The Wonder Springs Chronicle

Bankrupt and broke!

6 October 2010

Volume 12, Issue 39

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Last week we concluded with the thought that we were quickly heading for Serfdomville, Serfdom on the Serfdom Express. What does that really mean?

Basically that means that the United States is bankrupt and consequently the world is broke. That is of course speaking in totally economic terms. American based gross debt driven consumerism based on leveraged assets, especially inflated housing values, have bankrupt the country. Consequently the globalist concept of building consumer products in the places where they can be produced for the least money and then shipping them to the United States for consumption, is bankrupt financially and broken as a means for producing wealth.

So the dreams of the world’s best and brightest elite thinkers has come to naught. This week we begin to outline a better way.

It is truly amazing how quickly the collective elitist form of Social Darwinism hit the skids, after Laissez-Faire Social Darwinism totally failed just a couple of years ago. That should signify that the world’s economic engine has totally run out of gas, but that would mean that we would need to come up with some economic plan to counter the Industrial Age. This wilderness frontier of wealth producing opportunity is beyond the scope of our global economic flat earth society. As a consequence, that frightening world is ruled by unknown dragons, bears, and wolves, but especially humans who for all too long have had a job, but don’t make any money.

In the United States those primitives still believe in their religion, have guns and know how to use them, and still have some vestiges of a scary culture once known as self-sufficiency. What is even more frightening however, if the knuckle draggers had access to some financial capital beyond their jobs and unemployment checks, they would in short order use their true human diversity to make the Social Darwinists elites an extinct species. Then what would happen to all of the elite producing universities that were created to bring evolving progressivism to the unwashed masses?

Understand, the United States of America is currently bankrupt financially, and the Divine Destiny that has driven American progressive exceptionalism for over 150 years, has also run its race.

“Oh God, what are we to do?”

But the God of Divine Providence that was responsible for the initial founding of the United States will again redux the nation within the concepts of the Natural Laws that govern creation and the common grace of inalienable rights, among them, life, liberty, and the pursuit of happiness.

The first step into that wilderness of Divine Providence is to acknowledge the reality of Divine Providence. In the common-ordinary that means introducing an almost extinct human trait, once called humility. That means some complex reasoning that goes something along the line: There is a God and we humans both individually and collectively are not.

Now in the terms of a natural imperative, that means that human social class structures and their elites will disappear from the gene pool, which will be accompanied by the death of the cultural stigma for racism and those who profit from its existence. There is only the human race, the human species, in which each person is created in the image of God and therefore is uniquely diverse in his or her eternal personality.

This makes the United States exceptional, not because of any inherit righteousness of her people, even though they are really the rejects of all other nations. What makes America exceptional, is the grace of God, which like Old Testament Israel was chosen by God for a Divine Purpose and that was to be a model for other nations and people groups to emulate, and thereby understand the wonder of life lived in a fallen world, as just a dim vision of what lies ahead in God’s eternal plan for the ages.

Now if we assume that the redux of America through Divine Providence is true, what does this mean for the United States and also the rest of the world?

First and primarily the era of big dominance is over, both as crony capitalism and also bodacious bureaucratization. The reason is essentially these dinosaurs have been allowed to grow beyond the fruits of economies of scale. That is true in all segments of efficiency: financial, energetic, and human.

That means that essentially the world’s infrastructure in the broadest sense needs to be replaced, but that does not mean we need more of the same “that got us into this mess” or alternative sources of dinosaur nourishment. In simple terms 2 big 2 fail, needs to run its course and the financial leverage that allows economic growth to be redefined as “mergers and acquisitions followed by slash and burn” needs to be curtailed.

What is generally thought of as infrastructure, such as bridges to nowhere, needs to be reconstituted as scheduled maintenance rather than allowed to deteriorate and be replaced. This allows for a stable baseline of employment for some people with skill sets appropriate to this type of sustainability, even though I dread using this PC term.

The biggest changes and the most opportunities however will need to come from the emergence of a redux market driven economy. Notice I didn’t use the term capitalism, because just like “sustainability” has been hijacked by political correctness, capitalism in the historic Adam Smith definition as been redefined to basically mean global crony capitalism, by pundits and media so enlightened that they can no longer discern the difference between wealth and money.

To keep it simple for the elites that are about to see their dreams of power and importance dry up and blow away in the winds of time, what is really going to happen will be like planting and husbanding a garden.

So to plant a garden you need basically three temporal things, seeds, soil, hopefully fertile soil, and water or liquidity. To these you need an energy source external to our planet, our star, the sun.

Ask anyone, what they want to do with their life, and while we are all pretty much working on this project, nobody ever really says, “I just want to take up space and then die.” Some people want to change the world, some people say they want to be left alone, but most people just want to seek some type of happiness that involves a small community of friends and family existing in a somewhat self sufficient world with just enough stress to keep life from being boring.

If we are to believe the press releases, Americans would rather have more stress and less security. Europeans would rather have more security and less stress. Canadians and other Commonwealth nations would rather try to balance the extremes, and the rest of the world would rather get more of what we in the west seem to take for granted. All of these really are individual seeds of potential human enterprise.

As far as soil, these seeds pretty much need to grow where they are planted. The cool thing about the seed ideas of human ingenuity, within the limits of available resources, is that they can move to more fertile ground. The problem in the world today is most of the ground is marginal, just as it is for growing actual agricultural crops. But just as with marginal ground it can be enriched to make fine topsoil by the additions of fertilizers and humus.

In our world we have to buy the fertilizer or do something to the humus to help it decompose. Totally natural topsoil creation is beyond the times scale of human reality. We also need money to be the liquidity to allow the seeds to grow into healthy plants. We have created oceans of non-energetic debt money that are drowning the world, but there is really no natural enterprise hydrologic cycle to get the liquidity to where it is needed.

This is the place where we primitives lose our wiser and more evolved compatriots, when we begin talking about the natural hydrologic cycle that is powered by our sun. We religious people just can’t muster up enough faith to understand the complexities of a hydrologic cycle without some type of Nature’s God to put it all together. That is just the simple hydrologic cycle, we really get lost when we have to take a leap of faith that somehow life evolved by random leaps of organizational reality. I know I don’t have that much faith in the power of random chaos, but perhaps I just think too much about life’s simple things?

Liquidity however is where the gardening plan hits the wall, or finds its desert. The money is controlled by basically the world’s central bankers, who believe, or say, that they are providing financial stability to the world. When you come right down to it however, it is really their world, the world of the elite global financial nation states representatives that they are attempting to regulate. We the people of the world are just too stupid to understand their benevolence.

We are told to believe that the G8, the G20, all have the best interest of we individual seeds at heart. But what they are systematically doing is attempting to create a slowly inflating monetary structure in which everyone has a job and everyone makes just enough money to keep the whole world dependent upon this financial wisdom.

Now for a truly revolutionary idea. What if I were to tell you that the success of this global nation state financial elite, has been so successful for so long that they have ensured their own obsolescence.? They are no longer needed! That is because they have become the dinosaur breeds of both the crony capitalists and their bodacious bureaucrat brethren.

You don’t have to go too far into Wonder Springs history to understand that I am not a big fan of Wall Street. But if you really attempt to look behind the façade what you really see in this global world Wall Street, in the generic sense, needs the listing companies more than the listing companies need Wall Street.

For example Apple Computer sells its iPhones, iPads, iPods, and Macs pretty much in every country of the world. For example, tracking visitors by Internet browsers to Wonder Springs over the last few years, back then it was about 80% Internet Explorer, 20% Safari. Recently that ratio has shifted dramatically to 60% or more to Safari. I would assume that most of that increase is not due to additional Mac computers, but more visitors are arriving from their iPhones and iPads.

The point of all of this is the manufacturing — distribution — sales systems required to sell Apple products are infinitely more complex than that required to sell Apple equity shares. What that means in real capitalistic terms is the value-added by Wall Street brokerage and investment bankers is diminishing astronomically compared to their twentieth century importance. Just look at the pricing of online trading and you can see that obsolescence at work.

What that means is simply what I learned in that brokerage house in Vancouver many years ago. This is small companies that operate ethically and with integrity can be successful market makers for their own equity securities and via the Internet; large, complex stock exchanges are not required either.

In fact if you would couple a small regional exchange with community banks, you have a liquidity funding mechanism for Main Street and entrepreneurial enterprises that would reduce economic fluctuations, provide a mechanism for truly creating wealth, and could be used globally to create wealth, for not only people who have a job but don’t make any money, but create jobs for people who might never have had a job, and hence never had the opportunity to understand that they were not a burden upon society, but rather an asset.

More specifics next week.