and, as Made in China, Produced in India, and the vast economies of scale due to human population boom, and technology productivity turbo-charging, are absorbed, the most fantastic financial fiddle in history will draw to a close.
The USA has been able to print stupendous quantities of cash, diluting all other holders, a large proportion of them foreigners, without any inflation.
They have been able to pretend that the US$ is a stable currency. Greed has known no bounds and despite that huge gravitational transfer of value from others to the US$ producers, the USA has world record towers of Twin Deficit.
A vast collapse in that value is hereby heralded.
First, Made in China will rapidly run its course and their pay rates will increase. There is nowhere to go but up for a billion people who used to live in utter penury, in hideous hutongs. They will require an increse in price to keep them working for the same producers.
Produced in India is the latest game and they too will eventually all be busy and bidding for their services will increase. Producers will be squeezed there too. They will have to increase prices to remain in business. Consumers, aka Americans, will have to pay or do without. Which they seem to find hard to do.
The human population explosion is almost over and a population decline will get under way. It already has in Japan and among German Germans and some others. The fewer people there are wanting to work, the higher their price will go. Those with assets will have to transfer more of them to those willing to work to compete with successfully with other buyers. That means they'll have to offer higher prices to producers.
The technological revolution has only just begun. The industrial revolution is still reaching a large proportion of the world [India, China, for example] and while that continues, the cyberspace and general biotelecosmictechdot.com revolution is just gathering a head of steam. So there is still quite a way to go in that process. That will continue to act in a deflationary way and probably fast enough to counteract the human population decline and the end of Made in China and Produced in India effect for some time to come.
The industrial revolution replaced our muscles, which was convenient, but the cyberspace revolution is replacing our brains, which is where most human value has been for centuries. That will enable a mega enhancement in value, of an effortless nature. Cloning some software involves only a click of a mouse, or even a blink of an eye. Cloning a car factory took $billions and years. Gearing up another hydro power station took the best part of a decade and cost a fortune and depleted another non-replacable resource.
That process of biotelecosmictechdot.com efficiency improvement, aka productivity improvement, will continue unabated and will accelerate. Genetic engineering and problem solving for people [our own DNA] hasn't even begun other than in the smallest tinkerings. That'll be a vast improvement, with children being born with turbo-charged brains instead of whatever is lurking in the cognitive swamp of their ancestors. No more homework! Learn it all in seconds and leap ahead in minutes - all together, in a Great Leap Forwards.
But, looming in that cyberspace revolution, which superficially protects the value of the US$, is the seed of its destruction. Not dilution. Outright genocidal destruction. And, I am planning it right now. Even as I type, I am thinking of how it will work; a true democratic revolution, actual freedom. The USA is in favour of those so perhaps they'll help me... giggle... help me with a Hellfire missile from a Predator!
A fully democratic cybercurrency, owned and controlled by the producers of value who happen to hold the currency at any particular time, not a bunch of old geezers hiding in some old stone building in Washington DC, in secret, deciding at the whim of a few self-dealing parasites what to do with interest rates and further dilution of the currency so many of us hold.
The Qi. I should have my prototype rolling off the presses in a couple of years or so. $10 trillion in value to be created out of thin air.
No more will Americans drain the energy from around the world by bludging on the rest of us with the fantastic fiancial finangling going on right now, with the latest announcement awaited with bated breath.
Then we'll really see some inflation in the US$. BIG inflation. World record inflation. Interest rates will not be 4.75%. And, all other fiat currencies will have "Game Over" flashing as they go the way of the Aztecs and their incantations over gold and human sacrifice, dancing around a fire, chanting to sundry gods.
Mqurice |
