Posts Tagged ‘1930s’

Trade Wars, Divisions, War War: It Happened Before, In The 1930s

March 10, 2018

Stupid Is Depressing:

Trump plans to institute tariffs which have made the European Union angry. Jean-Claude Juncker is the head of the European Commission, the part of the European executive which heads the European administration, 32,000 strong, of 500 million souls. Juncker retorted to Trump: ”This is stupid. We can do stupid too.” Juncker has been around: he is quadrilingual French, English, German, and Luxembourgeois. Also, as PM of Luxembourg for two decades, he masterminded the transformation from its bovine economy to onshore tax haven. In any case, Europe is drawing a list of symbolic US products to be struck with tariffs too, from motorcycles to liquor. Let’s backtrack a moment here. This sort of madness is how the crash of Wall Street in 1929 and the Great Depression were engineered.

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Crash of Wall Street & Great Depression:

A massive, and deliberate overheating of the economy happened in 1920s. The Anglo-Saxon elite had decided to inflate out of the British World War One debt. US car production reached level in 1928 it won’t see again until 1948. When overheating became blatant, the US central bank decided to raise interest rates, the economy started to falter, and the US Congress decide to get real smart, the way idiots do it. Simply, Washington reasoned, why don’t we reduce imports? When investors with a modicum of real economics heard this, they understood an economic war was pointing its ugly snout, and they pulled out.  

After the markets crashed, they recovered, as the US Senate hesitated. However, the situation became catastrophic in 1930. Then the Smoot-Hawley tariffs were finally imposed, and Europe retaliated in kind. It would have been better to keep European production in Europe, buying the cars from government money , and selling them at a loss. That would have been socialist, and only the USA would have suffered. European tariffs made US exports collapse, companies went bankrupt, banks followed, and people lost all they had, as bank deposits were not insured either privately, collectively, or by the government itself. The economy greatly depressed.    

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The questions are: what is China doing right, and what are we doing wrong? Of these sorts of graphs, world wars are made. Notice that, in a few years, China got the world top GDP. Our crafty leaders say China has built too much! It’s going to crash! I say: go look at the homeless in US streets, it’s sickening. I say: contemplate that Paris didn’t build one skyscraper in… forty-four (44) years. They say: it’s to keep Paris pretty! I say: they deliberately don’t build, and it’s like that all over the West, more or less… Why? Keep it expensive, elitist. That “austerity” extends to activities such as scientific research (where China spends enormously). Actually Trump just wants to eliminate the world’s main existing thermonuclear research facility, and even European scientists are screaming that’s an outrage. 

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The Great Depression Brought The Mood Of War:

In Germany, the Great Depression brought Hitler to power. In the USA, Roosevelt. Both decided to reflate their economies at all costs, using similar methods (following Keynes all too much; Keynes had advocated make-belief work, if need be). The much richer USA for example decided to build 24 “Fleet Aircraft Carriers”. For comparison, and giving an idea how expensive fleet carriers were, Germany planned to have two such carriers by 1945. The US carriers, were helped by an enormous fleet of more than 200 “fleet submarines” (each nearly 100 meters long). The US subs sank 60% of the Japanese merchant navy, and eight “Jap” aircraft carriers.

Roosevelt put also millions to work, employed by the government. Hitler tried similar tricks, forgetting small details, like that Germany had no oil, and that much of its miracle economy was actually the province of US plutocracy. All the more self-contradictory as the Nazis officially hated so much those plutocrats they were the humble pigeons of.

Meanwhile the French Republic didn’t like the Hitler circus, seeing world war painted all over it, and went to Washington to protest the collusion of US plutocrats and Nazi demoncrats.That didn’t sit very well with old family plutocrat Roosevelt, who hated France anyway, as he saw in France both a juicy prey, and a threat to the plutocratic order, especially of the US sort. In any case, the relationship between France and the USA became execrable in 1934, and would stay that way for the duration, until 1945, and much beyond.

From the French point of view, the easy money, frantic spending on the military of the Anglo-Saxons and the Nazis was wrong in all ways. So the French economy relatively shrank, as France grimly prepared for world war. Sure enough, by 1937, the German economy was in deep trouble, and Hitler had no choice but rob Jews and others to create an appearance of wealth to his millions of increasingly rabid supporters.

Thus we see that the Great Depression did more than depress economies and psychologies: it put the French Republic on a collision course with the USA and the UK. The UK realized its mistake by 1936, and threw out its young Nazi king. By 1939, the UK, having seen Spain fall to Hitler, aligned itself with France, but the USA kept aligning itself, de facto, through its plutocrats and a diplomatic service helping them, with Hitler. (By 1944, though, the top US generals, whom Roosevelt couldn’t control, allied themselves with the French military, because they saw the valor, and had the need. Besides they were in palatial arrangements at the Versailles castle…The relationship stayed tumultuous, though…)

So question: does Trump want to renew with the mistakes of the past? Germany is now solidly allied to France and is a republic too. The only “oiseau de mauvaise augure”, actually a well-defined vulture, is Putin… However recently US forces in Syria eliminated 50% of a force of Russian “volunteers”…

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Divided We Can’t Stand:

The trade wars of the 1930s brought division to Europe. Nazism and the “Axis” would never have happened as they did, complete with holocausts and world wars, had the three big representative democracies of the West stayed united. (But of course, Roosevelt, like Hitler, wanted to grab the world; he was just much more crafty about it! Thus much more successful.)

For example Belgium would have built the segment of the Maginot line it was supposed to build, and that would have blocked, or slowed down the Panzers long enough for the superior French forces to regroup where needed (US influence pushed Belgium to suddenly become “neutral”, thus betray France, following that way the pernicious queen of the Netherlands, who digged the grave of her own country, with her love for Kaiser and Germany…)

More prosaically, German generals wanted a pretext to kill the Nazis. Instead Hitler showed them an isolated France… The US attitude was to play all sides, until the American Century got firmly established.

Nowadays, France and the USA are solidly allied. They are fighting side by side in Africa, something which started long ago, in 1978, when the French paras dropped on Kolwezi (the US provided some airlift, and the go-ahead). The war against the Islamists in Africa is long, intense, unforgiving. The Trump administration rightly denounced China’s maneuvers in Africa (suck all the juice, and ever more encroach…)

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And the Truth Is That The US and EU Elites Are Lying:

The US deficit is fundamentally caused by the exportations to China, Mexico, etc, of US production. So the slaves overseas are doing the work, while the higher class in the USA does not have to deal with pesky, expensive US unionized workers. Increase profit, decrease labor, grow plutocracy. What isn’t there for plutocrats, our lords and masters, to like?

Otherwise Trump is bluffing. Trump is trying to cut a deal about NAFTA/ALENA. To threaten tariffs is Trump’s dangerous and silly negotiation mode. Europe should ignore his craziness, but Europe, like Trump, is trying to make the peons believe it is doing something, when actually it’s doing even less.

So both the EU and the US elites are having a disingenuous argument. They play for the gallery of the naive out there, while the play is getting a life of its own. The right way out is to implement, throughout the West, a version of what Roosevelt did in the 1930s which was right: not the fight with France, that was wrong, not the support of overseas US plutocrats machinations, that was even worse. What was right was the rearmament program (developing and deploying more advanced weapons), and putting people to work, while cleaning up finance. And going to school, more than ever (as French president Macron just promoted in India). But schools all over, and everybody going to them is not enough: we need to put intelligence to work. And work, in the incoming age of robots, especially talking robots, of the sleek type I had on the phone today, means research. Nowadays scientific research should be promoted to the max. If not for us, and our children, for the planet… Can we please, believe in something, for a change?

Patrice Aymé

Worse Than The 1930s

December 15, 2013

GREATER DEPRESSION II.

I have long argued that we are in a Greater Depression. See: https://patriceayme.wordpress.com/2011/07/23/greater-depression/

Europe is actually doing worse, GDP-wise, in the aftermath of the 2007 crisis than it did in the Great Depression shock of 1931. Actually these are the early stages of the greatest catastrophe ever known to have struck the genus Homo, I claim, and will so develop, lest drastically new thinking is applied. Krugman is slowly coming on board.

In the 1930s, the word “plutocrat” was well known, & an object of contempt. In the early 1930s, revolution was simmering; the governments had to do something. The USA & UK went into full, Soviet-like, command & control economy to rearm. FDR launched a program of construction of no less than 24 giant (“fleet“) aircraft carriers in 1933!

In “If Only It Were the 1930s” Krugman shows the latest graph of relevant GDPs.

Worse Than 1930s Great Depression

Worse Than 1930s Great Depression

[Germany, UK and USA were not in the Gold Bloc, but applied pretty much the Sterling method: default. France refused to default thus kick back on her armament program… When war against Hitler was already in full swing (1939-1940)]

Says Krugman:  the UK actually had a substantially higher ratio in the 1930s— and even more so after World War II. How did it deal with this debt? Not through the recipe currently being imposed in Europe, of fiscal austerity and internal devaluation. Instead, the UK relied on a cheap-money policy that produced low interest rates and moderate inflation — “financial repression” — with the central bank “subservient” not just to the government, but to government debt-management policies.

Amusingly, but tellingly, Krugman forgets to mention that the USA devalued in 1933 (devalued its debt, that is). That’s one of the first things Roosevelt did, hence the hatred of bankers.

Nowadays, erroneous policies boil down to who owns the world. The world has been colonized by the plutocrats. To service them, they impose slavery on all.

Little economists paid for sleek plutophile propaganda form a crucial, well rewarded, part of the scheme.

(Otto Rehn, by the way is thinking to run as a major extreme right wing politician in the coming European elections; thus the European Commission is led, in economic & financial matters, by a declared right wing extremist, and an ambitious one, indeed, not the cool technician he claims to be… hence his rage against socialist France.)

The radical solution is to default on the debt (I have advocated this long ago in: ”To Save The World, Please Default”). https://patriceayme.wordpress.com/2011/09/14/to-save-the-world-please-default/

Or at least default on interest payments. That could be done right away. Plutocrats would not be happy, they would plot.

To shut plutocrats down entirely, establish a worldwide register of property, and tax plutocracy accordingly.

Using force is not as utopic as it sounds: the Swiss Parliament just denounced a fiscal accord between France & Switzerland. What’s next? France will use force and impose whatever it has decided Switzerland will do fiscally. That involves, among other things, not just taxing French plutocrats hiding in Suisse, but also 190,000 Swiss citizens.

Some will say: “Is not force bad? If France uses force against Switzerland, surely, this is bad.” Well, no. First, force is already used. Plutocracy is satanic violence, the worst side of man, ruling. Second, force in the service of goodness is always good, just as weakness in the service of badness is always bad. The difference? Morality.

At that point the famous John from Hartford, who is paid to sound smart on the behalf of the plutocracy, intervened. Said he: “Default on the debt? Yes I can see that doing wonders for growth and employment when personal and corporate credit in the US economy totals around $60 trillion compared to the less than $3 trillion of cash in circulation.”

John meant to be sarcastic, but he is just idiotic instead. I politely replied: John, thanks for pointing out this misunderstanding. Please pay attention to the context. We are talking about government debt. This is in the name of what the austerity is done. First point. I would be glad if this got cleared up in your mind, all the more since you are probably not the only such case.

Second point: money is created through credit from private banks or dark pools, in normal circumstances. But, for example before and during WWII, this was thrown out of the window, when a command and control system was put in place.

That the USA required Great Britain to pay its war debt after 1945 was hostile to justice, decency, civilization, and highly detrimental to the British economy. That was made possible only by a British elite sold to Washington. That this is still going on today does not mean it will, tomorrow.

All governments’ fiscal problems would vanish if the hyper rich were taxed enough to kill the plutocratic phenomenon. This is a necessity, not to re-establish fiscal balance, but to re-establish civilizational balance.

Oh, by the way, John Hartford is grossly ignorant of what happened in the 1930s. Then all major governments (USA, UK, Germany) but for those on the gold standard (France) defaulted. The non-default of France was a disaster for the French economy.

Patrice Ayme

Peace From War

August 25, 2013

WAR TO RIGHTS, RIGHT TO WAR.

Synopsis: Non violence against infamy is infamy.

By not striking down someone who kills children with gas, the Republic becomes an accomplice. By not destroying a little contemporary Hitler, the Republic encourages  the propagation of a mood of contempt for the Public, and Human Rights. We have seen enough. It’s time to take out Assad, and strike terror in those who think they can trample the Republic under foot.

Indeed, no need to repeat the experiment of the 1930s. On this small planet, only regimes compatible with the Republic can exist. After Libya, and Mali, the time to illustrate that principle anew has come again. The Syrian Red Line is crossed.

That Dozens Of Children Were Simultaneously Killed By Gas, There Is No Doubt

That Dozens Of Children Were Simultaneously Killed By Gas, There Is No Doubt

The French Republic has threatened a unilateral military strike, overriding the United Nations (that has happened many times before). PM Cameron, two days later, moved by the pictures of dozens of gazed little corpses, spoke about addressing an ultimatum to Assad. The USA needs to join France and Britain. (Yes, I know, the People of the USA is against it; it was also against hurting Hitler in 1939.)

With nuclear weapons around, it’s time for the Republic to show resolve for tackling hard cases.

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OUR LEADERS SET THE STAGE FOR DISRESPECTING THE WEST:

The West was taken flat-footed by the events in Egypt. Perfidious Western leaders had naively self hypnotized with the theory of “Islamophobia”. According to this grotesque, illogical, insulting, racist and viciously manipulative theory, it’s racist not to respect Wahhabist Islam.

Well, I don’t respect religious cannibalism, either, so let them call me racist twice. I will call them inferior twice.

Wahhabist Islam said that Sharia, the Islamist so-called “law” ought to apply.

Women ought to be kept inside, wear tents, not travel unaccompanied by an adult male from their family (a provision the Muslim Brotherhood wanted to legislate in Egypt).

Individuals once called “Muslim” and who are deemed behaving in a non-Muslim way are to be put to death (that’s why Syria is such a massacre), etc. Depending upon the place, the local Sharia forces various degrees of sexual mutilations (mandatory on males).

This sort of arbitrary terror has never been tolerated much in the West. But the West wanted to impose it on the Middle-East, in the name of Islamophilia.

As general George Washington said when he was president:“The USA has nothing to do with Christianity”. It should have nothing to do with Islam, either. Washington would have certainly supported the Egyptian generals, as far as cracking down on Islamists.

Now the Egyptian generals, supported by Israel, the UAE, and Saudi Arabia’s wise king Abdullah, have constituted the “Axis of Reason” as a high level Israeli official with an excellent sense of macabre humor, put it.

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DISRESPECT FOR REPUBLIC IS CONTAGIOUS:

How can the erratic Western leaders beg for forgiveness?

Give an ultimatum to the mass murderous plutocrat Assad. The West has nothing to do with Christianity, or Islam, but the West has everything to do with Human Rights. The West was founded when the secular Salic Law of the Franks put an end to Christianism’s violation of Human Rights, and when it outlawed slavery.

Indeed, the way Western leadership by plutocracy was set-up, it helped the mass murdering Assad.

The Egyptian generals treated the Western leaders as they deserved, as vulgar allies of Al Qaeda.

Visualize this: Assad laughing, while Western leaders parroted Al Qaeda’s Zawahiri. Everybody got distracted by the revelation of the sordid instrumentalization of Islam of the Western leadership. Assad obviously thought it was a perfect time to use the neurotoxic gas Sarin massively in the suburbs of Damascus. 355 were killed by neurotoxins according to Doctors Without Borders (MSF). 3655 showed symptoms. This, in only three hospitals MSF collaborates with.

Meanwhile, Erdogan, the Islamist Sultan of Egypt, had dozens of top academics, including ex-university heads, condemned to prison, under charges of high treason. Yes, he can! Change the Sultan can believe in! Erdogan has also been riding the Western leadership’s affected love of Salafism.

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WE DON’T WANT TO DUPLICATE THE 1930’s:

It’s one of these times, as in the 1930s, when democracies get no respect, Human Rights get trampled underfoot. The danger is that that disrespect gets completely out of control.

It’s like the “Rim Fire” west of Yosemite: to make economies, no VLA (Very Large Aircraft) were sent in the first three days. When the jumbo jets were finally sent, dumping swimming pools on the fire, they were very efficient. But, by then, the fire was already gigantic.

The obvious analogy is with what happened in the 1930s. Then only the French Republic was deadly opposed to the Hitlerian dictatorship. The most senior German generals wanted to make a coup against the Nazis, but, with the United kingdom and the USA apparently to Hitler’s side, they were nervous to make a coup, as if they were France’s allies.

I am not making these things up. The Anglo-German Naval Agreement of June 18, 1935, was viewed by the Germans as an anti-French Anglo-Nazi alliance. And the support of American plutocrats for Hitler was decisive, not just in creating Nazism, but in making its early military victories possible.

The story of the 1930s was the complicity of much of the Anglo-Saxon plutocracy, and a Non-Violence-Is-The-Only-Way approach to evil, with the ultimate rule of Pluto.

We want to avoid the same mistakes. Chop it down as soon as it shows its ugly muzzle.

How to re-establish respect for Human Rights and the Republic? Respect was re-established the hard way in the 1940s, and the work was only partial (as Hitler’s accomplice, Stalin, was given half of Europe).

France, Britain and the USA should simply give an ultimatum to Assad, and get ready to attack. For real. Enough talk.

Some will lift an eyebrow and wonder how the republic could find itself allied to Saudi Arabia, Qatar, and Erdogan? don’t I usually rage against them? Well, yes and no. The 89 year old king of Saudi Arabia is an excellent man, not corrupt at all (an anomaly among Saudi princes).

Well, that’s basic Machiavellism. We want to co-opt Qatar, Saudi Arabia and Turkey. The best way to co-opt is to instill respect. The best way to instill respect is to make an inspiring show of unstoppable force. Roman style.

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DO AS THE ROMANS DID: PROPAGATE THE REPUBLIC:

The Roman Republic, as it grew, and was then very democratic, did not hesitate to make unsavory allies, with the idea of changing their minds towards the Republic. Most ended siding up with the Republic, in depth.

The annihilation of the capital of Bosnia, Sarajevo went on, until French guns applied radar guided counter artillery fire, knocking off Serbian artillery. Although the French military loved the Serbs since WWI, they had enough. At some point, “qui aime bien, chatie bien.”(“who loves well, chastens well”.)

The Kosovo bombing campaign was decided unilaterally by NATO, over Moscow’s vociferous objections. It was thorough, ferocious. At some point USA’s B52s surprised gathering Serbian troops in the open, killing thousands in seconds. The air war worked splendidly.

Now a chastened Serbia is thinking of better things, like being a republic, and applying to European Union membership. Kosovo is also learning the same.

The French republic, ever since attacking unilaterally Adolf Hitler’s garden of the beasts in September 1939, knows very well that, confronted with unspeakable evil, attack is the only way. And the earlier, the better.

So give an ultimatum to Assad. First, to allow international inspector to go anywhere in Syria and inspect immediately all and any apparent chemical attack (Assad pretended the “terrorists” brought the chemicals). If he refuses, or it’s confirmed he used neurotoxins, he should be ordered to leave power, and to surrender to the International Court of Justice.

And if Assad accepts continual, open monitoring? Well, then he would have submitted to the rule of the Republic. A lesson for all.

A lesson, not just for the generals in Burma, but also for the plutocrats all over: force can be, and ought to have been used already, against them too. It turns out the financial plutocrats (Summers, Geithner, etc.)  were engaged in more than a conspiracy, but a worldwide plot to take over the world (thanks to Jennet for informing me of this!) Maybe banksters don’t use gas, directly, just like Mafia bosses don’t go around directly shooting people. They use soldiers to do that.

And, indeed, the Assad family was part of the global plutocratic network. The mood of violence against the Public is global, and self encouraging. Regretfully, only the usage of force by the Republic will subdue it, and break the cycle.

The Romans used to say: “Si Vis Pacem, Para Bellum.” (If you want peace, prepare for war.) Yes. However, in the most dreadful cases, war is the only way to peace.

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Patrice Ayme

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Note: Let me repeat, the aim is behavior modification. Technically, a little bombing raid on Assad’s palace may do wonders. French Rafales with American cruise missiles could do it, Lybian style. Guernica in reverse: public saved, fascists bombed.

Some military men will say it’s too late to intervene in Syria. But it’s not a question of invading Syria, but just punish Assad (be it only by degrading his military capability; for example by imposing an embargo with no fly-no ship zone).

I am all for cracking down on the Salafists Assad opposes, but he is greatly the one who created them (in the style of Western support for the Muslim Brotherhood/Al Qaeda). He actually release thousands of Islamists, a bit like hunters release phaesants. What is intolerable is that he would keep on using Weapons of Mass Destruction, although he had warned not to do so.