BOOM as at 19th July 2020

THE WORLD HAS GONE MAD — MAGICAL THINKING

BOOM corresponds with many readers around the world and a common theme from them is best summarized with this commonly used phrase — “the world has gone mad”.

This is especially in response to any discussion regarding the Corona Virus — Covid 19 — SARS-Cov2 — Panic Demic (call it whatever you like). Economies are being destroyed, private businesses smashed, civil rights abolished and the mainstream media has taken control, forcing politicians to do their bidding. The people are being controlled. “The world has gone mad” seems to be the most succinct description of events.

However, BOOM thinks that the phenomenon the readers are describing is a far bigger one than that.  The apparent “madness” in response to Covid 19 may just be the latest iteration of a global disease that BOOM has noted for some years, best described as The Disease of Magical Thinking.

Magical Thinking has become prevalent slowly but surely over the last 20 years especially in the advanced, wealthy economies. Critical thinking is in steep decline. Rationality is rare.

Imagine (just for a moment) that we are all extremely dumb with very low IQs, very uneducated and with no real experience of how the world at large actually functions. If that were the case, we would all naturally assume that everything around us was happening as if by some kind of magic. Just like the fictional, central character of Chauncey Gardiner in the famous book and film from 1979 —  “Being There“.

In the book and film, the central character has an extremely low IQ, he lives in a protected environment where everything is provided to him and where all he has to do is watch TV. He comes to believe that TV is the real world and the real world is TV. He completely believes everything that he is told by the TV. In other words, he is brainwashed by that experience. When released into the real world by accident, he tries to control other people by using a remote control. Eventually, he rises to become the President of the United States because other very powerful people promote him into that position, thinking that they can control him.

Now just imagine that we are surrounded by millions upon millions of Chauncey Gardiners. They are, in effect, brain washed automatons. And if you are fortunate enough to live in one of the advanced economies, you may recognize that this is also like living inside a magic cargo cult where magical thinking is common. Almost everything you need is now available at the click of a mouse as if by magic. A grocery delivery, a take-out food delivery, a movie, TV series, a tour of an art gallery, clothing, shoes, gifts, perfume, alcohol, furniture, electronic devices, computers, books, magazines, fine wine, exercise machines, kitchen utensils. They can all be ordered and delivered straight to your door within a few minutes, hours or days.

This leaves the dumb, poorly educated, relatively inexperienced millions of Chauncey Gardiners with lots of time to believe in and worry about the fearful agendas pursued (endlessly) and promoted by the mainstream media as “NEWS” — Global Warming, Climate Change, Corona Virus, SARS-Cov2, Covid 19, the Chinese, the Russians, the Asteroids, the floods, the droughts, the offensive actions and words of other “communities” (there is no such thing as just one community anymore), crime, war, equality, inequality, our own sexuality, racism, feminism, misanthropy. Be scared. Be very scared.

The Threat of Serious Disease is just the latest fearful agenda being foisted upon us.
Now, what if such a world was cleverly designed to make us buy more (and more) goods and services? That would be clever.

But what if such a world was designed to control us completely? To rob us of the ability to think critically and rationally? That would be even more clever.

Would we still be sentient, conscious beings? Or would we be robots?

To describe this situation, BOOM has invented the word ROBIOTS. Robiot is an amalgam of the words robot and idiot.

ARE YOU A ROBIOT IN TRAINING?

The next (logical) step in the process outlined above would be to fuse our bodies with devices, thus turning us into half robots – half humans. ROBIOTS. There are already many people planning to insert tracking devices into human bodies. Some are planning to link our brains with machines. Some are planning to insert vaccines that give commands to our immune system unlike traditional vaccines that simply challenge the immune system to respond. These new vaccines are called “messenger vaccines”.

Neuralink is an American company that is developing implantable brain–machine interfaces. The idea apparently comes from a science fiction concept called “neural lace” which is a part of the fictional universe in The Culture, a series of 10 novels by Iain M. Banks.

BOOM is opposed to many of these developments. Human beings are not machines and we must fight hard to stop these “interfaces” and “messenger vaccines” from being forced upon us. These devices and new forms of vaccine are dangerously close to being command and control devices.

Command and control is the term most often used to describe authoritarian systems of government. Now — imagine a hidden “government” that is not elected by us but is in charge of our bodies and our brains. That is the world we are moving towards without any real resistance. Beware. Start thinking. Please.

ALMOST ZERO DEATHS FROM COVID 19

The Daily Death Rate from Covid 19 in New York City is rapidly approaching Zero. Yes, you read that right — ZERO deaths per day. At the peak of the epidemic, New York recorded 597 deaths on a single day.  That was on the 4th of July.

Why is the mainstream media not telling you this? You can check out the numbers provided by the City of New York at the link provided. They show the graphs for Cases, Hospitalizations and Deaths on a per day basis. As BOOM has previously mentioned, the most important statistic in any serious epidemic is the Deaths per Day numbers, not the “Case” numbers, and especially the pattern of those death numbers over time.

It looks like New Yorkers are maybe the world champions at washing hands, wearing masks and socially distancing themselves. Any politician will immediately say “see — the Lockdown worked”.

Or maybe all of those actions had absolutely nothing to do with the outcome?

Link:   https://www1.nyc.gov/site/doh/covid/covid-19-data.page

BRAINARD OR BRAIN HARD?

A Federal Reserve Governor in the US, Lael Brainard, has outlined her vision of a worsening U.S. economy accompanied by increasing Coronavirus infections. In this gloomy assessment, she said that the central bank must increase its interventions over the long term, presumably by creating more and more central bank money and buying more and more assets.

Last Tuesday she said “A thick fog of uncertainty still surrounds us, and downside risks predominate”. “Fiscal support will remain vital”. Here she is instructing the Government to increase its deficit spending. Remember, she is unelected and the government is elected.
“Looking ahead, it likely will be appropriate to shift the focus of monetary policy from stabilization to accommodation by supporting a full recovery in employment and a sustained return of inflation to its 2% objective.”

She clearly believes that she and her fellow unelected central bankers are the rescuers of the economy. They are in control and will make it all better.

BOOM asks is that magical thinking by an unelected ROBIOT seeking complete command and control over all of us ordinary citizens, in a cargo cult economy?

“DO AS WE SAY.  OR ELSE.  IT’S FOR YOUR OWN GOOD”.


In economics, things work until they don’t. Until next week …………  Make your own conclusions, do your own research.  BOOM does not offer investment advice.


CLICK HERE FOR PODCASTS:
   OUR BRAVE NEW ECONOMIC WORLD

EMAIL: gerry {at} boomfinanceandeconomics.com

Return to the BOOM Main Website –  BOOM Finance and Economics at  http://boomfinanceandeconomics.com/

=============================================================

HOW MOST MONEY IS CREATED

BANKS CREATE FRESH NEW MONEY OUT OF THIN AIR (but they always need a Borrower to do so)

THERE IS NO SUCH THING AS A DEPOSIT
BANKS PURCHASE SECURITIES, THEY DON’T MAKE LOANSBANKS DON’T TAKE DEPOSITS, THEY BORROW YOUR MONEY
Watch this short 15 minutes video and learn as Professor Richard Werner brilliantly explains how the banking system and financial sector really work.
https://www.youtube.com/watch?v=EC0G7pY4wREhttp://

How is Most New Money Created ?

LOANS CREATE DEPOSITS — that is how almost all new money is created in the economy (by commercial banks making loans).

From the Bank of England Quarterly Bulletin Q1 2014    —
“Whenever a bank makes a loan, it simultaneously creates a matching deposit in the borrower’s bank account, thereby creating new money.“Most money in the modern economy is in the form of bank deposits, which are created by commercial banks themselves”.

Youtube Video —  https://www.bankofengland.co.uk/quarterly-bulletin/2014/q1/money-in-the-modern-economy-an-introduction

and

https://www.bankofengland.co.uk/quarterly-bulletin/2014/q1/money-creation-in-the-modern-economy

Paper:  Money in the Modern Economy  PDF —  CLICK HERE

Quarterly Bulletins Indexhttp://www.bankofengland.co.uk/publications/Pages/quarterlybulletin/2014/qb14q1.aspx

Most economists are unaware of this and even ignore the banking & finance sectors in their econometric models.

On 25th April 2017, the central bank of Germany, the Bundesbank, released a statement on this matter —

“In terms of volume, the majority of the money supply is made up of book money, which is created through transactions between banks and domestic customers. Sight deposits are an example of book money: sight deposits are created when a bank settles transactions with a customer, ie it grants a credit, say, or purchases an asset and credits the corresponding amount to the customer’s bank account in return. This means that banks can create book money just by making an accounting entry: according to the Bundesbank’s economists, “this refutes a popular misconception that banks act simply as intermediaries at the time of lending – i.e. that banks can only grant credit using funds placed with them previously as deposits by other customers”. By the same token, excess central bank reserves are not a necessary precondition for a bank to grant credit (and thus create money).”Reference: https://www.bundesbank.de/Redaktion/EN/Topics/2017/2017_04_25_how_money_is_created.htmlThe Reserve Bank of Australia (Australia’s central bank) has also contributed to the issue in a speech by Christopher Kent, the Assistant Governor on September 19th 2018.“…… the vast bulk of broad money consists of bank deposits”“Money can be created …….. when financial intermediaries make loans““In the first instance, the process of money creation requires a willing borrower.”“It’s also worth emphasizing that the process of money creation is not the result of the actions of any single bank – rather, the banking system as a whole acts to create money.”
================================================================

Disclaimer:   All content is presented for educational and/or entertainment purposes only. Under no circumstances should it be mistaken for professional investment advice, nor is it at all intended to be taken as such. The commentary and other contents simply reflect the opinion of the authors alone on the current and future status of the markets and various economies. It is subject to error and change without notice.The presence of a link to a website does not indicate approval or endorsement of that web site or any services, products, or opinions that may be offered by them.

Neither the information nor any opinion expressed constitutes a solicitation to buy or sell any securities nor investments. Do NOT ever purchase any security or investment without doing your own and sufficient research.  Neither BOOM Finance and Economics.com nor any of its principals or contributors are under any obligation to update or keep current the information contained herein. The principals and related parties may at times have positions in the securities or investments referred to and may make purchases or sales of these securities and investments while this site is live. The analysis contained is based on both technical and fundamental research.

Although the information contained is derived from sources which are believed to be reliable, they cannot be guaranteed.

Disclosure: We accept no advertising or compensation, and have no material connection to any products, brands, topics or companies mentioned anywhere on the site.

Fair Use Notice: This site contains copyrighted material the use of which has not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of issues of economic and social significance. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use’, you must obtain permission from the copyright owner.

==============================================================

MOLS Denmark

 

One thought on “BOOM as at 19th July 2020

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s