redpillage
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RE: European War and Collapse...Possible, or Probable?
(11-13-2018 03:11 PM)Ski pro Wrote: (11-06-2017 10:37 PM)Paracelsus Wrote: (11-06-2017 09:01 PM)Laska Wrote: This wouldn't be like Hitler, this would be largely a civil war: more brutal and twisted than even WW2 was.
Dan Simmons has a phrase for it: the continent of Europe cast back more than five hundred years into sad warring pools of civilisation. I've said it a few times over the past few years, but his Time Traveller story, written 2006, is getting more prophetic all the time.
Didn’t see this first time around. Thanks for the link.
Yeah, I read it back then. It's prophetic...
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"The sheep pretend the wolf will never come, but the sheepdog lives for that day."
– Lt. Col. Dave Grossman
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| 11-13-2018 03:43 PM |
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nek
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RE: European War and Collapse...Possible, or Probable?
(11-13-2018 08:28 AM)Leonard D Neubache Wrote: (11-13-2018 05:23 AM)Richard Turpin Wrote: One thing that puzzles me is how exactly Germany can afford to hold up the EU. I get that they are something of an economic powerhouse, but in recent memory (the former) West Germany has had to pump money into (the former) East Germany in order to ease and maintain unification.
Then it has to carry most of the load for Greece, Italy, Spain, Romania, Bulgaria ....
On top of that, I'm sure I read that Germany still pays reparations money following WW2 (to individuals rather than countries?)
With the UK leaving the EU, they will lose their 3rd or 4th biggest contributor (15% or thereabouts of all contributions).
I just don't see how one country can cope under such financial pressure, just by selling nice cars?
Less than a third the population of America, in ruins after WW2 (opposite of America) and unlike America, does not print the reserve currency of the world.
It's fair to assume at some point that monetary policy is all just a shell game run by people with a million shells and 999,999 arms. A trillion dollars gets siphoned out of the Pentagon and it gets memory holed after 9/11. Via fractional reserve banking at a reserve rate of 5% it can functionally be laundered at the highest levels and turned into roughly 95 trillion worth of debt. Imagine stealing a trillion bucks and then leveraging it to create more than the entire GDP of the whole world.
Meanwhile us dumb fucks fight tooth and nail over single payer health care or a rise in the pension age.
The elites' biggest threat is dying of laughter.
Can you explain how this works? The whole laundering and turning a trillion into 95 trillion of debt? This is interesting.
Civilize the mind but make savage the body.
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| 11-18-2018 12:29 AM |
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nek
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RE: European War and Collapse...Possible, or Probable?
(11-13-2018 04:21 AM)Hypno Wrote: Here is something that is not well understood about the finances in the EU.
Each country has their own banks. Banks in Europe, like anywhere else, are highly leveraged.
Historically banking rules had fixed percentages of leverage that were allowed. Shortly after the beginning of this century, banking in North America and Europe switched to risk-based leverage rules, under something called the Basel accord. What this means is that every asset on a bank's balance sheet is ranked according to risk. If all they have is cash and government bonds, they can be more leveraged than say holding real estate loans.
Here's where it gets interested. Risk based leverage makes sense in theory, but in practice politics intrudes and it goes all facaca. So lets say you have a bank that holds mostly government bonds. The leverage allowed is very high. However, in the EU government bonds are issued by individual countries, Germany, Italy, etc. You can buy the bonds of the weaker countries, like Italy, a little cheaper, so your rate is better, and that is what a lot of French banks did. However, the Italians and Greeks are no longer benefitting from being in the EU and want to leave so they can have their own currency back. If they leave, they will devalue their currency (lira and drachma) relative to the Euro, and when they do those French banks are going to have huge losses, so huge that they may fail.
So as the economic imbalances mount, there is considerable local pressure for the Southern Europeans to leave and start their own currencies, and among some Northern Europeans like France to keep them locked in.
These forces have been apparrent since 2008, but they have kicked the can down the road. I'm not saying this situation is immiment, only inevitable.
Where are these banks borrowing from (the ones that are highly leveraged)? And are the gov't bonds from those weaker countries denominated in Euros? So even if those countries revert to their own currencies, wouldn't the value be maintained in euros (not including the value of the euro changing itself due to the exit of these nations)?
Civilize the mind but make savage the body.
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| 11-18-2018 12:33 AM |
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Hypno
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RE: European War and Collapse...Possible, or Probable?
@nek, a typical bank is leverered 5-10 to 1. Most of the debt us owed to depositors. That's actually really bad because most of it is due on demand, and not committed for a fixed term. So the right hand side of the balance sheet is 80 or 90% liabilities, mostly deposit liabilities, and equity might make 10 to 20% of the balance sheet.
On the left hand side of the balance sheet are assets, loans and government bonds. So if your a French Bank, you could buy a German Bond at a price that pays you a negative return, or you could buy in Italian bond that pays you in above-market return. But if Italy leaves the Euro, they would do so for the sole purpose, or primary purpose, of devaluing their currency. If that happens, the bonds won't maintain value in Euros. They'll be repaid in Italian lira. the French banks will face big losses, and depending on the magnitude of those losses, could become insilvent.
Because Italy is part of the Euro system, they can't unilaterally devalue without leaving the Union.The euro currency is very strong relative to their economic conditions; if they want to jump start their economy, they need to devalue.
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| 11-18-2018 02:00 PM |
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nek
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RE: European War and Collapse...Possible, or Probable?
(11-18-2018 02:00 PM)Hypno Wrote: @nek, a typical bank is leverered 5-10 to 1. Most of the debt us owed to depositors. That's actually really bad because most of it is due on demand, and not committed for a fixed term. So the right hand side of the balance sheet is 80 or 90% liabilities, mostly deposit liabilities, and equity might make 10 to 20% of the balance sheet.
On the left hand side of the balance sheet are assets, loans and government bonds. So if your a French Bank, you could buy a German Bond at a price that pays you a negative return, or you could buy in Italian bond that pays you in above-market return. But if Italy leaves the Euro, they would do so for the sole purpose, or primary purpose, of devaluing their currency. If that happens, the bonds won't maintain value in Euros. They'll be repaid in Italian lira. the French banks will face big losses, and depending on the magnitude of those losses, could become insilvent.
Because Italy is part of the Euro system, they can't unilaterally devalue without leaving the Union.The euro currency is very strong relative to their economic conditions; if they want to jump start their economy, they need to devalue.
Great info, thanks.
Civilize the mind but make savage the body.
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| 11-18-2018 11:55 PM |
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Polniy_Sostav
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RE: European War and Collapse...Possible, or Probable?
(11-18-2018 12:37 AM)BaatumMania Wrote: It's not well known but this year Saudi Arabia will be the #3rd largest military budget in the world. But as far as I know they're gearing up to contain Iran (not to go on a Jihad into Europe).
You are totally correct.
There are countries with long-term vision in terms of expanding army and re-arming :
-USA
-Russia
-China
-Turkey
-Iran
-Saudi Arabia
all the "big guns" in wEst EU are going backwards in terms of army
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| 11-19-2018 05:57 AM |
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redpillage
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RE: European War and Collapse...Possible, or Probable?
(11-19-2018 05:57 AM)Polniy_Sostav Wrote: (11-18-2018 12:37 AM)BaatumMania Wrote: It's not well known but this year Saudi Arabia will be the #3rd largest military budget in the world. But as far as I know they're gearing up to contain Iran (not to go on a Jihad into Europe).
You are totally correct.
There are countries with long-term vision in terms of expanding army and re-arming :
-USA
-Russia
-China
-Turkey
-Iran
-Saudi Arabia
all the "big guns" in wEst EU are going backwards in terms of army
Turkey as #4 is the one the Germans should be really worried about. The diaspora into Germany over the past 50 years has taken its toll and in my estimation it would take less than three days for Turkey to execute its own version of the Anschluss, just with the difference that the remaining Germans wouldn't get to vote on it but instead be wiped out in the ensuing shuffle.
Germany's military has been completely eviscerated by ultra-liberal policy makers over the past 20 years and police forces have been declawed and demoralized. It's a very juicy fruit waiting to be picked and I'm confident Erdogan has already plans in place for when he deems the time to be right.
Love or hate the United States, it was extremely stupid for the Germans to break ties with Trump and to openly demonize him. Should he get a 2nd term they just may find themselves up shit's creek: politically isolated in Europe, with open borders, inundated with hostile military age men, a crashing economy, not in control of their currency, and to make matter's worse without a functioning military.
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"The sheep pretend the wolf will never come, but the sheepdog lives for that day."
– Lt. Col. Dave Grossman
(This post was last modified: 11-23-2018 07:55 AM by redpillage.)
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| 11-23-2018 07:53 AM |
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void
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RE: European War and Collapse...Possible, or Probable?
(11-23-2018 07:53 AM)redpillage Wrote: (11-19-2018 05:57 AM)Polniy_Sostav Wrote: (11-18-2018 12:37 AM)BaatumMania Wrote: It's not well known but this year Saudi Arabia will be the #3rd largest military budget in the world. But as far as I know they're gearing up to contain Iran (not to go on a Jihad into Europe).
You are totally correct.
There are countries with long-term vision in terms of expanding army and re-arming :
-USA
-Russia
-China
-Turkey
-Iran
-Saudi Arabia
all the "big guns" in wEst EU are going backwards in terms of army
Turkey as #4 is the one the Germans should be really worried about. The diaspora into Germany over the past 50 years has taken its toll and in my estimation it would take less than three days for Turkey to execute its own version of the Anschluss, just with the difference that the remaining Germans wouldn't get to vote on it but instead be wiped out in the ensuing shuffle.
Germany's military has been completely eviscerated by ultra-liberal policy makers over the past 20 years and police forces have been declawed and demoralized. It's a very juicy fruit waiting to be picked and I'm confident Erdogan has already plans in place for when he deems the time to be right.
Love or hate the United States, it was extremely stupid for the Germans to break ties with Trump and to openly demonize him. Should he get a 2nd term they just may find themselves up shit's creek: politically isolated in Europe, with open borders, inundated with hostile military age men, a crashing economy, not in control of their currency, and to make matter's worse without a functioning military.
You imply the USA are allies of Germany. This is wrong.
Germany is an economic competitor of USA.
Germany is still a basically occupied country of the American empire and lost it's purpose with the fall of the iron curtain/Berlin wall.
West-Germany was allowed to prosper as insurance against Sowjet Union.
See South-Korea.
After 1990 everything started going downhill and they started the EU(SSR) project with the Euro-currency.
I think Germany is still engineered to be the next battlefield in the upcoming conflicts and was strategically weakend since 1990.
The refugee crisis and flooding of Europe/Germany was orchestrated by either USA and/or the powerful elite of banksters.
Usury demands blood.
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(This post was last modified: 11-23-2018 03:55 PM by void.)
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| 11-23-2018 03:54 PM |
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