The risk is roughly one in seven that Europe's ongoing debt crisis will push member nations to abandon the shared currency, raising the spectre of the "effective end of the euro area," the Economist Intelligence Unit has warned. The pressure on politicians from voters at home to leave the shared currency could become "irresistible", according to the EIU. – UK Telegraph
Dominant Social Theme: We're very concerned. Europe's leaders need to try harder. Otherwise the whole world needs to get together to come up with a solution. Hey, what about some new international money?
Free-Market Analysis: The footsteps of a global currency grow louder? That's one way to look at this report from the Economist Intelligence Unit. We don't believe for one moment that after spending trillions on unification, reorienting Europe's entire politics toward support of the project, and dedicating five decades generally to building up the EU, that the Anglo-American elites behind the project are simply going to walk away from it. The intention just as likely is to create more chaos and confusion which will, in turn, give the elites further opportunity to suggest, through surrogates, that a true global currency is necessary for stability.
Approached from this perspective, The Economist Intelligence Unit report is a way to kick off further debate about the euro's prospects and increase a sense of urgency that a solution be found. It's certainly a proactive conclusion that the Economist (of all publications) has come to. But are things really as they seem? The euro's plight is certainly grave; yet we've suggested in the past that the Anglosphere elite is the wealthiest entity in the world with literally hundreds of trillions of dollars at its disposal.
The problems the PIGS face is nothing that could not be ameliorated with the addition of the odd trillion or two. Heck, didn't Bernanke just hand out at least US$20 trillion in loans and quick-turnaround money, mostly to European financial institutions – including Gaddafi via the Arab banking Corp.? Couldn't another spare trillion or two be printed to save the euro? Couldn't the ECB itself do it for that matter?
Nope. Not a chance. The EU twists in the wind. The problems are intractable, the politics insoluble. We've certainly supported that conclusion, even while questioning it. And, yes, there may be something to the idea that domestic (German) politics are making it impossible to salvage the euro as it is now constructed.
This is an old elite problem. You can control all the money in the world, but if a few hundred million – even a few million – are dead set against your solution, then it is probably a non-starter. This is one of the reasons Western elites have operated in secrecy and used fear-based promotions (dominant social themes) to put into place the building blocks for one world government. But the Internet itself has ended that secrecy. It is an era of internationalist transparency now, and the elites are stuck with it like everyone else.
They grind on however. We've compared elite strategies to the walking dead in the past. No matter how exposed a dominant social theme becomes (see global warming) nothing kills it. It lurches ahead, mortally compromised and missing a limb or two, but it continues on. In fact, like a huge battleship, the larger elite program of one-world government is an impossibly complex one. Even a small course correction can take nautical miles to deliver.
You see, elite programs involve many complex moving pieces and literally billions of people. Plans once laid are almost impossible to change. And the euro-crisis, which the elites admittedly knew was coming, was supposed to put pressure on the union to further consolidate. It was also supposed to engender increased currency chaos throughout the West. The idea was to make the world, especially the Western world, so fractured and unhappy that people would welcome a true global currency. So far the crisis hasn't done much to bring Europe together; but undeniably the Southern PIGS are suffering.
And so, to the solution. The currency chaos around the world is to be addressed by recognized economic thinkers. The foregone conclusion of such bold cogitation is that economic problems the world over can only be addressed by more centralization and a true global currency. It's one of the reasons, in our view, that the Western establishment keeps criticizing China and its weak yuan – and of course China's leaders play along by granting the yuan is undervalued.
The moves are being made serially and disparately and are not being presented by the mainstream media just yet. But perhaps that time is coming. Sooner or later, a major mainstream newspaper or magazine could surely "discover" a groundswell of support for a single global currency. The publication may report with something approaching wonder that George Soros himself is organizing a new "Bretton Woods"-style global conference, complete with recognized economic heavyweights such as Paul Volcker (former chairman of the US Federal Reserve) and that the conference will consider the IMF's SDRs as the foundation for such a currency.
The publication may then note that France's Nikolas Sarkozy has proposed the same sort of international conference to the Chinese and even suggested that they host it. Sarkozy too believes that SDRs can serve as the foundation for a new global currency. Finally, the publication will report that IMF leaders themselves have been frank about the possibility of creating a new global currency and suggested in a monumental interview with Der Spiegel magazine that the SDR could indeed serve as a global currency and that the IMF itself could become a true global central bank.
Our hypothetical mainstream publication, if it digs more deeply, may also observe that the IMF recently published a white paper that showed quite clearly how SDRs could go from being a kind of ancillary monetary facility to a real currency, mainly through the creation of an SDR Treasury market that would allow nations and large financial players to buy and hold SDRs at profit.
The IMF of course explained that such an evolution would take years and perhaps decades, to implement. But that should be expected: Those orchestrating this program can't make things look too easy. The IMF itself needs to be pointing out potential problems and suggesting that such ambitious programs take a very long time to coalesce. (Modesty, thy name is International Monetary Fund.)
And so the orchestration continues. Imagine, dear reader if it somehow comes together all at once: The impotent heads of the EU meet together for the umpteenth time to declare that the euro crisis is resolved when everyone can see for themselves it is not. Merkel throws up her hands at a press conference and begins to argue publicly with Nikolas Sarkozy. Newspaper headlines around the world report on the crisis. Soros, meeting with Volcker in Geneva, addresses hordes of reporters to explain why his conference, soon to begin, will address the EU's expanding crisis and offer a solution.
In Washington DC, representatives of the IMF hold a hastily-called press conference to explain that no matter what Soros and his fellow conferees decide upon, no such global currency can be realized overnight. The IMF white paper calls for a long period of gestation. IMF heads caution gravely that no matter the scope of the crisis, cooler heads must prevail. A global solution cannot be implemented immediately.
Nikolas Sarkozy himself has an answer for the cautious folks at the IMF. He has left the contentious EU press conference and gone back on the road. Weary and unshaven, addressing the worlds media electronically from an undisclosed location in the Middle East where he is supervising France's four-front war with Syria, Lebanon, Libya and the Ivory Coast, Sarkozy calls on the IMF and world leaders to seize the moment. He then calls on China and the BRIC countries to come to the table to create a truly worldwide monetary conference. Sarkozy warns that without a global currency, Middle East chaos can only grow worse.
It is not clear how a cessation of Middle Eastern tension might come about through the development of a global currency but the mainstream Western media report on it anyway: "Global Currency Predicted to Ease Trouble Spots" read some headlines. Or "Planned Global Currency Seen as Critical to Ending War." Sounds good anyway. Out of chaos comes order. Manufactured crises give way to equally stage-managed solutions. We can't help but think the Economist could be contributing to this elaborate charade.
Of course, according to the Telegraph, the Economist report is carefully hedged. "The cement that has held European countries together for decades cracks and the progression towards ever-closer union comes to a spectacular halt," said researchers; they gave it a reported likelihood of 15pc. "Meanwhile, the report's central scenario – put at a 50pc probability – is that the eurozone will muddle through the crisis, with the most indebted countries accepting the harsh reforms needed to cut their deficits and stronger members reluctantly offering enough support to contain the crisis."
But even here the Economist is gloomy, stating that some countries (Greece) will likely default on their debt. "The least probable scenario, put at a 10pc likelihood, is that the eurozone will undergo a resurgence as countries manage to rein in their public finances, researchers thought."
We tend to see all this as an orchestration. But then, here at the DB, we track the memes of the elite. We believe that such promotions lie at the heart of the world's monetary conversation and that the goal of elite manipulation of world events is one-world government headed by the UN. Some may read the Economist article and think it to be a frank appraisal of the potential for the EU's break up. We read and wonder what they're REALLY up to …
