The Dollar will continue to rise as the world implodes!


Why Pegs to the US$ Will Break

US$-HK Peg

Speculation is, at last, starting to rise that the HK$/US$ peg could break. The all-powerful governments are suddenly being seen as no so powerful. The massive dollar rally that our model has been forecasting is rather straight-forward. The higher the US$ rises, the more deflation will be exported to economies that are out of sync with the USA.

The dollar haters only talk about the $18 to $19 trillion debt and that is the sole reason, they assume, why commodities must rise and the dollar has to crumble. What they fail to see that it just so happens to be the WORLD. The sea of debt out there has exceeded $200 trillion. When you look at the U.S. government, I hate to say it, but it is a drop in the bucket.

Then we have China in a contractionary decline, Europe being torn apart thanks to the refugee crisis that will only get far worse, and emerging markets who assumed China would buy every commodity in sight forever. There is little hope of anything rising right now to offer any sort of an alternative to the US$ federal debt. Believe it or not, there is a SHORTAGE of federal debt when the entire world has only one place to park BIG MONEY.

Consequently, we will see virtually EVERY currency pegged to the dollar break from Hong Kong to the Middle East. Welcome to BIG BANG.

Soon the entire EU will be in Economic Emergency!


France in State of Economic Emergency

hollande-shocked

President Francois Hollande has publicly stated that the French economy is now in a state of “economic emergency”. He set out a €2bn job creation scheme in a desperate attempt to lift France out economic death spiral created by his socialistic policies that have raised taxes and chased out those who create wealth and jobs.

Hollande’s scheme he proposes will be a two-year plan where firms with less than 250 staff will get subsidies if they take on a young or unemployed persons for six months or more. In addition, Hollande says he will create 500,000 vocational training courses but that is pointless without firms hiring.

France’s unemployment rate is officially 10.6%, compared to a European Union average of 9.8% and 4.2% in Germany. However, this numbers are modest and do not properly reflect the students who cannot get a job to even start. He also says that this program will be paid “without any new taxes of any kind.” I suppose he is finally realizing that rising taxes shrinks the private sector and than means less jobs are available.

Oil could go down to $25.00 per barrel or lower!


Crude – What Lies Beneath $30 & Where Will Resistance Stand Here After

Crude-W 1-18-2016

 

Right now, the fear has been that Iran will start dumping oil now that the sanctions have been lifted. Thus, crude has been falling out of bed in a nightmare scenario. The fact that Crude was below $35 and then rallied to close above it for the 2015 year-end closing was a warning that the long-term may not be as bearish as it appears at first glance. Crude still elected a year-end sell signal at $41. So that meant lower lows. But our other two numbers were $35 and $25. Breaking $30 certainly focuses our attention on the $25 level as support on a system basis. Technically, the $25 area is also showing up as support during January.

Crude-FOR-M 1-1-2016

Cyclically, this collapse in price has been on target since our timing projections have been January, March, and June here in early 2016. We have warned that 2016 was the target for at least the intraday low.

Crude-Y 1-18-2016

Crude-FOR-Y 1-1-2016

When we start to look at what the computer is projecting in time, indeed 2016 is a Directional Change. It appears choppy until about 2018. From there out into 2022 to 2023/2024, which will be the next top in the Economic Confidence Model, we see a sharp rise in volatility. This is lining up with two primary factors – WAR and a MONETARY CRISIS.

So for now, we should focus on the $24-$25 area as the next psychological support zone. Our two key areas of target support for 2016 are $25 and $16. Looking forward, we employed our WHAT IF models to try to forecast where the Yearly Bullish Reversal (buy signal) will be generated from a low at either position in 2016. Interesting enough, in both scenarios, we end up with $40-$41.50. This will clearly become the major resistance moving forward. It does not appear that crude will ever make new intraday highs. It must fight again

All Governments fail as soon as they promise the citizens a Utopia!


Leverage v the Black Hole in Economics

Leverage-Economy

QUESTION:

Dear Marty,

Please correct and expand my understanding of a Sovereign Debt Crisis as it pertains to leveraged accounts.  If global economies are leveraged because of too much debt with no plans to pay, then what are the pros and cons to leveraged short investments when economies are deleveraging?  Might they be dangerous at times?

Thanks in advance for your incredible knowledge and willingness to educate others wanting to learn and understand.

Sincerely,

BB

ANSWER: Leverage seems to be the buzz word everyone relies upon to predict the end of times. All we hear about is the leverage in derivatives and the issue that will collapse society. Quite frankly, that is a lot of hype. They are quoting the total gross without looking at the net because so much of this is offset.

Babtlon-Futures-Contracr

Because of these scenarios, the predictions people tout is always inflation. They keep the German hyperinflation in mind even if they do not explain their base reasoning. Within this idea is the fact there is a basic assumption government is GOOD and will attempt to honor its debts like bailouts when in fact they will NOT; i.e. bail-ins. Nevertheless, like a horse race, the doomsayers are betting on the wrong horse. LEVERAGE has existed since ancient times. Here is a Babylonian tablet recording the earliest futures market. Sorry, but LEVERAGE has been around a very long time. It is inevitable government will collapse for NEVER has a single one ever survived.

Denarius-Annual Production-R MoneySuppy-157-50BC

Roman-DieCareful correlations of historical data we have gathered which even include the money supply determined by the number of known dies for coins and the average 25,000 coins which can be struck before a die breaks. When I say we put together the largest collection of coinage providing a complete run back to 600BC to recreate the monetary system of the world, it is no exaggeration.

GORD-DIEWe even have Roman dies that were used to strike coins shown above and to the right. You cannot ascertain what the future will bring without a road-map of the past. Forecasting the future demands a database – not merely theories. By assembling the hardcore evidence of history tracing the footsteps of humankind throughout the centuries, only then can you speak with any pretense of authority that is not qualified with “I think”.

TAX-CYC

 

The battle has always been not with LEVERAGE, but with Government. The larger government grows, the more wealth they consume. Government produces nothing, but they ultimately consume everything. This is why they ALWAYS collapse. We are in a DEFLATIONARY spiral because they continue to suck in more and more money. LEVERAGE only adds to volatility. Government is like a BLACK HOLE, sucking in everything including the light of the future. Nothing can escape until its collapses.

Obama Organized Crime

This is the present HUNT FOR MONEY because they are going broke. It is not the quantity of money that counts; it is what crumbs are left on the table at the end of the day. Government is indistinguishable from any criminal organization engaged in the “protection business”. You pay up to be protected or they themselves rob you.

“The Gods of the Copybook Headings” is a 1911 poem by Rudyard Kipling that explaings it all.


Why the Theory of Money Does Not Work

Taxes

QUESTION:  We see that the United States can borrow all it needs at minimal cost and we also see that we’re getting a big boost from falling energy/commodity prices, to levels we have not seen in some 15 years my “economic model” — which is not a computer model but is certainly scientific in nature — tells me that we will be humming along pretty nicely for quite a long while, minimum 5 years maybe much longer, given these two variables do you see anything on the horizon that will knock us off this “steady state” and quite favorable situation?

TP

Tax-Curve

ANSWER: You concept of the economy is very limited and is too influenced by the concept of the quantity of money/Austrian School. This is one-dimensional. Taxes play a huge role and provides the source of DEFLATION. If I give you $100 and then tax you $90, just how much did I really give you? The middle class is shrinking and they claim the 1% are making too much. Is that really the problem? No. The problem is the 40% (government) is broke and consuming a steady increase in the proportion of everyone’s income. Government produces nothing. It lives off of what everyone else produces. The more it grows, the lower the real economic growth.

TAX-CYC

You are only looking at the total aggregate. You assume simply increasing the quantity of money will produce inflation. That theory has been proven wrong constantly throughout the course of history. You must look at the growth of government and the larger it grows the lower the economic growth. Look at the City of Detroit. When more than 50% of its taxes went to pensions, it could no longer function to maintain the cost of government to operate currently and collapsed as those who could be taxes migrated from the city.

Mainz

 

This same exact result manifested from the very beginning of the rebirth of government and taxes during the 15th century. Mainz was where the printing press was invented. The city went through a huge economic boom and the politicians borrowed against a future they assumed would never end. The more they raised taxes to pay for expenses, the more people left. They  began issuing new debt to simply pay off the old debt as we do today. When they could not sell new debt, they defaulted. They were then invaded and the city was sacked and burned to the grown.

Philip-IV-FranceThis outcome applies to all levels of government. Your “model” assumes that merely increasing the quantity of money defeats this reality. It does not and has NEVER prevented the collapse of Empires, Nations, or City States. Undermine the CONFIDENCE of the people and you destroy your own economy. This is what we are in today. The hunt for money has begun and with it our freedom is vanishing before our eyes. The end is caused by the mismanagement and greed of government – not the 1%. They too ultimately become the target of government just as Philip IV of France imprisoned all the Italian bankers, then seized the Papacy and move it to Avignon, and then installed a French Pope to seize the Knights Templar and confiscate all their wealth. It is always the same story and plot – just the names change with time.

Gibbon-5

Edward Gibbon in his Decline and Fall of the Roman Empire, wrote: “Suspicious princes often promote the last of mankind, from a vain persuasion, that those who have no dependence, except on their favor, will have no attachment, except to the person of their benefactor.

Edward Gibbon wrote of Commodus (177-192AD): Each

distinction of every kind soon became criminal. The possession of wealth stimulated the diligence of the informers; rigid virtue implied a tacit censure of the irregularities of Commodus; important services implied a dangerous superiority of merit; and the friendship of the father always insured the aversion of the son. Suspicion was equivalent to proof; trial to condemnation. The execution of a considerable senator was attended with the death of all who might lament or revenge his fate; and when Commodus had once tasted human blood, he became incapable of pity or remorse

(Book 1, Chapter 4).

PopulationOfRome

When government turns against its people, the economy begins to shrink. Commodus was the son of Marcus Aurelius who marks the peak in the Roman Empire. From that point on, Rome began its fall. Government began to hunt money and assets. The population of Rome itself peaks and people began to then migrate from the city to the suburbs. You must also look at this balance between Public and Private. Therein lies the real key to the rise and fall of civilization – not the quantity of money.

Big Banks (money) and Big Givernment (Power) go hand and hand and its not good for the Vulgarians (Common Man)!


Goldman Sachs fined $5 billion but is Still Above the Law

GoldmanSachs-Bldg-NJ

Goldman Sachs is finally paying a price (money) for the role it played in 2007 mortgage scandal, but of course nobody goes to jail proving Goldman still remains above the law. The Wall Street firm agreed to only a civil settlement of up to $5 billion with federal prosecutors and regulators arising from it marketing and selling of known faulty mortgage securities to investors they created. Goldman Sachs announced:

Under the terms of the agreement in principle, the firm will pay a $2.385 billion civil monetary penalty, make $875 million in cash payments and provide $1.8 billion in consumer relief. The consumer relief will be in the form of principal forgiveness for underwater homeowners and distressed borrowers; financing for construction, rehabilitation and preservation of affordable housing; and support for debt restructuring, foreclosure prevention and housing quality improvement programs, as well as land banks.

Revolving-Door

The number one question we always get is why are the regulators and prosecutors so damn corrupt? Besides the bankers being in a position to blackmail politicians that if they are not bailed out, nobody will sell their debt, then the real problem is they buy the prosecutors and regulators. How? They hire the government lawyers who are suppose to be regulating them. This even includes staff of politicians who actually write the legislation. This is known as the revolving door. It is different where Rubin and Paulson were CEOs of Goldman Sachs who then became Secretary of the Treasury and left after they did what they had to do for the banks. This corruption ensures that there will never be any real criminal prosecution of the bankers. They are indeed always ABOVE the law. Why not? They pay for that privilege and Congress will never outlaw the revolving door because they too want to be rewarded for their dishonesty since they know this is the game and they pretend it is an outrage but silently condone it for decades. This is why we can no longer afford career politicians. No matter what country, we need to get rid of career politicians to save our own future.

The movie the Big Short (I highly recommend seeing twice) has a scene where a girl from the SEC is seeking a job from Goldman Sachs when she is supposed to be the regulator. Then the rating agencies SELL ratings. For any other field it is criminal activity and called bribery. They too did not go to jail. It has become standard operational procedure for those especially in New York City.

 

Geist-AndrewIn our case, the SEC lawyer who started the prosecution, picks the law firm for the receiver O’Melveny & Myers, and then quits the SEC and becomes a partner in the very firm he selected. There is case law on this that says this is illegal. Whenever I raised the point even to the Second Circuit Court of Appeals, they just ignore it. Law is ONLY for those of us who never worked in government. Everyone else, we are the food the legal system feeds on to pretend they are protecting society when they prey upon it.

Alan Cohen GS

The receiver Alan Cohen seizes all the tapes and evidence we had on criminal activity among the NY banks documenting every manipulation of markets, and then protected them. I believe he was rewarded and given a board membership at Goldman Sachs, yet NEVER resigns from the court. So he worked for the court running Princeton Economics from the boardroom of Goldman Sachs. Another amazing conflict of interest the judges would never address.

Perhaps we should change our name to Goldman Sachs, Jr. and that way any fines you pay are also tax-deductible when nobody else gets that privilege and everyone is exempt from prosecution. Interesting when government prosecutors come with their own price tag.

GetOutOfJail

Even after pleading criminally guilty last time, the NY bankers were given not just a Get-Out-Of-Jail-Free card, the SEC, who should have taken their licenses, exempted them. So when they talk about preventing felons from various things, of course the bankers are felons, but are always exempt.

What Amstrong tells us in this post is very very real and i agree 100% with what is posted here, from my own research and background.


Let The Bail-Ins Begin

Novo Bank Portugal

Portugal is starting to bail-in banks. The fascinating aspect that nobody seems to see is that this is a total failure of socialism. The U.S. Federal Reserve was formed in 1913, with the shareholders being the banks, to provide the cash needed to prevent bank failures. To stimulate the economy when the banks could not or would not lend, the Fed was supposed to buy CORPORATE notes. Then World War I came and the politicians ordered the Fed to buy government bonds. Of course, they never returned the Fed to its original purpose.

FDR-Signs-GlassSteagall

The Bankf of the United States

FDR usurped the Fed, placed it in Washington, and instituted a single national interest rate; each of the branches maintained a different interest rate to attract capital when there were shortages in one district. So it was common to see rates differ around the country based upon the local economic conditions. FDR also created the FDIC because the Fed failed to function during the Great Depression. The creation of the FDIC was sparked by bankers who were willing to let a New York bank fail in 1930 that happened to be named THE BANK OF THE UNITED STATES. Bank runs began nationwide as people assumed that this Bank of the United States was the government or Federal Reserve. The Bank of the United States was a Jewish banks and the other bankers wanted it to fail to get its business. When it was settled, the Bank of the United States eventually paid out 92 cents on the dollar.

UB1798-Y-MA

Note: The blue tags show the start of when that issue was used in the index and do not reflect the date relative to the chart. Upon that issue date, the bond expired.

Then, for World War II, FDR ordered the Fed to support the U.S. bond market at PAR. Therefore, bonds rose during the war because of this support ordered by FDR. However, that was terminated in 1951 when we begin to see the long process of government bonds collapsing into 1981 when Volcker raised interest rates to insane levels.

With each economic crisis, the government has failed to comprehend the cause and attributed effects to esoteric events that are domestic. Even Larry Summers admitted he was not competent to forecast and that economists have never been able to forecast a single economic decline since World War II. Consequently, the response has been an ever-increasing progression of attempts to control the economy by resorting to ever more Draconian measures.

Crisis-Democracy

We have now gone beyond TOO BIG TO FAIL to TOO BIG TO BAILOUT.  Thus, all the promises from socialism are collapsing from Social Security, to pensions and insuring banks. This is what I have stated for the past 30+ years. We are headed into BIG BANG (which began 2015.75), which is more than just a sovereign debt crisis; it is the total collapse of socialism and a crisis in democracy. We have watched our forecasts made back in 1985 unfold on time and in perfect harmony with history.

Troika-Unelected

In Europe, not a single head of the Troika has EVER stood for election! The people dictating the lives and direction of Europe by forcing the euro down the throats of everyone NEVER present themselves for election. The European population has absolutely no chance to say these people are wrong or decide to vote them out. There is no democratic process and that is what, historically, leaves only one option — REVOLUTION.

euro-digital-electric

As Bloomberg has reported, the bail-in has begun in Portugal. These people will simply confiscate our money and now they are trying to move to electronic money to prevent bank runs and hiding cash. The move to electronic money will appear in Europe first.

Bubble-Gum Machine

This is BIG BANG — the total collapse of SOCIALISM as the result of politicians who are incapable of, not just forecasting the economy, but managing it. If I managed your money and lost it each month, then returned always asking for more, just how many months would you continue to give me more money until you said enough is enough? The mere fact that politicians raise taxes PROVES they are incapable of managing even a bubble gum machine. They squander the money, and when the machine is empty they simply rob us blind to fill it up again.

This hunt for money will not end here they will leave no stone unturned —- including yours!


The Hunt for Money: Tracking Real Estate Off the Grid

Porsche Building

It has been only a matter of time. The U.S. Treasury will begin tracking high-end real estate to see where the money comes from because many properties are selling for CASH without mortgages. The news release on January 13, 2016, states:

The Financial Crimes Enforcement Network (FinCEN) today issued Geographic Targeting Orders (GTO) that will temporarily require certain U.S. title insurance companies to identify the natural persons behind companies used to pay “all cash” for high-end residential real estate in the Borough of Manhattan in New York City, New York, and MiamiDade County, Florida.

Porsche Building-2

The hunt for money is now turning to real estate in order to track those trying to get off the grid, in such places like the Porsche Building in Miami, Florida. The property has an oceanfront view and you ascend in a glass elevator to your private residence while sitting in your car. The building was the vision of the Porsche Design Group and South Florida developers. Condos start at $17 million.

Gold just a commodity like everything else but oh does it have physiological meaning!


Gold – No Time Left for Conspiracy Theories

COMMODITIES-GOLD-METALS-PRICE-SRILANKA

To some, this is a religious battle. To others, it is just a time to rip off a lot of people by selling fantasies and sophistry. I have stated this many times, so here it goes again: Gold rises when people lose confidence in government. It has nothing to do with inflation. So, you start to worry about government survival or who’s going to win a war when gold rises — not before.

Short term, we still have the risk of gold going under $1,000 per ounce. It’s going to flip when everything is right — not before. It will probably max out at $5,000 per ounce or perhaps $6,000 at best. That we will not know until we have the low and the projection angle from that low. We’re dealing with a very profound event, religion aside. Such events of political-economic trend resets come around every 309.6 years. The last one was the global revolution against monarchy which began in the United States.

If you just step back and look OBJECTIVELY at what is unfolding from electronic currency to G20 demanding info on everyone and every penny that changes hands, then you can see where the future is headed. We do not have a democracy; that is total nonsense. The president appoints the heads of all departments. Nobody stands for election right down to the head of the Federal Reserve.

In Europe, you have the three-headed dragon they call the Troika — the European Commission (EC), the European Central Bank (ECB), and the International Monetary Fund (IMF). None of those three members heads have EVER stood for election. They too are undemocratic appointments. So the European population cannot even vote for their future.

George-1778-Tory-Confiscation-Note-r

Gold will respond ONLY when the majority sees the crisis unfolding. Just because you may understand it and see the logical outcome does not mean that the bulk of the population will. During the American Revolution, they actually issued currency backed by assets confiscated from “Tories” or those who supported the king against the people.

There is no time for nonsense conspiracy theories or other sophistry. This is about a major shift in political economic trend, which is far more important than the job to sell gold by people pretending to be analysts with nothing new to add to the issue other than inflation, fiat, and the theory that all paper currency is evil.

This 86 year cycle that Martin talks about is very real and well documented.


The Coming European Revoluition

European Revolutionary Cycle

SovDebtCrisis-Wave-86D

I have warned that 2017 will be the political year from hell. What I am illustrating here is the link between a sovereign debt crisis and the Revolutionary Cycle. In 1933, Roosevelt came to power in the USA and turned the country toward socialism. That same year, 1933, brought Hitler and Mao to power. So 1934 was the revolutionary year. Such revolutions do not always bring blood in the streets. The next one is due in 2020 and we should see the system we currently live under go completely upside-down.

The revolutions of 1848 were essentially a democratic movement and an uprising against the political elite. In 1848, Karl Marx published “The Communist Manifesto” with Friedrich Engels, and was exiled to London as a result. In London, where he lived the remainder of his life, he wrote the first volume of Das Kapital”. This undoubtedly influenced the revolutions that opened the door to communism/socialism. This also inspired the collapse of the old feudal structures and created independent national states. The revolutionary wave began in France in February 1848 when the French monarchy was overthrown. Communism actually began in France as a “commune” where people lived in one shared community with no individual property rights. It was the French who convinced Marx that communism would work better than just socialism, which he had advocated initially.

This 1848 revolution spread as a contagion, similar to what the American Revolution had done during the previous century. The contagion of 1848 spread to most of Europe and parts of Latin America. In total, it impacted over 50 countries. This was by no means a coordination or cooperation between various revolutionary trends around Europe.

Generally, a contagion is attributed to six factors: (1) widespread dissatisfaction with political leadership, as we have today; (2) demands for more participation in government and democracy, as republics have once again robbed us of our right to vote; (3) demands for freedom of press, which is manifesting today in the internet; (4) the demands of the working class, whom today have been oppressed by huge tax rates combined with income taxes and VAT at 20%+; (5) the upsurge of nationalism, which we are again watching unfold thanks to terrorism; and finally, (6) the regrouping of the reactionary forces based on the royalty, aristocracy, army, church and peasants, which is again unfolding as class warfare.

The American Revolution really began in 1762 or 86 years before 1848. Indeed, the very same issue that sparked the American Revolution was the government’s practice of arbitrarily seizing assets and searching letters to see if anyone spoke anything derogatory against the government. The NSA today does exactly what the king’s men had done. In 2014 and 2015, the assets confiscated by police exceeded all the property stolen by criminals. The police have replaced the criminals in so many ways. They get to seize property and are rarely ever held accountable for killing citizens rashly. They always use deadly force rather than resolving issues without killing someone in the process.

These very same practices came to a head in the famous trial involving writs of assistance to the revenue officers, empowering them, at their SOLE discretion, to search suspected places at will. This eventually became the reason for the American Revolution and is what became known as the Fourth Amendment in the USA, which judges have swept away under the rug and no longer exists.

The legal case which became the seminal beginning was Entick v. Carrington and Three Other King’s Messengers, reported at length in 19 Howell’s State Trials 1029. The action, dated November 1762, was for trespassing and interfering with the plaintiff’s dwelling by breaking open his desks and boxes and searching and examining his papers.

The defense lawyer, James Otis, in Boston pronounced that the writs of assistance of the king were “the worst instrument of arbitrary power, the most destructive of English liberty, and the fundamental principles of law that ever was found in an English law book.” These writs of assistance allowed government employees to do whatever they wanted, as they continue to do today. It is our burden to prove we have rights – not theirs to restrain themselves. This has placed “the liberty of every man in the hands of every petty officer.”

Future president, John Adams, was there listening to Otis arguing in court. Otis, of course, lost with the judge only ruling for the king. “Then and there,” said John Adams, “then and there was the first scene of the first act of opposition to the arbitrary claims of Great Britain. Then and there, the child Independence was born.”

This is what cycles are about. Fourteen years after 1762 marked the American Revolution in 1776 with the Declaration of Independence. After nearly one Pi Cycle (31.4 years from Otis’ speech) George Washington was sworn into presidency and the United States was born. It is always just a question of time.

The mere fact that we can observe regular cycles over long periods of time demonstrates one thing: we should never confuse the idea of FREE WILL of the individual with the collective action of society. You will never find 100% of the people in agreement. Thus, you are NOT compelled like a robot to agree with the majority. That is your individual FREE WILL. You would not be reading this if you were among the mindless majority. Society, however, moves within a continuum with a sense of perpetual continuous motion. I have stated this before, but it needs to be repeated. Focusing upon the personality of Hitler or Napoleon misses the entire point. It is

Society moves within a continuum with a sense of perpetual continuous motion. I have stated this before, but it needs to be repeated. Focusing upon the personality of Hitler or Napoleon misses the entire point. It is NEVER the individual who moves the majority; it is the majority that produces the individual. Hitler was imprisoned for what he considered to be “political crimes” following his failed Putsch in Munich in November 1923. While imprisoned, Hitler wrote Mein Kampf” (“My Struggle”). Dictating the book to Rudolf Hess, Hitler outlined his political ideology and future plans for Germany. Volume 1 was published in 1925 and Volume 2 in 1926. However, he came to power in 1933 or about 8.6 years after publication.

Society creates the leader, not the other way around. If we focus upon the economy, this turns the heat up for political change. Which individual takes the lead is not the important issue. Society will ALWAYS select someone. An individual cannot force their ideas upon society no matter how loud they scream. Therefore, societal history is indeed following physics like everything else. A body in motion will stay in motion until there is some resistance to slow it down. Government’s mismanagement grows larger and reduces economic growth to the point where we have tax rebellions that often result in revolution.

USA Net Cap 1960-1990 Annotated

History is, in fact, modeled by a deterministic, non-linear, dynamic system that displays chaotic behavior (Panic Cycles). Mapping the small changes within such a system that ripple through the entire mass is fascinating, for such changes are never seen by the actor as impacting a far more dynamic system. FATCA, for example, is directly reversing the global economic expansion by forcing Americans back into a domestic economic environment that is worsening the deflation external to the USA as the dollar is forced higher. The outflow of capital from the USA reconstructed the world economy, whereas now that single tax-hungry law set in motion the reverse consequence of destroying the world economy. Therefore, in a mathematical sense, the slightest deviation to the global economic system will eventually create a wildly divergent outcome. This act is inspired by the fact that government is incapable of managing itself, no less the economy that they do not even comprehend.

Roman-Christian-Persecution

Therefore, it is not that one man can make a difference. I tried that route and quickly saw that the best ideas were still ignored due to the self-interest of those in charge. Consequently, it is NEVER the individual, but society, that must reach the point where it seeks an answer and embraces a new idea. Rome collapsed during the 3rd century; this is when the Christian Persecution really surged. Some argued the gods were angry because there were too many Christians and this is why they did not respond to the prayers of the Romans. Eventually, more and more people took the opposite view that their prayers were not answered because they were false gods. Christianity took off and Constantine plundered the pagan temples, pronouncing Christianity as the new religion so he could confiscate that wealth and restart the empire by moving the capital to a brand new city — Constantinople (Istanbul today).

Rome collapsed during the 3rd century; this is when the Christian persecution really surged. Some argued the gods were angry because there were too many Christians and this is why they did not respond to the prayers of the Romans. Eventually, more and more people took the opposite view that their prayers were not answered because they were praying to false gods. Christianity took off and Constantine plundered the pagan temples, pronouncing Christianity as the new religion so he could confiscate that wealth and restart the empire by moving the capital to a brand new city — Constantinople (Istanbul today).

Therefore, history repeats because humanity never changes. What drives it is the majority swinging back and forth much like Republican vs. Democrat political victories. History is not made by the ideas of individuals; the individuals are produced as a response to the shift in the flow of history that behaves in a continuous manner by responding in the same manner to forces no matter what century we look at. Once we abandon the deep analysis of people like Hitler and step back from the individual to observe the collective community, suddenly history takes shape, which conforms, like everything else, to the laws of physics. So yes, we will see a European revolution. It is inevitable.