Operation Disclosure | By David K. Lifschultz, Guest Writer August 17, 2020 THE GERMAN ECONOMIC MIRACLES I was recently sent a piece ...
Operation Disclosure | By David K. Lifschultz, Guest Writer
August 17, 2020
THE GERMAN ECONOMIC MIRACLES
I was recently sent a piece giving Hitler credit for the economic miracle of German growth between 1933-1939 and attributing it to his lack of faith in the gold standard. First of all, Hitler understood nothing in the financial system. Hitler was essentially created by western powers for the purpose of balancing Russian power and invading Russia as these same forces set up the destruction of the Tsar and the Kaiser in World War one and Hitler and Stalin in World War Two. In 1933 when they put Hitler in the US lent one billion gold dollars to Germany and England 200 two billion gold dollars which is the equivalent of 600 billion dollars today. Mackinder geopolitics covered up the motives of the bankers. (Baron Eduard de Rothschlld set up the Japanese attack on Russia in 1904 financing half the budget for Japan with his subordinate Jacob Schiff in Paris to oust the Tsar, and World War One to complete the destruction of the Tsar, and World War Two to destroy Hitler.) Here they played off England in geopolitic wanting Stalin knocked out to protect India as they did the Tsar. (It is interesting that Hitler offered to Stalin India if he would cease his pressuring him on eastern Europe such as in the case Romania that Germany needed for its oil.)
The irony of Stalin was that he was a former Okhrana agent working for Pyotr Rachovsky who reported to the Tsar. And, of course, they wanted Hitler out of the way as if Japan and Germany merged they would control from the English Channel to the Pacific the Eurasian land mass relegating England and the US to Mackinder island status. Field Marshall Irwin Rommel repeatedly said that the allies were foolish to destroy Germany in an unconditional surrender as then they would then face Russia not realizing that the allies were hoping that Hitler would burn Russia out as 80% of his crack troops were on the Russian front and only 20% of his forces were facing the English Channel which were largely substandard. In other words, the allied plan was to destroy both. We found that out at the Battle of the Bulge where we faced Eastern Front Panzer Armies suffering 80,000 casualties despite overwhelming air power. The allies gave Hitler a lot of time to bleed Russia white not planning an invasion until 1944. At that point they had to invade as it was clear that Stalin would have reached the English Channel in the not too distant future. The Anglo-Saxons thus really failed in one of their primary objectives which was to destroy Russia as in World War One where Russia was also their ally paid for by the lives tens of millions of Russians.
Of course, there were lots of lying propaganda to cover up the true motives of the Entente and allies of World War Two that would be hard to sell to the public based on the truth. It was based on power and riches that the average GI Joe would never see. It certainly was not based on making the world safe for democracies or fighting dictators.
This was realized in this exchange between Goering and Hitler:
Goring: They (Britain and America) entered the war so that we would not reach the east (Japan in China), but not so the East (Russia) would reach the Atlantic.
Hitler: That's quite clear.
Source: "Hitler And His Generals", the stenographic record of military conferences, page 649.
It was the Dr. Schacht plan of connecting money creation with productive investment that worked in Germany after his group of industrialists put Hitler in through Hindenburg. The Schacht protege Dr. Wilhelm Vocke carried out the Schacht program after World War Two creating another miracle.
From May 20, 1948 to December 31, 1957, Vocke was President of the Board of Directors of the Bank deutscher Länder . When the Deutsche Bundesbank began its activities on August 1, 1957 , he became the institution's first president until December 31, 1957.
Schacht acted his part as an agent of British financiers who acquitted him at Nuremberg as they had to show someone being acquitted to make it look like a trial instead of the execution by Julius Caesar of Vercingetorix at his Triumph by "strangulation" which it was. The Anglo-Saxons were guilty of the worst war crimes purposely killing millions of women and children in their bombing campaign and Churchill, Roosevelt and the rest of them deserved to be on the dock too. The British were experienced hands at this blockading German ports in World War One starving to death women and children in violation of the rules of war. Where is Britain now but a nation that cannot even protect its own citizens in lawless London having descended into a second Zimbabwe? The same for the United States. The United States has destroyed itself through its complete moral degeneration. In World War Two the so-called greatest generation became the condom army and today the US promotes sodomy which is a kind of mortal sin of contraception and 1.5 billion abortions around the world just to mention a few of its major crimes. 60 million abortion murders in the US alone not to mention the after morning pill.
"The Cherwell memo described in quantitative terms the effect on Germany of the British bombing offensive on Germany between March, 1942-September, 1943. This paper laid down the strategic policy. The bombing must be directed essentially against German working class houses. Middle-class houses have two much space around them, and so are bound to waste bombs; factories and "military objectives had long since been forgotten, except in official bulletins, since they were much too difficult to hit. (The meaning here is that more women and children could be murdered per bomb for lower classes as their homes were closer together.) The paper claimed that--given a total concentration of effort on the production and use of bombing aircraft--it would be possible, in all German towns (that is, those with more than 50,000 inhabitants), to destroy 50% of the houses."
Madeleine Albright - The deaths of 500,000 Iraqi children was worth it.
We set that up in China requiring credit creation to be only used for productive investment which is why China became such a great industrial nation and achieved such massive growth rates. Russia should have seen how it was done. Let's look at Great Britain then the strongest power in the world in 1900. Gold reserves were 3% against British Pounds created in the banking system. Why? Because they had similarly created credit above the gold reserve. The issue is where the credit went. In the US it is wasted as the Wall St. manipulators borrow hundreds of billions of dollars for their cash settlement manipulations where half the trades on the New York Stock Exchange are systemically connected to this manipulation. It is widely known the systemic trading is half the volume. These thieves are one factor the deep state. So our money supply grows but it is not to build productive plant. If you subtract inflation, the US economy has not grown in more than sixty years. The figures to look at are those of 1990 which shows an understatement based on the change of calculation. But it is worse than these figures. (See footnote one.) Commodities that are rising in price are substituted with those of lower prices skewing the inflation rate to the lower side. Scroll down.
This is covered in this article on Russia that does not need to export anything as they have all the natural resources that they need only they have to replace imports by manufacturing everything themselves. Their Central Bank is under US control so that they do not do that. The traitors at the Russian Central Bank are strangling their economy that could easily grow 20% a year at the same time they could finance a massive increase in births through incentives to create more demand. This is what I call virtuous demand management.
See footnote two.
Footnote One:
THE US DOLLAR: AN ADVANCED OBITUARY BY FRANZ PICK
A BOOK REVIEW
DAVID K. LIFSCHULTZ
INTRODUCTORY QUOTES
The 9-15-1931 to 9-16-1931 Invergordon Naval Mutiny caused a panic on the London Stock Exchange and a run on the pound, bringing Britain's economic troubles to a head and forcing it off the Gold Standard on 21 September 1931. Since 1588 Britain ruled the seas and this was the beginning of the end of British power.
The British pound was the leading international currency and reserve currency at the time. Its 9-21-1931 devaluation was a shock that led directly to many echo devaluations worldwide. By the end of 1931, 23 countries had left the gold standard.
President Richard Nixon’s actions in 1971 to end dollar convertibility to gold and implement wage/price controls were intended to address the international dilemma of a looming gold run and the domestic problem of inflation. The new economic policy marked the beginning of the end of the Bretton Woods international monetary system and temporarily halted inflation.
The OPEC oil embargo was a decision to stop exporting oil to the United States. On October 19, 1973, the 12 OPEC members agreed to the embargo. Over the next six months, oil prices quadrupled. Prices remained at higher levels even after the embargo ended in March 1974.
BOOK REVIEW COMMENCES HERE
Click here to download the book in its entirety
There is a direct connection to the British and Americans going off the gold standard as reflected above and the decline of their military and economic power of Britain and the US as I wrote in the piece entitled "Goethe, Faust and the Euro".
Dr. Franz Pick, the author of this book, "The US Dollar: An Advanced Obituary", began his meteoric rise selling the pound short on the day the Invergordon Naval Strike took place that made him a fortune. His analysis brought him to the attention of Baron Eduard de Rothschild for whom he worked and his successors for the rest of his life. He ruled the US for Rothschild. So much for the facade of democracy.
During World War Two he was part of the OSS system as the paymaster of the French Resistance. When one of their key OSS agents was arrested in Rome in a drunken state, Franz was assigned to go to Italy to bribe with gold the jailor to release him. He drove him to France where the agent said he had to obey the call of nature and took a walk into the bushes, and never returned going back to his OSS work. The Italians did not know how important an intelligent agent they had in their prison.
The books such as the one that can be downloaded above, and his monthly reports, gave him an excuse to meet the heads of the Central Banks or heads of state to convey to them the Rothschild orders who controlled the central bank system. Orders of complexity have to be done in person and Rothschild could not deliver the orders in his own hand. He called himself a journalist but that gave him excuse for his many meetings. It is a myth that the central banks are independent and that is where control of the world lies (see below "Who Controls The Balance of Power In the World"). Even George Soros had to come to him for help to enter the US and he was his superior. George's so-called bet on the Pound was not based on his own analysis but based on inside information as he worked for the Rothschilds who created him.
Since the heroin distribution was the largest business in the world, Franz would give the quote in Harlem of the daily fix. The Mafia had come to him for "financial advice" offering him a huge amount of money but he instead swapped the advice for the daily heroin quote in Harlem. During the Vietnam War he would quote the prostitution rates for the American Military in Saigon for what Senator Fulbright called the American Military's whorehouse. Mothers of America were very, very upset at how Fulbright talked about their precious ones but they should have inquired what their husbands were doing in World War Two when the military passed out tens of millions of condoms for what Eisenhower named his book "Crusade" in Europe. His monthly currency report was purchased by just about every central bank in the world and even our GAO Office used it in their studies as the information on blocked currencies was not available in the standard books or articles of reference.
This worthy study can be summarized in this two sentence quote from Dr. Pick:
"Each year I send a copy of the inflation chart to French President Valery d'Estaing who asked me to. When he first saw it, about five years ago, he said, 'But my dear friend, since 1965 there has been no progress in the United States.'" In other words, if we take the true inflation out of the GDP figures there has been no growth in the US as half our industries have been destroyed replaced by a growth through inflation figures that are imaginary. This sleight of hand is discussed in the book but what happens in the CPI index is if the price of a product rises too fast they exchange it with a cheaper substitute thereby biasing the index downward.
I came across Franz in the 1970s seeing him often quoted on the front page of the Wall Street Journal. I wrote him that he was a buffoon and did not know what he was talking about. He invited me to his apartment for a meeting in which he said that part of my critique that stated that the usury gold system does not work based on the fact that gold was barren was true and understood by almost no one. (This is explained in detail in the study "Goethe, Faust and the Euro" below.) It was the key to the Rothschild rule of the world as fiat money had to be its children, and those who controlled its creation would control the world. Additional control mechanisms are usury and Balaam style (Numbers 25) imposed degeneracy or the depraving of the population. Thus, I earned from Dr. Pick the title of Saint Thomas. (See study below entitled "Who Control The Balance of Power In The World). He also said my criticism of him was correct but if I wrote the whole truth no one would buy my books. Not that it mattered but he did need a front.
In 1979 he asked me to write for the new Federal Reserve Chairman Paul Volcker his famous anti-inflation plan which I did, and we sent it to Volcker his being ordered by Franz to implement it which he did on October 6, 1979 at a Saturday night press conference exactly paralleling what I wrote point by point in the press conference. I later told him when to ease rates at a three hour discussion on the Delta Shuttle between New York and Washington which was delayed.
Volcker's Announcement of Anti-Inflation Measures
Ted Truman (1) used to tell me that Paul required him to answer him on my correspondence within 24 hours. During the 1987 crash Ted was the internal point man in reversing the 1987 cash settlement manipulation while "others" gave out the order to the Wall Street Giants to reverse their cash settlement positions ending the crash. None disobeyed orders. Dr. Pick was not alive to see it but he would have been happy that we prevented a 1929 as we did in 2008. Truman was about the only one there who understood anything as Greenspan was totally incompetent. See study below on the use then in the manipulation of stochastic control theory. In 2008 we did the same but with revisions as can be found in the Goethe analysis below.
(1) From 1977 to 1998 Edwin M. Truman directed the Division of International Finance at the Federal Reserve System.
Footnote Two:
THE SOUL OF RUSSIA
At a major Moscow piano recital the pianist dedicated a Chopin piece to me as a gesture of a people to people relationship above the governments of Russia and the US. There I replied to thank their leading pianist for the gesture with an artistic discussion based on Dostoyevsky's speech at the dedication to Pushkin's statue on June 8, 1880 on Eugene Onegin whose statue was nearby. When I concluded that the poem should have been titled after the heroine Tatiana, who represented the soul of Russia then and today, the audience rose to their feet wildly applauding and crying out with tears running down the faces of the women. I received a standing ovation. The ladies insisted on my being photographed with them individually and said I must be Russian as I reflected the true Russian soul in my talk. I was very much surprised. It was totally unplanned. This recital's speech is covered in the last four paragraphs below. This is not the exact transcript as I spoke spontaneously without notes.
The following speech was delivered at a Duma Conference on peace at that time.
CAN RUSSIA HAVE PEACE NOW?
DAVID K. LIFSCHULTZ
AT THE RUSSIAN DUMA PEACE CONFERENCE AT THE DUMA
The position of Prussia in Germany will not be determined by its liberalism but by its power ... Prussia must concentrate its strength and hold it for the favourable moment, which has already come and gone several times. Since the treaties of Vienna, our frontiers have been ill-designed for a healthy body politic. Not through speeches and majority decisions will the great questions of the day be decided - that was the great mistake of 1848 and 1849 - but by iron and blood.
Can we have peace when Russians are being pounded with mortars in Donbas? Can we have peace when Russians are being mistreated in former Russian territories where twenty-five million Russians reside? The answer is no.
The position is not so different than when Germany after World War One had millions of Germans cut off from Germany at Versailles as Danzig that was 99% German and entitled to a mandate vote by the United Nations that was denied to it. This was the catalyst of World War Two when at the outset of that war Germany and Russia were allies. However, Germany lost the war and Russia did not.
There was treason within Russia that destroyed their nation in 1991 as during the Bolshevik Revolution. Russia had not lost World War One but the revolutions destroyed a Russia that could have made peace on its front. After World War Two this problem was avoided by all Germans who were left outside Germany being forced to move back to Germany during which many perished. This is even being discussed in the west in the highest circles as relates to the 25 million Russians caught outside of Russia by Yeltsin's illegal tearing the Baltic States, Ukraine and Central Asia away from Russia. Western circles want them expelled to Russia as we expelled the Germans.
The Ukraine was part of Russia for nearly 400 years. The very idea of its independence was invented in Austria during World War One for the purpose of undermining the Russian Army and it certainly did undermine the Russian Army during that war. The present independence of the Ukraine was set up so the local Trotskyite oligarchs could loot the country as a Russian aligned government was about to move against the oligarchs. That essentially is the history of most of the areas torn from Russia by Yeltsin under western orders.
The Kiev coup was set up by Brzezinski to draw Russia into a new partisan war as in Afghanistan and was accompanied by his ordering the Gulf States to crash the oil price. Brzezinski was concerned about the massive buildup of the Russian Armed Forces starting in 2000 in missiles as well as the modernization of its ground forces and wanted to strike before it was too late. Russia moved to protect the Russians in the Crimea and the Donbas and Luhansk leading to more sanctions. All of it was a setup.
Russia refused to send its armies into the Ukraine, even that part that was strongly pro-Russian such as the eastern Ukraine east of the Dnieper River (which was historically part of Mother Russia), so as not to become bogged down in another Partisan War leaving the rest of the Ukraine to be looted by oligarchs supported by the west and watched its internal financial collapse. The west would not fund the Ukraine's economy adequately and let it collapse. Most of the IMF injections were stolen by the oligarchs when they transferred their loot out of the country using the IMF money giving them the western currency. These oligarchical looters were backed by the Rothschilds as those in Russia and we see that evidence in the ownership by Lord Jacob Rothschild of all of Khodorkovsky's now worthless Yukos stock. They are Trotskyites as those in Russia now. The Trotskyites of the Bolshevik Revolution backed by Baron Eduard de Rothschild were also Trotskyites or wolves in different sheep's clothing and stole Russia's wealth then until Stalin stopped them in their tracks. Between 1991 to 1999 the equivalent of the present entire householder wealth of Russia was stolen and transferred overseas mostly to London under Lord Jacob Rothschild under today's Trotskyites. A Trotskyite merely changes his clothing from Marxism to capitalism but never his inner nature. Now they are ruining Russia with sanctions as Putin stopped the looting. Why is this tolerated?
King James Bible: Matthew 7:15
Beware of false prophets, which come to you in sheep's clothing, but inwardly they are ravening wolves.
Kiev was an attempted replay of Afghanistan though in the Ukraine Russia did not play there their Afghani part but watched the Ukraine collapse on its own.
Brzezinski thwarted in the Ukraine then created the pipeline crisis in Syria announcing a new pipeline through Syria from Qatar, Saudi Arabia, Syria, Turkey to the EU to destroy the Russian exports of natural gas to the EU and that was the basis for opening up Iran by the west. When Iran did not send their natural gas to the EU, the sanctions were reimposed. In order to accomplish this civil war in Syria, Brzezinski brought in the US created Sunni ISIS to start a civil war. ISIS was originally set up by the US to offset the Shia in Iraq allied to Iran, and to weaken the Shia ally al Maliki, and these forces were unleashed on Syria in a civil war. The rise of the Shia was promoted by the colossal blunder by the US destroying Sunni Iraq. Russia moved in to protect Syria with help from Iran, Hezbollah, and Shia contributing the costly boots on the ground and Russia largely providing air power and they won these allies. Russia's success at the same time blocked the pipeline that was to be used to destroy Russia. The reason all the Zionist Congressmen and Senators vote for sanctions on Russia is that Israel was infuriated by Russia holding up Syria. They prefer Medvedev to replace Putin. Netanyahu is no friend of Putin.
This left Russia damaged in 2014 by the sanctions; the costs of helping Russians in Donbas and Luhansk; the Syrian war and the oil price crash. Since all of this was due to Russia becoming militarily rebuilt unbeknown to Brzezinski until about 2012-2013, it was expected that Russia would in this game of chess move its Queen to protect itself by advising the west that if the sanctions were not removed Russia would default on its 700 billion dollars of external debt. The involuntary default of 1998 had nearly brought down the entire western financial system when a mere two to three hundred billion dollars went into default triggering the implosion of Long Term Capital Management of their 1.8 trillion dollar derivative position and the near implosion of the western financial system. It was anticipated the west would back down but Russian did not move its Queen but accepted the punishment squeezing its population in the process and creating a massive brain drain of talented Russians to the west based on their highly advanced educational system. The CIA could not believe that Russia was so stupid. Stalin's repute as a consequence is now at 70% approval rating and Putin at 25%. Erdogan is going down the same way. The CIA coup failed to kill him so that they will get him with sanctions while he helplessly stands idle as Putin.
The west did not take its defeat in Syria lying down and blamed Iran. Iran under the Shah had been the anchor of all CIA Middle East policy. The Shah controlled the massive oil chokepoint at the Straits of Hormuz and now Iran was becoming a grave thorn in the side of the west, namely, the US. Not only does Iran control the Straits of Hormuz, but the US had created a unbalanced Middle East by destroying Iraq which had counterbalanced Iran. The fact that Iran had now established a Shia crescent from Iran to Iraq to Lebanon was untenable to the United States (note the 8-5 missile attack destroying 70% of Lebanon's Port as part of the effort to destroy the Shia Crescent), and the worst part of it was Iran's strengthening control of the Straits of Hormuz with Chinese and Russian advanced anti-ship missiles lining Iranian's shores. These missiles have a range of over 2,000 kilometers where the aircraft fighters on the aircraft carriers a range of 1,100 kilometers, and the destroyer Tomahawks a range of 1,600 kilometers making them useless to attack Iran as the ships would be destroyed once they are in the range of the anti-ship missiles. As to the US airpower at various bases the Iranian missiles would immediately close these bases with the planes flown elsewhere before they are destroyed on the ground costing the US billions of dollars. The defensive missiles as the Patriot, THAAD and Aegis are relatively worthless. Thus, the US cannot project any power to open up the Straits of Hormuz. Even an invasion is impossible as Iran has nuclear weapons so a concentration of force cannot be engineered as for the Iraqi war. No nation today as North Korea can survive unless they have nuclear weapons as that gives the US the ability to Hiroshima them or lay them waste as Iraq and Libya. by conventional means.
In addition, by Iran now allying themselves with Russia, this gives Russia the potential control of the world through their proxy Iran. Let's outline the the hand of cards that the Russians now hold with their victory in Syria with their Iranian ally. Russia produces 11 million barrels of oil per day. If the US and Iran go to war, it would be expected that Russia would move troops into their former Central Asian provinces to protect them that now produce 14 million barrels a day of oil or together 25 million barrels a day of oil production would be under Russian protection or control against an invasion of Iran. Russia could move even now to protect these former Central Asian provinces. Iran controls another 22 million barrels of oil a day that it can shut down at any time merely by saying that no tankers can go through the Straits of Hormuz. China produces nearly five million barrels a day. So Russia, China, and Iran control over half the world's oil supply and this is the winning hand that these three nations control. In other words, there are a hundred million barrels a day of oil produced in the world per day and over half is controlled by Iran, Russia and China. This gives these three countries control of the world. Thus, these three nations must stick together. Either they hang together or find themselves hanged separately. This means Iran must be the red line for China and Russia. They cannot allow the US to attack their Iranian ally! It is this that interests the US and not Iranian missiles or nuclear weapons. It is a fight for control of the world. Thus, Iran sanctions are not really about nuclear missiles but the control of the world through the Straits of Hormuz.
The Russians through this control of the world can force the EU to end the sanctions and acquiesce to the return to them of the Ukraine, Baltic States and Central Asia if they so choose or cut off the oil. In addition, they can raise the price of oil and sponsor births in their country and build up their technological industries with these riches. NATO forces are to the west of Russia but there is relatively noting to the east. It would only take a handful of troops to reoccupy the old Russian provinces of central Asia and by cutting off half the world's oil supply by "indirect" warfare the US would collapse as it would detonate the 600 trillion to 2.5 quadrillion derivative market described by Warren Buffett as a weapon of mass destruction.
If the US can succeed in destroying Iran, that effectively isolates Russia and China. Then, the US plan to implement the fatal blow on Russia by cutting them out of CHIPS and SWIFT comes next. What is CHIPS and SWIFT?
The Clearing House Interbank Payments System (CHIPS) is a United States private clearing house for large-value transactions. By 2015 it was settling well over US$1.5 trillion a day in around 250,000 interbank payments in cross border and domestic transactions. Together with the Fedwire Funds Service (which is operated by the Federal Reserve Banks), CHIPS forms the primary U.S. network for large-value domestic and international USD payments where it has a market share of around 96%. CHIPS transfers are governed by Article 4A of Uniform Commercial Code.
The Society for Worldwide Interbank Financial Telecommunication (SWIFT), legally S.W.I.F.T. SCRL, provides a network that enables financial institutions worldwide to send and receive information about financial transactions in a secure, standardized and reliable environment. SWIFT also sells software and services to financial institutions, much of it for use on the SWIFTNet network, and ISO 9362. Business Identifier Codes (BICs, previously Bank Identifier Codes) are popularly known as "SWIFT codes".
The majority of international interbank messages use the SWIFT network. As of 2015, SWIFT linked more than 11,000 financial institutions in more than 200 countries and territories, who were exchanging an average of over 32 million messages per day (compared to an average of 2.4 million daily messages in 1995).[1] SWIFT transports financial messages in a highly secure way but does not hold accounts for its members and does not perform any form of clearing or settlement.
SWIFT does not facilitate funds transfer: rather, it sends payment orders, which must be settled by correspondent accounts that the institutions have with each other. Each financial institution, to exchange banking transactions, must have a banking relationship by either being a bank or affiliating itself with one (or more) so as to enjoy those particular business features.
SWIFT is a cooperative society under Belgian law owned by its member financial institutions with offices around the world. SWIFT headquarters, designed by Ricardo Bofill Taller de Arquitectura are in La Hulpe, Belgium, near Brussels. The chairman of SWIFT is Yawar Shah, originally from Pakistan, and its CEO is Gottfried Leibbrandt, originally from the Netherlands. SWIFT hosts an annual conference, called Sibos, specifically aimed at the financial services industry. Starting from July 2019, the CEO will be Javier Pérez-Tasso.
If Russia is cut out of CHIPS-SWIFT, and 88% of world financial transactions have a dollar on one side, then Russia is destroyed. They may figure out a way to hang on but Putin's popularity would hit the level of Yeltsin on his way out and Russia would be back as a vassal of the US. After Russia is destroyed, China will be totally isolated as the US turns its guns on China. Thus, the US wins the game of divide and conquer or divide et impera. That is what this is all about.
Let's backtrack a bit and go into the weapon that Iran presently controls which is shutting the Straits of Hormuz. Overhanging the world financial system are about 2.5 quadrillion dollars of derivatives which is about 28.6 times the 87.3 trillion dollar world GDP (There are various derivative estimates and this comes from a high Swiss source. The Bank for International Settlements estimates about 560 trillion of derivatives while others go to 1.2 quadrillion saying the BIS mostly has derivatives held by the banks that they base their calculations on and these are hardly representative of the entire world exposure.). Warren Buffett correctly describes these derivatives as financial weapons of mass destruction. 560 trillion dollars which is quite enough in theory to bring down the entire financial system (world GDP is 87.3 trillion dollars in 2019) if triggered by the closing of the Straits but again Swiss sources say it is from 1.2 to 2.5 quadrillion. In other words, the US is destroyed if the Straits are shut as stress tests at Goldman Sachs say the oil price would rise from $70.00 a barrel to $500.00 to a $1,000.00 a barrel at the loss of 22% of the oil supply through the Straits of Hormuz or 22 million barrels a day. While there are significant oil reserves in storage in different countries, and the ability to divert by pipeline about three million barrels a day to the Indian Ocean, this would not make a big enough dent in the collapsing daily supply to make a difference.
If the price of oil rose to a thousand dollars a barrels, and there are a hundred million barrels a day coming out of the ground, this would constitute 45% of the world GDP from less than 4% of the world GDP at seventy dollars a barrel. And yet that is not all. Even if we calculate the temporary effects of storage, and the 78 million barrels a day, and three million barrels a day routed over pipelines to the Indian Ocean, this blow will be sufficient to start the nuclear chain reaction of the derivative market and anyone who does not think so should call up Warren Buffett whom we are sure will agree that we will be in a worldwide depression that this financial weapon of mass destruction would produce. This world depression would be worse than 1929 which will cause the overthrow of all western democratic systems as in Germany in 1933 including that of the United States. There will be hell to pay for the Trotskyites of the west.
This is becoming clear by the recent economic gyrations of the US based on the shut down of the economy based on the fear of the coronavirus leading to a 32.9% decline in the US GDP for the second quarter which could be said to be the equivalent of the reparations problem of Germany in 1933 that was caused by its moral decline before World War One that cost them the war. Here we find the US falling apart under similar economic stress after a more extreme moral decline here reflected in the laws legalizing sodomitic marriage and 60 million abortion murders not to speak of the US sponsored 1.5 billion abortion murders worldwide. These abortion murder figures are very much understated as they do not reflect the after morning pill. The US has fallen so low morally that rioters have destroyed 400 cities and the troops have not been called out to end the rioting by shooting the rioters or firing cannons with shrapnel successfully used by Napoleon Bonaparte to clear the Parisian streets. This reflects a total moral breakdown and loss of nerve in the face of Leninist BLM-ANTIFA PSYOPS OPERATORS set up by a foreign power as the Bolshevik Revolution. New York City that reflects 10% of the US GDP has had most of their business leaders fleeing the city as it faces total bankruptcy by allowing the rioters to take over the streets and stabbing the police in the back leading to massively soaring crime rates. New York City is Weimar Berlin.
We saw that stress in 2008 when the disaster was only confined by papering over with 400 years of new Federal Reserve Credit to replace the destruction of derivative instruments. From 1914 to 2008 about 900 billion dollars of Federal Reserve Credit was created before it was fractionalized into the banking system to about 18 trillion M-3 at one point, but we raised that to about 4.6 trillion dollars after the crash to maintain the monetary aggregates so that they would not contract as in 1929. 2.7 trillion was created in this aggregate as excess reserves that did not fractionalize as the Fed paid interest on it to the banks higher than market to cover all their assets that had been destroyed and they were gradually written off against this income as planned.
Today we have created 3 trillion dollars of Federal Reserve Credit in about three to four months and the end of this crisis is not in sight. The budget deficit is soaring toward four trillion dollars out of an seven trillion dollar US budget. The budget deficit in 2008 was 455 billion dollars and in 2009 1.4 trillion dollars. The magnitude of the US financial crisis is unprecedented in history and it is only beginning.
These are interesting examples of a government bailout of an alleged private commercial banking system since these private banks are part of the public creation of credit or money creation by fractionalization which is supposed to be only a governmental function of making money. The banks were to all intents and purposes otherwise bankrupt. However, if we lose 22% of the oil supply, we cannot paper over the loss of oil. Game over.
I repeat the original question. Can Russia have peace if the west is trying to destroy it and the answer is no. Russia is at war now as sanctions are war, and it is a hot war at Donbas, and Russia must move to defend itself on all fronts before it is destroyed. We see Stalin's popularity rising in Russia to 70% while the present government is losing its popularity. This demonstrates that the Russian people do not think their government is protecting them.
The following actions are required to restore that popularity.
1. The wealth stolen by the oligarchs from Russia must be returned.
2. Russia must move to protect the 25 million Russians outside of Russia and if necessary mobilize their armies to move back to their former provinces to take over control so they are not persecuted.
3. The Central Bank must be reorganized along the lines of the Chinese Central Bank, and no credit can be allowed to be created that does not have a productive purpose. No financing the purchase of stock for speculation. No creation of credit for anything that does not have a productive purpose. Credit should be created to replace all imports by building factories in Russia to manufacture the goods here in Russia. Self-sufficiency will be the rule and all imports except in the case of vital technology should be ended. And as China, Russia must assign thousands of engineers to develop their own technology as ZTE just did to gain complete independence from the United States. ZTE was put out of business for three months when the US would not give them the chips of Qualcomm. ZTE then went on a crash one year program to replace all US chips and succeeded based on a massive effort. They do not need anything from the US anymore and so is China doing now on all fronts. They will be independent in a year or two rather than the planned 2025 from any US technological input. This is war. Is Russia blind? How could they have not seen their Central Bank was run by saboteurs and wreckers when they had the Chinese example before them.
The new Russian Central Bank and the Ministry of Finance of Russia who will have replaced the Friedmanites (another form of Trotskyism) must create plans together with the commercial banks to invest in industries that Russia needs as China does and the commercial banks must not think that they have a right to be independent of central bank control. Commercial banks create credit on their own when they fractionalize their reserves and if they used this credit which is really money for their own goals they would be converting a publicly owned asset to a private asset. In other words, when the commercial banks create credit, they create money that is not theirs as in printing a ruble. The state has a right to make sure this money is used in the interests of the people. It is elementary economics that Russia can grow its GDP at 15% a year if the credit is created to make factories needed to manufacture goods as the new production offsets the creation of credit making in non-inflationary. Such elementary rules of economics are beyond the understanding of Russia today. There is no theoretical limit to growth on that basis as you theoretically could grow the GDP 30% a year or more but there may be infrastructure constraints that must be studied in advance so bottlenecks do not take place. But the principle is important to understand as the present central bank is basing their actions on a fixed monetary base growth unrelated to production thinking things will take care of themselves. They do not.
4. The degenerate rock music and night clubs should be closed as forms of corrupting the youth and leading to promiscuity.
5. Abortion is a form of murder and so is sodomy in its perversion of denying life to the soul created before conception in Heaven, see Jeremiah 1:5. Both must be outlawed. No nation can be great while babies or souls in the womb are murdered. Dante says of sodomy that it is a sin against nature as only a fool sows where nothing will grow. The sodomist takes a fruitful function and makes it unfruitful. Stalin was right to outlaw these vices. Also, all forms of contraception should be outlawed as it makes marriages into a form of legalized prostitution. Stalin taught all the boys and girls that they cannot practice sex before marriage (onanism) and the conjugal act should be restricted to the procreative end only. For example, it should not be practiced in marriage while the woman is pregnant, in her menstrual period or after menopause. The goal of the Russian woman should be to have as many children as possible. If necessary, the state should subsidize births as much as needed to the point woman will want to have babies and double and triple the population. The state benefits for mothers should be so hight that it is more profitable for a woman to bear children than to go to work. This also can be achieved by the father receiving a family wage to reflect the number of children receiving more of a wage the more children he has. That is true investment for the future. The ideal cycle is three years from conception. Nine months for pregnancy and two years for nursing during which the conjugal act would not be used. If it is used after birth, it can only be used if the procreative end can be achieved and then once a month at the most fruitful time as Zenobia of Palmyra. That is Stalin. That is Napoleon. That is the belief of all great men. That is the devout Christian Church belief. And this is the secret of the preservation of female beauty as explained on French television by Bridgett Bardot that she had become hideous because she gave her beauty and youth to a hundred paramours. That is, her overindulgence in non-fruitful relations destroyed her beauty and her health.
6. In all schools there should be mandatory Bible reading which Bible will teach all these principles especially in the first five books where is found the laws. Stalin studied the Bible in Seminary until he was twenty which gave him the perfect background to instil in Russia the most important principles. There were no innocents executed in the 1936 to 1938 Moscow Treason Trials against Trotskyites and that should be our inspiration. All of them were rightly condemned for Trotskyism and treason against the state. The US has its Trotskyite problem on a trillion dollars a year being stolen on Wall Street through derivatives (that is what they are for) just as Russia had faced by Stalin. Russia right now still has the Trotskyite oligarchs around undermining the state. Putin has been gradually ousting them as Khodorkovsky, Berezovsky, Gusinsky, and others but all the other Trotskyites must go and their assets seized as Khodorkovsky. It must be remembered that even the great Stalin did not eradicate all the Trotskyites until 1936 after 14 years of leadership. It takes time to take back your country. Behind the Russian Trotskyites today is Lord Jacob Rothschild as Baron Eduard de Rothschild was behind Lenin and Trotsky engineering the Bolshevik Revolution through their agent Parvus. It is the Trotskyites in the US who are against detente with Russia as the Trotskyites in Russia. They are the war mongers.
A political meeting should not end up rehearsing endless and meaningless platitudes. It must confront concrete problems with concrete solutions.
We must fight for these principles in Russia. Let's listen to Fyodor Dostoyevsky at his speech at the unveiling of the Pushkin Statue in 1880 on how these principles are applied.
In this speech he discusses the Pushkin Poem "Yevgeny Onegin" in which Dostoyevsky says is one of the greatest of poems. But he says it should really be named Tatiana. Yevgeny was a aristocratic, dissolute dweller in St. Petersburg high society going to see his sick uncle who was dying as he was his heir. His uncle died and he stayed at his rural mansion and estate a while which he had inherited. He met a beautiful girl named Tatiana who had an aristocratic birth but being that she lived in a rural area she did not have the refinement of St. Petersburg. So he disdained her. She wrote him love letters, and was madly in love with him but he returned them as a gentleman as they could have compromised her future. He rejected her. He makes friends with the suitor of Tatiana's sister, and says to him he could have his fiancee anytime he wants who had thrown herself at him. This leads to a duel that he really does not want as he loved his friend, and he kills him. He now becomes very distraught, and depressed and wanders around Europe for a number of years. When he comes back to St. Petersburg, he goes to a ball and sees a beautiful young girl who is married to a retired, aristocratic general forty years older than she, and he asks to be introduced. He is astonished that it is Tatiana who now reflects St. Petersburg sophistication. He then falls madly in love with her and goes to see her to persuade her to run off with him.
Tatiana receives his visit formerly and when they are alone he pleads with her to run off with him. Tatiana replies that she is still madly in love with Yevgeny but she cannot leave her husband as she is bound by God, the Biblical prohibition against adultery, honour, and duty, and could not violate that honour out of love.
"Mine honour is my life, both grow in one, take honour from me and my life is done." (Shakespeare)
So he must go. Then Dostoyevsky proclaims that this Tatiana represents the soul of Russia. And I am here in honour of that soul.
David Lifschultz
THE LIFSCHULTZ ORGANIZATION
DAVID@LIFSCHULTZORGANIZATION.COM
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August 17, 2020
THE GERMAN ECONOMIC MIRACLES
I was recently sent a piece giving Hitler credit for the economic miracle of German growth between 1933-1939 and attributing it to his lack of faith in the gold standard. First of all, Hitler understood nothing in the financial system. Hitler was essentially created by western powers for the purpose of balancing Russian power and invading Russia as these same forces set up the destruction of the Tsar and the Kaiser in World War one and Hitler and Stalin in World War Two. In 1933 when they put Hitler in the US lent one billion gold dollars to Germany and England 200 two billion gold dollars which is the equivalent of 600 billion dollars today. Mackinder geopolitics covered up the motives of the bankers. (Baron Eduard de Rothschlld set up the Japanese attack on Russia in 1904 financing half the budget for Japan with his subordinate Jacob Schiff in Paris to oust the Tsar, and World War One to complete the destruction of the Tsar, and World War Two to destroy Hitler.) Here they played off England in geopolitic wanting Stalin knocked out to protect India as they did the Tsar. (It is interesting that Hitler offered to Stalin India if he would cease his pressuring him on eastern Europe such as in the case Romania that Germany needed for its oil.)
The irony of Stalin was that he was a former Okhrana agent working for Pyotr Rachovsky who reported to the Tsar. And, of course, they wanted Hitler out of the way as if Japan and Germany merged they would control from the English Channel to the Pacific the Eurasian land mass relegating England and the US to Mackinder island status. Field Marshall Irwin Rommel repeatedly said that the allies were foolish to destroy Germany in an unconditional surrender as then they would then face Russia not realizing that the allies were hoping that Hitler would burn Russia out as 80% of his crack troops were on the Russian front and only 20% of his forces were facing the English Channel which were largely substandard. In other words, the allied plan was to destroy both. We found that out at the Battle of the Bulge where we faced Eastern Front Panzer Armies suffering 80,000 casualties despite overwhelming air power. The allies gave Hitler a lot of time to bleed Russia white not planning an invasion until 1944. At that point they had to invade as it was clear that Stalin would have reached the English Channel in the not too distant future. The Anglo-Saxons thus really failed in one of their primary objectives which was to destroy Russia as in World War One where Russia was also their ally paid for by the lives tens of millions of Russians.
Of course, there were lots of lying propaganda to cover up the true motives of the Entente and allies of World War Two that would be hard to sell to the public based on the truth. It was based on power and riches that the average GI Joe would never see. It certainly was not based on making the world safe for democracies or fighting dictators.
This was realized in this exchange between Goering and Hitler:
Goring: They (Britain and America) entered the war so that we would not reach the east (Japan in China), but not so the East (Russia) would reach the Atlantic.
Hitler: That's quite clear.
Source: "Hitler And His Generals", the stenographic record of military conferences, page 649.
It was the Dr. Schacht plan of connecting money creation with productive investment that worked in Germany after his group of industrialists put Hitler in through Hindenburg. The Schacht protege Dr. Wilhelm Vocke carried out the Schacht program after World War Two creating another miracle.
From May 20, 1948 to December 31, 1957, Vocke was President of the Board of Directors of the Bank deutscher Länder . When the Deutsche Bundesbank began its activities on August 1, 1957 , he became the institution's first president until December 31, 1957.
Schacht acted his part as an agent of British financiers who acquitted him at Nuremberg as they had to show someone being acquitted to make it look like a trial instead of the execution by Julius Caesar of Vercingetorix at his Triumph by "strangulation" which it was. The Anglo-Saxons were guilty of the worst war crimes purposely killing millions of women and children in their bombing campaign and Churchill, Roosevelt and the rest of them deserved to be on the dock too. The British were experienced hands at this blockading German ports in World War One starving to death women and children in violation of the rules of war. Where is Britain now but a nation that cannot even protect its own citizens in lawless London having descended into a second Zimbabwe? The same for the United States. The United States has destroyed itself through its complete moral degeneration. In World War Two the so-called greatest generation became the condom army and today the US promotes sodomy which is a kind of mortal sin of contraception and 1.5 billion abortions around the world just to mention a few of its major crimes. 60 million abortion murders in the US alone not to mention the after morning pill.
"The Cherwell memo described in quantitative terms the effect on Germany of the British bombing offensive on Germany between March, 1942-September, 1943. This paper laid down the strategic policy. The bombing must be directed essentially against German working class houses. Middle-class houses have two much space around them, and so are bound to waste bombs; factories and "military objectives had long since been forgotten, except in official bulletins, since they were much too difficult to hit. (The meaning here is that more women and children could be murdered per bomb for lower classes as their homes were closer together.) The paper claimed that--given a total concentration of effort on the production and use of bombing aircraft--it would be possible, in all German towns (that is, those with more than 50,000 inhabitants), to destroy 50% of the houses."
Madeleine Albright - The deaths of 500,000 Iraqi children was worth it.
We set that up in China requiring credit creation to be only used for productive investment which is why China became such a great industrial nation and achieved such massive growth rates. Russia should have seen how it was done. Let's look at Great Britain then the strongest power in the world in 1900. Gold reserves were 3% against British Pounds created in the banking system. Why? Because they had similarly created credit above the gold reserve. The issue is where the credit went. In the US it is wasted as the Wall St. manipulators borrow hundreds of billions of dollars for their cash settlement manipulations where half the trades on the New York Stock Exchange are systemically connected to this manipulation. It is widely known the systemic trading is half the volume. These thieves are one factor the deep state. So our money supply grows but it is not to build productive plant. If you subtract inflation, the US economy has not grown in more than sixty years. The figures to look at are those of 1990 which shows an understatement based on the change of calculation. But it is worse than these figures. (See footnote one.) Commodities that are rising in price are substituted with those of lower prices skewing the inflation rate to the lower side. Scroll down.
This is covered in this article on Russia that does not need to export anything as they have all the natural resources that they need only they have to replace imports by manufacturing everything themselves. Their Central Bank is under US control so that they do not do that. The traitors at the Russian Central Bank are strangling their economy that could easily grow 20% a year at the same time they could finance a massive increase in births through incentives to create more demand. This is what I call virtuous demand management.
See footnote two.
Footnote One:
THE US DOLLAR: AN ADVANCED OBITUARY BY FRANZ PICK
A BOOK REVIEW
DAVID K. LIFSCHULTZ
INTRODUCTORY QUOTES
The 9-15-1931 to 9-16-1931 Invergordon Naval Mutiny caused a panic on the London Stock Exchange and a run on the pound, bringing Britain's economic troubles to a head and forcing it off the Gold Standard on 21 September 1931. Since 1588 Britain ruled the seas and this was the beginning of the end of British power.
The British pound was the leading international currency and reserve currency at the time. Its 9-21-1931 devaluation was a shock that led directly to many echo devaluations worldwide. By the end of 1931, 23 countries had left the gold standard.
President Richard Nixon’s actions in 1971 to end dollar convertibility to gold and implement wage/price controls were intended to address the international dilemma of a looming gold run and the domestic problem of inflation. The new economic policy marked the beginning of the end of the Bretton Woods international monetary system and temporarily halted inflation.
The OPEC oil embargo was a decision to stop exporting oil to the United States. On October 19, 1973, the 12 OPEC members agreed to the embargo. Over the next six months, oil prices quadrupled. Prices remained at higher levels even after the embargo ended in March 1974.
BOOK REVIEW COMMENCES HERE
Click here to download the book in its entirety
There is a direct connection to the British and Americans going off the gold standard as reflected above and the decline of their military and economic power of Britain and the US as I wrote in the piece entitled "Goethe, Faust and the Euro".
Dr. Franz Pick, the author of this book, "The US Dollar: An Advanced Obituary", began his meteoric rise selling the pound short on the day the Invergordon Naval Strike took place that made him a fortune. His analysis brought him to the attention of Baron Eduard de Rothschild for whom he worked and his successors for the rest of his life. He ruled the US for Rothschild. So much for the facade of democracy.
During World War Two he was part of the OSS system as the paymaster of the French Resistance. When one of their key OSS agents was arrested in Rome in a drunken state, Franz was assigned to go to Italy to bribe with gold the jailor to release him. He drove him to France where the agent said he had to obey the call of nature and took a walk into the bushes, and never returned going back to his OSS work. The Italians did not know how important an intelligent agent they had in their prison.
The books such as the one that can be downloaded above, and his monthly reports, gave him an excuse to meet the heads of the Central Banks or heads of state to convey to them the Rothschild orders who controlled the central bank system. Orders of complexity have to be done in person and Rothschild could not deliver the orders in his own hand. He called himself a journalist but that gave him excuse for his many meetings. It is a myth that the central banks are independent and that is where control of the world lies (see below "Who Controls The Balance of Power In the World"). Even George Soros had to come to him for help to enter the US and he was his superior. George's so-called bet on the Pound was not based on his own analysis but based on inside information as he worked for the Rothschilds who created him.
Since the heroin distribution was the largest business in the world, Franz would give the quote in Harlem of the daily fix. The Mafia had come to him for "financial advice" offering him a huge amount of money but he instead swapped the advice for the daily heroin quote in Harlem. During the Vietnam War he would quote the prostitution rates for the American Military in Saigon for what Senator Fulbright called the American Military's whorehouse. Mothers of America were very, very upset at how Fulbright talked about their precious ones but they should have inquired what their husbands were doing in World War Two when the military passed out tens of millions of condoms for what Eisenhower named his book "Crusade" in Europe. His monthly currency report was purchased by just about every central bank in the world and even our GAO Office used it in their studies as the information on blocked currencies was not available in the standard books or articles of reference.
This worthy study can be summarized in this two sentence quote from Dr. Pick:
"Each year I send a copy of the inflation chart to French President Valery d'Estaing who asked me to. When he first saw it, about five years ago, he said, 'But my dear friend, since 1965 there has been no progress in the United States.'" In other words, if we take the true inflation out of the GDP figures there has been no growth in the US as half our industries have been destroyed replaced by a growth through inflation figures that are imaginary. This sleight of hand is discussed in the book but what happens in the CPI index is if the price of a product rises too fast they exchange it with a cheaper substitute thereby biasing the index downward.
I came across Franz in the 1970s seeing him often quoted on the front page of the Wall Street Journal. I wrote him that he was a buffoon and did not know what he was talking about. He invited me to his apartment for a meeting in which he said that part of my critique that stated that the usury gold system does not work based on the fact that gold was barren was true and understood by almost no one. (This is explained in detail in the study "Goethe, Faust and the Euro" below.) It was the key to the Rothschild rule of the world as fiat money had to be its children, and those who controlled its creation would control the world. Additional control mechanisms are usury and Balaam style (Numbers 25) imposed degeneracy or the depraving of the population. Thus, I earned from Dr. Pick the title of Saint Thomas. (See study below entitled "Who Control The Balance of Power In The World). He also said my criticism of him was correct but if I wrote the whole truth no one would buy my books. Not that it mattered but he did need a front.
In 1979 he asked me to write for the new Federal Reserve Chairman Paul Volcker his famous anti-inflation plan which I did, and we sent it to Volcker his being ordered by Franz to implement it which he did on October 6, 1979 at a Saturday night press conference exactly paralleling what I wrote point by point in the press conference. I later told him when to ease rates at a three hour discussion on the Delta Shuttle between New York and Washington which was delayed.
Volcker's Announcement of Anti-Inflation Measures
Ted Truman (1) used to tell me that Paul required him to answer him on my correspondence within 24 hours. During the 1987 crash Ted was the internal point man in reversing the 1987 cash settlement manipulation while "others" gave out the order to the Wall Street Giants to reverse their cash settlement positions ending the crash. None disobeyed orders. Dr. Pick was not alive to see it but he would have been happy that we prevented a 1929 as we did in 2008. Truman was about the only one there who understood anything as Greenspan was totally incompetent. See study below on the use then in the manipulation of stochastic control theory. In 2008 we did the same but with revisions as can be found in the Goethe analysis below.
(1) From 1977 to 1998 Edwin M. Truman directed the Division of International Finance at the Federal Reserve System.
Footnote Two:
THE SOUL OF RUSSIA
At a major Moscow piano recital the pianist dedicated a Chopin piece to me as a gesture of a people to people relationship above the governments of Russia and the US. There I replied to thank their leading pianist for the gesture with an artistic discussion based on Dostoyevsky's speech at the dedication to Pushkin's statue on June 8, 1880 on Eugene Onegin whose statue was nearby. When I concluded that the poem should have been titled after the heroine Tatiana, who represented the soul of Russia then and today, the audience rose to their feet wildly applauding and crying out with tears running down the faces of the women. I received a standing ovation. The ladies insisted on my being photographed with them individually and said I must be Russian as I reflected the true Russian soul in my talk. I was very much surprised. It was totally unplanned. This recital's speech is covered in the last four paragraphs below. This is not the exact transcript as I spoke spontaneously without notes.
The following speech was delivered at a Duma Conference on peace at that time.
CAN RUSSIA HAVE PEACE NOW?
DAVID K. LIFSCHULTZ
AT THE RUSSIAN DUMA PEACE CONFERENCE AT THE DUMA
The position of Prussia in Germany will not be determined by its liberalism but by its power ... Prussia must concentrate its strength and hold it for the favourable moment, which has already come and gone several times. Since the treaties of Vienna, our frontiers have been ill-designed for a healthy body politic. Not through speeches and majority decisions will the great questions of the day be decided - that was the great mistake of 1848 and 1849 - but by iron and blood.
Can we have peace when Russians are being pounded with mortars in Donbas? Can we have peace when Russians are being mistreated in former Russian territories where twenty-five million Russians reside? The answer is no.
The position is not so different than when Germany after World War One had millions of Germans cut off from Germany at Versailles as Danzig that was 99% German and entitled to a mandate vote by the United Nations that was denied to it. This was the catalyst of World War Two when at the outset of that war Germany and Russia were allies. However, Germany lost the war and Russia did not.
There was treason within Russia that destroyed their nation in 1991 as during the Bolshevik Revolution. Russia had not lost World War One but the revolutions destroyed a Russia that could have made peace on its front. After World War Two this problem was avoided by all Germans who were left outside Germany being forced to move back to Germany during which many perished. This is even being discussed in the west in the highest circles as relates to the 25 million Russians caught outside of Russia by Yeltsin's illegal tearing the Baltic States, Ukraine and Central Asia away from Russia. Western circles want them expelled to Russia as we expelled the Germans.
The Ukraine was part of Russia for nearly 400 years. The very idea of its independence was invented in Austria during World War One for the purpose of undermining the Russian Army and it certainly did undermine the Russian Army during that war. The present independence of the Ukraine was set up so the local Trotskyite oligarchs could loot the country as a Russian aligned government was about to move against the oligarchs. That essentially is the history of most of the areas torn from Russia by Yeltsin under western orders.
The Kiev coup was set up by Brzezinski to draw Russia into a new partisan war as in Afghanistan and was accompanied by his ordering the Gulf States to crash the oil price. Brzezinski was concerned about the massive buildup of the Russian Armed Forces starting in 2000 in missiles as well as the modernization of its ground forces and wanted to strike before it was too late. Russia moved to protect the Russians in the Crimea and the Donbas and Luhansk leading to more sanctions. All of it was a setup.
Russia refused to send its armies into the Ukraine, even that part that was strongly pro-Russian such as the eastern Ukraine east of the Dnieper River (which was historically part of Mother Russia), so as not to become bogged down in another Partisan War leaving the rest of the Ukraine to be looted by oligarchs supported by the west and watched its internal financial collapse. The west would not fund the Ukraine's economy adequately and let it collapse. Most of the IMF injections were stolen by the oligarchs when they transferred their loot out of the country using the IMF money giving them the western currency. These oligarchical looters were backed by the Rothschilds as those in Russia and we see that evidence in the ownership by Lord Jacob Rothschild of all of Khodorkovsky's now worthless Yukos stock. They are Trotskyites as those in Russia now. The Trotskyites of the Bolshevik Revolution backed by Baron Eduard de Rothschild were also Trotskyites or wolves in different sheep's clothing and stole Russia's wealth then until Stalin stopped them in their tracks. Between 1991 to 1999 the equivalent of the present entire householder wealth of Russia was stolen and transferred overseas mostly to London under Lord Jacob Rothschild under today's Trotskyites. A Trotskyite merely changes his clothing from Marxism to capitalism but never his inner nature. Now they are ruining Russia with sanctions as Putin stopped the looting. Why is this tolerated?
King James Bible: Matthew 7:15
Beware of false prophets, which come to you in sheep's clothing, but inwardly they are ravening wolves.
Kiev was an attempted replay of Afghanistan though in the Ukraine Russia did not play there their Afghani part but watched the Ukraine collapse on its own.
Brzezinski thwarted in the Ukraine then created the pipeline crisis in Syria announcing a new pipeline through Syria from Qatar, Saudi Arabia, Syria, Turkey to the EU to destroy the Russian exports of natural gas to the EU and that was the basis for opening up Iran by the west. When Iran did not send their natural gas to the EU, the sanctions were reimposed. In order to accomplish this civil war in Syria, Brzezinski brought in the US created Sunni ISIS to start a civil war. ISIS was originally set up by the US to offset the Shia in Iraq allied to Iran, and to weaken the Shia ally al Maliki, and these forces were unleashed on Syria in a civil war. The rise of the Shia was promoted by the colossal blunder by the US destroying Sunni Iraq. Russia moved in to protect Syria with help from Iran, Hezbollah, and Shia contributing the costly boots on the ground and Russia largely providing air power and they won these allies. Russia's success at the same time blocked the pipeline that was to be used to destroy Russia. The reason all the Zionist Congressmen and Senators vote for sanctions on Russia is that Israel was infuriated by Russia holding up Syria. They prefer Medvedev to replace Putin. Netanyahu is no friend of Putin.
This left Russia damaged in 2014 by the sanctions; the costs of helping Russians in Donbas and Luhansk; the Syrian war and the oil price crash. Since all of this was due to Russia becoming militarily rebuilt unbeknown to Brzezinski until about 2012-2013, it was expected that Russia would in this game of chess move its Queen to protect itself by advising the west that if the sanctions were not removed Russia would default on its 700 billion dollars of external debt. The involuntary default of 1998 had nearly brought down the entire western financial system when a mere two to three hundred billion dollars went into default triggering the implosion of Long Term Capital Management of their 1.8 trillion dollar derivative position and the near implosion of the western financial system. It was anticipated the west would back down but Russian did not move its Queen but accepted the punishment squeezing its population in the process and creating a massive brain drain of talented Russians to the west based on their highly advanced educational system. The CIA could not believe that Russia was so stupid. Stalin's repute as a consequence is now at 70% approval rating and Putin at 25%. Erdogan is going down the same way. The CIA coup failed to kill him so that they will get him with sanctions while he helplessly stands idle as Putin.
The west did not take its defeat in Syria lying down and blamed Iran. Iran under the Shah had been the anchor of all CIA Middle East policy. The Shah controlled the massive oil chokepoint at the Straits of Hormuz and now Iran was becoming a grave thorn in the side of the west, namely, the US. Not only does Iran control the Straits of Hormuz, but the US had created a unbalanced Middle East by destroying Iraq which had counterbalanced Iran. The fact that Iran had now established a Shia crescent from Iran to Iraq to Lebanon was untenable to the United States (note the 8-5 missile attack destroying 70% of Lebanon's Port as part of the effort to destroy the Shia Crescent), and the worst part of it was Iran's strengthening control of the Straits of Hormuz with Chinese and Russian advanced anti-ship missiles lining Iranian's shores. These missiles have a range of over 2,000 kilometers where the aircraft fighters on the aircraft carriers a range of 1,100 kilometers, and the destroyer Tomahawks a range of 1,600 kilometers making them useless to attack Iran as the ships would be destroyed once they are in the range of the anti-ship missiles. As to the US airpower at various bases the Iranian missiles would immediately close these bases with the planes flown elsewhere before they are destroyed on the ground costing the US billions of dollars. The defensive missiles as the Patriot, THAAD and Aegis are relatively worthless. Thus, the US cannot project any power to open up the Straits of Hormuz. Even an invasion is impossible as Iran has nuclear weapons so a concentration of force cannot be engineered as for the Iraqi war. No nation today as North Korea can survive unless they have nuclear weapons as that gives the US the ability to Hiroshima them or lay them waste as Iraq and Libya. by conventional means.
In addition, by Iran now allying themselves with Russia, this gives Russia the potential control of the world through their proxy Iran. Let's outline the the hand of cards that the Russians now hold with their victory in Syria with their Iranian ally. Russia produces 11 million barrels of oil per day. If the US and Iran go to war, it would be expected that Russia would move troops into their former Central Asian provinces to protect them that now produce 14 million barrels a day of oil or together 25 million barrels a day of oil production would be under Russian protection or control against an invasion of Iran. Russia could move even now to protect these former Central Asian provinces. Iran controls another 22 million barrels of oil a day that it can shut down at any time merely by saying that no tankers can go through the Straits of Hormuz. China produces nearly five million barrels a day. So Russia, China, and Iran control over half the world's oil supply and this is the winning hand that these three nations control. In other words, there are a hundred million barrels a day of oil produced in the world per day and over half is controlled by Iran, Russia and China. This gives these three countries control of the world. Thus, these three nations must stick together. Either they hang together or find themselves hanged separately. This means Iran must be the red line for China and Russia. They cannot allow the US to attack their Iranian ally! It is this that interests the US and not Iranian missiles or nuclear weapons. It is a fight for control of the world. Thus, Iran sanctions are not really about nuclear missiles but the control of the world through the Straits of Hormuz.
The Russians through this control of the world can force the EU to end the sanctions and acquiesce to the return to them of the Ukraine, Baltic States and Central Asia if they so choose or cut off the oil. In addition, they can raise the price of oil and sponsor births in their country and build up their technological industries with these riches. NATO forces are to the west of Russia but there is relatively noting to the east. It would only take a handful of troops to reoccupy the old Russian provinces of central Asia and by cutting off half the world's oil supply by "indirect" warfare the US would collapse as it would detonate the 600 trillion to 2.5 quadrillion derivative market described by Warren Buffett as a weapon of mass destruction.
If the US can succeed in destroying Iran, that effectively isolates Russia and China. Then, the US plan to implement the fatal blow on Russia by cutting them out of CHIPS and SWIFT comes next. What is CHIPS and SWIFT?
The Clearing House Interbank Payments System (CHIPS) is a United States private clearing house for large-value transactions. By 2015 it was settling well over US$1.5 trillion a day in around 250,000 interbank payments in cross border and domestic transactions. Together with the Fedwire Funds Service (which is operated by the Federal Reserve Banks), CHIPS forms the primary U.S. network for large-value domestic and international USD payments where it has a market share of around 96%. CHIPS transfers are governed by Article 4A of Uniform Commercial Code.
The Society for Worldwide Interbank Financial Telecommunication (SWIFT), legally S.W.I.F.T. SCRL, provides a network that enables financial institutions worldwide to send and receive information about financial transactions in a secure, standardized and reliable environment. SWIFT also sells software and services to financial institutions, much of it for use on the SWIFTNet network, and ISO 9362. Business Identifier Codes (BICs, previously Bank Identifier Codes) are popularly known as "SWIFT codes".
The majority of international interbank messages use the SWIFT network. As of 2015, SWIFT linked more than 11,000 financial institutions in more than 200 countries and territories, who were exchanging an average of over 32 million messages per day (compared to an average of 2.4 million daily messages in 1995).[1] SWIFT transports financial messages in a highly secure way but does not hold accounts for its members and does not perform any form of clearing or settlement.
SWIFT does not facilitate funds transfer: rather, it sends payment orders, which must be settled by correspondent accounts that the institutions have with each other. Each financial institution, to exchange banking transactions, must have a banking relationship by either being a bank or affiliating itself with one (or more) so as to enjoy those particular business features.
SWIFT is a cooperative society under Belgian law owned by its member financial institutions with offices around the world. SWIFT headquarters, designed by Ricardo Bofill Taller de Arquitectura are in La Hulpe, Belgium, near Brussels. The chairman of SWIFT is Yawar Shah, originally from Pakistan, and its CEO is Gottfried Leibbrandt, originally from the Netherlands. SWIFT hosts an annual conference, called Sibos, specifically aimed at the financial services industry. Starting from July 2019, the CEO will be Javier Pérez-Tasso.
If Russia is cut out of CHIPS-SWIFT, and 88% of world financial transactions have a dollar on one side, then Russia is destroyed. They may figure out a way to hang on but Putin's popularity would hit the level of Yeltsin on his way out and Russia would be back as a vassal of the US. After Russia is destroyed, China will be totally isolated as the US turns its guns on China. Thus, the US wins the game of divide and conquer or divide et impera. That is what this is all about.
Let's backtrack a bit and go into the weapon that Iran presently controls which is shutting the Straits of Hormuz. Overhanging the world financial system are about 2.5 quadrillion dollars of derivatives which is about 28.6 times the 87.3 trillion dollar world GDP (There are various derivative estimates and this comes from a high Swiss source. The Bank for International Settlements estimates about 560 trillion of derivatives while others go to 1.2 quadrillion saying the BIS mostly has derivatives held by the banks that they base their calculations on and these are hardly representative of the entire world exposure.). Warren Buffett correctly describes these derivatives as financial weapons of mass destruction. 560 trillion dollars which is quite enough in theory to bring down the entire financial system (world GDP is 87.3 trillion dollars in 2019) if triggered by the closing of the Straits but again Swiss sources say it is from 1.2 to 2.5 quadrillion. In other words, the US is destroyed if the Straits are shut as stress tests at Goldman Sachs say the oil price would rise from $70.00 a barrel to $500.00 to a $1,000.00 a barrel at the loss of 22% of the oil supply through the Straits of Hormuz or 22 million barrels a day. While there are significant oil reserves in storage in different countries, and the ability to divert by pipeline about three million barrels a day to the Indian Ocean, this would not make a big enough dent in the collapsing daily supply to make a difference.
If the price of oil rose to a thousand dollars a barrels, and there are a hundred million barrels a day coming out of the ground, this would constitute 45% of the world GDP from less than 4% of the world GDP at seventy dollars a barrel. And yet that is not all. Even if we calculate the temporary effects of storage, and the 78 million barrels a day, and three million barrels a day routed over pipelines to the Indian Ocean, this blow will be sufficient to start the nuclear chain reaction of the derivative market and anyone who does not think so should call up Warren Buffett whom we are sure will agree that we will be in a worldwide depression that this financial weapon of mass destruction would produce. This world depression would be worse than 1929 which will cause the overthrow of all western democratic systems as in Germany in 1933 including that of the United States. There will be hell to pay for the Trotskyites of the west.
This is becoming clear by the recent economic gyrations of the US based on the shut down of the economy based on the fear of the coronavirus leading to a 32.9% decline in the US GDP for the second quarter which could be said to be the equivalent of the reparations problem of Germany in 1933 that was caused by its moral decline before World War One that cost them the war. Here we find the US falling apart under similar economic stress after a more extreme moral decline here reflected in the laws legalizing sodomitic marriage and 60 million abortion murders not to speak of the US sponsored 1.5 billion abortion murders worldwide. These abortion murder figures are very much understated as they do not reflect the after morning pill. The US has fallen so low morally that rioters have destroyed 400 cities and the troops have not been called out to end the rioting by shooting the rioters or firing cannons with shrapnel successfully used by Napoleon Bonaparte to clear the Parisian streets. This reflects a total moral breakdown and loss of nerve in the face of Leninist BLM-ANTIFA PSYOPS OPERATORS set up by a foreign power as the Bolshevik Revolution. New York City that reflects 10% of the US GDP has had most of their business leaders fleeing the city as it faces total bankruptcy by allowing the rioters to take over the streets and stabbing the police in the back leading to massively soaring crime rates. New York City is Weimar Berlin.
We saw that stress in 2008 when the disaster was only confined by papering over with 400 years of new Federal Reserve Credit to replace the destruction of derivative instruments. From 1914 to 2008 about 900 billion dollars of Federal Reserve Credit was created before it was fractionalized into the banking system to about 18 trillion M-3 at one point, but we raised that to about 4.6 trillion dollars after the crash to maintain the monetary aggregates so that they would not contract as in 1929. 2.7 trillion was created in this aggregate as excess reserves that did not fractionalize as the Fed paid interest on it to the banks higher than market to cover all their assets that had been destroyed and they were gradually written off against this income as planned.
Today we have created 3 trillion dollars of Federal Reserve Credit in about three to four months and the end of this crisis is not in sight. The budget deficit is soaring toward four trillion dollars out of an seven trillion dollar US budget. The budget deficit in 2008 was 455 billion dollars and in 2009 1.4 trillion dollars. The magnitude of the US financial crisis is unprecedented in history and it is only beginning.
These are interesting examples of a government bailout of an alleged private commercial banking system since these private banks are part of the public creation of credit or money creation by fractionalization which is supposed to be only a governmental function of making money. The banks were to all intents and purposes otherwise bankrupt. However, if we lose 22% of the oil supply, we cannot paper over the loss of oil. Game over.
I repeat the original question. Can Russia have peace if the west is trying to destroy it and the answer is no. Russia is at war now as sanctions are war, and it is a hot war at Donbas, and Russia must move to defend itself on all fronts before it is destroyed. We see Stalin's popularity rising in Russia to 70% while the present government is losing its popularity. This demonstrates that the Russian people do not think their government is protecting them.
The following actions are required to restore that popularity.
1. The wealth stolen by the oligarchs from Russia must be returned.
2. Russia must move to protect the 25 million Russians outside of Russia and if necessary mobilize their armies to move back to their former provinces to take over control so they are not persecuted.
3. The Central Bank must be reorganized along the lines of the Chinese Central Bank, and no credit can be allowed to be created that does not have a productive purpose. No financing the purchase of stock for speculation. No creation of credit for anything that does not have a productive purpose. Credit should be created to replace all imports by building factories in Russia to manufacture the goods here in Russia. Self-sufficiency will be the rule and all imports except in the case of vital technology should be ended. And as China, Russia must assign thousands of engineers to develop their own technology as ZTE just did to gain complete independence from the United States. ZTE was put out of business for three months when the US would not give them the chips of Qualcomm. ZTE then went on a crash one year program to replace all US chips and succeeded based on a massive effort. They do not need anything from the US anymore and so is China doing now on all fronts. They will be independent in a year or two rather than the planned 2025 from any US technological input. This is war. Is Russia blind? How could they have not seen their Central Bank was run by saboteurs and wreckers when they had the Chinese example before them.
The new Russian Central Bank and the Ministry of Finance of Russia who will have replaced the Friedmanites (another form of Trotskyism) must create plans together with the commercial banks to invest in industries that Russia needs as China does and the commercial banks must not think that they have a right to be independent of central bank control. Commercial banks create credit on their own when they fractionalize their reserves and if they used this credit which is really money for their own goals they would be converting a publicly owned asset to a private asset. In other words, when the commercial banks create credit, they create money that is not theirs as in printing a ruble. The state has a right to make sure this money is used in the interests of the people. It is elementary economics that Russia can grow its GDP at 15% a year if the credit is created to make factories needed to manufacture goods as the new production offsets the creation of credit making in non-inflationary. Such elementary rules of economics are beyond the understanding of Russia today. There is no theoretical limit to growth on that basis as you theoretically could grow the GDP 30% a year or more but there may be infrastructure constraints that must be studied in advance so bottlenecks do not take place. But the principle is important to understand as the present central bank is basing their actions on a fixed monetary base growth unrelated to production thinking things will take care of themselves. They do not.
4. The degenerate rock music and night clubs should be closed as forms of corrupting the youth and leading to promiscuity.
5. Abortion is a form of murder and so is sodomy in its perversion of denying life to the soul created before conception in Heaven, see Jeremiah 1:5. Both must be outlawed. No nation can be great while babies or souls in the womb are murdered. Dante says of sodomy that it is a sin against nature as only a fool sows where nothing will grow. The sodomist takes a fruitful function and makes it unfruitful. Stalin was right to outlaw these vices. Also, all forms of contraception should be outlawed as it makes marriages into a form of legalized prostitution. Stalin taught all the boys and girls that they cannot practice sex before marriage (onanism) and the conjugal act should be restricted to the procreative end only. For example, it should not be practiced in marriage while the woman is pregnant, in her menstrual period or after menopause. The goal of the Russian woman should be to have as many children as possible. If necessary, the state should subsidize births as much as needed to the point woman will want to have babies and double and triple the population. The state benefits for mothers should be so hight that it is more profitable for a woman to bear children than to go to work. This also can be achieved by the father receiving a family wage to reflect the number of children receiving more of a wage the more children he has. That is true investment for the future. The ideal cycle is three years from conception. Nine months for pregnancy and two years for nursing during which the conjugal act would not be used. If it is used after birth, it can only be used if the procreative end can be achieved and then once a month at the most fruitful time as Zenobia of Palmyra. That is Stalin. That is Napoleon. That is the belief of all great men. That is the devout Christian Church belief. And this is the secret of the preservation of female beauty as explained on French television by Bridgett Bardot that she had become hideous because she gave her beauty and youth to a hundred paramours. That is, her overindulgence in non-fruitful relations destroyed her beauty and her health.
6. In all schools there should be mandatory Bible reading which Bible will teach all these principles especially in the first five books where is found the laws. Stalin studied the Bible in Seminary until he was twenty which gave him the perfect background to instil in Russia the most important principles. There were no innocents executed in the 1936 to 1938 Moscow Treason Trials against Trotskyites and that should be our inspiration. All of them were rightly condemned for Trotskyism and treason against the state. The US has its Trotskyite problem on a trillion dollars a year being stolen on Wall Street through derivatives (that is what they are for) just as Russia had faced by Stalin. Russia right now still has the Trotskyite oligarchs around undermining the state. Putin has been gradually ousting them as Khodorkovsky, Berezovsky, Gusinsky, and others but all the other Trotskyites must go and their assets seized as Khodorkovsky. It must be remembered that even the great Stalin did not eradicate all the Trotskyites until 1936 after 14 years of leadership. It takes time to take back your country. Behind the Russian Trotskyites today is Lord Jacob Rothschild as Baron Eduard de Rothschild was behind Lenin and Trotsky engineering the Bolshevik Revolution through their agent Parvus. It is the Trotskyites in the US who are against detente with Russia as the Trotskyites in Russia. They are the war mongers.
A political meeting should not end up rehearsing endless and meaningless platitudes. It must confront concrete problems with concrete solutions.
We must fight for these principles in Russia. Let's listen to Fyodor Dostoyevsky at his speech at the unveiling of the Pushkin Statue in 1880 on how these principles are applied.
In this speech he discusses the Pushkin Poem "Yevgeny Onegin" in which Dostoyevsky says is one of the greatest of poems. But he says it should really be named Tatiana. Yevgeny was a aristocratic, dissolute dweller in St. Petersburg high society going to see his sick uncle who was dying as he was his heir. His uncle died and he stayed at his rural mansion and estate a while which he had inherited. He met a beautiful girl named Tatiana who had an aristocratic birth but being that she lived in a rural area she did not have the refinement of St. Petersburg. So he disdained her. She wrote him love letters, and was madly in love with him but he returned them as a gentleman as they could have compromised her future. He rejected her. He makes friends with the suitor of Tatiana's sister, and says to him he could have his fiancee anytime he wants who had thrown herself at him. This leads to a duel that he really does not want as he loved his friend, and he kills him. He now becomes very distraught, and depressed and wanders around Europe for a number of years. When he comes back to St. Petersburg, he goes to a ball and sees a beautiful young girl who is married to a retired, aristocratic general forty years older than she, and he asks to be introduced. He is astonished that it is Tatiana who now reflects St. Petersburg sophistication. He then falls madly in love with her and goes to see her to persuade her to run off with him.
Tatiana receives his visit formerly and when they are alone he pleads with her to run off with him. Tatiana replies that she is still madly in love with Yevgeny but she cannot leave her husband as she is bound by God, the Biblical prohibition against adultery, honour, and duty, and could not violate that honour out of love.
"Mine honour is my life, both grow in one, take honour from me and my life is done." (Shakespeare)
So he must go. Then Dostoyevsky proclaims that this Tatiana represents the soul of Russia. And I am here in honour of that soul.
David Lifschultz
THE LIFSCHULTZ ORGANIZATION
DAVID@LIFSCHULTZORGANIZATION.COM
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