Pretensioning the B(l)ow!

 UK's bubbling model...

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?"


Carpe diem!

banks are doing fine...

... what about the rest?

Seems like lending is up on the downside. More here (in German).

Carpe diem!

euro's song of swan

EURO is history!

Its failure was programmed when this artificial currency was forced over so different economies such as the German and the Portuguese or the French and the Italian; during the last weeks there was not even the slightest hint that any or a certain group of the member states, the ECB or the EU is working on a plan to safe the currency by installing measurements that would allow economies of different levels and needs (!) gather under the same currency roof.

Not that I know all the answers and it very likely is long past 12 o’clock but it is obvious that there are no solutions to heal the programme’s failures.

To collect vast sums of money for filling a Greek hat (how often?) will see a number of other hats pop up, some larger, some smaller; the economies slipping almost on a global scale emphasising the battles for labour and commodities, also for weak currencies and low labour cost, this all inflamed by the banksters' egoism will all but protect the EURO.

So the question is: "What’s next?". Not so much a “how does this end?” but rather a “what will we be left with?” and “how will we go on?”.

Anyway, it might take a little or much longer; but an awful end might shorten an awful time!

Carpe diem!

in dubio pro banks

Citi Notice Causes Customer Angst

Citigroup added a note to the banks statements to their customers:

"Effective April 1, 2010, we reserve the right to require (7) days advance notice before permitting a withdrawal from all checking accounts. While we do not currently exercise this right and have not exercised it in the past, we are required by law to notify you of this change."

It comes through the back door and hardly is worthwhile a note in the news.

Is this just to be prepared?

Carpe diem!

growth, growther, growthest

growth isn't possible


Dr. Victoria Johnson of nef:

Magic bullets - such as carbon capture and storage, nuclear or even geo-engineering - are potentially dangerous distractions.

BBC news, in short


download the publication (pdf) here.

The definition of growth based on a pecuniary increase alone is just one possible but ancient criteria ruling our lives; should we not better begin to evaluate other areas that could benefit from "growing" such as "quality of life" in general terms or "harmony", "health", "comfort", "knowledge" and "wisdom"; finally "real solutions to real problems" could do with massive growth!

Carpe diem!

the race for the weakest currency...

has only just begun!

We live in a globalised world where all have access to the same means and tools to compete in what is running for labour, market shares and hopefully heaps of money.

While the US very openly seek an advantage in keeping the greenback at the low side the Chinese just piggybacked their paper money called Renminbi to ensure their exports staying competitive which at the same time enables them to massively import labour; the trick with holding more than two trillion soft bucks in cash is not really that bad as those dollars buy access to energy and plenty of shares in i.e. African countries and companies that are used to even weaker currencies.

What is likely to happen in the not so far future is the EURO, which so far endured and tolerated - of course, lacking an alternative - the dominant but weakening world currency ending is some kind of programmed implosion.

With Greece more than insolvent, Spain, Portugal, Italy and Belgium not far behind and in general terms very overstressed French and German budgets and economies the once so-called hoard of stability, the EURO, is about to fail dramatically. And if it is not failing in one go we will see it stretched until it does.

A scenario where one EURO country goes bust has not been taken into any kind of consideration in Maastricht when the artificial currency was imposed not to mention an ugly event where a number of EURO economies are becoming insolvent in a matter of months. What a coincidence, at the same time the once leading and ever so strong economies like France and above all Germany are virtually running out of paper to print the buckets of money they need to bail out or rather pump up banks, run scrappage schemes or fill up tax revenue holes.

A bursting EURO will automatically open the currencies' race downwards; the battle to export what is produced and to minimise cost but still put people into jobs is fought at the low end of a currency's value, see China. With only two plus two major and globally traded currencies left - $, €, and ¥, £ - it will be interesting to see who will win that race.

I dare say we will all loose.

Carpe diem!

do you understand Sarkozy?

Reuters: Sarkozy to grill Renault chiefs over Clio on Saturday

President Nicolas Sarkozy has summoned Renault executive chairman Carlos Ghosn for a meeting over concerns that a new version of its popular Clio car could be made mainly in Turkey.

Government spokesman Luc Chatel told reporters the meeting would take place "very soon" and said it was "completely normal" for the state to make its views clear.

The state has long sought to influence Renault's strategy to preserve domestic jobs. In recent years, Renault has moved production of many of its smaller models to countries where labour, taxes, and production costs are lower.

In February 2009, as a condition of a government aid package during the economic crisis, Renault pledged not to close factories in France for the duration of a 3 billion euro ($4.37 billion) low-interest loan.

Interesting to see the difference between Mrs. Merkel and Mr. Sarkozy running their economies; to imagine Mrs. Merkel ordering Mr. Volkswagen, Mr.Piech, in to tell him to not transfer jobs into foreign countries like Turkey or in the end China would cause a major revolt amongst the German neo-liberal global players; their social consciousness has been globalised; as well and at best.

Remember that disastrous headline about "British jobs for ..." not so long ago? President Sarkozy takes short-cuts - good for him that he obviously has something to protect and at the same time understands, that labour is not an endless resource but faces severe competition.

Carpe diem!