Indian Govt. does not have sovereign freedom to decide how much currency is available for circulation in India ( M3) ,
whether by way of bank loans
by govt. deficit financing ,
or by the central govt issuing new currency
M3 quantum is managed by Reserve Bank Of India RBI ,
under control of IMF ,BIS ,etc.
in which India has no vote !
This summarises the Imperial Process after 1945 .
and thus India is a vassal of USA .
Monday, July 27, 2015
Monday, July 13, 2015
July 14, 2015
M Jayaram M, bangalore:
This is a coup is exactly right.
This goes beyond harsh into pure vindictiveness, complete destruction of national sovereignty, and no hope of relief.
Paul Krugman One more pawn sacrificed to the invisible hand of monetary sharks. Greece finally blinked.
Garg Ravi:
it is my hypothesis that
( ?-You and -)
I , yes I - myself are part of the " sharks " group .
I benefit from this blood sucking sharks group ,
I had been brainwashed into thinking and feeling that I am either a victim or a bystander ,
and that the sharks are some other people .
No sir , I am a paid executive at level 55 perhaps , in a say-100-level hierarchy of paid mercenaries , or sharks ,
to enable the sweat , hard work and surplus of people below me to be transferred in a big way to people above me .
Since 1972 Jamaica Agreement Bretton Woods 2 ,
world has a fiat money economy .
Gold backing for any nation s currency is over , finished .
So there is no need to have capital ,..
no importance of capital of the Marx kind that came out of savings of an individual or of a business or out of taxes unspent , in a gold backed monetary system.
Capital is created electronically when a borrower comes forward .
This is the only way capital is created ,
and the Bank that creates this capital does so without any gold backing .
If you have any documents to show otherwise , please advise .
Do you agree yes ?........ or no ?....... let me know before reading further .
The lesson for a survivor like me ,
or for the greedy egoist person in me ,
the lesson is to juice the system (- viz. the society approved processes - )
more efficiently than others , and keep climbing up the hierarchy ,..
of sharks as you label it ...
if I stop moving up due lack of skill or of energy ,
then immediately I shall start sliding down , thus enabling more people to exploit my sweat blood surplus.
...
The traditional economy models are extinct .
There is no Capital , as we oldies understood it , in any nation of the world after 1972 treaty in Jamaica .
All Capital enters the economy as a debt to the Central Bank s or to other Commercial Banks .
All currencies of the world are derived from US Dollar / US Treasuries , only .
Gold is not in the picture
( except in a miniscule insignificant way as a small component of SDR , SDR form less than 1% of world s currencies ).
M Jayaram M, bangalore:
When, if at all will the bubble burst ? What sort of legacy are we leaving behind ?
Garg Ravi:
In old days , a person who had accumulated capital was called a shark ...
maybe you are thinking of Shylock ..
now , so to say , one can become a Bank or a Banker ,
based on borrowing from someone who is close to the top rungs of the hierarchy ...
or , based on borrowing from people higher up
and lending the same freshly printed capital to those below me ,
or to those at close to my level ,
or even to those above my level ...
knifing those who borrow from me is the game ,
( I had told K K Ladha just before the Greece referendum
that Greek debts shall not be written off , and that only the creditors of Greek debt shall be bailed out ! )
as long as I can share the loot with
lawyers , judges United Nations , USA senators , who are the umpires in this game of earning money ...
or I can train myself to win in the fight amongst gladiators ...
( the training is based in Wharton school of finance ,
not in IIM s or IIt s .)
or I can take up a job aka cleaning the stables of the gladiators
by becoming a programmer or an MBA at iit or iim !
Maybe, Varoufakis , whom I respect ,
should become consultant to Greece PM to convert Greece into a platform company ....
What is a Platform Company ? Do you know .. yes or no..?
There is not much value in economic value added in agriculture , or manufacturing , or Services sectors if you carefully understand what is a Platform Company .
What is taught in IIM s and most MBA s is obsolete .
The people you label as sharks ,
- in my view the whole world is peopled by sharks ..
just replace the word shark by the word fish and you ll understand ! ..
some sharks created a LEGO world called nations , sovereignty around 1650 treaty of Westphalia ,
and now the same sharks are changing rules of the game with help of mercenaries like us ...
let us create new playing field s , with rules to our advantage ....
-also the sharks above us are shivering in their castles like jealous insecure beautiful women !
I just saw yr Sms ...
dear respected friend ...
you can raise yourself above the ground ,
I am trying .. spiritually n metaphorically ..
.. .. please look in a mirror ,
You are a Lion ...ROAR and let us pick up the bayonets and get into the ring !
M Jayaram M, bangalore:
This is a coup is exactly right.
This goes beyond harsh into pure vindictiveness, complete destruction of national sovereignty, and no hope of relief.
Paul Krugman One more pawn sacrificed to the invisible hand of monetary sharks. Greece finally blinked.
Garg Ravi:
it is my hypothesis that
( ?-You and -)
I , yes I - myself are part of the " sharks " group .
I benefit from this blood sucking sharks group ,
I had been brainwashed into thinking and feeling that I am either a victim or a bystander ,
and that the sharks are some other people .
No sir , I am a paid executive at level 55 perhaps , in a say-100-level hierarchy of paid mercenaries , or sharks ,
to enable the sweat , hard work and surplus of people below me to be transferred in a big way to people above me .
Since 1972 Jamaica Agreement Bretton Woods 2 ,
world has a fiat money economy .
Gold backing for any nation s currency is over , finished .
So there is no need to have capital ,..
no importance of capital of the Marx kind that came out of savings of an individual or of a business or out of taxes unspent , in a gold backed monetary system.
Capital is created electronically when a borrower comes forward .
This is the only way capital is created ,
and the Bank that creates this capital does so without any gold backing .
If you have any documents to show otherwise , please advise .
Do you agree yes ?........ or no ?....... let me know before reading further .
The lesson for a survivor like me ,
or for the greedy egoist person in me ,
the lesson is to juice the system (- viz. the society approved processes - )
more efficiently than others , and keep climbing up the hierarchy ,..
of sharks as you label it ...
if I stop moving up due lack of skill or of energy ,
then immediately I shall start sliding down , thus enabling more people to exploit my sweat blood surplus.
...
The traditional economy models are extinct .
There is no Capital , as we oldies understood it , in any nation of the world after 1972 treaty in Jamaica .
All Capital enters the economy as a debt to the Central Bank s or to other Commercial Banks .
All currencies of the world are derived from US Dollar / US Treasuries , only .
Gold is not in the picture
( except in a miniscule insignificant way as a small component of SDR , SDR form less than 1% of world s currencies ).
M Jayaram M, bangalore:
When, if at all will the bubble burst ? What sort of legacy are we leaving behind ?
Garg Ravi:
In old days , a person who had accumulated capital was called a shark ...
maybe you are thinking of Shylock ..
now , so to say , one can become a Bank or a Banker ,
based on borrowing from someone who is close to the top rungs of the hierarchy ...
or , based on borrowing from people higher up
and lending the same freshly printed capital to those below me ,
or to those at close to my level ,
or even to those above my level ...
knifing those who borrow from me is the game ,
( I had told K K Ladha just before the Greece referendum
that Greek debts shall not be written off , and that only the creditors of Greek debt shall be bailed out ! )
as long as I can share the loot with
lawyers , judges United Nations , USA senators , who are the umpires in this game of earning money ...
or I can train myself to win in the fight amongst gladiators ...
( the training is based in Wharton school of finance ,
not in IIM s or IIt s .)
or I can take up a job aka cleaning the stables of the gladiators
by becoming a programmer or an MBA at iit or iim !
Maybe, Varoufakis , whom I respect ,
should become consultant to Greece PM to convert Greece into a platform company ....
What is a Platform Company ? Do you know .. yes or no..?
There is not much value in economic value added in agriculture , or manufacturing , or Services sectors if you carefully understand what is a Platform Company .
What is taught in IIM s and most MBA s is obsolete .
The people you label as sharks ,
- in my view the whole world is peopled by sharks ..
just replace the word shark by the word fish and you ll understand ! ..
some sharks created a LEGO world called nations , sovereignty around 1650 treaty of Westphalia ,
and now the same sharks are changing rules of the game with help of mercenaries like us ...
let us create new playing field s , with rules to our advantage ....
-also the sharks above us are shivering in their castles like jealous insecure beautiful women !
I just saw yr Sms ...
dear respected friend ...
you can raise yourself above the ground ,
I am trying .. spiritually n metaphorically ..
.. .. please look in a mirror ,
You are a Lion ...ROAR and let us pick up the bayonets and get into the ring !
Saturday, July 11, 2015
[7/11/2015, 7:13 AM]
from Mehrotra Ravi ,( RPM pgp8 fame , his email is rpmehrotra@hotmail.com )
I am forwarding an interesting story about world economy. How far it is true I don't know.
Amazing logic indeed...
This is a crazy world!
Interesting article written by an Indian Economist
Can you tell me the name ?
Japanese save a lot. They do not spend much. Also, Japan exports far more than it imports.***** let us debate as to whether or when or how much of exports is a good activity .( **1) Has an annual trade surplus of over 100 billion. Yet Japanese economy is considered weak, even collapsing.
Americans spend, save little. Also US imports more than it exports.
Has an annual trade deficit of over $400 billion. Yet, the American economy is considered strong and trusted to get stronger.
But where from do Americans get money to spend? They borrow from Japan, China and even India.****No , USA does not ask or force Japan , China ,etc. to lend money to USA ! Find me the document that says so ! ( It is a (an unintelligent ) decision by ill informed economists in these countries ,- some taught by respected Dr. Sau ) **2
Virtually others save for the US to spend. **** American consumers BORROW money against over valued houses or against their future earnings via credit cards. Global savings ***** Dollar based treasury notes mostly may not be construed as savings of the country or of the people of the country like India , Japan ...**3 are mostly invested in US, in dollars.
India itself keeps its foreign currency assets of over $50 billion in US securities. China has sunk over $160 billion ***** 2 to 4 trillion $ in US securities.
Japan's stakes in US securities is in trillions.***
Result:
The US has taken over $5 trillion from the world. So, as the world
saves ****** please be careful about usage of the term saving , in fiat currency regimes , a country s savings are UNLIKE the savings of a household !! This is very important to grasp and understand ... **4. for the US - It's The Americans who spend freely **** No , they do not ......**5.... Today, to keep the US consumption going, that is for the US economy to work, other
countries have to remit $180 billion every quarter, which is $2
billion a day, to the US! ****** so called other countries remit to USA only due to uneducated economists ! ... tell me why should India remit to USA . Why ? Why ? Why ? Why do we not keep these Dollar balances in State Bank of India in a Dollar account ? Tens of thousands of Indian Economists prefer to eat halva , instead of explaining the pros and cons of this issue .**6
A Chinese economist Name him ..*7 . asked a neat question. Who has invested more, US in China, or China in US? The US has invested in China less than half of what China has invested in US.
The same is the case with India. We have invested in US over $50 **8 ? maybe 350 billion in 2015
billion. But the US has invested less than $20 billion in India.
Why the world is after US?
The secret lies in the American spending, that they hardly save. In fact they use their credit cards to spend their future income. That the US spends is what makes it attractive to export to the US. So US imports more than what it exports year after year.
The result:
The world is dependent on US consumption for its growth. By its deepening culture of consumption, the US has habituated the world to
feed on US consumption. But as the US needs money to finance its consumption, the world provides the money.
It's like a shopkeeper providing the money to a customer so that the customer keeps buying from the shop. If the customer will not buy, the shop won't have business, unless the shopkeeper funds him. The US is like the lucky customer. And the world is like the helpless shopkeeper **9 the issues are more complex , answer me suppose usa decides to replace its domestic dollars at par with a new dollar , and replace the overseas dollar liabilities with one new dollar for ten old dollars , then can China or India stop the USA ? .
financier.
Who is America's biggest shopkeeper financier? Japan of course. Yet it's Japan which is regarded as weak. Modern economists complain that
Japanese do not spend, so they do not grow. To force the Japanese to spend, the Japanese government exerted itself, reduced the savings
rates, even charged the savers. Even then the Japanese did not spend (habits don't change, even with taxes, do they?). Their traditional postal savings alone is over $1.2 trillion.Thus, savings, far from being the strength of Japan, has become its pain.** 10 , do you know that Japan is a vassal country that has not yet been given independence after Japan s defeat in 1945 ? Please answer this first and then let us talk about the logic in Japan s economic decisions .
Hence, what is the lesson?
That is, a nation cannot grow unless the people spend, not save. Not just spend, but borrow and spend.
Dr. Jagdish Bhagwati, the famous ** just because he gets salary in ?Columbia Univ. what else ? Indian-born economist in the US, told Manmohan Singh that Indians wastefully save. Ask them to spend, on imported cars and, seriously, even on cosmetics! This will put India
on a growth curve. This is one of the reason for MNC's coming down to India, seeing the consumer spending.
'Saving is sin, and spending is virtue.'
But before you follow this Neo Economics, get some fools to save so that you can borrow from them and spend !!!
It is very simple to be happy, but very difficult to be simple.
******* better to discuss over skype !!
=======================================================================
[7/11/2015, 10:31 AM] I.
Pandyan K.
Mumbai:
Interesting old story. It is not just the governments that keep their reserves in U.S. against pieces of paper that they proudly store.
Every human being on this planet (especially ones who have traveled to US) keep some printed pieces of paper (called $). Just like jewelry.
It is clearly: I will buy your goods and pay as long as you keep your profits in my bank. Cost of mfg is an expense (income for the producer) that is received and spent. Profit is added to the asset. This goes on.
It explains why US can afford to spend (lesser) in making investments in these countries.
When the going gets tough US has to only print currency. It re-adjusts the relative share of what people own! (Think about it)
So it NOT economics at play. It is the ultimate religion. Blind faith ***11 due ignorance of the weaknesses and strenghts of the USA system !! on some notion called the U.S. Just imagine what will happen to the world (and of course, the U.S.) if and when the world stops praying to the $.
================================================================================
[7/11/2015, 11:06 AM]
M Jayaram M,
bangalore:
One moe point to add - the other nations are forced to save in dollars as that is the accepted reserve currency next to gold which is illiquid. Not only has Japan and rest got to investin dollars but also ensure that dollar value is kept at a high rate lest their savings disappear ** what is savings in fiat currency regime , since 1972 ?
.
[7/11/2015, 11:11 AM] I.
Pandyan K.
Mumbai:
That s precisely my point: one way if looking at it that most countries are forced into this situation, because Japan and Europe (primarily post WWII) started and kept it fed.
Supposing the other biggie now China manages enforce RMB as an alternative - it could lead to a differently complex world. That can happen NOT due to economics but because of changing faith and belief. That to me is a new religion! 😊*** 12 I completely agree with this !!!!!!
===========================================================================
from Mehrotra Ravi ,( RPM pgp8 fame , his email is rpmehrotra@hotmail.com )
I am forwarding an interesting story about world economy. How far it is true I don't know.
Amazing logic indeed...
This is a crazy world!
Interesting article written by an Indian Economist
Can you tell me the name ?
Japanese save a lot. They do not spend much. Also, Japan exports far more than it imports.
Americans spend, save little. Also US imports more than it exports.
Has an annual trade deficit of over $400 billion. Yet, the American economy is considered strong and trusted to get stronger.
But where from do Americans get money to spend? They borrow from Japan, China and even India.****No , USA does not ask or force Japan , China ,etc. to lend money to USA ! Find me the document that says so ! ( It is a (an unintelligent ) decision by ill informed economists in these countries ,- some taught by respected Dr. Sau ) **2
Virtually others save for the US to spend. **** American consumers BORROW money against over valued houses or against their future earnings via credit cards. Global savings ***** Dollar based treasury notes mostly may not be construed as savings of the country or of the people of the country like India , Japan ...**3 are mostly invested in US, in dollars.
India itself keeps its foreign currency assets of over $50 billion in US securities. China has sunk over $160 billion ***** 2 to 4 trillion $ in US securities.
Japan's stakes in US securities is in trillions.***
Result:
The US has taken over $5 trillion from the world. So, as the world
saves ****** please be careful about usage of the term saving , in fiat currency regimes , a country s savings are UNLIKE the savings of a household !! This is very important to grasp and understand ... **4. for the US - It's The Americans who spend freely **** No , they do not ......**5.... Today, to keep the US consumption going, that is for the US economy to work, other
countries have to remit $180 billion every quarter, which is $2
billion a day, to the US! ****** so called other countries remit to USA only due to uneducated economists ! ... tell me why should India remit to USA . Why ? Why ? Why ? Why do we not keep these Dollar balances in State Bank of India in a Dollar account ? Tens of thousands of Indian Economists prefer to eat halva , instead of explaining the pros and cons of this issue .**6
A Chinese economist Name him ..*7 . asked a neat question. Who has invested more, US in China, or China in US? The US has invested in China less than half of what China has invested in US.
The same is the case with India. We have invested in US over $50 **8 ? maybe 350 billion in 2015
billion. But the US has invested less than $20 billion in India.
Why the world is after US?
The secret lies in the American spending, that they hardly save. In fact they use their credit cards to spend their future income. That the US spends is what makes it attractive to export to the US. So US imports more than what it exports year after year.
The result:
The world is dependent on US consumption for its growth. By its deepening culture of consumption, the US has habituated the world to
feed on US consumption. But as the US needs money to finance its consumption, the world provides the money.
It's like a shopkeeper providing the money to a customer so that the customer keeps buying from the shop. If the customer will not buy, the shop won't have business, unless the shopkeeper funds him. The US is like the lucky customer. And the world is like the helpless shopkeeper **9 the issues are more complex , answer me suppose usa decides to replace its domestic dollars at par with a new dollar , and replace the overseas dollar liabilities with one new dollar for ten old dollars , then can China or India stop the USA ? .
financier.
Who is America's biggest shopkeeper financier? Japan of course. Yet it's Japan which is regarded as weak. Modern economists complain that
Japanese do not spend, so they do not grow. To force the Japanese to spend, the Japanese government exerted itself, reduced the savings
rates, even charged the savers. Even then the Japanese did not spend (habits don't change, even with taxes, do they?). Their traditional postal savings alone is over $1.2 trillion.Thus, savings, far from being the strength of Japan, has become its pain.** 10 , do you know that Japan is a vassal country that has not yet been given independence after Japan s defeat in 1945 ? Please answer this first and then let us talk about the logic in Japan s economic decisions .
Hence, what is the lesson?
That is, a nation cannot grow unless the people spend, not save. Not just spend, but borrow and spend.
Dr. Jagdish Bhagwati, the famous ** just because he gets salary in ?Columbia Univ. what else ? Indian-born economist in the US, told Manmohan Singh that Indians wastefully save. Ask them to spend, on imported cars and, seriously, even on cosmetics! This will put India
on a growth curve. This is one of the reason for MNC's coming down to India, seeing the consumer spending.
'Saving is sin, and spending is virtue.'
But before you follow this Neo Economics, get some fools to save so that you can borrow from them and spend !!!
It is very simple to be happy, but very difficult to be simple.
******* better to discuss over skype !!
=======================================================================
[7/11/2015, 10:31 AM] I.
Pandyan K.
Mumbai:
Interesting old story. It is not just the governments that keep their reserves in U.S. against pieces of paper that they proudly store.
Every human being on this planet (especially ones who have traveled to US) keep some printed pieces of paper (called $). Just like jewelry.
It is clearly: I will buy your goods and pay as long as you keep your profits in my bank. Cost of mfg is an expense (income for the producer) that is received and spent. Profit is added to the asset. This goes on.
It explains why US can afford to spend (lesser) in making investments in these countries.
When the going gets tough US has to only print currency. It re-adjusts the relative share of what people own! (Think about it)
So it NOT economics at play. It is the ultimate religion. Blind faith ***11 due ignorance of the weaknesses and strenghts of the USA system !! on some notion called the U.S. Just imagine what will happen to the world (and of course, the U.S.) if and when the world stops praying to the $.
================================================================================
[7/11/2015, 11:06 AM]
M Jayaram M,
bangalore:
One moe point to add - the other nations are forced to save in dollars as that is the accepted reserve currency next to gold which is illiquid. Not only has Japan and rest got to investin dollars but also ensure that dollar value is kept at a high rate lest their savings disappear ** what is savings in fiat currency regime , since 1972 ?
.
[7/11/2015, 11:11 AM] I.
Pandyan K.
Mumbai:
That s precisely my point: one way if looking at it that most countries are forced into this situation, because Japan and Europe (primarily post WWII) started and kept it fed.
Supposing the other biggie now China manages enforce RMB as an alternative - it could lead to a differently complex world. That can happen NOT due to economics but because of changing faith and belief. That to me is a new religion! 😊*** 12 I completely agree with this !!!!!!
===========================================================================
Its a very interesting Response,Ravi,
Which I can't understand..
Lets discuss over a Glass of Wine,
Wherever,
When I can still try to
Get a Grip of,
Atleast the Glass!
All in Ignorance!
-
A friend , from my College IIM Calcutta , commented
" I have regds for R.K.Sau for the First time in my life..he was not confusing at all"
July 12, 2015
my response ,
For some , reality can be confusing .
Thus the need to provoke the sheeple to wake up and review the world .
Simplistic model of his/our Economic world was easy to understand ,
however it omitted many significant power centres .
Mr Raja ,
Reality can be confusing , if juxtaposed against simplistic models .
How can facts be confusing ?
Only if simplistic model of world economy
prevents us from opening our eyes
to many significant components of the real economic world .
e.g. where is Socialist India now ,
with one man Ambani owning / managing 1-2 % of India s GNP ?
I respect Dr Sau s values , now even .
He helped us understand the logic behind India s socialism ,
however educators like him
maybe forestalled India s potential growth in comparison with China s ,
maybe forestalled us you and me from creating companies like Huawei , Haier , others .
However , his - Dr Sau s acolytes including me ,
could not foresee an Economy based on
" Demand-Creation fueled by Asset-Appreciation facilitated by FRS-Managed Bank-Money-Creation ."
FRS = Federal Reserve System ( RaviGarg opines that it is privately controlled .)
Adam Smith s "invisible hand " was misleading in 1971 ,
it is misleading in 2015 .
I think that we all greatly underestimated ,
the impact of the fall of Bretton Woods system in 1969-1971 ,
and of the impact of the newly created
"Floating Exchange Rate System , Jamaica , 1972 " ( Bretton Woods 2).
More , if you like ,
on Skype , my id is ravigarg2
Kind regards ,
RaviGarg
4 starter axioms
07.11.2015
eco 101
1....
Unless you understand the following ,
it is difficult to properly understand the current international monetary system .
most of our class s eco guy s have no clue how this process works ,
....yet this process is in place .
Any nation that has a Central Bank is NOT a sovereign nation .
Any nation that has a Central Bank is NOT a sovereign nation .
Any nation that has a Central Bank is NOT a sovereign nation .
accepted ..../ not accepted...
so , USA , India , China are not sovereign nations .
I repeat , Any nation , even EU , that has a Central Bank , is not a sovereign , nation.
2....
The FRS USA s Federal Reserve (central bank) System
controls the emission of money in all the 200 nations.
( and thus can dictate cost of , quantum of, direction of, economic growth in any nation ) .
accepted ..../ not accepted...
Why you or I , or our PM Mr Modi is short of money for investment ,
it is coz India is not a sovereign nation ...
.FRS decides and controls us .
3...
The FRS extracts ( ?? 20% plus ) most nations' wealth every year for itself ,
without having to send its US army.
accepted ..../ not accepted...
4....
FRS is private owned .
Till you invest many hours on debating whether FRS is private or USA Govt controlled ,
this issue seems confusing .
Effectively FRS is independent of USA Senate and of USA president .
It acts ONLY in interest of its private owners .
accepted ..../ not accepted...
5..
If you have even 1% confusion on above 4 poiunts ,
please debate with me ,
else you cannot predict or understand our world .
Confirm for each of above , accepted ..../ not accepted...
Ravi Garg
July 2015
Subscribe to:
Posts (Atom)