Centinel2012

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Apr 19 2019

Changing Laws Rather than Attacking the Corruption in Berlin


Armstrong Economics Blog/Corruption

Re-Posted Apr 19, 2019 by Martin Armstrong

COMMENT: Germany to Decide if It Can Nationalize Private Property. The difference between National Socialism (NS/NAZI) and International Socialism (INS) exactly are five letters and their definition according to that they do is pretty the same.
But don´t worry about international investors.

They got the real estate really cheap along with some gifts to the old parties and the will make a big deal if they are forced to sell. The next game will be a break down in prices and extreme lack of money, so the INS will sell again the huge real estate complexes the own and the game repeats. That´s the way corporatism works.

The real problems will have the middle class. they will pay for that and they will lose the real estate more or less directly to the newly imported elites when there will be a critical mass, maybe by a loss of worth or by direct occupation. Means the minority of those Nazi days will be the more and more decimated majority of the German population. What can be better for bad and incompetent EU-/German politics as people being alimented by the government and besides they are not understanding neither language nor what really happens?

OF

REPLY: East Germany did not treat the people fairly. Most other places allowed you to buy the property in which you lived. In East Germany, the politicians sold it thanks to corruption. But the problem that emerges is you now have to change the law to allow for the confiscation of property. That establishes a precedent which can be applied to any property. The legal way to do this is to attack the owner on the basis of corruption and fraud rather than changing the law to confiscate private property. This proposal is stating that the state will then own the property, and it still does not allow the people to purchase where they live.

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By Centinel2012 • Posted in World Economic Form • Tagged Amusement Tax, Armstrong Economics, Asset confiscation, Asset diversification, Asset recycling, Assets, assets bubbles, Baby Bust, Big Government, bubbles, Business cycle, Cashless society, centinel2012, central bank, Central Planning, Central Planning, Common Reporting Standard, Communism, Credit, CRS, Cryptocurrency, currency manipulation, Curse of Cash, David Pristash, Debt, debt bubbles, DEODAND, Disasters, Dodd-Frank, ECB, ECM, Economic Collapse, Economic Confidence Model, economics, Edelman Trust Barometer, Electronic Recovery and Access to Data Device, eliminate cash, Eminent Domain, end of liquidity, Euro, FATCA, FBAR filings, FED, financial ponzi schemes, Foreign Account Tax Compliance Act, Fraud, Free Market, front running, glazier’s fallacy, Gold, Gold confiscation, Gold Standard, Hedge, Helicopter money, Hoarding Cash, Homeless Tax, housing bubbles, Hunt for Taxes, Hyperinflation, Illinois credit now “Junk”, IMF, IMF Working Paper on Eliminating Cash, Inflation, Interest, Interest rate, Italy, Keynesian Economics, Legal entity identifier, LEI, Marxism, MMT, Modern Monetary Theory, Modern Money Theory, Monetary collapse, Monetary Crisis Cycle, Money laundering, money smuggling, negative interest, new world order, No more Stop-loss, Outlaw Cash, Panics, Passwords, Pension Crises, Pension Fund Insolvency, Pension funds, PINs, police asset forfeiture, policing for profit, Pre-Pay VAT, progressives, Progressivism, QE, Quantitative Easing, Reversals, SDR, Silver, Social welfare, socialism, Sovereign Debt Crisis, special drawing rights, Speculation, Speeding Cameras, spoofing, Student Loans, sustainability, Tax on employees, Tax on Water, Tax the internet, The Forecaster, the Great Depression, Too Big to Bailout, Too big to fail, Too big to Jail, Traffic Cameras, Turkey, Turning Points, Understanding cycles, Unemployed, Unexplained Wealth, Unexplained Wealth Orders, Universal income, usury laws, UWO, VAT, Velocity of Money, Wealth tax, Yellow Vest Movement
0
Apr 19 2019

Could Raising Taxes Save Government?


Armstrong Economics Blog/The Hunt for Taxes

Re-Posted Apr 19, 2019 by Martin Armstrong

QUESTION: Hello Martin,

[Analyst} recently …. raise[d] the alarm that the US is headed towards a very bad debt crisis. During an interesting part of the segment, he was asked if the rich should pay higher taxes, and he said “of course”, but he clarifies that what really matters is whether the tax dollars are deployed productively or not.
I was wondering if you agree with his assertion that the US needs to raise taxes on the wealthy. And also, whether you think it is possible for the US government to redistribute wealth productively to address the upcoming crisis.
SB
ANSWER: Absolutely not. The person you speak of, in my opinion, is completely unfamiliar with history. That proposition assumes the government can actually do anything correctly. There is absolutely no evidence of that whatsoever in the historical records going back thousands of years. I do not care how much they raise taxes. The pension crisis alone will wipe out government as we know it. For every person that retires, they must replace them and the cost of government doubles. A child with a pocket calculator can give you a better forecast. It is absolutely impossible for this to ever end nicely. The system is not sustainable.

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By Centinel2012 • Posted in Economic Subjects • Tagged Amusement Tax, Armstrong Economics, Asset confiscation, Asset diversification, Asset recycling, Assets, assets bubbles, Baby Bust, Big Government, bubbles, Business cycle, Cashless society, centinel2012, central bank, Central Planning, Central Planning, Common Reporting Standard, Communism, Credit, CRS, Cryptocurrency, currency manipulation, Curse of Cash, David Pristash, Debt, debt bubbles, DEODAND, Disasters, Dodd-Frank, ECB, ECM, Economic Collapse, Economic Confidence Model, economics, Edelman Trust Barometer, Electronic Recovery and Access to Data Device, eliminate cash, Eminent Domain, end of liquidity, Euro, FATCA, FBAR filings, FED, financial ponzi schemes, Foreign Account Tax Compliance Act, Fraud, Free Market, front running, glazier’s fallacy, Gold, Gold confiscation, Gold Standard, Hedge, Helicopter money, Hoarding Cash, Homeless Tax, housing bubbles, Hunt for Taxes, Hyperinflation, Illinois credit now “Junk”, IMF, IMF Working Paper on Eliminating Cash, Inflation, Interest, Interest rate, Italy, Keynesian Economics, Legal entity identifier, LEI, Marxism, MMT, Modern Monetary Theory, Modern Money Theory, Monetary collapse, Monetary Crisis Cycle, Money laundering, money smuggling, negative interest, new world order, No more Stop-loss, Outlaw Cash, Panics, Passwords, Pension Crises, Pension Fund Insolvency, Pension funds, PINs, police asset forfeiture, policing for profit, Pre-Pay VAT, progressives, Progressivism, QE, Quantitative Easing, Reversals, SDR, Silver, Social welfare, socialism, Sovereign Debt Crisis, special drawing rights, Speculation, Speeding Cameras, spoofing, Student Loans, sustainability, Tax on employees, Tax on Water, Tax the internet, The Forecaster, the Great Depression, Too Big to Bailout, Too big to fail, Too big to Jail, Traffic Cameras, Turkey, Turning Points, Understanding cycles, Unemployed, Unexplained Wealth, Unexplained Wealth Orders, Universal income, usury laws, UWO, VAT, Velocity of Money, Wealth tax, Yellow Vest Movement
0
Apr 17 2019

China & Buying Gold – Why?


Armstrong Economics Blog/Gold

Re-Posted Apr 17, 2019 by Martin Armstrong

QUESTION: Mr. Armstrong; I believe you said at the WEC in 2017 that central banks will diversify and increase their gold reserves going into the currency crisis coming in 2021. China has continued to increase its gold reserves. You would please update on that development.

Thank you

PK

ANSWER: Central banks are in a very difficult position. The ECB has really put the entire world at risk. Draghi is now realizing that negative interest rates have seriously harmed the European economy and led to a major growing liquidity crisis in European banking. The euro is regarded as a time bomb for it is neither a national currency nor a stable unit of account. The failure to have consolidated the debts from the outset has simply left the euro vulnerable to separatist movements and sheer chaos.

This is what has been behind the strength in the dollar. Central banks outside Europe have been caught in this dollar vortex. They have been selling dollars and buying gold in an effort to stem the advance of the dollar. China also has a debt problem with many provinces and companies who borrowed in dollars. Here in 2019, there is $1.2 trillion in Chinese dollar borrowings that must be rolled over. There is a rising concern that this year there could be a major threat of a dollar funding crunch. The total debt issued in US dollars outside the USA approached $12 trillion at the end of 2018. That is about 50% of the US national debt. The forex risk is huge, no less the interest rate risk on top of that. The more crises we see in Europe, the greater the pressure on the dollar to rise regardless of the Fed trying to stop capital inflows by delaying raising rates.

China has added to its gold reserves in a desperate attempt to try to keep the dollar down, which also has an inverse trade problem as the yuan declines. At the end of January, China’s gold holdings stood at 59.94m ounces, which was up from 59.56m a month earlier, according to figures released by the People’s Bank of China. Of course, the gold bugs think this is because China hates the dollar and sees the world returning to a gold standard. In reality, none of that is true. China is smart enough that they are trying to keep the yuan from crashing against the dollar, but by selling the dollar they also do not want to buy euros or Japanese yen. With the chaos of BREXIT, the neutral political place is gold. Over the past year, central banks emerged as big buyers of gold with purchases up almost 75% as the private institutional market ignores gold and retail trade has shrunk. The main buyers have been Russia, Turkey, and Kazakhstan who all shifted their reserves away from the US dollar for political reasons in 2018, amounting to $27bn worth of bullion.

I used to help the Arabs buy gold and lease it out to circumvent their religious laws against earning interest. Leasing gold was effectively the interest rate but it was trading commodities and thus did not violate their religion. With the Japanese, to reduce the trade crisis, I instructed them to buy gold in New York and export it to London to be resold. It did not matter what they bought in the USA; as long as it was exported it reduced the trade surplus. The same tactic is in play here with China, but they have been accumulating gold to reduce the trade surplus. It is a neutral trade within their reserves that avoids problem currencies.

China is now the world’s biggest consumer and producer of gold. China only begun to buy gold again, which is also supporting its mining industry as the US did during the 19th century with silver. Prior to December 2018, the last time China bought gold was back in 2016.  Nevertheless, as geopolitical tensions rise pointing toward world war, we should expect the former Soviet Union region to continue accumulating gold and avoiding the dollar. The Democrats seem to be increasing the tensions all to remove Trump from office.

Tensions between the US and China are nowhere near as bad as they are with Russia. China is strategically moving to develop their own consumer economy. They realize that what made the US dollar the reserve currency was not a force of arms, but the domestic consumer market. Japan and Germany rose from the ashes after World War II using the mercantilist model designed to build things to sell to Americans. China realized that is a dead-end and they have turned inward to develop their own consumer market to replace the United States.

In Italy, Deputy Prime Minister Matteo Salvini has raised the possibility of taking control of Italy’s sizeable gold reserves away from the country’s central bank. The Bank of Italy has the third-largest central bank holding of gold reserves in the world after the US and Germany, owning 2,452 tonnes at the end of 2018. This is also reflective of the tensions with the entire dictatorial approach of Brussels. Brussels tried to create a central government, but one that refuses to accept responsibility for member state’s debts. That conflict is why the euro will never be ready to compete on the world stage of currencies in a serious manner.

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By Centinel2012 • Posted in U. S. DC Uni-party • Tagged Amusement Tax, Armstrong Economics, Asset confiscation, Asset diversification, Asset recycling, Assets, assets bubbles, Baby Bust, Big Government, bubbles, Business cycle, Cashless society, centinel2012, central bank, Central Planning, Central Planning, Common Reporting Standard, Communism, Credit, CRS, Cryptocurrency, currency manipulation, Curse of Cash, David Pristash, Debt, debt bubbles, DEODAND, Disasters, Dodd-Frank, ECB, ECM, Economic Collapse, Economic Confidence Model, economics, Edelman Trust Barometer, Electronic Recovery and Access to Data Device, eliminate cash, Eminent Domain, end of liquidity, Euro, FATCA, FBAR filings, FED, financial ponzi schemes, Foreign Account Tax Compliance Act, Fraud, Free Market, front running, glazier’s fallacy, Gold, Gold confiscation, Gold Standard, Hedge, Helicopter money, Hoarding Cash, Homeless Tax, housing bubbles, Hunt for Taxes, Hyperinflation, Illinois credit now “Junk”, IMF, IMF Working Paper on Eliminating Cash, Inflation, Interest, Interest rate, Italy, Keynesian Economics, Legal entity identifier, LEI, Marxism, MMT, Modern Monetary Theory, Modern Money Theory, Monetary collapse, Monetary Crisis Cycle, Money laundering, money smuggling, negative interest, new world order, No more Stop-loss, Outlaw Cash, Panics, Passwords, Pension Crises, Pension Fund Insolvency, Pension funds, PINs, police asset forfeiture, policing for profit, Pre-Pay VAT, progressives, Progressivism, QE, Quantitative Easing, Reversals, SDR, Silver, Social welfare, socialism, Sovereign Debt Crisis, special drawing rights, Speculation, Speeding Cameras, spoofing, Student Loans, sustainability, Tax on employees, Tax on Water, Tax the internet, The Forecaster, the Great Depression, Too Big to Bailout, Too big to fail, Too big to Jail, Traffic Cameras, Turkey, Turning Points, Understanding cycles, Unemployed, Unexplained Wealth, Unexplained Wealth Orders, Universal income, usury laws, UWO, VAT, Velocity of Money, Wealth tax, Yellow Vest Movement
0
Apr 12 2019

Germany to Decide if It Can Nationalize Private Property


Armstrong Economics Blog/Germany

Re-Posted Apr 12, 2019 by Martin Armstrong

There has been a real crisis evolving in Berlin. When the Wall came crashing down, East Germany regarded that it owned all the property and thus sold vast tracts of apartments to major investors. Now 20 years later, the socialists are claiming this is not fair and the government should either buy the property back from these investors or confiscate it. There are many people on the left and in the Green Party who see nothing wrong with confiscating private property. Why should they pay for something they cannot afford to buy? Under their reasoning, there is some human right that should allow them to go into a car dealership and drive away with what they want because it is unfair that they cannot afford to buy it.

Berlin has been toying with the idea of holding a referendum on banning big landlords and expropriating their homes into social housing. This is part of a response to growing complaints in the German capital about the cost of living. The expropriated homes will be some 200,000 units that would then become government property, once again, and could be rented out for below market rates.

The danger of allowing private property to be seized without compensation is that it will be devastating for Germany and Europe as a whole. Real property is critical to confidence. If the state can even allow a referendum where the majority of people will be handed the property of the minority, this is really a return to the days of the Nazis. They could not borrow funds on the open market so they targeted the Jews and expropriated all their property. Of course, in those days they killed them. Today, they won’t kill the investors. They will just take all their wealth. It seems that allowing referendums to retroactively change the law is very dangerous. If anyone wants to know why the euro could collapse to new historical lows, put this one into your thinking cap and ask if you want to invest in something that can be arbitrarily confiscated.

 

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By Centinel2012 • Posted in World Economic Form • Tagged Amusement Tax, Armstrong Economics, Asset confiscation, Asset diversification, Asset recycling, Assets, assets bubbles, Baby Bust, Big Government, bubbles, Business cycle, Cashless society, centinel2012, central bank, Central Planning, Central Planning, Common Reporting Standard, Communism, Credit, CRS, Cryptocurrency, currency manipulation, Curse of Cash, David Pristash, Debt, debt bubbles, DEODAND, Disasters, Dodd-Frank, ECB, ECM, Economic Collapse, Economic Confidence Model, economics, Edelman Trust Barometer, Electronic Recovery and Access to Data Device, eliminate cash, Eminent Domain, end of liquidity, Euro, FATCA, FBAR filings, FED, financial ponzi schemes, Foreign Account Tax Compliance Act, Fraud, Free Market, front running, glazier’s fallacy, Gold, Gold confiscation, Gold Standard, Hedge, Helicopter money, Hoarding Cash, Homeless Tax, housing bubbles, Hunt for Taxes, Hyperinflation, Illinois credit now “Junk”, IMF, IMF Working Paper on Eliminating Cash, Inflation, Interest, Interest rate, Italy, Keynesian Economics, Legal entity identifier, LEI, Marxism, MMT, Modern Monetary Theory, Modern Money Theory, Monetary collapse, Monetary Crisis Cycle, Money laundering, money smuggling, negative interest, new world order, No more Stop-loss, Outlaw Cash, Panics, Passwords, Pension Crises, Pension Fund Insolvency, Pension funds, PINs, police asset forfeiture, policing for profit, Pre-Pay VAT, progressives, Progressivism, QE, Quantitative Easing, Reversals, SDR, Silver, Social welfare, socialism, Sovereign Debt Crisis, special drawing rights, Speculation, Speeding Cameras, spoofing, Student Loans, sustainability, Tax on employees, Tax on Water, Tax the internet, The Forecaster, the Great Depression, Too Big to Bailout, Too big to fail, Too big to Jail, Traffic Cameras, Turkey, Turning Points, Understanding cycles, Unemployed, Unexplained Wealth, Unexplained Wealth Orders, Universal income, usury laws, UWO, VAT, Velocity of Money, Wealth tax, Yellow Vest Movement
0
Apr 12 2019

The Treaty of Rome & 2020


Armstrong Economics Blog/European Union

Re-Posted Apr 12, 2019 by Martin Armstrong

QUESTION: I believe back at your 1985 WEC, if I remember correctly, besides the 2016 target for the first opportunity for a third party type president, you also gave the date 2021 for the potential breakup of the Treaty of Rome. Could you refresh my memory on that one?

See you in Rome

Thanks as always

WN

 

ANSWER: There were two dates for Europe. Economically, the first date was 2008. That was the end of a 51.6-year cycle from the signing of the Treaty of Rome. The second date is 2020.03, which is two Pi cycles of 31.4 years. Now 2020.03 lines up with the end of this particular Economic Confidence Wave that turns 2020.05.

This is why Rome is going to be an interesting WEC, to say the least. We are preparing an authoritative work entitled “The Fate of Europe.”

We are reaching an extremely important change in trend. You can see the pressure and all that is at stake for the EU itself has set up a site it pretends to be a Fact Checker. This is indicative of the rising tensions.

Then we have total insanity with BREXIT where Prime Minister Theresa May is really working for the EU against her own country. The postponement of BREXIT until October 21st is on the table. May hopes that it will come down to accepting whatever terms the EU demands. She hopes Britain will surrender all sovereignty to Brussels or accept a hard exit, which she thinks everyone would reject. She believes the choice will be a hard exit. She is pitching it as the end of the world or remain and overrule the people and democracy.

In all the years I have worked around the world with various governments and political figures, I have never seen the entire world in such total chaos.

Historically, there was always some bright spot where the sun still shined. Today, it just seems to be gray and overcast everywhere we look. We seem to be on track to fulfill our manifest destiny whichever direction that will be — toward liberty or totalitarianism. There seems to be little other option. It will take us all to push for liberty when the time comes.

Categories: European Union

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By Centinel2012 • Posted in World Economic Form • Tagged Amusement Tax, Armstrong Economics, Asset confiscation, Asset diversification, Asset recycling, Assets, assets bubbles, Baby Bust, Big Government, bubbles, Business cycle, Cashless society, centinel2012, central bank, Central Planning, Central Planning, Common Reporting Standard, Communism, Credit, CRS, Cryptocurrency, currency manipulation, Curse of Cash, David Pristash, Debt, debt bubbles, DEODAND, Disasters, Dodd-Frank, ECB, ECM, Economic Collapse, Economic Confidence Model, economics, Edelman Trust Barometer, Electronic Recovery and Access to Data Device, eliminate cash, Eminent Domain, end of liquidity, Euro, FATCA, FBAR filings, FED, financial ponzi schemes, Foreign Account Tax Compliance Act, Fraud, Free Market, front running, glazier’s fallacy, Gold, Gold confiscation, Gold Standard, Hedge, Helicopter money, Hoarding Cash, Homeless Tax, housing bubbles, Hunt for Taxes, Hyperinflation, Illinois credit now “Junk”, IMF, IMF Working Paper on Eliminating Cash, Inflation, Interest, Interest rate, Italy, Keynesian Economics, Legal entity identifier, LEI, Marxism, MMT, Modern Monetary Theory, Modern Money Theory, Monetary collapse, Monetary Crisis Cycle, Money laundering, money smuggling, negative interest, new world order, No more Stop-loss, Outlaw Cash, Panics, Passwords, Pension Crises, Pension Fund Insolvency, Pension funds, PINs, police asset forfeiture, policing for profit, Pre-Pay VAT, progressives, Progressivism, QE, Quantitative Easing, Reversals, SDR, Silver, Social welfare, socialism, Sovereign Debt Crisis, special drawing rights, Speculation, Speeding Cameras, spoofing, Student Loans, sustainability, Tax on employees, Tax on Water, Tax the internet, The Forecaster, the Great Depression, Too Big to Bailout, Too big to fail, Too big to Jail, Traffic Cameras, Turkey, Turning Points, Understanding cycles, Unemployed, Unexplained Wealth, Unexplained Wealth Orders, Universal income, usury laws, UWO, VAT, Velocity of Money, Wealth tax, Yellow Vest Movement
0
Apr 10 2019

Hard Landing


Armstrong Economics Blog/Economics

Re-Posted Apr 10, 2019 by Martin Armstrong

QUESTION: Dear Mr. Armstrong,
I have a question that might interest not just me but also other blog Readers:
In your blog Posts you write that you expect that we will have a hard landing going into 2020.
My question is: What does that mean for the Dow? Do you expect the dow to correct into 2020 more that 20%.
Thank you for your work and best Regards,
A

ANSWER: The hard landing is economic and will have its greatest impact outside the USA. While central banks have sold US Treasuries in an attempt to keep the dollar down, the private sector has been pouring assets into the USA and particularly the Dow. Our capital flows have tracked a significant shift in global capital flows into the USA especially from Europe. That should come as no surprise given the chaos in BREXIT as well as the May elections.

We still do not see a major correction in the Dow. We have been undergoing a shift from public to private assets on a global scale. Therefore, the hard landing will be more economically based and central banks will try to do something, as in lowering rates, but they have run out of bullets. The Fed has tried to back off on rates after buying into the problem of a hard landing outside the USA. The ECB has been on its hands and knees, pleading with the Fed not to raise rates when they will have to continue their QE programs or face sovereign debt defaults.

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By Centinel2012 • Posted in Economic Subjects • Tagged Amusement Tax, Armstrong Economics, Asset confiscation, Asset diversification, Asset recycling, Assets, assets bubbles, Baby Bust, Big Government, bubbles, Business cycle, Cashless society, centinel2012, central bank, Central Planning, Central Planning, Common Reporting Standard, Communism, Credit, CRS, Cryptocurrency, currency manipulation, Curse of Cash, David Pristash, Debt, debt bubbles, DEODAND, Disasters, Dodd-Frank, ECB, ECM, Economic Collapse, Economic Confidence Model, economics, Edelman Trust Barometer, Electronic Recovery and Access to Data Device, eliminate cash, Eminent Domain, end of liquidity, Euro, FATCA, FBAR filings, FED, financial ponzi schemes, Foreign Account Tax Compliance Act, Fraud, Free Market, front running, glazier’s fallacy, Gold, Gold confiscation, Gold Standard, Hedge, Helicopter money, Hoarding Cash, Homeless Tax, housing bubbles, Hunt for Taxes, Hyperinflation, Illinois credit now “Junk”, IMF, IMF Working Paper on Eliminating Cash, Inflation, Interest, Interest rate, Italy, Keynesian Economics, Legal entity identifier, LEI, Marxism, MMT, Modern Monetary Theory, Modern Money Theory, Monetary collapse, Monetary Crisis Cycle, Money laundering, money smuggling, negative interest, new world order, No more Stop-loss, Outlaw Cash, Panics, Passwords, Pension Crises, Pension Fund Insolvency, Pension funds, PINs, police asset forfeiture, policing for profit, Pre-Pay VAT, progressives, Progressivism, QE, Quantitative Easing, Reversals, SDR, Silver, Social welfare, socialism, Sovereign Debt Crisis, special drawing rights, Speculation, Speeding Cameras, spoofing, Student Loans, sustainability, Tax on employees, Tax on Water, Tax the internet, The Forecaster, the Great Depression, Too Big to Bailout, Too big to fail, Too big to Jail, Traffic Cameras, Turkey, Turning Points, Understanding cycles, Unemployed, Unexplained Wealth, Unexplained Wealth Orders, Universal income, usury laws, UWO, VAT, Velocity of Money, Wealth tax, Yellow Vest Movement
0
Apr 8 2019

Austria Moves to Tax Online Companies


Armstrong Economics Blog/The Hunt for Taxes

Re-Posted Apr 8, 2019 by Martin Armstrong

The EU has been unable to agree on taxing the internet. As a result, Austria went ahead and passed its own digital tax this week on revenues earned by online companies in their country. The entire problem with this type of taxation is the burden of accounting. This means that the online world will be forced to file taxes in every country with a matrix of tax rates and specifications. Small business will be the ones impacted the most and they will more likely just ban their products for sale in various countries.

Governments are going broke. They will never stop to look at the ramifications their actions have caused within the global economy.

Categories: The Hunt for Taxe

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By Centinel2012 • Posted in Economic Subjects • Tagged Amusement Tax, Armstrong Economics, Asset confiscation, Asset diversification, Asset recycling, Assets, assets bubbles, Baby Bust, Big Government, bubbles, Business cycle, Cashless society, centinel2012, central bank, Central Planning, Central Planning, Common Reporting Standard, Communism, Credit, CRS, Cryptocurrency, currency manipulation, Curse of Cash, David Pristash, Debt, debt bubbles, DEODAND, Disasters, Dodd-Frank, ECB, ECM, Economic Collapse, Economic Confidence Model, economics, Edelman Trust Barometer, Electronic Recovery and Access to Data Device, eliminate cash, Eminent Domain, end of liquidity, Euro, FATCA, FBAR filings, FED, financial ponzi schemes, Foreign Account Tax Compliance Act, Fraud, Free Market, front running, glazier’s fallacy, Gold, Gold confiscation, Gold Standard, Hedge, Helicopter money, Hoarding Cash, Homeless Tax, housing bubbles, Hunt for Taxes, Hyperinflation, Illinois credit now “Junk”, IMF, IMF Working Paper on Eliminating Cash, Inflation, Interest, Interest rate, Italy, Keynesian Economics, Legal entity identifier, LEI, Marxism, MMT, Modern Monetary Theory, Modern Money Theory, Monetary collapse, Monetary Crisis Cycle, Money laundering, money smuggling, negative interest, new world order, No more Stop-loss, Outlaw Cash, Panics, Passwords, Pension Crises, Pension Fund Insolvency, Pension funds, PINs, police asset forfeiture, policing for profit, Pre-Pay VAT, progressives, Progressivism, QE, Quantitative Easing, Reversals, SDR, Silver, Social welfare, socialism, Sovereign Debt Crisis, special drawing rights, Speculation, Speeding Cameras, spoofing, Student Loans, sustainability, Tax on employees, Tax on Water, Tax the internet, The Forecaster, the Great Depression, Too Big to Bailout, Too big to fail, Too big to Jail, Traffic Cameras, Turkey, Turning Points, Understanding cycles, Unemployed, Unexplained Wealth, Unexplained Wealth Orders, Universal income, usury laws, UWO, VAT, Velocity of Money, Wealth tax, Yellow Vest Movement
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Apr 6 2019

German Economy Turning Down Hard into 2020


Armstrong Economics Blog/Germany

Re-Posted Apr 6, 2019 by Martin Armstrong

The German economy is what holds up Europe. The data on the industrial sector in Germany is out and it has disappointed everyone once again with production dropping 0.8% month-on-month in January 2019. January’s contraction was driven by a steep drop in capital goods output and a fall in intermediate goods production. However, consumer goods production did manage to increase moderately.

On a year over year basis, industrial output fell 3.3% in January, which was an even sharper contraction than December’s revised 2.7% drop (up from -3.9%). These numbers are clearly in line with our model showing a hard landing into the bottom of the Economic Confidence Model in early 2020. A no-deal for Britain will impact the German economy even more as car sales, which are already declining, will come into question.

The Pi Target (2018.89) marked the dramatic shift in capital flows. In the Dow, it marked the beginning of the correction and the bottom in Energy came 5 weeks later. Everything we have checked seems to have shifted at that point in time, setting the stage for the hard landing. The economic numbers all began to decline noticeably in the fourth quarter of 2018.

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By Centinel2012 • Posted in Economic Subjects • Tagged Amusement Tax, Armstrong Economics, Asset confiscation, Asset diversification, Asset recycling, Assets, assets bubbles, Baby Bust, Big Government, bubbles, Business cycle, Cashless society, centinel2012, central bank, Central Planning, Central Planning, Common Reporting Standard, Communism, Credit, CRS, Cryptocurrency, currency manipulation, Curse of Cash, David Pristash, Debt, debt bubbles, DEODAND, Disasters, Dodd-Frank, ECB, ECM, Economic Collapse, Economic Confidence Model, economics, Edelman Trust Barometer, Electronic Recovery and Access to Data Device, eliminate cash, Eminent Domain, end of liquidity, Euro, FATCA, FBAR filings, FED, financial ponzi schemes, Foreign Account Tax Compliance Act, Fraud, Free Market, front running, glazier’s fallacy, Gold, Gold confiscation, Gold Standard, Hedge, Helicopter money, Hoarding Cash, Homeless Tax, housing bubbles, Hunt for Taxes, Hyperinflation, Illinois credit now “Junk”, IMF, IMF Working Paper on Eliminating Cash, Inflation, Interest, Interest rate, Italy, Keynesian Economics, Legal entity identifier, LEI, Marxism, MMT, Modern Monetary Theory, Modern Money Theory, Monetary collapse, Monetary Crisis Cycle, Money laundering, money smuggling, negative interest, new world order, No more Stop-loss, Outlaw Cash, Panics, Passwords, Pension Crises, Pension Fund Insolvency, Pension funds, PINs, police asset forfeiture, policing for profit, Pre-Pay VAT, progressives, Progressivism, QE, Quantitative Easing, Reversals, SDR, Silver, Social welfare, socialism, Sovereign Debt Crisis, special drawing rights, Speculation, Speeding Cameras, spoofing, Student Loans, sustainability, Tax on employees, Tax on Water, Tax the internet, The Forecaster, the Great Depression, Too Big to Bailout, Too big to fail, Too big to Jail, Traffic Cameras, Turkey, Turning Points, Understanding cycles, Unemployed, Unexplained Wealth, Unexplained Wealth Orders, Universal income, usury laws, UWO, VAT, Velocity of Money, Wealth tax, Yellow Vest Movement
0
Apr 5 2019

Why Has Everything Turned Sour? Is it the Press? Or is the Press Part of the Cycle?


Armstrong Economics Blog/Press

Re-Posted Apr 5, 2019 by Martin Armstrong

QUESTION: Hello Mr. Armstrong,
I´d like your opinion on this,
During 7 Decades in which our lives got better, longer, richer, safer, healthier, better educated, more peaceful and more stimulating. Even World poverty has decreased in a rate never seen before, still, news coverage got increasingly negative

What explanation could there be for this? Is it excessive competition for attention as media sources multiply or an excessive any deeper reasons? I compare it to Markets, seems to be similar like trading on news, which is impossible because when the news is the worst, usually its the low and when everything and everyone is optimistic its the high.
regards

ES

British-Press

British-Press

ANSWER: Coming out of World War II, society really advanced in many ways from technology to medicine. This is the part of the societal cycle that is best to live in. Then what happens is corruption. The news becomes corrupt in sync with politics. I believe this becomes the case because news becomes institutionalized as it is owned by big firms who then direct the news to slant to their personal benefit. This is a funny skit on British News. It is so true here in the States as well. The Democrats love CNN and the Republicans love Fox. The news gravitates to a political slant and is no longer about news – it is always about selling more ads.

Yellow journalism was created by the battle between Pulitzer and Hearst. They created the Spanish American War to sell papers. Pulitzer’s name was worthless. To rehabilitate it he donated money to create the Pulitzer Prize for good journalism, which he never practiced.

Now we are in the downtrend of that cycle. The corruption has taken over everything. Just look at the list of presidents since Jimmy Carter. There is not a single president who has not been subjected to a special prosecutor investigating some action, which is always brought by the opposing party. I really fear who will come after Trump. Trump is probably the perfect president at this moment for he has such thick skin. Who else is going to run? If they do not have thick skin, what is the point? Will any rational person want to put their family through such scrutiny?

Even Melania Trump’s decision to wear a custom blue Ralph Lauren suit to her husband’s presidential inauguration in January 2017 set off a firestorm to the point that a staff member at Ralph Lauren publicly stated: “We immediately started to get complaints about Melania Trump wearing [the label]. And people [on Twitter] are using the #boycottralphlauren hashtag.”

Even a First Lady is now targeted for what she wears. This level of criticism was unheard of decades ago. Now everything offends someone and they seem to be looking for issues to claim they are offended.

 

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By Centinel2012 • Posted in World Economic Form • Tagged Amusement Tax, Armstrong Economics, Asset confiscation, Asset diversification, Asset recycling, Assets, assets bubbles, Baby Bust, Big Government, bubbles, Business cycle, Cashless society, centinel2012, central bank, Central Planning, Central Planning, Common Reporting Standard, Communism, Credit, CRS, Cryptocurrency, currency manipulation, Curse of Cash, David Pristash, Debt, debt bubbles, DEODAND, Disasters, Dodd-Frank, ECB, ECM, Economic Collapse, Economic Confidence Model, economics, Edelman Trust Barometer, Electronic Recovery and Access to Data Device, eliminate cash, Eminent Domain, end of liquidity, Euro, FATCA, FBAR filings, FED, financial ponzi schemes, Foreign Account Tax Compliance Act, Fraud, Free Market, front running, glazier’s fallacy, Gold, Gold confiscation, Gold Standard, Hedge, Helicopter money, Hoarding Cash, Homeless Tax, housing bubbles, Hunt for Taxes, Hyperinflation, Illinois credit now “Junk”, IMF, IMF Working Paper on Eliminating Cash, Inflation, Interest, Interest rate, Italy, Keynesian Economics, Legal entity identifier, LEI, Marxism, MMT, Modern Monetary Theory, Modern Money Theory, Monetary collapse, Monetary Crisis Cycle, Money laundering, money smuggling, negative interest, new world order, No more Stop-loss, Outlaw Cash, Panics, Passwords, Pension Crises, Pension Fund Insolvency, Pension funds, PINs, police asset forfeiture, policing for profit, Pre-Pay VAT, progressives, Progressivism, QE, Quantitative Easing, Reversals, SDR, Silver, Social welfare, socialism, Sovereign Debt Crisis, special drawing rights, Speculation, Speeding Cameras, spoofing, Student Loans, sustainability, Tax on employees, Tax on Water, Tax the internet, The Forecaster, the Great Depression, Too Big to Bailout, Too big to fail, Too big to Jail, Traffic Cameras, Turkey, Turning Points, Understanding cycles, Unemployed, Unexplained Wealth, Unexplained Wealth Orders, Universal income, usury laws, UWO, VAT, Velocity of Money, Wealth tax, Yellow Vest Movement
0
Apr 5 2019

Is Gold Still Liquid in Bullion Form?


Armstrong Economics Blog/Gold

Re-Posted Apr 5, 2019 by Martin Armstrong

QUESTION:

Hi Martin–

Thank you for your daily blog. I read it first thing each morning.

Regarding the bank liquidity problems with the Eurozone banks: would it make sense to put assets in precious metals as a hedge against problems in the banking sector (i.e., getting capital out of the banks and into a safe harbor of sorts)? Do you see this liquidity problem impacting major brokerage houses in the U.S.?

Thank you

Jack

ANSWER: The only problem with precious metals is that governments are targeting the bullion industry, and by regulation they can also create a real nightmare from a liquidity perspective. They are targeting dealers and compelling them to report on their clients. There used to be a big international coin show in Paris. The government demanded the dealers report everyone who sold and bought at the show. They shut it down and moved. Back in 2015, France targeted gold coins, and they also targeted the ancient coin show in Paris. The French government forbid cash sales and they threatened dealers with fines and imprisonment for failure to report on buyers/sellers who were their clients. The major rare coin show in Paris left as dealers refused to comply with such reporting. The French were driving to Belgium to deal in gold and the French government was complaining about that.

While we could sell some coins from hoards to people who attended our conferences in the USA, we cannot bring such materials to Europe or even Canada. You will find that gold bullion will also get caught up in a liquidity crisis in Europe where you will be unable to sell it even if you have purchased it with cash after taxes. The hunt for taxation is really destroying the world economy. The best hedge is to have it outside of Europe. Even Singapore or Hong Kong is ok as long as you DO NOT have a bank with offices in Europe. They are fond of telling banks to turn over lists of clients who belong to their jurisdiction. Germany did that by paying bribes to Swiss bankers to expose lists of German citizens with accounts in Switzerland. Perhaps the best hedge is paper dollars that you hide someplace.

Gold will survive long-term. But don’t count on it being available during the period before the crash and burn.

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By Centinel2012 • Posted in Economic Subjects • Tagged Amusement Tax, Armstrong Economics, Asset confiscation, Asset diversification, Asset recycling, Assets, assets bubbles, Baby Bust, Big Government, bubbles, Business cycle, Cashless society, centinel2012, central bank, Central Planning, Central Planning, Common Reporting Standard, Communism, Credit, CRS, Cryptocurrency, currency manipulation, Curse of Cash, David Pristash, Debt, debt bubbles, DEODAND, Disasters, Dodd-Frank, ECB, ECM, Economic Collapse, Economic Confidence Model, economics, Edelman Trust Barometer, Electronic Recovery and Access to Data Device, eliminate cash, Eminent Domain, end of liquidity, Euro, FATCA, FBAR filings, FED, financial ponzi schemes, Foreign Account Tax Compliance Act, Fraud, Free Market, front running, glazier’s fallacy, Gold, Gold confiscation, Gold Standard, Hedge, Helicopter money, Hoarding Cash, Homeless Tax, housing bubbles, Hunt for Taxes, Hyperinflation, Illinois credit now “Junk”, IMF, IMF Working Paper on Eliminating Cash, Inflation, Interest, Interest rate, Italy, Keynesian Economics, Legal entity identifier, LEI, Marxism, MMT, Modern Monetary Theory, Modern Money Theory, Monetary collapse, Monetary Crisis Cycle, Money laundering, money smuggling, negative interest, new world order, No more Stop-loss, Outlaw Cash, Panics, Passwords, Pension Crises, Pension Fund Insolvency, Pension funds, PINs, police asset forfeiture, policing for profit, Pre-Pay VAT, progressives, Progressivism, QE, Quantitative Easing, Reversals, SDR, Silver, Social welfare, socialism, Sovereign Debt Crisis, special drawing rights, Speculation, Speeding Cameras, spoofing, Student Loans, sustainability, Tax on employees, Tax on Water, Tax the internet, The Forecaster, the Great Depression, Too Big to Bailout, Too big to fail, Too big to Jail, Traffic Cameras, Turkey, Turning Points, Understanding cycles, Unemployed, Unexplained Wealth, Unexplained Wealth Orders, Universal income, usury laws, UWO, VAT, Velocity of Money, Wealth tax, Yellow Vest Movement
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Centinel2012

Centinel2012

Semi-retired ex-military, ex-businessman, ex-inventor, ex-engineer and now full time member of the Tea Party. My current goal in life is to make sure that the truth is known to all with an open mind.

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