of rationality and normalcy, at least for all those drones plugged into it. Conversely, our “Matrix” is a place of continuous absurdity and insanity.
This is most strongly exemplified by the economic mythology which the mainstream propaganda machine preaches with obscene regularity. Yet even in this realm of utter economic perversion, where ‘black is white’ and ‘up is down’, one perversion stands out above all others – because it is the Great Perversion upon which most of the other perversions are based.
The Great Perversion has been stated on an infinite number of occasions by the Corporate media, but never in a more despicable and hyperbolic manner than in a recent piece of journalistic trash from the Reuters oligopoly.
…The Eurozone is suffering from chronic “lowflation,” with inflation at an annual 0.5 percent, heading toward perhaps the most destructive economic condition of all – deflation. [emphasis mine]
That one sentence constitutes one of the most-vile economic lies which could possibly be devised. It is not only absolutely/completely opposite to the truth, but it is the most malicious form of economic perversion which could possibly be uttered (with the possible exception of “trickle-down economics”). Indeed, that single sentence is actually a series of lies, piled atop one another.
The fundamental lie in that sentence is, of course, the final phrase, that deflation represents “the most destructive economic condition of all”. The economic truth, known to anyone who understands the fundamentals of economics is that deflation is the most virtuous economic condition of all.
Let’s begin with a particularly despicable adjective injected into the lie above: “destructive”. Deflation “destroys” three (and only three) things in any economy:
1) Bad debts
Thus the loathsome media drones, all of our “expert” economists, all of our Traitor Governments, and (of course) the bankers have totally devoted all of their lies and policies (and irreparably warped our economies) in order to prevent purging bad debts, malinvestment, and fraud.
Prior to the creation of the Wonderland Matrix (and the utter perversion of the pseudo-science known as economics) it was universally recognized within that occupation that deflation was/is the only way to heal economies which are plagued with bad debt and/or malinvestment and/or fraud. Deflation is the ‘bad-tasting medicine’ which makes us feel better the next day.
Of course, if one is really, really sick, the bad-tasting medicine will not cure one of all their symptoms overnight. And when a cabal of infantile, Traitor Governments forcibly prevents our economies from (fully) ingesting the medicine of deflation for decades; it will take that deflation medicine a considerable amount of time to purge our economies of such extreme symptoms of bad debt, malinvestment, and (especially) fraud.
But deflation is much more than merely bad-tasting medicine which cures any economy of its worst economic ills. It is also an economic tonic. As soon as deflation has finished purging an economy of all its most-unhealthy symptoms, it begins a steady process of economic revitalization which starts a Virtuous Circle of ever-greater economic health.
The dynamics are elementary. In its simplest of terms; deflation represents a single economic truth: the “money” in our wallets steadily increases in value (something now beyond our comprehension). As this happens, we can choose to use this extra purchasing power to buy more goods, stimulating consumption (virtuous); or, we can devote this additional purchasing power to increased wealth – in the form of savings/investment (equally virtuous).
Furthermore, employees whose money is steadily increasing in value have little need/interest in pressing their employers for wage increases – since they are already getting wealthier by the day. Indeed, such increasingly affluent employees may be willing to (happily) accept a pay cut, in return for (perhaps) some modest improvement in working conditions.
In such an environment (with robust consumption and no “wage inflation”), the companies producing goods and services for our economies will be able to steadily reduce prices. And they can do so without resorting to the (highly destructive) Big-Box cannibalism which we have seen in our own retail sector, most-exemplified by (monopolistic) corporate predators like WalMart, who destroy jobs at an appalling rate.
We still get our “low, low prices”; but with deflation, instead of cannabilizing businesses (and thus steadilyeroding employment), we have a diverse and ever more-healthy retail sector, with plenty of money in the bank to hire even more employees. The Virtuous Circle continues.
What stops the Virtuous Circle of deflation? Inevitably, deflation leads to FULL EMPLOYMENT in an economy. When that occurs (and only at that time), such full employment then leads to upward pressure on wages. The upward pressure on wages means that businesses cannot lower prices any further, at which point a state of economic equilibrium is reached. Note that unlike inflation; as a matter of mathematical/economic inevitability, deflation will always lead to economic stability/equilibrium.
At this point, a pause is necessary, to describe economic terminology which no reader would have heard during their own lifetime: “full employment” and “economic equilibrium”. Indeed, our lives have seen nothing but the opposite of this. Traitor Governments pursue fiscal policies which maximize structural unemployment (and thus total unemployment), with the result that there are now at least 100 million permanently unemployed people in the Western bloc needing work.
Meanwhile, a criminal class of bankers who are no longer even slightly restrained by any laws have produced an ocean of economic fraud (including our own fraudulent currencies) which now – incredibly – exceeds the total size of the global economy by a factor of at least twenty. This has created economic instability more than an order of magnitude worse than anything we have seen in modern history, terminal instability.
The intellectually/morally bankrupt economists preach a mantra of never-ending (and thus infinite) growth, in finite economic systems – yet more insanity. Conversely, once an economy has been healed with deflation (and assuming no further banker-induced ills are created) we have economic equilibrium:prosperity without growth.
This (finally) brings us to the second lie from the original quote (above): that we have a supposed problem which the Liars have dubbed “lowflation”. This is nothing but nonsensical gibberish.
Every one of our (privately-controlled) central banks has a statutory duty to “preserve the value” of our currencies. What does this mean? It means keeping “inflation” as low as possible. Thus what the lying media drones, lying economists, lying politicians, and lying bankers want/expect us to believe is that because our central banks are supposedly doing their jobs properly (for the first/only time in history) that this is supposedly “a problem”.
What makes this particular lie perverse – to a Machiavellian extreme – is that these criminal central banks have never been creating more inflation than they are now. They simply (via the Corporate media) feed us ever-larger, ever more-doctored lies about what they call our “inflation” rate.
The chart below represents “inflation” in its truest/original form: the inflation of the (U.S.) money supply:
Can any reader see any signs of “lowflation” with this vertical line?
As noted at the beginning of this piece; our Wonderland Matrix is a realm of saturation absurdity, insanity, and perversion. Nothing demonstrates this point better than simply explaining why the Wonderland Matrix has been created and perpetuated, in the first place.
Why do the media parrots, charlatan economists, and corrupt politicians foist this Wonderland Matrix upon us? Why do they prevent our economies from ingesting the only ‘medicine’ which could cure our ultra-extreme economic ills? Why, indeed, do they tell us that this medicine/tonic would produce “the most destructive condition of all”?
Readers already have the answer. As previously noted, a ‘banking’ crime syndicate (which regular readers now know as “the One Bank”) has created an Empire of Fraud more than twenty times larger than the global economy, itself. More than 90% of this fraud is contained in the lawless, rigged casino which these banksters call “the derivatives market”.
Deflation would vaporize this Empire, nearly instantly. It is solely for this reason that the One Bank has created the Wonderland Matrix. It is solely for this reason that our economies have been warped beyond recognition until we are (now) literally on the verge of complete destruction/collapse. It is solely for this reason that severe economic suffering is being – needlessly – inflicted upon 100’s of millions of people in our own nations (and billions of other people, around the world).
None of this would be possible if the Great Perversion about deflation (and inflation) was not believed by the vast majority of our serf-societies. If the Sheep ever comprehended the truth about deflation; they would (naturally) insist that our Traitor Governments ingest this medicine to cure our ills. In turn; this would annihilate the most rapacious/predatory Crime Syndicate to have ever infested our societies.
Never more in the History of humanity have we needed deflation.
This article is brought to you courtesy of Jeff Nielson From Bullion Bulls Canada.