A Tale of Two Empires: the Old and the New

One empire builds, the other empire destroys. It is as simple as that. In the corrupt-and-decaying Western Empire, we see only destruction: the destruction of economies; the destruction of societies; the destruction of nations. It is an empire created by the oligarchs of the banking Crime Syndicate, for the oligarchs. It’s one agenda is raping-and-pillaging. The raping-and-pillaging always and exclusively serves one of two purposes: stealing more wealth, or extending/consolidating the oligarchs’ political control.

Then we have China’s empire. China’s empire is a builder’s empire. China’s empire-building has elevatedits own population, not enslaved-and-impoverished the people, as is being constantly done in the West. China builds relationships with other nations. The Corrupt West simply imposes its will on neighbouring nations, usually via some form of political, economic, or military coercion.

China is an empire of the “carrot.” The Corrupt West is an empire of the “stick.”

We can attach numbers, to illustrate this distinction between the two empires. Over the past two decades, China has engineered an unprecedented economic expansion, as illustrated by its robust GDP numbers. Yes, we’ve all read the propaganda: “China fakes its GDP numbers.” This comes from the Western media, reporting from nations whose governments always claim their economies are “growing”, when virtually all of these nations have been mired in a Greater Depression – going back to at least 2008.

Yes, China exaggerates its GDP numbers. But even if we assumed it lies about its GDP as much as Western nations (highly unlikely), it is still a growing economy – not a steadily shrinking economy, like almost all Western nations. How do we know that the West lies about GDP more than China? Because faking GDP is a direct function of lying about inflation. The bigger the inflation-lie, the more imaginary “GDP” that can be padded on to its reports.

Compared to the West, China’s inflation numbers are credible and accurate. Thus compared to the West, China’s GDP numbers are (relatively) credible and accurate. China’s government builds; China’s economy grows. Western nations destroy; Western economies shrink. The dynamics are elementary.

We can also illustrate this Tale of Two Empires (vividly) by examining infrastructure spending.

As with its GDP-growth, what we see with China is an extraordinary rate of economic development. Again, we see the numbers of a “builder”. Then we have the anemic numbers of the Corrupt West. Here we see infrastructure spending which not only lags the Rest of the World, it also lags what we used to see in the West – decades ago, when these economies were still also Builder Nations.

 

However, even the very low percentages reported by the West don’t reflect the level of decay of this rotting Empire. Most of what the West calls “infrastructure spending” is more, pure fascism. It is investment in “security infrastructure”: greater surveillance infrastructure, more prisons and “detention centers”, turning our public buildings into pseudo-fortresses. This is not infrastructure spending to “build a future”. It is infrastructure spending to preserve the corrupt status quo: the fascist Empire of the oligarchs.

Not so with China. Even the Western propaganda machine doesn’t try to pretend that China is not buildingan Empire. Several decades ago, when Western nations were still building, its infrastructure spending hovered at around 5% of GDP. Today, real infrastructure spending in the West (i.e. non-Police State infrastructure) is no more than ¼ of what the West used to spend — and that was a larger percentage of healthy GDP numbers.

Then we have China: consistently spending between 5% and 10% of its robust GDP on more/better infrastructure. Here, all that the propaganda machine can do is produce half-truths of the most-feeble nature.

Nonetheless, there’s such a thing as too much infrastructure spending. At current rates of investment, China, Japan and Australia are likely to exceed their needs between now and 2030…

Hilarious! If China continues its massive investment in infrastructure, eventually it will have more than it needs – in roughly 15 year’s time. How does China deal with such a horrendous “problem”? Once it has as much infrastructure as it needs, it will simply spend less.

Then we have the West’s problem: no infrastructure spending except for Police State infrastructure. How do the bankrupt nations of the Corrupt West solve their problem? They don’t. There is no solution. Bankrupt nations can’t build.

The only “solution” for the Corrupt West is the same solution required to address any-and-every of its myriad economic problems. First these bankrupt nations need to invoke Debt Jubilee, to free these nations from the yoke of their fraudulent bond debts. Then we need to throw out the puppet politicians and puppet political parties that serve the oligarchs – and actually elect governments which represent the People.

In the meantime; we will continue to see and read headlines like the one below:

China Spends More on Infrastructure Than the U.S. and Europe Combined

Again, even the Western propaganda machine is unable to deny the obvious fact that the Corrupt West has “a crying need for better infrastructure”. But then we immediately descend back to the fantasy world of the Corporate media’s propaganda.

Economists around the world have been arguing that now is a great time to invest in infrastructure because interest rates are super-low [fraudulently low] and the global economy could use the spending jolt.

Hilarious, again. Western interest rates have been fraudulently manipulated to their near-zero, 0%, and below-zero levels for one purpose: to delay the bankruptcy of these puppet regimes, by fraudulently reducing the interest payments on their gigantic debts.

The cost? No one will “lend” to any of these corrupt governments, at these fraudulent interest rates. All of the bonds of these puppet nations are bought in the same manner. Western central banks counterfeitmore of their funny-money, and then use this worthless/fraudulent currency to “buy” each other’s bonds.

With the West’s counterfeiting, interest rate fraud, and bond-market fraud already at unimaginable levels, the oligarchs have had no desire to engage in even greater fraud – to actually do something to benefit these regimes (and their populations). Counterfeit money in order to construct their Police States. Counterfeit money in order to delay the bankruptcy of these regimes, and the traitor governments at their helm. No building.

It is a strategy which has no future. History is clear. Corrupt regimes which refuse to address the needs of their own people cannot endure – no matter how much “security apparatus” they create, no matter what level of fascist surveillance they impose. When the People start to go hungry, in large numbers, they pull out their pitchforks and guillotines, and rid themselves of their Traitor Government. There is no other possible outcome here.

Meanwhile, China’s empire continues to build. China’s aspirations as the new “global superpower” are clear and obvious. But it doesn’t need to engage in any offensive or provocative actions against the West (as the West constantly does against Russia and China). All it needs to do is wait: wait for the psychopathic oligarchs to complete the cannibalization of their own power-base.

Empires need more than lots of tanks, lots of fighter jets, lots of warships, and lots of bombs to survive. They require a (strong) economic foundation, as was the case back when the U.S. empire was still quasi-legitimate. In the oligarchs’ desperation to cling to power, as they force Western populations to remove their own governments – one way or another – they are only guaranteeing the collapse of that empire.

The great irony here is looking at what the West did to the Soviet Union three decades ago. The U.S. provoked the Soviet Union into an unsustainable level of military spending, to match the insane military build-up of the Reagan era. By goading the USSR’s Old Guard into an unsustainable level of spending, it achieved what could never have been achieve by military means: destroying the Soviet empire from within.

Now, the West does to itself the exact same thing. While there are no dollars for productive investment in these regimes, spending on “security”, war machines, and endless wars is guaranteed to produce an economic implosion virtually identical to what occurred with the USSR.

Sane minds could not be oblivious to such irony (and self-destruction). Only the unbalanced minds of psychopaths would deliberately incorporate a strategy which is nothing less than economic suicide. Our economies are rotting from within. Our nations are rotting from within.

Meanwhile, China keeps building…

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Jeff Nielson

Jeff Nielson is co-founder and managing partner of Bullion Bulls Canada; a website which provides precious metals commentary, economic analysis, and mining information to readers and investors. Jeff originally came to the precious metals sector as an investor around the middle of last decade, but with a background in economics and law, he soon decided this was where he wanted to make the focus of his career. His website is http://bullionbullscanada.com.