Interesting interview. Max, you seem to be getting a bit tired or repeating yourself. Don’t give up.
PERSISTENCE, PERSISTENCE, PERSISTENCE
Normally I don’t like doing this, but this story was too fascinating not to share. Here’s the main link from the Drudge Report:
RUSSIAN ANALYST PREDICTS DECLINE AND BREAKUP OF USA
Tue Nov 25 2008 09:04:22 ET
A leading Russian political analyst has said the economic turmoil in the United States has confirmed his long-held view that the country is heading for collapse, and will divide into separate parts.
Professor Igor Panarin said in an interview with the respected daily IZVESTIA published on Monday: “The dollar is not secured by anything. The country’s foreign debt has grown like an avalanche, even though in the early 1980s there was no debt. By 1998, when I first made my prediction, it had exceeded $2 trillion. Now it is more than 11 trillion. This is a pyramid that can only collapse.”
The paper said Panarin’s dire predictions for the U.S. economy, initially made at an international conference in Australia 10 years ago at a time when the economy appeared strong, have been given more credence by this year’s events.
When asked when the U.S. economy would collapse, Panarin said: “It is already collapsing. Due to the financial crisis, three of the largest and oldest five banks on Wall Street have already ceased to exist, and two are barely surviving. Their losses are the biggest in history. Now what we will see is a change in the regulatory system on a global financial scale: America will no longer be the world’s financial regulator.”
When asked who would replace the U.S. in regulating world markets, he said: “Two countries could assume this role: China, with its vast reserves, and Russia, which could play the role of a regulator in Eurasia.”
Asked why he expected the U.S. to break up into separate parts, he said: “A whole range of reasons. Firstly, the financial problems in the U.S. will get worse. Millions of citizens there have lost their savings. Prices and unemployment are on the rise. General Motors and Ford are on the verge of collapse, and this means that whole cities will be left without work. Governors are already insistently demanding money from the federal center. Dissatisfaction is growing, and at the moment it is only being held back by the elections and the hope that Obama can work miracles. But by spring, it will be clear that there are no miracles.”
He also cited the “vulnerable political setup”, “lack of unified national laws”, and “divisions among the elite, which have become clear in these crisis conditions.”
He predicted that the U.S. will break up into six parts - the Pacific coast, with its growing Chinese population; the South, with its Hispanics; Texas, where independence movements are on the rise; the Atlantic coast, with its distinct and separate mentality; five of the poorer central states with their large Native American populations; and the northern states, where the influence from Canada is strong.
He even suggested that “we could claim Alaska - it was only granted on lease, after all.” Panarin, 60, is a professor at the Diplomatic Academy of the Russian Ministry of Foreign Affairs, and has authored several books on information warfare.
About Panarin:
I’m not sure about the breakup of the US, plus he also mentions a secret agreement about the Amero(which suggests the opposite).
“divisions among the elite, which have become clear in these crisis conditions.”
I cant say divisons among the US elite are clear to me, I wonder what he’s reffering to.
Obama’s green policy?
But Obama’s got your back… right?
Does that mean it’s a greenback policy??
Hey wait, does Obama drives a fiat???
I am really looking forward to seeing The Oracle on BBC. I’ve been listening to the podcasts and reading your site for a couple of years now and everything you guys have said has turned out to be dead on!
Great work Max!
Behind every great man there is a great woman… Great work Stacy!
The US won’t send in troops to South Korea — it’ll threaten to pull them all out instead, which would be even worse for South Korea because then the Norks would take over the Peninsula and Sovietize the whole economy under the patriotic guidance of the Dear Leader.
Well, that wouldn’t be too different from the present US model, would it?
The US is more likely to break up other states than allow its own territory to be compromised.
I thought this was a telling piece. The ‘Special Relationship’ between the US and UK allows the British to maintain a state of denial where Uncle Sam is always to blame:
Britons blame U.S. for the credit crisis
Tue Nov 25, 2008 1:54pm GMT
“LONDON (Reuters) - More than a third of Britons blame the U.S. for the financial crisis and economic downturn, according to a survey, and three-quarters say they have little or no faith in banks.
“The research, by advertising agency McCann Erickson, found almost 40 percent of people blamed the U.S. for the credit crisis, with 27 percent saying U.S. banks were responsible and 10 percent pointing the finger at the outgoing U.S. government.
“Only 18 percent blamed Prime Minister Gordon Brown, who has repeatedly referred to the financial turmoil as having started in the U.S.
“In his pre-budget report on Monday, Chancellor Alistair Darling pointedly echoed the line, saying the crisis began in the U.S. housing market and spread to the entire global financial system. …
Like every addiction, is bad for you, it might even kill you in the long term, but as addicted you are you need another fix, no matter the consequences. It might feel good in the begging, then you need more and more, until it doesn’t make any effect, then you have two options: Stop the drug, rehab, have a bad withdraw, go forward and do good things with your life.
Of course the dealer will go bust when he loose his major buyer, but screw him! He is selling death no matter how you flip it.
Or you keep screwing yourself with the drug until it kills you, or until your life standard go so low you end living on the streets, because you sold everything you ever had (or ever produced) to buy the drug, even if the drug never gave you anything in exchange, only a short term psychological “high”.
The Chinese are definitely addicted to the US treasury bonds, it doesn’t make any good for them, the only “good” is the short term psychological “high” that the US will ever pay for it (with products), which is obviously - by the amount of debt the US already has, and the “great” American manufacture industry - it will never happen.
So, will the Chinese ever face reality and stop using it or they will need to hit rock bottom to start rehab???
PS: Great show guys, i love it, keep spreading knowledge!
My greetings from Brazil!!
Max, don’t know if you noticed but Marc Faber (or maybe Jim Rogers, could be either) used your Apocalypse Now line about Hank Paulson running the Treasury as an insane asylum for economists near the end of his Bloomberg interview recently. Wonder if the “smoking the opium of US Treasury bond dealers” is going to make a reappearance somewhere soon?. Strangely enough, I haven’t seen the Paulson fatwa/head bouncing down Treasury steps line being repeated anywhere yet…
I think Max has jumped to the conclusion very quickly that china has got addicted to the american treasuries. I have been following Chinese economic policies very closely through this entire period they have been funding heavily to increase consumption they have come up with numerous policies to spend dollars .This last quarter result about chinese being net buyers of treasuries I think is just a way to push money into america to make sure sudden collapse wont occur and this correction they are working on daily basis has some time to take place. The Chinese are just buying time to correct their overly bloated export dependent industry.They are working heavily heavily to make it more consumption based. They are just buying time .They planned to create 75 million watt nuclear power based generation by 2020 now they are just quickening the process. I think only based on results in 2010 we can say if china is addicted to treasuries or not and basing conclusions on what we see now is jumping the barrel and it could only be as i said earlier buying time to get correct their over dependence on export
12 Comments
November 25th, 2008 at 8:45 am
Interesting interview. Max, you seem to be getting a bit tired or repeating yourself. Don’t give up.
PERSISTENCE, PERSISTENCE, PERSISTENCE
Normally I don’t like doing this, but this story was too fascinating not to share. Here’s the main link from the Drudge Report:
RUSSIAN ANALYST PREDICTS DECLINE AND BREAKUP OF USA
Tue Nov 25 2008 09:04:22 ET
A leading Russian political analyst has said the economic turmoil in the United States has confirmed his long-held view that the country is heading for collapse, and will divide into separate parts.
Professor Igor Panarin said in an interview with the respected daily IZVESTIA published on Monday: “The dollar is not secured by anything. The country’s foreign debt has grown like an avalanche, even though in the early 1980s there was no debt. By 1998, when I first made my prediction, it had exceeded $2 trillion. Now it is more than 11 trillion. This is a pyramid that can only collapse.”
The paper said Panarin’s dire predictions for the U.S. economy, initially made at an international conference in Australia 10 years ago at a time when the economy appeared strong, have been given more credence by this year’s events.
When asked when the U.S. economy would collapse, Panarin said: “It is already collapsing. Due to the financial crisis, three of the largest and oldest five banks on Wall Street have already ceased to exist, and two are barely surviving. Their losses are the biggest in history. Now what we will see is a change in the regulatory system on a global financial scale: America will no longer be the world’s financial regulator.”
When asked who would replace the U.S. in regulating world markets, he said: “Two countries could assume this role: China, with its vast reserves, and Russia, which could play the role of a regulator in Eurasia.”
Asked why he expected the U.S. to break up into separate parts, he said: “A whole range of reasons. Firstly, the financial problems in the U.S. will get worse. Millions of citizens there have lost their savings. Prices and unemployment are on the rise. General Motors and Ford are on the verge of collapse, and this means that whole cities will be left without work. Governors are already insistently demanding money from the federal center. Dissatisfaction is growing, and at the moment it is only being held back by the elections and the hope that Obama can work miracles. But by spring, it will be clear that there are no miracles.”
He also cited the “vulnerable political setup”, “lack of unified national laws”, and “divisions among the elite, which have become clear in these crisis conditions.”
He predicted that the U.S. will break up into six parts - the Pacific coast, with its growing Chinese population; the South, with its Hispanics; Texas, where independence movements are on the rise; the Atlantic coast, with its distinct and separate mentality; five of the poorer central states with their large Native American populations; and the northern states, where the influence from Canada is strong.
He even suggested that “we could claim Alaska - it was only granted on lease, after all.” Panarin, 60, is a professor at the Diplomatic Academy of the Russian Ministry of Foreign Affairs, and has authored several books on information warfare.
November 25th, 2008 at 10:30 am
got dammitt stacy !
now you’re starting with the potty mouth too ?
didn’t i told you i got 10 or 20 kids ?
ok, seriously, are we going to get a thanksgiving show ?
are m+s going to make a show of suggestions on why amerikans should be thankful ?
just a show suggestion,
peace out.
-obm
November 25th, 2008 at 11:08 am
About Panarin:
I’m not sure about the breakup of the US, plus he also mentions a secret agreement about the Amero(which suggests the opposite).
“divisions among the elite, which have become clear in these crisis conditions.”
I cant say divisons among the US elite are clear to me, I wonder what he’s reffering to.
November 25th, 2008 at 11:28 am
Obama’s green policy?
But Obama’s got your back… right?
Does that mean it’s a greenback policy??
Hey wait, does Obama drives a fiat???
I am really looking forward to seeing The Oracle on BBC. I’ve been listening to the podcasts and reading your site for a couple of years now and everything you guys have said has turned out to be dead on!
Great work Max!
Behind every great man there is a great woman… Great work Stacy!
November 25th, 2008 at 5:31 pm
The US won’t send in troops to South Korea — it’ll threaten to pull them all out instead, which would be even worse for South Korea because then the Norks would take over the Peninsula and Sovietize the whole economy under the patriotic guidance of the Dear Leader.
Well, that wouldn’t be too different from the present US model, would it?
November 25th, 2008 at 6:56 pm
My man Max Keiser was right! I first saw your video about Island on Al Jazeera and I know what you where saying was right but I never thought it would actually happen. Respect to Brother MAX=)
http://www.youtube.com/watch?v=EkHOM96wiA4&eurl=http://www.infowars.com/?p=6177
November 25th, 2008 at 7:33 pm
The US is more likely to break up other states than allow its own territory to be compromised.
I thought this was a telling piece. The ‘Special Relationship’ between the US and UK allows the British to maintain a state of denial where Uncle Sam is always to blame:
http://uk.reuters.com/article/topNews/idUKTRE4AO4WW20081125
Britons blame U.S. for the credit crisis
Tue Nov 25, 2008 1:54pm GMT
“LONDON (Reuters) - More than a third of Britons blame the U.S. for the financial crisis and economic downturn, according to a survey, and three-quarters say they have little or no faith in banks.
“The research, by advertising agency McCann Erickson, found almost 40 percent of people blamed the U.S. for the credit crisis, with 27 percent saying U.S. banks were responsible and 10 percent pointing the finger at the outgoing U.S. government.
“Only 18 percent blamed Prime Minister Gordon Brown, who has repeatedly referred to the financial turmoil as having started in the U.S.
“In his pre-budget report on Monday, Chancellor Alistair Darling pointedly echoed the line, saying the crisis began in the U.S. housing market and spread to the entire global financial system. …
November 25th, 2008 at 8:38 pm
Like every addiction, is bad for you, it might even kill you in the long term, but as addicted you are you need another fix, no matter the consequences. It might feel good in the begging, then you need more and more, until it doesn’t make any effect, then you have two options: Stop the drug, rehab, have a bad withdraw, go forward and do good things with your life.
Of course the dealer will go bust when he loose his major buyer, but screw him! He is selling death no matter how you flip it.
Or you keep screwing yourself with the drug until it kills you, or until your life standard go so low you end living on the streets, because you sold everything you ever had (or ever produced) to buy the drug, even if the drug never gave you anything in exchange, only a short term psychological “high”.
The Chinese are definitely addicted to the US treasury bonds, it doesn’t make any good for them, the only “good” is the short term psychological “high” that the US will ever pay for it (with products), which is obviously - by the amount of debt the US already has, and the “great” American manufacture industry - it will never happen.
So, will the Chinese ever face reality and stop using it or they will need to hit rock bottom to start rehab???
PS: Great show guys, i love it, keep spreading knowledge!
My greetings from Brazil!!
November 26th, 2008 at 1:28 am
Max, don’t know if you noticed but Marc Faber (or maybe Jim Rogers, could be either) used your Apocalypse Now line about Hank Paulson running the Treasury as an insane asylum for economists near the end of his Bloomberg interview recently. Wonder if the “smoking the opium of US Treasury bond dealers” is going to make a reappearance somewhere soon?. Strangely enough, I haven’t seen the Paulson fatwa/head bouncing down Treasury steps line being repeated anywhere yet…
November 26th, 2008 at 1:40 am
Pretty soon they’ll all be reading passages from your unpublished cyberpunk novel
November 28th, 2008 at 6:03 pm
i’m not sure about the new “paris” sign they’ve put on top of the eiffel tower. i thought it was fine without it.
December 12th, 2008 at 3:26 am
I think Max has jumped to the conclusion very quickly that china has got addicted to the american treasuries. I have been following Chinese economic policies very closely through this entire period they have been funding heavily to increase consumption they have come up with numerous policies to spend dollars .This last quarter result about chinese being net buyers of treasuries I think is just a way to push money into america to make sure sudden collapse wont occur and this correction they are working on daily basis has some time to take place. The Chinese are just buying time to correct their overly bloated export dependent industry.They are working heavily heavily to make it more consumption based. They are just buying time .They planned to create 75 million watt nuclear power based generation by 2020 now they are just quickening the process. I think only based on results in 2010 we can say if china is addicted to treasuries or not and basing conclusions on what we see now is jumping the barrel and it could only be as i said earlier buying time to get correct their over dependence on export
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