Pyramid Comment: Banking Panic

'The harder I work the more luck I seem to get.'

Luck is engineered. Jobs are lost, lives and careers wrecked, but 'failing' and 'failed' banks are saved. The knight in shining armour on a white charger is the global taxpayer bailing out failure and in the process being sacrificed on the altar of greed and gluttony. The financial system that is idolised cannot be allowed to go under whatever the cost in hard currency or human terms. It must survive. The worship goes on as meltdown continues and the environment gets even hotter. Banking Master Plan In the UK, Bradford & Bingley is another Northern Rock. Pump in another £40m of taxpayers money. Not real money, but the fiction of virtual money. The capitalist ideology of privatisation so eschewed by (New) Labour illustrates the shallowness of its politics. Nationalisation is the 'new' way. Look in the cupboard and amongst the skeletons are the old ideas. A nationalised industry does not grow. There are no incentives to improve, though not improvement in terms of efficiency and standards. Only financial return and the promotion of inflation. The method of making more money. Redistribution ensures that any growth is illusory. Or growth draws the curtain across the stage where redistribution takes place between acts. Either way it's the denial of truth. Investment capital is needed for expansion and in the process the investors' coffers swell. Everyone appears to be happy with the growth.

But

inflation also grows and by at least as much. Ultimately, the faster or bigger something grows the faster it is eaten up. The paradox is that growth results in demise. Expansion means swelling in size though the illusion is made successful by eating up the competition. Just getting fatter until all the 'food' on the financial table is all gone. The real end-game won't be reached until the circus goes around just once more, but this time the rescue plan cannot exist. It's playing the game of borrow to pay off a loan. Even now that 'game' is more and more difficult for consumers to play as on-borrowing is not happening. Banks won't even lend to each other (inter-lending), but expect to be bailed out nevertheless. The consumer (host) will perish, yet the banks (parasite) live. Pure illusion. Obviously, reality demands that at end-game the host dies and then the parasite dies shortly afterwards. It's predictable, but worry about it tomorrow and tomorrow always does comes. Doesn't it? In reality there is no tomorrow and the lie is now being revealed for what it is.

Illusion through denial

Pyramid Comment

Monday, September 29, 2008

Banking Panic - The Plan (13)

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