By Abuchi Obiora
This second part of the above titled discourse in The Kaleidoscope Archives will graphically trace the ingredients of failure constituting the signs of decay that brought about the decline and an imminent collapse of the American Super Power.
Let me, before enumerating them, repeat that they are all self-inflicted as traced and linked to the three major factors of GREED, INJUSTICE, and SIN AGAINST NATURE, which have been the trademark of Pax Americana since inception after the Second World War.
One cannot talk about the Greed, Injustice and Sin Against Nature by America without reference to the faulty foundation of Anglo-Saxon Super Power, which was surreptiously usurped by America to firm up a sole Super Power for herself. I am talking about the injustice of slave trade which also highlights the American Greed and Sin against Nature. The foundations of the British Empire and the United States of America were built on the shoulders of slaves from the southern bloc. This mass injustice championed by the Church as ‘Evangelism’ in the guise of discovering people and civilizations that existed before themselves was curiously legalized in the Berlin Conference of 1984/1985 under the dictatorship of the ruthless Otto Von Bismarck, the first Chancellor of Germany.
The major purpose of that sinister Berlin Conference which balkanized the countries of the southern hemisphere was to regulate European colonization and trade in Africa by identifying which European nations would be allowed to control which parts of Africa.
Historically, the world’s second major Super Power, the Anglo-Saxon (Anglo-American Super Power) that is, the joint conquest of the world by Britain and America which was made possible through the Church and by the auspices of the Caucasian cousins spread as Kings and Queens, Princes and Princesses within the monarchies around Europe was, in the manner employed by Alexander the Great on the first Persian Empire, cunningly hijacked by America on two separate occasions, notably:
- After the Word War II with the establishment of the United Nations and its allied agencies and subsidiaries which include the UN Security Council, International Financial Houses, Trade and Commerce Organizations (all indirectly controlled by America) and the North Atlantic Treaty Organization (NATO), the self-appointed international watch dog of countries around the world that is remotely-controlled by America. With these cunning and subversive arrangements by America, the British interest in the Anglo-Saxon Super Power setting was swallowed up by that of her traditional ‘first born’, America.
- In the book, “The Art of War”, Tsun Tzu, an ancient Chinese Military General and war strategist wrote that the greatest art of war is the ability to conquer the enemy without putting up a fight.
In line with military strategy and what America calls its strategy interest, the second coup de etat by America to become the sole and unhindered Super Power in the world happened at the demise of the ‘cold war’ between America and the Union of Soviet Socialist Republic (U.S.S.R) during the tenor of Mikhail Sergeyevich Gorbachev (2nd March 1931 to 30th August 2022), a Soviet and Russian politician who served as the last leader of the Soviet Union between 1985 and 1991 when Soviet Union was dissolved.
Mikhail Gorbachev’s introduction of ‘Perestroika’ (Restructuring) and ‘Glasnost’ (Openness) were to unleash on him uncontrollable democratic forces hitherto nurtured by America even amongst some politicians within the POLITBURO, the highest echelon of power in the Soviet Union. An unsuccessful coup against Mikhail Gorbachev in August 1991 punched hard on the combined strength and homogeneity of the member countries of the U.S.S.R. It was planned by hardline communists in an unholy and unusual alliance with the American-influenced democratic forces which America had nurtured through several covert means including infiltrating the POLITBRO.
However, the straw that broke the camel’s back was the formation of the Commonwealth of Independent States (CIS). In early December 1991, Boris Nikolayevich Yeltsin, (1st February 1931 – 23rd April, 2007) a Soviet and Russian politician with the leaders of Ukraine and Belarus, met in Viskul, Belarus, to form the CIS, a regional intergovernmental organization in Eurasia following the dissolution of the Soviet Union.
The formation of the CIS, planned secretly by America and executed by some bought-over politicians of the Union who were suspected to be American secret agents, sealed up the existence of the Soviet Union. Boris Yeltsin who had been a member of the Communist Party since 1961 was to serve as the first President of Russia, the most powerful member of the Union, between 1991 and 1999.
In retrospect, one would say that, caught up in the America and Western European European-influenced magic and abracadabra of ‘Perestroika’ and ‘Glasnost’, Mikhail Gorbachev gave out the Union of Soviet Socialist Republic to America on a platter of gold. With that giveaway, the traditional and historical alliance that had long been formed between Eurasia nations of like and similar regional interests since the earliest conquest of the world by Cyrus the Great of the First Persian Empire in 550 B.C, was laid to rest.
Since after that period generally referred in history and International Relations as the ‘Cold War’ era, America has appeared full blast in the sole exercise of power around the world with no major Super Power checkmating her activities because though Russia as the most powerful survivor of the defunct U.S.S.R has good war machines including nuclear arsenals to wage wars as a Super Power, it presently lacks the support of some of the countries within the Eurasia region because America has tied most of them with the apron string and carrot stick of membership of NATO. This, by the way, is the originating reason for the war in Ukraine.
The above is the challenge which Vladimir Vladimirovich Putin (Born 7th October 1952 in Saint Petersburg, Russia) has identified and is quietly correcting as America and Western European countries call him all sorts of names. As an analyst in Current Affairs and International Relations with a special interest in hooking up to the corrective wisdom of history and fore knowledge, I believe that it is of great importance that this historical alliance be restored so that the balance of power amongst citizens of the earth will be equitable. Such a balance will also assure the future of the earth and ensure the survival of mankind on the earth.
Is it any wonder, therefore, that America feels very uncomfortable with the coming together of traditional and historical allies of King Cyrus the Great era which Brazil, Russia, India, China, South Africa and other countries that the BRICS PLUS nations, represent? I shall say more about this as I reveal more facts in the third which is the concluding part of this discourse but, first let us see why America is doomed to lose its super power status, not by Russia shooting a bullet to its territory, but through implosion and a result of self-inflicted injuries.
Perhaps, the most significant signal and sign of decay which points to the inevitable drift of Pax Americana to extinction is the collapsing value of the Dollar as evidenced in the mounting trillions of dollars of corporate debts in America and all the countries around the world that use the Dollar as their secured international determinant of value and medium of exchange. To this effect, there was once a report that the credit crunch in America has exposed half of American banks to potentially insolvent.
In another report, the Chief Executive Officer (CEO) of JPMorgan Chase, Jamie Dimon was said to have issued a warning on America’s fiscal trajectory during a conference hosted by Barclays. He had told reporters that America’s rapid rate of spending is bound to have a significant impact on households. In his words, “I just think people make a mistake to look at real-time numbers and not look at the future. And the future has quantitative tightening”.
He continued, “We’ve been spending money like drunken sailors around the world, this war in Ukraine is still going on. Those are really big buts”. He concluded by saying that “To say the consumer is strong today, meaning you get to have a booming environment for years is a huge mistake”.
By the way, the subsisting American banking crisis was caused by balance sheet loses brought about by increases in US interest rates. When the interest rate was increased, bonds held by US banks inevitably decreased in value. In real fact, they became inversely correlated, weighing against the value of the bonds. Additionally, the present crises in the US commercial property market as a result of increased interest rate puts US banks who warehouse loans for commercial property operations in serious financial disadvantage. The result of these combined onslaughts on US financial system is that the US Sovereign Rating, suspected to have officially been bloated to maintain the Super Power ego, has been downgraded.
The truth is that the previously faked American and Western European-constructed near zero lending interest rates was enacted to tie countries and corporations around the world to the dollar as their first consideration for international and cross-border transactions. As a result of the hitherto faked low borrowing interest rate in the US, families swamped on banks to borrow money which they spent extravagantly. As I write, the current household debt in US is put at $17 Trillion and it is still moving up. This US debt burden is approximately at least six times larger than the total GDP of all the African countries. Presently, families in the US are at the risk of losing all they have because the interest rate has more than quadrupled. This development will eventually cause mass poverty as the Middle Class which acts as the bridge between the very rich and the people at the lower rungs of the economic ladder, will be decimated.
The imperialist fiscal policies of the United States of America articulated with the expansionism tendencies of an oppressor in view, was a debt trap not only for United State citizens, but also for the people she had lorded herself over around the world, and the countries that will collapse with her.
This fallacy, now exposed, has given both the American and global economy more than it can chew. Many governments, corporations and individuals went on unrestrained borrowing and spending binge. The result is that today, everything has screwed up with many companies and corporations around the world as Disney, the wonder US conglomerate being in dire straits in all areas of its operations which include Movies, Streaming and Amusement Parks. My understanding is that if the present trend continues (and there are no pointers that it will not continue), both Disney of the famous Disney land and other major companies and corporations around the world will go under.
Who says that American Super Power will not collapse when corporate America goes under?
Hitherto when the US dollar was the world’s most preferred currency, the United States Treasury Bills was regarded as the best representative of financial stability. But today, the level of volatility of that former safe haven for the storing of wealth, financial net worth and assets has become completely unprecedented as a result of speculative activities of operators around the world. A financial source recorded that, “The reserve currency of the world has ceased to be a stable pool of liquidity but it has instead become a wide band instrument which can be traded for vast profit because of the increasing level of volatility swings which is in the main caused by speculative traders”
The above development has made the gold and silver markets of the good old days to become the safest form of storing wealth and other financial assets. Consequent on this, there is presently a run on the dollar. As I write, Central Banks around the world, corporate bodies and sundry financial organizations, Pension Funds, Hedge Funds – all of these are dumping their dollar denominated Treasury Bills holdings. While all these things happen, the Bretton Wood institutions keep juggling figures to confuse the uninformed minds.
But in spite of this juggling of figures by the Bretton Wood institutions who are known to work at the behest of the United State of America to push the illusionary agenda of an empire still going strong, the US Treasuries, supposedly regarded to be risk-free financial asset in the world was downgraded last week by Moody’s. Moody’s Analytics is an international financial intelligence organization that uses vast and extensive research, data, software, sundry analytical tools and innovative application of technology to provide expansive information to guide business leaders and decision makers around the world to navigate their financial coasts and remain both solvent and afloat. The organization is recognized around the world as a prime provider of award-winning financial solutions to address nagging financial questions of corporations and governments around the world to move away from distress and continue to remain solvent and afloat.
So, it was that last week, Moody’s downgraded US Treasuries from the solid AAA Stable to the base AAA Negative. The pattern of the analytics is that the next downgrade will be a ‘useless’ AA Status. Meanwhile, Banks, Hedge and Pension Funds and others of such are usually bared by law to hold anything less than AAA Status to secure the investments of their financial investors. This means that if the downgrade reaches to AA Status, there will be a quick drop in the value of the Dollar as the preferred reserve currency of the world. This development would almost erode every remaining value of the Dollar. That will be a crash!
As these developments firm up, financial experts around the world especially from the ‘opposing’ camp, are not keeping quiet. They are doing something. What they are doing to save the international financial system and nations of the world from collapse will constitute part of the concluding segment of this discourse.
The US dollar, the hitherto preferred currency of the world’s most visible Super Power is really in trouble. This condition is escalated, I repeat, by the level of US corporate debt, officially put by the US monetary authorities at $33 trillion but actually analyzed by independent financial experts to be at least five times that figure with a monthly growth rate of $400M. With this mounting debt, the Debt – to – GDP level in US is a scary 130%. This unmistakably puts a question mark to the continued assumption that the US dollar, the world’s ‘safest’ currency and the currency of the world’s largest economy is still what it used to be.
In this condition of an eroded dollar value, the very foundation of the global financial system is shaky and a replacement seem to be under way. In the words of Edward G. Griffin, the ninety year old author of the Seminal Books “The creature from Jekyll Island” (a book that describes the true owners of the Federal reserve Bank by going through the history of the bank from the Bank of England up to its creation in 1913 as the Federal Reserve Bank), “There are going to be huge losses. So much greater than we have ever seen. Not just what we have seen but the world has ever seen. We have created this economic balloon greater than the world has ever seen. When it pops, millions, if not hundreds of millions, will be completely devastated”, and I add, American Super Power element will be devastated with it!.
In ending this second part of the work which hints on what the world will expect after the demise of Pax Americana, I must observe that the major factor that adversely affected the US currency, the dollar, is the United States expansionism policy and greed as a result of her fear of the combined influence of Russia and China who seek to restore the traditional and historical links between Eurasian countries and their historical, traditional allies around the world. As a result of the US expansionism policy, she overstretched herself militarily around the world with a total of 800 military bases, which it must maintain in dollars. To be able to do this, the US has been printing dollars and more dollars so much so that she does not know the amount of dollars which she has printed, that are being thrown around the world today.
The US has also used printing of more dollars for neo-imperialism and to enforce the use of dollar as the major currency in those countries where she maintains presence in order to prevent the emergence of any economic or political rival such as Russia and China.
The concluding part of this work will articulate the fall-out to the US expansionism policy and the natural consequential response of the world to it which cumulatively taken, will end the Super Power status of the United States of America in a foreseeable future.
ABUCHI OBIORA
Global Upfront newspaper
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