Yes, We Have No Bananas

Off the keyboard of RE

Published on the Doomstead Diner on April 2013

Discuss this article at the Frosbite Falls Daily Rant inside the Diner

As the Collapse marches its way around the world and both Sovereigns and Banks are “discovered” to be completely Insolvent and BROKE, the BIGGEST of Newzpeak inventions is the idea of “Recapitalization”. This sounds Technical and Capitalist enough that most J6Ps buy it without a PEEP, even when their own Deposit Money is stolen for the purpose of “Recapitalizing” a Bank which has just gone BK and lost everybody’s money!

If I go BK, does anybody Recapitalize ME? WTF do people accept the idea FAILING Banks who JUST lost EVERYBODY’s Money should be “Recapitalized”, with the SAME jackasses running the show who just lost everything?

What a fucking RACKET! Anytime you Go Broke in the Casino, you just “Recapitalize” and go out gambling AGAIN! You just gotta be close enough to the Nodes of Power at the Top of this Game to ALWAYS get “Recapitalized”, even when the whole SYSTEM goes Kaput!

Then there is the Nonsense of Splitting Failed Banks into a “Good Bank” with performing Assets and a “Bad Bank” with all the garbage. Who will Buy Stock in the “Bad Bank”? The Bad Bank is just a Newzpeak Euphimism for TAXPAYER LIABILITY. Da Goobermint gets the Bad Bank, the Illuminati get the Good Bank! There’s a Fair Deal for you! Privatize the Profits, Socialize the Losses in a NUTSHELL!

Next is the Dumbass idea of “Nationalizing” Failing Banks. WTF do I want to Nationalize a LOSER company? Put the whole NATION on the Hook for the bad debt of said Bank, that’s a GREAT IDEA! Why not just let the LOSER Bank go to the Great Beyond and start a NEW Bank on a National Level?

Why NOT is because of course everyone bought into the system, and if you let those Bad Banks go Belly Up, lotsa folks won’t get their Pension Checks. Hell, they won’t even get back their Savings or Checking Account Money nowadays!

Money is a SYSTEM people become dependent on, just like say having a Smart Phone. When I was a kid, you had a Phone at your house, that is how people could talk to you from far away, but you did have to be HOME to receive the call. “Answering Machines”, the precursor of Voicemail didn’t exist at the time. Those Cassette Driven Recorders didn’t emerge until I was well into my teens. Nowadays though, you simply can’t EXIST and be a part of the Techno-Economy without a Smart Phone, to not only keep you Hooked in to communication with your Workplace (why didn’t you pick up? we NEEDED you to come in and fix the Server Crash!), but of course also to Tweet to all the WORLD your latest 1 sentence declaration on Monetary Collapse! Even fucking Bill Gross of PIMPCO Tweets idiocy!

Somehow though,before Voicemail, before Answering Machines, before even the Fucking TELEPHONE was invented, society managed to function OK, to one extent or another. In my parents time when they were kids, though the Telephone had been invented, almost nobody even had a phone in their domicile. How did they “Call in Sick” to work in those days? Answer, they didn’t of course. Workplace made do, so-and-so isn’t here today. If SaS does this too often, he gets fired. Now though, you gotta answer the phone, concoct a REASON (my dog is having a mid-life crisis!) and show up next day with a note & diagnosis from the Canine Social Worker to explain yourself and your Dog’s emotional angst. LOL.

Dependent most of us are in the Industrial Economy on our Automobiles, and Cheap Fuel to push them down the Road to get us to Walmart to buy Everything at Low, Low Prices Every Day and to get to the Workplace or to get the Kids to Skule…etc. That is a tough dependency to BREAK, but NOTHING compared to breaking the dependency on the Monetary System. Removing yourself from this inside Industrialized Nations is for all intents & purposes quite impossible for most people, there isn’t any real Wilderness left to escape to and do Jeremiah Johnson. OK, up here in Alaska you can still sorta do it if you stay on the move all the time, but soon as you drop down a Cabin anywhere the Rangers will drop in on you. You certainly can’t start a COMMUNITY out in the Bush without Goobermint dropping in to regulate your lives. A LAW up here is if you have kids, your Domicile has to have Hot Water and Toilets. You can’t keep your kids if you live in TeePees and use the Great Outdoors as a Toilet like every other mammal does. Child Protective Services will drop in and take the kids and drop them into the Foster Care system. Which is a pretty good Racket also if you DO live in a McMansion with Hot Water, you get around $700/mo from the state for every kid you take in this way. The state does NOT however pay the Original/Biological Parents 700 Bananas/mo to maintain the kid. How fucking STUPID is this system?

The coming REALITY of course is that the State is FRESH OUT of Bananas. Amongst the FIRST Casualties of Banana Shortage will be the Pension Funds of J6P, first the Corporate Ones from BK companies, then the Municipal and State ones, finally the large Goobermint ones like Social Security. All these funds are already being raided to keep the failing banking system propped up with creative accounting tricks.

Sadly of course, JUST raiding Pension Funds isn’t sufficient to prop up a system which in Euotrashland is leveraged probably 100:1, and here is probably 50:1, though nobody KNOWS really because so much of the leveraging is in the Shadow Banking System of Derivatives. No, now they ALSO gotta “Haircut” the Depositors, who don’t REALLY own their Money as soon as they Deposit it in a Bank. Once deposited, the Bank is free to Legally Gamble it however they like, Pledge it as Collateral 10 times over in Rehypothections schemes, and it just ONE of those bets goes South and they get a Margin Call, you can say Bye-Bye to your Money.

So, due to insufficient Pension Funds and Deposits to STEAL here to make good on all the various BAD BETS of Filthy Rich Pigmen Banksters, after everything is STOLEN, what is asked for NEXT? RECAPITALIZATION!

Let me explain this concept to you in PLAIN ENGLISH. Somebody else can translate it into Kraut for our Kraut readers. The Chinese Readers are SOL since we have no Han Diners I am aware of at the moment, and the Chinese are TOAST anyhow. LOL.

The folks who Own the World run this system of Ownership through the TBTF Banks they Own. If the Bank goes Belly Up, they lose everything, money and Ownership, it all gets thrown into a big Bankruptcy Pool to be divied up and sold off to whoever still has some money, which really is about nobody.

What “recapitalizing” a Bank really is takes theoretical Future Tax Revenue from the Taxpayer and GIVES it to the Uber Rich, the VERY SAME PEOPLE who just LOST EVERYTHING to begin with! As I said at the beginning of this Rant, WHAT A RACKET! You can’t EVER go Broke, every time you lose your bets in a big CRASH of the monetary system you are running, you get J6P to “recapitalize” you because you so expertly handled his life savings last time.

In reality however, “Capital” is not Debt nor is it the Fiat Money representing that Debt nor is it even Piles of Gold stored in Basement Safes of Sovereigns, Illuminati or Small Time Zero Hedge Piglets either. Capital is the Resources of the Earth, Energy stores in particular in the form of Fossil Fuels through the Industrial Era. Through the process of the War Machine and the Legal System regulating Property Ownership, a small Cabal of People gained control over most of the important Resources of the Earth, Land to begin with, Energy stores in the form of Coal & Oil through the Industrial Era. Here in the FSoA, around the time Da Fed was chartered in 1913, this Cabal was probably around 150 Industrialists and Banksters, probably somewhat larger now though the ones who got in earliest on the Ponzi remain the most powerful ones here. In the FSoA,you can identify the Rockefellers, Astors, Vanderbilts, Morgans et al, the “Robber Barrons” of the 1800s as the main players. Part of a still larger Ponzi which goes back to the Collapse of the Roman Empire, same general Monetary System has been perpetuated throughout the millenia, though it took a Big Hit during the Dark Ages. Did not disappear though, it was mainly perpetuated under the auspices of the Holy Roman Catholic Church through the Dark Ages. This crowd mainly identified by the Rothschilds, Kuhns and Warburgs on the Banking end, and the Plantaganets, Hapsburghs et al on the Political End in Eurotrashland.

Why is it every time there is a Massive Monetary Crash (and this is not the first one by any means, they occur regularly every 80 years or so), the SAME people get “Recapitalized” by J6P to remain in what appears to be Perpetual Control over the Resources of the Earth, and the Political Systems which Goobern the life of J6P? The reason was probably best stated by Henry Ford, who went BK around 5 times on his way to becoming one of the world’s most “Wealthy” men:

It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.

You see, probably 99% of people have ZERO understanding of how the Monetary Sytem works at ALL. They simply TRUST in it, and they don’t have smarts enough to separate and devise their own. In fact you DO have to be VERY SMART and CRAFTY to set up a Monetary system which will last any length of time at all, and even then you have to have Political Control over vast resources of the Earth to do it. Such has been the case for most of History, going right back as far as the Tower of Babel. Those IN CONTROL recruit and sift out people who can run such a system, Ben Bernanke and Mario Draghi are examples of that. “The Smartest Guys in the Room”. J6P can’t field anyone who holds a Candle to these guys, they ARE really smart, even if they are working from some really flawed basic principals.

So when a given iteration of the Monetary System fails, you get a buncha Wars as was the case in Eurotrashland from the collapse of the Roman Empire circa say 350AD or so, or WORLD WARS as was the case around 1900 to Present Day. WWII never ended, its just been pursued at a somewhat lower level regionally since Armistice was signed between the major powers of the Industrial Era.

Why do we get stuck with a NEW iteration of the same Bad Old System every time so far? Because when the Monetary System collapses, the SAME people are in control of the Military Apparatus. J6P has no control over that, he just ends up as Cannon Fodder fighting the battles as new alighnments and geopolitical and economic structures are refabricated. This leads MANY people to believe this will be the case in perpetuity, it is a Popular Meme amongst many Diners even. I have Ranted at length on numerous occassions why this is not so, but I STILL don’t have too many BELIEVERS on this subject. It’s hard to get people to understand Money to begin with, still harder to explain a Paradigm Shift of this nature.

You see, all reconstructions of this type of Monetary System depend on a SURPLUS of Capital,aka NATURAL RESOURCES. Mathematically speaking, you simply cannot reconstruct such a system in the absence of such resource, THAT is the Capital! It’s not the money, it’s not even the Gold. It is what those things REPRESENT, and when it is GONE, both represent nothing at all.

Are resources COMPLETELY gone? Of course they are not, but relative to current population size, they are in serious DEFICIT. You cannot get any REAL GROWTH out of this, no way no how, so you cannot pay any Interest. Thus you get ZIRP. Under ZIRP, Pensions, Equity Investment, everything FAILS. ZIRP is a KLUDGE to keep the system rolling another day, but it fails to bring return on investement, regardless of money printing to prop up markets. That is mainly just a redistribution of wealth mechanism, taking money from the Poor to Prop up investments of the Rich. All going south though, just the poor get hit first here this way.

The structure is bound to implode mathematically speaking, it doesn’t have basic energy support to keep it running. It CANNOT be rebooted in the absence of copious energy, or a massive population die off of Homo Sapiens. The latter is a likely outcome, but such a massive die off would deconstuct Global Power Structure, so you still don’t arrive at equilibrium this way. You’ll just get a lot of flux in the system as it re-equilibrates. I don’t think too many of the Pundits understand the equilibation dynamics, I am quite sure John Michael Greer doesn’t, nor Jimmy Kuntser. Dmitry Orlov to an extent. Steve from Virginia sorta gets it, but he traps himself in the 1700 Paradigm most of the time.

Anyhow, Recapitalization of Banks is COMPLETE garbage, and needs to be Politically Repudiated, which it will be. Unfortunate OUTCOME of that is most of the systems we take for granted will collapse, and and EXTRAORDINARY number of people will DIE. So it goes. You can’t make an Omellette without Breaking a Few Eggs.

RE

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