirteen miles has been traversed, the astronomers' theory of ‘curvature’ demands a difference (one way or the other!) in the apparent elevation of the light, of 112 feet 8 inches! Since, however, there is not a difference of 100 hair's breadths, we have a plain proof that the water of the Chesapeake Bay is not curved, which is a proof that the Earth is not a globe.” -William Carpenter, “100 Proofs the Earth is Not a Globe” (36)

“We are fairly entitled to conclude, therefore, from the reliable data furnished as to how far lights at sea can be seen, that the world is an extended plane, and not the globe of astronomical speculation.” -Thomas Winship, “Zetetic Cosmogeny” (62)

http://www.atlanteanconspiracy.com/2015/04/flat-earth-enlightenment.html

Argentine Cattle Mutilations Could Be Alien Gene Experiments

Argentine Cattle Mutilations Could Be Alien Gene Experiments

• http://mysteriousuniverse.org/2015/12/argentine-cattle-mutilations-could-be-alien-gene-experiments/
•  December 4, 2015
•  Paul Seaburn

 

We’re not shocked at the news about a mass animal cloning factory opening in China that is rumored to be conducting experiments on humans, so why is there such skepticism that aliens may be doing conducting genetic experiments with body parts taken from Earth animals during so-called ‘cattle mutilations’? Analysis of the remains of cattle after a recent mutilation in Argentina suggests this may be what happened there.

Investigators visiting a mutilation site

The cattle mutilation occurred in Villa Cool, a town in east-central Argentina. The bodies of three cows and a bull were found with body parts expertly removed with no evidence of blood. That’s not unusual since most reports on cattle mutilations use words like “surgical precision” and “laser-like” to describe the incisions. What caught the eyes of investigators in this case were what body parts were removed – tongues, jaws, brains, eyes and reproductive organs.
Why should we be concerned about these particular body parts being missing? Germs and bacteria, says Johanan Diaz who was investigating the mutilations for a documentary produced by Tercer Milenio. These are the body parts with the most germs and bacteria and that’s why they’re possibly being taken by aliens … to dissect, analyze and potentially modify the bacteria and genes.

The genetically modified bacteria or germs could then be used by an alien invader to control or conquer humans by secretly manipulating the food supply. The bacteria could be changed to sicken or kill humans eating the cattle or, as may be the case in the factory in China and probably many other places, modify them to suit their needs.
Animal mutilations have long been a controversial topic. Suggested “natural” causes have included nature (animals or parasites eating the animals), decomposition (bloated skin splitting open like it was cut), religious cults, sick pranksters or secret experiments by governments or businesses.
If we humans are already conducting secret genetic experiments on animals and each other, why is it so hard to believe that aliens wouldn’t do the same thing?

Are they next?

RT: MAJOR BANKS IN MAJOR LAWSUIT FOR COLLUSION… TO THE TUNE OF ...

Posted on December 4, 2015 by Joseph P. Farrell •shttp://gizadeathstar.com/2015/12/rt-major-banks-in-major-lawsuit-for-collusion-to-the-tune-of-320000000000000-thats-t-for-trillion/

When I read this one from Mr. B., I had to rub my eyes and do a doubtle take in disbelief, but yes, you read that correctly: major western banks are involved in a lawsuit for allegedly colluding to ...well, you can read the story in the RT article here:
Major Wall Street banks accused of massive collusion
A mere $320,000,000,000,000? As Mr. B. put it in his email to me, one could buy a small planet with that kind of pocket change, or perhaps endow a world government operating fund(to borrow the observations of Catherine Austin Fitts), or perhaps do both. We'll get back to that.
This is one of those "mackerel on a moonlit beach" stories, for it both shines, and stinks. Consider the few details provided in the article:

Ten of the biggest Wall Street banks and two trading platforms face a US class action suit accusing them of conspiring to limit competition in the $320 trillion market for interest rate swaps.

The antitrust complaint was filed by the Public School Teachers' Pension and Retirement Fund of Chicago, according to Reuters. They purchased interest rate swaps from different banks to manage risk and insulate themselves from changes in monetary policy.
The Chicago Teachers’ Pension and Retirement Fund says it overpaid for the swaps as a result of the banks’ collusion, the lawsuit contends.

That's right, the lawsuit is brought by a Teacher's Pension and Retirement fund in this case, in Chicago, another notorious seat of corruption. Nothing to see here, move along. So, alright, we'll move along to the next set of revelations:

The banks accused are Goldman Sachs, Bank of America, JPMorgan, Citigroup, Credit Suisse, Barclays, BNP Paribas, UBS, Deutsche Bank, and the Royal Bank of Scotland. Trading platforms ICAP Capital Markets and Tradeweb Markets are also facing the lawsuit.

Now, where have we heard those names before? Well, for one thing, JPMorgan, BNP Paribas, are a couple of the Banks that have suffered "Mysterious Banker Deaths", while UBS, the notorious Swiss bank, has been the center of speculations of all nature, many of them involving gold, obfuscated gold amounts, and even odd connections to the various bearer bonds scandals, particularly those emanating from Indonesia and surrounding "Sukharno's gold." Remember that one? And how, oddly, one Hjalmar Horace Greeley Schacht was involved? Remember him? The Reichsbank? Co-founder of the Bank of International Settlements? The guy to discovered, in 1928, that the US Federal Reserve Bank of New York had somehow misplaced the Reichsbank's gold? Friend of Aristotle Onassis? It's quite a curriculum vita and I'm tempted to go on, but won't.
Then of course we have the inimitable Goldman Sachs, Bank of America, Citigroup, Credit Suisse, and the ever-trustworthy Deutschebank, up to its own Twin Towers of derivatives and strange trades on 9/11. And finally, let's not forget the Royal Bank of Scotland, sometime centerpiece of Lord Blackheath's strange speeches in the House of Lords, in which he raised nasty questions about gobs of money suddenly appearing in that bank, and strangely obfuscated amounts of gold... but nevermind. Perhaps Hansard's was just reporting things badly, or perhaps Baron Blackheath was just having a major headache that day, and had taken momentary leave of his senses.
Nothing to see here, move along.
So move along we will, when we read this strangest of all statements in the article:

According to the suit, the banks used different code-names such as ‘Lily’, ‘Fusion,’ and ‘Valkyrie’ to cover up their collaborations.

Huh? Say that again? the code-names for their collusive operations were Fusion, Lily, and Valkyrie? Valkyrie, as in the code-name for the German plan to prevent a coup from siezing power in Berlin under Hitler, the very plan that was used by the anti-Hitler conspirators in the July 1944 Bomb Plot? Surely the World War Two connection was merely accidental and contived? But wait: then there's "Lily," suggestive of the Japanese plunder operation known as Golden Lily, with all its buried bullion in the Philippines, and associations to President Truman's 1947 decision to recover the loot and keep it top secret, putting the US intelligence apparatus into the banking business to provide funding for covert ops and black projects research? Well, what about Fusion, then, I wondered. Perhaps a code-name for the purpose of the operations? To provide funding for "fusion" research or other forms of alternative energy, or for "fusion" of a very different kind, such a political or currency fusion?
And just exactly what was going on here? Was this money stolen through the use of fees and so on? And if so, for what purpose? And more importantly, where did all of it go? It certainly isn't showing up anywhere that I can tell. Does this have something to do with all those mysterious banker deaths?
And finally, why is this being reported (once again) in RT? Are the Russians also sending messages and signals here, that they know something about "Fusion," "Lily", and "Valkyrie?"
This one just boggles the mind, when one thinks about the possibilities, and this time, I have to say, your high octane speculation is as good as mine...

RUSSIA: THE DOWNING OF THE RUSSIAN SU-24 WAS ULTIMATELY AN AMERICAN ...

Posted on December 3, 2015 by Joseph P. Farrell •http://gizadeathstar.com/2015/12/russia-the-downing-of-the-russian-su-24-was-ultimately-an-american-provocation/

...and while we're on the subject of Russia, Syria, France, and Germany, according to his article from the U.K.'s Daily Mail which many of you sent to me, President Putin is now placing the blame for the downing of the Russian Su-24 jet very firmly not just at Mr. Erdogan's feet in Ankara, but at the feet of... well, whomever is really running things in Washington:
Turkish president warns Russia not to 'play with fire' after Putin suggested Su-24 jet was shot down after America passed on details of its flight path
In one sense, there's nothing new here from Turkey. "Good relations" is hardly a phrase that qualifies the relationship of the two countries. One need only think of the Crimean War, the previous attempt of the West to wrest control of that peninsula - traditional seat of Russia's Black Sea fleet - from Russia, with the help of the Ottoman Empire.
What is worth noting here is both something mentioned by the article, and something not mentioned by the article, and oftentimes, it's the absence of words that speaks more loudly than anything else. But first, what is mentioned:

Turkish president Tayyip Erdogan has warned Russia 'not to play with fire' after Vladimir Putin suggested the Su-24 jet was shot down after the U.S passed on details of its flight path.

Relations between the two countries have been deteriorating since Turkey shot down the Russian military plane near the Syrian border on Tuesday after claims it entered their airspace.

Moscow has threatened Ankara with economic retaliation for the incident and Putin even accused the U.S of leaking information about the flight to Turkey after they gave them prior warning of the mission.

The "behind-the-scenes" story here is indeed what Russia is claiming, for Russia did, and does, keep the USA apprised of its bombing runs and flights in Syria, if for no other reason than to avoid any accidental confrontations. The US, Mr. Putin is charging - or rather, elements within the US - then passed along this information, which allowed the Turks not only to shoot down the Russian aircraft, but to have cameras suspiciously close by on the scene to  video the whole event. Accidental intrusion of Turkish airspace? Hardly, and that's if one buys the Turkish story that Russia actually DID violate Turkey's airspace to begin with.

The real story here I suspect is not the gradiose Ottomania of Sultan Erdogan's fulminations, nor even Mr. Putin's indications that someone in US intelligence leaked the information to the Turks, so that a "provocation" - Mr. Sergei Lavrov's words, not mine - could be engineered. THe real story might be what I suggested on Nov 24, on this website: there is real fullblown factional infighting taking place in Washington:

Russia's RT notices the factional infighting...

And thus the real story here might lie in the silences between the lines over the past few days, for recall from yesterday's blog that France and Russia have decided to share intelligence in their joint efforts to stem the tide of IS in Syria. Enter Turkey, for Sultan Erdogan's heir apparent, his son Bilil, has been caught red-handed helping to launder ISIS oil into money for the group. And, of course, one cannot forget the Saudi role in the mess.

So in this context, what, really, does sharing intelligence mean? I suspect it means these things:

1. Regardless of whether the attacks in Paris were false flag operations or not, France, by sharing intelligence with Russia, knows there is something quite amiss, one would even say rotten, in the entire NATO command, control, and intelligence structure. Don't expect Paris to be as easy and carefree with intelligence sharing with Turkey, or its US backers, save on matters of direct threat to either;
2. It also means that the French intelligence services, like Russia, have analyzed the situation in the American deep state, and have come to a similar conclusion as the Russian, namely, there there are severe fissures and cracks - factional infighting as I've called it - within the American :"deep state' between the White House and some sections of State, and the rest of the American military-intelligence complex(see today's "Tidbit" for a further corroboration of this view);
3. Since Germany has indicated its willingness to provide supporting operations to France in Syria, this means the "intelligence sharing" likely involved the German services as well, and again, for similar reasons, butressed by German anger at American spying on German leaders(remember the NSA-Merkel cellphone incident).

What thus appears to be emerging is a de facto establishment of new relationships in intelligence between the three countries, and all grounded in the possible conclusion that each country is perceiving dangerous splits within the American deep state. This intelligence sharing is also going to be focussed on longer term analysis of the state sponsors behind IS, and in geopolitical-intelligence terms, that's an earthquake, for we all kjnow who those countries are... More importantly, Turkey's presence within NATO now means that the alliance itself is fracturing in a severe faction, and that in France's case at least, if not Germany's, the conclusion has probably been reached that NATO institutions - particularly its command, control, and intelligence functions - can no longer be blindly trusted. Let that one sink in for a moment, for if the Turkish shootdown was an engineered provocation, it's an indicator of just how fantastically stupid some NATO leadership in Ankara and Washington has become.

Fractional Reserve Banking Is Pure Fraud: Indebting Iraq Financial System By Rothschild & J.P. Morgan.       http://politicalvelcraft.org/2015/11/24/fractional-reserve-banking-is-pure-fraud-indebting-iraq-financial-system-by-rothschild-j-p-morgan/

Fractional Digital Reserve Banking Fraud. 100+90+81=

What is euphemistically called “fractional-reserve banking” is obvious fraud, and obvious crime. By its very definition; it transforms the banking sector of an economy into a leveraged Ponzi-scheme, and as with all Ponzi-schemes, there is no possible “happy ending” here.
Mathematically-based principles are often illustrated best through use of an extreme, numerical example. We have no need to construct any hypothetical extremes, however, when we already have real-life insanity, in our current monetary/regulatory framework.

Central Bank of Iraq finalises agreement with Zaha Hadid Architects to design new office headquarters in central Baghdad The Central Bank of Iraq on February 2 signed an agreement to begin the process of building new headquarters on the shores of the Tigris River in Baghdad. “The new building shall be a symbol of the [central] bank’s role in the economic development of Iraq and a reflection of the determination to rebuild the country.” The £630 million building will be built on a 20 hectare site in West Baghdad, which was originally used by Saddam Hussein to partially construct a super mosque.

J.P. Morgan was ‘granted’ the rights to, effectively, set up the Central Bank of Iraq in Dec. 2003:

1. J.P. Morgan Chase was chosen by the Coalition Provisional Authority [CPA] to ‘set up’ the NEW Central Bank of Iraq [specifically, the Trade Bank of Iraq ].
2. Take note how this TRADE BANK only became operational in December of 2003:
3. Trade Finance. The Trade Bank of Iraq (TBI) was established in July 2003 to facilitate trade of goods and services to and from Iraq by providing irrevocable letters of credit.
4. The TBI officially became fully operational in December 2003 and has a services contract with a multi-international banking consortium led by JP Morgan Chase.
5. Since opening in December, the Trade Bank of Iraq has issued or has pending 183 letters of credit, totaling $708.9 million in imports from thirty-one countries.
6. Letters of credit have been issued on behalf of Iraqi Ministries as well as several state-owned enterprises.
7. In that capacity, Morgan was charged with developing the framework of collateralizing movable and immovable property for the nation of Iraq.
8. The fact is that one of the largest derivatives facilitators [aka paper promissory notes aka fractional digital banking scheme] in the world is one of the principal architects of the Trade Bank of Iraq,
9. plus it is also well-known that J.P. Morgan has a direct connection to the Rothschild banking dynasty ~~ a trend that is to be seen in virtually every central and major bank in existence across the planet.

Activist Post

Here it is important to note that in order to conceal the fraud, crime, and insanity of our present system to the greatest degree possible, the bankers hide their dirty deeds within their own convoluted jargon. Thus presenting “fractional-reserve banking” to readers requires some brief investment of time in definition of terms, starting with this term, itself.
Fractional-reserve banking evolved literally based upon the temptation of all bankers to perpetrate fraud. Empirically it has always been observed, down through the centuries, that under normal circumstances, only a tiny percentage of depositors will come to claim their cash/wealth at any one time.
Thus the temptation is for bankers to “lend” more funds than they actually possess, i.e. they are “lending” what does not even exist: “fractional-reserve banking” – the ultimate euphemism of banking and fraud.

Indebting

To bring into debt; to place under obligation; — chiefly used in the participle indebted. [1913 Webster]

Iraq’s New Parliamentary Building ~~ She goes up ~ a vast new $1-billion parliamentary complex in Baghdad. The well-known London-based, Iraqi-born architect Zaha Hadid has been tapped to design a 2.7-million-square-foot building on the 49-acre site.

Up until the false flag attacks by Israel, and Israel Firsters in the US government, on the WTC in New York on 9-11-2001, there were 7 countries left in the world who had not buckled to pressure, who had not resigned themselves to slavery under the Rothschild fractional reserve banking system. Those countries were Afghanistan, Cuba, Iran, Iraq, Libya, North Korea and Sudan. But Now There Are More!

It goes without saying that anyone or any entity which endeavours to “lend” something which does not exist is perpetrating fraud.

 ‘STAGNATION’

A prolonged period of little or no growth in the economy. Economic growth of less than 2 to 3% annually is considered stagnation. Periods of stagnation are also marked by high unemployment and involuntary part-time employment. Stagnation can also occur on a smaller scale in specific industries or companies or with wages.

In late 2012, supporters said the Federal Reserve’s third round of quantitative easing [printing currency either digitally or physically] was necessary to help the United States avoid economic stagnation.

The central bank’s proposed asset purchases of mortgage-backed debt were expected to foster economic growth, bolster the housing market and improve employment prospects.

The Fed also kept interest rates low as part of its plan to prevent stagnation.

Investopedia

IT BECAME WORSE BY 2015

But before examining this inherent fraud more closely, it is important to back-up, and look at the Law. Note that even when banks “lend” the money which they actually do hold on deposit (as trustees for the depositors) that this is already wholly/totally illegal.

Gates Rothschild NWO

It is the crime known as “conversion”.

France ~ David de Rothschild

France Indicts David de Rothschild For Bank Fraud: Manhunt On As Judge Orders Police To Track Down Rothschild.

Criminal conversion:

A person who knowingly or intentionally exerts unauthorized control over property of another person commits criminal conversion.
When your bank lends-out money you deposited, which it claims to be “holding” for you as trustee, does it seek your prior authorization before lending-out your property and thus putting it at risk? Of course not. The banks get around the naked criminality of their lending operations through general authorization.

In the small-print of any/all bank deposit contracts is a clause whereby the depositor “authorizes” the bank to lend-out their property to Third Parties.

We therefore start with the basic fact, that “banking” as we know it (bankers taking deposits, and then lending those deposits) is literally institutionalized crime.

But “fractional-reserve banking” goes far beyond this original level of criminality.

Not only are banks allowed to lend what they don’t own, they are allowed to lend what they don’t even possess – and by many multiples.
“Banking” is institutionalized crime. “Fractional-reserve banking” piles-on a systemic and enormous element of fraud: “lending” what does not even exist. But this isn’t even the most-shocking aspect of fractional-reserve fraud.

Rothschild Billionaire Mahafarid Amir Khosravi, executed In Iran For bilking money then buying Iranian property for Agenda 21

Another Banker Dead: IRAN Executes Rothschild Billionaire On $2.6 Billion Bank Fraud ~ Used Fraudulent Funds To Implement Agenda 21 In Buying State Property.

Here readers need to understand the consequence of allowing banks to lend what they do not even possess. A simple, hypothetical example will illustrate the principal-of-insanity which is the basis of our current monetary system .
Suppose JPMorgan holds $1 billion in total deposits. In the original form of our fractional-reserve fraud, the fraud ratio was set at 10:1. This meant that for every dollar which a bank actually held, it was allowed to “lend” $10. Now the simple arithmetic.
JPMorgan is holding $1 billion of other peoples’ property, but it is allowed to “lend” a total of $10 billion. Where does the other $9 billion come from? It is literally conjured out of thin air , via fractional-reserve fraud.
Thus, for many readers, this represents their first, actual glimpse of the full fraud, and full insanity of our current monetary system.
In the original form of our “fractional-reserve” monetary system, for every $1 which our central banks officially printed, the banking system created an additional $9 out of thin air, via fractional-reserve fraud. Simply put; 90% of all the actual “money” in our monetary system, and our economies, was conjured out of thin air , by private banks, via fractional-reserve fraud.

• Precious Metals Are An Insurance Against The Failure Of The Fiat aka; ‘Counterfeit’ Federal Reserve Note, aka The “Dollar.”

This is fractional-reserve banking, presented as the naked fraud that it is: bankers “lending” not only more than what they possess, but lending out “money” which grossly exceeds the amount of capital in existence. Conjuring oceans of paper out of thin air. It is inherently criminal. It is inherently fraudulent.

• China Escalates Crackdown On Corrupt Banking: 370 People Arrested In Illegal Foreign-Exchanges Totaling $64 Billion.

It automatically transforms our monetary system into an institutionalized Ponzi-scheme.
By definition, all “fractional-reserve banking systems” must automatically collapse – in a sea of fraud – if all depositors simply claim a tiny portion of their deposits, at any one time.
This is also known euphemistically as a “run on a bank”.

• US Banks Told To Be Prepared For 30-day Crisis ~ Rothschild’s Last Stand!
• Central Bankers & US Government Now Preparing For Dodd Frank Basel III Bail-Ins.
• McCain’s Deadlier Version Of NDAA Passed By Belligerent Senate In Preparation For Reset.

Here, however, the euphemism is intended to insinuate that the mere act of depositors taking possession of their own property is somehow a “crime” against that financial system. Indeed, directly implying as much, our own governments will institute “bank holidays”.
This is yet another banking euphemism where depositors are legally prohibited from taking possession of their own property. The most recent example of such financial oppression was in Greece .

• Greece Receives 1000 Bitcoin ATMs.

How can governments justify such financial oppression? While it is never explicitly acknowledged, the justification is entirely singular: to prop-up a Ponzi-scheme. It thus becomes necessary for governments to abandon the Rule of Law, and legally prevent/prohibit their own citizens from taking possession of their own property – as the only means of preventing the complete implosion of that system. The epitome of a Ponzi-scheme.
Observe how totally perverted and totally criminalized is the current system of fractional-reserve fraud. The banks are legally allowed to commit the crime of conversion: “lending” what they do not own.
The banks are legally allowed to commit fraud: “lending” what does not even exist. But if/when Depositors seek to take possession of their own property; they are treated like criminals.
The bankers are granted absolute legal protection to perpetrate their fraud/crime, at the direct expense of the law-abiding citizens of that society.

1. Iceland Sends 26 Corrupt Bankers To Prison.
2. Iceland Follows President Jefferson’s Warning About Debt Load.
3. Every Icelander To Get Paid In Bank Sale: 26 Bankers Behind Bars!

However, this marks only the starting-point for our present system of monetary/financial fraud. In its original form; fractional-reserve fraud was already entirely criminalized, and already entirely fraudulent. How/why would our governments have ever turned our entire financial system into such institutionalized fraud?
They were convinced to do so on the basis of the promise/guarantee of the bankers. The bankers promised that they would exercise the enormous, legal privilege which they had been granted by acting in a responsible manner, and doing nothing to jeopardize this institutionalized Ponzi-scheme.
In reality; the banks have done the precisely the opposite. First the Big Bank crime syndicate had their servants in our puppet-governments tear-up the legal distinction between “banking” (institutionalized fraud) and “investing” ( institutionalized gambling ).
Overnight, our banks were transformed into bank-casinos.

Clinton’s 1999 Green Light For Banks To Make High Risk Investments Against The Middle Class!

Billy Clinton Turned Loose The International Banks Upon The U.S. 1999

Not only were these “banks” lending-out funds which grossly exceeded their current assets, they were gambling with these funds, and at even greater ratios of leveraged fraud. The result of combining extreme fraud with extreme financial recklessness was the Crash of ’08.
The Big Banks literally “blew up” the Western financial system with their extreme, reckless gambling – gambling which began with the deposits which they claimed to be holding as trustees.

• It Begins ~ German Bank Charges Negative Interest As Economic Collapse Approaches: G20 Bloodsuckers Classify Your Savings As Paper Investments.

Instead of our governments punishing these Big Banks for their extreme, reckless fraud, they rewarded them. Using our money; these Traitor Governments indemnified the Big Banks for every cent of their reckless, fraudulent gambling. Then they did something much, much worse.
Our Traitor Governments bowed to the will of their banker Overlords, and dubbed these institutions of fraud/crime as being “too big to fail”. Translation? Instead of preventing these institutions of financial crime from continuing their reckless gambling, they promised to pay-off all of the banksters’ gambling debts, forever.
What happens when you tell any Compulsive Gambler that you will make-good on all of their gambling losses?
The Gambler runs wild. Observe what the banking crime syndicate calls “the derivatives market”.
It is their own private, rigged casino, where the total amount of ultra-leveraged betting is twenty times as large as the entire global economy .

• United States Gold And The Reverse Goldfinger Effect! From Rothschild With Love!

Thus to go with the institutionalized crime and the institutionalized fraud of “fractional-reserve banking”, our Traitor Governments then added institutionalized extortion: allowing the Big Bank crime syndicate to blackmail our governments, in perpetuity, with the threat “bail-out all of our bad debts, or else…”
Following the Crash of ’08, and the literal sell-out by our own governments to the Big Bank crime syndicate; all of these Traitor Governments made the same promise to us: “never again.”
Supposedly, they would never again allow the Big Banks to blow-up our financial system, and to keep this promise, they all pledged “tough, new laws” – to restrain the reckless gambling of the Big Bank crime syndicate.
What these Traitor Governments actually did was the exact opposite of everything they promised. Instead of reducing and restraining the insane, reckless gambling of the bankers which led to the Crash of ’08, they institutionalized that, as well.
This will be the subject of Part II: taking a system which was already wholly criminal, ridiculously fraudulent, and completely unstable, and making it much, much worse.
The Daily Coin

RollingStone ~~ Obama’s Secrets And Lies Of The Bailouts: Tarp Ceiling Was Secretly Raised 117 Times.