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Failure to Plant Crops

Failure to Plant Crops 

COMMENT: Good day from Chatham, Ontario Canada (50 miles east of Detroit 42.4048° N, 82.1910° W);
Interesting your models are warning of the next year’s results in climate change.

Our location is always the first to plant in Canada as it is the same latitude as northern California.
A few climate tidbits;

– As of today, May 18th, 2019, no farmers (zero) have started planting.
– In 3 years the percentage of April planting starts has decreased to 0% from 70% just 4 years ago. Typically planting was completed by mid to end of May.
– Flooding this year from Ottawa to Detroit along with cooler temperatures can wreak havoc on winter wheat crops which are planted in the fall and has germinated. But if the heat doesn’t come to dry up the land then the wheat crop is susceptible to rot.
– soil temperatures are below the 25-year average by 23 degrees.
– more rain means less sunshine.
– Songbirds in our area are unusual for May. Makes for a very noisy morning coffee.

Bird watchers reporting many species have not finished their normal migration north. Somehow they have stalled in lower latitudes knowing the northern food sources are not ready.
The birds singing is nice, but I would like to eat.
Best to you;

RH

REPLY: Others are reporting the same general trends. Some people write in and try to disagree with the forecasts. What they fail to understand is this is BY NO MEANS my “opinion” or what “I think,” for I do not see myself as qualified on such a personal level to forecast such events since I am not a farmer and have never been. My grandfather had maybe an acre where he grew grapes, fruit trees, and some other things like tomatoes. He was not a professional farmer.

 …click on the above link to read the rest of the article…

The Income Tax is Destroying the World Economy

The Income Tax is Destroying the World Economy 

It is imperative that we MUST eliminate the income tax. It is a purely a Marxist development that is destroying the world economy. The income tax has become such a tyranny that our liberty, freedom of movement, and world economic growth are all at great risk. Never before in the history of human civilization do we find an income tax. It is true that Ben Franklin once said that the two certainties in life were death and taxes. It is equally true that taxes, in general, have been around since the beginning of civilization. We do know that the earliest recorded tax was implemented in Mesopotamia over 4500 years ago, where people paid taxes throughout the year in the form of livestock, which was the preferred currency at the time. The ancient world also had inheritance taxes, also known as estate taxes or death taxes. The earliest recorded evidence of a death tax came from ancient Egypt (700 BC), where they charged a 10% tax on property transferred at the time of death.

The most serious crisis we face is that with the dawn of Marxism (Communism/Socialism) the way we pay taxes has changed significantly. Yet, one for the record took place in 2006 when China eliminated what was the oldest existing tax in history. The agricultural tax was created 2,600 years ago and was eliminated in 2006 to help improve the well-being of rural farmers in China.

Taxation in the United States can be traced to the colonists when they were heavily taxed by Great Britain on many things from tea to newspapers. Legal and business documents were required to display a Stamp Tax. Most colonists objected to this form of taxation, since they had no political input about the creation of new taxes, giving rise to the term “taxation without representation.”

 …click on the above link to read the rest of the article…

Using Events to Further Power

Using Events to Further Power 

QUESTION: Hi Martin,
I appreciate everything you do to clear away the mist and show what is truly happening in the world. You are one of the few voices of reason out there.

In New Zealand, since the mosque shootings in Christchurch, things have become very tense and this is due, in large part, to the way the government and police have responded and behaved since then.
Ordinary New Zealanders, kiwis, who are among the most accepting and laid back people on earth, are becoming anxious and angry at the way they are being treated. This is highlighted in particular be the heavy-handed way the police are undertaking gun confiscation in the wake of recent law changes to control firearms.

How quickly a country can change. Is this the kind of pivot you foresee as we approach 2032? With governments and their law enforcement becoming more and more oppressive to the point where ordinary people will say enough!
P

ANSWER: Governments know there is a massive problem on the horizon. They let Bitcoin trade to familiarize people with cryptocurrency. There is an agenda to eliminate cash, and we may see that hit in Europe and Australia before anywhere else. The raids on gun collectors in New Zealand are the excuse for violent acts.

The US used 9/11 to further the power of government. All the constitutional rights we had and the generations who fought and died to preserve our freedom were usurped, not by an invading army, but by our own government. This is a standard operational tactic that is by no means new. Ben Franklin addressed this issue. The people are given the picture of an omnipotent, unslayable hydra of destruction unless they surrender their individual liberties in pursuit of safety.

 …click on the above link to read the rest of the article…

The Great Unknown

The Great Unknown 

QUESTION: Martin, if Europe and Japan have destroyed their bond markets, would it be a good idea for them to get the government out of the bond market and have short term rates be floating in the free market?  The free market would probably help since they don’t know how to move rates correctly.

RG

ANSWER: What will happen is that there is already unfolding a bifurcation in interest rates with a widening spread between real rates (Private Sector) and government. If they allow government rates to float, that means they must abandon QE.

Neither the BoJ nor the ECB is ready to admit total failure. This means that the entire Keynesian-Monetarist tools have failed and they have no economic theory upon which to manage the economy. That means the government cannot control the economy and therein lies the denial of power.

Welcome to the Great Unknown

Bank of Japan & the Bond Crisis

Bank of Japan & the Bond Crisis 

BoJ Statement 4-24-2019

The Great Financial Unknown is now upon us. After 10 years of Quantitative Easing, the European Central Bank (ECB) in Europe owns 40% of the national debts in the EU and it can neither sell them nor stop buying without creating a Panic in Interest Rates. Likewise, the Bank of Japan (BoJ) owns between 70% and 80% of the ETF bond market in Japan. The Bank of Japan confirmed it is ending free market determination of interest rates for the municipal level and that they “will not require any procedures such as auction as the method of determining lending conditions.”  today it may introduce a lending facility for its exchange-traded fund buying program, which would allow it to temporarily lend ETFs to market participants.

4. Introduction of Exchange-Traded Fund (ETF) Lending Facility
The Bank will consider the introduction of ETF Lending Facility, which will make it possible
to temporarily lend ETFs that the Bank holds to market participants.

The statement at the end of the announcement on the last page on its monetary policy has left traders in shock. This appears that the BoJ realizes that it now effectively has destroyed its bond market and realizes that there is not only the end of a free market, but there is a contagion of surrounding lack of liquidity.

We have never before in the history of human society ever witnessed such a major financial crisis. The BoJ makes it clear it will continue its policy of Quantitative Easing. It stated plainly:

The Bank will continue with “Quantitative and Qualitative Monetary Easing (QQE) with
Yield Curve Control,” aiming to achieve the price stability target of 2 percent, as long as it is
necessary for maintaining that target in a stable manner.

 …click on the above link to read the rest of the article…

Still Snowing in the Heart of America – The Longer Winter & Shorter Summer Cycle

Still Snowing in the Heart of America – The Longer Winter & Shorter Summer Cycle 

COMMENT: Well you said this winter would be long and the summer shorter. It is still snowing here in the heart of America. It looks like your computer is correct again. Instead of funding research for billion dollars to pretend there is global warming, they should just subscribe to Socrates. Would save a heap of money.

RG

REPLY: Of course you are right. However, the hand out billion grants so they can get studies to justify raising taxes to bring in $100 billion. They are not interested in the actual reliable forecast. There is no juice in that for them. They want more revenue. Unfortunately, if this summer is also short and winter returns rapidly in the fall, buy some electric-underwear. We are in for colder periods ahead into 2024.

Economic Iliad & Odyssey

Economic Iliad & Odyssey 

The term “iliad” in Greek mean a series of miseries or disastrous events and “Odyssey” meant a long wandering or voyage usually marked by many changes of fortune. Welcome to the Economic Iliad & Odyssey. What we are facing is truly extraordinary. There is absolutely NO economic theory from Adam Smith to Keynes that ever addressed negative interest rates no less sustaining such a trend. There have been four major players who ventured into the negative interest rates territory but the disasters of this policy in Europe and Japan were implemented in hopes to stimulating the economy. In the case of Switzerland, they were seeking to prevent capital flowing into the Swiss franc as a safe-haven.

We are now on the threshold of the most PROFOUND economic event which has never before in history ever taken place. This is where opinion becomes worthless. All we can do is approach this on a collective basis internationally and without bias.

Are Two-Tier Monetary Systems a Possible Tool?

Are Two-Tier Monetary Systems a Possible Tool? 

QUESTION: Mr. Armstrong; It seems few people even understand that there have been two-tier monetary systems. Do you think this can be a possible tool in the currency crisis you are forecasting for 2021?

Thank you;

Looking forward to Rome and meeting Mr, Farage as well

PC

ANSWER: Various countries used to mint trade dollars in silver with different weights for external trade with China. That was a two-tier monetary system for trade during the 19th century. But there have been instances where there were two separate currencies that were also used as capital controls to isolate the domestic economy from the external international capital flows. This was the case with South Africa.

An important example of an official deliberate two-tier monetary system is the modern monetary history of South Africa. Until the late 1960s, South Africa had a fixed exchange rate for its currency. The rand was pegged to major foreign currencies, as was the case under the Bretton Woods system.

It was during 1979 when the South African government switched to a system that formally expressed parity against the dollar. The value of the rand followed changes in the balance of payments and moved roughly with sterling and other weaker currencies until 1985 when the dollar soared and the birth of the Plaza Accord took place.

The foreign debt crisis of 1985 caused the rand to depreciate at a spectacular rate and the dollar rose in value. The rand fell to an all-time low of less than 40 cents to the US$. The rand recovered somewhat in 1987, reaching 43 cents, but it declined steadily thereafter into 1998. The rand collapsed to about 26 cents against the US$ in late 1995. Between February 1, 1996 and May 1, 1996, the rand lost roughly 16% of its exchange value, falling from R3.7 to R4.33 = US$1, or a value of about 23 cents to the US$.

 …click on the above link to read the rest of the article…

There Are No Coincidences – Why History Repeats

There Are No Coincidences – Why History Repeats 

QUESTION: Martin Today is Palm Sunday. In mass, they said HE colluded with the Galilean’s. HE was found innocent by the Council. They said HE was a tax evader. HE was found innocent by new leadership. HE correctly predicted that HE would be denied by his own party 3 times. The corrupt crowd lobbied to release a murderer, and sentence an innocent man to his fate. My question is do cycles go beyond what is physical as with planets and the stars that wobble and rotate around our galaxy? Does it include emotional and human behavior cycles? Does history rhyme? If so, are we living in a matrix that has been programmed with numerous cycles? We can show that animal life is irreducibly complex and therefore predesigned. But, I am now wondering about if the psychic has been programmed with cycles too?

Do we truly have free will?

EM

ANSWER: Your question is interesting. I have usually explained that history repeats because human nature never changes. Only technology does. Given the same circumstances, humans will ALWAYSrespond in the same manner. Just examine the same facts and you will see how there is NEVER any rule of law. It does not matter what century, for it is always the same. It is all a joke. Whatever the desire of those in power, they will always manipulate the law to produce the desired outcome.

Right now, just look at the government throwing Chelsea Manning in prison on contempt indefinitely, the $4.2 billion handed to Ecuador for Assange by the IMF, and then his immediate indictment and move for extradition. This is all a coordinated attack to launch against Trump for the 2020 election after the Mueller Report failed. There are NO COINCIDENCES when it comes to political maneuvers. You are watching history in the making. The Deep State is determined to get rid of Trump. They desperately want one of their own in power — a team player.

China & Buying Gold – Why?

China & Buying Gold – Why? 

QUESTION: Mr. Armstrong; I believe you said at the WEC in 2017 that central banks will diversify and increase their gold reserves going into the currency crisis coming in 2021. China has continued to increase its gold reserves. You would please update on that development.

Thank you

PK

ANSWER: Central banks are in a very difficult position. The ECB has really put the entire world at risk. Draghi is now realizing that negative interest rates have seriously harmed the European economy and led to a major growing liquidity crisis in European banking. The euro is regarded as a time bomb for it is neither a national currency nor a stable unit of account. The failure to have consolidated the debts from the outset has simply left the euro vulnerable to separatist movements and sheer chaos.

This is what has been behind the strength in the dollar. Central banks outside Europe have been caught in this dollar vortex. They have been selling dollars and buying gold in an effort to stem the advance of the dollar. China also has a debt problem with many provinces and companies who borrowed in dollars. Here in 2019, there is $1.2 trillion in Chinese dollar borrowings that must be rolled over. There is a rising concern that this year there could be a major threat of a dollar funding crunch. The total debt issued in US dollars outside the USA approached $12 trillion at the end of 2018. That is about 50% of the US national debt. The forex risk is huge, no less the interest rate risk on top of that. The more crises we see in Europe, the greater the pressure on the dollar to rise regardless of the Fed trying to stop capital inflows by delaying raising rates.

 …click on the above link to read the rest of the article…

Turkey & the Real Risk of a Debt Crisis

Turkey & the Real Risk of a Debt Crisis 

The Treasury and Finance Ministry of Turkey announced that the country’s net external debt stock totaled $286.2 billion going into the end of the 3rd quarter of 2018. The country’s net external debt stock to its gross domestic product (GDP) ratio was 34.4% at the end of the third quarter of 2018. However, Turkey’s gross external debt stock amounted to $448.4 billion at the end of the 3rd quarter, bringing the debt/GDP ratio to 53.8% according to the official figures.

Interestingly, because of the fear of the Turkish lira, Turkish corporations have been often compelled to borrow in dollars. Therefore, the private sector’s share in the country’s gross external debt stock was 68.2% ($305.9 billion), while some $215.9 billion of this amount consisted of long-term debts with a maturity of more than one year. The Turkish public sector’s share of this debt was 30.6% in the country’s total foreign debt, which is about $21.4 billion in short-term (under one year) with $115.7 billion in the long-term (over one year). The banking sector’s (lenders and the central bank) external debt stock was $176.99 billion at the end of the 3rd quarter.

When we break this down further, 58.5% of the total gross external debt is denominated in U.S. dollars with only 32.3% denominated in euros. The amount denominated in Turkish lira among the external debt stock was a trifling 5.9%. This illustrates the crisis that will emerge with a change in the currency values.

IMF Hands $4.2 billion in loans for Ecuador for Julian Assange

IMF Hands $4.2 billion in loans for Ecuador for Julian Assange 

The evidence of political pressure on Ecuador is surfacing. The IMF Executive Board Approved US$4.2 Billion  (435% of quota and SDR 3.035 billion) Extended Fund Facility for Ecuador. The Executive Board agreed to this arrangement with strings attached. The Board’s decision enables the immediate disbursement of US$652 million (equivalent to SDR 469,7 million, or 67.3 percent of Ecuador’s quota). This arrangement provides support for the Ecuadorean government’s economic policies over the next three years provided they gave up Julian Assange.

It is very interesting how corruption and bribes grease the world. Every person who ever becomes a whistleblower on government goes to prison.

The USA immediately unveiled its request for extradition on computer hacking charges that carry 5 years. Of course, the US must put on its case to get its hands around Julian’s neck. Once he is extradited to the USA, they will unleash a battery of other charges to ensure he does life.

The rumblings behind the curtain are that the Democrats in league with the Deep State are behind this, hoping to force Assange to say he got Hillary’s emails from Putin as part of a plea deal. The danger of all of this nonsense is simply the plain fact it will bring us one more step closer to world war. What is clearly involved here seems to be a highly coordinated scheme that links the IMF and throwing Chelsea Manning in prison who will conveniently have to testify against Assange who can be eventually charged as was Manning and face the death penalty. By linking this to Russia, they hope to also prevent Trump from granting him any pardons.

This is getting very deep. Tyranny under the Banner of Liberty & Human Rights.

Why Has Everything Turned Sour? Is it the Press? Or is the Press Part of the Cycle?

Why Has Everything Turned Sour? Is it the Press? Or is the Press Part of the Cycle? 

QUESTION: Hello Mr. Armstrong,
I´d like your opinion on this,
During 7 Decades in which our lives got better, longer, richer, safer, healthier, better educated, more peaceful and more stimulating. Even World poverty has decreased in a rate never seen before, still, news coverage got increasingly negative

What explanation could there be for this? Is it excessive competition for attention as media sources multiply or an excessive any deeper reasons? I compare it to Markets, seems to be similar like trading on news, which is impossible because when the news is the worst, usually its the low and when everything and everyone is optimistic its the high.
regards

ESVideo Player00:0000:54

ANSWER: Coming out of World War II, society really advanced in many ways from technology to medicine. This is the part of the societal cycle that is best to live in. Then what happens is corruption. The news becomes corrupt in sync with politics. I believe this becomes the case because news becomes institutionalized as it is owned by big firms who then direct the news to slant to their personal benefit. This is a funny skit on British News. It is so true here in the States as well. The Democrats love CNN and the Republicans love Fox. The news gravitates to a political slant and is no longer about news – it is always about selling more ads and pushing their propaganda like some religion handing out flowers in airports.

Yellow journalism was created by the battle between Pulitzer and Hearst. They created the Spanish American War to sell papers. Pulitzer’s name was worthless. To rehabilitate it he donated money to create the Pulitzer Prize for good journalism, which he never practiced.

 …click on the above link to read the rest of the article…

Our Flawed Monetary System & Why it is Doomed

Our Flawed Monetary System & Why it is Doomed 

QUESTION: You mentioned that Rome had no national debt and no central bank. Exactly how did it function for 1,000 years?

JY

ANSWER: In addition to not having a national debt or a central bank, Rome had no police force or agency charged with enforcing the law. There were specific crimes against the state that would be prosecuted such as arson and treason. But the prosecution of a murder would be carried out by the family. The responsibility for enforcing the law thereby fell on the kin, tribe, gens and patron of the offended individual.

It was the King of England after Magna Carta who began to prosecute people for what was private crimes all so he could make money. By the time of the American Revolution, there were 240 felonies all of which carried the death penalty. So the king got to confiscate all your property and throw your family out on the street all based on what had historically been a private dispute.

As far as finances, the government simply minted coins to pay its expenses. As I have said, if we just created the money to fund the government rather than borrow, it would be far less inflationary. Because we borrow, with no intention of paying anything off, we must keep paying interest to roll the debt. That suppresses the economy, for it is competing with the private sector. It is a contributing factor as to why 70% of small business get turned down for loans that would expand the economy.

As shown here, the accumulative interest expenditures eventually exceed 70% of the total debt so the money never went to anything such as schools, roads, or social programs. If the government simply created the money, as did Rome, then the economy is segregated between public and private.

 …click on the above link to read the rest of the article…

Climate Change, Midwest Floods & Food Shortages

Climate Change, Midwest Floods & Food Shortages 

The Great Flood of 1927, flooded the lower Mississippi River valley in April 1927.  It was one of the worst natural disasters in American history. More than 23,000 square miles of land was submerged, hundreds of thousands of people were displaced, and around 250 people died. The flooding impacted areas in Arkansas, Illinois, Kentucky, Louisiana, Mississippi, Missouri, Tennessee, Texas, Oklahoma, and Kansas.

Following that Great Flood of 1927, we then see the climate swing dramatically in the opposite direction into the extreme drought that led to the Dust Bowl of the 1930s. The Dust Bowl was a period of severe dust storms that greatly damaged agriculture in the Midwest prairies during the 1930s. The Dust Bowl was a severe drought that came in three primary waves, 1934, 1936, and 1939–1940. The entire event actually complied with our Economic Confidence Model when many regions of the high plains experienced drought conditions for eight years.

Unfortunately, the global warming people are already out in force and blaming this on moms driving the kids to soccer matches. They always pretend these are catastrophic events never before seen. Cars were not really in wide use until post-1940s. They could care less about history or truth. The cycle is very clear. This major flooding which may destroy at least 6 billion bushels of wheat is a prelude to what is coming.

Long before there was the Global Warming crowd, there were the record-setting heat waves and drought of the 1930s that contributed to the Great Depression and wiping out agriculture that was employing 40% of the civil workforce at the start of the century. There were runs of extreme temperatures which broke all records. There was a stretch of 11 days straight in July with temperatures over 100. The two worst years were 1930 and 1936.

 …click on the above link to read the rest of the article…

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Olduvai III: Cataclysm
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