Lessons not learned

As I look back at the end of a lifetime and I wonder whether I am just nuts (which is always a fair assumption), or that others are just unwilling to see the implied fact that we have stopped evolving. Many lives are basically based upon bread and games, a term that goes back to the Roman Empire and seems to be at the very core of what is happening at present in many areas when we compare ourselves to people in the Ukraine. The ‘free’ west seems to be focused on sustenance (a basic need for surviving) and TV. The TV is even showing some gladiatorial show, where people do some kinetic steeplechase for the glory of fame and fortune. I have nothing against the game. I have seen it; it was fun to watch up to a point; and when we switch to some cable channel we are likely to see a TV series that we saw before, a series that is rerun again and again, whilst not showing the latest seasons, but leaving us 2 or more seasons short (depending on the station and the series). We get to see those episodes, whilst the rerun is not giving us the last 3 seasons of NCIS, the last 4 seasons of the Big Bang Theory and so on (it is a very long list).

The top of this consumer pyramid scheme (politicians, board of directors and so on) goes on planning for additional wealth, whilst the rest is getting outdated TV and they are just trying to make due.

That view is getting stronger and stronger as we are confronted with the escalations in the Ukraine. There are two sides that propagated these thoughts. The first was something President Obama stated when he addressed the press. The quote “this week to implement the IMF plan to stabalise the Ukrainian economy“. That part got to me. The US is getting all huffy and puffy about more and more sanctions and actions to get the Ukrainian ball rolling, so that the IMF can spend billions upon billions in some way. WHY?

Chancellor Merkel, like many European spokespeople are trying a softer approach. This is not about which method is better, but about the fact that this is more about the IMF and that what we might laughingly regard as the Ukrainian economy then about anything else. Does anyone remember a place called Syria, where even today people die by the dozen in a civil massacre between the forces of President Assad and their opponents? The ‘crossed‘ red line, even after the second chemical attack is not getting too much visibility is it? Did the powers that want to control forget about those events?

Even more important, the fact that the separatists took out 2 helicopters with missiles (not clear which exactly), is not a reason for stronger concern? I am not accusing Russia at present, but where did these separatists get the weapons to shoot down two helicopters? As I see it, pushing billions into an area that has no stability is just a really bad idea. It seems to me that these issues are not really focussed on. In addition, the NOS news showed us small video bytes of news moments where we see members of US Congress, where they seem to advocate stronger measures and stronger responses. More sanctions, against whom? It seems that the people outside of that circus are ignoring an economical and political play which could hinder their own futures for at least another decade. The fact that Europe will go for another round of dealings for cheap Russian gas seems to elude many people. The US might really like the idea that Russia Gas is turned off, it will give the US the economic option of selling gas to Europe, which will hike the power costs of Europeans by a likely 15%-20%, did the people on both sides of the Atlantic River realise that these events could have long lasting consequences.

Getting back to the Ukrainian issue, I have stated before that the Crimean people were the pushing power to the annexation of Crimea back to Russia. In my mind the Ukrainian government only had itself to blame there. This view is not one I have when we look at the issues in Eastern Ukraine. I cannot deny that Russia is playing a game here, but what game are they playing? Whoever is playing out these events in Eastern Ukraine is doing so on a few levels. First, these are not just all Russians or Pro-Russian separatists. There is equipment, there are droves of people in their support and the events in Kharkov (where a mayor got shot and we see a change of those in charge) also imply that there are levels of orchestration in play, but those behind the screens are not shown.

So why is it so important to get the IMF in there at this point? I am not stating that the Ukraine should not get support, but the EEC and the IMF are so busy getting in there as quick as they could, that we should consider the history on Greece and Cyprus as well. The IMF came in after the fact (which is fair enough). It seems to me that the Ukraine is about something more then ‘just’ the Ukraine and as such questions should be asked. This will all take several other cycles of information crunching when we see that Serbia is also voicing on their upcoming EEC membership. How is Serbia’s economy and how are their balance books?

Is this all about the economy or are the political power controllers in the US not telling us all (the use of political controllers was intentional for those who missed out on a few events). I have stated in the past that from my viewpoint, the US is past its point of bankruptcy (but what do I know), the link here is that the analysts and power brokers downplayed UKIP in the UK and Front Nationale in France. This economic nightmare that Wall Street said could not happen is currently no longer that unthinkable, which makes me wonder why those analysts are on a high 6 figure income. The Farage party is still a strong contender at present and Front Nationale has already made a first sweep in France and the party under President Hollande is now seriously worried. When these two do achieve the drastic change they want, the bang that will sweep the European economy will have a massive impact on the US as well. Perhaps they want to add Ukraine and a few others as soon as possible to soften the blow and to keep alive what will then soon thereafter be known as a puppet currency, which requires the IMF to step in, in as many places it can, so that whatever crash the economy makes then, it will be supervised by one voice that is not the US, the IMF (with the US having the most powerful voice within it).

So in my view, these events are not directly linked, but they have bearing on each other. Is this why Eastern Ukraine is so adamant about no longer being part of the Ukraine? That last part is pure speculation on my side as I have not read any quality reading on why the Easters Ukraine is so militant at present, but it is not just about someone else running Kiev parliament. The reasons are far too militantly played for that. This does not mean that Russia is innocent here, but considering just how much intelligence is gathered on several levels for so many years and on how ‘silent’ the CIA and other players are in that regard. We see the news and we see all those references to keyhole satellites and even as we all knew that Syria was such a powder keg, no one saw anything in Syria. Now we see these escalations in regards to Eastern Ukraine and again, no one seems to see anything here either. So what are those keyhole satellites doing and why are they staying silent. Did no one consider asking that 143 billion dollar funding question?

So why do I care so much about this?

If the Commonwealth is to remain a top economic player, then we must see, acknowledge and consider the options we have and as the UK was never part of the Euro, their currency is safe, but their economic position less so. The UK cannot keep on paying these outrageous amounts, whilst for the most; the EEC members do not keep their budgets in order (they overspend close to 600 billion too much in 2013 alone, this is including the UK). When the Euro tumbles and the Dollar gets the pounding of a lifetime, we must consider what is right, correct and the best for us. Within the Commonwealth those options might be limited to some extent. I always believed that if we as Commonwealth nations (Australia, Canada, India, New Zealand and the United Kingdom) as the top economic nations of the Commonwealth pull together, we can weather all these economic storms and help ourselves to a larger and faster recovery to something better then it is at present. Should Nigel Farage pull of the referendum the way he wants it to end, these levels of cooperation would become vital to the UK. I speculated in the past that the crumbling of the US as a super power would instigate a new coalition of perhaps Russia, China and India (purely speculative on my side), then the Commonwealth link would become even more important. These events go further then just some super power game. The US remains so eager to push the TPP (Trans Pacific Partnership), in there the changes they were considering to Patent Law and Intellectual Properties in general are a concern to many. The face that Australia seems to have blindly accepted it, whilst New Zealand asked the questions and had the reservations both should have had to begin with are also a fact. America fears the abilities that India now has in Generic medication. India sits on a goldmine in an age of faltering health care and the overwhelming need for lower cost solutions in an ageing population. The US pharmacy was dormant for too long, new solutions are delayed again and again. Not unlike the IT where American superiority was boasted and whilst the American Industry embraced iterative evolution, was equalled and now to some extent even surpassed by Asian engineers, the Pharmacy field is in a similar, but not the same predicament. So whilst they focussed on the erectile need of Wall Street, India grew its generic enabling markets. Now America has a problem and the 14 year patent edge will no longer suffice and in the time several players went for the greed driven iterative plan, now slowly are finding themselves on the outside looking in.

This is exactly why the US is in such a state to drive these issues. I reckon that they never expected to be so linked to the Euro and their consequences. I personally feel that not keeping their financial house in order was at the centre of these reasons and like Crimea, it returning to the Russian fold is the worry of the US as the Euro could ‘collapse’ when nations decide to reject the Euro and return to their original local coin. The UK kept the Pound, but when France moves back to the French Franc, the currency that is no longer supported by two major economies will entice others to follow suit. The Dutch PVV has had several investigations to dump the Euro and return to the Dutch Guilder, when that happens party of Geert Wilders (even though the Dutch economy is small in comparison to the large four), the German corner could end up panicking and could move out to preserve itself, is that all such a long leap of faith?

This all will hurt the US in many ways. Now, it no longer aligns it’s maximum borrowing power to one currency, but to well over half a dozen, which should collapse their spending spree for at least two decades, more if the US defaults on even one loan. Consider in the second degree what happens when S&P will have to return to the comparison approach it employed before the Euro was adapted by many European nations, the impact could be massive.

So as the bulk of the people are asleep, relying on bread and games, the powers that would like to remain in control are playing high stakes poker as it is others peoples money and they will not pay the bill when the deal goes sour. We all must do what is best for us. The UK, the Netherlands, the Ukraine and the US. They all have to make their own decisions, whether they are valid for others or not. That is what many forgot as they all were trying to play a game on a global scale, with them all having themselves in focus. Crimea did what they consider to be best for Crimea. Most people forgot about that part, even Kiev forgot about that side of the equation, which makes the entire escalation part even sadder. So, should you consider my view to be invalid (which might be fair enough), consider the amount of actions, many debatable on both sides of the Ukrainian aspect. Consider the amount of NON-actions that were taken during 3 years of Syrian slaughter (on both sides). In my view, just focussing on one part of getting chemicals out of Syria (which is essential), whilst a second chemical attack took place (which had almost no coverage) looks like a joke to me.

Even now today (less then an hour ago), we see Ukrainians acting out against Ukrainian tanks, does that remind you of other similar events?

What lessons are we not learning?

Leave a comment

Filed under Finance, Military, Politics

Limitations of the law?

It is an interesting, yet disgusting twist on the laws that involve freedom of speech. In Europe, the commonwealth as well as America, most of the nations in these groups have always championed freedom of speech. Yet, should there be a limit to that? Some argue that this should not be the case. The Netherlands has seen a first limit as it should exist in my mind. Those who have studied the law might be familiar with the Grudge Informer. It was one of my first law essay topics. Should unjust laws be accepted? This was at the heart of the matter, but what does this have to do with the freedom of speech?

In the Netherlands a case had proceeded through the courts involving what some call the freedom of speech, but what should be regarded as the dangers that is represented to children. The case went from court to the highest court, the Dutch equivalent of the UK Court of Appeal (US Supreme court). In there it was decided yesterday that the organisation ‘martijn’ is to be dissolved. (NOS News, April 18th 2014).

So what is the issue? Even though the case went on in regards to ‘freedom of speech’ and even though Mr Jon Schilder, Professor of Dutch constitutional law (Hoogleraar staatsrecht) is speaking academically that this is a dangerous development, the issue is that the organisation was about the protection of paedophiles. I did not go and utterly refuse to visit the site; I will not mention the location here either. The parents who took on this task after their child of three had been sexually abused have won the case after 4 years. They were appalled that the organisation had a website which, as it was stated that glorified paedophilia as well as handed insights into avoidance of prosecution as well as instruction on how to minimise a person’s forensic footprint.

I cannot fathom the issues that play in regards to the freedom of speech as it casually endangers children. This goes far beyond the issues of accountability that I have always championed. The fact that a national constitution has such a draconian level of freedom that anything goes is beyond my comprehension. (at http://nos.nl/artikel/637394-advocaat-van-martijn-teleurgesteld.html) The words from Lawyer Bart Swier are even more unsettling “Mijn bezwaar is dat er slechts sprake is van een denkbeeldig theoretisch risico, en niet van enig concreet gevaar. Dat zou eigenlijk de maatstaf moeten zijn voor een dergelijke vergaande inbreuk op de vrijheid van meningsuiting” translated: “My objection is that there is only an imaginative theorhetical risk and there is no concrete danger. This should be the measure for such an intense breach on the freedom of speech“.

I understand that Mr Swier is representing his customer, but can anyone even consider any level of ‘rights‘ when the foundation of such rights are a direct danger to the health and welfare of children?

When we look at the article at http://nos.nl/op3/artikel/637506-pedofielenvereniging-nu-echt-verboden-wie-vindt-wat.html, where we see the following: “Een groep van 49 wetenschappers, acteurs, schrijvers en andere bekende gezichten deed twee dagen geleden in de Volkskrant een oproep om Martijn niet te verbieden” translated: “A group of 49 scientists, actors, writers and other well known faces made a plea in the Volkskrant (a Dutch Newspaper) to not make the organisation illegal“.

Even if I could agree to the Freedom of Speech to the extent that the Dutch would like it to be, this organisation is for people with a sexual preference for children. In my mind it is the most horrific crime possible. It goes beyond anti-Semitism or Genocide. This is about the mental and physical destruction of a young life, which has no defence and will continue through life physically damaged, mentally broken and often far worse than both. It is utterly unacceptable in my mind. Although I have a good grip on the need for a freedom of speech, any act, consideration or even contemplation that can be regarded as a danger to children should not just be disallowed, those involved should be prosecuted beyond what we consider ‘correct’. Be mindful that I phrased ‘can be regarded as‘. Any danger to any child is not to be allowed EVER! If this world is to continue in any way, then this can only humanely happen if the safety of any child is set above all others.

Any law that endangers a child should be seen as unjust and therefore should not be abided to, which was at the centre of the Grudge informers. In a similar light, we should consider the US with their Jessica’s law, a law that had been championed by Bill O’Reilly to be passed into law. The official version is ‘The Jessica Lunsford Act’, (H.R. 1505 of the 109th Congress). It was never voted on and the law did not pass. There was some opposition and controversy, yet at the heart this act was to protect children under 12, by setting a massive verdict on any adult who sexually engaged with a child under 12. In my view Mr O’Reilly had the right sentiment and the 109th US Congress who had led this slide should reconsider their point of view as they failed to better protect children. I will admit that there are likely legal issues that are true issues to resolve, yet the foundation is that this was about protecting children. Like the Dutch verdict which showed a rarely seen danger in regards to the freedom of speech. It is more fitting that this concerns both Civil Law and Common Law. How can the law be so ‘tolerant’ towards the dangers to a child?

A legal failing to a group so unable to defend itself is a failing to the Justice system as a whole; there is my link to the Grudge Informer. The question becomes whether the law has failed, or is failing the protection of children. It is a hard verdict, but from these two points, that failing is a yes, however, there are two sides to this. On one side, I feel uncertain to additionally act against a Paedophile with new laws, as this would complicate the entire prosecution under the Mental Health Act, as this is dealt with through the DSM-V (the Diagnostic and Statistical Manual of Mental Disorders). And my reasoning is that I would not like to introduce some weird loophole giving them additional legal escape routes. Yet, this should not stop the legal groups to add additional protection to the child as well. If we consider the Dutch case, then the existence of the organisation, gives a clear view that there is premeditation, which in itself should allow for additional protection of the child. Even though the organisation is now illegal (as per yesterday’s verdict), these people will find other ways and it is almost a certainty that they will ‘connect’ online. This should give the law makers a direction where the ‘hunt’ should start. Although hunt is an incorrect legal word (the sentiment is however very correct), the need for a shield that protect children on a global level is an essential one and should be regarded as a first priority for lawmakers everywhere. Consider in that part the article (at http://www.nbcnews.com/id/42108748/ns/us_news-crime_and_courts/t/massive-online-pedophile-ring-busted-cops/), there was no date given in that article, but the fact that this involved 70,000 members is something that should scare lawmakers and parents alike.

We as adults all have a sacred duty to keep all children; no matter who’s they are safe from the dangers of such predators. In my personal humble opinion, in regards to the Dutch sentiment on the freedom of speech in this particular case, I hereby state: ‘freedom of speech be damned!

The protection of a child should always be first!

Leave a comment

Filed under Law, Politics

Facts, Fiction or Fantasy

It is the elementary consideration of the three F’s, when we look at the information in regards to the Ukraine. It is not whether we give value or credibility of the news we see coming from Sky News, the Dutch NOS, BBC, CNN or even Fox News. There is a side that remains largely unspoken by many of them.

We see the news on how it is written on how these poor, poor Ukrainians are getting pummelled back into the anti-freedom group called ‘the Russian Federation’. Is that actually a truth?

Yes, we all notice on how well organised and well-armed these pro-Russian antagonists are, but are we seeing all the information correctly? Consider that not a few or a dozen people are in favour of these so called referendums, no; the people are out and about in hundreds and thousands. Many are singing their ‘old’ Russian songs and anthems. This is at the heart of the missing information. Consider that we see a lot more US involvement, whilst Kiev is now asking for the ‘Blue Helmets’ (UNIFIL) intervention. These people are about to get more support in 2 weeks, then the entire Syrian nation got in three years. I hope you remember that little escapade. It is still going on and the amount of casualties remain rising in Syria.

So, why are we all up in arms about Ukraine? Is it because some in Kiev want the European values and we are so upset about those who do not want to share ‘our’ way of life? Consider that the news has all been about implying that these acts are all orchestrated by the Kremlin and whilst it sounds really fun to hear about some politician who is about to get his assets frozen, nothing real can be done. By the way, can anyone tell me when the American Politicians or Wall street big bosses got their assets frozen?

The Ukrainian mess is blowing out of proportions in two ways. The first was the start of the Crimea and in specific the way the west and others responded to the events. I will always consider the fact that Russia did have some involvement here to some extent. The reason is that not having their fingers on the pulse whilst there is a massive naval base there is just not an option. They might not have intervened, or they remain silent on actions, but they knew what was going on. It was in their interest to pretend to be the non-observant here. Yet, that story does not reflect on the other parts of the Ukraine. A simple look at the map can tell us that. The Crimea was a military power point; the rest of the Ukraine is not. It is so simple for Russia to stand at a distance as see this all go up in flames and then offer ‘humanitarian’ aid.

The part that western news is ignoring is the shouting of the people that they have had enough of Kiev corruption. In their mind this will only lead to even worse times. Can we even blame them? Look at what the IMF has wrought (not through their actions through), Greece, Italy, Ireland, Spain and Cyprus. Massive debts, then IMF/EU financial support and after that austerity and continues after it started to choke a population. Government administrations get re-elected, no one goes to jail and some end up with a massive amount of money and favours. Is it such a leap of faith that Ukraine, a nation where corruption is such an issue, a place where now its population is just too scared to see what happens next? Consider the news in the last week, where we read that Christine Lagarde stated that the IMF was no longer forcing structural changes (http://www.sbs.com.au/news/article/2014/04/13/imf-no-longer-forces-structural-change). Was that just a small illumination of change as fear is gripping certain population groups? Consider the statement that was given last week that ‘the IMF was a victim of US politics‘, it is enough to scare many people. The statements of the IMF, which were also stated by Australian Treasurer Joe Hockey, that the US seems to be playing their own political games on regards to the IMF. None of these issues were raised, even though it is stated in several sources that the Ukraine is about to receive 9 billion in aid from the IMF. Now, I am not objecting in regards to the aid, yet, whilst it is known by all the players above a certain levels (at least 4 levels below Lagarde, Obama and Putin), that the Ukraine has a history and environment of corruption. None of that is properly addressed, so whilst 9 billion will go to the Ukraine, how much will end up out of the hands of the corrupt? Misreading gas meters, government invoices and the list goes on, how much of those will get paid by the 9 billion? Still wondering why the Ukrainian people are so anxious?

None of these matters are looked at (with proper levels of investigation) by the press, which makes for some of these newscasts a negotiable level of ‘pro-western’ advertisements, making the situation worse.

What the press is unwilling to illuminate, is that at the centre of these troubles are the pro-western politicians. They had no issue disposing of its former president, yet when they themselves are rejected by the Crimea and as it seems by the people at large, everyone shouts foul!

That part is an issue, no matter how many journalists ignore it. It is of course also a nice point of light as well; my income might drastically improve if the cold war is back. There is of course the badge of benefits we see with new movies (like a new impossible mission going up against their old adversary), the video games and in my case more data analyses. All those international locations that would need Palantir Government installed, trained and consulted upon.

Is this the reality? I do not know, the pressure between east and west is growing, so it remains a consideration. Consider however the events in Syria and that red line that was drawn (by the US), nothing happened. Is it because US intervention might get some of their oil benefits revoked? Is Syria not an interesting nation? (Which seems odd, as the pressures there would influence their long-time ally Israel.) So what is the press not investigating and what are we not getting told in this instance?

Consider that when you watch the news tonight and listen to what they say exactly, because you will hear suppositions and carefully phrased implied events, but where were the facts and more important, why are we not getting all the facts? That last one is important, as it turns a fact driven newscast into a work of fiction or even fantasy, which is getting the Ukrainians so angry and bothered.

In the end I still ask the question that is at the centre of this all. Why did the EEC not let the Ukraine be? This is not a statements against dealing with the Ukraine as a business partner, but in the light where the economies are down to such a degree, when the EEC is still dealing with the new partners and the overall debt levels are far exceeding acceptable levels in many of the EEC nations, growing is not a solution, it is a sure path to implosion, which will leave most of the EEC in a destitute state. That part is also seen as the two big national influencers, namely the French ‘Front Nationale’ and the British UKIP. When they do get the referendum to fall in their favour, the EEC will be in a mess that they will not be able to fix. Is the adding of as many nations as possible a desperate act to float the EEC at that point? (That was an actual question I am phrasing myself!)

The last one is likely to be a mere speculation (read fiction), from my side. Yet, considering the steps as we saw the EEC change and grow from 2008 onwards, after economic blow after blow. Now Greece is selling bonds again, whilst at present, their economy is in no way ready to deal with the old debts as well as the additional new ones. Are you still surprised to see the Ukrainian actions?

I am not stating that Russia is in such a great state, but there is every indication that they are not in a bad state either (with massive parts if Europe depending on Russian Gas), add to that, the fact that the Middle East is now diversifying by making Russian arms deals and other deals, which should indicate that they will order less from the west. Cars, electronics and other needs are now more and more moved to Asian makers like China, India, Myanmar et al. Some was already there, but slowly the list of migration is growing. Australia will lose massive amounts of jobs as the car industry moves away (not one brand, but all brands within the next 36 months). We see that airlines are slimming down and as the news reaches us day after day, often just after some ‘good’ news reached us, the balance is not looking good. The west is becoming less and less the place to be.

I do agree that the economy is slowly getting better, but it is also changing. Both have an impact on most of us and I still believe that actual economic improvements are not enjoyed by many of us until late 2015. All these factors are linked, as they are told to all. This is because the Ukrainian people are also watching the news, reading it on the internet and the picture shown is not a good one. So, when they felt that they were about to get the short end of the stick, they all rose up, because the devil you know (Russia) beats the devil you don’t (EEC). That part the big bosses all forgot about and when they applied pressure, they lost the Ukraine. Now the escalations there might not be so much orchestrated, but the stories, as they came from their ‘new’ government is sounding less and less honest in their ears. They want the old days back and in all fairness, can we blame them? Moreover, are the involved nations even happy to add another nation who is on the brink of bankruptcy?

These questions have not been dealt with at all. The last one is one we should all ask ourselves. Why intervene in the Ukraine, whilst politicians have no solution at all for those in hardship and dying in Syria? That issue reflects directly on the people of Jordan and Palestine, especially after a second chemical attack, whether we believe these events to be stories of fact, fiction or fantasy. We are witnessing iterations of ‘the cost of doing business’ on a global scale. It is however the local people who pay the bill through taxation and the Ukrainians seem to be very unhappy about the changes and the bill they will get presented with.

 

Leave a comment

Filed under Finance, Military, Politics

Dangers of clarity

There is a level of danger when you see with too much clarity. This is a statement in the subjective, if we look at what we examine the statements we make ourselves, but it is seen in the objective we judge those same statements when stated by others. The initial crux is that both are of course subjective, as our views are set towards our judgement of whomever the other is who is making the statement.

Even in my case, no matter what evidence I add as a link, it is a link of a newspaper, online news presence or even online newscasts. As the reader regards that entity as a valid one, it remains objective or subjective and is rejected as we do not agree with it. That view does not change whether we use the Guardian, Sky News, the Jerusalem Post or the Haaretz.

One of the issues in play is the Arms deal that Russia seems to have completed with Egypt, whilst the funding is coming from Saudi Arabia. (at http://www.jpost.com/Middle-East/Report-Egypt-seeks-Russian-arms-that-could-undermine-treat-with-Israel-344465 as well as http://www.jpost.com/Middle-East/In-sign-of-warming-ties-Russian-military-delegation-visits-Egypt-348150)

Having too much clarity is at times just as dangerous as being too honest. If you consider that there is no such thing as being too honest, then mention to your wife that her behind is way big in that dress. Good luck getting diner or getting ‘some’ in general. No matter how good the connection is between people, being too honest tends to sour the milk, so to speak. Trust me, I have applied it as a deterrent to remain single and it has worked like a charm these last two decades.

The issues that is connected to this all is whether one of US ‘greatest’ allies in all this is now footing the bill for Egypt on Russian arms. The quote “Egypt completed a $2 billion arms deal with Russia, financed by Saudi Arabia and the United Arab Emirates, an Egyptian newspaper reported last month” is at the heart of this.

So, what is linked to this? Why not a US arms deal? If we look at this, then this is just the economic boost America needs. My worry is that this is another signal that America is showing us how ‘great’ there economy is growing, but is that truly the case? Is this about something else? Perhaps this is payback for the frozen aid from the US, which was supposed to get lifted this year. The article has however two quotes that are also in play. The first one is “Egyptians see the US as an unreliable ally, stated the report, which led Egyptian army chief Field Marshal Abdel Fattah al-Sisi ‘to seek Moscow’s help in diversifying the country’s sources of military procurement’”, the second one is “Despite reassurances from Egyptian officials, the Russian weapons deal – if concluded – portends a gradual reduction in Washington’s ability to control the quality and quantity of weapons that Cairo receives, and to maintain Israel’s qualitative military edge in the region“.

This gives us two new issues that will give pressure in the Middle East. As the US state department is implied to have dropped the ball, the issue that US currency does not hold the value it held only 3 years ago gives us also two fears (which I will get back to in a moment). The second issue is that Egypt is feeling played and as such; Saudi Arabia is now stepping in to give leadership to the Middle East (or so is implied).

In the first part, the two fears are that as the Dollar is degraded in the mind of the oil producing nations, the fallout I expected to see later, might come a lot faster than even I imagined. The second fear is that if the influence of the US dwindles in the Middle East, the parties that remained ‘neutral’ in the Middle East are now likely to instigate terror attacks on the state of Israel and even on each other.

Now for the kicker in all this, there is information in the Israeli papers, but no one else seems to be onto this. Not the Guardian, not CNN, not Sky News, so is this arms deal real or not? According to the Canadians (at http://www.cbc.ca/news/politics/general-dynamics-canada-wins-10b-deal-with-saudi-arabia-1.2537934), we see that Saudi Arabia has set up shop for themselves for a little over 10 billion spanning the next 14 years, so this gives another view. What is real and what is actually happening? I get that some papers will ‘drop’ a story, but will they ALL drop it? This is at the center of all of this.

So in the subjective we read “Israel is in danger“, in the objective it becomes “is Israel in danger“. A movie comparison might be Beetlejuice versus Candyman. From the Israeli papers we see a Wes Craven story play out, yet the absence of these news stories in pretty much all the large newspapers implies that we are watching a less frightening version by Tim Burton.

The larger issue here is that these events also contribute to the integrity of Israel. Both Israeli politics as well as Mossad, both have a responsibility here. It cannot be about allegations and unsubstantiated information on arms deals. This only intensifies the pressures that are already close to a breaking point. As the Ukrainian issues are evolving, the last thing we need are wild wild west stories on arms deals that do not exist (or do they?).

That part becomes question when we see the BBC news (at http://www.bbc.com/news/world-middle-east-26177792). The article was from Feb 13th, not the worst runner up gift discussion when we consider that pesky cherub Valentine (Feb 14th for the non-romantics under us). So the news was there, what is interesting that it gives credibility that this arms deal could be in a finalising stage, but then, why is no one looking at this? This is the deal I had not mentioned in my article ‘Setting the stage‘ on March 27th, which means that if this is true, then the ‘financial pressure‘ posturing is even less sincere from the US and Europe in regards to the Crimean events.

Still, the actual truth is for now an unknown, which gets us back to the title. Clarity in these events will force us to view possible outstanding dangers, the only question remains is ‘who faces clarity and who is in real danger?’; consider how the truth of one event can change this around on several players.

Leave a comment

Filed under Finance, Media, Military, Politics

One debt too far?

I feel interestingly happy today. It is almost like I got the big role in the new Alice in Wonderland play. As i am a guy, some will think it is the role of the Mad Hatter or even the March Hare (there is supporting evidence that I am mad as a hatter and nuts as a Hare), but no! Those are not the leading roles. The leading role (apart from Alice) is the Cheshire cat, who was guiding Alice down the path.

The reason for these, are the events as I saw them this morning in the news. These events all took me back to my article on the 19th of June 2012 called ‘The accountability act – 2015‘. My quote ‘This is about stopping those walking out with non-existing virtual profits, turned into real money, and leaving others behind to clean the mess‘, is at the centre of that all.

This is all linked to a number of things, which by the way will have bearing on the Ukraine as well. The first is the article that we saw on Sky News (at http://news.sky.com/story/1239678/imf-warns-investors-over-rock-bottom-rates).

We see two quotes. The first gives us the warning “Investors are becoming dangerously reliant on rock-bottom interest rates, with many becoming so indebted they will face serious problems when borrowing costs rise, the International Monetary Fund (IMF) has warned“. The problem is that these investors include several governments. When we see in that same article “the amount of cash spent on leveraged loans – the high-debt instruments with financial problems – now exceeds the level in 2007 before the crisis“, we are starting to see a clear pattern. In my view this pattern is that those who were in charge are doing it again. Those who wielded certain options are now doing it behind the screens. They are servicing a ‘population’ of what I consider to be not too bright members of a government executive branch and as such the fallout will be well beyond what we considered possible before.

The last quote “The IMF said it was also concerned about the levels of debt in the emerging markets” is the one I leave in the middle for now, I will however get back to this one later in this article.

The second article comes from the IMF themselves (at http://www.imf.org/external/pubs/ft/survey/so/2014/POL040914B.htm) “Across advanced economies, the pace of fiscal consolidation is set to slow in 2014 as focus shifts to how to best design fiscal policies supportive of both further consolidation and a still uneven recovery“.

This reads as ‘In the US, EEC and Japan, the pace of reducing government deficits and debt accumulation will slow as governments are staring at designs of new fiscal plans for consolidation in the near future’. There could be other explanations, but consider that these three players have been utterly unable to close their wallets. They keep on overspending many billions (in the case of the US and Japan up to a trillion) of money they do not have. Over the last several months we have witnessed bad news management on many PRESS levels, whilst not actually looking truthfully at certain events. I will not insult the reader’s intelligence by quoting the LA Times in this case, but the headline that ‘the Global Economy is strengthening‘ reads like nothing less than a joke. The article read like a promotion page, with no real value, other than the percentages they were ‘boasting’ about. For the record, the US leading the way with less than three percent whilst Chinese growth is set at well above 7% might be correct, yet in the second part the US was leading as one of the developed nations, implying that China was not a developed nation, go figure!

The issue (as not shown by the LA Times) is that there are delays with the US for the IMF. In a quote from Australian Treasurer Joe Hockey, the following was phrased by ‘the Australian‘ “Senator Ted Cruz said that the package would unfairly raise US contributions while undermining its influence” (paraphrased).

This reads wrong in several ways. Is the IMF not supposed to be impartial in all this? The mission statement of the IMF (at http://www.imf.org) states “The IMF’s main goal is to ensure the stability of the international monetary and financial system. It helps resolve crises, and works with its member countries to promote growth and alleviate poverty“, it might just be me, but does that not require an impartial approach? If the US has too much influence here, how can stability be achieved, or is this the world according to ‘the US congress’? (I will steer away from blaming the White House here, as the IMF is supposed to be a long term planner and the White House is a short term location, in sets of 4 years).

It is however interesting how little there is to find on US Congress and the IMF, even by the larger newspapers. I was able to find http://www.reuters.com/article/2014/04/07/us-imf-reform-britain-idUSBREA361BX20140407. This article was published two days ago and it is interesting to see how many newspapers veered away from this Reuters article. Reuters had this quote “The failure of the U.S. Congress to ratify the agreed IMF reforms is bad for the institution and bad for the international community“. The additional part “A bid to get Congress to approve reforms of the IMF was dropped last month amid concerns that it could hold up a bill providing aid to Ukraine” as well as “The White House has been urging Congress for a year to approve a shift of $63 billion from an IMF crisis fund to its general accounts, as agreed by the U.S. government in 2010” are cause for concern. These payments were due for the IMF long before the Ukrainian crisis was on the map. So is this about not having any influence, or is this an early signal that the US has completely run out of money?
Yet a Chinese site (at http://english.cntv.cn/2014/04/08/VIDE1396947727947648.shtml) shows us that in their view with “The Spring gathering of the International Monetary Fund is approaching. China, Russia and other major developing nations are angry about a delay in reforms that give them more voting rights at the IMF. Now the countries are pushing forward with the reforms without waiting for the United States“, so now we get another view on the matter, Was Australian Treasurer Joe Hockey playing nice with the Chinese, or is there more? I personally do not think that he was ‘just’ playing nice. I have predicted before that the time with the US as a superpower would end. I have stated this for almost a year now. No matter where the interest of Texan Republican Senator Ted Cruz are and I have no doubt that his interest is Texas first, America second and his family third. Before you the reader thinks or even accepts the allegations by some that he is some newly formed version of the infamous McCarthy, then think again! When I did the math in a previous article called ‘Biased Journalism on USA shutdown?‘ which I wrote on October 1st 2013. Here we saw that Texas is one of only three states that could shoulder the national debt if it was evenly spread. So, to keep Texas strong, Ted Cruz has a fair point in regards to the IMF influence, but that is not what the IMF is about and it is Washington DC that went along with that, which means his hands are slightly tied.

The IMF article has set out that people are playing profit or government bail-out again (they did not state that, but the article implies it to some extent). The governments are not speaking out against these acts and as such we could face another massive economic setback in early 2015. In a minimal defence for Republican Ted Cruz it must be said that the IMF and the EEC are on a dangerous course. The Guardian is filled with messages on how the crises seems to be over and on how Greece is turning a corner towards better times. This is done at a time when it still needs another 8 billion; unemployment rates are at an all-time high and with European incomes remain dwindling down, Greek tourism is likely to remain far below levels for another 2-3 years.

It is the Catholic charity Caritas (at http://www.theguardian.com/world/2014/mar/27/europe-economic-crisis-worse-caritas-report) stating “disturbing levels of poverty and deprivation being noted among children and youth“. This is at the centre of the issues that are enveloping Spain, Italy and Greece. In addition a 114-page inquiry into the human cost of the crisis also mentions Cyprus, Ireland, Portugal and Romania. This might not be at the centre of the mission statements that the IMF goes by, yet these industrial nations rely on workers, the fact that these nations are in such a state is a clear signal that several governments are not up to speed to give the needed aid to those people. This is not in regard to the intent a government has, but the IMF signals seem to be lacking certain reporting flags at present. the Catholic report is a first clear signal that those ‘happy happy joy joy‘ reports that economies are getting better are basically skating around the issue that is holding many down and for some considering the statement that ‘these two issues are not connected‘, should consider standing in a corner staring at the wall and feeling ashamed for even considering the thought to begin with.

Now, I promised to get back to the Ukraine as I stated in the beginning. When we consider last year’s BBC article (at http://www.bbc.com/news/business-13366011), we saw that between 2009 and 2012, Germany was the ONLY nation who had its budget set correctly. The rest was short between 1% and 10% of their budgets. It is nice that these nations speak on percentages, because those shortages go into the hundreds of billions for some nations. The twelve nations represent over 53% of the entire EEC giving a summed deficit of 13.2 percent. This in itself is not a fair assessment, so let’s turn this around into a number. This number comes down to minus 546 billion, which is just the deficit for 2013. So, the governments are not keeping their balance in any way, in addition, we now see that investors are slowly playing their ‘games’ again. There was a rush on Greek bonds, because the evidence is coming that these people will get their money no matter what. So, why do we have any form of bail-outs? It is clear that overspending is not punished, so the entire Austerity posturing seems like an empty threat. I am all for helping out those in need, but it seems more and more clear that those ‘in need’ are not doing their part in cutting down on spending in any way, shape or form. So when (not if) the train goes off track, those smaller nations will be left to their own devices, ready to get exploited by all bigger companies to get their dividend. With the larger players India and China, it seems that US companies and bigger players want cheap nations for whatever market they want to get to. In such sights is it even a wonder how areas of the Ukraine are now in fear of what comes next?

That part is shown in several ways. Even though there is now such a boasted evidence of corruption in the Ukraine as the involvement of the ‘former’ president Yanukovich. Yet, if we accept and use the paper by Anna Yemelianova and is called ‘A Diagnosis of Corruption in Ukraine‘ (at http://www.againstcorruption.eu/wp-content/uploads/2012/09/WP-14-Diagnosis-of-Corruption-in-Ukraine-new.pdf), which I mentioned on March 18th, then there is no way that corruption is limited to one side of politics. Corruption in the Ukraine is too wide spread and any player above a certain level has to be tainted to some level.

It is still puzzling why the EEC and the US are so set on the Ukraine. Why set yourself up for these levels of costs? Why get in bed with the Ukraine, whilst the bulk of the EEC has overspent by well over 500 billion. Is it any wonder that some Ukrainians are frightfully running back into the Russian arms? If we believe the Russia Today, with their headline ‘US wants to destroy Ukrainian ‘bridge’ between EU and Russia – German intellectuals support Putin‘ (at http://rt.com/news/germans-support-putin-ukraine-265/), then we see the view of a struggling USA, who reports a nice number, but when payments are due, America will only be able to do so by taking another debt ceiling hike, which places them well over the edge of bankruptcy. I have some issues with the article for other reasons. Yes, the EEC wants to keep a good relationship with Russia, if only for the reason that most of Europe relies on cheap Russian Gas, which, when absent will push the bulk of the European middle class squarely into the poverty bracket. I am just wondering whether retired German Air Force Lieutenant Colonel Jochen Scholz was hoping to get a free training course in flying the Sukhoi T-50 stealth fighter, making him the first NATO officer to ever be allowed in ‘new’ state of the art Russian equipment (this is an insinuated assumption on my side). The article has a few more issues that are slightly too vague, but the sentiment is not incorrect. The American Anti-Kremlin approach in an age of non-accountability in the era of finance is an issue for too many people. So here is me, the Cheshire cat, all smiling and smirking on events currently playing out.

If the accountability act was indeed a reality on all Common Law nations, certain games would not be played and as such nations (the US, all EEC nations as well as Japan) would be in actually movement out of a ‘debt abyss’ and not at the whimsy of high stakes investor poker games where when it works they get a large bank account, if it fails they will get bailed out by the governments in some unnamed way, which does not seem to get a massive amount of press visibility.

So here we have it, what I evangelised from the very beginning or my blog. The world can be a better place, especially if people are held accountable for their actions. That part gets even more visibility when we notice a lack of press visibility ion some regards. When we see the Standard, a UK newspaper (at http://www.standard.co.uk/news/uk/press-freedom-debate-royal-charters-are-medieval-piece-of-nonsense-8898388.html) where it is all about the issue as “Media heavyweights have branded the government’s proposed royal charter for press regulation a ‘medieval piece of nonsense’“, yet only a little over a week earlier when the Telegraph reported (at http://www.telegraph.co.uk/news/worldnews/asia/malaysia/10720237/Malaysia-Airlines-crash-Suicide-mission-theory-of-MH370-investigators.html), how the MH-370 was a ‘suicide mission’. A piece that was so bad that it’s journalistic value was less than the photo that the Sun used to publish on page 3. This happened before the plane was found, without a black box, lacking in facts, but with a photo of a cabin crew member on page one of the newspaper. At the same time, the issue of the US Congress in regards to the IMF reforms, as stated by Australian Treasurer Joe Hockey has not made any non-Australian papers. So, again, as I have always stated, there should be freedom of the press, but there should also be accountability, which is exactly what Lord Justice Leveson had advocated. Perhaps some regulation would not be too far out of context as we see a lack of informative journalism and a still unhindered tsunami of paparazzi based articles.

If we are truly one debt too far, is it not time for accountability to step in?

Leave a comment

Filed under Finance, Law, Media, Politics

Should governments provide?

This is the question I had after watching the Dutch newscast at the NOS. The issue is that the Dutch are lagging more and more behind the Germans (except for soccer). Now part of that statement is a joke as Germany is 850% the size of the Netherlands. In addition, Germany has large deposits of ores. They are regarded as one of the world’s foremost producers of iron, steel, coal, cement, chemicals, machinery, vehicles, machine tools, electronics, food and beverages, shipbuilding and textiles. So why is this comparison even an issue?

Ineke Dezentjé Hamming, president of the FME (an organisation for the Dutch technological industry) stated “Wij verliezen onze positie als exportland als we niet snel vernieuwen en mee-ontwikkelen met de Duitsers” (translated as) “We are losing our position as an export nation if we do not renew and develop our technologies with the Germans“. In addition there is the statement that Germany is now in its fourth cycle of industries, where factories and ICT are completely integrated (at http://nos.nl/artikel/632638-nl-raakt-achter-op-duitsland.html).

An example could be the New VDL Nedcar factory, which allows for 24 hours a day production. The NOS newscast implies in my view (they did not state) that the approach of the FME is that the government should be handing over the funds to allow for this. In opposition of my own words, I must state that her statement in the Hannover Messe does not imply that at all (at http://www.hannovermesse.de/en/exhibition/partner-country/ineke-dezentje-hammink-blue.xhtml). Yet, the changes in infrastructure will require massive funds and there is plenty of clarity that the industry corners do not seem to have it.

I am still in awe that the Dutch want to get on equal footing with the Germans on an industrial ground. It almost reads like David stating towards Goliath ‘where are the other eleven?‘ which make me wonder, why is this even an issue?

Yes, as the article stated, the Dutch have for too long relied on services, which was not the best choice, yet, what are the options? The Dutch have no mining options, they have an excellence in ship building, yet that market is not doing too well. Let us not forget that the Dutch did have an excellence in services too. They had the East India Company, which should be regarded as the first and largest multinational ever, starting in 1602 lasting almost 200 years, which is a much better track record then IBM can proud itself on.

But in this day and age, after a multiple joke echelon of services based organisations (from the late 90’s), relying on selling concepts, the age of services is dwindling down. Even now, when we see the Business Industry relying on services and selling them, we see a decline as many customers selected (sometimes forced) to find internal solutions. Many corporations had to wise up fast. This is at the heart of the issue I have with the thoughts of Ineke Dezentjé Hamming-Bluemink. She is correct in the thoughts she phrases, yet again, when compared to the Germans, the Dutch had let these options slide for too long. An integrated ICT means that ICT skills are essential to these companies. If not, then those services will explode in costing’s as the ICT will suddenly rise in value, in an unbalanced way, which created a news hype bubble and there is no way that this is a good thing. This is where the shoes become too tight for the dance of industry. To get this all in motion, training and adaptation should have started two years ago. If the entire track is started now, we will see a wildfire of services and needs, which will drown common sense and pragmatism, which in turn will only hurt industries further.

So, why am I writing this?

The issue is that Ineke Dezentjé Hamming-Bluemink brings up an issue that is at the centre for not just the Netherlands, but the situation also applies to the United Kingdom and Australia. This industry 4.0 as they call it might be needed, but that need goes far beyond just high tech industry. The NHS is just one of many service based organisations where the need for strong and correct integration is required (which seems to be a mess). The ICT integration has been a requirement since the late 90’s. Yet, greed got in the way and as these firms all hunkered down on selling concepts and ‘solutions’, the ICT developers got lazy and many decided to forsake on created products and they all walked down to the path of some 80% readied toolbox with additional training and consultancy.

It was extremely counterproductive.

The Dutch have seen in the last three years how ‘Deutche Grundligkeit’ has taken foothold and it gives way to additional growth in Germany. So, the Dutch want to get on this 4.0 horse as some might see it, but why and for whom? The Netherlands does have an industry, however when we get past the breweries and Nutricia, what is left? Unilever, Akzo-Nobel and perhaps Philips? So, in this smaller list, why is industry 4.0 such a story?

That is the puzzling part, which gets me to the (by me) implied need for government ‘subsidies’. This I see as another approach to overspending, by those who should be keeping their wallets closed (the unfortunate consequence of being in debt for almost 500 billion dollars).

Is industry 4.0 anymore then the latest hype?

This is a question that is a lot harder to answer. Yes, it is hype, but the issue with ‘hype’ that this word also implies that its need tends to be overstated to some degree. This is where I tend to side with the need for it. If all parties need to cut costs, then Industry 4.0 is a definite need, but getting there will require spending and is this truly an option for some?

Here we need to see the words of Journalist Frank Gersdorf from the ‘Financieele Dagblad’ (Financial Paper) “De toekomstvisie wordt in Duitsland met zoveel geweld gepusht, zoals met een overheidstoelage van € 200 mln en promotiefilmpjes, dat je bijna gelooft dat dit echt de toekomst is en dat wij in Nederland de boot missen“, translated it states “The futuristic vision is getting pushed in Germany with such ferocity, like with the subsidy of € 200 million and promotion films, that it is implied that this is the real future and that the Dutch are missing the opportunity” (at http://duitslandnieuws.nl/archief/2014/02/frank-gersdorf-industrie-4-0-misschien-een-hype-maar-heeft-wel-toekomst/)

These words give strength to my implied acts from Ineke Dezentjé Hamming-Bluemink seeing them as an attempt to shake the governmental money tree to see what might drop down. it makes perfect sense that she was doing this as it is her job to get what she can to work for and fight for her interest group. This is all fair enough and we cannot fault her for that. I just wonder if the Dutch and several other groups are even ready for this. Germany has always believed in unity (their version of it) and as such, they had set out a path, which has been in motion since 2004 (at http://www.din.de/sixcms_upload/media/2896/DNS_english%5B1%5D.pdf).

This shows that Germany has been on the industrial choices for a decade; the Dutch cannot just step in and ‘proclaim’ that we should get there too just overnight. This I can proclaim as I was there in the late 70’s and 80’s as the Rotterdam harbours were in a transitional need for upgrading. Take 3 large harbour barons and you got 7 opinions, 14 options and no solution. I reckon that Anthony Veder was the last of the true famous harbour barons. As I witnessed the sales fight between IBM, Hewlett Packard (mainframes) and Digital Equipment Corporation (DEC), things were never standard in any way. For the record, my voice was always with DEC with VAX/VMS, which showed true paths of open standardisation. There is only so many times you can stomach the ‘answer‘ “we are IBM” as it was an actual answer to a question. This is however not about IBM, this is about the needs for industry 4.0 and as such a new form of true standard ‘plug and produce’ solutions. There is no commitment to a path, too many players want the door to remain open so that they might get a shot at this and at the same instance, nothing gets done and no one will decide. So it is not just about the advantage Germany is building, it is about the increased distance it is creating by actually going for any solution.

The Germans do have a massive advantage. When the need was there almost 5 years ago, Germany did tighten the belt, the rest (Netherlands, UK, France and Italy) played their ‘fair weather’ games and as such they are now in additional hardships, which is likely disabling that money tree to be shaken. At least, until there is a clear shown path for an ROI for the Dutch taxpayer. This is however not just about the Dutch; the Commonwealth is in a similar situation. In the magazine Industrial Technology of January 2014 (at http://www.gambica.org.uk/app/images/documents/articles/Industrial_Technology_Jan2014.pdf) where we see the following quote at the end: “Industry 4.0 could be the reason why the UK is ultimately successful in redefining itself as a manufacturing economy“. This I can agree with, just as I did not disagree with the statements given by Ineke Dezentjé Hamming-Bluemink. The issue of funds will remain, no matter how needed it might be and if this is good for business, why should the government fund it? Consider the statement “we could be profitable if the tax office foots the bill“. That is what this current Industry 4.0 situation amounts to. This does not mean that it should not happen, but what is the Return On Investment? If it takes longer than that, is it a good deal to put money in something whilst the main objective for the Netherlands and the UK should be to lower their debts.

The issue is already getting the consultants to crawl out of the woodwork (like Roland Berger), where we can read (at http://www.rolandberger.com/press_releases/Industry_4_0_opportunities_for_European_industry.html)

The Roland Berger experts explain what companies and politics should do to support the development of Industry 4.0 and leverage this opportunity for Europe“. It seems to me that this is another one sided step to get the cards shoved into the hands of politics to spend, spend, spend. They also illuminated a second side to this all. The second quote gives us the cake with toppings “This is where politics needs to support the process by initiating research and development programs at the European level“. Why? Why can this not be instigated by IBM, Oracle or by Hewlett Packard? If it makes business sense, then these three will hop on that horse right quick. Why must tax Euros be used one way or another? They made billions, which means that sponsoring should not really be a prerequisite.

In my view, I find that new technologies are usually a step forward, yet when we consider on how people jump on and off funding horses with the greatest of easy within their political terms, should we allow certain corporate evolutions at the expense of the government coffers?

 

Leave a comment

Filed under Finance, IT, Politics, Science

Trade Pact Dangers

Yesterday I saw the first inkling that there is a problem with the EEC. When we recall the events in any place for a long time, where we see a stronger right take control, it always falls over because fortunately for us, those at the head of a far right table tend to be ‘loons’, which usually works out well for the people. In France we saw Jean-Marie Le Penn, who never got a large enough foothold, so people relaxed. Yesterday, if you watched the European debate, you would have seen a very strong and victorious Nigel Farage, he made perfect sense. In that same light, the local elections saw a massive French pull towards Front Nationale. Marine Le Penn is gaining control of 11 towns, which is a strong indication of the waves that will follow in a direction towards the Presidency and the Future of France. If the future feared by big wig exploiters comes to term, we will see a massive changing wave. It is one of the reasons why President Obama looks eager, some might say even desperate to get the TPP (Trans Pacific Partnership) finalised.

It is clear that Big Business is changing. It is more and more about where the partnership resides. Australia is currently finding this out the hard way. The TPP was always an issue to some extent, but now that not just the Car Industry, but the Petrochemical industry is leaving Australia for cheaper Asian shores, we see that Australia is deduced to nothing more than a consumer state. Mitsubishi, who had already left, is closely followed by Holden, Ford and Toyota, who are now executing their exit strategy. In the last few days we also saw the messages on how Philip Morris, BP and Boeing are moving away (at http://www.skynews.com.au/topstories/article.aspx?id=963890&vId=439434).

The quote “BP said the emergence of large low-cost oil refineries in Asia was the reason for its decision to close its Brisbane operations“, is only the first of many of those sentences. American companies are moving away, needing more leverage, especially as America is increasing its hunt for those hiding behind tax shelters (Ireland apparently has a lovely percentage option this time of the year). When it is all added up together, the prospective job losses will likely rise above an additional 50,000 within the next 3 years. This is a massive blow to the economy. This is all part of a larger wave. What is happening here is not due to what the Clown spokesperson of Labor has claimed it to be (he is sometimes addressed as Bill Shorten), this is also not due to the Liberal party as Bill Shorten (wow, I managed to avoid the word Clown there) claims it to be. “Tony Abbott’s only been in power for five months, and we’ve seen 5,000 manufacturing jobs announced as gone, that is a thousand jobs a month in manufacturing lost under the Abbott Government” (at http://www.abc.net.au/news/2014-02-19/bill-shorten-cherrypicking-manufacturing-job-loss-figures/5260996). These plans have been underway for a lot longer than that. Some of these issues were at the heart of the TPP, which places much of this in the time that Labor was in office. In addition, as the AC rightly states “ABS data clearly shows the number of people employed in manufacturing has been declining for decades“, which puts the ball very clearly in both courts.

We are all looking at these matters the wrong way, especially the non-youthful ones. What we are forgetting is that ‘fair‘ has not been part of any business approach for a long time. The TPP was not about ‘opening‘ borders for trade; it was about allowing business to find the best route to profit. It was never about saving the 3%-5% on margins as borders opened (as some state it); it was about the options to save 30%-50% on labour costs. the TPP goes further than that, when we consider the patents and services options as they are trying to get that through, but this article is not about that part for now (I illuminated that part in past blog articles).

We can see these Australian examples as a foundation of what is going on in Europe. Nigel Farage called the EEC “A political Union with an expansionist foreign policy“. That part has been seen in the Ukraine and it is now backfiring as Crimea rejoined Russia. The second danger is the one that Nick Clegg stated in a way he did not expect to do “that we can have all the good things in Europe, whist not being in Europe. It is a dangerous con“, he was kind enough there to make a case for Nigel Farage, because that is what is happening, whilst the UK is in the EEC. The expansionist part, driven by some players is all about tapping sources for low cost labour, what happens when investors ‘suddenly’ open plants in Lithuania, as people costs are 70%-80% less? This is exactly what is happening in Australia, and in Europe, they do not need to wait for a trade pact, the EEC is one, opening those doors for anyone joining them.

I have always been for trade agreements, but those who were there leaving others a decent margin of fairness. As we saw HMV, Virgin and other stores shutting down as the internet took over, we now see other markets where manufacturing moves away, which leaves the UK with a consumer market, but one that is not funded through jobs, which means that the downward spiral will hit them hard and fast. In Australia we see messages of 60,000-90,000 jobs lost. Several are basically shouting for panic reactions, but a massive amount of jobs are falling away, which means that the spending group is also leaving the Australian borders. This is exactly the fear that Nigel Farage is informing the people on, whilst the other parties are all about preserving the EEC link no matter what. It is the ‘no matter what‘ that is the issue. I am all for trade, the EEC and to some extent the TPP. Yet, this is no longer a good idea as these two concepts are paving the way for a ‘cheapest option possible‘, which is the real danger. It is also high time that American Business is getting taught that lessons right quick. I have nothing against Boeing walking away, but consider the consequence that will come as we saw Russian Aeronautical ‘giant’ Sukhoi getting the deals from China. What would happen when Sukhoi gets the option to enter the EEC and the Commonwealth market? That should give a right scare to the American market. As America is unable to stem in the levels of greed and exploitation, why not cut them? Consider that the Sukhoi S-100 is more than sufficient to reach the European destinations, should we really bother with a flawed Boeing 787 Dreamliner?

It is time for people to throw out the strategy guide that they have made their decisions with for the better part of their life. The greed driven are playing us all based on that guide. It is time for us to write a new one. I remain hesitant whether leaving the EEC is a good idea. However, Nigel Farage was able to shift me and I dare say many others from definite ‘no’, to a hesitant ‘maybe’. I’ll admit, that knowing the TPP to some degree (the Wikileaks edition) and seeing the Australian fall-out did influence it all, but there is the foundation of the fear we all face. When Ford or a company like that starts moving from the UK to Poland or even Latvia or Lithuania, the UK will only have themselves to blame. It will not be the fault of the Conservatives, Labour or even UKIP. It was the cost of doing business and workers are so much cheaper in other places, with no retirement issues to consider (small reference to the Visteon workers deal).

I remain hopeful that the European and Commonwealth nations will unite, whether within the EEC or not. As we get our trades up in a fair, square and profitable way, we will flourish, which is a lesson that has been forgotten in the US of A where greed rules eternal. In an age where the average unemployment rate is well over 11% (EEC average), we have options, we have willing people and we can get a profitable balance for all.

This is why Le Penn and Farage are gaining loads of grounds and the changes in the EEC are now slowly becoming a mere matter of time, a change that many did not realistically anticipate 12 months ago.

 

Leave a comment

Filed under Finance, Politics

The reality of decimation

This is not an academic piece, I would personally state that to some extent this is not even a sane piece, but is it an incorrect piece? That is indeed the question we must ask ourselves. Consider the events as they have plagued us for a little over 20 years.

This piece partially started with the UN report on the environment, but some of the elements have been on my mind for some time now. This is not about the War in Iraq or Afghanistan; this is about something a lot more basic.

Let us start with the UN report on Climate Change 2014 (at http://www.theguardian.com/environment/2014/mar/31/climate-change-threat-food-security-humankind)

It is also good to take a look at the policy maker’s summary titled Climate Change 2014: Impacts, Adaptation, and Vulnerability (at http://ipcc-wg2.gov/AR5/images/uploads/IPCC_WG2AR5_SPM_Approved.pdf )

We should consider the quotes that the Guardian article gives us.

First there is “The summary mentioned the word ‘risk’ more than 230 times, compared to just over 40 mentions seven years ago, according to a count by the Red Cross“.

My first counter is that this is not an event that has grown for only 7 years, these events and risks have been in place for well over two decades, the people in governmental power and the power players of big business are no longer aligned. Money only gets you ‘alignment’ to a certain degree. If you doubt this, then consider the power Big Tobacco had from the 70’s until the early 90’s. In the Northwestern Journal of International Law & Business (at http://scholarlycommons.law.northwestern.edu/cgi/viewcontent.cgi?article=1606&context=njilb) we see the quote “tobacco companies argued that plaintiffs assumed the risks of smoking. They also capitalized on the fact that they could afford the best lawyers to defend against generally under-funded plaintiffs“.

This is only the first quote where government has been holding its hands over the heads of big business for far too long. It is nothing short of treason against your own population (a slight exaggeration, I admit). It is not just their best lawyers against the plaintiffs, there has been a host of events where political powers had been ‘softly motivated’ to take a stance for the economic growth of a nation, whilst selling its people straight down the drain.

The second quote to consider from the Guardian is “Other food sources are also under threat. Fish catches in some areas of the tropics are projected to fall by between 40% and 60%, according to the report” (the part I saw did not specify the size of the area, or the exact locations).

Consider the amount of nations depending on their livelihood on fishing for themselves and their families, not to mention for whatever income from selling it to others in villages and cities. The claim ‘some areas’ is a loosely placed term I reckon. Consider the massive requirements for Japan alone. There is no evidence what so ever that this will lighten up any day soon. The events of fish shortage will grow above the mere population. A change to that effect will have a massive yield on the oceanic biosphere and as such mass extinction events on our fauna are almost a given certainty. So as we see the events there, we will see that the impact will soon thereafter hit waterbirds which will affect another chain of feeders. The third quote is “Almost everywhere you see the warming effects have a negative effect on wheat and there is a similar story for corn as well“.

Even though, to some part there is a claim that longer warm timeframe might yield some positive benefits, the overall consequence is that the events will be negative. Hunger will soon be an issue that stretches far beyond the third world nations, did anyone consider this?

The report is massive, so digging into this will take some time (after I get it downloaded, which is never easy from the UN document server), in the meantime, follow the next link to take a look at a document now released from the US State Department (at http://www.state.gov/documents/organization/219038.pdf)

Now let us go into the deep end. We have seen how being nice, how ‘finding’ a compromise will not get us anywhere. If you doubt this, then consider the fact that several nations are now, after giving us some ‘good news management’ additional grief will soon be gotten by the Dutch (at https://www.nvm.nl/nl-nl/actual/maart_2014/asscher_in_zomer_kijken_naar_lastenverlaging.aspx). They will be looking at lowering the costs for the Dutch population. Consider that the Dutch debt is currently in excess of 25,000 euro’s per citizen. Again, politicians will be trying to spend money they do not have. Even more hilarious, is the fact that they will not have that money for at least half a decade. If we consider this in regards to the UN FCCC report, where we see that climate is not just hitting us, many nations will have to pour billion upon billions into places to prevent flooding’s and other climate calamities. In this light, we will not have any lightening of economic pressures before 2018. The Dutch are not alone in this. The UK, France, Spain, Italy and to some effect even Germany will have to spend large amounts of money. If there is truth to the downward spiral of the climate, what will happen to France when their wine economy takes a 20%-30% tumble? (This is not a found number, that percentage is a mere estimation from other numbers in the UN FCCC report). Such a tumble will devastate the France GDP, which means that their debt will almost literally drown them.

So what is a solution?

Well, to safe our planet we might have to become drastic. The fact that politicians will not act and at the first sign of good news (managed or not), they will try to keep the status quo so that they look good (and leave it to the next person in office). This has been going on for some time and it has been happening in nearly every nation. So, we could rig the game and get rid of 4.7 billion people. It is not a happy act and if it happens I will unlikely to remain (or be allowed) in the ‘surviving’ group.

You see, healthcare, retirement shortages and lesser productivity (in the eyes of big business), would mean that we are to be removed from life. There is additional evidence for that. When we consider the words of the BBC (at http://www.bbc.com/news/health-26818377), where it is quoted “Risk of death by any cause over the course of the study was reduced by 42% for seven or more (up to around 10 portions a day)“.

Are they for real? When I was growing up, I had three meals a day. My lunch could include a sandwich with sliced cucumber and tomato and there were greens at dinner. That makes for two helpings. My grandfather lived to a ripe old age on those meals. So, who is paying these people to state 7-10 portions a day? Let us not forget that the UN FCCC report will have something to say about that. The IPCC report stated (at https://www.ipcc.ch/publications_and_data/ar4/syr/en/spms3.html) “Productivity of some important crops is projected to decrease and livestock productivity to decline“. This is not a global thing, but overall the population is still rising and food would be getting scarcer.

So, that option of decimation, which would be unfortunately for me, is starting to make sense. So how will we go about it? Will certain groups get targeted? When we see the HealthCare and retirement options as they dwindle then getting rid of anyone over 45 makes statistical sense (not morally). Alas, we are not that fortunate. If we consider the population numbers, as shown by the UN, Dept. of Economic and Social Affairs, Population Division (2011), we would also have to shed a little over 75% of the population that is between 15 and 44. How to go about that? If we take the people over 30, our population will face the reality that we saw in the movie ‘Logan’s Run‘. We could of course use the classic ‘Soylent Green‘ as an example, which also solves the food issue for all non-displaced citizens. Perhaps the list will be diminished in the way it was sung by Gilbert and Sullivan in ‘the Mikado‘ through the song ‘As some day it may happen’, “none of them would be missed”, I do however request and require that Nigel Farage will not be allowed to make that list (#JustSaying).

So, if you are currently extremely nervous about what will happen next then do worry, I definitely do! No matter how we will be dealt with (through hunger, war or just permanent removal). The consequence will be a global one. If we can rely on statistics is that within 40 years, if untouched through war, two civilisations remain, the Indian and the Chinese one. It is a simple consequence of the numbers as these two represent 36% of the planet, which means that no matter how much we get ‘culled’, either natural or unnatural, they would then be the only two remaining governments with the size that would places them in power.

All this reads like a joke, but it is far from it. As we have seen governments go into the acts of managed good news, whilst slowly giving us the bad news little by little (as the economic meltdown has shown), we will soon see similar acts by ‘spokespeople’ on how soon crops are grown with almost no water, how we see the use of Genetically Modified crops. The Economists had an article, which is not that relevant, but the quote in there “genetically modified (GM) crops pose health risks” is. The truth is that this is not true as I see it. Actually, we just do not know what the true dangers are. I feel that there is a risk, but there is no actual evidence (at present) that there is a danger. There is in my view indeed a risk, but no long term evidence exists. We are then in the same place as people were with Big Tobacco in the 70’s onwards. Big Tobacco had too much ‘protection’ and as such governments remained idle for far too long. Genetically Modified foods are likely to go into a similar field, but this time governments cannot stand idly by. The cost will be too great when it goes wrong. So am I against GM foods? I feel uncertain, until the long term dangers are known we should not proceed, yet if the shortages in food, space and water are truly coming, what can we do then? Consider that the global population grows by the size of the population of Germany every year, which is the 16th largest nation. Also consider that children 0-6 have the highest need for good food and clean water to survive, now see these items diminish as there is less, there are more mouths to feed and the climate change is soon making it harder on all of us.

The next two generations will likely be the hardest ones in the history of our planet. Never before was mankind hit by so many elements all at once. They will inherit a polluted planet, they will inherit debts unlike anything we ever faced and if the Status Quo does not change really fast, they will walk this world in an environment that could be near extinction on land, in the sea and in the air.

 

Leave a comment

Filed under Politics, Science

Setting the stage

The Ukrainian escalation is slowly seeing some events, but not in a good way. We have seen several speeches as well as actions against certain heavy weight big wigs in-crowd at the Kremlin. Will these actions hold weight? Time will tell. I went over several facts in the blog article ‘Strongarm, Intimidate, Terrorise‘ which I published on March 18th. I also made a coalition mention in my blog article ‘Foreign and Domestic‘ on September 12th 2013, where I stated at the very end “that view might partially depend on the steps the growing New World Order coalition of Russia, China and India will take“. In the last two days we saw the following events.

1. India, Russia to sign deal for anti-tank ammunition (source: The Indian Express, et al) for $2.4B.
2. Crimea Crisis Pushes Russian Energy to China from Europe (source: Bloomberg) for $350B.
3. Private Chinese firm to buy 100 regional Sukhoi jets (source: Reuters, et al) for $3.5B.
4. ONGC, Russia’s Rosneft may join forces on oil flows (source: Reuters).

This is just in the last two days. So, yes, we might think that we are putting economic pressure on Putin, but are we?
The last mention is that if we persist, there is every chance that the cheaper gas meant for Europe could be redirected to the Indian consumer. That is exactly the fear I voiced in the story involving the Crimea (Strongarm, Intimidate, Terrorise). The Reuters article also states “Rosneft said it had also agreed with ONGC they may join forces in Rosneft’s yet-to-be built liquefied natural gas plant in the far east of Russia to the benefit of Indian consumers”, which implies that Russia will get additional Dineros (aka loads of money) to build that plant, or at least parts of it.
Europe basically has agreed to a spitting contest which could cost them. There are still moral sides to consider, both sides states that they are correct and Crimean’s who saw a loss of income for thousands of households and desperately tried to save them to remain with Russia. The Ukrainian top really did not think that part through (as I see it). Did they think that forcing Russia to Novorossiysk, leaving the Crimea without one of their biggest consumers would not have an impact? I still have questions on the legality of the ‘transfer’ from Ukraine to Russia of the Crimea region, but I do not have a proper view on the legitimacy of the referendum as such (from a pure legal point). The fact that this is what the Crimea people themselves want (for a massive part) is largely ignored by the press. I will state that the NOS at least tried to talk to a few of these people and many wanted to return to their Russian past (they were also very assertive in not letting others talk on their Ukrainian view).
So what will happen next? Let’s face it, 4 deals do not make for a Chinese, Indian and Russian summer party, but these are massive deals and this shows that the coalition growth I expected is now showing more rapid growth, likely because of the Ukrainian events. For me, I am a business man and as such, I have downloaded the Sukhoi S-100 PDF’s and see if I can start a trainings company to train the Chinese crews on using the flight and navigation instruments of the Sukhoi S-100 (just me trying to get creative). 100 planes mean at least 400 crews, which is 800 pilots and 400 engineers, so 1200 prospective trainees to train. At $750 a day, I could be employed for at least 3 years. So that might be an option as life in Sydney is pretty expensive. People might snipe at this thought, but consider the ego contest we see growing in west versus east. There is every indication that energy prices are likely to rise by unacceptable amounts soon enough. We see that governments are more and more selling off their healthcare and other services to meet budgets, which means more costs for the consumer soon enough. A step by the way for which a government cannot get faulted, but we the consumer still get to pay the bill.
As unemployment rates are still growing to the extent it does, we will have to look at alternatives. If we are willing to work hard, then it is not the worst idea to consider Russian companies like Sukhoi and Chinese companies like Huawei. The next wave is for those who are willing to put in the hours and as several businesses want to grow into several domestic markets, which they will one way or the other.
So getting out there and set the wave so you can be there at the beginning and get to the higher level of the pyramid when it grows above the others is never a bad idea.
Should you get questioned on basis of morality of choice then consider the powerbrokers of Wall Street who got millions after the 2008 crash, The events around Silvio Berlusconi (not the intimate ones), Karolos Papoulias, President of Greece who was in office when the Goldman Sachs creative accounting event was discovered. It is not the question whether he knew what was going on, as president the Euro will stop at his desk in the end. The Finance ministers over that period were Georgios Alogoskoufis, Yannis Papathanasiou and Giorgos Papakonstantinou. Giorgos Papakonstantinou was the person revealing what had happened before he took the office and negotiated the initial 110 billion Euro loan, which makes his acts the one of high moral fibre. The list goes on and on and on. So, consider that many high elected holier than thou politicians have often taken the coin road as this was not illegal or criminal, it is just the cost of doing business. When it comes to businesses there are even more questions. When we see the bad deal the people at Boeing got, as reported by several media outlets in January 2014 as well as the technical issues we see popping up with the Boeing 787 Dreamliner. We have been looking at American companies for too long, perhaps it is time to look at areas where the runner up is hungry to become the biggest one, as they could be the source of your next good meal. So several elements are slowly setting the economic stage for 2014 and 2015.
If your livelihood is in jeopardy, where will you look next?

 

Leave a comment

Filed under Finance, Law, Military, Politics

The NSS 2014 danger

The Nuclear Security Summit 2014 is at an end. The circus of 53 delegation members, the security forces and other parties are leaving or have left the Netherlands. This summit needs to exist; there is no doubt about it. As long as the powers that be discuss and negotiate on these matters, the better the chance that the chance of escalations and extreme consequences remain at an all-time low. This is a basic pragmatic truth.
I do however worry about one aspect. An aspect I do not completely agree with, but an aspect that has long reaching consequences and as such the next generation will get additional responsibilities in regards to cleaning, aside from the economic mess that most leaders are leaving the next generation.
The issue I have is one that will have a long term impact, much longer than the three generations who are about to inherit the current economic debt, especially in Japan, America, France, Italy, Spain and Greece.
What is the issue? The issue us that there is a strong voice and movement to steer away from highly enriched Uranium (20%-85%) and use low enriched Uranium (less than 20%). The logic given is to make sure that the chance of extreme elements getting their hands on weapons grade Uranium becomes even lower. That part makes perfect sense, yet the danger that was, is now getting a lot larger on two fronts, it  is simple and basic logic.

1. To get the same amount of energy, a nuclear reactor will have to use between 150% and 325% nuclear fuel to get the same amount of energy. You can find some basic knowledge at http://world-nuclear.org/Nuclear-Basics/How-does-a-nuclear-reactor-make-electricity-/. If for example one rod of highly enriched Uranium gives us one week of power, then we need a lot more rods of low enriched Uranium, but we still will not get the same amount of energy over that time, so the rods would need replacement sooner. No matter how the reactor is replaced or upgraded, the reactor ends up with less steam for electricity.
This part can be shown using a simple electric stove. Have two identical pots of water, set one stove to high and one to medium. You will see that it simply takes longer to get the medium plate with water boiling. Now that part is not the issue, waiting a little longer is not the big thing, when the water starts to boil, switch both off and now see how quickly the water of the medium plate goes off the boil and the water will soon thereafter no longer boils, which means no more steam for electricity.
The test is simple and basic and several factors are cast aside, but the foundation should come across, reactors will need more rods, which mean that the stockpiles of depleted Uranium would grow in excess of 250%, which is part of the first big issue, because as we can read at http://www.world-nuclear.org/info/nuclear-fuel-cycle/uranium-resources/uranium-and-depleted-uranium/ that the half-life of Depleted Uranium (DU) goes into the centuries, which gives us the nasty side effect that we are growing the stockpile faster and faster and the required space will increase, using spaces that allows for nothing near it for hundreds of generations.
2. The extreme element. Yes, we all agree that the idea of any extremist getting its hands on highly enriched Uranium is truly the stuff of nightmares. Yet, this is not the biggest danger. By many parties in several fields (law enforcement and intelligence) there is a clear and present fear that extremists will get their hands on depleted Uranium and as such will create a dirty bomb with conventional means and mix in depleted Uranium for good measure. That scary effect will not just strike fear in the people. It creates a simple way to make people vacate complete zip codes in the blink of an eye. Now consider that the changes will create up to three times as much DU. This gives us more need of storage, and like with every shipping, the more you ship, the larger the danger becomes that one package ‘falls’ of a truck and into the wrong hands.
So these are the two issues I have. I am not against the banning of Highly Enriched Uranium, but do the people outside the NSS circle realise the consequences of such a decision? Of course all this will come with a massive amount of additional costs, which will again drive power prices up as it is a related cost.
The big danger related to all this is that there is no real solution. Those naive enough to state ban all nuclear power should realise that the pollution and the price of creating energy will spike on both counts. I am not against those big propellers in the sea or on land, because it is clean energy and anyone complaining about the view better take a nice look at the alternative. Those people will not volunteer to live next to a nuclear plant either. The propeller might not offer the greatest view, but in many area’s it does work getting them clean energy. However, I am digressing from the topic.
The change does introduce another danger. The short term security we might get through this is replaced with the long term dangers that we and several next generations will deal with. the danger is that too many people will ignore the issues, just like the national debts many faced and now all are complaining about the cut backs we are all dealing with, the Nuclear stockpile will grow slowly and we will not see or worry about the space needed, but when space is gone, it will be gone forever for many generations.
Nuclear power places us between a rock and an irradiated hard place. We are still no closer to truly have an alternative that really works at present and most nations no longer have the budgets to make any solid change in this regard for the near future. I like the wind alternative, yet I have never been against Nuclear power. Living in Sweden, seeing the benefit of the Swedish power supplier Vattenfal (in my wallet) is reason for this. The quote “Sweden’s primary energy mix is now 65 percent zero-carbon and composed of a blend of hydropower, nuclear power, and biomass, with almost no coal” found at ‘the breakthrough’, shows that nuclear power is an essential part for many nations if they want to decrease their carbon footprint. Sweden might have had the benefit of biomass and hydropower, but many nations do not, which makes them stronger dependent on other solutions. Wind and solar offer a little relief, but without nuclear power they will not get there, that is the part many activists forget about.
So the NSS had made a call, it is a hard one, but is it the right one? There are a few unknown elements, so I cannot tell. Yet, I do believe that short term solution is too dangerous against long term grief, but there I must also caution myself, how much long term grief will we face?
Consider that the US alone has stored 700,000 metric tons of DU (at http://web.ead.anl.gov/uranium/faq/storage/faq16.cfm), in addition (at http://web.ead.anl.gov/uranium/faq/mgmt/faq27.cfm) we see what is required and some insight of the costs involved, when some nations switch (some had already switched) and the amount triples, how will the costs add up then, more important, where will we find the space?

So here we see the danger of the NSS decision, but is it really a dangerous one?

 

Leave a comment

Filed under Military, Politics, Science