The chart seen on www.querschuesse.de shows the UK's monthly trade balance in reference to food!
August 2011: minus £1.436bn!
First eight months of 2011: minus £11.648bn!
We are depending more on more on imports e.g. of meat, a minus of £3.601bn in 2011, alone!
Same for such simple and relatively easy to produce dairy products! A minus of £1.391bn in 2011!
Wheat and animal feed minus £1.382bn in 2011.
Since 1995 we are net importers of oil with a dramatically falling output of North Sea oil.
Great Britain shows the classic bubble economy of a degenerated Anglo-Saxon model under permanent erosion of any kind of industrial output in relation to its GDP while running out of all kinds of resources; see oil and gas.
Along with the high import volume an ever increasing inflation is imported, the currency is weak even compared to US $ and the failing Euro.
Not my words, but a description of the UK's situation in the German blog above. Now, you might not like Germans, Germany or German cars, but what about the truth?
Inflation, even after tweaking all statistical possibilities, is up: 5.2%. In reference to food even +6.4%:
Another Catch-22 situation one should think as once Mr. King (Governor of the BoE) would decide to fight inflation by raising interest rates the government and the banks would have to declare bankruptcy; however, don't worry, inflation is the globally preferred idea to make debts look smaller.
As such inflation must grow faster...
as debts grow faster!
Don't mention the stability and value of the Pound, though!
"The UK fails to feed its population, Mr Neo and Mr. Lib "what are your answers?"
...it seems our professed intelligent leaders finally understand what they might be up to, just three years after Lehmann and well 20 years into what is an unregulated bonanza of Globalism run into the ground by Mr. Neo and Mrs. Lib! What we all are up to, they still have no clue! Some examples?
So the Governor believes in more debts will quantitatively ease the banksters problems, well done Mr. King! Just picking out one sentence ...
In addition to countries like ourselves, like the United States, like some countries in Europe we need to re-balance our economy; we need to slow the amount of domestic spending and boost our trade position to see our exports be the source of growth so that we are relying less on borrowing from abroad than we have been.
This tastes like a 50 year old soda. Apart from the strange construction of the sentence where an introduction like in addition to... ourselves... we need to ... obviously sees him badly prepared and/or terribly nervous the rest is pure rubbish; wishfull thinking, daydreaming in a world that has definitely moved much faster than Mr. King's enlightenment will ever keep up with. His is closely followed by Mr. Osborne's...
... the bank of England has made an independent judgement, ...it [>QE 2] is... a response to the deterioration in the international economy and it is also a response to the severe strains in the Eurozone...
...it will keep interest rates down, it will help boost demand, and that will be a help for British families..."
The most peculiar sentence of Mr. Osborne you will hear is "...the British Government has earned credibility with plans to deal with Government debts...". Media, journalists, bloggers, wake up?
Yesterday, the theguardian explained QE, Quantitative Easing:
QE involves electronically creating money, which the Bank uses to buy
assets – mainly government bonds, known as gilts – from investors in
financial markets. That pushes down long-term interest rates – a bonus
for the economy – and gives the banks more money to lend out. The Bank
doesn't actually print banknotes, it just credits investors' accounts.
Its governor, Mervyn King, hates the phrase "quantitative easing" and
prefers to call it credit easing.
Well, give me a break! QE 1 in 2009 was limited to £200 billion with hardly a penny of that reaching Mr. Osborne's families. If it did anything it retarded the race into depression by a fraction which now three years later a ludicrous 1/3 of QE 1 won't, rather can't do!
Here is a totally different judgement:
Much closer to reality, to the truth, to what we are up to and how banks and banksters are interconnected. The really frightening fact - as you hear - is: we do not even have a plan!
But back to the Governor whose mainstream sauce got me started on this subject again; how can one get away with talking pure nonsense and at the same time being three years, more likely 20 years late?
What kind of miraculous ingredients will he and his friends have to come up with when cuts into domestic spending, among others severe cuts into education, teaching, training, health and general infrastructure shall boost a trading position that is long gone anyway? Gone to China and it is China that invests in education big style!
Export: something all the countries in debt spirals are fancying, they all pray for the export miracle to happen: but in an unsound parallel it is regarded a clever free-market must and a share-holder-value's boost to export all those jobs that are regarded as cheap, dirty, stupid and/or not lucrative enough. So who was it that now makes all the toys, PCs, shoes, T-shirts, phones, stereos, suits, all the china, many cars, soon more trains and airplanes and then all and anything? The answer is China!!
Export: that is why they all take part in the race for a weak currency. Obama would love to see a strong Euro, so downgrading anything in Europe is based on his and his mates' hope this might get the Europeans sorted and the Dollar finally down. And it's China again...piggybacked on the greenback while spending its mountains of green paper on buying itself into all kinds of resources, from land to energy and beyond.
He who laughs last laughs best; he will definitely be a king.
I know it seems like currency related topics are taking over, even this blog that would rather discuss solutions to our lives' sustainability issues than what is forlorn hope, anyway; but I should, at least, mention today being a special day for Germany and the rest of Europe.
As expected China does not miss any chance to stay on top of the game and therefore will help Greece with a €3.6bn fund designated to buy Chinese ships. Interest will be ultra low, so Greece will be able to undercut international shipping rates running the latest state-of-the-art-ships even more. China gets its money back which is nothing else but those USD bonds which the US are printing, printing and again printing - in what obviously are totally uncontrolled but desperate processes (from 3 minutes in the video becomes really painful for Madame Inspector General for the Federal Reserve Coleman!):
Yes, the video dates back to 2009, March; but yes, the ECB, the BoE and the BoJ are all busy sucking up (their own) bonds, approving dozens of Bad Banks while pressing return, return, return - nothing else but the modern, though very green alternative, of printing money ponziing the scheme!
That wouldn' bother me too much; what really bothers me is the fact that while some countries seek their rescue in printing, others print and at the same time implement cuts that threaten social peace while all the custs of this world won't catch up with what is thrown into black holes and banksters' pockets.
This could all be cut short: new banks, new money, corrected rules, all said already long ago! Alone, now it needs new currencies as well! So, what's next? The longer we wait the more damage will be done.
The human races' stupidity to not being able to keep pace learning while progressing is closing in on the worst case scenario.
But then there seems to be one country on the edge of a continent, far away, one human race, that understood the rules and regulations of what it was allowed and invited to play with faster and better than all the others combined: China! The one and only global player which has now, watching its rivals' disintegration, decided to spur domestic demand to stabilise economy.
The rest is putting funny text over aging generations' hymns.
rockenergy is concerned with man made change and manipulation - from economy to ecology - and what should or should not be done; topics that will govern our lives for many years to come; topics that will be unpleasant to discuss with our children as they will ask us: "How could you?" or "Why didn't you?". Topics that we soon will be - or are already - fed up with. Becoming fed up with our very existence will not feed us, warm us, or carry us; it threatens our survival – and that of our children.
