WAR IS COMING: China 250% GDP/DEBT RATIO - USA in financial crisis

People keep telling me that China is ultra rich, and owns a stack of Australia and USA but is this really so, and who holds the profits vs debt?

There is some truth to the statement that China owns a lot of assets and real estate in other countries. The USA in particular has been selling resource rich areas to China for some time. So has Australia of course.

Someone told me just yesterday there's a plan for the Chinese to build a railway Network on the West Coast of the USA, mainly California, and that acquisition of land and burning of other land to devalue it is part of the plot. I have yet to confirm this, but will follow through.

The thing is that the Chinese capitulated to the the globalist order (NWO) and set up a central bank (yep, privately owned or usual, linked to Rothschilds) in order to get global companies in, foreign investment and technology, and so they could better access world markets. They got what they wanted, so did the NWO.

The Chinese government now sits on a 250% to 300% GDP/ debt ratio (depending on exact sources for figures); either way it's absolutely disastrous. Their foreign markets are shakey due to economies and their biggest trading partner, the USA, is whacking them with tariffs. Why? Because the Chinese Government co-owns masses of Chinese companies (most of any significance) and had pumped borrowed money into them left right and centre to make them profitable, but then also provides financial support to these companies to make them globally competitive.

There are some very wealthy individuals who have profited from this of course! Just as they have in the USA and Australia.

The USA and other countries cannot of course compete with most Chinese goods because of the advantage their government gives them. What does the USA do? Place tariffs to even the playing field.

So the Chinese economy is dangerously close to free fall. The USA on the other hand, has been slowly pulling back jobs that globalist companies sold into China. Trump has worked very hard at this, and from my understanding, there's been success.

However, the USA also faces a fiat currency system debt it can never pay. The Fed left interest rates near zero for Obama's years, but has hiked them the times in Trump's presidency already. Why does this matter? When a county owes 1 trillion dollars, it might have a hope of servicing a 5% interest rate, but when it owes more than it can pay back from GDP,  anything much more than zero is going to drive it into the ground, and fast.

I've written before about the USA fighting on three fronts:
1. Financial
2. External wars
3. Internal (civil) war.

The Democrats are calling for civil war, and there's a huge convoy of illegal immigrants heading through Mexico of flat bed trucks to the USA as you read this.
Why? To tip the election and create civil war if necessary. Think Europe. Think Russia in WW1, battling on the Western Front, fighting Bolsheviks (Rothschild sponsored) internally and international banks determined to wreck the monarchy and install their own order, which they were successful at.

Traditionally, there's only a couple of ways to simulate a country's economy to solve problem like this:
1. Borrow money to simulate the economy, BUT IT MUST affect the GDP/DEBT situation otherwise it looks the country faster.
2. Go to war

Much of the world is in economic crisis, and whilst Trump has done good, maybe even amazing things, he has many enemies, and it's unlikely he'll be able to keep it going into a full recovery and solution to the enormous debt the USA has. Further to that, the are a stack of neo-con war mongers in the USA. The military-industrial complex is alive and well. What's more, politicians like the Clintons, McCain (now deceased).

What kind of animals are we dealing with here ? Read on McCain here: https://consortiumnews.com/2018/08/27/the-other-side-of-john-mccain/

Is China any different? No. They are increasingly aggressive. They have been waiting for close to technology parity to go to war. They think they are there now, and are in a massive army, airforce and naval building program. It's so big, it's scary.
WATCH THIS just released video: Australia they are preparing to come get you!
https://youtu.be/AVlFGgzMCXs

And here's my friend Steven BenNoon from Israeli News Live, back in the USA and reporting from his car on this urgent matter: https://youtu.be/t4nUOUsHfrs

About China being in DEEP DOO DOO

In answer to a post elsewhere about China being in DEEP DOO DOO.

It's true. China is in a mess. And the leading lights of the global financial system are telling it straight. There is more to it though. As 'binmehere' has already commented, China has LOTS of gold. The y have been buying in gold, and mining HUGE quantities too. The USD (US Dollar) is 'fiat' money: ie. a 'promisory note' not worth anything in itself. This promisory note is linked to a currency that USED TO BE linked to the GOLD STANDARD: ie. you could change hard cash for gold at a set price. Since the US (Federal Reserve) took the USD off the gold standard, the dollar has really floated and values can go ANYWHERE! Because the USD has become the 'Petro Dollar' (a deal that the US would protect Saudi Arabia in return for them making all oil trade based on the US Dollar), it has become the default for world trade.

Things have been getting really shaky for quite a while. The 'stimulus packages' pushed by the World Bank / UN during the GFC have put countries into further debt. But hang on, if we are ALL BORROWING, WHO ARE WE BORROWING FROM? The answer is the global banks. I don't mean retail banks, I mean banks well behind the scenes and well protected whilst retail and national banks take the fall. The CENTRAL BANKS are a feature of globalisation and this trade arrangement. There are only TWO COUNTRIES left without a Central Bank at this stage. Can you guess? Iran and North Korea! China got one just when things took off for them.

So IF THE 'GLOBAL DOLLAR' / USD fails, who gets hurt? Anyone owed money will; and China is owed huge sums of money by the good ole USA! See from my blog http://watching-the-new-world-take-order.blogspot.com.au/2011/05/meet-new-boss-china-owns-united-states.html. See also http://watching-the-new-world-take-order.blogspot.com.au/2016/03/chinas-gold-strategy.html.

Then read http://benjaminfulford.net/2016/05/19/greetings-from-the-director-general/ and http://benjaminfulford.net/2016/05/09/major-movement-on-multiple-fronts-including-us-regime-change-and-serious-political-turmoil-in-china/.

Basically, if China suffers because of its HUGE debt, it may just write it all off and start again. They have already announced a new GOLD BACKED currency. I think this also has to do to some extent with BRICS (https://en.wikipedia.org/wiki/BRICS). If it all goes pear shaped, ande China can't pay its debt, it will FORCE CHANGE. The USA has enormous debt too. The repayments are the 3rd biggest item in its budget!

See a few more posts for context: http://watching-the-new-world-take-order.blogspot.com.au/search?q=china; http://watching-the-new-world-take-order.blogspot.com.au/2011/09/pentagon-prepares-for-economic-warfare.html; http://watching-the-new-world-take-order.blogspot.com.au/2011/06/globalisation-driving-nation-state-to.html; http://watching-the-new-world-take-order.blogspot.com.au/2012/02/bilderberg-2011-rockefeller-world-order.html.

So YES, China is in DEEP DOO DOO! So is the USA. So is the global system. It will probably collapse in the not too distant future. What's the replacement? There are several in the wings; but that's another story!

Australia's debt now tops $200 billion: Good On Ya Wayne!!!

I've heard lots of people have a dig at "loose cannons" like Barnaby Joyce and Bob Katter. They do however bring to our attention things that we need to know, and of course this will rock the boat of those who sometimes seem to be there just to play the game, look good (smile for the camera, your corporate position on finish with government depends on it) and make money.

So here's another news worthy article from Barnaby; not because it's from Barnaby, not because of the way it addresses things, and not becasue I like rocking the boat! Rather, it's news worthy because I don't see anyone else much bringing home important information like this!

Read on, dear reader...

Steve B
=====

Senator Barnaby Joyce

Shadow Minister for Regional Development, Local Government and Water

Leader of The Nationals in the Senate

LNP Senator for Queensland

26 August 2011

Nation's debt tops $200 billion after Labor borrows $100 million per day

Congratulations Wayne on your double century. We knew if you stayed at the crease long enough you would get there. Actually it didn’t take you long at all; you have been doing a "fine job".

I have always had "complete confidence" in your ability to give Australia its largest debt in history.

Today our nation's debt went over $200 billion for the first time ever. We borrowed $3.2 billion over the last week.

Our debt ceiling was $75 billion when this crowd got into government. On 11 March 2009, Wayne Swan invoked "special circumstances" to increase it to a "temporary" level of $200 billion. In the last budget the government has increased it permanently to $250 billion.

If we keep borrowing money like we borrowed last week, we might be able to give this latest ceiling a nudge.

This fiasco that is masquerading as a government has got to end. This relationship cannot go on.

If you go to www.aofm.gov.au you will see that your nation's "Total Commonwealth Government Securities on Issue" as of today sits at $200.242 billion.

The Labor party has increased our gross debt by $140 billion since they came to office in November 2007.

They have been in government for 1371 days and have therefore borrowed over $100 million per day.

There are 12.3 million taxpayers in Australia, so this government has borrowed an extra $11,000 on behalf of each of them.

"What have we got to show for this debt? Fluffy stuff in the ceiling which burned down 190 homes and billions of dollars on school halls which haven't made our kids any smarter. The debt didn't save us from a recession, record prices and record volumes of coal and iron ore exports did."

More information-Matthew Canavan 0458 709433

Hidden Agenda: The "Debt Crisis Plan" was to Strike a Blow at the National Social Safety Net

Oh, this article says it so well. The USA has been set up! We are experiencing a parallel thing in Australia, with the rich and powerful trying to cement their dominant position. Steve B ===== The debt crisis has been averted and people across the globe are breathing sighs of relief. But in the back rooms of the US Congress, politicians are celebrating for a different reason. It's the kind of celebration that erupts when a group executes a complicated plan to perfection. The objective in this case was to strike the first blows against the national social safety net without encountering massive resistance. Mission half-accomplished thus far.   Half accomplished because only half of the $2.5 billion in cuts have been decided on. The other half will be sent to a bi-partisan committee where, according to the White House Fact Sheet:  "... the committee will consider responsible entitlement [Social Security and Medicare] and tax reform [cuts to entitlement programs]. This means putting all the priorities of both parties on the table – including both entitlement reform [Social Security, Medicare and Medicaid] and revenue-raising tax reform.”   If the committee fails to agree on the cuts, they would be automatically triggered, and Medicare would be the target: "...any cuts to Medicare would be capped and limited to the provider side." This means that fewer doctors would accept Medicare patients or they would provide fewer services to Medicare beneficiaries.   When it comes to cutting Social Security and Medicare, the Democrats are Republicans are only trying to get their foot into the door. Nevertheless, the potential cuts will have a massive impact on the millions of Americans who depend on these vital services. And if these cuts are allowed to happen unopposed, the possibility of future, more dramatic cuts is certain.   Equally bad is that the budget deal makes the unemployment situation even worse. In writing about the effect the cuts would have on employment, a Moody’s analyst predicted that:  "The deal announced last night calls for a yearly average of $240 billion in cuts over the next decade. Very roughly, that suggests the new plan would cost around 1.6 million jobs per year during that time. [!]" (August 1st, 2011).  This noxious level of contempt for working people was the product of a manufactured crisis, with Democrats and Republicans playing along. How did Obama and the Democrats essentially push through the long-term objectives of the Republican Party? Author Michael Hudson explains on Democracy Now:   "... There has to be a crisis. Now, in reality, there is no crisis at all. In reality, raising the debt ceiling has been done for a hundred years automatically. There is no connection between raising the debt ceiling and arguing over tax policy. Tax policy takes many years to work out. All of a sudden, Mr. Obama is going along with the charade of saying, "Wait a minute, let’s create a crisis."... And Wall Street doesn’t like real crises, so there’s an artificial non-crisis that Obama is treating as a crisis so that he can put forth the recommendations of the Deficit Reduction Commission to get rid of Social Security that he has supported all along." (July 22nd, 2011).   Thus, it's not true that Obama was "held hostage" by the Republicans. If he told the country only half of what Mr. Hudson explained on Democracy Now, the Republicans would have folded instantly. If Obama would have told the country that the Republicans wanted massive cuts to Social Security and Medicare, instead of purposely hiding these issues, Republican voters would have converged on Capitol Hill with torches and pitchforks. Instead, Obama went along with the charade; because in order for it to succeed, he was required to play a leading role in the drama.   Liberal groups and the major labor federations -- AFL-CIO and Change to Win -- have given a left cover to Obama's far-right policies, wrongly blaming only the Republicans every step of the way. But this willful blindness has its limits. These groups intend to "get out the vote" for Obama in 2012 while ignoring all the damage he's done to working families, while they also ignore all the promises Obama made to them and didn't keep last time.   The rank-and-file members of labor unions and liberal groups are among the million of Americans suffering under Obama's economic policies and will not follow their leaders like lemmings over the cliff for Obama's next presidential run. There will be a profound lack of rank-and-file volunteers to campaign for Obama, even as labor union leaders throw away their members’ dues money for the campaign. And because fewer members will campaign for Obama, he will feel less inclined to reward them after (or if) he wins. Instead, he'll again reward Wall Street, meaning, he'll continue to take from working people and give to the rich, further exacerbating the problem.   To change this downward spiral for labor and liberal groups a new approach is desperately needed, and can be started in two steps: 1) Put forth independent demands. 2) Wage a real fight for these demands. The most immediate demands for the majority of people are job creation and saving Social Security, Medicare, and the broader safety net including Medicaid. These demands require that revenue be raised by taxing the rich and corporations, since no other group can afford any taxes, and inequality continues to skyrocket.   There is a direct link between the decades-long lowering of taxes on the wealthy and corporations and deficits rising on the national and state level. Economist Richard Wolff explains on Democracy Now:    "We’re running a deficit because the people who run this society would like us to deal with our economic problems, not by taxing those who have it, the way we used to, but instead by endlessly borrowing from them. And now the ultimate irony, we’ve borrowed so much as a nation from the rich and the corporations, they now are not so sure they want to continue to lend to us, because we’re so deeply in debt. And they want us instead to go stick it to poor people and sick people instead. It’s an extraordinary moment in our history as a nation." (July 29th, 2011).   So instead of directly taxing the very rich and corporations, we are borrowing money from them with interest. Much of the money we are borrowing from them was given to them via the bank bailouts; they were given free taxpayer money and lent the money back to the taxpayers, while demanding that programs that benefit working people be slashed! This extraordinary moment requires extraordinary action from working class organizations, including mass demonstrations as part of a sustained, independent campaign.   The deficit reduction plan worked out by the cooperation between Republicans and Democrats is not set in stone.  Massive, ongoing protests have a tendency to make politicians re-think their policies. http://blogs.wsj.com/washwire/2011/07/31/white-house-issues-fact-sheet-on-debt-deal/ http://news.yahoo.com/blogs/lookout/debt-ceiling-deal-impact-economy-ordinary-americans-163456632.html http://www.democracynow.org/2011/7/22/pushing_crisis_gop_cries_wolf_on http://www.truth-out.org/richard-wolff-debt-showdown-political-theater-burdening-societys-most-vulnerable-video/1311960605 Shamus Cooke is a social service worker, trade unionist and writer for Workers Action (www.workerscompass.org)
Shamus Cooke is a frequent contributor to Global Research.  Global Research Articles by Shamus Cooke
source: http://www.globalresearch.ca/index.php?context=va&aid=25862

Globalisation Driving the Nation State to Bankruptcy

Even five years ago, it was unusual to hear of "Nation States" and their participation in the global economy as corporate units, with borrowings (debt) just like other "corporations" (yes you heard me right.I mean like the City Of London, and Queensland Incorporated). this newsletter from Dan Denning of Daily Reckoning Australia takes a look at the Nation States and global forces, and pokes a stick at what might happen...

Steve B
=====

--You know there’s a whole other world out there. Someone might want to tell this to Australia’s political establishment. It’s narrowly focussed on the idea of taxing carbon dioxide emissions as a means to redistribute income in the Aussie economy. But meanwhile, there are some ominous signs from the rest of the world that could spell trouble here soon enough.
--The first example is Greece. Default on Greek sovereign debt, as we’ve mentioned before, is seemingly inevitable. Everything that happens between now and then is a delaying tactic so that select European creditors can sell their Greek debt or otherwise reduce their exposure to the eventually restructuring/de-facto default.
--Ratings agency Standard and Poor’s lowered Greece’s sovereign credit rating by three levels to Triple C. Greece sits at the bottom of the sovereign ladder, now, at least in terms of credit ratings. S&P said it considers a restructure of Greek debt, where creditors take losses and accept a longer maturity, is effectively a default.
--Greece is a prelude to what will happen at local, state and national levels all over the Western world. It will vary in some places, of course. In Europe, nations like Greece, Portugal, Ireland, Spain, and Italy are unable to deal with huge government debt loads with inflation, the traditional way of easing debt burdens. This forces these countries to cede sovereignty to their European money masters, sell off national assets, and accept austerity.
--Greece is the birthplace of modern democracy. There’s probably something fitting about Greece being the first Western nation to deal with a full reckoning of its debt problem.  And of course the debt problem is only the extension of the problems of the Western Welfare State in a globalised world. Globalisation, come to think of it, is proving to be the enemy of the Nation State.
--We’ll save the elaboration of that thought for later this week. For now, even if Australian lenders have no direct exposure to a Greek default, they will have direct exposure to the low-level chaos that ensues in Europe’s banking market, and the general ripples in global capital markets (higher interest rates).
--What about China? That’s a much more understandable and immediate concern to Australia. Reuters reports that China’s money growth has slowed to a 30-month low. Hikes in reserve ration requirements and interest rates are finally starting to bite. That said, the broadest measure of Chinese money supply (M2) was still up 15.1% for the 12 months ending in May. And Chinese banks still loaned $85 billion in new money that month.
--Investment in fixed assets—resource-intensive construction and infrastructure projects—is running at 50% of Chinese GDP. That’s historically high and unsustainable. But we’ve been saying that about China for a while now. So what should you watch for to see that the government has finally popped China’s credit bubble?

--How about the Shanghai Composite, China’s broadest measure of stocks? There’s been a speculative boom in Chinese property, too. But the stock market is the first place you start to see tighter credit growth hit speculators. The Shanghai Composite is down 12% since early April. Check out the 10-year chart below.

--A 10-year perspective captures a lot of history. You can see that Chinese stocks were not big beneficiaries of the big 2003 interest rate cuts in the Western World. But by mid-2005, the resource and consumer demand those rate cuts had triggered (via liquidity) started to get priced into the Chinese market. And with Chinese interest rates low and government stimulus high, the market took off.
--After the GFC crash the Chinese market recovered more quickly than its Western peers. But since touching 3,500 in late 2009, it’s made a series of lower lows. Now, the 50-day moving average is again in danger of crossing below the 200-day moving average. That’s a bearish short-term sign.
--Is it a bearish long-term sign, though? And does it tell you that China’s credit bubble has popped, with economy-wide deleveraging on the way? It’s too soon to say that. Official Chinese consumer inflation numbers come out tomorrow, though. If the CPI is running hot at 5% or better, expect more monetary tightening by the People’s Bank of China. And don’t expect investors to like that.
--Finally, our thoughts and prayers go out to our readers in New Zealand and especially Christchurch. More aftershocks from September’s quake hit the city yesterday. More are expected. We hope our readers are safe and sound and doing the best they can.
Dan Denning
Daily Reckoning Australia

source: http://www.dailyreckoning.com.au/globalisation-driving-the-nation-state-to-bankruptcy/2011/06/14/
date: 14/06/2011