A phone is ringing at the headquarters of the Wall Street Journal. As Poseidon sends BRA’s Hurricane toward Washington, it is a private citizen who wants to have a cordial chat with America’s business leadership.
Will the business establishment answer the 3 AM phone call? It is about the American and European economy that has begun to act in strange, unpredictable ways.
Today, our topic of discussion is “confronting our destiny.” The business establishment in New York City will soon confront its fate. What do you mean by fate?
By fate, I mean six things:
(1) The Demographic Crisis – What is the net worth and financial portfolio of a ghost? They are finding out in Greece!
You can’t borrow money from ghosts – the households that never existed – to sustain a massive welfare state once the working population in Europe, Japan, and North America begins to retire.
(2) The Energy Crisis – The world that you see around you in North America was constructed around the automobile. Gas prices are rising because the West is becoming more dependent on other parts of the world for its energy supply.
What happens when that energy supply begins to permanently contract? Are we going to run America on green energy? That is what they have been saying for ten years now. Yet we are still filling up at the pump with regular unleaded.
If ordinary people are spending more of their income on energy and manufactured products (such as food and the junk at Wal-Mart) which are sensitive to fluctuations in the price of energy, won’t they have less money to “spend” at the shopping malls, especially when they are so deeply in debt?
(3) The Race Crisis – Until recently, the average White household in America was worth $130,000 dollars. The average single black woman was worth $5 dollars. In the last three years, Black America has lost over 80 percent of its net worth, mostly due to the housing market and cutbacks in government employment.
Let’s entertain the hypothesis that “race realism” is true. This would explain why there is so little return on investment in the American public school system. Blacks and Hispanics are cognitively incapable of reaching parity with their White and Asian peers.
If the black and Hispanic households artificially swell because of welfare state spending and the White households diminish in number because of the artificially imposed cultural and economic burden imposed upon White families, what then happens to the business community?
What happens to the tax base? What happens to the Triple AAA rating?
(4) The Financial Crisis – The financial community has seceded from reality. It now lives in an artificial world of abstract models that is independent of the physical economy. As the stock market has risen, the real economy has declined.
What happens when “the real economy” deteriorates beyond the point of no return?
(5) The Cultural Crisis – How can such a despoiled culture in the West indefinitely support the established financial institutions which already exist? As Keynes said, in the long run we are all dead.
What happens when the long run catches up with the business establishment? It dies!
(6) The Political Crisis – Thanks to the balkanization of the last fifty years of American history, the American political system is now hopelessly broken and politically unable to rise to great challenges, as we saw in the “debt ceiling crisis” which is a preview of a world which is even more balkanized by “diversity” and “multiculturalism.”
In the debt ceiling crisis, was our “diversity” a strength or a weakness for the business establishment which lost the Triple AAA rating?
It is reasonable to project that the West is entering a world that is older, more racially diverse, where energy is more expensive, where diversity breeds greater conflict over scarce resources, where our soiled culture and depopulating nations crash into a financial system that is based on the “expectation” of unlimited growth.
Does this not sound like the world that is coming into view? Some of us have spent many years thinking about what this world would actually look like.
As BRA’s financial consultant, my advice to Mort Zuckerman and the Wall Street Journal (who are under attack by Mercury, the God of Commerce) is to enjoy the upfolding roller coaster ride of world history. You are about to reap the whirlwind of 65 years of bad decisions, ignorance, irresponsible negligence, and systemic malinvestments.
Arguably, the crisis the Wall Street Journal is facing goes all the way back to the Middle Ages. It is an epochal story of Modernity about how money and those who possessed it came to rule the Western world.
I fear this will only become obvious in hindsight: in the Modern World, the people put their faith in money, constructed their lives and civilization around the pursuit of money, allowed themselves to be ruled by “hedge fund managers” and lawyers and billionaires, sold their souls for money, worshiped money, and thought that this “representative system” could go on forever.
Maybe they were wrong.
Note: The MLK statue is deeply offensive to Mount Olympus. All of BRA is worshiping the MLK idol that has been unveiled on the National Mall.
Barack Hussein Obama, who believes he is divine, has picked a fight with Zeus and Apollo. He has angered Mercury and Poseidon. I’m really just kidding, but in times like these you have to wonder!