Tuesday, July 9, 2024

Europe is Now In Full Blown Crisis Mode (Video - 19mn)

  Not the best speaker ever but a good overview of the economy in Europe supported by numbers. (We have reached a stage where almost every statistics is a lie, or rather an understatement when it concerns inflation since it is so important in order to overstate income and growth.) 

 From very rough models 50 years ago (Club of Rome 1972, the ancestor of the WEF), we knew early on that growth would stop around the year 2000. There is absolutely nothing we can do about this as it is linked to decreasing returns on investment. A law of economics as solid as the 3 laws of thermodynamics in Physics. (The first oil was actually pooling on the surface in Pennsylvania in the 1850s. Now you sometimes have to dig 5km to find it and eventually it will take as much energy to pump it up than what's contained in the oil deposit. That's what decreasing return on investment means.) So the question is: How do we share the pain within and among countries? The answer of the elite is: 99,9% you. 0,01% us. It all boils down to inflation and translates by inflation of salaries: Bad (That's you) Inflation of assets: Good (That's them thanks to "free" money and the control of central banks.) All the rest is consequences. Among these is the crashing economy in Europe and anger of the voters which must therefore be managed at the political level. This requires a very high level of duplicity, dishonesty and lies, and people wonder why we have only low life people everywhere as politicians in the West. (look no further!)

  With this context in mind, the data from Europe makes more sense and the downfall becomes more ominous. There is no recovery, in real terms not fictitious inflation included terms because there can't be! Growth would immediately mean more inflation and rising commodity prices: Stagflation in other words. The worst part of this is that the system (means the elites) can live very well with that as long as the streets do not explode or start voting far right or far left...    


 

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