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THE FATE OF THE WORLD
Written by Dr. Jack Wheeler

 

   

Wednesday, 12 May 2010

 

San Diego, California.  The view from my Westin hotel room overlooks San Diego Bay and the Pacific Ocean beyond.  The bay is filled with Navy warships, huge cruise ships, and small sailboats.  The weather is perfect, 69°, and the skies cloudless and smog-free. 

California!  The Golden State.  I grew up here, in the halcyon 1950s portrayed in the Happy Days television series and the Surf City ode to it by the Beach Boys.  So as I look out at the gorgeous view, I can’t help wonder:  How is it possible that Californians screwed their state up so badly?

Because they ignored the warning of Alexis de Tocqueville (1805-1859) after traveling through America in 1832, that the greatest danger to America was no external enemy but would come from within, when “the voters discover that they can vote themselves generous gifts from the public treasury.”

The best investigative journalist in the country on state and local governments, Steve Greenhut, has written a book explaining what California and so many other states have done to themselves: Plunder: How Public Employee Unions are Raiding Treasuries, Controlling Our Lives and Bankrupting the Nation.

The $18.6 billion deficit in this year’s budget that Gov. Ahnold is promising “terrible cuts” to fix is a bucket of water in the ocean of California‘s $2.5 trillion owed to its public union employee workers in pension and other benefits.

It’s over.  Game’s up.  Welcome to the fate of the world.

As gorgeous as this view of the Pacific Ocean is here, it can’t match the view of the Mediterranean from the Greek island of Santorini.  TTPer Sal Danna was kind enough to post some beautiful photos he took of the place on the Forum last month.  Greece is the birthplace of political freedom and possesses one of the world’s greatest goldmines of tourism.  How is it possible that Greeks screwed their country up so badly?

Greece has a debt - a real debt on which it has to pay interest - of 130% of its $350 billion GDP.  The $1 trillion bailout to prop up Greece and other failing EU countries announced by the ECB (European Central Bank) Monday (5/10) will make matters far worse.  Well-known investor Jim Rogers called it “another nail in the coffin for the Euro.”

On the eve of the last TTP Rendezvous in San Antonio, in Let’s Talk About The World (January 2010), you learned that in Europe:

“The smart money is shorting the Euro.  Today (1/28) it closed below $1.40.  It won’t stop there, because the Euroweenies are wimping out on making Greece be responsible for its financial prolificacy.  Which means it’s a toboggan ride down the bailout slippery slope - first Greece, then Portugal, the Spain, then Italy, then Ireland - dragging the Euro with them.”

Hope you were paying attention.  As I write this, the Euro is at $1.26. 

So here’s a prediction.  There’s soon going to be a European Tea Party Movement and it will start in Germany.  The Euro was always a political currency, a Euroweenie attempt to trick folks into believing a common European currency could be as valuable as a German mark.  Now folks are figuring out that the Euro is going to be worth a Greek drachma.

The Germans are going to explode in rage over this.  The first inkling was last Sunday (5/09), when (as The Barbers of Dusseldorf predicted) Merkel’s party got trashed in a regional election that caused her to lose control of the upper chamber of Germany’s parliament.  And that election was before Monday’s announcement that Germans were on the hook for $200 bailout billions more.

With the mass-circulation Bild newspaper giant front-page headline, We Are the Idiots of Europe!, and her cabinet and coalition government falling apart, there is little wonder that tout Le allemagne is declaring open season on Chancellor Angela.

The bailout package has to be submitted to the parliament Merkel no longer fully controls for approval next week.  That’s going to be fun to watch.  

You’ve all heard the Chinese curse:  May you live in interesting times.  Hinges of history are always interesting.  They are forks in the road, where the world or an important part of it must choose between freedom and cowardice.  We have arrived at such a fork, such a historical hinge.

Prominent economist Robert Samuelson has proclaimed the debt crisis from Greece to California as “The welfare state’s death spiral.”  But what sort of phoenix will arise from the ashes of Western welfare states?  Will it be Western at all?  Or will it be Chinese?

The West, albeit with peripheral exceptions like Australia and Chile, is taking itself out of the game with anti-capitalism, financial collapse, and the abandonment of its moral values. 

In 1973, the BBC produced a fascinating series called The Ascent of Man, narrated by Jacob Bronowski, tracing the rise of man from barbarism to civilization.  When he came to Western Civilization, he concluded with a warning: 

We have been given no guarantee for civilizational supremacy that wasn’t given to the Assyrians, the Babylonians, the Romans and others on whom the page of history has turned.  If we drop the torch, we can be sure that someone else other than us will pick it up.

Are we about to drop the torch?  Americans have elected a man to lead them who is determined to drop it, to toss America on the ash heap of history.  He has accelerated the forces of collapse so quickly that the question of our demise as the world’s leading economic and cultural power is upon us.

The moment of choice has arrived.  The debt load required to keep tax-taker moochers in the life-style to which they’ve become accustomed - from Greece to California - is unsustainable and will in fact collapse, inescapably and soon. 

The Germans are terrified of this, with solid historical justification.  The last time their currency collapsed they got Adolph Hitler.  Very rarely do people choose freedom instead of a man on a white horse when their problems are dire.  Once they choose the latter, it’s difficult to take it back, for the dictatorship’s purpose is to keep making those problems more dire.  Poor people are so much easier to control.

I’m sure you’ve recognized that this dictatorship template is being adopted by Zero and the Pelosicrats.

Yet it’s also critical to recognize that our collapse, the loss of our freedom and prosperity, will not take place in a vacuum.  History will move on, and focus elsewhere, almost certainly in Asia - which specifically means China and India.

Today we have a president who kowtows, literally bows, to China.  Tomorrow, unless Americans choose real actual pro-capitalist freedom in response to the collapse of their welfare state economy - 40 million of them are on food stamps now, 1 out of every 8 - all of them collectively as a nation will be kowtowing to the Chinese.

That’s the fate of the world right now.  It’s our curse or our glory to determine it.

We can take heart of another perspicacity of de Tocqueville’s, in the hope and conviction that what he said about us in 1832 remains true today:

“The greatness of America lies not in being more enlightened than any other nation, but rather in her ability to repair her faults.”

 

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