Marxism should be dead and buried

An abridged version of Martin Armstrong’s comments

http://armstrongeconomics.com/armstrong_economics_blog/

[Governments] tax us to death to get back money as if it were still some commodity because that is the way it has always been done.

The wealth of a nation is its PEOPLE.

The Communist Manifesto was a 1848 political pamphlet by Karl Marx and Friedrich Engels.

The Communist Manifesto summarizes Marx and Engels’ theories about the nature of society and politics, that in their own words, “The history of all hitherto existing society is the history of class struggles”.

They did see only a piece of the puzzle of wealth.

They saw that not even gold had value except for the labor involved in mining it and refining it. They wrongly saw only the labor and not the ideas that also create wealth.

Henry Ford’s introduction of the assembly line created the manufacturing age, but they saw this as exploiting the working class and focused upon the profit of Ford without crediting it was his vision that created the opportunity for labor.

They also were blind to the increased production, lowering the price of automobiles for the consumer and this changed the entire economy from a train based system to a far more expansive mobility. They were stuck on this one aspect that a commodity’s value was determined by the cost of labor to produce it. They ignored entrepreneurship and that the consumer demand determines price. You can manufacture something where the cost of production is too high and thus there is no demand. This is how the unions destroyed their own jobs. Their Communist Manifesto focused on this narrow idea of value being labor and thus the capitalist society would eventually be replaced by socialism, and then finally communism.

We are still operating by Marx-Engels’ philosophy.

We attack those who create jobs and discourage entrepreneurship and we tax people progressively following their philosophy and we continually reduce our economic growth with expanding the cost of government.

This is the collapse of socialism that is evolving. We cannot escape this 19th century thinking until we embrace the simple fact that money is no longer a commodity barter system by the TOTAL PRODUCTIVITY of a nation, which includes all aspects from the idea like Ford, who has a vision to the common worker for grooms your lawn.

Those who cannot leave behind the 19th century hold the rest of us back and endanger our future for we cannot escape the repetitive cycle of boom and bust until we see the whole and learn like Joseph’s advice to the Pharaoh – live with the cycle. This is one of the Ten Commandments – never covet their neighbor’s goods. As long as we violate that fundamental law, we will never have a society that is fair or functions respectfully of human rights.

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On media outlets

Chomsky
Chomsky

Western Media is a sham.

John Pilger – War by media and the triumph of propaganda

http://johnpilger.com/articles/war-by-media-and-the-triumph-of-propaganda

Ron Paul Institute – 2014 The Year Propaganda Came of Age

http://www.ronpaulinstitute.org/archives/featured-articles/2014/december/27/2014-the-year-propaganda-came-of-age/

Mish Shedlock – Free Speech Vanishes

http://globaleconomicanalysis.blogspot.com/2015/02/emails-from-kiev-free-speech-vanishes.html

Propaganda and the State Run Media

http://therionorteline.com/2013/07/14/propaganda-the-state-run-media/

Truth, War Propaganda, CIA and Media Manipulation

http://www.globalresearch.ca/truth-propaganda-and-media-manipulation/23868

​‘Reuters lied’: MH17 witness says reporter falsified testimony

http://rt.com/news/245141-reuters-witness-misreport-mh17/

​German TV channel under fire over fake ‘Russian tanks in Ukraine’ footage

http://rt.com/news/232963-germany-russia-tanks-ukraine/

Claims about MH17 that MSM fails to question

http://rt.com/news/174380-crash-issues-ignored-media/

On politicians

Always someone who can describe it better than I.

Excerpt from Corn-pone Opinions, Mark Twain

“Men think they think upon great political questions, and they do; but they think with their party, not independently; they read its literature, but not that of the other side; they arrive at convictions, but they are drawn from a partial view of the matter in hand and are of no particular value. They swarm with their party, they feel with their party, they are happy in their party’s approval; and where the party leads they will follow, whether for right and honor, or through blood and dirt and a mush of mutilated morals.

We all do no end of feeling, and we mistake it for thinking. And out of it we get an aggregation which we consider a boon. Its name is Public Opinion. It is held in reverence. It settles everything. Some think it the Voice of God.

Australia is in for a lot of trouble

Australia is doomed.

Yes the simple fact of the matter is that Commodities have a way to go to reach bottom rung and the housing bubble is about to burst.
Australian politicians know nothing about the macro economic debts and posturing over semantics.

Add to that the TPP agreement that is being considered and you have a shit storm approaching.

Some views, other than mine… Have placed bold comments which I consider pertinent.

Oh, the stupidity of politicians, Marxism to support socialism and big Government debt

http://www.abc.net.au/news/2015-03-28/federal-government-set-to-introduce-tax-on-bank-deposits/6355662

Goodbye Banks… “Beware the financial sectors risky business”

http://www.businessspectator.com.au/article/2015/3/27/australian-news/beware-financial-sectors-risky-business

Note that this does not cover Tier 2 capital investments, which is a different story and WILL blow up. Banks invest in AAA Bonds, rather than place monies in the RBA they can invest in AAA Bonds, like Greece, Austria, EU, Argentina…. Yes before their downgrades. Risky and no mention of devaluation impact on these values.

Hey I like Steen Jakobson, “ONE of the first economists to predict February’s rate cut says the Reserve Bank should now put the razor away to avoid bursting what has already become a housing bubble.”

http://www.theaustralian.com.au/news/latest-news/economic-slump-presents-chance-for-reform/story-fn3dxity-1227281390096

Note not 50% that Australia will have a recession, he is hedging his bets.

Then Commodities.. Oh hum copied from Australian Financial Review

From the AFR comes some sense at last: “The managing director of Denham Capital, Bert Koth, also defied optimists who have called the bottom for commodity prices. “We believe we are still two years away from the bottom and then we are going to stay there for at least four to five years,” Mr Koth”

Note this is not rocket science when you look at China.

On a side note I did sent Mish an email sometime ago to warn him about FMG, it was the debt stupid, not in those words.. Now we have this in the Australian Financial Review.

The AFR: “Fortescue’s stock is worthless at current spot iron ore prices, analysts at CBA calculate. Zippo, zilch… There is $US7.5 billion ($11.5 billion) in net debt squatting on Fortescue’s balance sheet. In Aussie dollar terms, that’s approaching twice the company’s market capitalisation – just a number…”

PIMCO shorts Yen and AUD.
“Our highest conviction views are in the currency markets, and we remain short the yen and the Australian dollar against a long U.S. dollar position”…

http://news.forexlive.com/!/pimco-says-to-remain-short-yen-and-australian-dollar-20150326

On TPP, Wikileaks… This agreement favors no one in Asia, Australia and Europe except the Corporates (yes Money talks, bullshit walks) Hopefully Robb will not sign, cannot see that happening though. Jeez Obama has a lot to answer for…. And Democrates next choice Hilary? Excuse me while I erase my database….

“Under the agreement, corporations may challenge foreign government’s laws and regulations if they interfere with “distinct, reasonable investment-backed expectations”, and they can do so before tribunals under the World Bank or the United Nations. This process is known as Investor-State Dispute Settlement (ISDS), and while it has existed in the past, the large scope of the TPP has prompted some serious concerns.”

Closing my eyes, minding my own business

Editorial.
Realised that not so good doing this.
Allow others to continue on common sense matters…. There are a few good men amongst the millions of idiots.

Politics, editorial restrictions.

Learning it ain’t going to change, people are all tied up in their own perception of themselves….

And no not that bored…..

I do post comments and nothing printed… Awaiting moderation.
Hehe, first time…last time….
Will just continue to read and put down personal opinions from time to time, hey, I am the only one reading this shit anyway….
Each to their own.
To me when I read this in 20 years time and all the shit hits the fan…

In the meantime I take the view that I am me, me and I have a good understanding of world affairs, through reading good websites. Tend sometimes to shoot off the hip…. Tolerate this, as regards the stations of interest, Oligarphs and leaders.

All are sinister, in retrospect they were lucky that they abused powers and got away with it. They on the other hand feel as though their shit does not stink and they can do no wrong. Money to them fixes any crisis. No morality or ethics involved, only the perception.

Politicians are all dumb as one another, (you have to be to “think” that you are that important to the masses, when in fact you learn to lie to live) they live in dreamland believing in themselves. Result is over-achievers underachieving in what they do best.

Certain new politicians are afraid of upsetting the status quo, like erratic Marxists, they believe in something but…. history proves they are wrong and they are unwilling to accept history.

Note that the majority of treasurers around the world are erratic Marxists, taxes both direct and indirect are a clear example of this. Very erratic socialists incorporating Marx ideas.

Amazed how societies change over time… Comes about through evolution of the masses… Start with pure capitalism, mix in Marxism due to the realization that things have to change for the poor and then call themselves socialists. Communism (Marxism) cannot be implement and doomed to fail, then a psuedo authoritarian rule with dependency on Oligarphs ….

This is all a ramble. A lot more intelligent people then I out there. I have my own problems in how does one survive when technically unemployable, without living off the State?

First don’t live in an expensive State….
Second budget on available capital to last as long as you can
Third attempt to earn income, for the family food, education and essentials
That one hard …. So have to find minimum level of income before tax to live off…
Hence watch everything and understand as much as possible, shares, currencies, commodities….

Aug 11, 2015 Gold bottoms.. No money to short and wait..
Sept 2015 Bonds Blow.. No money to short bonds and buy USD

Options?

Long USD/Short AUD,GBP (Dec contract) yippee cheap…
Short Oil options @ $40, told Rod $35… Cheap

But first

Get the hell out of Dodge…. Make sure you reside elsewhere and be happy.

Life is too short…

Greece, the need for reform

Problem with Democratic vote.

The Government does not have an economic plan. The situation is such that they made election promises and events since being elected include (not limited to, what I am aware of).

. The cancellation of asset privatization
. Repay IMF loan, no default possible, hence raid Pension Funds and Reserves
. Attempt to restructure finances
. Re employ cleaners (yes not only the finances but the Civil offices must have been a mess)
. Attempt to reignite war repatriations

The Finance Minister himself is an erratic Marxist at heart and technically the party itself, is extremely to the left of politics.

Should debt relief be granted, no indication has been given as to which path they will follow, to ensure that Greece escapes the burden of inherent corruption and economic stability.

The problem exists, how does the Government (technically one that is to the left of socialist ideals, which would equate to anti business, higher taxes for the rich, reduction of taxes for the middle and lower classes and an introduction of a social net) overcome the economic problem?

What must be borne in mind is that Greece has existing corruption entrenched within Society, fraud (principally through tax avoidance), low retirement age with excellent benefits plus a strong union presence and intertwined within this framework no true competition.

From my point of view, corporate and individual freedoms are necessary and this must come about without weakening the Government (without a wall separating Government and business which, without this incorporates real crony capitalism).

Thatcherism is out of the equation, so the Government has to seek answers elsewhere.

Taxation review, union reform is paramount.

Employment is necessary but who creates the employment opportunities?

If this was the U.S. The Democrats (Socialists) like the honorable Hilary Clinton has the answer… Government. Regret that Mrs Clinton is way out of her depth on these matters, but this highlights the problem of all Socialist Governments. If you then look at the Clinton Foundation one no need wonder anymore as to how they became so wealthy.

In Greece, those people and businesses that actually can create jobs, are the ones that are being targeted by the Government to collect taxes. This destroys investment and transfers wealth elsewhere.

This Government has to appease a lot of people with an economic fix, out of left field, otherwise Greece will continue to sink.

A solution is available and radical.

I hate income taxes, destroys our souls (See below Chordorov) and designed to make us all criminals, in attempting to minimize the impact of these taxes.

So why not abolish income taxes?

Abolish indirect taxation?

Reduce Corporate taxes to 15% or lower to encourage new businesses and investmemt capital.

Allow an amnesty for tax lodgments/payments and amendments. Reduce penalties during this period / reduce tax payable, if undertaken within the amnesty period.

Why not introduce a 20% Goods and Services Tax/Value Added Tax across the board?

Increase retirement age to a minimum of 65, reduce pensions to a ‘reasonable’ sustainable level.

Increase the domestic Central Bank borrowing rates, to encourage savings and abolish Government Debt entirely.

Go against the trend, to rekindle deposits and investments. A whole paper can be written on Central Banks meddling and creating unwanted bubbles. Simply put business cycles exist, as too Government cycles, as long term politicians care not for society but for themselves. Interference by Central Banks create greater asset allocation in the wrong places and the Negative Interest Rate Policy is so stupid, it is self defeating creating a Bond bubble which will have huge negative Global economic consequences.

This approach on taxation would then empower the very people who support the current Government. No discretionary treatment, a user pays approach.

Issue a ‘Medicare/Identity’ card to allow offsets on a services tax to the elderly, unemployed and sick. Dispense with Income Tax Returns for individuals and maintain database via the card system.

Free the people and they will respond in kind.

The way that I see it there are exactly two options on the table, in the end it is Greece’s choice.

1) Greece reforms so that it can stay in the Eurozone. In other words, it needs to adjust their budget so that the revenues do not exceed expenditures. They cannot borrow the gap, as this is now history. On this basis austerity remains, perhaps for a very long time.

2) Greece refuses these reforms. Refusal means Grexit, whilst Tsipras says otherwise, he will have no choice.

50 shades of grey are evident in the “ending austerity” and “growth policies” or opening up new sources of revenue like “WW2 reparations”.

Simply put, ending austerity alone will not lead to the inherent domestic problems the Greeks face. There has to be a black and white reforms that lead to sustainable growth in revenue over and above the Countries expenditure.

One could say that Tsipras (and Yanis) are hoping that someone else pays. I regret to inform both of them that this will not happen. An exit therefore is on the table.

And for Yanis, rather than putting out wildfires, do something constructive and restructure the economy so that it can achieve something. You state you hated Thatcherism but the dear lady did break the back of the Unions something that both you and Tsipras have to tackle. Either that or get out of Athens.

A concerted effort must happen to reform, otherwise forget everything.

You are naive and dishonest to yourselves and the electorate if you do not!

Tsipras’ visit with Merkel is his own form of wanting to postpone the inevitable, Merkel will not change anything, maybe proffer some concessions.

Augusto Zimmerman describes Marxism as ‘primarily a social, political, and economic theory that interprets history through an evolutionary prism. Marx claimed to have discovered a “progressive” pattern controlling human evolution, which would lead humanity to the advent of a communist society of classless individuals. On this basis Marx defined the state and all its laws as mere instruments of class oppression, which would have to disappear when the final stage of human evolution were finally accomplished.’

Instruments of “class oppression”. The only successful Marxist regime being the Lenin/Marxist manifesto. Zimmerman states “In every communist regime around the world, the attempt to enforce the Marxist dream of equality of wealth has led to gross inequality of power and, to be sure, to governmental oppression and “deification” (not to mention equality of poverty among the masses). Thus, in the twentieth century alone, Marxist-inspired governments killed at least 100 million people. Such a bloodbath is simply the by-product of a naturalistic worldview that deems the most powerful humans to be the ultimate arbiters of right and wrong.”

Frank Chordorov on Income Taxes (The Root of all Evil)

“The only beneficiaries of income taxation are the politicians, for it not only gives them the means by which they can increase their emoluments but it also enables them to improve their importance. The have-nots who support the politicians in the demand for income taxation do so only because they hate the haves; although they delude themselves with the thought that they might get some of the pelt the fact is that the taxing of incomes cannot in any way improve their economic condition.”

On poverty, Benjamin Franklin

“I am for doing good to the poor, but…I think the best way of doing good to the poor, is not making them easy in poverty, but leading or driving them out of it. I observed…that the more public provisions were made for the poor, the less they provided for themselves, and of course became poorer. And, on the contrary, the less was done for them, the more they did for themselves, and became richer.”