Adonis Diaries

Open Letter to President Obama (part 2)

Mr. President Obama, I like to remind you of my trilogy essays, published on wordpress.com on the current financial crisis and economical meltdown which are: The Manifesto of the American people for the 21^st century (October 6, 2008), Wall Street Multinationals milking the cows (October 11, 2008), and What resolutions in the aftermath of the crash of Wall Street?!  (October 7, 2008).  I will do my best to abridge these essays into a compact story.

The American financial multinationals and many European affiliates forecasted the financial crash coming in the speed of a bullet train since before 1999.  They forestalled the inevitable but aggravating the situation in conquering the world financial markets. Do you remember that in 1999 the financial multinationals asked the US government and Congress to pass a revised law of 1933 (that was meant to regulate the stock market after the crash of 1929) that allowed commercial banks to switch to investment banking with much looser accounting and regulatory rules?  Well, many multinational commercial banks jumped to the opportunity that suited their pleasures according to the development of the markets worldwide under the code name “Free Trade Agreement”. 

It is then that the US multinationals, in tandem with the US Administration, knew that in order to conquer the world financially they would ultimately pay a price but they figured that it wouldn’t be that expensive financially to the US treasury since all the stock markets would be linked and sharing in the risks.  The political fallouts were certainly discussed but not seriously enough to contemplate the possibility of a drastic angry popular backlash and an eventual change in the capitalist system. 

 The multinationals foresaw the catastrophe but they wanted first to milk the cows in the Asian markets and the petrodollar sovereign funds of the oil producing countries.  They figured that, in due time, when the free non-regulated financial system fails then the other developed and rich States would participate in the bail out.  Fundamentally, if you do the math then you will discover that the swindled profit that the multinationals generated during a decade correspond to the long term bail out funds that Europe, Asia and the petrodollars countries would pay from their citizens tax money to bail out their failing institutions in order to stabilize the markets; a process that should be taking quite a long time.  I suggest that you start adding all the money shelled out by the world States and also include what the US government contributed since 1999 and you would get the general figure of the astronomical super highway robbery of the century.

 Congress passed a monstrous bailout package where the white bosses are not to be prosecuted! Everyone is a sucker once in his life but in capitalist America the odds of repeat “suckered ness” is very high and the plain American citizen is the most prone to fall frequently in these easy to play games of stock gimmicks. Well, all you need is a computer hooked to internet and plenty of happy satisfied greed stories propagated in all the media!  If you have noticed that the most recurring remedy of the talking heads is to regain “trust” in the financial market system!  Yes, trusting multinational professional embezzlers is a sure way to stabilize your life saving balance to zero dollars.

Now the US government wants the world citizens of tax payers to share in the resolution of world financial stability! Why? Is it so that the few hundreds of billionaires and the select classes of capitalists around the world may maintain their high life style? Have we reached a new phase of world class capitalism versus the other hard working nationals who have the job of adding values to the economies?

We all know by now that the September 11, 2001 attack on the Twin Towers and its consequences in Iraq, Afghanistan and the Moslem World in general were the events of the decade.  We do feel deep in our guts that the fall of Wall Street and its results would be the events of the century.  The fall of the last bastion of unbridled capitalism is shaking the World economy and sending strong Tsunami waves to the global finance and investment institutions all around.  The US Federal government is nationalizing the major failing commercial banks but why should it bail out investment banks which are the foundation and symbol of greedy capitalism?  I am curious; what organizations are behind Goldman & Sacks and G.P. Morgan to obtain formal nomination of the US Federal government for the nationalization process? 

            It is well documented that minor cataclysms generate abundance of investigation and then public coverage but the coverage of seismic cataclysms, that are financial in nature, are relegated to professional manuscripts that the general public would not touch with a long pole.  Did anyone read any serious coverage of the financial repercussions of the September 11 nightmare or the bankruptcy of the energy giant ENRON?  If anyone, so far, comprehend the causes of the fall of Wall Street then please disseminate your knowledge profusely and immediately.  One hint though; follows the money trails and you will catch the head criminals.  Astute Warren Buffet has already invested 5 billions in Goldman & Sacks or 10% of the shares; thus, this is a strong lead to follow.  The most direct way for grabbing significant threads is by investigating Vice President Cheney and his inner circle; they were fundamentally following orders of the malefic financial giant organizations that are behind the turmoil of this decade.

              I wonder though why the fall of Wall Street happened when the last bastions of communism (China) definitely shifted gears to participate in the new world economic order!  The fall of Wall Street should have taken place shortly after September 11, 2001.  The invasion of poor Afghanistan was not credible to infuse over 3 trillion dollars into the already failing financial institutions in the USA through fraud and the scapegoat of a major war against “terrorism”. The Bush Administration and the behind the scene nefarious financial organizations needed to invade rich Iraq and blackmail the neighboring tiny Arab Emirate States to redirect the swindle on the largest scale through front re-construction companies such as Bechtel and Halliburton and others private security companies.  The Iraqi war could not cost that much money and certainly the Iraqi people didn’t notice any beneficial change in their daily lives for six years and they are much worse everyday.  Obviously, the US government needed a high strategic excuse for its campaign in Iraq: basically to blackmail mighty China via oil distribution!

            This gimmick of infusing another 700 billion dollars from the US citizens taxes is basically one of the last payments of the Federal government to the financial mega mafias.  They say that everything is politics; this is not true in capitalist systems: political structures are fundamentally legal front for the mega financial mafias to bleed dry the citizens. I urge the US citizens not to wait and see!  If you do not do your homework now and then actively revisit the US political structures then the same cycle would recur at a nastier magnitude.

Many contradictory economics school of sciences that earned Nobel Prices tried to interpret a few of Adam Smith’s economic principles and his metaphor of the invisible hand guiding prosperous Nations’ economies.  Capitalists have usurped Adam Smith’s economic principles as their system guideline to cheat out their countrymen of their life savings.

Adam Smith stated that individuals have the tendencies to invest whatever capital they own within the areas of their residence so that they could have better control over their business because they know the people they can trust and the environment that can use their skills and products and the functioning of the legal system. This process of increasing the added value of their businesses in the local commerce or inner commerce is like “an invisible hand” at work for increasing the wealth of the whole economy.  When the State risks to orient or guide an individual or moms and pops family businesses in the manner of investing his capital it is meddling in pointless exercises since the investor is better positioned to know the kinds of activities he is fit to undertake.  How Smith’s explanations for a strong economy could ever be matched with the principles of these mega businesses that nobody even know the behind the scene power manipulators?

In order to keep in the spirit of Adam Smith the commercial banks and even the investment banks under stricter regulations and accounting should get to know the businesses they are lending to, the people, the environment and the legal system of the States they are doing business in.  Hiring just banking and finance graduates would not cut it: knowing the businesses that add values requires various experts on the field.  For example, it is not specific enough for a bank to be specialized in the agriculture domain; it has to state in which products it is specialized in.  Knowing the business unit of a borrower, in and out, is the main guide to adding value to national economies.  The smaller, more localized and specialized the commercial banks the more secure are the investments.  This free world finance investment scheme is caput and makes no sense; it needed only a decade to prove its embezzlement objectives.

Maybe the immediate problems of climatic changes would usurp the primordial rank of the fall of Wall Street for dire consequences in the next decade; and maybe the next US Administration might decides to lead the environmental remedies in a political gimmick to redirecting the attention of its public away from this major handicap. The focus on the environment might generate the necessary good will for behavioral change and away from this “stupid consumerism growth” ideology.

Are you hopeful that the temporary fall of greedy capitalism might enhance a revival for the environment?  Don’t count on it.  Only a serious movement to restructure the actual US political system with serious independent institutions invested with the authorities to control and monitor and investigate the so-called check and balance porous institutions might offer a glimpse to the light at the end of the tunnel.  Once this mass movement is on the march then the rest of the world will back it with all its might to save this one Earth and its 8 billions inhabitants.

I sincerely expect the Chinese people to revisit their economic policies and the untenable export growth trend.  I expect the huge continents of India, Brazil, Russia and the European Union to get the message of the pitfalls of an uncontrolled capitalist system and sever the cozy relations between their political structure and financial institutions.