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Over the past several months, I have been examining the underlying or hidden motivations behind the currently expanding global trade war, including the impressive level of cognitive dissonance surrounding the issue. The initial reaction in conservative circles was unfortunately denial, with many refusing to call the situation a "trade war" at all and some predicting an end to the conflict before it began. Obviously the assumptions are proving incorrect.

Now that acceptance of the trade war as a reality is setting in, the Trump bandwagon is doubling down and embracing blind enthusiasm for what they assume will be a victorious outcome, no matter how long it takes. Though the team-geopolitics mentality is enticing, I don't find much in the facts and evidence department to support the notion of America winning a global trade war. As I outlined in my article America's Debt Dependence Makes It An Easy Economic Target, as long as the U.S. retains historic levels of debt on government, corporate and consumer levels, and as long as we remain addicted to either foreign investment in that debt, trade war opponents have all the ammunition they need.

The argument I now see regurgitated over and over is that this trade war has actually been going on for decades, and only now do we "have a president with the guts to do something about it." I'm not sure where this nonsense meme was started, but it's everywhere.

The U.S. has not been engaged in a trade war "for decades," not with China or any other nation. It has been involved in a subversive trade arrangement which benefits the elitists on both sides of the world while the common people suffer. Only in the past year have we seen a "trade war" develop, but even now, it is a staged war that will once again empower international banks and global elites.

It is hard to argue the longstanding trade war meme when considering the facts. While China has indeed enjoyed a trade surplus with the U.S. for many years, this was strictly maintained in exchange for Chinese investment in U.S. Treasury debt and the U.S. dollar. In fact, it's absurd to claim that the U.S. has been "disadvantaged" in global trade when it is the dollar that is used to facilitate trade as the world reserve currency. Dollar denominated assets have been the go-to safe haven investment for decades for this exact reason.

Back in 2008 during the initial stock market collapse, mainstream media and some alternative economists alike argued incessantly that emerging market investors and foreign central banks would "never" pull back from American markets because "King Dollar" was the premier safety net during fiscal crisis. Clearly, the U.S. has enjoyed a special advantage in global trade; namely the dollar, and it is this advantage alone that has fueled the American economy for years.

The argument that foreign markets have swallowed up American manufacturing is also a bit of a misdirection. As I have mentioned time and time again, U.S. corporations are the true culprits behind the bloodletting in American manufacturing jobs as they relocated all industry into cheaper labor markets. Trump could have stipulated that these same corporations would be required to bring some or most of this manufacturing back into the U.S. before they enjoy tax cut incentives. He didn't. Instead, he gave them a massive tax cut for nothing.

Tariffs on U.S. goods implemented by other countries are almost always tied to the U.S. dollar's world reserve advantage. The outsourcing of manufacturing jobs as well as tech jobs has always been tied to the U.S. corporate desire for cheap labor. No, we have not been in a trade war for decades, quite the opposite.

So what has changed? Why are the old arrangements being abandoned? Is Trump really upsetting the old world order and battling the globalists, or, is he simply helping them to stage the foundation of their "new world order"?

I would suggest that readers look into the International Monetary Fund's concept of the "global economic reset" for more insight into why this is happening. I would also suggest that people pay close attention to the "predictions" of George Soros back in 2009 on the future of the U.S. economy.

The plan for the global reset seems to revolve around the diminishing of the U.S. as a major economic power. This does not necessarily mean the U.S. will be replaced directly. Instead, as Soros suggests, nations like China will fill the void as "smaller economic engines". This is often referred to as "harmonization," but what it really means is that the standard of living for all people will be deliberately reduced to a common denominator, and what is more common today than poverty?

For the liberty movement subset not necessarily enamored with Donald Trump, the lie of the "multipolar world" has been concocted. In essence, we are being told that the death of the dollar will mean the death of globalist centralization, so we should cheer for such an outcome. In truth, there is no "multipolar world." The IMF and the Bank for International Settlements continue to hold sway over the central banks of the world, in the East as much as the West.

With Russia and China's calls for the IMF to become the defacto overseer of global monetary trade policy, and even calling for a new global currency system under the control of the IMF, I hardly see any indication that we are moving away from centralization if the U.S. currency falters.

The key to the reset is undoubtedly the end of the dollar as the world reserve currency.  Without this status, the U.S. loses all economic trade advantage as well as the advantage of perpetual debt monetization. As the dollar's influence is reduced globally inflation becomes a more pronounced threat at home. The trade war makes the shift away from the dollar possible for international banking elites while they avoid blame for the suffering it will cause the public.

"De-dollerization" is already gaining steam as Russia and China make deals to decouple from the currency while increasing financial cooperation using their own. What trade war cheerleaders don't understand is that a trade war with China is not a trade war with China alone. As the No. 1 exporter/importer in the world, if China decides to dump the dollar as world reserve, its trading partners may very well do the same in order to secure their own import/export relationships.

As a domino effect ensues, I believe it will be the IMF that steps in as a "mediator" to provide the framework for a new system, probably under the Special Drawing Rights basket, and probably leading to a global cryptocurrency system, which the IMF has been praising recently as the next stage of evolution for money and monetary policy.

I have mentioned consistently over the past half year that a trend has developed in terms of the Trump administration's behavior in the trade war. Specifically, whenever the Federal Reserve raises interest rates or expands cuts to its balance sheet, Trump conveniently expands his rhetoric on the trade war.

When the Fed increases balance sheet cuts, stocks take a hit of 1,000 points or more like clockwork. And, like clockwork, the mainstream media blames the drop in stocks on the trade war and Trump rather than the Fed. But more that simply providing cover for the Fed's controlled demolition of stock markets, the trade war may also provide cover for the controlled demolition of the dollar as multiple foreign creditors and trading partners turn America's greatest strength into its greatest weakness.

The dollar itself is nothing more than an imagined symbol; it is a tool for international bankers. And, like any tool, it can be replaced. The trade war provides the perfect historical narrative for the end of the dollar. The story will be that the U.S., emboldened by Trump's rhetoric and nationalism, fueled by the dangerous ideas of "conservative populists" bumbled into self-destruction and harmed the rest of the world in the process. The IMF and other globalist institutions will step in, stating that no single country should ever be allowed to wield the power of the world's reserve currency again. They will then offer their pre-planned solution to the very problem they originally created.

Whether or not this plan for the global reset works will rely on the awareness of conservatives specifically. Getting caught up in the fervor of trade war rhetoric will cripple our ability to prepare and to fight back against the true culprit behind U.S. decline. Instead, our fury will be wrongly directed at foreign economies when it should be directed at the banking elites, where it belongs.

To truth and knowledge,

Brandon Smith

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Did you get the nuance about the Brown acid (my name is Brown) and take me to your weiner (my provocative approach) and we're fucked (if people ever figure out all these nuances)

Yes ma'am.Afraid they're too subtle for the Murrkan public.We are fuked

https://info.commondreams.org/acton/ct/33231/s-0211-1807/Bct/q-00a3...

https://www.zerohedge.com/news/2018-06-22/pepe-escobar-covers-world...

Trump, Escobar explains, wasn't born into the Manhattan aristocracy. And though the "Masters of the Universe" - a group that includes the country's top bankers along with the leaders of the military and intelligence communities - were initially reluctant to embrace him (as were many factions within the Republican Party), they eventually changed their minds once they understood that he would advocate for their interests.

"He's not born in lower Manhattan...and he's not part of the New York aristocracy, the establishment that's been there for some 150 to 200 years...he's still regarded in New York as a wealthy outsider. But in the end, he was accepted by some sectors of the Republican Party - even though they initially didn't want to accept him - Washington, some sectors of the Republican Party."

[...]

He was the candidate of the establishment from the beginning, or he was a genuine candidate whose regime has now been disturbed by the Deep State. He was vetoed by the establishment - this is something that people who know how the Deep State works in DC they will tell you always the same thing: You don't become a candidate for a President of the United States if you are not vetted...by the people who actually run the US. 

George, thanks for subscribing since 12/12/2017. Unsubscribe

Phony patriotism is a cloak used to cover all manner of government crime. The latest is President Donald Trump's trade war.

American "conservatives" have largely gone all in on Trump's "Make America Great Again" rhetoric, assuming that Trump is on the side of consumers and against the globalists and corporatists. If that's the case, why are Trump's policies detrimental to consumers and beneficial to globalist multinational corporations?

Trump has embarked on a tit-for-tat trade war with America's largest trading partner countries. He's justified it using phony economics. He's engaged in globaloney.

According to Trump, if America buys more goods from country A than country A buys from America, we have a trade deficit with country A. Trump says that deficit is bad for America and indicates America's politicians have signed "bad deals" with other countries. This is sophistry.

You have a trade deficit with your local grocer. You purchase your groceries with cash. The grocer, in turn, has a trade deficit with his wholesaler. He purchases his goods with cash that he sells to you. But you are not disadvantaged by doing business with the grocer, despite this trade deficit. You end up with the goods you need and the grocer has the cash he needs to purchase more goods from the wholesaler. The grocer is not disadvantaged by trade deficit with the wholesaler. He sold those goods he bought from wholesaler to you. Everyone in the transaction is happy.

George Mason University economics professor Walter E. Williams explains it this way:

When I purchase $100 worth of groceries, my goods account (groceries) rises, but my capital account (money) falls by $100. For my grocer, it is the opposite. His goods account falls by $100, but his capital account rises by $100. Looking at only the goods account, we would see trade deficits, but if we included the capital accounts, we would see a trade balance. That is true whether we are talking about domestic trade or we are talking about foreign trade.

Trump regularly bemoans the trade deficit with China. It's true that the U.S. buys more goods from China than China buys from the U.S. But that is not looking at the big picture. As Williams asks, what are the Chinese doing with that extra cash from the "deficit?" Do you think they are so enamored with green slips of paper with pictures of Ben Franklin that they just hoard them? No. Rather than purchase tangible goods the Chinese purchase capital goods; that is corporate stocks, bonds and U.S. Treasury debt instruments. The Chinese purchase more capital goods from American than America purchases from them. So there is no deficit at all.

That is what is meant when you hear that China holds U.S. debt. U.S. Treasurys are debt instruments. By purchasing them, China takes them out of circulation, which helps prop up the dollar.

By putting tariffs on imported goods, Trump is raising the cost of goods Americans purchase. This is a hidden tax that reduces the amount of the money people can spend, which in turn reduces the demand for goods and services.

Tariffs on imported goods also make the cost of producing products in American factories more expensive if they use imported products in the manufacture. This is another added cost on the American consumer.

These combine to limit choices for Americans, drive up prices and reduce their standard of living.

Additionally, China, Canada and the European Union have all promised to impose higher tariffs on U.S. goods in response. This further drives up the cost of American-produced goods sold overseas, which leads to decreased demand for those goods.

This has a detrimental effect on American manufacturing by raising the cost of doing business while simultaneously lowering demand for the products produced. When that trickles down to the American worker, he sees lower wages, reduced benefits and, ultimately, loss of jobs.

The Wall Street Journal recently provided a real-world example of this in action:

Lyon Group Holding…is struggling to survive as Donald Trump's steel tariff gives his Chinese competitors an unfair advantage. Meet the law of unintended tariff consequences with arbitrary harm to the innocent.…Steel has long accounted for 45% of the cost of making lockers at Lyon and Republic, the single biggest expense. Mr. Trump's 25% tariff has driven up the price of foreign steel and given domestic steel the chance to raise prices. American hot-rolled steel coil recently sold for $900 per short ton…up 38%, or $248 per ton, since the beginning of January. …Raising locker prices isn't an option. Even before the tariffs, Lyon and Republic's clients were paying a 10% premium for the convenience of buying American instead of Chinese, and they can't afford to go any higher, Mr. Altstadt says. …foreign manufacturers are benefiting from Mr. Trump's steel protectionism… If the tariffs remain in place, Mr. Altstadt says he'll have no choice but to buy foreign-made locker components. Reluctantly, he's visited factories in China to consider his options. But if Lyon and Republic outsource locker parts from abroad, Mr. Altstadt says he'll have to lay off at least one-fourth of his American workforce and perhaps shutter and sell one of his metalworking factories. …he is haunted by "the devastating effect on real people." Two-thirds of his workforce is unskilled.

This week, motorcycle manufacturer Harley-Davidson announced that the EU's tariffs would add $2,200 to the cost of its motorcycles. In order to remain competitive, the company said it planned to move some production overseas.

Trump responded by tweeting that if Harley-Davidson moves production overseas, "they will be taxed like never before." So Trump's response to the consequences of his tariffs harming American manufacturers is to increase taxes on those companies struggling to survive in the morass he's created, which will further harm American consumers and possibly drive the company out of business.

Trump claims to want to increase American manufacturing and create jobs. But Trump's trade war is detrimental to that goal.

Trump is correct that NAFTA and GATT and other American trade deals aren't good for Americans and benefit the globalists. These Orwellian-named "free trade agreements" are actually anything but, with their detailed, obscure restrictions of every kind on American-based businesses. These deals transcend U.S. independence and subvert our freedom by means of international treaty.

But tariffs and higher taxes on American consumers and businesses are not the answer. Only the globalists and international bankers win in trade wars.

Yours for the truth,
Bob Livingston
Bob Livingston
Editor, The Bob Livingston Letter™

AMEN !!!

HE SPEAKS THE TRUTH 

Back in 2008 during the initial stock market collapse, mainstream media economists and some alternative economists alike argued incessantly that emerging market investors and foreign central banks would “never” pull back from American markets because “King Dollar” was the premier safety net during fiscal crisis. Clearly, the U.S. has enjoyed a special advantage in global trade; namely the dollar, and it is this advantage alone that has fueled the American economy for years.

The argument that foreign markets have swallowed up American manufacturing is also a bit of a misdirection. As I have mentioned time and time again, U.S. corporations are the true culprits behind the bloodletting in American manufacturing jobs as they relocated all industry into cheaper labor markets. Trump could have stipulated that these same corporations would be required to bring some or most of this manufacturing back into the U.S. before they enjoy tax cut incentives. He didn’t. Instead, he gave them a massive tax cut for nothing, and the majority of the capital gained through that tax cut has already been spent - not on more American jobs or innovation, but on corporate stock buybacks to keep equities propped up just a little bit longer.

https://www.zerohedge.com/news/2018-06-28/brandon-smith-trade-war-p...

https://activistpost.us1.list-manage.com/track/click?u=3ac8bebe085f...

Trade War Distraction

The trade war continues as the most effective possible distraction from central bank activities. In every instance of a stock market decline, which takes place after every instance of a Federal Reserve cut in the balance sheet or an interest rate hike, Donald Trump also seems to make yet another trade war announcement.  During Jerome Powell’s most recent congressional hearing, discussion strayed far from any examination of the Fed’s culpability for economic weakness.  Instead, the majority of questions revolved around the “threats” presented by Trump’s tariffs and their negative affects on markets.

The only outlier has been the “official launch” of the trade war with China, which saw stock markets suddenly rise.  I have witnessed numerous analysts and commentators frantic over the fact that stocks did not fall on the headlines. Some have even suggested that the investment world “loves the trade war.”

https://personalliberty.com/trump-vs-fed-america-sacrificed-nwo-altar/

The globalists do not care about maintaining the U.S. system as it is. They are even willing to sabotage it in order to create the chaos needed to generate social and political capital; the kind of capital that will buy them a worldwide economic reset and their so-called “new world order.” Within this construct, the masses would be made to accept open centralization of financial and political control into the hands of the banking elites. That is to say, the globalists no longer want to be covert; they prefer to be overt, and venerated as saviors of humanity rather than despised as parasites.

In order to achieve such a fantastic farce, certain steps need to be taken. In particular, someone else needs to take the blame for the disastrous consequences of the global reset when it accelerates.

Donald Trump fits the bill perfectly for a number of reasons, but the ultimate scapegoat for a crash of the U.S. system is not Trump alone, but the conservative ideal overall. I have argued for some time that Trump is controlled opposition — a pied piper for conservatives. His rhetoric is almost everything liberty advocates and Republicans like to hear, but his actions do not always match his words.

In particular, the induction of multiple banking elites and Council on Foreign Relations members into Trump’s cabinet makes it impossible for true change to ever take place within the White House, let alone the rest of Washington. Which is why I believe we have seen Trump flip-flop on so many issues recently. Trump is supposed to present the face of a “populist” conservative stalwart while at the same time doing the bidding of the globalist handlers standing over his shoulder in the Oval Office.

https://personalliberty.com/critics-its-1929-again-as-trump-announc...

President Donald Trump’s insanely bad policy of engaging in a trade war with China just got worse. He’s now announced he’s spending $12 billion on a “short term” stimulus plan – read corporate welfare — to prop up farmers hurt by the trade war.

China’s retaliation for tariffs on its products was to place levies on 545 categories of U.S. products ranging from soybeans, pork, chicken and seafood to sport-utility vehicles and electric vehicles. As a result, orders for product have been cut, backing up inventory and causing export prices to plunge.

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