Sunday, December 4, 2016

Greed Has Self-Destructed

Self-interest isn't an "ideology", it's an instinct, like two dogs fucking on a lawn. It's what they do. Self-interest doesn't appeal to humanity's highest aspirations, it appeals to humanity's lowest aspirations. Ironically, none of this is a communist plot, it's a capitalist plot - to self-destruct the fastest way possible. EVERYTHING, the mega-dunces are doing right now is accelerating collapse...

After 2008, the fundamentals of the global economy spiked higher due to unprecedented global fiscal and monetary stimulus. When that fizzled out around 2010, the deflationary forces of corporate arbitrage resumed the relentless exporting of poverty from the developing world to the developed world. Subsequently, Global GDP growth, global trade, wages, job quality, household wealth and income, global debt, global interest rates, commodities, oil, all deteriorated. As corporate profits soared.

However, two years ago, the historically unprecedented leveraged growth in corporate profits hit a brick wall as well, peaking in fourth quarter 2014. Despite unprecedented corporate operating leverage, fiscal leverage, and monetary leverage, corporate profits finally began to succumb to the forces of self-cannabilization, in the form of lower revenue, lower productivity, and lower ROI. 

Even as the fundamentals of the global economy have deteriorated, the nominal Dow marched to ever higher highs, amid growing episodic volatility. Because the Ponzi scheme continued, as the billionaires who control the media, in league with sociopathic mannekins, assured everyone continuously that "Globalization is working". So what else to do, the zombies took the Faustian 0% poverty capital thrown off by Third World sweatshops and invested it in global asset bubbles.

The same people who outsourced the economy, felt entitled to a recovery to support their Ponzi stock market valuations. Alas, that unfounded fantasy never materialized...
Global GDP growth (black), Corporate profit yield (red):




And Globalization IS "working", to the extent that it has now FULLY equalized standards of living between the Third World and the Developed World, down to Third World levels. Compliments of corporate arbitrage - buying in one market and selling in another, until prices aka. standards of living, equalize. Ex-Debt, and ex-dollar reserve currency, this charade would have ended a long time ago. The latent widespread acknowledgement that Globalization has failed is now a binary event.

Meanwhile, on the political side, the populist uprising against Globalization has grown globally, also all but ignored. "They" can't acknowledge it's over yet, because to do so would be to admit personal insolvency, and no one wants to admit that. They had eight years to prepare for this moment and so they just went further ALL IN. 

In other words, it's 100% all lies now, told by desperate liars. Admitting that they've failed and that their entire belief system is a corrupt failure, is not an option. 

Therefore, everything the trusted serial psychopaths are doing right now is accelerating the final day of reckoning. Because their own lies preclude them from any form of abeyance in their asinine drive for total collapse. They keep over-investing in the global poverty they created, and constantly ignore. The money has to go somewhere, and 0% is "not an option". So they just bid up their own assets while pretending to be wealthy.   

The human Twinkies are in dedicated self-destruct mode, by their own mass corruption.